Friday, June 01, 2012

Thoughts on Law and Mining



So much for the myriad of mining laws and jurisprudence; what we witnessed grinding before us was the life-animation of what the laws or the lack of it has allowed. For the first time, I’ve seen an entire horizon of mountains or what was left of it produce dust clouds fuming from the scarred earth. Initial reaction would immediately convey to me that this is but necessary for a properly functioning economy which should make use of its abundant raw materials. However, just seeing the immense conversion or better yet destruction of mountains would lead a reasonable mind to think that there is something really wrong with the picture.  

As an economics graduate, I understand that a mining industry is an essential component of any economy “blessed” to have such rich mineral deposits scattered around its jurisdiction. We can make money out of it for sure and we can produce outputs for sure too. But the crux of the matter lies on how these extractions actually benefit the community around it and the nation as a whole. This should be the framework in which we try to lead discourse among ourselves. Does the present mining law which is undoubtedly liberal in favour of accommodating foreign capital indiscriminately open up our mining lands for foreign exploitation? Or would a contrary policy grip it too tight that it would choke the very industry we would like to responsibly prosper?

In my humble understanding, I would support some of the provisions of the proposed People’s Mining Bill penned by a coalition of left groups in Congress. However, this should strike a balance between the realities of short-term Filipino capital deficiencies and the long-term goal of Filipinization of the mining industry. I feel that some parts of the bill is too anchored on idealism that it would not be practicable and workable in its immediate implementation. For example, the bill gives exclusive rights to the Bureau of Mines to conduct mining exploration. I guess they might have left aside the idea that such exploration entails MILLIONS of dollars and the risk associated with it is high. Would government through the Bureau of Mines actually risk billions of tax-payer money for a high-risk endeavor? It seems to be a ridiculous choice considering our   financial limitations to say the very least. These are things that are better left with the private sector. On the positive note, the decision-making process espoused by the bill is something interesting and I would say practicable. The country will be all close to mining unless opened by these bodies composed of community stake holders. I do not wish to elaborate but the spirit of grass-roots participation in the decision-making of allowing mining in their communities is something to institutionalize and safe-guard.

These are just scattered unorganized thoughts about the mining issue that we were confronted in our summer internship. I do hope that eventually a policy will be crafted and passed as law that would side with the Filipino rather than the Foreigner and which would bring the bulk of its benefits directly to the people. 

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