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rBOLIVIA:

ri SECRETARIA NACIONAL DE MEDIO AMBIENTE

!MISTERIO DE MINERIA Y METALURGIA

Swedish Environmental Systems

SECTORAL ENVIRONMENTAL ASSESSMENT

OF

THE MSING AND INDUSTRIAL (MANUFACTURING) SECTORS

TECHBCAL APPENDICES: Volume No. 1

June 1993

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1'SECrORAL ENVIRONMENTAL ASSESSMENT OF THE MINING AND INDUSTRIALSECTORS EN BOLIVIA

Swedish Envirommental SystemsJune 1993

It TECHNICAL APPENDICES: Volume No.1

IV.1 Regulating industrial pollution in Bolivia (Faith Halter)

* 1 IV.2 Instumentos economicos aplicables a la gesti6n ambiental de la minerfa eindustria en Bolivia (Marthadina MendizAbal de Fmot)

* I IV3 Environmental laws and regulations related to mining and industry in Bolivia(Valeria Merino)

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APPENDIX IV.I

SECrORAL ENVIRONMEAL ASSESSMENT OF THE MINING AND INDUSTRIALSECTORS IN BOLIVIA

t REGULATING INDUSTRL POLLUTION aN BOLIA

by Faith Halter

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EXB5EMUFlSLMARX

1. Purpos . The purpose of this paper is to assist in preparing the reguatory and institutionalcomponents of the Swedish Enviomen Systms (SES) project to help improve pollutionmanagement of the mining and indusal sectors in Bolivia

2. nizUmlon. Part 1 reviews international experience about building regulatory programs mI industrial potlution managemen, with an emphasis on selecliag regulatory instruments. Part 2concentrates on pollution management in Bolvia. It suimanizes the curert situation and offes

* tentative drions for both basic regulatory activities and some more treted efforts.

3. Inidal stp to reglatng polluton (pages 1-8). Goverment policies for poUution managementdevelop as part of a larger agenda of raised consciousness about en meal concems and the

I effects of pollution on hum health and economic productivity. As envimnaiW es hold as apolitical force, governments follow a paen that geneay includes: adopting new envinallegislation; establishing a centrAl coordinatng agency; adopting regulations for enironment impactasssment (ELA); setting ambient environmenta quality standards; and adopting detailed regulationsfor pollution management

4. SedeSfinEug ul Mnstrpments for pollutfion management(pages 8-17). Regulators in both.| industralized and developing counties have shown a strong preference for quantity-based appaches

(QBA) that require polluters to reduce the amount of pollution so that total contamion is restrictedto a tageted ambient imit. Tius preference is lkely to contiue, despite the theoreical supeioity of

| pince-based instumae (PBA) that rely on market forces to hdp allocate pollution managementresponsibilities more efficiently.

I There appear to be sound reasons why QBA has evolved as the major reguatory system for pollutionmanagement However, regulatory systems should use a mix of QBA and PBA insutuments rwthPBA serving as an important complement, especially to help reduce the costs of regulation and to raiserevenues.

There are no ready formulas for selectn the best mix of regulatory instuments. Instead. regulasmust be aware of the compatve advantages and disadvantages of the varous QBA and PBAinstruments and combine them as seems most appropae in a particular situation. Successfulpplication of any of these instruments cals for caeful monitring and adjustmet of the regulatory

program as experience and insituional cpabilies inaeas.

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5. R=laIng industrhil polluton In Bolivia (Pages 17-26). Bolivia is in the early stages offollowing the general pattern noted above for evolving regutltion of pollution management Afterreviewing some generl principles regarding initial priorities and program design, this paperrecommends some broad-based actions that can help to lay the groundwork for basic pollutionmanagement programs. It also suggests possible actions targeted tward specific pollution problems.In each cace, there are specific suggestions about how the SES project can contribute. An

Q =gMMO aretat and will have to be reevaluated as more 'nformation becomes a&y&Wj.

6. Recommended broad-based actlons 1.o lay the Z=ondwork forr~guIaUngi%dustriaI pollution (pages 2-27) include:

h. Establish ambient enviromental quaity goals to serve as a fiamework for designingPollution management programt aud evahnating environmental quality.

b. Consider whether 2nU hbcv to require phased compliance with ambient standards forimportam categories of so-ces that are ot yet subject to more specific pollution managementrequirements.

c. Consder whether and how to establish a basic pollution charge that woud generaterevenues to help fund tiese efforts and perhaps encourage reduced pollution.

7.problems (pages 27-29) include:

a. lhe first priority should be to werk on pnvatzation of the miung sector. This processOffers a unique ortuniy to inject bett environmental management int a major economic sector.

b. Idenify issues and problems that can help the Government shape its conceptual frameworkfor indUStrIa pollution magement and consequently decide how to combine quant-based andprice-based approaches.

c. IdentAry a small number of modest pilot or phased activities to help design and/orimplement early regulatory programs.

d. IdefY any current ecMomic policies that should be evaluated for their impact onpollution management A common example is subsidized water and energy prices that discourageconservation of scarce naturl resourceS.

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ibis paper will assist in pt%paring the regulatory and instituional components of the SwedishEnvironmental Systems (SES) project to help improve poliution management of the miaing andindustrial sectors in Bolivia.

Part 1 reviews inteational experience about building regulatory programs in industrial pollutionmanagement, with an emphasis on selectng regulatory instnument. Part 2 concentrates on pollutionmanagement in Bolivia. It summiizes he current situation and offers entaive diecons for both

* basic regulatory activities and some more targeted efforts; in eac case, there are specific suggestionsabout how the SES project can contribute.

This paper is intended to be a brief synthesis, concise enough so that busy team members and tnirBolivian countpparts can read it quickly and use it as a basic reference.' Tibs discussion can oilyserve as a possible strtng point; many important aspects of regulating industrial pollution receivesummary treatment or have been omitted auogether. Also, we do not yet have sufficient informatonin many cases to make specific recommendatons about Bolivia.

PART le INTRNAONALEXRIEN2

BACKGROUN

Ibis section describes the steps that most countries foillow when establishing a regulatoy program for! pollution management, and then compares the two main categories of regulatory instuments.

Iniffal ste=s to relntf pollution

Environmental poUution is lagely a byproduct of economic activity. Societies do not usually viewpollution (except for basic sanitation) as a significant problem until there has been substal urbanand industial growth e llre, govement polides for polution management develop as part of alarger agenda of raised oscisousness about en concens and the effects of pollution onhuman health and economic productivity. As environmenalism takes hold as a political force,govemments follow a pattern that generally includes:

1. Adopting legislation that promotes enm protcion as a social goal and oftenincludes the first major legislative call for pollution management;

'The author has used footnotes sparingly in order to makethis paper more readable. The bibliography at the end identifiesthe sources that she used. She has included footnotes at thebeginning of some sections where she relied heavily uponparticular sources. The form for citation is informal; it usesonly the primary author's last name.

j 2This section is based primarily upon information from thefollowing sources listed in the bibliography: Bernstein;Eskeland; Halter (1991); Teitenberg; and Wheeler.

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2. Establishing a cental nationAl agency for environment protecdon;

3. Adopting requiremen for env impact assessment;

4. Settng ambient environental quality standards; and

5. Adopgtg detailed requiements for pollution managementEnvironmental legislafion. Widesprad recognition of the dose links among soundI enviomenta, economic and social developmen Is a recent phenomenon. Consequently, building the

concept of sustainable development into national poicies and planmng almost always mvolves newa legislation, and sometimes changes to the national constitution as well. This new legislation.

sometimes refenred to as an "ennnta umbrella law." typicdly sets out national aspirations and agenead famework for comprehensive envionment managemeL Such laws often cr the firstbroad, formal directions for enviromental planning and polution management, as well as referencing-I and expanding existing programs for managing natural resourceL Tney usually establish a smallcentra institution to help direct the new environmental agenda. Thes umbrella laws tend to be vague,and so supplementa regulations are normally a prerequisite to establishing programs in new areas.

EstabUshing a central environmental agency is often necessary for the same reason as newlegilation. There is no exsting national institution whose mandate and vision cofresponds to thenewly formulated national envi priorities.

The new agency Is usualy smanll and has a coordinating fucL it may also have leadJ iresponsbiles for aU or some of the newly created institutional responsibilities, such as environmental

impact assssment, pollution magm, envi al information systems and e ntleducation. The scope of its ibilities will far exceed its expertise, resoures and political power.

rengthening insitution arangements and capabilities in the new central agency - AND in thej many other institutions associated with imprving envirnment management - is critical to theeffectiveness of new regulatory programs. The problems of unclear li of authority and weakinstitutional capacty that commonly occur in developing coumties can be magnified becauseenviromnent tuches on so many different issues and activities. The combination of old and newissues tends to unsettle existing alocations of authority and budgets witbin each level of govanmentand among national, provincial and local authorities.* These institutional concerns have important implications for new envromental programs indevelopng countries. Building human resoc is often t most ccticl - and one of the mostdifficult - aspects of building new prorams that produce environmental improvements. One mustallow substantial time for these imprvements to occr, sinm success rests on inducing necessmrycbanges in the attitudes and behavior of goverment officials, pofuters and the general public.Diswminaing information about nment problems, rquirements and opporunities to allsegments of society and exchangig views with them is central to this process. The importn ofextesive information exchange and the frequent need to negotiate over application of envimerequirements at the local level rets in considerable d r tion of pollution managemenUprograms.Anotber impor implication of weak Institutiona capacity is that there will be limited ability tomonitor compliance and addrss violations effectively. This cals for careful targeting of scarce

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resources and maximizing the use of instruments that are relatively simple and inexpensive toimplement

Envirowmentat impact assessment (EIA) is already somewhat familiar to the governments ofmany developing countries before they adopt it because of requirements for project review by majorI international banks and development agencies. EIA is usually one of the very fs programs to beundertaken in response to new environmental legislation. It can be a poweful eDgine forI strengthening environment plannig and awaens once a country has readced the point where thereis a cadre of trained specialists and a few yeas of practical experience EIA can help to build a broadappreciation of the benefits of environmental planning (for policies and programs, as well as projects),

t as well as laying the groundwork for valuable monitoring and information management capabilities.

Ambient environmental quality standards form the und for regulating pollutionmanagemet.3 These sndards set goals for achievig acceptable air and water quality.

Ambient air quality standards for pollutants that have mainly locaized effects (such as lead andparticulate matter) are usually established at levels intended to protect human health and welfare Airquality standards for pollutants that have regional or global effects (such as contributors to acid rain orozone depletion in the upper atmosphere) are usually estabLisbed at levels to protect economicactivities (such as agriculture) or the integrity of key ecosystems.

rhe goJs for ambient en st rds for water quaity also vary accordin to the inndeduse of different water esources. For example, different ambient water quality standards might apply

; depending on whether the watr in a stream, lake or river basin is intended primarily as a source ofdrinking water, agricaltuwal water, or industrial water, or Whether it is pat of a fragile ecosystem toreceive special protection.

J Once a government has decided upon the goals for prtecting air and water resources, it needs toselect envnmental parameters that can indicate whether those goals are being met, and then settarget concentraton limits. To begLn, a government should select a smaU number of contaminants orother parameters (such as chemical oxygen deficiency or biogical oxygen deficiency) that are relativelyeasy to measure and wi provide a general point of reference for evaluating environmental qualty.For the reasons discussed above. it is sometimes apaprpe to set different ambient environmentalgoals and standards for ditfererf regions withim a country. Ihe speafic choice of parameters forwhich ambient standards will be set should be based on a review of basine envinmentalconditions,4 as well as known polluting activities and problems.

3 Most of the information in this subsection derives from theauthor's experience, supplemented by suggestions from GeoffreyGrubbs and Joel Schwartz of the U.S. Environmental ProtectionAgency and Lars Landner and Rudolph Reuther, members of the SES

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4Bolivia offers an example where it is very important toevaluate baseline conditions in setting ambient environmentalquality standards. In parts of the country that are rich inminerals, the concentration of heavy metals that occur naturallyin surface waters may be unusually high, and this would have tobe taken into account in setting ambient water quality standards;failure to consider these special conditions could result in

The World Health Organization recommends ambient standards protective of public health for avariety of air and water contamrinnts. Governments geneally consider these numbers a bottomteshold, with many choosing to set more ambitious goals.In developing countries, governments may set stadards comparable to the most stingent ones inOECD countes in order to appear as progrssive and protective of their citizens as possible. Yet as apractical matter, for most developing countries the issue of bow stringent to make their ambientstandards is more a political question than an environmental one. Ihis is because regardless of whichnumbers are chosen, in almost all cases it will take many years to reach even modest ambientJ envinmenal targets on a nationwide basis. _bereforc. the more imp_tnt qucstion Is not ctlyhow high ambient standards are seL but how envionmental goals are set which ontaminants armtargctWd. and how well a goyvernment can plan a phased apprnach to min iincrementa progrss inECnci itsq environ t quality goals It can be helpful to set overall national targets, such astrying to improve compliance with ambient standards by a certain percenage over a given period oftime. As progress occurs, te government can reevaluate and revise its ambient stadards andtimetable as appropriate.

The greatest value of ambient standrds les in their function as targets (and meuring sticks) forprogress. However, a government can also use them as gross measures for regulatory cotol byprohibitig discharges that exceed the ambient sndard 5 Ihis is not a teibly satifatory way toregulate individual sources because it is quite ineficent to set blanket requirements for all sources.regardless of the extent of their contibutions to the problem and their differing cost of compliance6Nevereless, this apprach can serve as a stopgap measure during the long process of developingapproprate regulatory requirements for specific categones of industry and polluta In that case,initial goals for some (or most) sources subject to this regime might simply aim to reduce the degreeby which standards are exceeded, rather than acually meeting the stndards.

Regulating pollution management. Even if a government could revise all its policies toI promote optimal envment outcomes (an impossible task), there would remain a need to regulat

environmental goals that would be impossible to achieve.

A potential problem for setting ambient environmental standardsfor mining regions in Bolivia is the lack of adequate baselinedata about environmental conditions. One way to help address

; this problem would be to consider the applicability of ambientstandards adopted by countries with somewhat similar conditionsregarding mineral deposits, such as Canada.

i5 This would normally be done on an averaged basis. Anotherpossibility is to require compliance on an intermittent basis,such as when adverse weather conditions pose special

| environmental health hazards.

6Important factors to consider include the different impactof pollution from upstream (or up-wind) and downstream (or down-wind) sources; determining the mix and impacts of pollutants in agiven environment; and balancing those impacts against othereconomic and social considerations.

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industrial pollution. In many cases, the mimber of actors and other difriculties make it impossible forpolluters and those harmed by their activities to reliably negotiate and enforce agreements aboutallocating responsibilities and costs for protecting the general public from unacceptable lcvels ofpollution; socily acceptable allocafions depend upon public intervention

he following section will discuss specific regulatory instruments. Here, we vwn briefly review someimportant themes for regutng en pollution.

3 1. pollution ==gor. The best way to manage pollution is to pevent it from ever beinggenerated. This avoids potential human, ecological and economic ham, as wetl as the often costly

. and difficult job of clean-up. Examples of polution prevention options include substituting lessharmful inputs in the production pocess, making pmcess modifications, and recycling. Pollutionprevention can sometimes offer savings to polluters; for example, by capturing and reusing valuablematerials, such as used solvents or cement dust, before they enter the waste stream. Effectivepollution prevention depends heavily on making changes in how regulators and firms think aboutpollution management - they need to foCUs on minizng waste production throughout the process asa whole, ratber than simply considering how best to deal with wastes after they are generated. ******This approach is less costy, as well as more sound environmently; external treatment of pollutionconsumes more energy and other resources, and some forms of environmental damage (including someinjuries to human health) are extremely expensive and difficult to conrecL

2. C:rosse_iaJ jntegeraccLx)tionmnnngcnt Experience in industrialized countries hasshown the impoance of oDnsideing the effects to all environental media (air, water and soil) whenregulating pollution. For example, simply banning the discbarge of a given substance to wat bodiesmay shift the problem to the air if the waste is burned instead, or to the soil if it is buried. Piomotngintegated pollution management, like pollution prevention. is easier said ta done Ibis is partybecause pollution regulation tends to be segregated by envionmental media, and also because aninategra approach requires more information and adds complexity.

At the source-specific level, one way to promote both integrated pollution management and pollutionprevention is through audits to evaluate the overal environmental (and economic) efficiency of theentire production process, including inputs and output Making recommended improvements mayinvolve trade-offs or adjustments to official regulatory requiements such as existing permittingrequiremes, where regulation is generally by environmental media."

* 3. New vs. existing somes of pollutdion. No govemment has sufficient resources to taMe all

70ne aspect of this concern is the "polluter pays principle"which argues that sources should be responsible for costs frompollution that would otherwise accrue to other segments ofsociety; by requiring polluters to internalize these otherwiseexternal costs, they should over time adjust pollution levels tomore socially optimal limits.

aIt should be noted that the term "environmental audit canapply either to the type of review described here, or to an auditto determine compliance with applicable regulatory requirements.

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aspects of environmental polution at once. One critical decision is how much to focus on improvedplanning for new sources, as opposed to addressing problems genated by existing sDurces.'

Subsnial focus on new sources is cleady fundamental If a govemment hopes ever to make basicimprovements in planning and design that will reduce the occunce of fuure prblems and relatedcosts. However, once the public becomes conscious of curent en mntal problems, especiallyserious health threats, a government will feqently find itself ud extreme political pressure to

j concentrate on alleviating problems associated with existing polution.'°

The is no ready answer for resolving this tension. However, one whalf-wayu point that arises in;g many developing countries involves the pIyatization of govnmentowned cnterprises that genete

significant pollution. Thes are sources of polution that aleady exist, but the privafization processoffers a window of opportuity for addressing their polution problems more systematcally than isusually possible. The links between enviromnent and privaion have been most striking in Centraland E2sten Europe, where potential foreign investors are particularly concerned about futureenvironmental requirements and possible environmenl liability.

4. The govrment as a reguated In all countries, govemment agencies at all levels(national, provincial. local) are themsdeves pollutes, thugh such vaned activities as operatingwastewater trament facilities, large military bases and power geneation. The process of bringinggovernmental violators into compliance can be extraordinarily long and arduous. Tlese problems tendto be compounded in developing countries becas government is often predominant in so manyeconomically importeat activities, and enviromenta institutional structures and funding are

J particularly weak.

Thbis section begins with an overview that briefly describes the two main categoies of regulatoryinstruments for pollution management and cure views on their applcaton More detaileddesciptions follow of the shared fres of these regltory instmmen and how each appoachworks. The section closes with a discussion about dhoosing regulatry instruments that draws together

'With respect to new sources, a common problem is how bestto coordinate EIA review and permitting procedures for newfacilities so as to minimize duplication and confusion.

"3Moreover, the problems that the public perceives as mostserious may not rank highest in terms of comparative risk. Forexample, a recent study commissioned by the U.S. EnvironmentalProtection Agency (EPA) found that in terms of comparative risk,the Agency was not devoting enough resources to the most serious

l problems associated with environmental pollution. A major reasonfor this discrepancy is the fact that U.S. public perceptions ofrisk differ significantly from an assessment based on comparative

a risk, and i- is these public perceptions that drive thelegislative and political process that shapes EPA's agenda. U.S.EPA, Reducing Risk: Setting Priorities and Strategies for

j Evirormental Protection, Doc. #SAB-EC-90-021 (Sept. 1990).

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lconclusions based on intenational experience and research, and summarizes the main points toconsider when comparing regulatory instruments.

Overview

The variety of terms used to describe the two major categories of instruments for regulating pollutionpartly reflects the controversy dring recent yeas about which instuments are most appropiate. Wewill refer to fiese two categories as "quantity-basedc and "price-based" approaches.11

Qual lih ML Dwabc (QBA) requir polluters to reduce the amount of pollution so that thegs aggregate contamination is resticted to the targeted limit These approachs ae also commonly

refered to as "command and control," "regulatory" and "dit" insuments Examples includeemission standards and technology requirmnts.

P| im-baM 2V 1k1_ S (PBA) ain: to create price incentives that will induce polluters to change theirbehavior so as to cause less pollution.'2 These approaches are also commonly known as "economic"or "indirect instuments, or "market based incentives." Examples include emission charges andtradable permits.

SumM of international exnce Pollution management regulation is based heavily on QBA. Inrecent years, a growing number of specialists interested in links between environment and economicgrowth, especially economists, have argued tat it would be far more efficient to rely primanily onPBA instead for pollution management This is because a QBA requireent holds all regulated

| polluters to common operational standrds, wheeas in fact the costs, feasibility and impacts ofreducing pollution vary widely among sources and locations. Thus, in principle it would be far moreefficient to use PBA to set general environmental parameters and then allow market forces to decideprecisely how pollution management responsibiities will be allocated, rather than treating differentsources as being alike through QBA.

1he weight of opinion and expeience seems to be moving toward the conchlsion 1hat there are in factsound reasons why QBA has evolved as the major regulatory system for polution management andthat this is likely to continue. However, regulatory systems should use a mix Df QBA and PBAinsruments, with PBA serving as an important complement, primarily to bhlp reduce the costs ofregulation and raise revenues.

"1These terms are more accurate and neutral than some of theother common terminology. The author has adopted them from DavidWheeler's article cited in the bibliography.

"2Adjusting prices or economic markets to improve pollutionmanagement can itself create unwanted policy distortions; this isN one reason why having adequate information before designing a PEAsystem is important. In general, the potential environmentalbenefits are viewed as outweighing the problems of potentialpolicy distortions.

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QBA and PBA instruments share a number of important features:

1.AM OIA and P_A ite e reMu%=y All QBA and PBA are grounded upon| policies, laws and regulations tbat establish envirnmental goals, induding ambient standards. The use

Of any of these instuments must be authorized by spefic laws and regulations

3 ~~~2. OBA and PHA are similar in terms at regulato cost and necesal insitittional CcacIty.For example. applying eidter effluent sandards (QBA) or effluent charges (PBA) requmies that te

.. source and tihe regulators be able to monitor and evaluate the flow of effluent discharges. helrefr,one cannot readily distinguish between the QBA and PBA insuments on the basis of institutonaldemands and adminisve costs. Functions integral to both appmaches include informationgathering, ectucating the reguated community, monitoring and enforcement

3. _mplemeaion of all the n ent reqi= regatnx f1exihilty. Regulatory programsfor pollution management must adapt to gaps in information and take into account substantialvariations among sources and environmental conditions. Even "command and control" schemesultimately depend heavily on negotiation on a facility-by-facility basis for successil implementationMhis need for regulatory flexibility again underlines the impotance of building human resoures forpollution management and allowing substantial time for implementtion.

4. Roth OBR A ad PRA include sonie instrumensthat focus directly on emissions (also called| end-of-pipe discharges), such as emission limit (QBA) and emission chages (PBA). Eadi o=

also includes some insctuments hM focms on inputs or oUtpltS such as limiting use of certain processchemicals (QBA), and taxes and subsidies aimed at process components or products (PBA).

S. Tesm ng,of mech2neninm to prmmte compliance is available for alis~mnsThese mechanisms include: financial penalties for nonompliane; pmfo nce bonds; assignment ofliability; temporary or permanen suspension of poRuting activities; denal of public subsidies orfinancing; imprisonment for cimial violations; and publicity regarding either positive or harmfulbehaviors.

As noted above, QBA is the dominant strategy in virunay all countries that regulate pollutionma;agement. This section desmibes the main types of QBA instruments and their advantages anddisadvantages.

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QBA instruments Indude:3

1. Rmassion or effluentstandard (restricting discharges of a given pollutant from a particulardischarge point, based on ttal quantity of pollutant or concentration of pollutant per Unit of time orunit of production);

2. TIchnoIogybied jandanis (specfying a pollution control technology, such as seubbers3 to control sulu dioxde emissions); 14

3. (setting a performanc goal, such as reducing pollutant emissions byt a fixed percentage, while allowing sources flexibility on how to reach that goal);

4. (limiting emissions per unit of product output andeor restiing orbanning the addition of certain substances to products, such as lead in gasoline); and

5. Pc (resticing the use of certain substnces in the ng process.such as limiting the use of organic solvents in order to reduce emissions of volatile organic chemicals.

QBA standads can be established tbrough general requirements that apply to al sources or to all' sources within a given category, such as aU companies witbin a given industry or located within ageograpic region, such as a watershed. QBA standards that are tailored to the opeations of aparticular soumrce (such as source-specfic emison, technology or process requirements) are nomayembodied in an env iomental permit or license issue to that source.

Advantage and disadvantages of QBA lnstuments. Most OEM counmies have achievedI significant reductions in pollution from sorae contaminants using predomi y QBA systems. Ihemaim adyane of OA instm is that they provide maximum certainty in terms of the projectedenvmironment improvements from regulaton. They can also pide additional ctty to firms by

n clarifying what standards must be met and applying those standards across-the-board, thus minimimingcompetition among firns with regard to meeting pollution requirens

The main disjdvgyaje of OBA i mm is resticted source flexibility and relaed costs. Evenwith reasonably adequate information about variations among regulated sources (which can be difficudtand expensive to obtain), QBA standards will stll mis opportities to reduce the overal costs ofcompliance available where some firms could control thek emissions more cheaply and effectively

13There are many different ways to characterize regulatoryinstruments for pollution management. The author has adopted theorganization used by Janis Bernstein in her article cited in theI bibliography.

14An absolutely fundamental aspect of relying on controlI equipment for pollution management is proper operation andmiaintenance of the equipment. This can pose serious problems indeveloping countries because of problems such as inadequatelytrained operators and difficulty in obtaining spare parts.

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than others. QBA standards that rely on pollution control technologies leave little inceative for furtiertechnology Innovadon once the standards are meL E;nally. QBA instruments are not effective toaddrss pollution problems gencrated by many small sources acting individually. such as urban solidwaste disposal or runoff flom agriculturm production.

I J As noted above, PBA instuments awe built upon ambient sandards and QBA systemsL Tis section

descbes the main types of PBA instrumens. t then provides more detal about emisson charges andtradable permits, the two PBA instruments that have been receving the most sszutiny as potentialy

a integral components of pollution management regulation.

PBA instruments Indclude;

1. Taxes 2nd otber chares:

a. emission or effluent charges, the most commonly used PBA instrument, are baseddirectly on pollutant discharge, usually acording to some combination of volume and concentration ofconamminants, or toxicity and water consumption per unit of proDclction. They are applied almostexclusively to water poltution.m6

b. taxes and otie charges may also be applied to inputs, such as fuels, or to products,such as deposlefund systemsn tt charge a fee for the puriase of a recyclable product and refund

2 that fee when the product is returd to a central collecting point Deposit-refiud systems are oftenaimed at recyclable consumer products, such as glass or plastic containers. Car batries and otherlare batees may also be a use target if the system extends beyond basic consumer goods.

c. administative carges (e.g., permit fees) and user chges (e.g, sewerage fees) arealso common.

2. Tzadablhe its serve to maintin an overall limit on polhitant discharges within adesignated region (i.e., meet an ambient stndard) while allowing sources considerable flexibilitywithin that limit To begin, permits allowig emissions up to a specified linit per source are allocatedto sources in the region either according tD preexistng permit limits or through a government-sponsored auctionL Thereafter, any source wishing to increase reguated emissons in the region(through an expanded or new operaton) must purchase sufficient permited emission allowances tocover the prjected icrease in emissions. Permit sales are accomplished throgh a formal market

'SQBA instruments can be used to reduce pollution from manysmall sources where there are opportunities to regulate inputs.Examples are restricting the lead content of gasoline to reducemotor vehicle pollution, and banning the use of CFCs inrefrigerators.

3 1 6Emission charges have had limited application to airpollution in France, Japan and the Southern California area ofthe United States.

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established to implement the tradable permit system. Market forces determine the permit costs andover time, the market should allow permits to be allocated among finms in the most cost-effective way.

3. Suhsidii7 include measures such as: tax aedits for environmental investments; grants orlow-cost loans to support research and development of innovative technologies; and subsidied costsfbr desirable pwducts." Ihese measures are most effective in the early stages of regulatory progms3 and are usually phased out over time.

Emission charges

: Ewission charges are used in Eumope and Japan. as well as developing counties. Most common areeffluent chdges linked to water pollutionL In pinciple, emission charges could be set high enough toprovide a strong incentive for sources to reduce polution. However, there is appareny no cCcntrywher the government has set emission charges with this as its main intent Instad, governments useemission charges to coUeect revenues that can be earmarked for enrnena expendirs; the Cost tOeach source is too low to influence most polluters' behavior.19

"HHere we are considering subsidies to promoteenvironmentally beneficial behavior. In many countries, one morecommonly encounters arguments for eliminating subsidies that haveenvironmentally harmful effects, such as subsidies on the priceof water, energy and agricultural fertilizers and pesticides.

"8For example, Sweden charged a tax on cars withoutcatalytic converters and subsidized the cost of cars withcatalytic converters for several years to encourage the switch tocleaner motor vehicle fuels. The program helped to achieve aremarkably high rate cf conversions to cars with catalyticconverters. The government spent substantially more on subsidiesthan it collected in taxes.

"9The main exception to date is the Netherlands. There,emission charges turned out to be high enough to help achievereductions in pollutant discharges. This was an unexpectedbenefit of the system, which was intended to help raiseenvironmental revenues. The factors that resulted in actualpollutant reductions are unique to the Netherlands. The countryhas a high population density, concentrated agricultural andurban activities, and a fragile environment. These conditionshave by necessity led to some of the most advanced pollutionmanagement practices in the world and a population that is usedto comparatively large environmental charges.

