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Copper Controversy Haunts Armenian Town

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  • Copper Controversy Haunts Armenian Town

    COPPER CONTROVERSY HAUNTS ARMENIAN TOWN
    Marianna Grigoryan

    EurasiaNet
    Jan 23 2008
    NY

    An increase in birth defects in the northern Armenian town of
    Alaverdi has prompted a debate about the operations of one of the
    town's largest employers, the Armenian Copper Program.

    Located about 170 kilometers north of Yerevan inside a steep mountain
    gorge, Alaverdi, with a population of about 22,000 people, could pass
    as a poster town for post-Soviet industrial decline. Emissions from
    a 100-meter-tall smokestack connected to the town's copper-smelting
    plant often shrouds the town's rusting and ruined buildings, creating
    a ghostly effect.

    Established more than 200 years ago, the Alaverdi plant was once one
    of the largest copper production facilities in the former Soviet Union,
    with an annual output of 55,000 tons of copper.

    That situation changed in 1988-1989, when the disintegration of the
    Soviet Union and a growing Armenian environmental activism campaign
    prompted the plant's closure. The Alaverdi plant was totally plundered
    and expensive filters that synthesized emissions were sold on the
    cheap. The town was left "an environmental disaster area," in the words
    of Larisa Paremuzian, who served as Alaverdi's mayor from 1989 to 1991.

    In 1996, the plant finally reopened, under the management of the
    Armenian Copper Program, a company whose majority shareholder is the
    Lichtenstein-registered Valex F.M. Establishment Company.

    But it operated without filters and emissions of hazardous
    materials began to soar. At the time of Alaverdi's closure, its
    emissions of sulfuric anhydride -- a hazardous compound formed when
    sulfur-containing copper concentrate is put into production -- exceeded
    allowed norms by 7.2 times. By comparison, during the first ten months
    of 2007 and in 2006, the plant released into the atmosphere 20 times
    more sulfuric anhydride than is permitted under state regulations,
    according to data compiled by the Ministry of Environmental Protection.

    In 2006, the government states, the plant also released into the
    atmosphere 12 tons of arsenic, nearly 105 tons of dust, 41 tons of
    zinc, and nearly 3 tons of lead, and 3 tons of copper, among other
    hazardous elements.

    It is a track record that raises official eyebrows, but has not
    yet prompted a crackdown. "We have all the reasons for stopping the
    plant's operations," Marzpet Kamalian, deputy head of the Environment
    Ministry's State Inspections Department, told EurasiaNet. "However,
    authorities do not let us do that, as there is a state policy that
    the economy should develop. We could either shut down the plant's
    operations, or allow the emissions to happen, and we chose the
    second option."

    Meanwhile, the Ministry of Health and local hospitals state that the
    Alaverdi area is experiencing an alarming frequency of birth defects
    in newborns.

    In 1992, when Alaverdi was not operating, the town did not record any
    case of "natural birth deviations, development defects, deformations
    and chromosomal disorders." By 2004, four years after resumption of
    copper smelting, the incident rate had increased to 107, from 28 in
    2001. Health ministry officials say that they are still completing
    the statistics for more recent years.

    Doctors at the maternity hospital in Alaverdi say that they have
    dealt with anencephalia -- "a missing brain" -- many times in the
    last decade. Hydrocephalia (an excessive amount of water in the
    brain), spinal hernias, two-headed fetuses and other defects have
    also occurred, said maternity hospital director Amalia Azatian.

    Such defects can be caused by genetics, as well as hazardous
    pollutants, noted Azatian, who declined to draw conclusions from
    the cases.

    Respiratory problems -- often associated with high concentrations of
    sulfur -- have become more frequent, too, more than doubling in recent
    years. In 2005, the health ministry recorded 121 cases of respiratory
    diseases among Alaverdi adults; by 2007, that number had reached 295.

