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Mine closure and its impact on the community : five years after mine closure in Romania, Russia and Ukraine


  • Haney, Michael
  • Shkaratan, Maria


Against the backdrop of economic transition, several countries in Eastern Europe have undertaken far-reaching programs to restructure their coal sectors, which in the 1990s were in a state of deep crisis. One aspect of restructuring has been the closure of loss-making mines, which are often located in communities where the coal industry is the dominant employer, and the significant downsizing of the workforce. Mitigation efforts that are implemented at the time of mine closure (such as severance payments) are usually intended only for the laid-off workers. The authors examine the impact of mine closure on the entire community five years after mine closure in Romania, Russia, and Ukraine. Using quantitative and qualitative research methods and based on interviews with national, regional, and local experts, and members of the affected population, the authors describe the effect of mine closure and evaluate the various mitigation efforts that have been used by governments in such cases. They conclude with policy recommendations of broad relevance to programs of industrial restructuring in communities dominated by a single industry.

Suggested Citation

  • Haney, Michael & Shkaratan, Maria, 2003. "Mine closure and its impact on the community : five years after mine closure in Romania, Russia and Ukraine," Policy Research Working Paper Series 3083, The World Bank.
  • Handle: RePEc:wbk:wbrwps:3083

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    References listed on IDEAS

    1. Dar, Amit & Tzannatos, Zafiris, 1999. "Active labor market programs: a review of the evidence from evaluations," Social Protection and Labor Policy and Technical Notes 20116, The World Bank.
    2. Guido Friebel & Sergei Guriev, 1999. "Why Russian Workers Do Not Move: Attachment of Workers Through In-Kind Payments," William Davidson Institute Working Papers Series 283, William Davidson Institute at the University of Michigan.
    3. Artemiev, Igor & Haney, Michael, 2002. "The privatization of the Russian coal industry: policies and processes in the transformation of a major industry," Policy Research Working Paper Series 2820, The World Bank.
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    Cited by:

    1. Elissaios Papyrakis, 2007. "A Development Curse: Formal vs. Informal Activities in Resource-Dependent Economies," DEGIT Conference Papers c012_027, DEGIT, Dynamics, Economic Growth, and International Trade.
    2. Debabrata Chattopadhyay & Jacek Filipowski & Michael Stanley & Samuel Oguah, 2017. "The Effects of Carbon Limits on Electricity Generation and Coal Production," World Bank Other Operational Studies 28624, The World Bank.
    3. Marais, Lochner, 2013. "Resources policy and mine closure in South Africa: The case of the Free State Goldfields," Resources Policy, Elsevier, vol. 38(3), pages 363-372.


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