Also, the German government has begun using graduated pollutioncharges specifically designed to give regulated facilities aneconomic incentive to reduce their emissions of regulatedpollutants. The charges are substantial, and they increase eachyear at a rate higher than inflation.

.- ~~~~~~~~~~~~~11

Common uses of the revenues from emission cages include: paying for regulatory programs, arevolving loan fund to help regulated sources mske capital investmenlts or other expenditures forenvironenLal improvements; and in Japan, compensating victims harmed by pollution. Somegovernments use a graduated system of emission charges to encourage sources to come intoj complance more quickly. For example, in Germany, sources that meet or exceed stae-of-the-arteffluent standards pay hlf the basic rate; in Italy, the rate is ine umes higher for firms that ae notyet meeting provisional effluent standards. In France, regional water autorities set charges partlyIac accrding to the degree of niion geneted. In other cases, companies may be assessed amaximum estimated charge and be able to apply for a rebate based on lower emissions or resceuse.

5 Results vnth emision charges. Emission chages can often seve as a good supplement to QBAinstruments. Emission charges have been quite effective in reducng the overall costs of pollutionregulation pnmarily by generating environmental revenues. However, they are not ordinarily lageenough to produce notable im uveents in envronmel quality. Emission charges are most usefulin situations where there are numerous small sources. The charges should be adjusted over time toI reflect inflation.

Tradable permits. Mhe United States has been the mamn user of tadable permits. The most extensiveprogam for tradable permits is under the Clean Air Act The Act iclies primarily on QBAinstuments, especiay emision and technology sandards. The tading provsions apply wheresources are able to reduce emions even more than required und the Clean Air Act standards. Inthose cases, the additional emission reductions may be credited and used for tading with other sources

| that are having trouble meetg the regulatory emission limits.

Rests with trmdable .mit. Like emission charges. tadable permits serve as a supplement to, rher3 g; than a replacement for, QBA. In the US.. it has not been possible to attibute specific improvements* 3 in air quality to their use. However, the overa rate of compiance und the Clean Air Act has

inceased and the extra flexibility that permit trading offes to regulated somues has substatlly1 reduced the total ost of compliance.

Permit tran is best siited to large companes because of the uiith transacon costs of idenifying atrading partner and conductig a successful tade. The regulatory costs of adminsterig a permittrading program are also high because of the need to carefully monitor and enforce permits and tomaint accurat emission inventoies. The great majoity of air permit trades in the U.S. have beenfor pollutants that are unifomy mixed in the atmosphere, such as volatie orgamc chemicals, becusethere is no need for complex and expnsive dispersion modeling. Trades involving polutants that arenot uniformly mixed in the atmosphere have usually been at contiguous discharge pns at faciliies

with a common owner.

20In India, polluters receive a rebate on their cesspayments for water if they can demonstrate than in fact theyplaced less demand on the system than expected. Barrett at 125.I In Thailand, there is a proposal to charge firms an annual ratebased on highest projected emissions and then offer a discount ifthey can later demonstrate that in fact their emissions werelower. Wheeler at 50.

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Choosing rqgulatory Instruments for pollution manaement

hIbis section draws together conclusions based on intational expeence and research, andsummarizes the main points to consider when comparing regulatory instruments.

I Conclusions from experience and research

I xVirtally all countries, regauRess of stage of development. have similr regulatory structures forpollution managemewtn!' ITse consist of laws, EIA requirements, ambient standards and regulatorysystems that are based primarily on QBA. Most countrics also use PBA (such as emission charges) as

a~ a supplement to QBA, usually to raise revenues that help fnane eno regulatory programs.No goverment relies on PBA exdusively for pollution management

Regulaors in both industalized and developing countries show a strong pefrenc for QBIA despitethe theoretical snpeiority of PBA. In countries that already have QBA regimes. regulated compamesmay resist adding PBA instruments because they want new compettors to have to comply with thesame QBA requirements as they did; also, they may perceve new PBA charges as "double payment"if they have already installed pollution control technologies.

The main reasons why PBA does not seem to work as well in practice as in theory are: (1)| informational and technical problems in setting appropiate market size; (2) imperfecions in makt

function; (3) political obstacles to setting high enough charges; and (4) the strong preference of manyregulators for QBA in light of commonly encounted rgulatory conswain and unceainties.Another reason is that by the tume most governments begn to regulate industrial pollution, severeXenvirnmental problems exist that call for direct mitigation measures better suited to QBA regimes.At that stage, governments may also want to use QBA insments to ban or serely restrict overallUl use and discharge of certain bighly toxic chemicals.

Comparing regulatory instruments - In summary

There are no ready formulas for selecting regulatory instruments; the best choice depends on thecircumstanes in a particular situation. It is impanrt not to allow "the best to become the enemy ofthe good" - there are no perfect solutions and any regime will require substantial evaluation andadjustment for many years.

The foliowing principles are emerging fom the expence of industialized countries duming the lasttwo decades, and the far more limited experience of developing countries:

1. The main question is bow - not whether - to combine QBA and PBA instuments. QBAwill probably contnue to serve as the basis for regulatig polution. with PBA serving as avaluable complement in many cases, especiaUly to reduce overlll program costs and to raiserevenues for fundin improvements in environmentl quality.

3 21The most significant differences are ones of national and- cultural style, such as whether the regulatory process tends to

be more adversarial or consensual.

13

2. Key factors in designing rgulations for polution management include:

a. availability and quality of information;

b. defining the size of the designated control region and its nahte, in terms of sourcesand environmental conditions; and

c. institutional capabilities of the responsible regulatory agences

3. One cannot automatically distinguish QBA and PBA based on the demands they place onthe resources of regulatory institutions and the regulated community. The diffent instrumenain each category demand varying degrees of administrve and xhnical sophistication.Successful implementation of any these instruments depends heavily on adequate instUtionalcapabilites for monitng and enforcement These must be supplemented by adequate reoord-keeping and self-monitonng of regulated sources, as well as the support of nongovernmentalorganizations.

4. QBA instruments have an advantage:

a. where certainty about environmental results is more important than certainty aboutI ~~~~~costs;

b. If pollutants are highly toxic (in vwhich case the goal will be to reduce or entrelyeliminate emissions as quickly as possible);

c. if severe envi prems already exi that require prompt control ormitigation measures;

d. when the is a relatively small nmlber of large, complex sources of polluion;

e. if thae is a need to respond quicldy to intemitt problems, such as cutting backsouce operations when weather conditions exacerbate severe health hzads from airpoUution.

f. Where violatos are govemment e nses that are not likely to respond to changesin pr-ce or other market pre es.

5. PBA instuments have an advantage:

a. where certinty about costs is more important than certainty about enviawmentalresults;

b. where the goal is to influenc behavior early, before pollution problems havebecome severe;

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1c. vith taxes and charges, to help i revenues (and sometimes influence behavior)where there are many small sources, especally if there is already an administrativeIsystm in place for idenifying those sources and reaching them;2

d. wnth tradable permits, to help inease compliance and reduce overall compliaecosts for pollutants that are not highly toxic if there is sufficient regulatoryadministrative capadty and-

- for pollutantsth tend to disperse unformly, there aze enough large and vaniedsous tD find significant diffences in coaftveness of reguloycompliance;

- for polutn that do not disperse evenly, internal trades ale possible betweensources with a common owna.

e. with subsidies. to induce shs in behavior or tecnology choice. especialy in theearly phases of pollution management programs.

i PST ~2: ERGULATING INDUSTRIAL, POLL,1ON IN BOLMA BACKGROUND

This section reviews:

- the legal and insfitutonal framework for pollution mnanagement in Bolivia;

- the mining seCtor, and

- other industial activities.

Leal and institutional framework for pollution management

Bolivia is following the geneal pate described above for evolving regulation of pollution

2 2For example, effluent charges and user fees for water areeasier to implement where there are municipal water and sewersystems; deposit-refund systems depend partly on coordinatingwith commercial merchants.

23Information about legal and institutional issues is drawnfrom the author's previous work in Bolivia for the JGF.Information about mining and industry is based upon the SESinterim report and Bateman memo listed in the bibliography. TheSES interim report focused on mining and industry in theAltiplano. The team's field work in early 1993 will cover othermining areas, most notably Potosi, and industrial activities inSanta Cruz and Cochabamaba.

malagemenL26 The Goverment adopted a new umbrella me ntl law in June 1992, the LeyGeneral del Medlo Ambiente (Environmental Law). The law reated a smallencoordinating agency, the Secretaia Nacional del Medio Ambiente (SENMA).

j SENMA is now in the early stages of preparing regulations on EIA. ambient environmental qualitystdards and polution managemenL These will be the first major regulatory efforts in these areas;there awe no existing requirments fbr EIA and ony a few scattered national and local requirmentsI regarding water quity, none of them implemented effectively. SENMA is receiving assistance withthese and reated legal activities fom the World Bank through the Japanese Gat Facility (JGF). MeJGF is a grant to help the Goverment shugth its env al legal and institutional framework.

^ in prepion for a World Bank environmental loan that will begin in mid-1993.

The Swedish Eni l Systems project for which this paper has been prepared is linked to aprospective World Bank Investment project for the industia and mining sectors. That proposedproject would provide for measures to mitigate pollution from industrial and mining activities.

In addition to ons abou technical measures, the SES project will include prefiminry| recommendations about necessary legal and instutional changes to improve pollution management

and ways to build upon existng requiremnts and institution capabilities. k will also probablyinclude suggestions for one or more pilot activities for near-term application, as well as longer-term

| strategies. SES team activities include field surveys of the mining and industial sectors, as well as anassessment of legal and instituton capabilities. based on research about relevant legal and economicsstems in Bolivia, and relevant inter onal expeience.

The SES project will be completed in approximately May 1993. This schdule should enable theGovemment to use the project results as an input for the upcomig JGF regulatory work on pollution

a management The author of this paper is involved with both activities and is assistng witha coordnaon

24Some of Bolivia's neighbors are also at the early stagesof developing pollution management programs with internationalassistance. For example, Argentina has recently created a newcentral environmental agency and plans to develop a NationalEnvironmental System. It is also conducting a hazardous wastemanagement survey of Buenos Aires Province and will beJ promulgating regulations under hazardous waste legislation thatwas adopted in 1991. Chile will be following a program tostrengthen its new National Environmental Commission and relatedI institutions that is similar to the work going on in Bolivia,including some focus on industrial pollution. Chile is alsoconsidering the possibility of using tradable permits to helpimprove air pollution problems in Santiago.

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The mining sector

The mining sector provides about 40% of Bolivia's national exprts. The sector has been undergoinga tansformation since 1985, when recession made tin mining less profitable. Ihere has been a shift tomore mining of otaer metals. such as cadmium and zinc, which involve morc serious polution tanmining tin; one important cause is increased use of reactive chemicals for processing, such as cyanideand mercuy.

COMIBOL, the national miniqg enrpise, plans to privatize or close down its remaining holdgs.There is a small number of mines partly owned by foreign investors who maintain reasonably high

g operting standards. including men safeguards. However. not all foreign owners have theawareness, means or will to operate at this level. There is also a substantial and gmwing informalsector of small-scale mining and artisana work that often employs youths and cbldren, as well asadults. hese activities are outside any govermental control and present serious social andenviromental problems.

Awareness about health and environmental problems associated with mining is limited and Bolivia haslittle local expertise. There are essentially no environmental requirments governing the mining sector.There is no clear, coherent framework of environmental monitoring dat although there is some datregarding a number of active and abandoned mms. There are no procedues for land reclamation orto prevent additional environmental contamintion after a mine is closed.

The new Environment Law refers to mining activities but does not clearly specify bow to alocatej regulatory responsibilities in this area The Ministry of Mining and Metallurgy wil be estblishing a

new environmental unit. The Ministry plane to promulgate environmental regulations under theMinig Code.

A summary of mainng problems rlated to health and envirnment include:

1. Natural resorce and landscape degrdation;

2. Use of limited water supplies (recyding only occurs where water for processing is veryUoted);

3. Discharge of wastewaters that are often acidic and conuminated with heavy metals;

4. Discharge of process effluent conminated with heavy metals and hazdous reactivechemicals;

5. Solid waste from mine tailings, waste rock, etc.;

6. Occupational health and safety problems (most serious in the infrmal sector, though aproblem everywbere except perhaps in some of the largest industnal operations);

7. Serious localized problems related to the informal sector, such as use of mercury for smali-scale gold mining; and

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8. Acual or potential conflicts ith other land uses, such as adjacen towns (there is often nozoning or other planning to segregate mining and civil acfivities25 and agricultue (forexample, in the Andacab-La Lava region souith of Potosi).

9. Leachg of heavy metals from waste piles contining high concerons of pyite.Mining activies expose the pyrite; the pyite can then combine wth oxygen in the air orwater to form sulfuric acd which laes out heavy metals.

Other Industdial actyidesI

a Major non-ming industi activities indude: cement production; metals and metal finishing; thepetroleum. pemxbemical, chemical and hamaetcal industries; lead batey production; textiles;leather tanning; plywood manufacture; edible oil production; and food and crop processing. Of these,petrleum refning ant food processing accounted for more man 50% of total ma tug out in1989.

The major industal regions are Cochabemba (responsible for about 113 of manufactring output i1989. largely due to the govemment-dominated petroleum refining industry) and Santa Cruz(about 114 of manufacuirng output in 1989. with privat sector acivities dominant). Mme third largestindkstial region is La Paz, also dominated by the private sector.

The SES team has not yet surveyed Cochabamba and Santa Cruz; this will be done in eady 1993.

SES surveys of the Altiplano found a there are:

- One large cement fr (no inormation provided).

- A number of smelis. Of five sta-owned smelters, only one is fairly active andGe?man bilaeral assistan is helping to improve it. The scatered pnvate smelters are toosmall to cae major enviromnental problems, although there are local problems.

- A variety of m ing peraons, mosty factories pdug for the local mtThese present a wide mix of conditions. Some ms have relatively new facilitiesthat probably could comply with basic envinmental requiements, such as restrictions oneffluent disharges, if they had an incentive to do so. Obstacles that they cite indude the lackof physical space to install additional equipment or processes for pollution management andthe futility of acting individuay when so many olhers do nothing. Also, te is no commonsewage system or other infrastruace or zoning arangements to facilitate industrial pollutionmanagement

In addition to the more mode mug facilities in tbe Altiplano, there are manvy o d

2"Mining in the Altiplano has contaminated large supplies ofwater that the Government had intended to use eventually for thewater supply in La Paz. Many of these mines are now abandoned.Information provided by Luis Prado, World Bank consultant(October 1991).

18

rdmnL often run by small producers. Some of these are highly polluting factories that are onlymarginally viable economically. The large informal industrial sector of microenteprises poses yetanother level of social and enviromental problems.

T Ibis section will first review some general pnciples for sefting priorites and designing progmams toregulate indusial pollution in Bolivia. It vwll t present tentative recommentions at two levels:

1. Basic activities and programs that can be implemented at least minimally under presentlimitations; and

2. More sophisticated progrms tgeted tward specific pollution prblems, to be developed|gradualy as information and national capabilities grow.

Genera! prindples

Tbis secfion first recommends some initial priorities for pollution management in Bolivia and thenreviews basic considerations for designing progams to regulate industia pollution.

Initial priorities

Tbe Government has very limited resorces for pollution mangemenL Ihareire, it needs to identifywhere it has the gratest possibility of affecting the behavior of industrial polluters to maximize publicbenefits. In the early stages, it is especially important to target some areas where modest progess isI possible to build credibility for the regulatory system Mhis is, of course, much easier said than done.However, one can derive some principles from t international expeience descibed in Part 1 of this

paper.

The gat oppouities will probably be wher indsral restructiring is akig place (e.g.,PIivatization of government-owned mining) and in any plans for stngtheng other industial sectorsWork on these areas should indude options for usig EIA (for new sources) and environmental audits(for existing sources) to help evaluate overall potential for increased enviromental efficiency. Thesereviews should include a careful watch for any relatively easy, cheap measures that can reduceenvironmental hazards.

2. The initial focus should probabWy be on large stationary surces that affect many people (orkey ecosystems) because of their location and thei volume and/or toxicity of pollutans discharged.Z

I26In countries with larger urban areas and more heavy motor

vehicle traffic than Bolivia, another possibility for earlyaction would be to introduce modest reductions of leadconcentrations in gasoline.

19

Large soures are easier to identify and regulate and offer the greatest potential pollution reductionsper source. If for some reason ths should not prove feasible as a first appach another possibility isto focus on clusters of medium or small sources with similar problems that are near each other and socould shae common resource recovery or waste treatment facilities.O It would not make sense to startvwith rying to regulate individual sources assocated with nicoenteprises and the informal sector. Itmight be difficult just to adequatey identify all such sources; efforts in this direction would probalyonly work as a component of a broader social and economic program.

3. Coordinate Industra pollution planning with municipal and ant luse planninp.

Some urgently needed improvements in the indsrial sector will probably depend in part ont strengtening public infa s for sanitation and waste management Eventually, the Govemnment

will need to pursue zoning or other mechanisms in some areas to separate industrial actvities fomresidential and commercial areas and grup tlem to facilitate provision of inhastructure and jointpollution management strategies.

Program design

1. The _ovemment should have sp_cfic _Rogam guac in mind as it selects reglato=yinsruimct.

Mem most importnt lesson from internatiol experience is that the is no set formula for selectingand combining regulatory instuments. Maximm effectiveness depends on: (1) carefully setting

j priorities; (2) undsing as much as possible about what can reasonably be accomplis givenlocal needs, opportities and cons;taint; and (3) flexible implementtion, with ongoing evaluationand feedback Thus, it is important for te Government to have a conceptual design for its pollutionmanagement programs before it begins developng regulations. This inuludes deciding how to spendmoney to be collected through fees or other charges reated to poDution management

bhere is not yet enough informaaion avalable to be able to recmmend how best to combine quanuty-based and pnce-based approaches in Bolivia Ihe Government should consider using some chargemechanism to support any major regulatory undertaking, given its fiancial restrictions; a prliminarycoonsidon Is what charges are possible unde existng legal and economic regimes. Pollutionchwges and user fees will probably be most readily applied in the near term, but other charge and taxmechamisms should be considered as apppiate. Tradable permits wil not be a realistic option untilthere is significantly more institutional capability and industry awareness, however, potentialapplications of this approach should be noted for future reference.

Adopting new regulations is a cumbersome process and difficult to change once the regulatons arefinal. Iherefore, as the Govenment begins to develop new regulatory requirements, oe.opion nighbe to delay final adoption of some roosed reuements until there has been a peiiod of study or

X27For example, the World Bank is lending fuLids for anindustrial pollution mitigation project in India that focuses onmedium-sized polluters.

20

!U

even expm l aition For example, there may be cases where a small number of companiesmight be willing to try out proposed requirements on a voluntary basis for a limited time, in order togain a beter understanding of how they would work Any such arrangement would call for theGovernment, Industry and other interested parties to agree upon the conditions for carrying out theactivity and evaluating the results.

2. AUl new proeani shonld build upoo eisting institutionatl infr2structures sand capailfics,.to the maximum extent possible.

For any proposed pollution management regulatory activities, the Govenunent should study how they.;ccan be stnuctured to fit best with existing institutional fuaimons and activities, hov. ,er limited, Ihis

will be less expensive than creating new institutional and administrative structures. Also. it will helpto increase enviromnental awaess and capacity in exisfting institutions, a critical factor to programsuccess. Another point to consider is whether ongOing donor-asisted projects could serve as the basisfor some of these efforts.

3. Lines, of ir'mtititional authority will bave to be clarifie

'Ibis should be a cetral aspect of regulatory doi because it may affect the way that regulationsshould be drafted to facilitate implementationL Most, if not all opeational responslbibities will have tobe assigned to sectoral national agencies or to departmental and local govermnent, in keeping withpoint #2 above. Also, SENMAs central and regional staff will be too small to manage theseprograms, although they may serve a critical role as advie and catlysts.

4. T'he prgrms will have to evolve tbghronea consltaftWve. consernsul prh

Xhe Government will not bave the manpower, economic, political or legal power to use enforcementaganst violators as an implementation tool, except in rare and extreme crc s . Bolivia has

ready been tryng to build a national consensus through development of the E meal Law andthe national environmental action plan. Tbis experience should offer a valuable base. althoughnegotiating detiled envirnmental requirements for important economic activities wiU bringdiscussions to a mom difficult level of specificity.

5. Timebes for Coliance should be in=Crmt_ald aisc tD increase the likehood ofcompliance and to reduce the need for protracted negotiations with individual sources in the earlyyears.

It is always diffcut to strike a satsfactory balance. Sefting ambitious goals that are wholly umealisticcreates an impossible situaon that wil demomalize participants and undercut the Government's

28For example, the German government is supportingimprovements at the Vinto smelter in the Altiplano and theJapanese government is funding a pilot activity to clean processwater at the Bolivar mine. The lessons learned from theseprojects could help with shaping regulatory programs, as well asimproving technical processes.

21

JR

credibility; seting goals that are too lax may fail to motivate Industry to reasonable efforts towardprogress.

How to set phased implementation goals dsould be negotiated with industrial organizations and otherinterested parlies. Ibis may extend the timetables, but can promote better chances of cooperation.Sevral U.N. organization?" can provide guidance on the experience of other comtries, and sometimestechnical assistance, too.

6. uiildlnp a roo Information ba_e is L

The shortage of baseline data on enviromental poUution offers an opportunity to establish guidelinesfor information gathing and management that will maximize the availability of useful, compatiblemonitoring data. As part of its work on EIA and pollution management, te Government should makeIt a priority to improve enviromenl laboratoy capabilities and to develop some basic guidelines onsampling and monitoring that are suited to pmactical limitations in Bolivia. lbese should becoordinated with international donors 2S much as possible. since they will be funding much of theinitial field work- It may be worth considering whether to devdop a basic information sheet thawould facilitate entering data into a centra computer system, perhaps to be maintained by SENMA aspart of the new national environmental information system mandated by the Environmental Law.

Besides gathering infonnation about enonmental data, the govemment will also need to monitor andevaluate the effectiveness of its regulatory efforts. This should be kept in mind when designiagprograms and planning for any information reporng qirements.

7. Ecation shou_ d be a centr_ aacm =

Govemment and industry, with inpt fom NGOs, will be the major players in developing regulatoryrquir . The Government should also seek to cooperate with univerAsities and research centerswhere they can contribute to building baseline data, and monitorag and reseah capabilities.

All actors in the negotiation and implementation of pollution management requirements will neededucation and often mining to enable them to canry out their sibilities. Ihese new programswill generate a need for specialists in many fields. and higher education inDSitUtions should beencouraged to belp supply this ned They can also help to orient the broad range of professionalswhose work will touch on these areas.

Building awarens in the general public can be done both thmugh public education and throughgovernment outreach and the communications media Publicity is a two-efged sword, and whilegovernments and industry are often udestandably reluctant to broadcast informaton about problem

* areas, public concern is often the most powerful incentive and support for improving pollution

management.

29For example, the U.N. Industrial Development Organization,the U.N. Industry and Environment Programme, and the World HealthOrganization. The International Environment Bureau of theInternational Chamber of Commerce can also be a valuable sourceof information.

