A/HRC/44/43/Add.2 indigenous peoples in line with international standards would constitute a significant step towards rebuilding trust between State authorities and indigenous communities. 29. The Working Group reiterates the observations made by the Special Rapporteur on the rights of indigenous peoples that any initiative with regard to participation and consultation rights should be accompanied by strengthened protections for other substantive areas, including indigenous lands, the environment and human rights defenders. B. Social and environmental impact assessments and licencing 30. In recent years, the State has favoured more flexible regulation of extractive and energy sectors, mainly to facilitate licensing and concessions procedures.8 According to nonofficial figures, as at September 2019, 471 metallic and non-metallic mining concessions had been registered, of which 211 for metal industrial mining and 260 for non-metallic industrial mining.9 Likewise, in the energy sector, a total of 307 concessions had been granted, of which 112 were operating (25 thermal, 48 hydroelectric, 15 biomass, 6 wind, 17 photovoltaic and one geothermal).10 31. The general law on the environment (law No. 104/93) mandates the Ministry of Natural Resources and the Environment to coordinate and regulate the national environmental impact assessment system (SINEIA). An official classification of projects issued by the Ministry11 requires an environmental impact study for category 4 projects, regarded as the projects with the highest potential environmental risk or impact. 32. Pursuant to Decree No. 181-2007, the concession and licensing process was decentralized to simplify and accelerate it and thereby attract investments. A digital platform was created to streamline the environmental license procedure and to facilitate access to information for companies. Under this regime, the main responsibility for granting environmental licences rests with the Ministry of the Environment, and Congress signs the final contract with the company. 33. One of the most serious concerns raised by civil society organizations and affected communities was the lack of a comprehensive and transparent environmental regulatory framework, including with regard to the qualifications required to conduct environmental and social studies, and the consequent repeated failure to prevent and mitigate adverse social, human rights and environmental impact. 34. Concerns were also raised regarding the ability of the Government, in particular of the Ministry of the Environment, to exercise proper oversight and conduct environmental inspections. It was unclear to what extent national ministries engage with local stakeholders to assess any social impact as part of an assessment of a project’s feasibility. This contributes to a systematic lack of accountability for the harm caused by business operations and of access to effective remedy for victims, which in turn has fuelled mistrust in the State’s ability to protect people and the environment. The adoption of a regulatory and institutional framework firmly grounded in international human rights law and standards, including the Guiding Principles, should be a priority for the Government. 35. The Working Group also learned that the registration of protected areas in the Catalogue of Inalienable Public Forestry Heritage (Catálogo del Patrimonio Público Forestal Inalienable) by the Institute for the Conservation of Forests, Protected Areas and Wildlife (Instituto de Conservación Forestal Áreas Protegidas y Vida Silvestre) was not automatic. Rather, the registration process imposes technical and administrative requirements that may make registration of natural reserves challenging, which may in turn expose these areas to potentially irreversible consequences from business operations in areas that the State itself recognizes in law as national parks. The social conflict around the exploitation of natural 8 9 10 11 See for example Decrees Nos. 238-2012, 138-2013 and 404-2014. Observatorio de Bienes Naturales y Derechos Humanos, Centro Hondureño de Promoción para el Desarrollo Comunitario, “El estado de la minería en Honduras: Investigación exploratoria”, p. 17. Benjamin Fash et al., Territorios en Riesgo II: Minería, hidrocarburos y generación de energía eléctrica en Honduras (Foro Social de la Deuda externa y Desarrollo de Honduras, April 2019), p. 22. Ministerial decree No. 016-2015. 7