THE Mining Industry Coordinating Council on Friday agreed to a multi-stakeholder review of Environment Secretary Regina Lopez’s decision to shut down 23 mining companies after she admitted to disregarding the recommendation of a technical review committee to levy only fines and suspensions on erring firms.
Following President Rodrigo Duterte’s order to give the affected companies the opportunity to dispute the mining audit undertaken by the Department of Environment and Natural Resources, Finance Secretary Carlos G. Dominguez III and Lopez, who co-chair the MICC, agreed to take another look at the performance of existing mining operations in consultation with local government units.
“The review shall be based on the guidelines and parameters set forth in specific mining contract and in other pertinent laws, taking into account the valid exercise of the State’s police power to serve the common good, especially of the poor,” the MICC resolution read.
“Those found guilty of violating mining contracts, laws and regulations, after observance of due process, shall be meted the appropriate penalty under relevant laws,” it added.
Lopez said that the 23 mining companies ordered closed and five others ordered suspended can still continue to operate if they appeal the DENR’s show cause order to the Office of the President.
“They [firms violating mining rules] should be receiving today [February 10] the official notices of closure or suspension. They can appeal to the President and unfortunately, while the appeal is ongoing, they can still actually mine,” Lopez said.
“If they receive the order and they don’t appeal, [those ordered closed down] they’ll be closed down,” she said.
“The closure order remains but if they appeal to the Office of the President, they can continue,” she added.
Lopez admitted that only after President Rodrigo Duterte decides on the status of mining operations can she order for the closure of the mining companies in question.
Dominguez, who appealed to the President to ensure due process in the mining audit, said the review would provide assistance and guidance to the DENR.
“We’ll look at the contract of each mining firm; if there’s clause that they can appeal or invoke arbitration, they can do so,” he said.
The Finance chief said that there can be a fallout from actions, such as closing a mine.
“Essentially, the council will assist DENR. There are considerations to be taken and the government has to prepare for the fallout on those decisions,” he added.
“We just want to assure everybody, including local government units that may be affected, that there will be a process of listening to them in this whole process,” he added.
Dominguez said that the review will be composed of a “very large” group from the members of the MICC.
“It is a combination of the economic cluster and the climate change cluster. There will be a technical working group that will be identified,” he said.
Lopez recently came under fire after she confirmed disregarding the recommendation of a technical review committee to merely suspend some mining companies.
In an interview at the Palace, Lopez confirmed reports that the technical review committee she created in November 2016 recommended only a maximum of “suspension and fines,” and that she decided to close 23 of them nonetheless.
Contrary to her previous stance, Lopez now says she is willing to show the results of the mining audit.
Lopez said that while she is open to looking at new information that the multi-stakeholder review may find, she will stick with her decision to scrap all mines operating in watersheds.
“MICC [Mining Industry Coordinating Council] is recommendatory. They are not over me. They cannot tell me what to do. The only one who can tell me what to do is the President,” Lopez said in a televised interview.
“My stand right now given what I know is that there should be no mining in watersheds… My decision will always be on the side of the common good,” she added.
She noted, however, that “perhaps a multi-faceted solution to the problem may come up.”
The Chamber of Mines of the Philippines—an organization of local miners—has argued that the regulator’s audit was “one-sided” and “compromised.”