Serbia's lithium mining project in Jadar has been on hold because of mass protests against feared environmental damage. Now the EU wants to secure this lithium access for Europe - despite the political and legal conditions in Serbia. Interview with Mirko Popović and Jovan Rajić.
On Friday, 19. July, the German Chancellor Olaf Scholz will also be in Belgrade when the EU Commission signs a memorandum of understanding with the Serbian government on strategic partnership on sustainable raw materials, battery value chains and electric vehicles, complemented by a letter of intent with other investing companies, a.o. Mercedes on sustainable lithium mining in Serbia.
The presence of the Federal Chancellor underlines the importance for Germany and the German role in securing this lithium access for Europe. The Jadar mining project has been on hold since 2022 because of mass protests against feared environmental damage, particularly risks to groundwater quality and water supply. Based on newly submitted “environmental impact assessments (EIA) reports” by the British-Australian mining investor Riotinto, the MoU includes a commitment to high environmental and sustainability standards, the German government emphasized in advance.
Does the EIA dispels the concerns of the environmental damage of the lithium-mining project in the Serbian context also within Serbian civil society?
On the environmental impact assessments of Rio Tinto and the political and legal conditions in Serbia Heinrich Boell Foundation spoke with the environmental and legal experts Mirko Popović and Jovan Rajić from the Renewables and Environmental Regulatory Institute (RERI).
The Interview was provided by Tibor Moldvai and Katja Giebel.
Do the newly published environmental impact assessment reports of Riotinto guarantee the sustainability of the project? What is the legal framework in Serbia when it comes to issues of environmental protection?
So-called environmental impact assessment studies being recently published by the company Rio Sava Exploration Ltd may not be considered as documents for evidence-based discussion. The company labelled these documents with a disclaimer that no express or implied statement or warranty is made regarding the content of this draft, including, but not limited to its accuracy, adequacy, timeliness, completeness, and/or reliability. Quite the opposite, the environmental impact assessment should be established based on accurate, adequate, and reliable data.
The claim that Serbia reaches a high level of transposition of EU environmental acquis, but a low level of implementation, is just partly true. A significant portion of the EU environmental acquis is not transposed or not to full extent. Despite the clear obligation to transpose and implement the Environmental Impact Assessment Directive (2014/52/EU) by the 1 January 2019 it is not transposed yet. The same is true for the Environmental Liability Directive (2004/35/EC) which should establish the framework for the application of the “polluter-pays” principle.
These are key examples of missing legislative regulation relevant for lithium mining project. The Government of Serbia breaches ratified international treaties, such as the Treaty Establishing Energy Community, which creates an overall sense of impunity and legal uncertainty. In such circumstances there are no guarantees that the Jadar project will be implemented in line with the EU standards, as required by the Critical Raw Materials Act.
What is the experience regarding the practice of strategic investments in Serbia with risks for the environment? What is the situation with investments by foreign investors?
Previous experiences with other projects show numerous irregularities and shortcomings, which lead us to expect similar negative impact on the rule of law and the environment of the Jadar mining project.
Firstly, the Ministry of Mining and Energy has not stopped the procedure for issuing the permit for lithium exploitation filed, but over the course of two years, without giving justified reasons, extended the deadline for the company to complete the documentation 18 times. The environmental impact assessment scoping request, submitted by Rio Tinto in 2021, raises concerns that the company is attempting to split a mining project into several smaller and separate parts - a practice known as project splitting, which is contrary to the purpose of the environmental impact assessment and is also illegal.
Activists objecting the project, are declared public enemies.
How does the lack of public debate in the polarized society in Serbia affect the lithium mine project? What should be the priorities of the Serbian state administration and International partners when it comes to such a large and environmentally risky investment?
Credible reports developed by the European Commission, the US Department of State and independent think-tanks witness serious problems regarding the independence of the judiciary, restrictions on free expression and the press and serious government corruption. The responsible institutions are not capable of guaranteeing the application of rule of law standards in environmental matters. Moreover, key political actors are among the main generators of polarisation and intimidation of their opponents. Under the present circumstances, the Serbian authorities cannot guarantee un-bias and evidence-based public dialogue about such important issues as the lithium exploitation.
The fact that the National Parliament declared that a citizens’ legislative initiative on banning lithium mining, backed by 38,000 signatures, was simply lost, despite a clear legal obligation of the Parliament to respond to the citizens’ initiative is a breach of fundamental democratic standards. Political opponents as well as activists objecting the project, are declared public enemies, traitors and foreign mercenaries by the President himself. In such circumstances an open and productive debate is not possible.
Prioritizing the lithium mining project and ignoring the state of democracy, may further contribute to the stagnation of the EU accession process.
Prioritizing the lithium mining project and ignoring the state of democracy, the absence of the rule of law and weakness of environmental governance, may further contribute to the stagnation of the EU accession process, stopping the already slow energy transition and decarburization and will lead to a further loss of citizens’ confidence in positive impacts of the EU accession process.
It is necessary to establish a merit-based and accountable public administration, an independent judiciary, transparent and high quality environmental impact assessment procedures, effective inspections, freedom of media and expression. All of these preconditions do not exist in Serbia and the current Government is not capable to ensure these conditions. EU institutions and bilateral partners should uphold the application of the rule of law and environmental standards in Serbia, in line with the fundamentals first principle, before any discussion about the future of lithium mining in Serbia is launched.
