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Business

Debate over mining reaches another level

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MANILA, Philippines - Mining, or the extraction of minerals and other geological materials from the earth, has always been a contentious issue.

The debate has reached another level these days as environmental groups and church leaders are aggressively advocating for a total mining ban.

The center of contention between the mining industry and anti-mining advocates is the Mining Act of 1995 which was drafted and signed into law during the Ramos administration.

Mining experts say that it is one of the most stringent mining laws anywhere in the world, but was still opposed by anti-mining groups who promptly filed a challenge to the act with the Supreme Court just as soon as it was signed into law.

The challenge effectively put the mining industry in limbo that caused an exodus of big mining investors to other countries.

But after six years of review, the High Court ruled with finality in favor of the Mining Act of 1995, with its revised implementing rules and regulations.

During that period, however, the industry was bleeding to death.

The good thing was, the law’s significance became evident during the period that it was challenged and was put to review.

It was noticeable that no major mining development took off as there was an absence of fresh capital from foreign mining companies.

A perfect example would be the Tampakan Copper-Gold project in South Cotabato alone that needs $5.2 billion in capital investment to go into operation.

But just as when the mining industry is making a strong comeback, the Catholic Bishops’ Conference of the Philippines has sought the repeal of the Mining Act, without specifying any particular section that they oppose.

Pro-mining groups have repeatedly said that the government cannot repeal the law without losing face in the international community whose members have invested heavily in the country.

Some sectors, on the other hand, argue that vigilance should be centered on regulators who are enforcing the mining laws.

ACT

CATHOLIC BISHOPS

CONFERENCE OF THE PHILIPPINES

HIGH COURT

INDUSTRY

MINING

MINING ACT

RAMOS

SOUTH COTABATO

SUPREME COURT

TAMPAKAN COPPER-GOLD

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