At the COP28 summit held in Dubai, Colombia made a significant announcement by aligning itself with a coalition of nations advocating for the cessation of fossil fuel usage. Notably, Colombia, recognized as South America's primary coal producer, is taking decisive steps by proposing a mining bill aimed at prohibiting new exploration and production contracts for coal, a major fossil fuel. The proposed legislation also introduces the prospect of expropriating mining assets under specific circumstances, encompassing not only coal but also other types of mines.

The primary objective of the bill is to propel Colombia towards its "decarbonization goals," as outlined in the text currently available for public comments on the Energy and Mines Ministry's website. While the bill has not yet been formally submitted to the congress, it reflects President Gustavo Petro's commitment to steering the nation away from its reliance on fossil fuels. President Petro, who assumed office in 2022, has consistently emphasized reducing dependency on fossil fuels, with his administration already refraining from entering into new coal and oil contracts. The proposed bill takes a more definitive stance by seeking to legally prohibit the issuance of new coal licenses.

Colombia's decision to join a coalition of nations at COP28 advocating for the phasing out of fossil fuels underscores a paradigm shift in the country's energy policy. Oil and coal currently stand as the top two exports for Colombia, constituting approximately half of its export revenue. The proposed mining bill represents a proactive effort to align the nation's economic interests with global environmental imperatives.

The text of the bill goes beyond the ban on new coal licenses and introduces a noteworthy proposal granting the government the authority to expropriate mining assets in certain situations. The conditions for such expropriation include the assets contributing to the country's reindustrialization, facilitating the energy transition, supporting agricultural development, and contributing to public infrastructure. Moreover, these assets must generate direct employment opportunities, both qualified and unskilled, under decent working conditions, among other specified requisites.

The multifaceted nature of the bill underscores its comprehensive approach to addressing environmental, economic, and social concerns. By prohibiting new coal licenses, the legislation directly targets a reduction in the extraction and use of fossil fuels, aligning with global efforts to combat climate change. Simultaneously, the provision for expropriating mining assets indicates a strategic approach to ensure that the energy and mining sectors contribute positively to the country's broader goals, including reindustrialization, energy transition, agricultural development, and employment generation.

It is noteworthy that the proposed mining bill is currently open for public comments, emphasizing a commitment to transparency and inclusivity in the legislative process. The involvement of stakeholders, including citizens and various interest groups, in providing feedback and perspectives on the bill adds a layer of democratic participation to the formulation of crucial environmental and economic policies.