Roadmap
for the Philippine Minerals Industry |
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| VISION |
"A
minerals industry that is not only prosperous but also socially,
economically, and environmentally sustainable with broad community
base and political support while positively and progressively assisting
in the government's poverty alleviation program and contributing
to the general economic well-being of the nation. |
| OBJECTIVES |
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No. of Approved Projects |
1995 |
2001 |
Annual
Increase
from 2003 |
2009 |
|
|
EP
|
4 |
64 |
65 |
455 |
|
MPSA
|
15 |
169 |
158 |
1,275 |
|
FTAA
|
2 |
2 |
4 |
30 |
|
TOTAL
|
41 |
235 |
|
|
|
|
Employment (in thousand) |
107 |
104 |
84 |
590 |
|
|
Investments (in million Php) |
860 |
1,100* |
26,725 |
187,075 |
|
| |
Exports (in million US$) |
566 |
455 |
|
2,000 |
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| STRATEGIES |
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Resolve
legal obstacles |
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Improve
bureaucratic procedures |
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Generate
investments/employment |
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Extensive
social preparations |
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| POLICY
FRAMEWORKS |
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Resolution
of Legal Problems/Issues |
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Transparent
and Time-bound Processing of Permits/Agreements |
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Enhanced
Cooperation/Coordination with LGUs and Other Stakeholders |
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Adoption
of Multiple Land Use Principle |
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Active
Promotion of Mining Investments |
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Compliance
with Social, Safety and Health, and |
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Environmental
Responsibilities |
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| RESOLUTION
OF LEGAL PROBLEMS/ISSUES |
| |
Problem
1. Unresolved Case with Supreme Court filed on Feb. 1997
on the Constitutionality of the Mining Act and its IRR |
|
Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Request
for information on the status of the case with the Supreme Court
|
Jan.
2003 |
DTI-BOI |
| |
Meeting
with Office of Solicitor General |
Feb.
2003 |
BOI,
MGB, Chamber of Mines |
| |
Invite
SC Justices to a high level National Mining Conference
|
May
7-8 2003 |
DENR,
DTI, WB, Australian and Canadian Embassies |
| |
Resolve
the case |
2003 |
Supreme
Court (SC) |
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Problem
2. Unresolved Mining Disputes |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Designate
full-time members of the
Panel of Arbitrators (PA), especially in
regions with numerous mining
disputes |
1Q
2003 |
DENR |
| |
Comply
with 30-day period to
decide on mining disputes (DENR DAO
96-40, Secs. 205 and 209) |
1Q
2003 |
PA
MAB
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TRANSPARENT AND TIME-BOUND PROCESSING OF PERMITS/AGREEMENTS |
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Problem
1. Certification Precondition (CP) Requirement for All Tenurial Rights
Projects
Throughout the Country |
|
Action
Steps |
Timetable |
Responsible
Institution/s |
|
|
Identify
regions/areas without
Indigenous Peoples (IP) |
Feb.
2003 |
MGB |
|
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Mapping
and delineation of certain
areas with no Indigenous Peoples
(IPs) and exclude from CP
requirement
|
May
2003 |
NCIP,
DENR, MGB, Forest Management Bureau (FMB), Land Management Bureau(LMB)
and Protected Areas and Wildlife Bureau (PAWB) |
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Problem
2. Free, Prior and Informed Consent (FPIC) and Prior Sanggunian Approval
Requirements for Exploration Projects (EPs) |
|
Action
Steps |
Timetable |
Responsible
Institution/s |
|
|
Draft
Administrative Order (AO) to
amend NCIP AO 3 either to exempt
exploration activities from securing CP
or adopt a condensed/streamlined
FPIC and CP processes for EPs |
1Q
of 2003 |
MGB
NCIP |
|
|
Draft
Memorandum Order amending
Sec. 10 of Dept. Memorandum Order
99-34, to exempt mining applications
under exploration stage from securing
“Prior Approval by the Sanggunian”,
instead project proponent should
submit a copy of work programs as
proof of consultation with the
Sanggunian. (Prior Approval by the
Sanggunian should be required on
development/production stage) |
1Q
of 2003 |
DENR,
MGB, LGU |
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Problem
3. Area Clearance Pass Through Various DENR Agencies |
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Action
Steps |
Timetable |
Responsible
Institution/s |
|
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Draft
DAO for the creation of a One-
Stop-Shop-Area Clearance for
simplification and time-bound
procedures in the issuance of the Area
Status/ Clearance/ Consent for mining
applications |
1Q
of 2003 |
DENR,
MGB LMB,
PAWB, FMB |
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Problem
4. Frustrating Delays in Processing of Permits with Bureaucracies |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Approval
of MO amending DMO 99-27 for:1) the decentralization of approvals
for Industrial Sand and Gravel (ISAG) permits, special permits,
etc.;
2) MGB Central Office to act on applications for EPs within 5 working
days from acceptance |
June
of 2003 |
DENR
MGB |
| |
Draft
EO
1) Directing concerned agencies (DENR, MGB, FMB, LMB, PAWB, EMB, NCIP,
DAR, DA, NIA, DPWH, DILG) and their regional offices to designate
point persons on mining concerns;
2) The agencies to adopt a transparent and time bound processing of
mining applications for clearance/permits |
March
2003 |
DENR,
MGB, DTI, BOI |
| |
Transparent
and time-bound processing of
permits (e.g. 45 days)
|
1Q
of 2003 |
MGB |
| |
Adopt
work program to remove backlog on
pending applications for mining permits
|
May
2003` |
MGB |
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| ENHANCED
COOPERATION/ COORDINATION WITH LGUS AND OTHER STAKEHOLDERS |
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Problem
1. Pervasive Anti-Mining Sentiments |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Regional
consultations on national
Minerals Policy, study tours on local
best mining practices, stakeholder
engagements
|
Apr.