22

Bade 2ctlylde and aproghm

These a broad-based wdons that can help to lay Ihe grundwork for be e tewd regulatoryprogmms. Suggestions for how the SFS team can help follow each item in this section and thefollowing one on targeting morn specific problems.

* ~~~1. Rtbish amhient evironmenta quaity Pogis to sarve my, a framework for designingpollution mneent rgms and evaluntin envimnmnental q_ality Ihis is one of the activities.1 scheduled for JGF assistanmc The paamees selected sould be for contaminants that can prDvide abroad genal picture of envi al conditions and be monitored reltively easily. hese ambient

w goals and related environmental parameters may need to vary regionally to reflect different conditionsand resource uses in differet parts of Bolivia.

How SES can help: Recommend pollutants to select for ambient standards and/or provide availableinformation that can help in making a selection.

2. Consider whether and if so. how to r re phad compliance with ambient standards forI sourcesg that 2re not yet subject to more specficenioetareiemt.

IThis will require a closer look at the size and range of industrial activities and what means areavailable to improve pollution managemenL If this appears to be a feasible approach, it should bepossible to develop a fairly simple matrix, with the largest, most polutng sources on the tightesttimetable and smaler, less polluting sources given more leeway.

This would not be intended to provide comprehensive coverage of all pollution sources Rather, itwould serve as a -regulatory safety net" for important category of sources to begin raising awarenss

l and taking at least minimal steps to begin improving pollution management. It may be appropriate insome cases to begin with requrements for monitoing and facility reviews, and then move fiom thereto perfmance targets or other requirements

HIowSES can help: Suggest how to categonize industries and sources - which should be included inthe first round of generic regulation, what sort of matrix to establish, etc.

3. Consider whether and if so, how to esalish a basic pollution charge that would generaterevenues to help fund these efforts and peraps encourage better complian

Any such plan should be clear about which institutional authorities would collect the fees and how themoney would be spent Use of the money should be closely tied to pollution management efforts. Itwill probably not be possible to set fees high enough to influence source behavior, though this

I possibility should be considered. The most promising way to do this might be to target major sources,citber through a graduated fee system or as part of the more targeted regulatory programs discussedbelow.I How SES can help: Suggest how to design such a program; for example, which sources to chaqe,whether fees should be graduate which Institution(s) shoud collect then, and how the money should

X be spent

23

I

Pro nas targete toward spefc pollution probleXm

This section recormmtnends possible actions that the Government might take in beginning to developmore targeted pollution management activities.

i 1. The first piority should be to work on prvatzatlon of the mining sector.

IThe mining sector Is central conoically and mines are a major source of pollution. Ibe comingrestructuring of tis sector offers a unique opptity to inject better envirnmental management Ifthe Goverment misses this opportuity, it will be much more difficult to make improvements later.

n How SES can helr: Ihe SES team should work closely with the Ministry, COM[BOL and SENMAto identify possible steps to be taken as soon as possible. (rhe few well-operated mines with foreign

I ownerShip and perhaps other private mining companies coudd also provide valuable advice.) If theMinistry is close enough to establishing its new environmental unit, this process could be broadened toinclude some planning for the new unit.

2. Recommend issues and problems that can help the Govnment shape its conceptualframework for industinal pollution imnagement- Itilue ugsin about possible comhinations of

quantiy-based and pfice-based appranches

As aLready discussed, it is important that the initial regulations be designed to fit likely directions offeasible implemenation. The SES project should be very helpfiul in shaping the JGF regulatoryactivities that will follow immediatey aferwards.

How iES can help: Proide ommendations and guidance for the JGF work on suggested priontiesa for drafting regulations, including areas where subaially more groundwork (such as ifmationgatering and institiona carifications) is needed before draffing regulations. Besides more generalquestions about polution management, the team shoud address: which regulatory istuments may bemost appropriate for diffeent problems; how to set protities for application of the new EIArequirements to industral facilities; and whether and how to intmduce environmental auditing as abasic pollution management tool.

3. Identify a smal number of modest pilot or phased activities to help design and/orimnlement ealulalorv s .

The emphasis shoud be on "smal" and "modest" No centra ogovernment unit should have the leadon more than one or two activities, and no local institution should have the leaI on more than one.Tbe scope of each activity should be suited to the available institutional capacity to "'.sign and,administer iL Planning should take ino account the need for comrination and support from SENMAor any other centraly placed istitution that is involved.

hee is not enough information available yet to make specfic suggestions here for pilot activities.Ihe government should consider both QBA and PBA instruments, as seems most appropriate in eachsituation. Examples of the types of activities to be consdered might include:

- priorties for addressing different categories of mining problems associated with active orabandoned mines.

24

- a category of industrial sources or a cluster of industrial activities thmt would be sutitable forearly work on better pollution nanagemeuL This might imclude one or two locations wherethe pollution work could be coordinated with more general improvements in municipalinfrastructure.s

- whether there is sufficient danger of a major industrial accidet in any area to wawrantmaking emegency prparedns an eady focus 31

3 - how to integrate occupaonal health and safot ilto industal en ent projects.

: lEHowS-annel: Suggest actual activities, if the has be enough information and ntact viththe appropriate insatutions. Otherise, suggest a preimiary list of activities vith reom onson what additional information is necessary to develop specific proposals.

4. IdentifE any crnteconomic. policies that should heevaluated for their impat n

A common example is subsidied water and energy prces that discourage conservaion of scarcenahn resoures.

Ho.w SES can help: This is not a major focus of the SES project, but the team should note anysuggestions in this area

J

30For example, for effluent discharges, one could explorethe possibility of installing settling ponds that would feed intoa municipal wastewater collection system.

311f so, the Government should consult with the U.N.Industry and Environment Office about its worldwide program on

* Awareness and Preparedness for Emergencies at the Local Level.

25

B3RMJGRAPHY

Larry B. Barett, Jorgen Magner and Henrik Dr, cxnmc Incentives _tuft Id=ronmcnS Pej Report to the World Bank (June, 1990).

Deborah Batemnn Backrond on the Bolivin Mning. Aicuture and anufaring Seetors worldBank. LA3TF (Draft. Oct 20,1992).

.; Ruth Gree(pa Bel, Ind_sral PriVati7ation an the Enviment i oLBand 22 Envirnmental LawReporter 10092 (Feb. 1992).

n Janis D. Benstein, ALTSNATIVE APPROACHES TO POI I j MON COR ANDMANAGEMAENT. Regulator andEaonornic Instruments. Urban Management Program DiscussionPaper Series, No. 3, UNDP, World Bank & UNCHS (April 1991).

Gunnar S. Eskeland and Emmanel Jimenez. CHOOSING POLICY INSI R UMNI MoRPOLLUIMON CONTROL: A Revii.w Wodd Bank, Country Economics DepL, Working Paper No.WPS 624 (March 1991).

Faith Halter, May 12 Mssion to Bolia for the Lga Com nt of the Japanese Grant Facil| Memoranum to Kanella Vaiades, Wodd Banlc (June 12, 1992).

Fith Halt T mJ ENVIRONMENTAL MANAGEENT IN DEVELOPING COUNTRIES, 223-54, OECD

Development Centre (1991).

Arik Levinson and Sudhir Shetty, _ EUrban Air Pollu__on. I" ABZele Mexico City. Cubatao and Ankara background paper for the 1992Wotld Development Report, The World Bank (Aug. 1992).

Bekir Onursal, rn inmentaLft rian1ing- World Bank (April, 1992).

Swedish Environmental Systems, BOLIVA: Industti2l Polufon uitgalon !hdy- Prog= RC=(De. 1992).

TM. Teitenberg, c _norttnentq fbrF _ _on_e_ Oxford Review of Econ Policy,Vol. 6, No. 1, 17-33 (1990).

David Wheeler.E ve. Industry and Energy Dept. Working Paper. Inds. Series Paper No. 60 (Jan. 1992).

(October, 1992).0989

World Bank, W Cha3. Oxford University Press (1992).

26

APPENDIX IV.2

SECrORAL ENVIRONMENTAL ASSESSMENT OF THE MINING AND INDUSTRLALSECTORS IN BOLIVIA

t INSTRUMENTOS ECONOMICOS APLICABLES A LA GESTIONAMBIENTAL DE LA MINERIA E INDUSTRIA

by Marthadina Mendizibal de Finot

I

I

2

.1INDICE

INTRODUCCION

PRIMERA PARTE: El contexto econ6mico, legal, administrativo y politico para laBesti6n Ambiental

Pag.1. Marco econ6mico

1.1 La politica econ6mica global ..... 41.2 El sector externo 51.3 La poliftica del sector industrial. 61.4 La poliftica del sector minero .... 6

2. Marco legal

2.1 Ley de Inversiones ............... 72 2 El C6digo de Minerfa ............. 82.3 La Reforma Tributaria ............ 92.4 Reglamento sobre Lanzamiento de

Desechos lndustriales ........... 122.5 Los Bienes Nacionales en la Cons-7 tituci6n Politica del Estado .... 12

3. Marco Poiftico .13

4. La politica ambiental 14

4.1 El nivel nacional 144.2 El nivel departamental 144.3 El nivel local 15

SEGUNDA PARTE: Instrumentos Econ6micos Vigentes

1. Descripci6n de incentivos y decincentivosde orden general .16

2. Instrumentos vigentes a nivel nacional 17

2.1 Instrumentos vigentes en la industria 172.2 Instrumentos vigentes en la mineria 19

3. Instrumentos vigentes a nivel departamental 21

3

4 Instrumentos vigentes a nivel local ..... 21

TERCERA PARTE: Instrumentos basados en el mercado aplicablesa la Gesti6n Ambiental

1. Consideraciones para la selecci6n deinstrumentos econ6micos 23

2. Adaptaciones a partir de los instrumentoscontemplados en las leyes vigentes ... 25

3. Instrumentos econ6micos: posibles aplica-ciones ...................... 28

3.1 Instrumentos para el control de lacontaminacidn de aguas y superficie 28

3.1.1 Cargos efluentes 283.1.2 Cargos por uso 313.1.3 Permisos negociables 333.1.4 Subvenciones 353.1.5 lncentivos para cumplimiento 37

3 3.2 Instrumentos para la protecci6n deaguas subterrineas - 39

3.2.1 Subvenciones 393.2.2 Incentivos para el cumpli-

miento 40

3.3 Instrumentos para el control del aire 40

3.3.1 Cargos por emisiones 413.3.2 Cargos por uso, por productos

y cargos administrativos 423.3.3 Creaci6n de mercados 423.3.4 Subvenciones 443.3.5 Incentivos para cumplimiento 44

3.4 Instrumentos para el Manejo deDesechos S6lidos 44

3.4.1 Cargos por eliminaci6n 443.4.2 Cargos por productos 453.4.3 Subvenciones 453.4.4 Sistema de reembolso y de-

p6sito .47

4

4. Otros instrumentos a considerar ......... 49

CUARTA PARTE: Procedimientos para la Adopci6n de Instrunmentos Econ6micos parala Gesti6n Ambiental

1. Tareas para el plazo inmediato .......... 492. Adopci6n de instrumentos a nivel nacional 513. Adopci6n de instrumentos a nivel local.. 514. Aspectos institucionales ................ 53

4.1 El FONAMA como responsable de losInstrumentos Econ6micos .......... 53

4.2 Apoyo a instituciones ............. 54

CONCLUSIONES .50

Lista de legislacion mencionadaBibliografia consultada

xxx 0 XXX

l

!

I

5

INTRODUCCION

La Secretarfa Nacional del Medio Ambiente, SENMA. estd abordando la reglamentaci6n de la LeyGeneral del Medio Ambiente. La consideraci6n de los instrumentos economicos complementariosa las regulaciones que seran incorporadas en esta reglamentaci6n. exige la consideraci6n del marcoecon6mico, administrativo, legal y polftico vigente en el pars.

El marco econ6mico dentro del cual deberS encuadrarse la Estrategia de Gestidn Ambientat adisefiar, estd definido par la Nueva Polftica Econ6mica (NPE) adoptada en 1985. que seracontinupda por la Estrategia Nacional de Desarrollo, la misma que define la orientaci6n de lasreformas que debera adoptar el pais en el corto. mediano y largo plazo. Es importante considerarque esta Estrategia no es inflexible. pues ha previsto ia incorporaci6n peri6dica de todas lasreformas que se considere necesario siempre y cuando estas sean coherentes con el modelo. Enese entendido, los instrumentos econ6micos a adoptar tienen amplia cabida.

La adopci6n de incentivos debera orientarse a corregir :as imperfecciones del mercado, y particu-larmente los costos sociales que normalmente no son previstos por los agentes privados. Losestimulos econ6micos deberSn justificarse como instrumentos dirigidos a internalizar dichos costos,e inducir conductas para corregir tales imperfecciones, asi como a recaudar recursos para financiarel tratamiento colectivo de ia contaminaci6n.

En esta perspectiva, el presente trabajo constituye una etapa preliminar, que apunta a sentar lasbases para una propuesta de instrumentos basados en el mercado, que apoyen a una politica deregulaci6n ambiental.

Para ello se presenta los diferentes instrumentos, sus limitaciones y posibilidades de implementa-ci6n luego de una adaptaci6n. Esto no significa implementar todos a la vez; De lo que se trata, esde establecer las bases que permitan la elecci6n de instrumentos en funci6n de los problemas quese pretende enfrentar, para lograr la mejor combinaci6n de instrumentos que apoye la aplicaci6nde regulaciones ambientales.

En este sentido se describe en una orimera parte, el marco econ6mico, legal y politico dentro delcual habra que situar los instrumentos econ6micos. Asi, se presenta las principales orientacionesen materia de poliftica econ6mica que influiran en la definici6n de los instrumentos. De igualmanera. se describe los instrumentos legales vigentes dentro de los cuales tendra que enmarcarseIa estrategia a diseiiar. Paralelamente se hace una presentaci6n muy breve del contexto politicoen la actualidad y en el corto plazo, y luego, se describe las polfticas ambientales adoptadas enlos diferentes niveles en relaci6n al tema.

} En una segunda oarte, se describe los incentivos y desincentivos econ6micos que condicionandirecta o indirectamente el comportamiento en relaci6n con el media ambiente en los nivelesnacional, departamental y local.

En una tercera varte y luego de algunas consideraciones para la eleccidn de instrumentosecon6micos, se describe la posibilidad de cada uno de los instrumentos disponibles, en funci6n dela experiencia de otros paises, analizando en cada caso sus posibilidades de implementaci6n, lasadaptaciones o condiciones para su adopci6n, y el tratamiento individual respecto al procedimiento

4

6

para su establecimiento.

En una cuarta Darte se describe los procedimientos administrativos a seguir para lograr su vigenciaen el pais, y los aspectos institucionales complementarios. Finalmente se incluye algunas conclu-3 siones del trabajo.

En la perspectiva de velar por la correcta interpretaci6n del contenido del presente trabajo. resultaoportuno aclarar lo que la autora entiende por la problematica ambiental especffica de la minerra.'Esta actividad tiene una doble connotaci6n ambiental. La nrimera es la que deriva de la contami-naci6n de los recursos que utiliza y en los que descarga sus desechos y la degradaci6n del entornodentro del cual actua.

La segunda connotaci6n se refiere al agotamiento de los recursos de los que vive la regi6n dedonde estos son extrardos. agotamiento que conlieva - de no evitarse este fen6meno oportunamen--I te-, el riesgo de su decadencia y muerte como centros poblados. En efecto, si bien tales recursosno pueden ser conservados, en carnbio sf pueden contribuir efectivamente a la conservaci6nambiental. Esto significa, orientar los beneficios que genera la exportaci6n de los recursosminerales, hacia el desarrollo de alternativas econ6micas que permitan a los centros pobla-dos/regiones que viven de tales recursos, sobrevivir al agotamiento de los mismos.

En la medida en que los beneficios de las actividades mineras contribuyen al proceso deindustrializaci6n y/o a la buisqueda de opciones altemativas, en esta medida se justifica el costoecol6gico que se deriva de las actividades extractivas. Esta es la posici6n asumida en el presentetrabajo.

I

U'Estas ideas han sido desarrolladas en diversas publicaciones de la autora, lo mismo que en

conferencias sobre el tema.

7

PRIMERA PARTE: EL CONTEXTO ECONOMICO, LEGAL Y POLITICO PARA LA GESTIONAMBIENTAL

1. MARCO ECONOMICO

1.1 La portica econ6mica global

La Nueva Politica Econ6mica establecida por D.S. 21060 en 1985 determina una nuevaorientaci6n de la economra, que marca el paso de una economia altamente proteccionistaa un modelo de liberalizacifn de los mercados internos tanto de bienes como de servicios,asr como la tendencia a una mayor apertura hada el exterior. Se sienta con ello las basespara lievar a la economba boliviana-hacia un esquema de libre mercado donde los preciosson fijados a traves de las fuerzas de oferta y demanda.

Este D.S. establece un nuevo ordenamiento al suspender todas las subvencionesexistentes, tasas de fomento, lineas de credito preferenciales, y en fin, todas las formasde tratamiento preferencial que hasta entonces tenia el sector productivo coma estimulopara sus actividades, y de los cuales se hizo en la prictica un uso prebendal y abusivo.

La Estrategia Nacional de Desarrollo recientemente publicada2 tiende a profundizar lasreformas introducidas en 1985, es decir:

3 1 Basa todo el quehacer econ6mico en la actividad privada, lo que implica unadrastica reducci6n de la injerencia estatal en las actividades econ6micas, laborales.empresariales, y en la suoresidn de norm as aue limitan la oarticioaci6n del sectororivado. En todos los casos, la invervenci6n estatal debera ser concordante con lanaturaleza del mercado.

13 Las reformas se orientan a profundizar los elementos de cambio estructural delprograma econ6mico y social: descentralizacidn v modernizaci6n del Estado paraque este sea compatible con una economia de mercado.

13 Las Reformas se orientan tambien a consolidar la instituci6n del mercado comoel mejor asignador de recursos. Pero, al reconocer que algunos mercados son imper-fectos, se define uno de los roles del Estado, de introducir todas las correccionesnecesarias.

1.2 El sector extemo

El modelo prioriza la aplicaci6n de una politica de promoci6n de exportaciones, quepermita iniciar un crecimiento sostenido del sector exportador nacional. En estesentido:

;REPUBUCA DE BOIIVIA. IAnutui. de P_wiwrinie y Cowinad6n Emtrat.g. Ncindl de De"ouwlo: Un hInrmnto pwa la Conc'wteMn. La Paz. 1992

JR

8

t Se ha logrado unificar el tipo de cambio para hacer competitivas lasexportaciones mediante la subasta de divisas. Se ha eliminado la mavorra delas restricciones cuantitativas y se ha adoptado un arancel uniforme nara qasirnDortaciones (10%). que recientemente se ha rebajado al 5% para losbienes de capital.

3 La Estrategia Nacional de Desarrollo propone mantener una lasarancelaria baia para promover la reasignaci6n eficiente de los recursos, deta! manera que la producci6n nacional se ajuste a los principios de eficienciay ventaja comparativa para competir en el mercado interno y externo. SesePiala tambi6n que el manejo arancelario no debe dejar de considerar losimpactos fiscales.

13 Las exportaciones no tradicionales3 son estimuladas gracias a la politicaI de tipo de cambio y a estfmulos tributarios (10% de credito fiscal primeroy draw back despues). La politica de reintegro planteada en la Estrategia deDesarrollo sugiere profundizar el regimen de promocifr, perfeccionando laI devoluci6n de los aranceles emergentes del Gravamen Arancelario Consc-lidado (GAC) y del Impuesto al Valor Agregado, asi como estableciendo ladevoluci6n del impuesto a las transacciones.'

1.3 La politics del sector Industria

La Nueva Politica Econ6mica marca dentro de este sector, el desarrollo de la activi-dad en el libre mercado, reemplazando el modelo de sustituci6n de importaciones,por uno de libre competencia como regulador de los precios. Esto tuvo un prinnerimpacto importante para el desarrollo del sector, y que emergi6 del levantamientode todas las medidas de tratamiento preferencial.

La Estrategia plantea la adaptaci6n a las nuevas reglas del juego de la economfainternacional, a fin de alcanzar eficiencia y competitividad en base al aprovecha-miento de las ventajas comparativas. Esto supone:

0 La modemizaci6n de la industria, a fin de viabilizar la transferencia detecnoloaia, a traves de inversiones de riesgo compartido (joint ventures)5

entre empresas nacionales y multinacionales, e inversidn externa.

1 Evitar Droteper a las industrias que por su retraso tecnol6gico ylo

Enune mtst figuruan rcrce nwuales quo debwan am _dmmoda a travds de p[ticS do ctnervoci6n. toles Carno to rnoden. cuoram y productoS do laI diyonidod b;ial6co

Todo ollb eS plIntoado an ml Poyoeto d Lay de Ezpertacions% actuaolen n Considerodin en *I Conarmo Naoci l.

5EI contrato de riesgo compartido o 'joint venture", consiste en la asociaci6n temporal de dosempresas en la perspectiva de explotar un recurso.

l ~~~~~~~~~~~~~~~~~~~~~~9

ausencia de capacidad empresarial, no pueden competir en el mercadointemo ni externo;

1 La b6isqueda de mecanismos que contribuyan a la superaci6n de laobsolescencia en el sector, mediante la reconversi6n de las industrias v suorientacifn hacia la exoortaci6n:

13 La irormoci6n de iniciativas de innovaci6n a partir de las propiasempresas.

1.4 La politica del sector Minerla

En este sector, el gobierno busca las condiciones y mecanismos para la atracci6nde capitales de riesgo privado, nacional e intemacional, pues se considera que laminerha estatal no tiene posibilidades de efectuar las inversiones de gran magnitud.Ciertamente, en lo relativo a la protecci6n ambiental, la minerfa estatal no esta encondiciones para asumir esta responsabilidad, raz6n por la cual se pretendeincorporar en la minerfa nacionalizada los contiatos de riesgo compartido y dearrendamiento.

Las poirticas adoptadas en 1985 han supuesto profundas y drasticas medidas deajuste estructural, algunas de ellas dramaticas en el contexto social. A partir de5 entonces, todo tratamiento preferente a la minerfa fue levantado. Las polfticas seorientaron a los siguientes prop6sitos principales:

13 Evitar el colapso de la minerfa tradicional, preservando su base producti-va, a traves de su reactivaci6n Esto supone abrir espacios a la inversi6nnacional y extranjera privada, capaz de incoroorar tecnologia y capacidadempresarial mediante la conformacion de asociaciones de riesgo compartidoentre capitales privados y empresas estatales;

3 Generar un proceso de exoansi6n v fortalecimiento del sector a nivelesacordes con el potencial mineral6gico del pais, en condiciones de rentabili-dad y competitividad;

13 Eliminar el intervencionismo y proteccionismo estatales;

0 Establecer lineas de financiamiento aprooiadas para la mineria yprogramnas de asistencia tecnica para la mineria chica y cooperativas.

La Estrategia Socia Econ6mica seniala que las inversiones puiblicas se dirigiran en loque respecta a la mineria, a proyectos de infraestructura de apoyo al sector mineroen las actuales zonas de explotaci6n.

2. MARCO LEGAL

4

10

2.1 La Ley de Inversiones

En septiembre de 1990 se aprob6 la nueva Ley de Inversiones que se orienta aestablecer reglas de juego claras, estables, transparentes para la inversi6n privadaI nacional y extranjeras. Esta Ley garantiza la propiedad, la libre remisi6n de utilidadesal exterior, capitales e intereses, dividendos y regalras, la libertad cambiaria y latransferencia tecnol6gica. De igual manera prohlbe las nacionalizaciones sincompensaci6n, aarantiza un regimen tributario estable en el larco Dlazo y simplificael proceso de aprobaci6n de inversion externa. En fin, determina los seguros deinvcrsion y el arbitraje internacional para las controversias.

2.2 La Ley de Acutalizaci6n del C6digo de Mineria

La principal contribuci6n de la Ley No.1297 de 199 1, ha sido la eliminaci6n de losimpuestos a la producci6n y a las exportaciones, y su sustitucion por un regimenimpositivo unico y general. Este iiltimo consiste en un impuesto del 30% sobre lasutilidades netas anuales. y un impuesto complementario equivalente al 2,5% sobreel valor neto de las exportaciones o ventas internasP.

Con relaci6n al impuesto complementario del 2.5%. 6ste se paga s6lo cuando nose lega a contar con utilidades o bien, cuando el 30% aplicado sobre la utilidadresultante es inferior al monto equivalente al 2.5% aplicado sobre las ventas netas.3 Esto significa que en caso de no contarse con utilidades o si esta es demasiado bajaen relaci6n a las ventas netas, el impuesto necesario que debe pagarse es el de2.5% sabre las ventas netas, coma mfinimo.

Asimismo, para el caso de la Comercializaci6n de minerales, esta misma Leyestablece el pago de todos los impuestos establecidos en la Ley 843 de 1986, conexcepci6n del impuesto a Ia Renta Presunta de Empresas y el Impuesto a Ins Tran-sacciones, en el caso de comercializaci6n de minerales o metales en el mercadointerno.

Dentro de este nuevo sistema, vigente a partir de octubre de 1992, se estipula quetoda empresa nueva conformada a partir de esa fecha deberS ingresar al regimende utilidades de 30%. con el impuesto complementario del 2.5%. En cuanto a lasempresas ya existentes, estas pueden optar por el pago de regalias o bien por el im-puesto sobre la utilidad. De esta manera el C6digo preve la gradual desaparici6n dela 'regalfa 7 hasta 1999, lo que surge de la necesidad de uniformizar la imposici6nen un solo impuesto, y para forzar" a que las empresas mineras cuenten yactualicen sus estados contables.

3 Tales disposiciones tributarias simplifican el sistema impositivo para el sector y

Art,. I IB. 9 dl C6digo de Minwb6 1991.

Lo rgoNga conuat on uns paicipacidn do In rggiones prosetin_ dd wIdo y subsuslo on *I producto dotiaa. v * oients a finndciar obra de dsowolo* favor de Is rrismnn of uiatom de dce:o to ban on Is utldad pr_maw b cudl se define como I dforana.t lo eooiizacin alkid menve 1 co to pr nutoVIOs goso do roaftmcifn me Cdtim crno un prcmntajm do Is codrzmdon ofiil.

1 ~~~~~~~~~~~~~~~~~~~~~~~~~11

pretenden incentivar de esta manera la inversi6n y reinversi6n extranjera.

Otras modificaciones de esta Ley al C6digo Minero anterior se refieren a:(a) Lareorganizaci6n y modernizaci6n del Servicio Nacional de Catastro Minero; (b) ElI establecimiento de lineas maestras para la comercializaci6n de minerales para queesta se efectije con mis agilidad; (c) La restricci6n a las personas individuales ocolectivas extranjeras para la adquisicidn de concesiones mineras dentro de los 50km de las fronteras internacionales; ( (d) El reconocimiento dentro de la divisi6n dela industria minera del pais a la mineria cooperativizada; (e) La autorizaci6n aCOMIBOL a suscribir contratos de arrendamiento, "joint ventures' y otros, asf comoa conformar sociedades de economra mixta; (f) La legislaci6n acerca de loscontratos de riesgo compartido e incorporaci6n de disposiciones sobre yacimientosde oro, piedras preciosas, semipreciosas y similares; (g) La ratificaci6n de la facultadde los productores de oro para exportar su producci6n o venderla al Bancc Cewrrai,a firmas comercializadoras o a fundidoras legalmente autorizadas, y la *acultad decualquier persona para poseer oro fisico sin ninguna restricci6n legai.

2.3 La Reforma Tributaria

La Reforma Tributaria establecida en 1986 a traves de la Ley 843 es el instrumento legalde aplicaci6n obligatoria en los niveles nacional, departamental y local; todos los instrumen-3 tos a definirse posteriorrnente a esta Reforma tendran que situarse dentro del marco deesta Ley.

Esta Ley establece el ordenamiento de los impuestos. que en definitiva son los que seseniala en el resumen que se consigna a continuaci6n:

(a) Impuesto al valor agregado (IVA), aplicable a las ventas de bienes muebles,contratos de abras de prestacion de servicios. y a las importaciones definitivas.

Dentro de este regimen del IVA se incluye:

Credito fiscal.- Se trata de una deuda en favor del contribuyente, cargada yreconocida por el Estado. cuya utilizaci6n se limita sin embargo. a deducir losmontos de los impuestos a pagar. Para computar el credito fiscal se toman encuenta s6lo las actividades que se vinculan con las operaciones gravadas.

Excenciones.- La Ley sefiala como objeto de excenciones tributarias al IVA: (***)9,

importaciones realizadas por personas y entidades o instituciones que tengan dichostatus de acuerdo a disposiciones vigentes, convenios internacionales (...). y

'Sin embargo se faculta a las personas naturales o juridicas nacionales que poseen concesionesmineras, a suscribir toda clase de contratos de servicios y de riesgo compartido con personasjuridicas o naturales extranjeras.

Ibtor4mgw nm, o10.

12

mercaderias que introduzcan de bonafide (...)

Notas de cr6dito negociables.- El Draw Back (antes Certificado de ReintegroArancelario. CRA). se refiere al reintegro de los impuestos pagados, una vezrealizadas las exportaciones.

Aquf hay que tener en cuenta sin embargo que la solicitud de notas de crdditonegociables por parte del exportador determina que el monto solicitado no puedeser considerado como credito fiscal pera su compensaci6n, en caso de ventas enel mercado interno.

(b) R6gimen complementario 0 impuesto IVA

Es el Impuesto sobre el ingreso de las personas, provenientes de la inversi6n decapital. del trabajo. rentas. C...)

-1(c) Impuesto a Ia renta presunta de las empresas

Es el Impuesto sobre el patrimonio neto (activo menos pasivo) resultante al cierrede cada gesti6n anual.La Ley establece como sujeto de exenci6n:

(a) Actividades no comerciales o industriales propiedad de organizaciones sinfines de lucro,(...)

(b) Mutuales y sociedades cooperativas de ahorro y prestamo para lavivienda;

5c) Sociedades cooperativas de servicios publicos.

Asimismo la Ley preve que 'cualquier modificacion posterior que altere lascondiciones que fundamentan la formalizaci6n de la excencion debera ponerse enconocimiento de la Administraci6n Tributaria".

La Lev establece que se podria conceder la excencion de impuestos sobrepatrimonio, siempre que se refiera a activos no computables, es decir:

- saldos pendientes de pago de accionistas- saldos acreedores del dueino a socio (excepto que dichos saldos provengande operaciones efectuadas con la sociedad en condiciones similares a lasque pudieran pactarse entre partes independientes).

(d) Impuesto a la renta presunta de propietarios de bienes

InmDues anual a la groDiedad rural.-

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Excenciones.1 (a) Areas clasificadas como incultivables por la reforma agraria

(b) (..), campos deportivos

(c) Granjas y estaciones experimentales de propiedad del Estado y de ONlGs.

(d) Areas calificadas como reserva ecol6gica y las destinadas a la preserva-ci6n de cuencas hidrogrdificas

(e) Otras tierras de propiedad del Estado

ImDuesto a los inmuebles urbanos.-

Excenciones

- Inmuebles de actividades no comerciales ni industriales propiedad deasociaciones, fundaciones, o instituciones no lucrativas

(f) Impuesto a Ins transacciones

Este impuesto es aplicable al comercia, industria, profesi6n, oficio, negocio, alquiler3 de bienes, obras y servicios o de cualquier actividad lucrativa o no.

(g) Impuesto a los consumos especificos

Se refiere al impuesto sobre la Yenta de bienes muebles, importaciones definitivasde bienes no necesarios (bebidas alcoh6licas, cigarrillos, perfumeria, joyasl.

2.4 Reglamento sobre Lanzamiento de desechos industriales en cuerpos de agua

Varias instituciones han participado en el estudio que ha desembocado en lapreparaci6n de las Normas de Diseho para la Elaboraci6n de este Reglamentoaprobado por el Ministerio de Urbanismo y Vivienda en 1990. De acuerdo al mismo,todas las industrias existentes o por establecerse en el pats. estan en la obligaci6nde cefiirse estrictamente a lo estipulado. quedando las entidades competentes(P.efecturas, Alcaldias y Municipios) en su correspandiente jurisdicci6n. a cargo deexigir el cumplimiento de este Reglamento, antes de otorgar o revalidar las licenciasy operacidn y funcionamiento.

El Reglamento incluye parametros maximos admisibles para la descarga en cuerposde agua, descargas en los cuerpos superficiales, descarga al sistema de alcantarilla-do sanitario, descarga al sistema de alcantarillado pluvial y disposiciones comple-mentarias. Tambien se refiere al procedimiento administrativo para la autorizaci6npara el lanzamiento de residuos industriales, y el funcionamiento de las instalacio-

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nes.

2.5 Los Bienes Nacionales en Ia Constituci6n Polftica del Estado

De acuerdo al Art.136 de la CPE. los bienes nacionales son de dominio originario delEstado. 'El suelo, y el subsuelo con todas sus riquezas naturales, las aguaslacustres, fluviales y medicinales ast como los elementos y fuerzas ffsicassusceptibles de aprovechamiento". Sin embargo, la CPE distingue el dominiooriginario, del domirnio titil. y se deja a las disposiciones de la ley regular los casosy las formas en que el Estado puede ejercer este uiltimo dominio.

En la dItima parte de este mismo articulo se dice que la ley establecera lascondiciones de ese dominio as( como las de su concesi6n y adjudicaci6n aparticulares.

Debe seuialarse que la ley puede dar en calidad de bienes de dominio originario, a| bienes no mencionados en la Constituci6n. El Estado asimismo, conserva la facultad

