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SC upholds the Philippine Mining Act of 1995

 

In a move that it said would benefit the greatest number, the Supreme Court on Wednesday upheld the constitutionality of the Philippine Mining Act of 1995 by a vote of ten to four with one abstention, reversing its January 27 decision.

“This Court has therefore weighed carefully the rights and interest of all concerned, and decided for the greater good of the greatest number,” the High Court said in a 246-page decision penned by Associate Justice Artemio V. Panganiban.

The SC ruled that the Mining Act and its Implementing Rules and Regulations contained in the DENR Administrative Order 9640, and the Financial or Technical Assistance Agreement (FTAA) dated March 30, 1995 executed with Western Mining Philippines Inc. (WMCP), do not contravene with the Constitution.

The High Court had previously ruled to nullify all provisions of the Mining Act concerning the FTAA and other permits that can be granted to foreign corporations such as the exploration permits, mineral processing permits and declared the FTAA of 100-percent foreign owned WMCP, as void, on the ground that these violate the principle of sovereignty stipulated in the Constitution.

These were reversed by the High Court saying that the Mining Act and its IRR the State remains in full control and supervision over the exploration, development and utilization of mineral resources.

Overall, the High Court said the decision considered and weighed the various interests of all concerned.

“The need for an appropriate balancing of interest and needs—the need to develop our stagnating mining industry and extract what NEDA Secretary Romulo Neri estimates is some US$840 billion (approx. P47.04 trillion) worth of mineral wealth lying hidden in the ground, in order to jumpstart our foundering economy on the one hand and on the other, the need to enhance our nationalistic aspirations, protect our indigenous communities and prevent irreversible ecological damage,” the decision read.

“Verily, the mineral wealth and natural resources of this country are meant to benefit not merely a select group of people living in the areas locally affected by mining activities, but the entire Filipino nation, present and future, to whom the mineral wealth really belong.,, JUSTICE FOR ALL, not just for some; JUSTICE FOR THE PRESENT AND THE FUTURE, not just for the here and now.

Aside from Associate Justice Panganiban, those who voted to reverse the January ruling are Chief Justice Hilario G. Davide Jr; Associate Justices Reynato S. Puno; Leonardo A. Quisumbing; Angelina Sandoval Gutierrez; Alicia Austria Martinez; Renato C. Corona; Dante O. Tinga; Minita Chico Nazario; and Cancio C. Garcia.

Those who dissented were Associate Justices Yñares Santiago; Antonio T. Carpio; Conchita Carpio Morales; and Romeo J. Callejo. Associate Justice Adolfo A. Azcuna did not take part because he was a former counsel of one of the parties.


The decision is expected to give much-needed boost to the current program of the government led by the DENR to revitalize the minerals industry, which is eyed to help prop up economic growth and development.

The DENR was recently given by President Arroyo the green light to operationalize the Minerals Action Plan, a comprehensive strategy involving all agencies of government and the stakeholders of the minerals industry that would revitalize minerals development in the country with due consideration to environmental protection, economic growth and social equity.

The Arroyo administration has tapped mining as one of the sectors to help generate investments and jobs on the back of the country’s rich mineral resources.

   

Republic of the Philippines - Mines and Geosciences Bureau / Department of Environment and Natural Resource
Central Office: MGB Compound, North Avenue, Diliman, Quezon City | Telephone: (63-2) 928-8642 / 920-9120