Panamanian citizens celebrate the Supreme Court’s decision this Tuesday in Panama City. Welcome Velasco (EFE)
This Tuesday, the day Panama celebrates 200 years of independence, Panamanians woke up to the news that the Supreme Court had unanimously declared the controversial Law 406 “unconstitutional.” Regulations approved Oct. 20 allowed the concession to run for 20 years, renewable to the subsidiary of First Quantum Minerals, a Canadian company that has operated the largest open-pit copper mine in Central America since 1997. The environmental impact and the few discussions preceding social protests sparked massive protests for more than a month. Thousands of demonstrators paralyzed the country and demanded the closure of the company, which is located in a protected space.
With the decision of the courts, this law will be “banished from the regulatory system,” said the president of the court, María Eugenia López Arias. “This is another equally important independence,” explains Serena Vamvas, an environmental activist. “We celebrate the independence of another colonial enclave they built for us. But the power comes from the people,” he said.
For his part, President Laurentino Cortizo wrote on his X account on the social network – formerly Twitter – that he recognized and complied with the Supreme Court’s decision. “I reiterate to my country my complete conviction in the value of justice as the backbone of democracy,” he wrote.
The court’s ruling deals with two lawsuits admitted for processing (out of dozens of lawsuits filed). One of them, filed by lawyer Juan Ramón Sevillano Callejas, violates Article 1 of the Law, which refers to the approval or rejection by the National Assembly of Panama of treaties to which the State is a party or has an interest. However, the celebration of which has not previously been regulated by law, including in accordance with the Official Gazette. The other lawsuit was filed by activist Marta Cornejo, one of the most recognizable faces of anti-mining protests in the country. “We will remain vigilant,” she announced to local media, surrounded by dozens of protesters waving Panamanian flags and celebrating and praying outside the court doors.
This decision is expected to end the crisis triggered by the express authorization of the treaty, which has resulted in four deaths and several injuries, a teachers’ strike – which left nearly 800,000 students without classes last month – and an economic catastrophe. Road blockades, led by indigenous groups and unions. This is the largest peaceful protest in the country in recent decades, although the ombudsman’s office called the police response “excessive.” Following the court ruling, several citizens began to unblock all streets blocked by the protests. “We won!” they say to each other.
Two days before the Ministry of Trade and Industry of Panama learned of the court’s decision, it reported in its networks that the companies First Quantum Panamá, Minera Panamá and Franco-Nevada Corporation had sent two letters of intent to file arbitration claims against the Republic of Panama the International Center for Settlement of Investment Disputes under the Panama-Canada Free Trade Agreement. “Panama reiterates that it has complied with all its obligations under international and Panamanian law and is ready to defend national interests,” the statement concluded. The mining company responded to the statement on Monday evening, assuring that the aim of the report was “merely to comply with formalities”, with the aim of opening a dialogue period of at least 90 days. Cornejo described this request for dialogue as a “total disregard for Panamanian regulations.” “Absolutely nothing is being negotiated with any mining company. “No new concessions can be made,” he told local media.
Despite being a mining project that began operations in 1997, the contract was declared unconstitutional by the Supreme Court in 2017 due to lapses in due process. By signing the new contract law in October, the government ignored this decision and allowed the mine to continue operating unhindered for up to 40 more years. Citizens fear that this decision will be ignored again. “In 2017, it took almost four years to get it gazetted,” laments Vamvas. “We must remain vigilant, but this is the victory of the people.”