de reservarse el dominio y la gesti6n exclusiva de bienes y servicios.l'

En otras palabras. se establece que los recursos naturales y fuerzas ffsicassusceptibles de aprovechamiento econ6mico pueden ser concedidos a sociedadesmixtas de operaci6n conjunta o a personas privadas, conforme a ley, regulando laforma en que el Estado puede administrar directamente esos bienes.

n 3. MARCO POLITICO

La consolidaci6n de la economia de mercado esta virtualmente asegurada, quien quiera quetriunfe en las elecciones polifticas a realizarse en abril de 1993. Esto significa que las pro-puestas de profundizar las reformas econ6micas, incorporadas en la Estrategia Nacional deDesarrollo no variaran sustancialmente.

Dentro del contexto politico inmediato, y al margen de la viabilidad tecnica de la adopcionde instrumentos basados en el mercado para la gesti6n ambiental, habra que considerar laposibilidad de un impacto de los instrumentos a adoptar, en la estabilidad econ6micageneral, la inflaci6n, los efectos sobre la competitividad y las incidencias sociales, porefecto de transferir los impuestos creados a los precios de los productos penalizados.

Por otra parte, habra que tener sumo cuidado en lo que respecta a los instrumentos querecaen sobre la poblaci6n. Este podrta ser el caso del establecimiento de cargos par uso yque podrian aplicarse a las tarifas de los servicios de agua y alcantarillado, para posibilitarel tratamiento de las aguas servidas. El impacto en el nivel de ingresos serla considerablesi se considera la dureza de las poifticas de ajuste y de reorganizaci6n de la mineria, quehan tenido como efecto colateral, el cierre de minas y la "relocalizaci6n" de la poblaci6nempleada en aquellas, en actividades de sobrevivencia del sector informal.

|Esvatai Haand de Dnomo. Op.CLPqo.42

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En fin, la falta de capacidad de pago de establecimientos productivos de orden pequeCo ymediano, lo mismo que del resto de la industria y minerfa, en una coyuntura econ6mica enla que se pretende reactivar la actividad econ6mica, podrfa anular la viabilidad poiftica deuna propuesta de establecimiento de instrumentos econ6micos orientados a complementarla regulacion del control ambiental.

Por todo ello, una propuesta de adopci6n de instrumentos econ6micos debera ser suietode evaluaci6n.

4. LAS POLITICAS AMBIENTALES

4.1 EL NIVEL NACIONAL

Las poifticas ambientales globales en curso de elaboraci6n seiialan como parte de losinstrumentos de politica a aplicar, los instrumentos regulatorios asi como instrumentosecon6micos en la perspectiva de que la empresa privada adeccie por esta vfa, sus procesosy tecnologfas, a modalidades de uso del medio ambiente mis arm6nicas con el desarrollosostenible.

La Ley General del Medio Ambiente promulgada en abril de 1992, establece en su Cap.ll,Titulo IX, el establecimiento de 'mecanismos de fomento, de incentivo para todas aquellasactividades p6blicas y/o privadas de protecci6n industrial, agropecuaria, minera, forestaly de otra indole, que incorporen tecnologia y procescs orientados a lograr la proteccion delmedio ambiente y el desarrollo sostenible". Consecuente con esta estipulaci6n, la SENMAesti abordando la reglamentaci6n de la Ley, incorporando en todos las aspectas que seconsidere pertinentes, regulaciones que serdn complementadas con incentivos econ6micos1 orientados a inducir cambios en las practicas del sector productivo, particularmenteprivadao.

4.2 EL NIVEL DEPARTAMENTAL

Las polifticas departamentales en relaci6n con el medio ambiente estan en ciertos casos yaconclurdas, otras en curso de formulaci6n y otras auin no han comenzado. En el primercaso, en el departamento de La Paz, se seiiala 'la importancia de la protecci6n del medioambiente, como condici6n para mejorar la calidad de vida de la poblaci6n y garantizar lasustentabilidad en el aprovechamiento de los recursos naturales sobre los que se basa eldesarrollo"'. Estas polifticas cuentan con el respaldo de diversas instituciones que hanparticipado en su elaboraci6n. Sin embargo, no se ha previsto recurrir a instrumentosecon6micos para redireccionar la actividad productiva.

4.3 EL NIVEL LOCAL

Las responsabilidades de las alcaldias municipales en relaci6n con el tema, estan seinaladas

CORPORACION OEPARTAUJENTAL DE LA PAZ.- Erategia de D.wroo lpw eI Dagatmno. 1992

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en la Ley OrgSnica de Municipalidades que seihala las siguientes tareas, dentro de las cualesI se enmarca el accionar municipal dentro de todo el territorio nacional:

- Preservar y mantener el saneamiento ambiental asr como resguardar el ecosistema11 de su jurisdicci6n territorial.- Atencion del aseo urbano y servicio organizado de recojo de basuras;- Control de calidad e higiene de aire, agua y productos alimenticios;- Preservaci6n del medio ambiente, control de la contaminaci6n;- Autorizaci6n y control de la explotaci6n de su patrimonio;

Ahora bien, en repetidas ocasiones se ha senialado la necesidad de adecuar esta LeyOrginica a la Ley General del Medio Ambiente, tarea que atin no ha sido emprendida porel Legislativo. Esta adecuaci6n le habrfa permitido incluir algunas acciones mOs especificasen materia de control de la contaminaci6n producida por la industria y Oa mineria dentro delarea de su jurisdicci6n.

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* SEGUNDA PARTE: IDENTIFICACION DE INSTRUMENTOS ECONOMICOS VIGENTES

El enfoque econ6mico para la gesti6n ambiental es un tema nuevo, por lo que en Bolivia no seaplica estos instrumentos de forma deliberada. Se encuentran algunos que si bien no estanorientados en esta direcci6n, afectan a los recursos y el medio ambiente. En esta parte se hara unarevisi6n de tales instrumentos, que actujan como incentivos o como desincentivos, de formadirecta o indirecta en la gesti6n ambiental.

1. Descripci6n de incentivos y desincentivos de orden general

No puede dejar de senalarse la existencia en Bolivia al igual que en el resto de paises, deincentivos 'implicitos que orientan el comportamiento hacia el derroche y el aprovecha-miento inadecuado de Irs recursos naturales. Entre estos se cita:

(a) La incertidumbre respecto a los derechos de propiedad. Los recursos naturalesaire. agua, suelo y subsuelo son de dominio originario del Estado. Esto determinaque ninguin particular asuma la responsabilidad de su uso. lo que ocasiona unaexplotaci6n y derroche descontrolados, ya que el Estado no cuenta con instrumen-tos de control sobre el uso de estos recursos.

(b) Ausencia de precios de los recursos naturales. El agua, la tierra y el aire queprestan un servicio ambiental, y en algunos casos de superior calidad en relaci6ncon otros parses del mundo, no tienen precio. Esto estimula a los usuarios a hacer

17 un uso desmedido de tales recursos.

(ci Los subvenciones implicitas que en lo fundamental se refieren a las tarifassubvencionadas por el uso de recursos naturales, que no tienen un mercado explici-to. El agua de consumo, de riego, de uso industrial constituyen el caso maisilustrativo.

(d) Extemalidades no intemalizadas. Los costos de la degradaci6n ambientalproducidos por el sector productivo son socializados. y las empresas industriales ymineras no estan habituadas a internalizar estos costos.

Ademias de estos instrumentos 'implicitos' destaca un incentivo expresado en la Ley deInversiones que en su art.5o seinala que "...no existen restricciones para para la remisi6n

j al exterior de dividendos, intereses y regalias por transferencia de tecnologia o otrosconceptos mercantiles". Ciertamente, Ia libertad en cuanto a movilidad de recursos, implicala urgencia de un pats como Bolivia de atraer capitales extranjeros o nacionales, sin ponercuidado en la tecnologra o la modalidad que vaya a asumir la explotacion de determinadosrecursos. Este es, visto de esta manera, un incentivo para acelerar las tasas de extracci6nde recursos naturales no renovables, sin la correspondiente contrapartida para que lasdivisas provenientes de la exportaci6n contribuyan al desarrollo sostenible de laslocalidadeslregiones de las cuales dichos recursos provienen.

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182. INSTRUMENTOS VIGENTES A NIVEL NACIONAL

2.1 Instrumentos vigentes en In Industria

(a) Incentivos

(a) El sector industrial acepta como incentivo valido en materia crediticia, laextensi6n de olazos v el mantenimiento de la oaridad cambiarie en materia decomercio exterior.

(b) Otro incentivo vigente es la deoreciacidn acelerada de equipos y maquinaria. Talincentivo permitido por el Decreto 21060 permite la depreciac;6n en base a diferen-tes factores de depreciaci6n, a aplicarse de acuerdo al tipo de maquinaria empleada.Asi, la maquinaria tiene una vida u3til entre cinco y 10 aiios, dependiendo de lascaracteristicas.

Sin embargo, la depreciaci6n acelerada mas que orientar a la actividad minera haciaprocesos tecnol6gicamente menas perversos, implic6 un sacrificio fiscal considera-ble, pues se trata en la realidad de un prestamo sin intereses del gobierno a la firmabeneficiada. Si bien es cierto que la depreciaci6n acelerada pospone s6lo en eltiempo el pago de impuestos. no hay que olvidar que el precio del dinero cambia,haciendo este incentivo importante,'2 desde el punto de vista de una perdida deingresos por concepto de pago de impuestos para el gobierno.

(c) El Regimen Antidumping dispone de un marco general recientemente aprobado1 por el D.S. 23308, el mismo que incorpora restricciones oara la exalotaci6n v

exoortaci6n de aroductos frSgiles tales como las maderas y cueros. Este es unincentivo para orientar a un mejor aprovechamiento de los recursos naturales. quecon estrmulos complementarios podrian ser insumos para la industria.

(d) Se sefiala como incentivo, la existencia de algunas Irneas de credito oreferencia-es provenientes de la subasta de recursos financieros del Banco Central ydestinadas a promover la actividad productiva ya sea en la fase de inversidn o deimplementaci6n del proyecto; Sin embargo tales fuentes de financiamiento nocumplen con su prop6sito, dado que llegan a encarecerse en la intermediaci6nrealizada por las ICIs por lo que las tasas de los mismos son altas, tomandose asfpoco atractivas y equiparables a las tasas corrientes de mercadoa3 .

(bi Decincentivos

'VIAOAND Mor Eugmus 'Aniu de b Lry de bnvvusonas de 1971- En La lndustriw Prob.mam y Pwmpoctivo Publcidn del 111S. 19 90

El B nco Central otro on subata rcuaxm finanowas. pmvwi ntelo de coesniom bolstoraos V oergarmmos de finanaunmnto une atr.s. Los hntitucionesde Crudito pwr la bnvion Ifluca Conwrdcl an gnI omirta tease. Las tiasa dufnitnwm po_ lot diifernt. smctoruson detwnados por Is demnda de oteswtne finunciwo Y lu oforta de dineon oxpamada an tal subsa. Sin wrewgo an to rooldud. I1 ICts captan mugos de toma bwsum p_a agna lam audbe a Ws actors Producti-om, a -too" comordaleo

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(a) El imDuesto sobre la Renta Presunta de las Emgresas, establecido por laReforma Tributaria, pese a ser muy baja (3%) constituye un decintentivo para losindustriales. pues desalienta la realizaci6n de grandes inversiones que acrecientenel patrimonio, y por tanto su base imponible. Este es un decincentivo para la recon-versidn y modernizaci6n tecnol6gica.

(b) El Regimen Tributario no es favorable para el sector industrial. pues no seencuentra ning(in incentivo para su desarrollo que, - a diferencia del sector minero-esta obligado a pagar todos los impuestos contemplados en la Ley 843, es decir:Impuesto al Valor Agregado, R6gimen Complementario al IVA, Impuesto a la RentaPresunta de las Empresas, Renta Presunta de Propietarios de Bienes. Impuesto a laregularizaci6n impositiva, e Impuesto a las transacciones.

2.2 Instrumentos vigentes en la minena

(a) Incentivos

(a) Un incentivo claramente definido es la deoreciaciOn de eguipo en cinco anos, loque podrfa estirnular la importaci6n de tecnologras de control ambiental.

Sin embargo, lo mismo que en el caso anterior, inclusive pasando tal como"incentivo econ6mico', este instrumento no representa mas que un drenaje para elpresupuesto del gobiemo. Se trata pues. de un tipo de incentivo ineficiente einefectivo, en cuanto aquel no hace provechosa la reducci6n o tratamiento dedesechos, sin6 que simplemente subsidia a los productores y consumidores de esasindustrias.

(b) Dentro del tratamiento de impuesto sobre utilidades de las actividades mineras,el D.S. 23059 de febrerol92 contempla un incentivo para aquellas empresas quetengan utilidades o lleven a cabo una reinversi6n de las mismas. Esta disposici6n serefiere a la excenci6n del pago de impuesto sobre utilidades en los casos de rein-versi6n de las mismas, y podria aplicarse a la reinversi6n en tecnologias para el con-trol ambiental. Esta disposici6n entrarra en vigencia a partir del pr6ximo anio.

(b) Decincentivos

(a) Se sefiala como decincetivo -visto desde la 6ptica del desarrollo sostenible - elregirnen de DRAWBACK y en CENOCREN"4. En ambos casos se trata de promoverlas exportaciones, indistintamente de si estas salen como materia prima o comoproductos con valor agregado. Hay que recardar que la explotaci6n de minerales enel todo el territorio utiliza insumos adquiridos en el exterior o en el mercado local y3 es por ello, beneficiaria de los regimenes de Drawback y el Cenocren.

(b) En la misma direcci6n se orientan el tratamiento preferente en los fletes de

El OAAW3ACK ceito on unn devalucn de a,inelo pogndm on .* momento de iportw inmmos o netrio pi m. d_lmn.da. a Is exported6n. ElCENOCREN *n cwmbio. se nfife a la d.vcluidn de Ion faipus indircts OVA) apcdom on Is cwwa de bings y sonn.cion *I niedo aitwno.

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ferrocarril para todo tipo de productos de exportacion, Ineas de cr6dito con ter-minos atractivos de plazo para pre post embarque, y tratamientos preferenciales dediferimiento de aranceles entre otros, por acuErdos de integraci6n suscritos pornuestro pars.

(c) Se puede serhalar como decincentivo para el control ambiental de la actividadminera, la disposici6n de restituir y entregar el agua en la misma calidad en la quefue encontrada (D.S. 23314 de 21 de julio de 1992), lo que es a todas luces, unadisposici6n extrema que decincentiva todo intento de establecer alg(in nivel de con-trol ambiental.

(d) Podrra considerarse como incentivo indirecto en este sector, la oferta deinformaci6n relativa a disponibilidad de yacimientos mineros dentrc del territorio. Deacuerdo a la Ley de Actualizaci6n del C6digo de Mineria se establece un sistema deprospecci6n regional, actualizaci6n y divulgaci6n de informaci6n sobre recursosmineros, y el Servicio Thcnico y de Catastro Minero capaz de implementar un siste-ma modemo para otorgar concesiones. Tales medidas podrian inducir una extracci6ndesmedida de minerales y su inevitable agotamiento, si no se establece comocomplemento, la reinversi6n de los beneficios que genera tal extracci6n, enbeneficio de las localidades/regiones, en actividades que permitan a las mismas,sobrevivir al agotamiento de los recursos de los que sobrevive.

(f) Tal incentivo para el agotamiento se agrava porque el costo de estas actividadesj de prospecci6n, levantamiento y divulgaci6n de informaci6n sera asumido por elestado boliviano, y no por los capitales que invertirain en tales actividades. Estotiende - en ausencia de las medidas complementarias sefialadas- a reducir mas auin,

1l el beneficio de estas actividades, en relaci6n al costo ecol6gico que producen.

(g) Se puede sefialar tambidn en el mismo sentido, coma incentivo para acelerar laexplotaci6n de recursos naturales no renovables, el levantamiento de las ReservasFiscales (D.S 21298 y 22615). y su incorporaci6n al libre ejercicio de la actividadminera, sin restricci6n alguna.

(h) La liberalizaci6n del Comercio del Oro es otra medida que al igual que las dosanteriores, orienta la actividad a una explotaci6n desmedida, sin un colateral depromoveractividades sostenibles financiadas con los recursos generados. En efecto,de acuerdo a tal medida se eliminan todas las restricciones a la comercializaci6n deloro, existiendo libertad de exportar o introducir oro al pars.

En general, y para convertir estas ultimas medidas de negativas a positivas para elmedio ambiente, debiera disefiarse y aplicarse instrumentos econ6micos de fomentode actividades industriales financiadas con recursos generados por la mineria, quedebieran contribuir al crecimiento econ6mico y mejoramiento de la calidad de vidaen las regiones de donde provienen los recursos mineros.

3. INSTRUMENTOS VIGENTES EN EL NIVEL DEPARTAMENTAL

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Se seliala como incentivo - debil pero incentivo al fin - dentro de este campo, eltratamiento preferencial para las industrias que se establezcan en los territorios deOruro y Potosf (Ley No.876 y 877 de 1986 respectivamente1, las cuales sonincentivadas con la exenci6n de impuestos durante un perrodo de cinco anfos.

Asa. en el caso de industrias fabriles o manufactureras que se establezcan en Orurocon capital superior a los $us 250 mil o su equivalente en moneda nacional se libe-rara del pago de impuestos nacionales. deDartamentales. municioales v universita-rios con excepci6n de la renta personal. por el lapso de 5 anios. Para las industriasque se instalen en Potosi, las inversiones hechas por las empresas seran deduciblesde impuestos a la renta de emwresas v a la renta total de rersonas, con la solaexcepci6n de las regallas mineras.

4. INSTRUMENTOS VIGENTES EN EL NIVEL LOCAL

4.1 Incentivos

(a) Lus uinicos incentivos previstos por el sistema tributario municipal se refieren adescuentos a los pagos de tributos efectuados con anterioridad a las fechas depago. Los descuentos considerados en esta categoria, son:

- Descuento del 8% por el pago de la patente de funcionamiento'5 delsemestre dentro de los primeros 45 dfas de cara semestre y/o a partir de lafecha de su promulgaci6n;

- Del 20% del pago total de la patente anual de funcionamiento dentro delos primeros 45 dias de la gesti6n ylo a partir de la fecha de su promulga-ci6n;

! gual tratamiento tienen las otras patentes fijas anuales que se paguen enlos terminos establecidos en los numerales 1) y 2)

(b) La exenci6n en el pago de tributos, cuando es establecida por Ley, de acuerdoa lo previsto. Au n cuando la excenci6n fuera concedida en funci6n de determinadascondiciones de hecho, puede ser derogada o modificada por Ley posterior. exceptocuando tiene plazo de duraci6n definido.

| 4.2 Decincentivos

No se ha establecido ningin instrumento en la perspectiva de desalentar por mediode mecanismos de mercado, las practicas de contaminaci6n de la industria local ylas actividades extractivas dentro del radio urbano.

La palante de funcianaionto _a un tibito a^-o hacho g.naodor e i'p a es I iutorizaci& a pfro anudl a *vmntual qua s coneWd pwi elfunoonwnito de Is hdmabb y o ou mcividudi

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Los cinicos instrumentos existentes se refieren a regulaciones de planificaci6nI urbana, para autorizar la instalci6n y funcionamiento de todo tipo de establecimien-tos productivos en el area urbana.

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TERCERA PARTE: INSTRUMENTOS BASADOS EN EL MERCADO APLICABLES A LA GESTIONAMBIENTAL BOLIVIANA

1. Consideraciones pera Ia selecci6n de instrumentos econ6micos de gesti6n amblentl

Antes de sefialar los instrumentos econ6micos que tienen posibilidad de aplicaci6n ennuestro pars, es necesario hacer unas consideraciones generales, validas tanto para laIndustria y Mineria. Luego tales consideraciones serSn especfficas para cada uno de estossectores.

(a) Dada la reticencia del sector productivo al incremento de cargos financieros de todotipo, es imprescindible contar con su consenso. para lo cual habrn que convencerlosde que las recaudaciones tendran un destino predeterminado. El tratamientocolectivo de las aguas, el financiamiento de proyectos orientados al mejoramientodel medio ambiente entre otros que beneficien al propio sector, podrran lograr aquelprop6sito.

(b) La instituci6n a hacerse cargo de la planificaci6n, recaudaci6n y administraci6n deestos fondos, es clave tambidn en la concertaci6n con el sector privado, pues 6statiene que ofrecer garantla de solvencia moral. Por ello, y en lo posible, deberacontarse con organismos del propio sector, tales como Cimaras, Asociaciones, quese hagan cargo del autocontrol. FONAMA se perfila con grandes ventajas paracumplir estas funciones.

Industria

(a) En primer lugar, habrfi que considerar la diferencia de tamaijo de los estableci-mientos industriales, lo cual debera dar lugar a un tratamiento diferenciado en lagesti6n ambiental.

Esto, respecto a la pequehla y mediana industria, que hacen alrededor del 70% dela industria boliviana, y en particular aquellas orientadas al mercado interno y conbajo nivel tecnol6gico; habra que considerar el caso de aquelios establecimientosproductivos que si bien generan empleo, utilizan tecnologias locales y materia primalocal16, si se descuenta la remuneraci6n del propio empresario, el excedente brutode explotaci6n se reduciria al minimo en ia mayoria de los casos. Estas estableci-mientos productivos pertenecen al llamado sector informal y logran sobrevivir yhacer frente a la competencia externa s6lo gracias a mantenerse fuera de las nor-mas legales. Es altamente improbable que este tipo de establecimientos encarezcasus costos para evitar la contaminaci6n y para cumplir con las regulaciones einstrumentos econ6micos que no sean adecuados para estos casos.

Est. ipO de establscimntos indusbitnm - mmb canpatbM con ml Dndlo Sos,t.Ah po lo qua habrqn apin *n m nodalidat d treno_op.ealnwnt prfwmncual.

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Por ello, y por ser considerable la contaminaci6n generada por una parte de este tipode actividades, habra que imaginar e incorporar en la Estrategia de Gesti6nAmbiental a diseliar, algunos instrumentos econ6micos a fin de que se adecuen a3 las normas a establecerse, sin riesgo de perecer en tal esfuerzo.

(b) Se descarta definitivamente como instrumentos potenciales para el desarrolloindustrial, las tasas de interes diferenciales o las exenciones arancelarias, nosolamente porque entrarfan en contradicci6n con el modelo econ6mico vigente, sinotambien porque en el pasado tuvieron un uso prebendal de diffcil control.

(c) En general se advierte dentro del sector industrial, resistencia a que se aplique unmayor numero de impuestos, debiendo pensarse en instrumentos diferentes a estos,que incluyan en la actividad productiva industrial, la conservaci6n ambiental.

Mineria

(a) El tratamiento diferenciado seguTn el tama*lo de las empresas mineras es tambienvMlido para este sector, a lo que puede sumarse el tratamiento diferente seguin laprocedencia de capitales. Puede suponerse en general, que la minerra grande ymediana podria asumir el compromiso de la transferencia tecnol6gica para adecuar-se a las normas ambientales a establecerse; sin embargo ello dependera en granmedida del tipo de incentivos que se ofrezca en cada caso particular.

Asi, el prop6sito de inducir estos cambios a traves de una mayor disponibilidad decr6ditos financierosylo de beneficios de financiamiento, podria resultar ineficaz parala mineria grande y parte de la mediana que trabajan con capitales extranjeros. todavez que existen en el mercado internacional fuentes de financiamiento en condi-ciones mucho mrs ventajosas que las que se podrian implementar dentro del pafs.En cambio este instrumento podria ser eficaz para la minerfa mediana, pequefla,cooperativas en fin, que funcionan con capitales nacionales.

Por otro lado, aunque la minerna pequefia y cooperativas son contaminantes por suscondiciones precarias, r.o estarfan en condiciones tecnicas ni en capacidad finan-ciera para realizar inversiones para el tratamiento de sus desechos, sin el riesgo dedescapitalizarse. Una relaci6n beneficio/costo, mostraria en gran paite de estoscasos, que podria resultar mas conveniente cerrar algunas de estas actividades acambio de una compensaci6n financiera. Para este caso podrla adoptarse unavariaci6n de los permisos negociables. Esto se retomarg mas adelante.

Ib! No habra que olvidar que la NPE orienta sus esfuerzos hacia la atracci6n deinversi6n extranjera. En este sentido. habra que considerar que la llegada de capi-tales extranjeros y las condiciones en las que estos ingresen al pafs, dependeran dela percepci6n sobre el riesgo cambiario, el riesgo de transferibilidad, convertibilidad,y el riesgo tributario. En otras palabras, si se disenia e implementa una Estrategia deGesti6n Ambiental con instrumentos regulatorios y econ6micos, esta tendrE queconsiderar que paquetes muy recargados con cargos financieros, no seran cohe-rentes con una poiftica de atracci6n de capitales extranjeros y promoci6n de la

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inversi6n nacional. En todo caso, el establecimiento de reglas de juego claras yestables tendra que definirse en el plazo mas breve posible, a fin de que dstas nointerrumpan procesos de decisi6n de inversiones.

2. Adaptaciones a partir de los instrumentos conternplados en las leyes vigentes

Dentro del marco de la Ley de Reforma Tributaria y del resto de legislaci6n vigentees posible adaptar algunos instrumentos, previa aprobaci6n del Ministerio de Finan-zas.

(a) Si se analiza la Ley en lo que se refiere al sujeto de excenci6n del 00no del imDuestOsobre renta oresunta de las emoresas, habrfa la posibilidad de introducir, via lasinstancias correspondientes. una propuesta de excenci6n de impuestos alpatrimonio, orientados a fines determinados. Se podrfa seiialar algunos activosadquiridos como activos no computables que podrian incorporarse dentro de laexcenci6n de impuestos sobre patrimonio. En estos activos no computables podriainclufrse equipos y tecnologla importados para fines de control ambiental,claramente especificados por la SENMA.

(b) Respecto a los impuestos sobre transacciones. se podr,a estimular el traslado deestablecimientos industriales, fundicionesy otros al.Lamente contaminantes, a travesde la exoneracidn del oaco del imouesto a las transacciones, en caso de trasladarseaquellas a sitios previamente definidos, y donde el impacto ambiental sea relativa-mente menor. El caso se aplicarla a establecimientos industriales que compran terre-nos en zonas industriales (o parques industriales en caso de existir), y venden lasinstalaciones causantes de molestias a la poblaci6n aledania.

(c) En caso de considerarse eficaz el instrumento de la deoreciaci6n acelerada. sepodria ampliar la lista de equipos destinados al control de desechos - con caracte-r.sticas especificadas por la SENMA -, para aplicarles en la medida de lo posible, lastasas mas elevadas de depreciaci6n.

(d) Dentro de la linea del IVA se podria incentivar la inversi6n en equipos, reconociendoa las empresas, el credito fiscal.

(e) En la adopcion de cualquier instrumento econ6mico hay que considerar el tiempode recuperaci6n de la invers.6n ylo el tiempo previsto para el funcionamiento de lanueva tecnologfa, a fin de que los cargos a establecer no amenacen con descapitali-3 zar a las actividades productivas. A prop6sito de esto, se podria considerar la suge-rencia de la Camara Nacional de lndustrias de estimular la incorporaci6n detecnologias compatibles con la protecci6n ambiental, a traves de un sistema dediferimiento de imouestos internos a los que actualmente esta suieta la industria.principalmente en relaci6n al IRPE, por un plazo de aproximadarnente 4 afnos,periodo que consideran como el mas adecuado para que el industrial pueda hacerrentable su maquinaria e inversi6n, pudiendo recien hacer frente a las exigencias del

bq

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merrado y por ende a las cargas tributarias."

If) Dentro del marco del D.S. 21060, se podrfa ampliar la lista de equipos destinadosa evitar la contaminacidn - de acuerdo a caracteristicas especificadas por la SENMAI - aplicando en lo posible, las tasas vigentes de depreciaci6n mrns aceleradas.

(g) El nuevo sistema impositivo que se esti implementando desde octubre/92 en laminerfa, podrra constiturrse en un incentivo, si se logra reconocer las inversionespermitiendo la deducci6n de costos destinados a la protecci6n ambiental de lasutilidades. disminuyendo asi la base imponible.

(h) Otros, a incorporar luego de revisi6n minuciosa, en la legislaci6n vigente,particularmente de la Reforma Tributaria.

1

I

I

'CAMARA MACIONAL DE INOSTRIAS.. ULk rn GmutOgaa B Dmew,olo lndnuiWu Cnmpebtitve Primw Congruso Nactonal de kwduotnla Cochabwniba.no@viin*rg de 1992.

4D

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3. Instrumentos econ6micos: Aplicaciones para la Gestl6n Ambiental

3.1 Instrumentos para el control de Ia contarninaci6n de aguas de superficie

En cada caso, se considerara el contenido muy general" de cada instrumento, lascondiciones para su implementaci6n, algunas sugerencias para una adaptaci6n, y elprocedimiento general para ponerlo en vigencia.

3.1.1 Cargos por efluentes

(a) Contenido general

Los cargos son cuotas exigidas por una autoridad del gobierno. basadas en lacantidad y/o calidad de los contaminantes descargados en el ambiente por unainstalaci6n industrial. Se refiere al pago de una cierta cantidad por cada unidad decontaminacion descargada en la superficie del agua, por tanto supone ciertascondiciones tecnicas para el control, e institucionales para la recaudaci6n yadministraci6n.

(b) Posibilided de implementaci6n

Entre las condiciones senaladas se contempla:

13 Mftodos efectivos oar_ realizar evaluaciones rdoidas de la contarinagua.- En lasciudades mas importantes no se dispone en la actualidad, de personal capacitado

1 para esta tarea y menos ann, en los departamentos mas atrasados.

c La disoonibilidad de metodos cientlficamente comprobados oars asionar valoresmonetarios a los danos causados oor la contaminaci6n.- Esta tarea, indispensablepara lograr la aceptaci6n politica de parte de las actividades mineras e industriales,no ha sido abordada aun, en parte porque los investigadores de la economra ambien-tal esta creando y experimentando metodologias de valoraci6n de la contaminaci6nen Estados Unidos, la mayor parte de las cuales estan apenas comenzando a serconocidas en Bolivia.

O Un metodo woerativo oara estimar el nivel de las cuotas.-La estimaci6n a nivel de tasas especrficas por empresa, sobre la base de evaluacio-nes peri6dicas del volumen y calidad de los contaminantes podria ser una tarea muycomplicada para las SEDEMAs previstas por la Ley General del Medio Ambiente.

1 La existencia de una instituci6n resoonsable con autoridad legal para hacer

'8Dado que no es prop6sito del presente trabajo hacer una descripci6n del contenido ni* prop6sito de cada uno de los instrumentos, ni tampoco de revisar la experiencia de los paises en

su aplicaci6n, se hara en esta parte simplemente una descripci6n muy somera de cada uno deellos, lo suficiente como para introducir al tema de posibilidades de implementaci6n y adaptaci6n.

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cumolir los carpos a los contaminadores. En Bolivia no existe una instituci6nreconocida, que pueda asumir este control. Las Secretarias Departamenles delMedio Ambiente que comenzarin a funcionar en los departamentos serran lasindicadas para este prop6sito, sin embargo, estas no dispondran en el corto plazo,I] de los medios efectivos necesarios para asumir esta responsabilidad. FONAMApodrra ser una posibilidad, pero habria que superar algunas consideraciones sehala-das mas adelante.

D Los altos costos aue sueonen las actividades de control v fiscalizaci6n enrelaci6n a los presupuestos asignados para estas instituciones departamentales.

Por todas estas razones, y tal como se aplica en parses industrializados, este instrumentono es aplicable a Bolivia.

I(c) Implementaci6n previa adaptaci6n

Dadas las bondades de este incentivo, demostrada por la experiencia de diversospaises para las industrias para mejorar sus practicas de contaminaci6n, seria conve-niente efectuar una adaptaci6n de este instrunmento para aplicarlo en:

- aquellos departamentos en los que la contaminaci6n de las aguas de riosconstituyen uno de sus principales problemas ambientales (principalmenteLa Paz y Cochabamba). El destino seria el tratamiento colectivo de la

contaminaci6n;

- aquellos rios contaminados con metales pesados. particularmente enregiones mineras. El destino de los fondos recaudados seria contribuir parael tratamiento de estas aguas, yfo para indemnizar a campesinos afectadospar la contaminaci6n.

Tal adaptaci6n se justifica por la dificultad inherente a la tarea de evaluaci6n de lacantidad y concentraci6n de los contaminantes que supone la aplicaci6n de esteinstrumento, y que los organismos de control ambiental no estan en capacidad deasumir. Entonces, la adaptaci6n podria incluir:

1 El establecimiento de un sistema de autoavaluio para empresas mineraseestablecidas dentro del radio urbano, e industria grande y mediana, a partirde una tabla de s6lidos en suspensi6n, DBO,DQO, sales solubles, nitr6ge-no,etc;

O Para que la responsabilidad sea compartida con la ciudad como generado-ra de contaminaci6n biol6gica, podria estimarse tasas de cargo por emisi6n

| de diversos contaminantes a familias, a partir de una base anual calculadapor las municipalidades;

13 Una tabla de coeficientes en la perspectiva de establecer una tasa fijapodria ser establecida para la pequefia industria y mineria, las cuales podriancatalogarse como tales de acuerdo a rasgos establecidos. Esta tarea tendria

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que concertarse directamente con los representantes, interlocutores de estasactividades.

