by Nicasio Angelo Agustin
For the last few weeks, Philippine stocks have been upbeat and growing, showing significant stability. This also reflects the resilience of the Philippine economy even in the midst of economic turmoil in the US and Europe.
All stock market sectors have been shown strength and stability, except for the mining sector. Even in periodic reviews of last year’s stock market performance, the mining sector somewhat remained trapped in the solid foundations of the earth and unable to gain some stock points.
During the “Arangkada 2012” Business Forum – an event mounted by the Joint Foreign Chambers (JFC) in January 2012 – a concern was raised to the President by a foreign chamber official that the mineral resources that we have are not being put into good economic use. The official said that while mining companies do recognize some concerns in the sector, the government has not come up with a clear direction or policy on mining. The President responded that an inter-agency body has been created at the executive level and by the middle or end of February 2012, the “framework” for the mining sector would have been formulated.
All that is needed at this time, in my own opinion, is a pronouncement from the President on how the present administration is viewing mining as a potent economic engine. The country already has a law on mining, and it has been said that our Mining Law is one of the best around the world. When the “framework” being worked out at the executive level comes out, will it serve as the policy of the State in so far as mining is concerned or will the Mining Law prevail? Probably, the “framework” would give us clearer guidance on how to do mining, supplemental to the already good Mining Law and its Implementing Rules and Regulations (IRR). Well, that’s only my guess.
I am neither an ultra pro-mining nor a super anti-mining person, but with my background – albeit a bit limited – on resource economics, I recognize the value of untapped resources. I am not also oblivious to the many concerns on mining especially those that relate to environment but I acknowledge that there are ways to address these concerns – or perhaps, I am just a bit naïve or simply ideal that I thought there is a solution to every problem.
Nonetheless, what the country needs now is for everybody to be more responsible when it comes to resource utilization in a way that we balance between what we can derive today and what we retain for use of future generations. Quite a cliché, but it is still true and desirable. And the only way to do it is to face squarely the issues and concerns, and make the necessary promulgation. In the absence of such, more damage are done to the environment and to local communities. I will stop there because everything becomes so acad+emic where many of the issues had been the subjects of unending debates and protracted discussions.
For mining to be economically feasible and socially acceptable, it should take into serious consideration MINE – an acronym that stands for:
M – for the marginalized sectors in our society. Benefits that could be derived from mining should trickle down to the poor segments of the population even if they were not directly involved in mining operations; somehow, they should “feel” the gains of mining exploration and development. There should be a way to redistribute the benefits and wealth that the capitalists and mining operators extract from the industry.
I – for the indigenous peoples. Though there may be some controversies on the law protecting the rights of indigenous peoples over their designated domains, their welfare and well-being as Filipinos and humans should likewise be recognized and protected when mining operations begin.
N – for nature. With this, I mean our respect for nature and the law of nature. It is as simple as what goes up shall come down. What we do with nature, nature has a way of getting back on humanity. Hence, we should do mining with a lot of caution and vigilance not to abuse or misuse what nature provides.
E – for the environment and the economy. There is such a thing as environmental economics. These two terms are no longer mutually exclusive. Hence, a balance between the 2 is no longer impossible.