    Environmental activists are up in arms over Alaverdi, but say that
    their hands are tied. Union of Greens Chairman Hakob Sanasarian calls
    the town "a gas chamber."

    "It is already about 10 years that the plant has operated without
    filters and the emitted poisons immediately affect humans," Sanasarian
    said. "It looks like a conspiracy against man and nature by the
    government and the plant."

    Armenian Copper Program company director Gagik Arzumanian, however,
    categorically rejects that view.

    "We are always looking for and trying to conduct research to find
    a rational option [to continue operations and to minimize the
    environmental impact], "Arzumanian said during an October 2007
    interview with EurasiaNet.

    In the late 1990s, when Alaverdi resumed operations, "our production
    volumes were not so large as to enable us to install filters," he
    added. Filter costs -- broadly estimated in the millions of dollars
    -- are still exorbitant given Alaverdi's output, he claimed. As of
    2007, the plant's annual copper production stood at 7,000-8,000 tons,
    according to company figures -- a sliver of its Soviet-era output.

    Government officials do not blame the Alaverdi plant for the birth
    defect rate, but stress the need for "extensive" investigation into
    the causes. For now, though, the Health Ministry does not have the
    "large funding" required for such research, according to Mother and
    Child Department Head Karine Saribekian.

    One toxicologist, however, maintains that there is a direct link
    between the Alaverdi emissions and recorded birth defects. Emil Babaian
    is head of the industrial toxicology lab at the General Hygiene and
    Occupational Diseases Scientific Research Institute in Yerevan and
    has conducted studies in Alaverdi and other "problematic" Armenian
    industrial towns.

    Annual studies conducted by the institute put Alaverdi kindergartners'
    cognitive development at "7 to 10 points behind the norm," Babaian
    said. "And the emitted poisonous elements are greatly at fault for
    all this."

    Armenian Copper Program Director Arzumanian states that he recognizes
    the extent of the problem. "I agree that the situation in Alaverdi
    is not auspicious for health. However, I cannot say that the problems
    exist only because of the plant's emissions. An increase in diseases
    can be registered in all areas [of Armenia]," he said.

    By 2009, Arzumanian said, the plant will try to find a solution that
    will strive to meet both environmental and economic concerns. A
    government-ordered 10-percent reduction in emissions by January
    2008 has not yet taken place, he conceded. An additional 80 percent
    reduction is slotted for 2009.

    Environmental activist Paremuzian says it is unlikely the plant will
    meet that target. "The situation goes from bad to worse from year to
    year," she said in an October 2007 interview. "According to previous
    promises, the filters should have already been installed. However,
    nothing has been done so far."

    State Environmental Inspections Department Deputy Head Marzpet Kamalian
    stresses that Alaverdi still has until 2009 to bring its operations
    into compliance with emission regulations.

    Despite the current emphasis on economic development, "[i]f it fails
    to meet the requirements within the period, we will impose strict
    sanctions on it, such as big fines and even going so far as shutting
    down the plant," Kamalian said.

    Arzumanian states that if hefty fines are imposed and filters cannot
    be purchased, the Alaverdi plant may "temporarily suspend" its work.

    "Our activities will not be financially justified," he said. Instead,
    he said, the company would concentrate on operations at Teghut,
    thousands of hectares of woodland in the northern Lori region that
    the Armenian Copper Program intends to clear for mining of large
    copper reserves.

    That threat resonates with Alaverdi residents. The plant employs some
    700 people, and is one of the town's largest sources for jobs.

    "If the plant is closed, Alaverdi will be turned into a large village,"
    predicted Alaverdi Mayor Artur Nalbandian, adding that consideration
    is also given to the environmental issues. "[W]e would have to choose
    the old option [having a job despite environmental pollution] again."

    For now, Alaverdi residents say that they are still waiting for a
    sign of any other option.

    Editor's Note: Marianna Grigoryan is a reporter for the Armenianow.com
    weekly in Yerevan. Karen Minasyan is a photographer based also
    in Yerevan.
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