O La tarea de verificaci6n estarla a cargo de las SEDEMAs, y podrla ser]1 efectuada a empresas seleccionadas por muestreo. o en su defecto, adju-dicada a una empresa privada.O Las sanciones en el caso de que el autoavaluo por parte de la gran ymediana empresa no corresponda con la calidad declarada, podrian ser lasestablecidas por la Ley General del Medio Ambiente.

O Establecimiento de patrones de correcci6n, a fin de que los cargos noqueden invalidados por la inflaci6n.

= Los fondos reunidos por el concepto del cobro de este tipo de cargos.estarf -i destinados a financiar el tratamiento colectivo de las aguas de losrros que atraviesan las ciudades principales, en particular La Paz y Cocha-bamba.

1 El sistema de cargos a establecer debiera. a fin de reducir costos decontrol, contar con la participacion activa de la Asociaci6n de MinerosMedianos, la Camara Nacional de Industria, la Federaci6n Boliviana dePequeiha Industria, y/o organismos no gubernamentales que trabajan conesta rama (Instituto de Asistencia Econ6mica y Tecnica, INASET) entreotras. La SENMA debiera establecer, en coordinaci6n con estos organismos,los niveles de los cargos encaminados a financiar medidas colectivas decontrol de la contaminaci6n. y luego negociar las mejores modalidades parala recaudacion y administraci6n de estos recursos.

(d) Procedimiento para ponerlo en vigencim

Dado que estos cargos se refieren en ultima instancia a una variante de losimpuestos su puesta en vigencia requiere de una legislaci6n especial. cuyo proyectotendrfa que ser presentado por la Secretarfa Nacional del Medio Ambiente, a laComisi6n de Poirtica Econ6mica y Planificaci6n de la H. Camara de Diputados, y poresta via al Congreso Nacional. Esto supone la elaboracidn de un proyecto de leyespecrfica, que de ahora en adelante se denominara Proyecto de Ley de Instrumen-tos Economicos aplicados a la Gesti6n Ambiental. (PLIEGA).

3.1.2 Cargos por uso

(a) Contenido general

Son pagos directos por el costo del tratamiento colectivo de la contaminaci6nocasionada por efluentes liquidosy s6lidos que tienen como destino las alcantarillas.Se aplican particularmente a la recolecci6n y tratamiento de desechos s6lidasmunicipales y a la descarga de aguas servidas (industriales y domesticas) en lasredes de alcantarillado, y estan destinados a cubrir el costa del tratarniento colecti-vo o publico de la contaminaci6n.

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(b) Posibilidad de implementaci6n

La aplicaci6n de esta instrumento esta relacionada con la calidad y caracterlsticasdel efluente, por tanto supone el control de la informaci6n a nivel de unidadgeneradora de contaminaci6n.

Esto vuelve particularmente diffcil su aplicaci6n en Bolivia, puesto que en materiade aguas servidas no se dispone adn de informaci6n respecto a la descarga de losefluentes. Si bien se tiene una estimacion en lo que respecta a las descargasdom£sticas en las ciudades, en cambio no existe sin6 informaci6n parcial en lo quehace a las descargas industriales, y la que existe ha sido obtenida muy dificilmente,dada la retiscencia de los establecimientos industriales a permitir el ingreso detecnicos para la evaluaci6n de los desechos.

Por otra parte, en materia de servicio de alcantarillado, existe una tasa que cubreel costo de mantenimiento de la red, pero no asf de tratamiento de las aguas ser-vidas. Este costo es inclufdo en la factura de consumo de agua potable. Un alza deI esta factura por concepto de cargo por uso de la red de alcantarilla, podrra incidirnegativamente en el presupuesto de los sectores de ingresos medio y bajos de lapoblaci6n.

Ademfs de ello, surge otra dificultad que se deriva de la habilidad para controlar alos contaminadores industriales, quienes tienen siempre la posibilidad de descargar3 las aguas servidas en forma ilegal. Por el lado de las descargas dom6sticas. Iaefectividad de los pagos se relacionarban exclusivamente con la capacidad de losrepresentantes locales elegidos (conceiales) para ofrecer las ventajas del sistema ala poblaci6n que usa el servicio del alcantarillado.

(c) lmplementacidn previa adaptaci6n

En el caso de considerarse este instrumento en Bolivia, el cargo por uso podriaaplicarse para solventar costos de instalaci6n para el tratamiento de aouas servidasque van a parar, via alcantarillado, a rios cuyas aguas son utilizadas aguas abajo,para regar zonas agricolas.

Algunas de las modalidades que asumiria su aplicacion serian las siguientes:

1 Los cargos a los establecimientos industriales que descargan susdesechos en el sistemas de alcantarillado podrian basarse en el consumomensual de agua.

9 Complementando el sistema de cargos al uso industrial del agua, loscargos a los usuarios dom6sticos del sistema de alcantarillado, podrfanbasarse tambien en el consumo mensual de agua potable. En cambio estecargo no serfa valido para las zonas relativamente mas deprimidas.

1 Los cargos a las empresas mineras que se abastecen de aguas de rios,

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aguas arriba de centros urbanos. para descargarla luego en los mismosefluentes con una carga considerable de metales pesados. podrfa basarse enel volumen de la producci6n de minerales.

3 f1 Debe establecerse los cargos por aguas negras a un nivel apropiado antesde hacer inversiones p(iblicas en el tratamiento de las aguas servidas, a finde que las empresas no decidan por sf mismas asumir tratamientosindividuales para no pagar cargos para el tratamiento colectivo.

(d) Procedimiento para ponerlo en vigencia

El sistema podria -luego de ser trabajado a nivel de detalle- ser inclurdo en elPUEGA. Su implementaci6n estarfa limitada a las ciudades cuyo nivel de contamina-ci6n de aguas por contribuci6n de aguas servidas industriales y domesticas esconsiderable. Tanto la recaudaci6n como la administraci6n de los fondos para finesde tratamiento, deberi ser por esta raz6n, coordinada con las alcaldias municipalesde estas ciudades.

3.1.3 Permisos negociables

(a) Contenido general

Se regiere a la fijaci6n del nivel de la calidad ambiental, a partir del cual la autoridadresponsable distribuye permisos de descargo entre las empresas contaminadoras,los mismos que pueden ser transferidos entre las mismas, en funci6n a sus propioscostos de control de la contaminaci6n.

(b) Posibilidad de implementaci6n

La aplicaci6n de este instrumento supone la capacidad de una instituci6n paradefinir los derechos de emisi6n, hacer los ajustes en el valor del derecho en relaci6nal lugar y al tiempo en que se usan, computar facilmente cualquier cargo en el valorde los derechos, y tener un sistema de seguimiento eficiente sobre los propietariosde los derechos.

Todo esto significa una disponibilidad de recursos tecnicos a disposici6n delorganismo a cargo de la gesti6n ambiental, que no estan aun al alcance de laSENMA y menos auin de las SEDEMAs.

Por otra parte, una condici6n para aplicar con exito este instrumento, se refiere atener un robusto mercado desarrollado, dentro del cual el mercado de permisospuede tener una mobilidad fluida. Sin embargo el mercado de valores en Bolivia esde creaci6n relativamente reciente y no estd del todo consolidado. Esta podria serla principal limitaci6n en la aplicaci6n de este instrumento, de pretender aplicarlo talcomo muestra la experiencia de los parses que lo han adoptado.

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(cl Implementaci6n previa adaptaci6n

Aunque este instrumanto no garantiza eficienci en el logro de los prop6sitos depromover la transformacidn tecnol6gica, en el caso de considerarse este instrumen-3 to de particular interks, podria procederse a su adaptaci6n.

Tal adaptaci6n supondria:

13 Su aplicaci6n a permisos de contaminaci6n del agua;

1 Su aplicaci6n exclusiva, dirigida a las industrias grandes y medianas, localizadasen los departamentos de La Paz, Cochabamba y Santa Cruz, donde se concentralo esencial de la industria;

13 Aplicaci6n igualmente aplicable a la mineria grande y mediana, ubicada en losdepartamentos de Oruro, Potosi y La Paz.

0 Los establecimientos productivos a los que se aplica tal instrumento, debieran serfuentes reconocidas como principales fuentes de contaminaci6n, y sobi e las cualesse pueda ejercer operativamente el control; en otras palabras, el nuimero de fuentesdebiera ser limitado a la capacidad de control de la instituci6n a cargo.

O Podria establecerse, en concertaci6n con los establecimientos productivoscontemplados dentro de este 'mercado', convenios y contratos con las universi-

a3 dades de estas ciudades, como responsables del control de estas fuentes;

-1 13 El mercado de valores que se ha establecido podria servir como base para facilitarlas transacciones, en un plazo mediano.

= Mientras tanto, las transacciones serian efectuadas en las SEDEMAS, y el preciode tales permisos seria establecido en base a f6rmnulas elaboradas por encargo dela SENMA.

(d) Procedimiento para ponerlo en vigencia

La estructura de funcionamiento de este sistema debera ser diser ado e incluido enel PUEGA que deberia ser presentado por la SENMA al Congreso Nacional, a travesde la Coomisi6n de Planificaci6n y Politica Econ6mica.

3.1.4 Subvenciones

la) Contenido general

Se refiere a concesiones, prdstamos de bajo interes e incentivos tributarios, queactuian como incentivos para que los contaminadores cambien sus practicas o ensu lugar, reduzcan los costos de disminuir la contaminaci6n que pagan los

I

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J contaminadores.

(b) Posibilidad de implementaci6n

Desde la adopci6n de la Nueva Polltica Economica en Bolivia que ha barrido contodos los tratamientos preferenciales para la actividad econ6mica en general, resultadiflcil introducir nuevamente este regimen. a no ser que su justificacion sea tancontundente. que permita una modificaci6n de la decisi6n de interferir nuevamentecon las fuerzas del mercado.

(c) Implementaci6n

Las uinicas posibilidades de aplicacidn de subvenciones son:

0 Subvenciones del gobierno central a los gobiernos departamentales ylocales para disminuir al costo del tratamiento de las aguas superficiales.Este es un mecanismo que no interferirla con el mercado, a la vez quecontribuirba a paliar los costos de tratamiento de las rios de las principalesciudades, pues iria a complementar los cargos por efluentes/por uso.

Tales subvenciones. si se aplican indirectamente al control de la contamina-ci6n de aquas de superficie, podrlan dirigirse a:

- Regiones donde la mineria es parte importante de la base econd-mica, y por ende, donde el desarrollo regional dependa de estaactividad, siemore v cyando ella se oriente a crear una base industrials6lida y mas diversificada. a partir del aprovechamiento de esosmismos recursos.

- Regiones donde la posibilidad de un desarrollo industrial que genereempleo y aproveche sus recursos naturales, creen la necesidad deapoyar financieramente el costo de tecnologias ambientalmentelimpias.

1 La depreciaci6n acelerada como incentivo tributario, y que de hecho sehalla vigente en el pais. podria ser trabajada a fin de incluir en las listas deequipos sujetas de las mas altas tasas de depreciaci6n. aquellos orientadosa controlar la contaminaci6n.

1 La excenci6n en el pago de impuestos podria aplicarse a equipospreviamente especificados que ingresen excepcionalmente al pais en calidadde Activos No Computables. a fin de que no aumenten el patrimonio de lasempresas, evitando de esta manera el pago de mayores impuestos porconcepto de IRPE'9.

1 Habrla que incluir dentro del r6gimen de excenci6n de pago de impuestosde transacci6n, como incentivo tributario para subvencionar a estableci-

In umu a Is RAnts P,aUwm de ks Emprnm

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mientos industriales dispuestos a localizar sus plantas fuera de la concen-tracion urbana (o en parques industriales su fuese el caso).

13 Dada la incapacidad financiera de la pequefia y mediana industria parasolventar la transformaci6n tecnol6gica, habrba que diseliar incentivostributarios dentro del marco de la estructura tributaria vigente. Asi, debierapermitirse a los gobiernos locales, introducir excenciones en el pago de tri-butos, para este tipo de empresas, previa consideraci6n del ConcejoMunicipal y via Ordenanza Municipal.

- Existe una posibilidad de desarrollar un sistema de subvenciones a partir delas polfticas ambientales nacionales, y desarrollada desde el Fando Nacionaldel Medio Ambiente, para todos los prop6sitos que persigue este instrumen-to econ6mico, sin que ello afecte el Presupuesto Nacional. El tema ser5retomado mas adelante.

(d) Procedimiento para ponerlo en vigencia

El procedimiento para poner las propuestas de subvenci6n a consideraci6n delSenado, requiere:

- Reforma en el r6gimen polifticorinstitucional, para otorgar a los gobiemoslocales facultad para autorizar excenciones de acuerdo a regulaciones de laSENMA;- La inclusi6n en el PLEGA. de subvenciones con justificaci6n contundente;- El fortalecimiento de FONAMA para hacerse cargo de la gesti6n de algunos

I1 instrumentos econ6micos, a fin de que esta instituci6n, y de acuerdo a laspoliticas ambientales nacionales cree su propio sistema de subvenciones,con recursos donados.

3.1.5 Incentivos para el Cumplimiento

(a) Contenido general

Se trata de multas por no cumplir con las normas ambientales, para estimular deesta manera a los que descargan, a que cumplan con las normas y regulacionesambientales, pero tambien se trata de premiar a las empresas que adoptan por srmismas innovaciones tecnol6gicas que contribuyen al control ambiental del sector.

(b) Posibilidad de implementaci6n

Ui Las multas de acuerdo a la experiencia registrada en otros paises no han sidoefectivas para los prop6sitos que persigue el enfoque econ6mico" de la gesti6n am-biental. Requieren por otra parte, de un aparato legal que haga frente a laslitigaciones de las empresas. Finalmente en un pafs con una estructura adminis-trativa centralizada, lenta y frecuentemente corrupta, las demoras ocasionadas por

35

estos litigios de las empresas. junto con la posibilidad de corrupci6n, podrian anularla efectividad de la medida.

Respecto a los premios de estimulo de todo tipo. estos requieren de la disponibilidadde recursos financieros. La posibilidad de que tales recursos provengan del estadocentral es nula, por lo que la unica posibilidad se limita a FONAMA, siempre ycuando este organismo sea responsable de la gesti6n de los instrumentos econ6mi-cos.

(c) Implementaci6n previa adaptaci6n

a Los incentivos para el cumplimiento debieran centrarse directamente en el cierrede los establecimientos, y debieran ser rfgidas dentro de plazos muy sensatos, queconsideren el tiempo de adecuaci6n de las instalaciones y operaciones, acorde conel tamahio y capital del establecimiento productivo.

| Sin embargo, paralelamente a esta sanci6n, debe establecerse complemen-tariamente un sistema de concesi6n de servicios de asesoramiento tecnico,premiosfincentivos, creditos de financiamiento, etc.

13 Una modalidad de este instrumento que podrfa ser uitil para prever impactosirreversibles en el medio ambiente, son los bonos de eficacia. Estos pagos deactividades potencialmente contaminantes, hechos al organismo regulador, serfandevueltos una vez que se verifique que la eficacia ambiental de la actividad esaceptable. Tal instrumento podrfa orientarse particularmente a la mninerfa grande ymediana, y siempre y cuando se prevea antes de iniciadas las actividades impactospotenciales que amenazan con ser irreversibles y de gran dario para la salud de lapoblaci6n del area de influencia.

13 Una variedad de 'premio' a establecer para aquellas actividades que adoptentecnologras innovadoras y que contribuyan con ello al control ambiental del sector,podria ser el "Premio a la Contribuci6n a la Conservaci6n Ambiental". Tal premiopodria ser entregado anualmente, a aquella empresa que se haya destacado por susinnovaciones y control ambiental, y podria consistir en un trofeo entregado por lasautoridades de la SENMA y del sector.

(d) Procedimiento para ponerlo en vigencia

j] El sisterna de sanciones deberci ser coherente con la Ley General del MedioAmbiente. Los premios a establecer y los 'bonos de eficacia' a disefiar. deberanestar contemplados en el PLIEGA.

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3.2 Instrumentos para Ia protecci6n de las aguas subterraneas

3.2.1 Subvenciones

(a) Contenido general

Se refieren a los mismos t6picos desarrollados en el punto 3.1.4, y se orientan apromover/ayudar a reducir los costos que representa el control de la contaminaci6npara el sector productivo indust6ial y minero.

(bi Posibilidad deimplementacibn

Lo mismo que en el caso ya analizado, es poco probable introducir subvencionesque sean coherentes con la Nueva Poiftica Econ6mica establecida en el pars.

Sin embargo, no debe desecharse la posibilidad de una decisi6n poiftica en estesentido, mas aun si se recauda a nivel nacional donaciones de paises amigos yorganismos internacionales para este efecto.

(c) Implementaci6n previa adaptacifn

a Subvenciones del gobierno central a las regiones, con recursos captados de fueradel pals, debieran estar servir de ayuda del gobierno central para que en los nivelesregional y urbano se protejan capas aculferas detectadas como importantes.

13 Aunque las leyes nacionales no se manifiestan en torno a las responsabilidadesde las instituciones en materia de protecci6n de acufferos subterraneos20, debieracorresponder a las Corporaciones Regionales de Desarrollc y las AlcaldiasMunicipales esta tarea, con el apoyo financiero del gobierno central en los terminosdescritos mas arriba.

En este caso, las subvenciones podrian dirigirse a:

- Financiar la adquisici6n de tierras en areas donde se detecte aculferossubterraneos importantes en zonas rurales.

- Ayuda financiera para reemplazar pozos septicos de propietarios de| viviendas en zonas en que se ha detectado aguas subterraneos importantes,

y que no se las ha conectado a las redes de alcantarillado.

Tales subvenciones debieran ir acompanadas por un estricto control por parte de losorganismos encargados de la planificaci6n urbana, en el sentido de establecerregulaciones de densidad limitadas para este tipo de zonas urbanas.

i EBo. nantras no * rmfomius, V apru.b. Is LaV de Aguas.

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(d) Procedimiento para ponerlo en vigencia

Esta poiftica de subvenciones tendra que ser acordada con las autoridades nacionales atraves del Ministerio de Planeamiento, y con las autoridades locales en lo que ress.ecta alas regulaciones de densidad urbana. Deben ser igualmente contempladas en el PLIEGA.

3.2.2 Incentivos para el cumprmiento

Las penalidades civiles o criminales por concepto de no cumplimiento de las normas serianlas mismas que aquellas establecidas por la Ley General del Medio Ambiente. Sin embargo,paralelamente a las penalidades es importante establecer un sistema de premios, queestimulen a las empresas por sus iniciativas innovadoras en este campo. Publicaciones pararelievar tales acciones, orientadas a dar prestigio a las empresas por su labor en pro delmedio ambiente, lo mismo que la entrega de premios son ejemplos de premios en el sentidosenialado.

3.3 Instrumentos para el control de la contaminaci6n del dire

La contaminaci6n del aire en Bolivia no es un problema ambiental de gravedad, y eslocalizada y puntual. Sin embargo, las tendencias registradas sefialan la conven.encia deintroducir sistematicamente cambios en las practicas productivas, particularmente en loscentros urbanos ubicados a una mayor altitud (La Paz, Oruro y Potost, donde por efectosde esta altitud las consecuencias serfan mayores), y en los restantes donde el desarrolloindustrial es relativamente mayor (Cochabamba y Santa Cruz). Esto implica, el disenlo deinstrumentos econ6micos que complementen la aplicaci6n de normas y regulaciones paraeste campo.

3.3.1 Cargos por emisiones

(a) Contenido general

El sentido de este instrumento esta desarrollado en el punto 3.1.1. El sistema decobro de cargos por emision de fuentes estacionarias tanto en industria como enminerfa podria resultar interesante en esta perspectiva.

(b) Posibilidad de implementaci6n

jl Los cargos por emisiones no han tenido en ningun pals efectos positivos enterminos de inducir a los establecimientos productivos a reducir la contaminaci6n.Sin embargo, sin orientarse a este prop6sito, tal sistema podria resultar viable5 siempre y cuando este justifique el uso de los recursos recolectados; unajustificaci6n posible podria ser la utilizaci6n de las recaudaciones, para prestar a las

* empresas que hacen inversiones para el control de la contaminaci6n.

(c) Implementaci6n previa adaptaci6n

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Este instrumento podrfa aplicarse en las siguientes condiciones:

* ] Tendria que orientarse a la gran y rnediana industria y minerra. En el casode la pequehia y mediana industria, podria establecerse, para aquellas queI contaminan el aire, un cargo fijo.

1 El sistema tendria que estar restringido exclusivamente a la emisi6n deaquellos contaminantes t6xicos considerados peligrosos para la salud huma-na.

13 El destino final de las recaudaciones podria ser el de contribuir al financia-miento de inversiones de las empresas industrialeslmineras que estendispuestas a incorporar tecnologias de control ambiental. el control de esteinstrumento debiera estar en manos de organismos reconocidos/propios delsector.

D La ssignaci6n de recursos financieros a partir de estos organismos podriaprivilegiar inversiones orientadas a la transformaci6n tecnol6gica y talasignacidn debiera ser regulada por la SENMA. de acuerdo a criterios demayor contaminaci6n producida.

Id) Procedimiento para ponerlo en vigencia

El disenio de este instrumerito tendria que estar contemplado en el PUEGA.

Sin embargo, es oportuno sefialar el riesgo de provocar reacciones de rechazo delos sectores industrial y minero, puesto que este instrumento incide en los costosde producci6n.

3.3.2 Cargos por uso. por producto y cargos administrativos

Ninguno de estos casos es aplicable a la industria y mineria. Aun cuando elinstrumento mis tentador para controlar la contaminaci6n por productos altamentet6xicos son los cargos por productos aplicados al mercurio, cianuro, y otros que seconsidere en esta categoria, resulta mis efectiva la prohibicion de este tipo decontaminantes, y/o el control riguroso de los niveles de emisi6n.

j 3.3.3 Creaci6n de mercados

(a) Aspectos generales

El Comercio de Emisiones aplicado en otros paises no ha tenido efectos considera-bles en la disminuci6n del nivel de emisiones. Por otra parte, su alto costo deadministraci6n en relaci6n con el reducido mercado de empresas productivas concapacidad de demanda de este tipo de autorizaciones para emisiones, hacen de este

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instrumento, inefectivo para la industria y mineria en Bolivia.

Sin embargo, en caso de considerar las limitadas posibilidades de aplicaci6n, podrraseijalarse este instrumento orientado como sigue.

lb) Posibilidad de implementaci6n

El campo de aplicaci6n de tal instrumento podria ser el de emisiones t6xicas talescomo aquellas que contribuyen a la lluvia acida, - el di6xido de azufre-, particular-mente proveniente de las planlas de volatilizaci6n. Sin embargo tal instrumento noesta dirigido al sector publico. pues en este caso, [as plantas son de propiedadestatal, y tales cargos incrementarfan sus costos. Sin embargo, la idea predominan-te podrra ser aplicar tal cargo a emisiones t6xicas similares.

Las posibilidades de exito de este instrumentos son grandes si se considera que lasnormas de calidad ambiental respecto a aire sera bastante modesta. Por otra parte,las fuentes a las que se orientaria el instrumento estan identificadas. Todo ellopodrfa determinar costos reducidos de administraci6n.

(c) Condiciones para su Implementaci6n

1 Debe establecerse los niveles permisibles de los elementos t6xicos considerzdosobjeto de este instrumento.

13 A continuaci6n. debiera procederse a la asignaci6n de las autorizaciones deemisi6n a cada una de las fuentes conncidas de contaminaci6n con tales elementos.

1 En una primera etapa. y mientras se des3rrolle un mercado. las autorizacionesdebieran tener un precio uinico preestablecido sobre la base de criterios y/o formulasa definir. Para ello, se tendria que revisar las experiencias de otros paises, queaplican como base la poblaci6n afectada. o el valor agregado generado.

1 Los permisos podrfan ser transados a traves de intercambios bilaterales, deacuerdo a procedimientos establecidos por la reglamentaci6n correspondiente. Lasubasta de autorizaciones y la fijaci6n de precios de oferta y demanda soninefectivos en Bolivia debido al tamafho reducido del mercado.

13 Las intercambios estarlan limitados a la ecoregion del Altiplano, donde lasdescargas tienen efectos relativamente similares devido a condiciones similares dealtura, temperatura, etc. (La Paz, Oruro, Potosil.

j U Las autorizaciones podrian ser trarsferidas de forma completa o parcial, a cambiode compensacion monetaria, de acuerdo al convenio bilateral establecido.

13 La agencia reguladora debe disponer de un sistema para computar facilmentecualquier cargo en el valor de los derechos, y tener un sistema de seguimientoeficiente sobre los propietarios de los derechos asignados.

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Id) Procedimiento para ponerlo en vigencia

El diseto del instrumento. su procedimiento podrra ser incluido en el PLIEGA.

:;3.3.4 Subvenciones

Si bien el sistema econ6mico no admite subvenciones de ning(in tipo ni para ningun sector,podr[a diseinarse un sistema que no afecte al presupuesto nacional. Si tal sistema es imple-mentado por el Fondo Nacional del Medio Ambiente, podrfa canalizarse recursos financieroscomo donaciones para estimular el desarrollo de tecnologfas innovadoras con emisionesbaias de contaminaci6n del aire, subvenciones para sistemas de energia que favorecen elmedio ambiente, e innovaci6n de tecnologras limpias en general.

13.3.5 Incentivos para el Cumplimiento

Las sanciones de incumplimiento seran las mismas que aquellas previstas par la LeyGeneral del Medio Ambiente, pues de lo contrario se recargarci con penalidades al sistemade gesti6n ambiental que se esti estableciendo en el pais. Por lo demas, premios al controlde emisiones de aire, entraran dentro del regimen de Premia por la Contribuci6n a laConservaci6n Ambiental descrito en el punto 3.1.5.

3.4 Instrumentos para el manejo de desechos s6lidos

:3.4.1 Cargos por eliminaci6n

(a) Contenido general

Se refiere a un cargo a la descarga de desechos industriales, dependiendo el mismo,del tipo de desechos y del m6todo de tratamiento antes de que estos sean des-cargados. Se orientan de esta manera, a incentivar el tratamiento previo a sudescarga.De lo que se trata es de internalizar los costos de la degradacion ambientalprovocada por la descarga de desechos s6lidos industriales y de la mineria.

(b) Posibilidad de implementaci6n

Al igual que el resto de instrumentos econ6micos, este podrfa ser igualmenteresistido por incrementar la lista de impuestos a los que esti sometida particular-mente la industria. y por su incidencia en los costos.

Ic) Implementaci6n previn sdaptaci6n

13 Su aplicaci6n en el caso de industrias podrfa limitarse a algun tipo de descargasde desechos s6lidos no degradables como aceites usados, ylo desechos que podrian

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ser reciclables. En el primer caso se tratarba de inducir el tratamiento de talesdesechos antes de su eliminaci6n; en el segundo, se inducirfa el reciclaje de aquelloselementos que estin siendo eliminados y que encierran un potencial para sureutilizaci6n.

1 Actualmente existe en las ciudades una tarifa por recolecci6n de desechoss6lidos municipales que tambien alcanza a los establecimientos industriales. Paraestos uiltimos se trata de establecer un sobrecargo por eliminar desechos con-siderados como problemiticos desde el punto de vista de la capacidad deasimilacion del ecosistema.

3 La aplicaci6n en el caso de la minerfa estarla orientada a la disposici6n deresiduos y colas que no s6lo afean el paisaje, sin6 que contribuyen a la degradaci6nde recursos hidricos. Sin embargo en este caso, el prop6sito estarfa orientado ainducir el reciclaje de estos residuos, a fin de recuperar todo lo recuperable, ydisponer el resto de forma adecuada. Ello implica evidentemente, la busqueda decapitales nuevos para apoyar tales actividades, de acuerdo a la ley del mineral pre-dominante en las colas.

(dl Procedimiento para ponerlo en vigencia

El diseho de este instrumento tendrba que ser coordinado con el Ministerio de

3.4.2 Minerfa, y luego inclurdo en el PLIEGA.

3.4.2 Cargos por productos

Estos cargos se suman al precio de productos o insumos que causan contaminaci6n,y para los que se ha establecido previamente un sistema especial de eliminaci6n.Por su impacto en la economia a traves del aumento de precios de este tipo deproductos, y por la escasa probabilidad para establecer en un corto plazo lossistemas de eliminaci6n de desechos, este instrumento de inviable en Bolivia.

3.4.3 Subvenciones

(a) Contenido general

Dado el costo elevado de establecer actividades complementarias necesarias en losestablecimientos productivos para reciclar los desechos, este instrumento revisteespecial interes. Sin embargo, el mismo es incompatible con la Nueva Politica

| Econ6mica. lo que significa que habra que encontrar otras vias para implementarlo.

(bi Posibilidad de implementaci6n

Siempre que se decida fortalecer al Fondo Nacional del Medio Ambiente a fin de queeste capacitado para hacerse cargo de la gesti6n de los instrumentos econ6micos,6ste organismo podrfa cana!izar una parte de los recursos provenientes dedonaciones, para subvencionar actividades privadas industriales y mineras que seenmarquen dentro de la politica ambiental.

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Ic) Alcances pare la Implementaci6n

Las subvenciones a canalizar a traves de FONAMA podrian orientarse entre otros,a:

13 Industrias privadas que recuperen recursos, utilicen desechos, desperdi-cios o materiales de baja calidad

1 Empresas que venden productos hechos de desperdicios en lugar dematerias primas de alta calidad

13 Empresas que utilizan materiales reciclados como parte de su abasteci-miento

13 Ayudas para el establecimiento de bancos de materiales

13 Prestamos blandos qe alienten a las empresas privadas a instrumentaractividades de recuperacion de recursos.

(d} Procedimiento para ponerlo en vigencia

El PLIEGA tendria que prever la asignaci6n de responsabilidad de la gesti6n de losIX instrumentos econ6micos, a FONAMA, una vez salvadas las dificultades descritasen el punto

Como parte de estas funciones, el FONAMA tendrla que establecer las condicionesque debieran cumplir las empresas beneficiarias de tales subvenciones, y definir lasactividades sujeto de tales beneficios, en funci6n de las politicas ambientalesnacionales y sectoriales.

3.4.4 Sistemas de Dep6sito y Reembolso

(a) Contenido general

El sistema de Dep6sito y Reembolso se dirige a alentar el reciclaje y evitar lacontaminaci6n. Se trata de uno de los instrumentos que ha registrado mayor exitoen la experiencia de los pafses que han implementado incentivos econ6micos a lagesti6n ambiental. Por esta raz6n ofrece un potencial de logros en la gesti6nambiental en Bolivia.

(Ib Posibilidad de implementaci6n

Este instrumento se ha aplicado particularmente a las bebidas embotelladas. Sinembargo, en Bolivia los envases de vidrio (cerveza. singani y otras bebidas alcoh6-licas) son objeto de reciclaje, pues los consumidores los venden a precios muy bajosa los 'compradores de botellas". que a su vez los venden a las empresas, o a otras

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actividades que fabrican productos caseros y los venden envasados en este tipo debotellas. En cuanto a las botellas de refrescos, estas son canjeadas en el momentode la compra, por envases vaclos.

De esta manera. la recuperacidn de envases de vidrio permite la sobrevivencia desectores de poblaci6n marginados de las actividades econ6micas formales, y poresta raz6n, no es conveniente adoptar el sistema de Dep6sito y Reembolso paraaplicarlo al caso de bebidas embotelladas.

(c) Campos de aplicaci6n

Hay otros campos en los cuales es posible aplicar este instrumento:

O Baterfas de autom6viles.- En este caso se puede establecer un "dep6sito'para las baterfas en venta, el mismo que podrfa ser reembolsado cuando unabaterla usada es devuelta al comerciante dentro de un plazo definido. Eldep6sito no es valido para el caso en que una baterra usada es entregada alcomerciarte el momento de la compra.

13 Envases de pesticidas que la SENMA considere de uso limitado yrestringido.- En este caso se establece tambien un Dep6sito, el mismo quees igual que en el anterior caso, reembolsado con la devoluci6n de losenvases lavados. Los Dep6sitos tendrian que ser variables en funci6n deltamaho del envase.

13 Otros casos similares de envases considerados no deseados por laSENMA.

Id) Procediniento para ponerlo en vigencia

Instrumento a diseniar en coordinaci6n con las alcaldfas municipales, e incluir en elPLIEGA

4. Otros instrumentos a considerar

La alternativa de que FONAMA asuma funciones complementarias, que estAn sefhaladas enla Ley General del Medio Ambiente, - aunque sin explicitar la gesti6n de los instrumentosecon6micos aplicados al medio ambiente- crea la posibilidad de nuevos instrumentos,adernms de los descritos hasta aquf; entre estos podria sehlalarse tentativamente:

- Creditos de privilegio, a tasas menores que las bancarias, dirigidos a establecimien-tos industriales y mineros pequefios. que incorporen tecnologras limpias. Es claroque este instrumento contribuye a distorsional el mercado y por tanto no escompatible con la NPE; sin embargo el costo social del cierre de estas actividadesde pequefla magnitud podr[a ser enorme;