2003 |
MGB,
WB, AGILE, USAID |
| |
National
Mining Summit |
May
7-8 2003 |
DENR,
MGB, WB, Embassies of Australia, Canada, Japan, USAID |
| |
Study
tours to Australia, Canada and USA |
2Q
2003 |
MGB,
LGU, WB, Embassy of Australia, Canada |
| |
Marinduque
Environmental and Health
Study on Marcopper
|
2004 |
Marinduque
government, either foreign or local specialists/experts |
|
| |
Continue
government control of small
scale mining in Mt. Diwalwal
|
|
DENR,
NRDC, MGB |
| |
Conduct
strong Information, Education
and Communication (EIC) Campaign
• Creation of interactive website with
industry information (processing of
permits, calendar of events, regional
mining updates)
• Video presentation, Posters in strategic
locations
|
3Q
of 2003 |
TWG
on Minerals Industry (BOI, MGB, Chamber of Mines, NRDC, PSEM, and
Crew Minerals) and Philippine Mineral Development Foundation Institute,
Inc. |
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Submission
of position paper and
indorsement as priority HB 3993 of
Cong. M. Domogan amending Taxation
Law to provide for direct payment of
excise taxes on mining to LGUs
|
|
OP,
Chamber of Mines, DENR, DTI |
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| ADOPTION
OF MULTIPLE LAND USE PRINCIPLE |
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Problem
1. Restrictive Access to Land Due to Competing Land Uses |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Include
the provision in the proposed
Land Use Bill and Sustainable Forest
Management Bill that mining rights
may be issued on other existing
tenurial rights (forest rights, CADC,
CADT, etc) upon approval of MOA
between concerned rights holders and
government agencies
|
2Q
2003 |
DENR,
MGB, LMB, FMB
DTI-BOI, Congress |
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| Active
Promotion of Mining Investments |
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Problem
1. Unattractive Investment Climate |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Drafting
of mining industry profile and
opportunity studies
|
1Q
of 2003 |
BOI |
| |
Conduct
of inbound and outbound
missions
|
3Q
of 2003 |
BOI |
| |
Information
campaign on BOI
registration and incentives for mining
projects to MGB offices and LGUs
|
2003 |
BOI |
| |
Draft
guidelines on Co-production and
Joint Venture Contracts under the
Mining Act
|
|
MGB |
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Push
for the passage of Congress Bill
providing incentives on capital
equipment and extending income tax
holiday (ITH) incentive (amending EO
226, RA 7918)
|
11th
Congress |
DTI-BOI,
Congress |
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Problem
2. Idle, Sequestered and/or Abandoned Mining Assets |
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Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Create
a government-owned Natural
Resources and Mining Development
Corporation (NRMDC) to handle
mining assets/projects
|
2003 |
OP
DENR
NRDC
|
| |
Transfer
idle, sequestered mining
assets from Privatization Management
Office (PMO)
|
2003 |
NRMDC
PMO
DOF
|
| |
Raise
initial capital through IPO for
NRMDC
|
2003 |
NRMDC |
| |
Operate
idle, sequestered mining assets
and new mining projects either solely
or joint venture with private
corporations
|
2003
onward |
NRMDC |
| |
Urgent
operation of idle gold mines to
generate additional exports
|
2004 |
NRMDC |
| |
Prepare
project profiles of mining assets for joint venture investments |
2003 |
BOI |
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| COMPLIANCE
WITH SOCIAL, SAFETY AND HEALTH, AND ENVIRONMENTAL RESPONSIBILITIES |
|
|
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|
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Problem
1. Lack of Community Awareness and Participation in Decision-Making |
|
Action
Steps |
Timetable |
Responsible
Institution/s |
| |
Ensure
community participation in
Multi-Partite Monitoring Team in
municipalities with mining projects
to monitor their compliance
|
2Q
2003 |
MGB,
LGUs, NGOs, IPs
Host communities
|
| |
Require
annual submission of Social
Development Management Program
(SDMP) by mining companies pursuant
to Sec. 134, Chap. 14 of DAO 96-40
|
August
2003 |
MGB |
| |
Annual
SDMP Report on the Mining
Philippines 2003 and through website
and press releases
|
September
2003 |
MGB,
Chamber of Mines |
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Problem
2. Environmental Risks and Concerns on Mining |
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Action
Steps |
Timetable |
Responsible
Institution/s |
|
|
Ensure
submission of annual Environmental
Protection and Enhancement Program
(EPEP) by mining companies
|
2003
onwards |
MGB |
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|
Establishment
of minimum standards on
pollution control, safety and health, and
environmental management system
|
2003 |
MGB
Chamber of Mines
|
| |
| |
Annual
inspection, monitoring and issuance
of Compliance Certificate to compliant
operating mines and warning for closure
to non-compliant firms
|
2003 |
MGB |
| |
Public
disclosure of compliant and non-
compliant mining firms
|
Sept.
2003 |
MGB
Chamber of Mines |
|
|
(Long
term) Require ISO 14000 certification
of big mining operators
|
|
MGB
Chamber of Mines |
