SWEDEN Law and Practice Contributed by: Peter Dyer and Alexandra Thörnroos, Wåhlin Advokater AB
2.7 Environmental, Social and Governance (ESG) Guidelines and Regulations In 2017, Sweden’s Riksdag (parliament) intro - duced a climate policy framework with a new Climate Act (2017:720). The Act establishes that: • the government’s climate policy must be based on the climate goals; • the government is required to present a cli - mate report every year; • the government is required to draw up a climate policy action plan every four years, to describe how the climate goals are to be achieved; and • climate policy goals and budget policy goals must work together. The action plan includes a review of all relevant legislation and further measures in emissions sectors. There is a particular focus on the trans - port sector, which is likely to have an impact on the mining industry. 2.8 Illegal Mining There are no known instances of illegal mining in Sweden. 2.9 Good and Bad Examples of Community Relations/Consultation Impacting Mining Projects Good Example A prime example of good community relations and consultation around a mining project is iron ore producer LKAB’s very long-term and exten - sive co-operation with the municipality of Kiru - na in the north of Sweden (see 2.6 Community Development Agreement for Mining Projects ). The community is dependent on LKAB for jobs and investment, while at the same time LKAB needs the community to provide infrastructure, homes and services for its workforce. The local
land areas, including mines, forestry, wind power and tourism. The Sami are one of the world’s indigenous peoples and one of Sweden’s official national minorities. Their minority status means that they have special rights and that their cul - ture, traditions and languages are protected by law. Both the Minerals Act and the Environmental code provide that holders of rights to the affect - ed land must be notified and/or consulted dur - ing the processing of exploration permits, mining permits and environmental permits. This means the Sami may have the power to argue, contest or appeal permit applications at different stages. If mining rights affect the Sami’s reindeer herd - ing, compensation will have to be paid. 2.6 Community Development Agreement for Mining Projects Sweden’s dominating iron ore mining company – LKAB, which operates in Kiruna and in Malm - berget in northern Sweden – has entered into several development agreements with the Kiruna municipality. This has been necessitated by the unprecedented urban transformation currently underway due to the effects of LKAB’s mining on the local community. A series of “Mine City Park agreements” has made it possible for LKAB to continue mining the iron ore that slopes in under the current Kiruna city centre. In addition, a sub - stantial part of the entire city is being moved several kilometres to the east, in a project that is being paid for by LKAB. The LKAB–Kiruna development agreements rep - resent a very special case because of the unique circumstances in LKAB’s areas of operation. Community development agreements are not a common feature of the Swedish mining industry.
480 CHAMBERS.COM
Powered by FlippingBook