PBEST calls for changes in Small Scale Mining Act

MANILA, Philippines - The Philippine Business for Environmental Stewardship (PBEST) calls for the amendment of Republic Act No. 7076, also known as the People’s Small Scale Mining Act of 1991, to ensure environmental protection and mine safety.

PBEST convenor Carlos Primo David said the small scale mining industry has a role to play in both subsistence mining and the development of mining as a municipal or barangay scale industry.

Geologically, there are mineral resources such as small nickel laterite deposits, thin or boxwork gold veins, alluvial gold panning, clay and gemstones that may only be economically feasible to develop at a smaller scale.

 â€œThe rampant illegal small scale mining activities is a serious environmental risk in the areas where these activities are being tolerated. Illegal mining operators have been known to ignore the environmental regulations and even employ child labor in the most hazardous conditions,” he said.

David cited data from Mining and Geosciences Bureau showing that small scale mining produces about half of the country’s gold output and is the Central Bank’s biggest source of gold reserves.  “But we are losing this much needed asset to irresponsible mining practices and smuggling,” he said.

He further stressed that a properly regulated mining industry will have direct benefits to the local communities in terms of millions of pesos in taxes that can be channelled to badly needed infrastructure, health services and education. Leaving small scale mining to illegal operators will mean losing hundreds of millions in unpaid taxes, the unnecessary loss of lives and permanent damage to the environment caused by unsafe mining practices.

RA 7076 and its accompanying IRR (DAO 34-92) compiles the necessary provisions pertaining to small scale mining. The law generally captures the essence necessary to promote small scale mining and at the same time provide guidance for environmental protection and mine safety.

PBEST, a developmental NGO, said there are certain provisions in RA 7076 that can be improved or replaced in order to make small scale mining operations compliant to the law and ensure environmental protection.

It said the governing bodies instituted, such as provincial, municipal or city mining regulatory boards, may not be capable of performing environmental monitoring, empowered with the necessary police powers and enough jurisdiction over small scale operations.

David also pointed out that PD 1899 grants authority to LGUs to issue small-scale mining permits while it is the Provincial/City Mining Regulatory Board which has that power in RA 7076 thereby causing conflict and confusion which should be resolved with finality with the repeal of PD 1899.

“We shall actively push for these reforms in both houses of Congress and with the relevant government agencies,” David said.

PBEST is a developmental NGO in partnership with the business sector, academe and civil society that actively promotes sound developmental policies and advocates right governance to ensure responsible stewardship of the environment as a requisite in the operations of all industries.