Sustainable Development Threats, Inter-Sector Conflicts and Environmental Policy Requirements in the Arid, Mining Rich, Northern Chile Territory

Northern Chile has been an N-S arid to semiarid belt for more than 100 million years. Also, it is one of the world's most richly endowed territories in terms of Cu(Mo) porphyric deposits. Its mining output has steadily grown since the 1980s and has recently benefited from increased Asian demand and high Cu prices. The scarce water resources are allocated according to the 1981 act that emphasizes economic efficiency based on free transference between water-right owners. As a result, water rights have attained peak market prices, at the US$200 000 level per l/s. Besides the consequences of the uneven mining-agricultural competition for water rights and the environmental effects of accelerated groundwater withdrawal, social unrest has locally attained serious levels, in particular in the Atacama Region. Therefore, the central government is considering significant changes to the present legislation, allowing a stronger participation of the state in water management issues. Copyright (C) 2009 John Wiley & Sons, Ltd and ERP Environment.