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- Subsidios a energla no convencional;

- Primas de localizaci6n por unidad de empleo generada, para empresas industrialesque se instalen de los departamentos mas deprimidos y contribuyan al desarrollosostenible del mismo;

- Creditos preferenciales en terminos de inter6s y plazo, para industrias orientadasa agregar valor a los recursos naturales renovables y no renovables;

- Cargos por desechas industriales y mineros no reciclables;

- Fijaci6n del precio del agua para fines de riego comercial y fines industriales - encaso de ciudades donde este recurso sea subsidiado-, como base para el estable-cimiento del derecho por el uso de este recurso para fines productivos. En caso dela minerla, cuando el agua es provista directamente del rfo y por tanto no hay uncosto del aprovisionamiento del recurso que no sea su transporte hasta la mina,habra que pensar en una modalidad para establecer un precio del recurso que reflejeel costo de su escasez, o su costo de oportunidad. Sin embargo, esto debera serobjeto de un estudio particular.

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CUARTA PARTE: PROCEDIMIENTO PARA LAADOPCION DE INSTRUMENTOS ECONOMICOSDE GESTION AMBIENTAL

3 1. Tareas para el plazo inmediato

Posteriormente a la tarea efectuada en el presente trabajo. debera procederse a lassiguientes actividades:

(a) Diseho de una Estrategia en la perspectiva de elegir instrumentos econ6micosy lograr combinaciones que se adapten mhs a la realidad boliviana, para apoyar cadauna de las regulaciones ambientales; es claro que ello supone la existencia previade tales regulaciones.

(b) La elecci6n de instrumentos debera ser coordinada con el Ministerio dePlaneamiento y Coordinaci6n. a fin de velar que no haya contradicci6n con elmodelo econ6mico. Al mismo tiempo y con esta instituci6n, se incluirfin los diferen-tes instrumentos dentro de las replanteamientos peri6dicos programados, de laEstrategia Nacional de Desarrallo.

(c) Diseino de las metodologras. f6rmulas y procedirmientos t4cnicos adoptados paracuantificar la proporci6n de montos de cada uno de los instrumentos adoptados;

(d) Evaluaci6n econ6mica del impacto de los instrumentos a adoptar,- consideradosindividual y colectivamente - en el presupuesto nacional, el nivel de precios y laeconomfa en general.

(e) El diseflo de la Estrategia debera definir las tareas de:- Planificaci6n de los instrumentos- Recaudaci6n- Administraci6n de los recursos recaudados

(f) Una vez concluidas estas tareas, se redactara el Proyecto de Ley de Instrumen-tos Econ6micos aplicados a la Gesti6n Ambiental (PLIEGA).

(g) Se canalizara el Proyecto a travis de las vfas correspondientes, en el nivelnacional y local, para que en ambos casos sea considerado y promulgado en elParlamento.

2. La adopcion de instrumentos a nivel nacional

La economia de libre mercado seguida desde 1985 permite la flexibilidad en la adopci6n deinstrumentos de poiftica econ6mica. Sin embargo ello deber6 sujetarse a algunas res-tricciones.

En efecto, las garantlas econ6micas establecidas en la Estrategia Nacional de Desarrolloincluyen el principio de legalidad tributaria segu3n el cual todo tributo, impuesto, derecho,

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tasa, patente, arancel o contribuci6n nacional, departamental o municipal s61o guede serestablecido oor la ley, y no como es habitual, por la vra administrativa21 .

Esto significa que el proyecto de Instrumentos Econ6micos de Gesti6n Ambiental deberaser objeto de una ley expresa que autorice su vigencia. Tal Proyecto debe ser presentadopor la Secretarfa Nacional del Medio Ambiente, a la Comisi6n de Planeamiento y PolfticaEcon6mica de la H.Camara de Diputados.

Aquf hay que selialar que coyunturalmente, el Presidente de esta Comisidn ha sido en laanterior gesti6n legislativa, el Presidente de la Comisi6n del Medio Ambiente que haempujado desde su inicio, el Proyecto de elaboraci6n de la Ley General del MedioAmbiente.- Por esta raz6n, existe la disposici6n de la Comisi6n de Poliftica Econ6mica paraapoyar un Proyecto de Ley de Incentivos Econ6micos para la Gesti6n Ambiental22 .

3. La adopci6n de instrumentos a nivel local

A nivel local, de acuerdo al Art.5.del Sistema Tributario Municipal, se puede proceder a lacreaci6n y modificaci6n de tributos, asf como otorgar excenciones, condonaciones, rebajasy otros beneficios. a partir de las siguientes tareas:

13 la definici6n del hecho generador de la relaci6n tributaria, fi3ar el monto deltributo, la base de su calculo e indicar el sujeto pasivo;

13 Establecer los procedimientos jurisdiccionales;

I 1 Tipificar las infracciones y fijar las respectivas sanciones;

13 Establecer privilegios, preferencias y garantras para el cobro de obligacionestributarias.

De igual manera, el C6digo Tributario prevd que la creaci6n, modificaci6n osupresidn de las tasas, contribuciones y las tarifas o precios por servicios municipa-les", son de exclusiva atribuci6n del H.Concejo Municipal. Sin embargo, dada latendencia expresada en la Estrategia Nacional de Desarrollo, habra que manejar con

Eatrotegi Neciak de Demrolo. Op.Cit

B pnsdo o hslothro condy wn jufo de 1993:T_: z *1 .hbu couy vo eigod ednlio o d iv do un oovic pdbCeo individuracdo on *1 contlibuyentu. S ductpfno debe twr un des om *jln *1 wW*o rquo r lstito *1 _prruso del ob gdf

Por atrt pVt. Canymbuci6n Erodil el *bulao aya olbfgadn tione crno h-rh gnoodor bonoficioo derWedo. de In ralzacidn de dotrmnodos breos pDbceo actvidedes muxncipel a V cuyo producto no debe tunwr un d dtinoa ijano em bifeci6n de dicho. ebras o a le actividado, quo coensituyon of presupuoolo deba obrigociin. La Contibucidn d Msior. *e Is unstid pera contoar la obrn puublica quo produce una voloermrn irobNowia V iui no conma *bM tetal el gortoreabzado y cemr ffrrit. individual *I incrwAnto dl valor ddl rnnible bwnrrirdo.

Finent. los k"Potent- m tibutono cua obligsd6n pedicda tino coain hrcto geordor de Is reezrocidn d la activrded scondnicsaon guisrol, dontro de injurindicddn rnurmiipi.

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cuidado esta facultad municipal y coordinar con este organismo los instrumentosa elegir y el procedimiento mas adecuado.

En todo caso, de sugerirse nuevos ingresos tributarios municipales adicionales V diferentes3 a los existentes. asr como excenciones a los vigentes, la propuesta debe seguir lossiguientes pasos:

(a) Debe ser debidamente fundamentada y enviada para su revisi6n en primerainstancia. a las oficinas correspondientes (Direcci6n Tributaria) de las alcaldias decada una de las municipalidades donde se quiere intervenir.

(b)-Una vez considerada y aprobada la propuesta desde el punto de vista tecnico,esta serci enviada al H.Concejo Municipal para su aprobaci6n;

(c) Una vez aprobada por el H.Concejo Municipal, la propuesta sera incluida en elproyecto de Ordenanza de Patentes e Impuestos que sera puesta a consideraci6ndel H.Senado Nacional para su aprobaci6n final.

En el caso que se tratare de instrumentos bajo el dominio municipal, que no requieranautorizaci6n del Senado, su aprobaci6n seral sujeto de un proyecto de Ordenanza Municipalaprobado por el H.Concejo Municipal.

U 4. Aspectos institucionales

'1 4.1 La gesti6n de los instrumentos econ6micos

De acuerdo al Art.87 de la Ley General del Medio Ambiente. se crea el FondoNacional para el Media Ambiente (FONAMA) como 'organismo de descentralizaci6ndescentralizada con personerfa juridica propia y autonomia de gesti6n, cuyo objetivoprincipal serhi la captaci6n intema a externa de recursos dirigidos al financiamientode planes, programas, proyectos, investigaci6n cientifica y actividades deconservaci6n del medio ambiente y de los recursos naturales".

Es de particular inter6s apoyar la gesti6n ambiental, concediendo a FONAMA laresponsabilidad del manejo de los instrumentos econ6micos, pues de su capacidadde captacidn de recursos propios dependeri la captaci6n de recursos externos encalidad de donaciones, importante fuente de recursos para financiar la conservacionambiental

Por lo demds, el FONAMA es la instituci6n id6nea para hacerse cargo de la gesti6nI de estos instrumercos porque ofrece la garantia y solvencia moral necesaria entreel sector productvo.

Sin embargo esto supondria resolver durante la etapa de disenlo de la Estrategia,algunos problemas:

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(a) FONAMA es una entidad de tipo central, por lo que sera dificil que lasregiones con mayor antecedente de lucha de reivindicaci6n regional permitanque los recursos sean administrados a nivel central.

(b) El Proyecto de Ley de Aguas atin pendiente de adaptaci6n a la LeyGeneral del Medio Ambiente, tiene prevista la creaci6n de autoridadeslocales del agua. que tendrfan entre sus funciones, la administraci6n integraldel recurso. Siendo el principal recurso sujeto de la gesti6n ambiental parala industria y minerba el agua, habrla que coordinar las tareas cuando seaborde la tarea de actualizaci6n de este Proyecto.

(c) Habrra que definir cudles de las tareas podrra asumir el FONAMA ( plani-ficaci6n de los instrumentos, recaudaci6n o administraci6n), o en su defecto,de la forma c6mo se puede fortalecer a esta instituci6n a fin de que se hagacargo de todas ellas.

4.2 El apoyo de instituciones del sector

Aigunos instrumentos. tal como se sefial6 en cada caso particular, requerira de laparticipaci6n activa de instituciones propias. Esta es una ventaja a aprovechar, encuanto disminuirfa el costo de la administraci6n, pues serfan estas instituciones -definidas con el mismo sector- las que asumirfan las responsabilidades de re-caudaci6n. administraci6n y control de la contaminaci6n.Es posible que surja la necesidad de fortalecer estas instituciones para esta ultimatarea a traves de la capacitaci6n tecnica y asesoramiento. Sin embargo, lasdificultades y el costo en este caso seran menores que las que derivaran de que elorganismo regulador asuma toda la responsabilidad de la gesti6n por sr solo.

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5. C O N C L U S 10 N ES

El presente trabajo permite sefialar algunas conclusiones:

(a) Por el grado de industrializaci6n alcanzado en Bolivia, perdura un marcado nivel de fragilidadestructural para asumirtodas las tareas que exigirfa la creacion de una poirtica industrialistade protecci6n del media ambiente. Debido a esta fragilidad estructural, el pars no esta encondiciones para resolver tecnol6gica y productivamente los problemas planteados. Estoplantea la necesidad de hacer una cuidadosa elecci6n de los instrumentos. que sea mfinimaen numero, tolerante dentro de Irmites y plazos razonables. y sabre todo en cuanto aniveles de los cargos a establecer. Al mismo esta fragilidad crea la imperiosa necesidad deestrechar los vinculos que genera la cooperaci6n horizontal.

(b) La definici6n de la forma a adoptar para combatir la contaminaci6n debe considerar eltamahlo de las empresas industriales y mineras. La pequefia y mediana industria (PMI), lomismo que la minerla pequefia y aquella con capitales nacionales y cooperativas minerasno estan en condiciones de proponer soluciones propias ni menos de tomar el problema ensus propias manos.

(c) La politica y control del medio ambiente al margen de los sectores contaminadores no hadado resultados eficaces en ninguna parte del mundo. Es por ello preciso "hacer ecologla'no contra los empresarios sin6 con los empresarios. Esto significa, que la Estrategia deGesti6n Ambiental a disehiarse debe consultar y lograr el consenso de los sectores producti-vos involucrados.

(d) En el disenlo de tal Estrategia sera necesario establecer esquemas de corresponsabilidadsectorial, y aplicar criterios de territorialidad (enfatizando las zonas criticas) y temporalidad(plazos convenidos con los sectores productivos involucrados).

(e) En todos los casos, la Estrategia tendra que ser selectiva en lo que respecta al tratamientode las plantas ya existentes y para las nuevas unidades. Es justo inducir y hasta exigir a lasnuevas unidades que utilicen una tecnologia que, siendo comercialmente viable, asegureen mejor forma el cumplimiento de las normas de calidad ambiental.

Sin embargo, el tratamiento para las unidades ya existentes debera ser diferente. Paraestas, los niveles de emisi6n de contaminantes a fijar debe permitirles cumplir con lasnormas nacionales de calidad del aire dentro de un plazo prudente. Los instrumentosecon6micos en este uiltimo caso deben ser mas inductivos por el lado positivo que

;J represivos, es decir, mas apoyo que penalidades. Esto significa en definitiva, que el controlde las emisiones no demandar;5 necesariamente la transformaci6n productiva de todas lasunidades.

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LISTA DE LEGISLACION MENCIONADA EN EL TRABAJO

Ii1. Decreto Supremo 21060 (Nuev Politica Econ6mica),1985

t 2. Ley No.1182 de Inversiones (Septiembre 1990)

3. Cddigo de Minerta (Ley 1243, de Actualizaci6n, abril 1991)

4. Ley 843 (Reforma Tributaria), 1986

5. Ley General del Medio Ambiente (Ley 1333 de 1992)

6. D.S 23308 (R6gimen Antidumping), septiembre 1992

7. D.S.21298 y 22615 (Levantamiento de las reservas fiscales), 6/junio 1986 y 3/octubre1990 respectivamente.

X 8. D.S No.23059 (Tratamiento de impuestos sabre utilidad es de las actividades mineras),Febrero, 1992

9. D.S.No.23314 (disposici6n de restituir y entregar el agua en la misma calidad en la que fueencontrada), 21fjulio 1992

10. Ley 876 y 877 (Tratamiento Preferencial para industrias que se establezcan en los territorios1i de Oruro y PotosOl.- 25 abril/86 y 21mayol86 respectivamente.

1 1. Ley Organica de Municipalidades, 1985

12. D.S.22964 (Decreto para la lucha contra la pobreza), noviembre 1991

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| BIBLIOGRAFIA CONSULTADA

I Anderson Dennis 'An economic perspective on management in the public sector" In: Environmen-tal Management in developing countries.- OCDE, Paris, 1991

Bernstein, Janis D. "Planteamientos Alternos para el Control de la Contaminacifn y el Manejo deDesechos: Instrumentos Regulatorios y Econ6micos". Banco Mundial, 1992

Brzovic Francisco J. Informe Preliminar sobre 'Instrumentos Econ6micos de Regulaci6n Ambiental"Secretaria Nacional del Medio Ambiente, Enero 1993

Cdmara Nacional de Indsutrias 'Un gran Desaffo: El Desarrollo Industrial Competitivo" Primer1 Congreso Nacional de Industriales.- Cochabamba, noviembre de 1992

Corporaci6n Departamental de La Paz 'Estrategia de Desarrollo para el Departamento", 1992

Ministerio de Planteamiento y Coordinacion 'Estrategia Nacional de Desarrollo: Un instrumentoI para la Concertaci6n", Republica de Bolivia.- La Paz, 1992

Panayotou Theodore 'Economic Incentives in Environmental Management and their relevance todeveloping countries' In: Environmental Management in developing countries.- OCDE, Paris, 1991

Pearce David "New Environmental Policies: The recent experience of OECD Countries and itsrelevance to the Developing World" In: Environmental Management in developing countries.-OCDE. Paris, 1991

Violand, Maria Eugenia "Anglisis de la Ley de Inversiones de 1971" En -La Industria, problemasj y perspectivas" Publicaci6n del Instituto Latinoamericano de Investigaciones Sociales, 1980

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APPENDIX IV.3

SECTORAL ENVIRONMENTAL ASSESSMENT OF THE MINING AND INDUSTRIALSECTORS IN BOLIVIA

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ANALYSIS OF BOLIVIA'S INSIITUTIONAL AND LEGALFRAMEWORK FOR THE ENVIRONME NTAL SECTOR

By Valeria MerinoDirani

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TABLE OF CONTENTS

I. POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK . . . . . . . 1A. Organization of the government . . . . . . . . . . 1B. General national policies, laws and institutions

for environment . . . . . . . . . . . . . . . . . . 21 B.1. The General Environmental Law . . . . . . . . 3B.2. The National Secretariat for the Environment

(SENMA) . . . . . . . . . . . . . . . . . . . 4B.3. The Departmental Councils for the Environment

(CODEMAs) and their Departmental Secretariatsfor the Environment (SEDEMAs) . . . . . . . . 5

B.4. National Environmental Fund (FONAMA) . . . . 6B.5. The Bolivian Environmental Action Plan

(PAAB) . . . . . . . . . . . . . . . . . . . . 6C. Environmental impact assessment . . . . . . . . . . 7D. Use of land and natural resources . . . . . . 8 . . 8

D.I. Planning and Development . . . . . . . . . . . 8a. Urban Development . . . . . . . . . . . . . 8

D.2. Soil and biodiversity conservation . . . . . . 11D.3. Water resource management . . . . . . . . . . 13

E. Pollution management . . . . . . . . . . . . . . . 14E.1. General aspects . . . . . . . . . . . . . . . 14E.2. Water pollution . . . . . . . . . . . . . . . 14E.3. Soil pollution control . . . . . . . . . . . . 16D.4. Air pollution . . . . . . . . . . . . . . . . 17

F. occupational health and safety . . . . . . . . . . 17F.I. The Labor System . . . . . . . . . . . . . . . 17F.2. Legislation of Occupational Health . . . . . . 18F.3. Institutional framework for Occupational

_Health . . . . . . . . . . . . . . . . . . . . 20G. Foreign assistance . . . . . . . . . . . . . . . 22

II. THE MINING SECTOR: POLICY AND LEGAL FRAMEWORK . . . . . . 23A. Economic/legal reform and the mining sector . . . . 23B. Mining and environment . . . . . . . . . . . . . . 23C. Supporting institutions . . . . . . . . . . . . . . 24

C.1. Within Bolivia . . . . . . . . . . . . . . . . 24C.2. Foreign assistance . . . . . . . . . . . . . . 24

III. INDUSTRIAL SECTOR: POLICY AND LEGAL FRAMEWORK .... 25A. Economic/legal reform and the industrial sector 25B. Industry and environment . . . . . . . . . . . . . 25

B.1. Water . . . . . . . . . . . . . . . . . . . . 25B.2. Solid Waste . . . . . . . . . . . . . . . . . 26

C. Supporting institutions . . . . . . . . . . . . . . 27C.1. Within Bolivia . . . . . . . . . . . . . . . . 27C.2. Foreign assistance . . . . . . . . . . . . . . 28

TV. FINAL RECOMMENDATIONS . . . . . . . . . . . . . . . . . . 29

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APPENDIX No. 1 Revised Legislation .30.....

| APPENDIX No. 2 Bibliography .32...

APPENDIX No. 3 List of Interviewees. .*..........34

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TABLE OF ACRONYMS

CFD The Center of Forestry Development

CODEMA Departmental Councils for the Environment

CM The Council of Ministers

COMIBOL Bolivian Mining Corporation

CONEPLAN The National Council of Economy and Planning

ETAP The Environmental Technical Assistance Project of theWorld Bank

GOB The Government of Bolivia

HOHW The General Directorate of Hygiene, Occupational Healthand Welfare

INSO The National Institute of Occupational Health

JGF Japanese Grant Facility

MACA Ministry of Rural Affairs and Agriculture

MEC Ministry of Education and Culture

MECE Ministry of Exportation and Economic Competitiveness

MEH Ministry of Energy and Hydrocarbons

MPH Ministry of Public Health

MMM Ministry of Mines and Metallurgy

MPC Ministry of Planning and Coordination

MTCPA Ministry of Transportation, Communications and PrivateAeronautics

MUA Ministry of Urban Affairs

NDH National Directorate of Hydrocarbons

NEL National Environmental Law

NGO Non-governmental organization

NIC The National Institute of Colonization

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NSAR National Service of Agrarian Reform

PAAB Bolivian Environmental Action Plan

SEDEMA Departmental Secretariat for the Environment

SENMA National Secretariat for the Environment

TCU Technical Coordination Unit of FONAMA

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ANALYSIS OF BOLIVIA'S INSTITUTIONAL ANDLEGAL FRAMEWORK

FOR THE ENVIRONMENTAL SECTOR

1. POLICY, LEGAL AND ADMINISTRATIVE FRAMEWORK

| A. Organization of [he government

1. Bolivia is a republic with a democratic type of government. The three branches of governmentalpower in the country -as set forth in the 1967 Constitution presently applicable- are the presidency, theLegislative Assembly, and the Judiciary.

2. The Executive branch is directed by the President, that is elected for periods of four years. Likeother countries in Latin America, Bolivia hat a bicameral legislative (Asamblea Legislativa). TheExecutive branch has two chambers and both the members of the Chamber of Representatives and theChamber of Senators are elected every four years. Members of the Assembly can be reelectedconsecutively, unlike the president, who has to leave office at the conclusion of his term. Finally, theJudicial branch is headed by the Supreme Court and is based in La Paz.

3. The attributions of the three branches of the government are laid out by the Constitution. Thestricture and powers of the Executive Branch are supplementary established by the Law. The Executivehas the power to appoint and remove ministers at the national level to administer and manage tiesectorial areas and act as heads of the different sectorial ministries that are created by Law. Within theExecutive Branch each one of Ministries is responsible for planning and formulating policies related toits own sector. The principal ministries with direct responsibilities regarding pollution control are:

Ministry or Energy and hlydrocarbons: implementation of policy and administration of all activitiesrelated to the development of energy resources and exploration and exploitation of hydrocarbons. ThisMinistry has a National Direction of Hydrocarbons. Yacimientos Petroifferos Fiscales Bolivianos (YPFB)is the public autonomous institution, under this ministry that is responsible for oil exploration,exploitation and industrialization at the national level.

Ministry or Exportation and Economic Competitiveness: define policies for international commerce,foreign investment, promotion of competitiveness and local industry, commerce and tourism.

Ministry of Social Weirare and Public HealUt: plan, direct, coordinate and implement the government'shealth policy; draft all necessary technical regulations to protect the health of the population at large andto preserve the enviromnent. Under this Ministry there is the National Institute of Occupational Health(INSO), the most important organization witlhin this sector and also the General Directorate of Hygiene,Occupational Health and Welfare (HOHW).

Ministry of Labor: plan, direct, coordinate and implement the government's workers policy. Within theMinistry there is a small unit for worker's health and safety.

[l Ministry or Mines and Metallurgy: implementation of policy and administration of all activities related

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to tile exploration and exploitation of mineral resources.

Ministry or Planning and Coordination: assist and advise the President, the Council of Ministers andother public institutions regarding social, institutional and economic development policies, strategies,plans, programs and projects; plan and orient, in coordination with die other corresponding ministries,the economic and social activities at the national, regional and local levels.

Ministry or Public Works: participate in the planning, coordination and implementation and development] of programs and plans for the urban and regional development of dhe country.

Ministry of Rural Affairs and Agriculture: implement policy and administer all activities related to theagricultural sector, including farming and livestock; protection, conservation, restoration, development,promotion and control of rational use of all natural renewable resources, including forests, watershedsand soils.

The National Secretariat for the Environment: a secretariat under the President's Office with the statusof a ministry, responsible for designing and directing all policies and strategies for environmentalprotection nationwide.

4. The government structure also includes some public institutions that work at the regional and locallevels. These levels are comprised of autonomous institutions and decentralized institutions.

5. At the regional level (departments) the General Law of Regional Corporations for Developmentcreated public institutions with regional competence to coordinate and promote social and economicdevelopment, through the design and implementation of programs and projects, to fulfill the nationaldevelopment policies. At the same level, the country is divided into nine administrative departments:Pando, La Paz, Beni, Cochabamba, Santa Cruz, Oruro, Chuquisaca, Tarija and Potosf. These departmentsare further divided into provinces and municipalities. The capital of every department has a municipality,that is administered by a major and a municipal council. Each municipal section has also either amunicipal council or a municipal board junta) depending upon the population number.

6. Besides municipal authorities that are elected through popular vote, each department has a centralauthority representin. die executive branch, called Prefecto. Each province ias a Sub-prefecto.

B. General national policies, laws and institutions ror enviroiunelit

7. Bolivia as many other countries in Latin America is starting to prepare policies regarding effectivemanagement of natural resources and environmental protection, including aspects of pollution control.This is specifically addressed when referring to the Bolivian Environmental Action Plan (PAAB).

8. Regarding existing legislation, a myriad of laws have been enacted and are currently in force, butmost of then have responded to a very sectorial view. Inter-relations among them were not taken in

| consideration, resulting in many cases in overlapping among institutions. Laws in this area were enactedwithout considering die purpose of contributing to the process of sustainable development, mainly becausethe concept of sustainability still remains an academic and scientific concept that has not been able to findI its transition into operative actions.

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9. Sectorial laws scarcely mention the protection of the natural resources and die environment andmost of them are only very general statements, that do not describe clear procedures to protect theenvironment and prevent industrial pollution.

10. In general, Bolivia lias several governmental and semi-governmental institutions charged withresponsibilities related to economic development, natural resources management and environmentalprotection. Many of these institutions have authority directly affecting each others mandate and often theirdecisions overlap. In some cases responsibilities have not been legally assigned to anyone.

11. There is not a well-defined Axrnlinaling mechanism acrsms public implementing agencies(ministries) on areas affecting environmental protection. De facto coordination sometimes happens whenissues become contentious or become of a national interest. The means of coordination should beCONEPLAN. Unfortunately, CONEPLAN is able to resolve contentious issues only at the policy level,when the majority of the overlaps or conflicts occur at the operative level of the institutions. The NationalSecretariat for the Environment (SENMA) could promote a process to identify those issues and proposemechanisms to solve them at the operative level.

12. All institutions act under the 'uinbrella' of two types of laws. The laws that created or establishedthem and the laws that regulate specific resources and gave them lhe overall responsibility. Therefore,it is almost impossible to separate the institutional regimen from the legal regimen. Both interrelatedirectly and affect each other constantly.

13. The GOB, through the National Secretariat for the Environment (SENMA) is engaged in ananalysis of all the existing legal provisions regarding environmental protection.

14. Since the local public level has limited capacity and little perspectives of building up that capacityin the short-term, NGO's become even more important because they represent the only other choice tolook issues at the local level with the direct participation of the community.

15. 'Ihis analysis will cover a general overview of institutions and legislation related to pollutioncontrol.

B.I. The General Environmental Law

16. The enactment of the General Environmental Law of Bolivia had as an important antecedent thesigning in 1990 of the Ecological Historical Pause (Pausa Ecol6gica Hist6rica, D.S. 22407 of JanuaryI I, 1990 and its regulations D.S. 22884, of August 3, 1991). This Ecological Pause was initially an effortto control timber extraction, which had gone unchecked for decades. The objective was to stop grantingnew timber contracts for five years. In this period the GOB would start land use planning efforts andwould initiate actions to regulate the timber industry.'

17. Shortly after, the concept of the ecological pause was expanded as governmenl officials realized

IQufntela, Carlos E- Bolivia's National Fund for the Enwironrment, A joint public/private effort to orgernizthe investment in the enironment, FONAMA, November. 1991. p. 1.

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that was necessary to develop a national environmental agenda, that would go beyond forestry protection.The Ecological Pause, it was concluded, would have to deal with much more fundamental issues, likethe consolidation and definition of institutions and processes to meet the environmental needs of thecountry. As a consequenme, the need for a national environmental umbrella law became evident.

I S. The Government adopted the new umbrella environmental law in June 1992, the Ley General delMedio Ambiente (National Environmental Law - NEL, Law No. 1333 of April 27, 1992). The lawcreated a small environmental coordinating agency, the National Secretariat for the Environment

j (SENMA).

19. The NEL lays out a general conceptual framework regarding environmental quality, such as, air.water and soil pollution control; environmental problems caused by natural disasters; control of the useand importation of toxic or dangerous substances and the introduction of toxic waste; general principlesfor natural resources management, including renewable and non-rcncwable resources; population,environment and land use regulation to promote sustainable development; health and environment;

l environmental education; science andi tedinology; administration of funds for environmental protection;economic incentives to promote environmental protection; community participation; infractions, sanctions,procedural matters and preventive and corrective actions; and general provisions to implementenvironmental impact assessments.

20. This Law states that specific regulations would be established through secondary legislation andtherefore it is expected that most sectorial laws, such as the forestry law, the mining law, the agrarianreform law, the biodiversty law, among others, would have to be reformed to comply with the principlesof the NEL.

21. In order to carry out the mandate of the current Law all ministries must adapt their organizationalcharts to include a unit in charge of environmental issues.

B.2. The National Secretariat for the Environment (SENMA)

22. SENMA is a secretariat under the President's Office, created in 1992, with the status of aMinistry and is the official unit responsible for designing and directing all policies and strategies forenvironmental protection. SENMA's mandate includes: Formulating and overseeing application of theenvirownental policies; introducing the environmental variables into the planning process. The Directorof SENMA is member of the National Council of Economy and Planning (CONEPLAN); planning,coordinating and monitoring all activities related to the management of the environment;promoting sustainable development; regulating and supervising the activities under its competence incoordination with other public national and local entities; approving or rejecting the Environmental ImpactAssessments of national imiportance, in coordination with the sectorial ministries and the DepartmentalSecretariats of the Environment (SEDEMAs); and, promoting land use regulation programs (ordenamientoterritorial) in coordination with other public and private institutions, regional or local.

23. SENMA promotes and executes the necessary acLions to fulfill the main goal of the NEL,environmental protection. These actions are the duty of SENMA's technical units: the Directorate ofEnvironmental Policy (that includes the PAAB), the Directorate of Environmental Quality Control, the

J Directorate of Protected Areas and Biodiversity, the Directorate of Legal Matters and the Directorate ofIntegrated Resources.

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24. In the legal and institutional side SENMA is preparing under the Japanese Grant Facility (JGF)various drafts of laws and regulations. This effort would be complemented by a project to be financedby the World Bank, the Environmental Technical Assistance Project (ETAP), that would run until 1995.

25. Under the JGF, SENMA is preparing the General Regulations to the National EnvironmentalLaw, the Regulations for Environmental Impact Studies, the General Regulations regarding EnvironmentalQuality, a new Forestry Law and a Law for Conservation of Bitdiversity. SENMA is also assistingCongress in order to ensure enactment of these laws.

26. Under ETAP, SENMA would be preparing a National Water Law, beginning in August of thisyear. During this year SENMA would also carry out other activities related to legal and institutionalareas, such as: training regarding environmental legislation through various seminars, one for politiciansand decision makers and one for the private sector; and the installation and operation of a data base forthe legal department (SENMA has been receiving also the assistance of the JUCN and PNUMA-ORPALof Mexico in this matter).

