Malacañang to sign mining policy by February

MALACAÑANG is expected to sign by mid-February the new mining policy aimed at giving balance to major issues in the industry, particularly the inconsistencies between the national and local laws , a government official said.

Presidential Adviser on Environmental Protection Secretary Nereus Acosta said that the study group has already completed the final draft of the mining policy, which is expected to be approved by President Benigno Aquino 3rd within the next two weeks.

“Right now, we are also routing the mining policy to the departments of Finance, Trade and Industry, and Energy for review and comments on its provisions. We expect the president to sign it by middle of February,” Acosta said.

The official, however, refused to give further details on the direction of new mining policy, saying that it is the president’s prerogative to disclose it.

Aquino earlier made a stand to protect mining investments and to fully address the issues confronting the Philippine minerals industry. Acosta said that the comprehensive mining policy will addresses issues hampering the industry—particularly the inconsistencies in the national and local government units over bans on open pit mining.

“We may see a resolve of issue in a sense that it will balance economic growth and social acceptability in the area,” Acosta said, citing the case of the $5.9-billion Tampakan copper-gold project in South Cotabato.

Tampakan, a project of global miner Xstrata Plc and Indophil Resources NL, is now facing derailment after the provincial government of South Cotabato passed an ordinance, banning open pit mining in the area.

But despite repeated assurance from the government that it will protect major investments, many in the mining industry continued to push for a “clearer” stand from the Aquino administration on the issue. The study group was tasked by the Office of the Executive Secretary to identify and to address issues including the lack of baseline data on the mining industry, policy inconsistencies between the national and local laws, and governance and law enforcement concerns.

The group was also directed to address issue on the lack of total economic valuation for the mining industry and increasing government share in mining revenues, as well as the adverse effects of environmental degradation and climate change.

Leo Jasareno, director of the Mines and Geosciences Bureau, said earlier that the new mining policies in place will provide stakeholders with clear guidelines and detailed information in the provisions of the Mining Act of the Philippines and its implementing rules and regulations.

“We hope that the said mining policies can finally lead the industry to a middle ground where the concerns of every stakeholder will be reasonably addressed and provide a stable investment environment in the Philippines in terms of the mineral resource development,” the official said. The study group is composed of Acosta, Environment Secretary Ramon Paje, Presidential Adviser on Climate Change Secretary Elisea Gozun, and Vice Chairperson of the Climate Change Commission Mary Ann Lucille Sering.

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The Manila Times
by James Konstantin Galvez
January 30, 2012