DENR tightens rules on export of mineral ores

The Department of Environment and Natural Resources (DENR) will now require all mining companies to secure an export permit from the DENR central office before they can ship out mineral ores, Environment and Natural Resources Secretary Jose L. Atienza said yesterday.

Atienza said all permits of the export of mineral ores would have to be personally approved by him or by the Mines and Geosciences Bureau.

He said mining companies, should not complain about the new requirement since the DENR is merely protecting the national interest.

In a press conference, Atienza said the DENR does not have a first-hand knowledge of the exact amount of mineral ores that are being exported by mining firms.

He said the aggregate figure that the DENR relies on is collated  from the reports of mining firms themselves and local government units (LGUs) which issue the ore transport permits (OTP).

 “We actually have no control over the quality or quantity being shipped out,” Atienza said, adding that the DENR is not sure if the proper taxes are being collected.

To gain control of the situation, the DENR is amending the rules governing small scale mining. Atienza noted that it is the small scale mining operators who actually ship out a lot of the undocumented or misdeclared mineral ores.

He said large mining companies usually make the proper declarations and pay the proper taxes.

Atienza said that the DENR is in the process of amending the regulations and is just finalizing a few necessary details such as who would do the auditing and accounting. He said the LGUs will continue to issue the OTPs.

Meanwhile, Atienza also revealed the DENR will soon implement a system of sharing taxes on mining activities. In the past, Atienza said all taxes are first remitted to the National Government before being allotted back to the LGUs under the Internal Revenue Allotment (IRA) scheme.

Following a meeting of the Minerals Development Council (MDC), Atienza said it has been agreed that the sharing of the mining revenues will be immediate on a 60-40 basis, with the bulk going to the National Government.

Atienza has been urging the mayors to monitor the performance of mining firms and check their compliance with mining and environmental laws.

According to Atienza, “Without the LGUs, the National Government will find it difficult to ensure success.” He said Filipinos are sitting on top of rich mineral resources such as gold, copper, nickel and chromite.

“If our government does not develop our potential then we will not be able to help our people. The challenge to government is how to harness these resources for the benefit of all and the only way to do it is through the correct and responsible management of our mineral wealth,” Atienza said.