27. In 1994 the Legal Department (LD) would start working in a draft of a National Organic Lawof Territorial Organization Oand use); the general regulations for environmental protection regardingmining and oil drilling; an analysis of the existing international environmental protection conventions thathave not been signed and confirmed by Bolivia; a proposal to reforn the procedural system to allow classaction or community action even when there is not a direct interest at stake; a follow up of the 'Agenda21"; and, the preparation of information bulletins. During that year the LD would continue with thetraining activities with two more seminars, one for the municipalities and the other for the local NGO's.

28. SENMA is expecting also, in 1995, to assist the sectorial institutions to prepare specificenvironmental quality standards and the necessary regulations to the above mentioned laws.

B3. The Deparlmental Councils for tbe Environment (CODEMAs) and their DeparlnientalSecrelarials for the Environment (SEDEMAs)

29. The NEL also established Departmental Councils for the Environment (CODEMAs) in eachdepartamnento of the country, as organisms with the highest decision making power and consultation todecide mainly regarding the environmental policy within their jurisdiction; to approve and enactenvironmental regulations to be applied within their departameneo; to supervise and control all activitiesof the SEDEMAs; and to propose lists of candidates for Departmental Secretary of the Environment.These councils have the power to approve regulations related to the management of the environmentapplicable within the boundaries of their territories.

30. To give operativeness and Lechnical assistance to the council, the Law also created theDepartmental Secretariats for the Environment (SEDEMAs). These secretariats are decentralizedorganisms of SENMA, that would execute the policy of the CODEMAs and that would oversee that suchpolicy follows the national environmental policy formulated by SENMA. These secretariats are not yetoperative and there is a particular concern regarding the staffing of these offices due to the lack ofqualified personnel in most of the departamnenos.

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31. USAID, sharing this concern has developed and financed a program to send to the United Statedfifteen fellows, to obtain master degrees in areas related to environmental proLection, and quality andpolluLion control. At least one person comes from each depoanerito in the country. It is expected thatat least two or three persons would specialize in mining issues and the protection of the environment.

.B4. National Environmental Fund (FIONAMA)

32. Financing of environmental project is the direct responsibility of FONAMA (the NationalEnvironment Fund), a public institution, created by Law No. 1333 in 1992.

33. FONAMA is an umbrell2 fund composed of accounts each with different characteristics andobjectives determined by the source and purpose of the funds obtained. FONAMA has a steeringcommittee formed by: SENMA represented by its National Secretary, three represcntatives of theexecutive branch, three CODEMAs, and one representative of the local NGO's.

34. FONAMA has the role of organizing all the investment in conservation, sustainable developmentand environmental protection. To support and expand the operations of its accounts, FONAMA has three-i functions: technical, administrative and fund-raising. The last one encloses raising and managing funds,including design and negotiation of debt swaps.

35. In order to comply with the requirements of every donor, regarding management and destiny ofspecific funds, FONAMA has as many Technical Comnittees as sources of funding. A TechnicalCommittee is in charge of managing funds from one specific sources, i.e. the Enterprise for the AmericasInitiative, and it would be organized depending on the requirements of tile donor.

36. In the case of the Enterprise for the Americas Initiative, the Committee must have representativesfrom the government of the United States and the GOB and a majority of representatives of environmentalNGO's. These funds will only be used to finance environmental projects to be implemented by NGO's.

37. The Technical Coordination Unit (TCU) of FONAMA is responsible for incorporating all thei projects that are received into a project portfolio, which if approved is integrated into the national project

portfolio under the responsibility of MPC. Once this task is completed the TCU organizes the portfoliointo a national environmental investment program.

38. FONAMA through this program tries to meet the priorities defined by SENMA in the BolivianEnvironmental Action Plan (PAAB).

B.5. The Bolivian Environmental Action Plan (PAAB)

39. In 1991, the GOB and the international aid agencies discussed for the first time the need toprepare a PAAB. The PAAB is a project under the responsibility of the Directorate of Environmental

a Policy of SENMA. The purpose of this plan was to design policies and to identify priorities forenvironmental protection. In 1992 SENMA, with the financial assistance of the USAID through the PL-480 program and the World Resources Instilute, started to develop the PAAB.

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40. 'This PAAB has a unique characteristic that separates it from other environmental action plans.Its main purpose is not only to prepare a document, but mainly to establish and support a permanentprocess. The unit within SENMA in charge of the PAAB, definrs policies and priorities and producesa constantly reviewed environmental plan independently of whether funds are available or not.

41. A reference to a 'process' has been made because, the action plan is not a mere study that resultsin a document, although a action plan could be reflected in a document or various documents. A PPABis a process of diagnosis, discussion and conflict resolution with all possible interested public and privateparties, that allows an institution like SENMA to identify major environmental problems in the countryand possible actions to he implemented through other public instilutinns, in charge of a specific seclor.

42. The general objectives of the PAAB are: Establishing a normnative and institutional frameworkthat makes possible to incorporate environmental issues into the national and regional developmentpolicies; formulating systematically national and regional environmental policies, that guide theimplementation of specific projects and activities by SENMA, FONAMA, MPC, and the other sectorialinstitutions; promoting the study and analysis of matters related to environmental protection, by researchand educational centers, community groups and NGO's, at the national and regional level; and, exposingto the public knowledge the activities and accomplishments of the PAAB, thorough the mass media,nationally, regionally and internationally'.

43. The PAAB has been implementing the following activities: a) organizing national and regionalplanning workshops, to prepare national, regional and local policies for environmental management inel Pando, Beni, Santa Cruz, Cochabamba, Chuquisaca, Tarija, La Paz, Oruro and Potosf; b) organizingspecific sectorial workshops, to prepare specific policies; c) Conducting a research and analysis programto prornote environmental protection awareness and appraisal of the most important environmentalproblems linked to economic development.

44. As a tangible result of the PAAB, several documents have been produced. The most importantone collects the conclusions of the National Workshop for Environmental Planning, that was held inCochabamba in August, 1992. This document summarizes the proposal for a national environmentalpolicy3.

C. Environmental impact asesrsment

45. The National Environmental Law, in articles 24 to 28, refers to ElAe. The Law states variouscategories of studies depending upon the possible impacts of prjects or activities. It is mandatory for allpublic and private activities or projects to be classified under those parameters. Article 25, contains thefollowing categories: a) requires a full analytical EIA; b) requires a specific analytical EIA; c) it does notrequire a specific analytical EIA, but a conceptual analysis; and

2 Gui *s el P.A.A.B.7. SENMA. 1992.

Propuestes para uns Podtice Ambientat Naconal. SENMA. 1992.

ElAs are the set of adriunistrative procedures, studies and technical systems that allow to evaluate theimpacts. negative end positive, that could be caused by a specific activity or project, NEL, article 24.

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d) it does not require any study. Mie NEL does not specify the pmcedure to apply this classification.

46. As the result of a study corresponding to any of the mentioned categories, a EnvironmentalImpact Statement (Declaratoria de Impacto Ambiental - DIA)' has to be prepared by the competentsectorial organism and then issued by the SEDEMAs and finally ratified by SENMA. SENMA has twentydays to raLify such statement and failure in doing so results in an automatic waver of this requirement.If a project has a national scope, the DIA has to be prepared directly by SENMA (article 26).

47. SENMA and its SEDEMAs have, in coordination with the existing regional organisms, the dutyto control, monitor and evaluate the implementation of the EIAs and all protection and mitigation plansresulted from the elaboration of such studies and the corresponding DIAs (article 28).

48. As a result of the enactment of the NEL, SENMA has to regulate the types of public and privateprojects and activities that require EIAs in the terms described in article 25. SENMA is currentlypreparing and analyzing a set of regulations to define the procedures for filing, categorizing, evaluating,controlling, monitoring and evaluating EIAs

D. Use of land and natural resoiurces

D.I. Planning and Development

49. Planning in general is done at three different levels. The National level in charge to the Ministryof Planning, the sectorial level in charge to other ministries and other public institutions and the locallevel in charge to the municipalities.

50. In Bolivia there is also planning at the regicnal level, that is the responsibility of the RegionalCorporations for Development (RDC), that are public institutions with deparLmental competence tocoordinate and promote social and economic development.

a. Urban DeveloDment Regarding the use of land for urban development there are three institutions withsimi!ar responsibilities: the municipalities, the Ministry of Urban Affairs and the Ministry of PublicHealth.

51. The Ministry of Urban Affairs (MUA) is the highest sectorial authority with competence to definepolicies for urban deveopment and enact generally enforceable regulations for the sector.

52. This ministry is mainly a regulatory agency and not an implementing agency. The MUA hasprepared and enacted regulation related to the construction of potable water and sewerage systems as wellas sanitary facilities in buildings.

A Environmental Impact Statement would indude ll studies. recommendations. norms and lirmits to befollowed in the implementetion of * project or activity evaluated and registered in the SEDEMAS or inSENMA. The DIA would become the legal and technica refererce for the periodic evaluation of a projector activity.

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53. Municipalities have nlanning responsibilities at the local level. The Municipal Code, article 9 lit.1, gives lo municipalities the compctence to elaborate, approve and execute urban development plans atthe local level. Municipalities traditionally have concentraLed their efforts in tbe, urban areas, lacking thecapacity tl) plan for rural areas.

54. ArLicle 9, lit. 17 of the same code, assigns municipalities die duty 1o preserve the envirmnient,control pollution and maintain the ecological equilibrium, in coordination with the Ministry of PublicHealth and the Ministry of Agriculture.

55. At the urban areas, the municipalities should also provide all necessary public services andadminister them, i.e. potable water, sewerage systems, solid waste disposal, etc. T'his gives implicitly themunicipalities competence to oversee all aspects of pollution control.

56. The Ministry of Public Healdil, un.er the Health Code of 1978, has some responsibilitiesregarding environmental protection and pollution control, although urban planning in general at the local

| level is a duty of the municipalities.

57. The Ministry of Public Health has direct responsibility to control that health standards are metin all sorts of constructions and buildings, including aspects like the following ( Health Code, articles 46-52): all new urban development, the expansion of existing towns and cities and the construction of newneighborhoods; and, the health standards for construclion and functioning of theaters, cinemas, sportsfacilities, hotels, restaurants, transportaLion facilities (airports, harbors, bus stations).

58. The Ministry or Public Health is also allowed to inspect at any time houses, office and apartmentbuildings, etc., to control health and safety standards.

b. Potable Water Surmlv On one hand, under the Code of Health, D.L. No. 15629 of 1978, tie Ministryof Public Health (articles 32-38) has the duty to regulate, oversee and control the quality of all water usedfor human consumption. On the other hand, the Ministry of Urban Affairs, through D.S. 2296411991,is the institution with national competence in basic sanitation, including potable water and seweragesysteems.

59. Although, D.S. 22964 was enacted subsequently to the Code of Health, Supreme Decrees (D.S.)are of lower hierarchy than Law Decrees (D).L.) enacted under a de-f3cto type of goverruments andtherefore can not be superseded by D.S.. Accordingly, at least from the legal point of view the Ministryof Pubhic Health remains a competent institution in this area.

60. The Ministry of Urban Affairs, through the National Directorate of Basic Sanitation of theMinistry of Urban Affairs (DINABSA), has national jurisdiction and competence to: organize the nationalsystem of basic sanitation (potable water and sewerage). This includes, prioritization of all plans an;dprojects of basic sanitation to be implemented by any public or private entity with the objective ofincluding ihem into the National System of Investment; organize all national pre-investment programs;coordinate that regional programs comply with the national planning; supervise the tariff policy; assistthe Departmental Directorates of the RDCs and the local water enterprises, among other attributions.

3 61. DINABSA is empowered by D.S. No. 22964: to plan at the national sectorial level and tocoordinate with all pertinent national and international organisms; to regulate the design of water and

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sewerage projects; and, to provide assistance to the municipalities, water enterprises and RDCs, andcooperatives, committees. juntas and NGO's involved in water supply projects.

62. Currently, DINABSA is playing mainly a normative and planning role. This unit is notimplementing or executing any infrastructure projects, although it is assisting in the design phase ofprojects and also in allocating resources. The Social Investment Fund (FIS) would be financing projectsthrough hiring of construction companies. There will also be one million USS available for pre-feasibility(pre-inversi6n) studies to -the provided by the World Bank.

63. Under the Organic Law of Municipalities of 1985, the municipalities have to offer services suchas potable water supply and sewerage system. Neverlheless, municipalities under the Organic Law ofMunicipalities do not have the competence to regulate potable water quality.

64. Potable water services are currently administered in almost all cases by water enterpriscs, whichhave a direct participation of the municipality within their board of directors. In some cases, like in SantaCruz, the community has a direct participation in the administration of SAGUAPAC, the water cornpany.

65. SAMAPA in La Paz, SEMAPA in Cochabamba, SAGUAPAC and others alike apply in generalthe potable water standards of the WHO. A centralized system of water quality monitor_ ., hI-. not beenimplemented, although a informal systen called Program for Qualitv .2:nntrol and Water Monitoring(Programa de Control de Calidad y Vigilancia del Agua), has been opet ^ several years, with theparticipation of the private sector.

c. Rural development National planning and development contrmi . .ardlin rral Ind use is amostnonexistent, both at the legal and operative level. Use of rural land currenL.j iesponds in Bolivia to theindividual decisions of the owners or to the always increasing demographic pressure. This has notnecessarily been the resulL of a lack of political willingness to solve the pro' ;em, but it has raLher been

X the consequence of the social structure, that gravitates around the land.

66. At the sectorial level, serious efforts to establish a pattern of soil utilization have beenimplemented without tangible results. The Law of Agrarian Reform recognizes a system of land usecapability classification (articles 97-100) but a national mapping to actually classify the soil under thoseparameters has not been performed. The only other significant reference in the same law, relates to theofficial recognition of rural towns wnd communities, with the purpose of including them in the planningprocess to provide them with basic services and other necessities for development (article 101-113).

67. The enactment of a sectorial law in this area seems advisable and it is considered a priority bySENMA. It is not clear yet the concept that such a law would embrace, but it would be efficient only ifa verv flexible body of regulations is devised to allow the law to adapt to the development of the process.

cd. General considerations Land use planning and control includes generally additional cDncerns, suchas agriculture and forestry development, national parks and biodiversity conservation, and recreation,among other. All those issues although do not relate directly to the case in point, industrial and miningpollution, are dealt with in this annex.

68. nTe issue of land planning and development must respond to some kind of prioritization in orderto determine parameters for urban and rural planning, agriculture versus forestry, conservation ofsensitive ecological areas and biodiversity in favor of other activities and also the definition of uses and

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conservation or hydraulic resources.

69. All these Issues are going to be addressed during the preparation and analysis of the new NationalWater Law, National Organic Law or Territorial Organization land use), Forestry Law and Law forCGnservation of Biodiversity. Nevertheless, it seems necessary to explore dite possibility to have acomplernentary Urban and Rural Development Code. This Code should comprise all laws and regulationsattaining to the planning and organization of rural and urban areas, regarding land use: the administrationof public services (water, sewerage, and solid waste); the environmental and health control in the urbanareas; the authorization for partition of parcels and lots: lbuilding of public and community infrastructureand services; all new urban development (neighborhoods), the expansion of existing towns and cities andthe construction of houses, office and apartment buildings and public works (roads); etc.

D.2. Soil and biodiversily conservation

70. Bolivia's legislation refers to the protection or the soil in dilferent laws generally linked to theregulation of agricultural use of the land and forestry. Those regulations have to be enforced by severalinstitutions with similar responsibilities under the law: the National Service of Agrarian Reform, theNational Institute of Colonization and the Center of Forestry Development (CFD). Additionally, activitiesfor soil conservation have been associated with protected areas and national parks, which are currentlymanaged by the Directoraie or Protected Areas and Biodiversity of SENMA.

Agrarian refrrn

71. The National Service of Agrarian Reform and the National Institute of Colonization: theregulation of land use for agriculture in Bolivia has been very much linked since 1953, with the processof Agrarian Reform. Indeed, the Law of Agrarian Reform (D.L. 3464) was enacted in August of 1956and its implementation was given to the National Service of Agrarian Reform (NSAR), with the mandateto define the policy of agrarian reform and to redistribute land and resources on a more equitable basis.

72. The Agrarian reform modeled on the Mexican experience, established the entitlement of thosewho own and use land, and has not change in the past 40 years. The original owner of the land is thestate, which can sell or grant it with title. Entitlement apply to users dassed as smallholders, indigenouscommunities, medium holders, and large enterprises. Land rental and sharecropping are prohibited,

- properties classed as small may not be mortgaged, and working of the land is a means to acquiring title.

73. Later in 1966, the Law of Colonization (D.S. 7765), was also enacted to promote a process of- occupation by settlers, of state owned lands or lands that were under-used. These settlers would have to

be reallocated into the areas open by the government. This law had to be implemented by the NationalInstitute of Colonization (NIC).

74. Unfortunately, neither the agrarian reform nor the colonization process linked titling with the needto prevent soil degradation. In fact, the agrarian reform along with the colonization mechanism promotedI an aggressive process of division of the land into small (10-15 ha.) and middle size lots (30-350 ha. inEl Altiplano and 150-600 ha. in tropical and sub-tropical areas), providing little technical assistance andcredit.

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75. Recent studies have concluded that blame for poor performance of the agrarian reform programfall almost exclusively on the allocation and quality of public expenditures that could have altered thephysical capital, knowledge embodied in human resources (human capital), and availability of moderninputs-and thus could have increased welfare and reduce damage to the environment.

76. Currently the agrarian reforn and colonization process has come to a halt, because thegovernment has decided to paralyze all activities within the NSAR and the NIC undertaking a majorauditing operation to evaluate and correct procedures within these institutions. Furthermore, it seems thatthe GOB would substitute the mentioned institutions with a new public entity that would be called theNational Land Institute. Consequently, it also seems that the Law of Agrarian Reform and the Law ofColonization would be revised and probably reformed.

Forestation

77. The Center for Forestry Development has been the institution in charge of forestry and wildlifeand consequently the responsible entity for enforcement of the Forestry Law (D.L. No. 1 1686, 1974) andits regulations of 1977.

78. Forestry has been regarded as an activity that if well managed not only could be very profitablebut also could contribute to soil protection, preventing erosion. Unfortunately, forestry activities havebeen scarcely promoted and protected, mainly because forestry legislation and agrarian reform legislationhave been totally incompatible. Thus the Law of Agrarian Reform did not even consider the possibilityof granting title of land with forestry purposes. Furthermore, through the agrarian reform process landcovered wilh fcrest has been granted for agricultural purposes, causing that forestry products could beacquired ror free.

a7. Questions have been raised about whether forestation could be promoted as a sustainable andprofitable activity, and always the answer has gravitated around the subject of the market price of logs.It seems that the agrarian reform process has negatively impacted sustainable forestry activities whengranting title in forestry areas, for agricultural purposes and therefore supplying landholders with freeforestry products that are sold at very low prices or even worst burned. Thus, lamlholders that want tomaintain and manage forests with commercial purposes have to compete in the market with landholders

j that have acquired the forest for free and therefore are able to sell it for nothing at no lost.

80. SENMA has been working in a draft of a new Forestry Law that is expected to be enacted byCongress during this year.

81. The mentioned draft seems to face the problem of promoting sustainable use of the forest in avery conventional way, without introducing an innovative approach, more compatible with the socio-economic reality and the institutional capacity in Bolivia.

82. First of all the project defines that the government owns all forests and forestry land, thus leaving| an open question regarding the status of re-forestation activities and the resulted planted forests.

Furthennore, and following a pattern that has proved highly ineffective in Latin America, all control overforest exploitation in every stage has to be authorized and supervised by the government. This system has

| been virtually impossible to implement in other countries with a territory much more smaller that Bolivia,for example El Salvador.

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¶83. Second of all, the draft declares as a policy of the State the protection of natural forest,nevertheless all throughout the wording it is clear that the exploitation of natural forest with commercialpurposes and even the exportation of logs coming from natural forest would be allowed. Exploitation offorest would be authorized and granted through concessions and concessionaires would have to elaboratea management plan to secure sustainable exploitation of the resources, nevertheless the draft it is notspecific enoughi regarding the duty to re-forestate.

3 Biodiversity and Protected Areas

84. Protected areas and national parks are regulated by the Law of Wildlife, National Parks, Fisheriesvand HunLing, (D.L. 12301, 1975) and later by the National Environmental Law that designates SENMA

as the institution responsible for its administration, through its Directorate of Protected Areas andBiodiversity of.

85. Bolivia has an extensive and important system of protected areas, unfortunately most of then havebeen created only on a formal basis, but little or none conservation activities have been implemented.Only very few parks are currently receiving enough funding and assistance, those which had are mainlyunder the Parks in Peril program financed by The Nature Conservancy.

86. In order to facilitate and optimize the management of national parks and the protection ofbiodiversity, SENMA with the financial assistance of USAID, The World Bank, the Government ofHolland, COTESU, UICN, Conservation International and the Commission on Ecology and theEnvironment of the Bolivian Congress, has prepared a draft of a Law for Conservation of Biodiversity.This draft also addresses the administration of national parks and protected areas.

87. The proposed draft constitutes an important step forward because it decentralizes theI administration of the national parks and the biodiversity. It also establishes for the first time a formalprocedure to control de use of the genetic resources contained in biodiversity and emphasizes thepanicipation of the community in the conservation activities. On the other hand, this draft does notprovide the possibility to assign or delegate the administration of individual protected areas or resourcesto NGO's or community groups. This issue should be analyzed since this alternative is widely acceptedin Latin America as the obvious one to secure enough funding through international assistance andprovide therefore a better managerial service to the protected areas and national parks and of coursebiodiversity in general.

88. It seems necessary to promote a process to discuss the new forestry legislation, the proposedbiodiversity law and also the possible new agrarian reform legislation, analyzing how all those relatedto each other and affect each other. Even though it could be useful to have tbree separated laws, it isindispensable that such laws reflect one single policy for land use management and protectiDon of thenatural resources.

D3. Water resource management

89. All hydraulic resources are property of the State. The concept of hydraulic resources includessurface and underground waters. The rivers and all river beds are public property (Article 136 of theConstitution) and also the lakes and lagoons located in public property.

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90. Currently, there is no general set of regulations for water management in Bolivia. There are someregulations dated 1906 for use of waters that were enacted through decree. These regulations provide alegal framework for surface and ground water allocation and use, and also include provisions for drainagesysterns usage and the right of access on public or private property to use hydraulic resources.

91. Under the Organic Law of Municipalities of 1985, municipalities have to protect all naturalresources (water). In order to do this, municipalities are able to enact ordinances that are enforceable onlywithin their territories.

3 92. There are also under bolivian legislation, some institutions called services for management ofriver basins. One of them is SEARPI (Servicio de Encauzamiento de Aguas y regularizacion del Rfo Pirarin Santa Cruz) created in 1983 and based in Santa Cruz. This institution is a public autonomous organism9 with competence to implement all necessary actions to regulate the Piral river, including coordination andplanning of social and economic development within the basin, in order to preserve and protect it. It isnot clear how the powers of this kind of institution are coordinated with the duties and powers of otherI sectorial institutions, but it seems a very interesting approadc to management of river basins because itgives one entity the power to plan and implement holisticly and maybe this could be a model to be used

-1 to control pollution of water bodies in Bolivia.

93. In order to define a general institutional framework to manage water resources, several drafts ofa national water law have been prepared and discussed in the last decade, unfortunately none of them

| have had enough political support to be enacted. SENMA will be preparing a new proposal under theETAP project financed by the World Bank. It seems that enactment of a Water Code, that is acomprehensive body of laws that compiles all existing regulations and defines clearly the competence ofeach institution, establishing homogeneous standards enforceable by all of them would improve thesituation considerably. Of course, a program for institutional strengthening and technical assistance wouldbe required to put in place the laboratories and technical facilities that would be indispensable to monitorand evaluate compliance with the law. An Executive Committee for the Protection of Hydraulic Resourcescould be organized by SENMA to promote tlis process.

E. Pollution management

E.I. General aspects

94. The National Environmental Law assigns to SENMA the right to establish general standards forpollution control. This power was given to the Secretariat without abolishing or clearly stating whichwould be then the status of all other regulations and existing institutions.

95. As would be analyzAd subsequently, there still remain regulations and institutions that are overlapin this area.

E.2. Water pollution

96. The Ministry of Urban Affairs, enacted in 1985 the Regulations for DispQsal of Industrial Wasteinto Bodies of Water, Ministerial Resolution No. 010/85. These regulations gave competence to theMinistry of Urban Affairs, the Ministry of Public Health, the local institutions and the decentralizedorganisms of the ministries to implement the mentioned regulations.

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no local regulations in place to control this problem.

d. General considerations Unfonunately, most of the existing regulations and provisions for soilconservation and pollution control have never been enforced or implemented, and in fact soil pollutionis recognized as one of the important environmental problems of Bolivia. Lack of institutionalcoordination is to be blamed for this problem, because there is a generalized overlapping of regulations.

107. Interviews with public sector employees have made it possible to confirm that the implementationof the existing regulations is very deficient. Only recollection and disposal of solid waste is being donein urban areas by the municipalities or their enterprises and the technical standards applied are very basic.

D.4. Air pollution

108. Under the Health Code of 1978 (D.L. 15629), the Ministry of Public Health, had the duty toorganize, through regional and local organisms, the elimination and control of air pollution. This Law,I as in the case of soil pollution control, does not state an specific mechanism to implement this controland no other legislation has been enacted. In theory, all industries have to obtain authorization from theMinistry of Public Health to operate and establish a system to treat their emissions to the atmosphere.I lThe Ministry of Public Health has to enact air quality standards, but it is not clear the role of the differentexisting institutions to implement the regulations.

109. Subsequently, the National Environmental Law gave to SENMA the duty to implement all actionsto prevent and control environmental pollution, including air.

