Members of the interagency working group (IWG) presented the preliminary draft of the methodology for calculating the costs of land reclamation and the elimination of the consequences of subsoil use. This work is being carried out at the request of the Ministry of Natural Resources, Ecology, and Technical Supervision of the Kyrgyz Republic (MNR, KR) as there is currently no financial mechanism in the country to support the restoration of degraded lands.
The second meeting of the IWG, organized by the СAMР Alatoo РF with the support of the UNDP project «Improvement of environmental monitoring and reclamation tools in the Kyrgyz Republic» took place on December 3, 2024. It was attended by representatives of the MNR KR, the Ministry of Agriculture, Water Resources and Regional Development of the Kyrgyz Republic, mining companies, academic circles, and independent experts.
According to Olga Medoeva, a member of the IWG and an independent consultant, the methodology was developed in accordance with the current regulatory and legal framework in the field of subsoil use. The key element of the document is the calculation of financial support for reclamation activities.
“The methodology involves calculations based on the execution of all types of work included in the estimate. The main goal is to create a scientifically justified approach that will allow subsoil users to account for all aspects of reclamation and minimize costs,” said Olga Medoeva.
The experts presented three options for calculating the cost of land reclamation: the first involves calculations based on the volume of work (quantity), productivity (time of execution), and unit costs (equipment, materials, and labor resources); the second is determining the cost as 2–4% of total operational mining costs; the third calculates the costs based on the share of reclamation expenses in the total operational costs, considering annual allocations for the restoration of degraded lands. The specialists chose the first option, based on a detailed estimate that includes both direct and indirect costs, with adjustments for inflation.
During the discussion of contentious issues, participants focused on clarifying terminology, expanding the role of local self-government bodies (LSG) and communities at all stages of reclamation, and providing financial guarantees for subsoil users.
Potential challenges in implementing the methodology were also highlighted. Daniyar Ubyshaliev, head of the Subsoil Use Policy Department at MNR KR, emphasized that comprehensive documents like this methodology (nearly 30 pages long) are difficult for both government agencies and subsoil users to apply in practice. “It would be desirable for the methodology to be as clear and concise as possible,” he noted.
Among the suggestions were the need to synchronize the methodology with the developing Environmental Code, include specialists from the State Construction Committee in the IWG, and involve representatives from the Ministries of Economy and Finance, as well as banking structures in the discussion.
Members of the IWG are expected to provide their comments on the draft by the end of this week. The final version will be discussed at a roundtable scheduled for December 10, 2024.
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