Mining companies must shape up – DENR

You can expect new administrative guidelines from DENR to operationalize these reforms. The mining industry is in deep need of radical change.

Major reforms are needed in the mining sector, said Department of Environment and Natural Resources (DENR) Secretary Roy A. Cimatu on Monday, following a fact-finding and science-based review of the performance of 26 mining companies which had been issued suspension and cancellation orders in February 2017.

The DENR will submit the fact-finding report to President Rodrigo Duterte, including the actions taken on the mining companies that were ordered suspended and cancelled.

The Mining Industry Coordinating Council (MICC) adopted the report of the MICC Technical Review Teams, which evaluated 19 nickel mines, three gold and copper mines, three chromite mines and two magnetite/iron mines.

It assessed the mining companies’ practices in terms of legal, technical, environmental, social and economic aspects. In addition, the review rated the companies’ practices under the following measures: acceptable (3.0), minor corrections needed (2.0), major reforms needed (1.0) and not acceptable (0).

Upon adoption of the report, the DENR is now tasked to determine the actions on the Motion for Reconsideration filed by 13 mining companies on the suspension and cancellation orders slapped against them.

“We will definitely use the comprehensive report made by the MICC Review Teams in evaluating whether or not a mining company should continue to operate. However, I am inclined to put more premium on the environmental considerations in the mining operations,” Cimatu said.

The DENR chief cited the President’s State of the Nation Address (SoNA) where he emphasized that in the utilization of the natural resources, environmental protection is non-negotiable and is top priority.

“Mining companies need to shape up. The review specified major reforms needed, for example, on inadequate mine tailings pond and the very slow rehabilitation of the disturbed mined areas. The review also pointed out unacceptable practices regarding stockpile areas, location of Tailings Storage Facilities and dumping of toxic and hazardous waste. They have to address all of these issues or they will be closed,” Cimatu added.

“This is definitely a new era of doing mining in the country. We are serious about reinventing mining in the Philippines. As the President said, he is more concerned with the actual benefits to the people, not just the government revenues to be generated by the mining industry,” he reiterated.

On the other hand, the innovative and sustainable practices of some mining firms which may be adopted or replicated should also be recognized, the DENR chief said.

On the part of the DENR and the Mines and Geosciences Bureau, Cimatu affirmed that they will have to implement radical policy changes. These will include the strengthening of monitoring and permitting functions and improvement in the review of the technical, financial, environmental and social feasibility of mining.

“You can expect new administrative guidelines from DENR to operationalize these reforms.

The mining industry is in deep need of radical change. And to reiterate the message of the President in his SoNA, the people of the Philippines must benefit first and foremost from the utilization of the country’s mineral resources,” Cimatu said.

We have invited the DBP (Development Bank of the Philippines) and LBP (Land Bank of the Philippines) to partner with us