110. Recently, through D.S. 23347 of Decenber of 1992, a National Program fbr Air PollutionControl was established to carry out a pilot project to control air pollution in urban areas, through aMultisectoral Technical Commission, formed by: SENMA, MPH, MEH, MTCPA, MUA, MECE, MEC,MACA and the National Police. Each institution that is part of the Commission has been also individuallyassigned responsibilities to carry out the projec. Currently, the project is in a design phase andimplementation would start during 1993, although some monitoring is currently carried out by SENMAwith the assistance of the Mexican governmeat

F. Occupational lLealtih and sarety

F.l. The Labor System

111. Most legal systems in South America recognize two different sets of regulations regarding publicemployees and workers of the private sector. These regulations recognize different rights for these twokinds of workers. Public workers are regulated by the Law of Administrative Career and private workersby the General Labor Law.

112. Bolivia's legislation recognizes this classification but the criteria for this categorization is basedupon the type of institution which a person is working for. If a public institution is a centralizedinstitution receiving only public funds from the National General Treasury, for example a ministry, theemployees are subject to the Law of Administrative Career, but it the institution is a decentralized,independent organism, raising its own funding its employees would be subject to the regulations that theinstitutions had decided to apply, and those could be either the Law of Administrative Career or the

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(article 84). The employer is obliged to notify regarding any accident or injury within 24 hours, to tbeGeneral Directorate of Hygiene, Occupational Health and Welfare or to the local Labor Directorate(article 85). Articles 87 to 92 describe all degrees of disablement cases and the corresponding monetarycompensations. The degrees of disablement recognized by the law are: a. death;b. permanent and total disablement; c. tempurary and total disablement; d. permanent and partialdisablement; and, e. temporary and partial disablement.

128. The General regulations to the General Labor Law of 1943, articles 61 to 102, establish thedifferent compensations for the different scales of disablement mentioned before, being the maximum

J compensation two years of salary, paid one time in the case of death or permanent and total disablement.To calculate most compensations the regulations indude a chart that appears in anicle 91. The chartshows the kind of disablement and the percentages of limitation that each causes to a person, considering100% as total disablement.

129. DeaLh: if a worker dies as a result of an accident on the job or a disease cause by its workingactivity, the emnloyee has to compensate the family and cover all burial costs (article 74).

130. To complement the previously mentioned regulations, there is a General Law of Hygiene,Occupational Health and Welfare of 1979. This law addresses the general rules to control and monitoroccupational health issues, including the duties of employers and workers, employment of women andminors, and the institutional framework.

131. This law also regulates conditions at the place of work (infrastructure, windows, escalators,elevators, lighting, ventilation, sanitary facilities, roads and exits, electric equipment); fire preventionmeasurements (handling of flammable and explosivesubstances), protection against machinery and generalhandling of tools, steam machinery, ovens and dryers, transportation of materials and transportationequipment, transportation and handling of dangerous, toxic or radioactive substances, usage of safety3 equipment (gloves, uniforms, helmets, etc.), and finally general maintenance.

132. The Regulations of Hygiene and Industrial Safety, D.S. No. 1694 of July 29 of 1949 wereenacted before the Law mentioned in the precedent paragraph and created the National Directorate ofHygiene and Industrial Safety now the General Directorate of Hygiene, Occupational Health and Welfareand it seemns that is still applicable because in general it does not contradict the laws enacted subsequently.

F3. Institutional rramework ror Occupational hlealtih

133. The General Law of Hygiene, Occupational Health and Welfare of 1979 establishes theinstitutional framework for regulating, controlling and monitoring occupational health issues. The maininstitutions or organisms involved are:- The National Council of Hygiene, Occupational Health and Welfare;! - The General Directorate of Hygiene, Occupational Health and Welfare at the Ministry of Labor,

and- The National Institute of Occupational Health (INSO).

134. Tne National Council of Hygiene, Occupational Health and Welfare is formed by the Ministerof Labor, the Ministry of Public Health, the Ministry of Mining, the National Director of Hygiene,Occupational Health and Welfare, the Executive Director of the Bolivian Institute of Social Security, theNational Director of the National Institute of Occupational Health (INSO), a representative of the workers

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union (Central Obrera Boliviana) and a representative of the Confederation of Private Enterprises. TheCouncil has the power to produce all policy in this area and 2lso is in charge of institutional coordination.It seems that the council has not been able to fulfill these objectives. In fact during the last four years thecouncil did not meet and only recently it has started meeting again.

135. The General Direclorate of Hygiene, Occupational Health and Welfare at the Ministry of Labor(GDHOHW), is the operative unit in charge of supervising compliance with the General Law of Hygiene,Occupational Health and Welfare of 1979.

136. This institution has Occupational Health Inspectors, in cbarge of receiving and processingcomplaints and reports regarding professional accidents or illness.

137. This unit is located in La Paz and only has six inspectors to take care of all reports andcomplaints in the country. The General Directorate does not have units in other departments or cities ofthe country. When a complaint or a report is received in other cities, the local labor inspectors handleit and only when thiere is a disagreement between the inspector and the parties involved (employer oremployee), a occupational health inspector from La Paz would then handle the maUter.

138. Regarding monitoring and evaluation, all industries have to fill in a questionnaire (DA2) everythree months and send it to the GDHOHW. Tlis questionnaire contains information regarding allaccidents and illness occurred in the industry in the last trimester. The questionnaire is sold at theNaxuonal Health Fund (Caja Nacional de Salud). It seems that the information collected is just receivedand filed, but it has not been used to produce scientific data regarding most common accidents and illnessand possible ways to prevent them.

139. Furthennore, because of the lack of personnello, the GDHOHW limits itself to inspectindustries that have been identified as of high risk level and therefore an important percentage ofindustries is never vicited unless an accident or illness is reported.

140. All individual accidents and illness have to be reported by the employers, sending to theGDHOHW a questionnaire DAI, also available at the National Health Fund. Information gathered leadsto believe that almost 40% of all accidents and illness are never reported because employers andemployees reach direct agreements. Only when direct agreements are not reached employers file reportsor employees file complaints. In the case that either the employer or the employee or both disagree withthe decision reached by the occupational health inspector, the case is sent to court. Within the judicialsystem the cases regarding labor issues are decided by the District Labor Courts and then on appeal bythe National Court of Labor. Only by certiorari (casaci6n) are cases revised by the Supreme Court ofBolivia. If the court rules that an employer failed to compiy with the existing regulations, a fine oDuldbe established, ranging from 1,000 to 10,000 bolivians (US$ 250 to 2,500) based upon the seriousnessof the case.

141. All industries must organize committees (comitds mixtos) to oversee that all occupational healthand safety regulations are obeyed. These committees are formed by an equal number of representativesof the employer and the employees. Apparently these committees a very infrequently organized.

a 10 The General Directorate has orny six inspector and they we. nurse, a mechanics technidan. * socid worker, amnthematics professor, an accountant. and a public official with experience In public adnInistration.

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Industries also must have a department of hygiene, industrial safety and welfare depending upon dhe ratioof accidents and illness they had and also the number of workers. It is not clear if this is mandatorybecause there are no clear regulations regarding who makes the final decision to make a industry to createsuch department.

142. The General Directorate is preparing drafts of various regulations: Health and Safety forConstruction Workers; Medical Services to the Provided by Companies; and Regulations to Use Asbestos.There is no provisions regarding health standards for the mining industry and tde Ministry is not currentlyworking is this area.

143. The National [nstitute of Occupational Health (INSO) is a national institution that mainly doesresearch and evaluation activities and training. It has 50 people working there and it has four departments,Hygiene and Industrial Health, Labor Medicine, Planning, and Administration and Services.

G. Foreign assistance

144. Most international organizations are providing some support to environmental protection andmanagement in Bolivia, although direct assistance to control environmental pollution is much morelimited.

145. The World Bank tirough the EIAP project would be financing the most important project in thisarea, that would include strengthening of SENMA and FONAMA, preparation of laws and regulationsand environmental education. A considerable part of the project would deal with the implementation ofthe regulation for environmental quality.

146. The Interamerican Development Bank currently does not have an environmental project to assistI the GOB, but it has a Project for Urban Development and Sanitation (PRODULSA) that includes potablewater and sewerage systems and strengthening of municipalities. The same is applicable to USAID andthe GTZ that have concentrated their effort in urban sanitation.

147. On the other hand, the Office of Cooperation of the Netherlands, would finance throughFONAMA (USS 3'000.000) and LIDEMA (US$ 500,000) small projects that would include some relatedto pollution monitoring and training.

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IX. THE MINING SECTOR: POLICY AND LEGAL FRAMEWORK

A. Economic/legal reform and the mining sector

148. The New Economic Policy, established in 1985, meant the change in Bolivia from a highlyprotectionist economic system towards a general liberalization, domestically as well as in relation to theexterior. Among other things, it meant the abolition of the extensive net of subsidies which had distortedthe economy. Another main issue was the emphasis on export as the base for sustained economic growth.This policy was developed further in the National Development Strategy (MPC 1992), which stressed theimportance of the private sector in economic, labor, and management matters (and a correspondingshrinking of the state sector within these fields) and the deepening of the reform regardingdecentralization and modernization of the State.

149. Within the mining sector, the new policy implies that the government should search for conditionsand mechanisms to attract private risk capital, as the state mining is not in a situation to make majorinvestments. The strategy comprises the following main aims:

- Avoid the collapse of the tradititnal mining industry through private investors, capable of providingcapital, modern tecinology and management competence.

- Generate a process of expansion and strengthening of the sector in accordance with the mineral potentialof the country.

- Eliminate the state interventionism and protectionism.

3 Establish appropriate lines of credits.

150. These principles were established in legal form with the modification of the Mining Code in 1991.X i(Law No. 1297, Cddigo de Minerta). Through this new legislation, clear rules regarding mining rights

and procedures for their allocation were established, as well as the tax provisions in association wilh theexploitation of a deposit. Thus, all taxes on production and exportation have been eliminated andreplaced with a general tax on net profits of 30%, and a complementary tax (guarantee amount) of 2.5%on net sales value. The latter is paid only when the profit tax is lower than the complementary tax, andthen replaces the former. These rules are valid for all new companies fonned after October 1992 and willsuccessively replace the old system based on royalties.

B. Mining and environment

151. The very few provisions within the mining code addressing the issue of pollution control, allregard Lhe use of water. Thus, the article 85 assigns the right of use of water within the concession tothe titular, but obliges him to return it to the source with the original characteristics. Article 87 calls forI indemnization to those affected if water is rendered useless for human, animal or agricultural use.Although implicit, no mention is made of water treatment to prevent damage. Article 91 states that theconcessionaire has to get a water concession from the Superintendency of Mining. This latter control bythe Superintendency concerning water rights could cause conflict with other authorities within this field.

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According to particular laws aimed at promoting investment, the mining sector is favored by a short| depreciation time for investments in machinery (5 years) and, in addition to this, the possibility to deduct

investments against profits. These possibilities include investment for the improvement of theenvironment. Even if these incentives are primarily economic in character, they should also help inimproving the environmental situation, partly as investments addressed directly towards environmentalimprovements, partly as process and other improvements which indirectly give advancements also froman environmental point of view.

C. Supporting institutions

C.1. Within Solivia

152. All mining activities are under the supervision of the Ministry of Mines and Metallurgy (MMM).However, the actual allotment of exploration or exploitation rights, is carried out by the Superintendencyof Mines (includes regional offices), an organization which lies under the Court of Mining. TheSuperintendency has at its disposal for field investigations, the Technical Service of Mining, a unit underthe MMM, with regional offices in the main mining departments. A decentralized unit for theadministration of mining rights records, the National Service of Mining Cadastre (SENCAM), wasrecently established. The Technical Service of Mining will be transferred to SENCAM.

153. In accordance with the stipulations in the Environmental Law, a Direction of Environmnent isplanned to be established within the MMM. Presumably this unit will be in charge of environmentalmatters related to mining, i.e. the elaboration of environmental regulations to the mining code, thesupervision of environmental studies (EIA) related to new mining projects, and supervision of theenforcement of environmental regulations within the mining sector. To a large extent, the Direction of3 Environment will have to rely on expertise outside of the MMM.

C.2. Foreign assistance

154. There are plans at present to form a group of local consultants, with financing from UNDP, whowill carry out, among other things, the formulation of environmental regulations to the mining code.

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III. INDUSTRIAL SECTOR: POLICY AND LECAL FRAMEWORK

A. Econoimc/legal reform and [lie industrial sector

155. The New Economic Policy of 1985 also applies to the industrial sector in Bolivia, as it does tothe mining sector. This policy aims to promote free market and competition, technological transfer tomodernize the system specially through joint ventures and industrial reconversion of obsolete operations.I Marginal operations are no longer protected and state interventionism and protectionism have beeneliminated almost completely. Incentives have been redirected eliminating preferential low rate credit andfocusing on incentives for innovation.

156. Regarding export industry, most restrictions on exports have been eliminated and a unifonn tariffsystem on imports has been put in place. A national strategy to allow market allocations has been

| I developed, with less interference from the government. Non-traditional exports have been speciallyfavored by the new economic policy (leather goods, agro-based products. etc.).

157. Foreign investment has been highly encouraged by the new Law of Investment, enacted in 1990,which establishes a clear and stable set of rules to allow repatriation of profits, capital and interests,dividends and royalties, liberated exchange rate and transfer of technology.

B. Industry and environment

158. Provisions regarding industry and environmental restrict themselves only to water and solid wasteissues.

B.1. Water

159. As it was analyzed previously in this report the Ministry of Urban Affairs (MUA), throughDINABSA, has national jurisdiction and competence to organize the national system of basic sanitation,that includes environmental pollution control, being this ministry a normative and planning agency.

160. Regionally the Departmental Directorates for Sanitation of the Regional Development Corporation(RDC) must control water quality within the localities (cities, town, rural areas) where the localauthorities are unable to do so. Locally the municipalities, through delegated admini.strative entities, havethe implicit power to control water pollution under D.S. No. 22964, article 12, i), mentioned in theprevious paragraph.

161. Parameters ta control water pollution caused by industrial disdiarges are contained in theRegulations for Disposal of Industrial Waste into Bodies of Water, Ministerial Resolution No. 010185.These regulations determine the following priorities for water use: human consumption, conservation ofbiodiversity, recreation, irrigation, industrial use, and waste discharge. Under these provisions a bodyof water could be destined to more than one type of use and thterefore bodies of water are classified based

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upon their intended use in 5 categories:i. The regulations contain a table that provides tie physico-chemical and biological parameters to classify bodies of water in any of the categories mentioned and all

| ilndustries (including the mining industries) have to treat their effluents.

162. Ministerial Resolution No. 010/85 asserts the duty of all industries to register their effluents andfile a declaration (certiricado de conocimiento) detailing the expected eMuents and the proposedtreatment. Filing should be done prior to registration of discharges with the Ministry of Exportation andEconomic Competitiveness (MECE) or the Ministry of Mines and Metallurgy (MMM). Registration ofall discharges should have been done within a specific period of time: two years for all existingindustries, one year for industries being installed, and three monthS for all new industries.

163. Based on the declaration, the competent organism (although it does not say which one, it is safeto believe that it refers either to the MUA or the RDC) should issue an authorization for discharges thatis a indispensable requisite for industries to obtain the operation permit from the municipalities orprefecauras, or other competent organisms, such as the water enterprises.

164. The system seems to be quite clear but compliance with the regulations by the mentionedinstitutions is partial. In fact, none of the mentioned procedures, regarding the MUA or the MMM haveever been applied, although at the local level treatment of water, monitoring and control by the localwater enterprises (i.e. SEMAPA, SAGUAPAC) is done on a regular basis. The cities of Santa Cruz,Tarija and Cochabamba treat some of their domestic and industrial waste waters. It seems then, that thewater enterprises or other administrative entities have established their own procedures and regulationsvia municipal ordinances to implement water pollution control caused by the industry.

165. A thorough explanation of the scope, modality and effectiveness of every system is included inthe corresponding technical sections of this report.

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166. This subject is already analyzed previously. Regarding compliance its seems that in most casesmunicipalities directly, by contract or through administrative entities, are managing solid waste, butgenerally wastes are not segregated, therefore industrial waste is not subject to a special treatment andmost of the sites are dumps and do not qualify as sanitary landfills. Waste of industries located in ruralareas is generally disposed of by the industry itself.

167. The Ministry of Urban Affairs is sponsoring a study of several cities to look at improvingmunicipal waste management facilities and possibly privatizing them. Some cities are participating in this

II Special Class Human consumption without prevous tretrnent

Class A Human consumption alter treatment. irrigation of vegetale. and recreation(ewimnuing1.

Class B Human consumption alter intensive treatment, animal consuption (cattle) andconservation of biodivetsity.

Class C Human consumption after special treatment, irrigation, recreation (navigetiornL andenergy production.I1 Class 0 Transportation and waste disposal.

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study (i.e. Cochabamba) because they would like to cap the parts of their dumps that have been used,upgrade them to be sanitary landfills, recycle waste and renovate most of the equipment.

C. Supporting institutions

C.I. Within Bolivia

168. Tbe late Ministry of Industries, currently Ministry of Exportation and Economic Competitiveness,used to handle a industry register with the purpose of maintaining a data base and also to exercise someco)ntrol measurements. This register was created in 1954, but since 1985, along with the new economicgovernmental policy, it has been quite inactive to the point that the GOB has decided to diminate it.

169. Currently, MECE administers a Register of Commerce and Corporations, all companiesincorporated in Bolivia mitst register themselves. MECE would be incorporating to tle same procedurewhat is called a Individual Corporative Register (Registro Unico Empresarial), that would be a sectionto obtain sectorial inrciranation regarding the existing industry in Bolivia, in order to perform ex-post factoevaluations of the ministry's pi)licy.

170. Industries presently do not have to register compulsory with one of the existing chambers either,but it is expected that they would, although it largely pendens on the ability of the chambers to attractnew members. The Chambers have been playing a very important role within the process to controlindustrial pollution. There are both a National Chamber of Industry and departmental ciambers. TheNational Chamber has created a Committee of Environmental Affairs and it has been participating withSENMA in the analysis a draft of regulations to control industrial pollution.

171. MECE under its mandate has to encourage industrial growth and development and it has beenunderstood that under this mandate, it is implicit, the competence of MECE to regulate, control, preventand monitor pollution caused by the industry. Thus, MECE has worked in the past in preparing someregulations, for example to control and measure the emissinns produce by vehicles that run with diesel.

172. Currently, MECE is giving the final touches to a draft decree, to be promulgated by thePresident, to create the Bolivian Institute of Norms and Quality (!BNORCA), which would be in chargeof:- regulations quality of products;- issuing permits regarding quality of products;- regulating characteristics of packaging, measurements, etc.;- preparing standards to control environmental quality related to the industry (water, soil and air); and- registering qualified test laboratories.

173. MECE expects this private institution, of which executive Committee MECE would be a member,lo assume control of all environmental aspects related to the industrial sector. IBNORCA would preparedie proposed standards and the MECE would enact them througih ministerial resolution. MECE expects

j SENMA to participate in some of the technical committees to be created within IBNORCA to discuss theproposed standards.

174. Obviously, the creation of this institution should be analyzed in light of the mandate that theNational Environmental Law imposes into SENMA and the impact that this could produce in the general

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planning that SENMA has been doing.

C.2. Foreign assistance

175. The World Bank through the ETAP project would be financing the most important project in ihisarea and there are not currently other projects in preparation, besides a project that the municipality ofLa Paz is negotiating with the Japanese government to clean and preserve the Choqueyapu river.

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IV. FINAL RECOMMENDATIONS

176. This document analyzes in general the sectorial management of natural resources and protectionof the environment. It seems that a detailed analysis of every sector is required and therefore somefinancial assistance should be channelized to complete this effort. The general recommendation is thatSENMA prepares a workshop with representatives of all public institutions in charge of management ofnatural resources and environmental protection, in order to obtain a more clear cross-sectorial view ofthe problems and also to strength the relationship of SENMA with those institutions.

177. Regarding the institutional framework the general appreciation is that it lacks capacity, resourcesand technical assistance, and most of all requires clear policies and definitions. The organizational chartof every institution should be carefully analyzed and its personnel should be evaluated. It is clear thatSENMA is already making some efforts in that direction, but this is a task that requires full cooperationand participation of all the other institutions in charge of management of natural resources.

178. Concerning monitoring, it is very limited in the country and there is general lack of reliable datain order to conduct monitoring activities. Information systems must be strengthened and personnel needsto be trained for this purpose.

179. Economic incentives for environmental protection, sustainable management of natural resourcesand pollution prevention and control are non-existent. Government credit for agriculture and forestry isv.y limited and all credit is also scarce. It is of course necessary, as part of the national strategy forenvironmental protection, to define a national policy for economic incentives from a general perspectiveand also for every sector.

180. The legal framework should be revised and up-dated entirely. An effort to compile all existinginformation and produce a complete assessment of the impact of the current legislation over theenvironment should be supported. It is absolutely necessary to evaluate with a holistic approach allprograms and efforts implemented by the goverrmnent in the past decade to be able to prepare andpromulgate new legislation.

181. Some efforts have already been directed by SENMA to collect the existing legislation.Nevertheless, this consultant hasn't been able to identify any document that analyzes overlaps and lackof appropriate regulations and that concludes clearly which regulations have been overruled and thereforewhich institution has a definitive mandate regarding management of a specific sector.

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REVISED LEGISLATION

- Cddigo Civil (Civil Code).

- Cddigo de Minerfa (Mining Code), Ley No. 1243, April 1991.

- Cddigo Penal (Penal Code).

- C6digo de Procedimiento Civil (Code of Civil Procedure).

- Cddigo de Procedimiento Penal (Code of Penal Procedure).

- C6digo de Salud (Health Code), 197B.

- Constituci6n Polftica del Estado (Constitution of Bolivia), 1967.

- Ley de Reforma Agraria en Bolivia (Law of Agrarian Reform), Decreto Ley No. 3464, 1953.

- Ley de Reforma Urbana, Decreto Ley No. 3819, 1954.

- Ley General de Sociedades Cooperativas de Bolivia, September 1958.

- Ley General del Trabajo de 1942

- Ley de Administraci6n y Control Gubernamentales (Law of Administration and GubernamentalControl), No. 1178, 1990.

- Ley de las Corporaciones Regionales de Desarrollo, Decreto Supremo No. 15307, February 1978.

- Ley de los Pueblos Indfgenas del Oriente y la Amazonfa (Law of dhe Indigenous Communities of theAniazonian Region), No. 22612, 1990.

- Ley de Hidrocarburos (Law of Hydrocarbons), No. 1194, 1990.

- Ley de Medio Ambiente (Environmental Law), Ley No. 1333, April 1992.

- Ley Electoral, Ley No. 857, 1986.

- Ley General Forestal (Forestry Law), No. 11686, 1974.

- Ley de Organizaci6n Judicial (Organic Law of the Judicial Branch), Decreto Ley No. 10267, 1972.

- Ley Organizativa del Poder Ejecutivo, Decreto Ley No. 10460, September 1972.

- Ley OrgWnica de las Municipalidades (Organic Law of Municipalities), 1985.

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- Polfticas de Accion para Consolidar la Estabilidad y Promover el Crecimiento Econdmico, el Empleo.el Desarrollo Social y la Modernizacifn del Estado, Decreto Supremo No. 22407, January 1990.

- Proyecto de Ley de Conservaci6n de la Diversidad Biologica, October 1992.

- Proyecto de Ley General de Aguas, 1990.

- Proyecto de Ley General de Recursos Hrdricos, 1989.

I - Proyecto de Ley Forestal, 1992.

- Proyecto Sustitutivo de la Ley de Aguas, 1992.

- Reglamento sobre el lanzamiento de Desechos Industriales en Cuerpos de Agua (Standards regardingwater effluents originated by the industry), 1990.

- Reglamento de la Pausa Ecol6gica Historica del Sector Forestaa, No. 22884, 1991.

| - Reglamnento General para el Manejo de Residuos Solidos (General Regulations for Management of SolidWaste), Decreto No. 14368, 1977.

| - Reglamento de Aguas (Waler Regulations), 1906.

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APPENDIX No. 2

BIBLIOGRAPHY

Agreement between the Government of the United States of America and the Government of Bolivia,concerning the establishment of an Enterprise for the Americas Environmental Account at the National3 Fund for the Environment.

Analysis of the Agreements signed by tde Government of the United States of America and theGovernment of Bolivia, related to the establishment of a Fund to manage the resources coming from theDebt Forgiveness Program under the Enterprise for the Americas Initiative.

Bibliograffa Boliviana de Ecologfa, 1989.

Bolivia's National Fund for the Environment, FONAMA, November 1991.

Bolivia: SecreAarfa Nacional de Medio Ambiente, Ministerio de Minerla y Metalurgia, SwedishEnvironmental System, December. 1992.

* | Canjes de Deuda Externa por Programas Ambientales en Bolivia, FONAMA.

Eskeland Gunnar S., Jimenez Emmanuel, Choosing Policy Instruments for Pollution Control, March,1991.

De la Ecologfa a la Polftica, Glosario de Tlrminos, LIDEMA, 1992.

El Estado del Medio Ambiente en Bolivia, Propuestas de Polfticas y Program5ticas.

Heinrich, Freddy B., Eguivar, Mario Ricardo, El Medio Ambiente en la Legislaci6n Boliviana, 1574-1991, 1991.

Enterprise for the Americas Initiative Act of 1992.

Eskeland, Gunnar S. and Jim6nez, Emmanuel, Choosing Policy Instruments for Pollution Control, AReview, The World Bank, March, 1991

Esquema Fondo Nacional para el Medio Ambiente (FONAMA), Bolivia, 1992.

Estatuto Organico de la Secretarfa Nacional del Medio Ambiente, SENMA, 1992.

Explanation of Environmental Mechanism for EIA Debt Reduction, 1992.

FONAMA, Estatutos, October 1992.

3 FONAMA, Memoria Anual, August 1991, July 1992.

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League for the Defense of the Environment, LIDEMA, 1990.

Valencia Vega, Alipio, Manual de Derecho Constitucional, 1989.

Planteamientos, Polfticas y Acciones para Ia Gesti6n Ambiental, FONAMA, SepLember 1992.

-- Procedure for elaboration of a General Environmental Law, Bolivia, 1991.

i Programa Nacional de Cooperacion lecnica, 1992-1996, Gobierno de Bolivia, 1992.

ProyecLo de Ley de Medio de Ambiente, Chile, Septmber, 1992.

* Proyecto de Rehabilitaci6u del Sector Minero, Ministerio de Minerfa y Metalurgia, Asislencia TecnicaSueca 1990-1992.

I Que Camino Debemos Andar..., Secretarfa General del Medio Ambiente, Plan de Acci6n Ambiental deBolivia,

Quintela, Carlos E., Bolivia's National Fund for the Environment, A joint public/private effort toorganize the investment in the environrent, FONAMA, November, 1991.

Resumen de las Negociaciones y del Acuerdo de la Iniciativa para las Americas firmando entre elGobierno de Bolivia y el Gobierno de los Estados Unidos de Anerica, FONAMA.

Taller National de Planificaci6n Ambiental: Polfticas Nacionales de Gesti6n Ambiental, Cochabamba,Bolivia, August 19-21, 1992.

The Republic of Bolivia, 1992 Debt Reduction Program, August 28, 19.92.

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