Change in mining law bucked
Changing regulations on mining will take a toll on all industries and will “harm the country’s credibility” as an investment destination, according to the Chamber of Mines of the Philippines (COMP).
The industry group said this as the Supreme Court heard their argument related to two petitions that challenge the constitutionality of the Mining Act of 1995.
The high court as a whole, in a resolution dated June 25, allowed the COMP to intervene in the petitions against Sections 80 and 81 of the law, filed in 2008 by different groups that included then Akbayan Rep. Risa Hontiveros.
The petitions against the Mining Act only hurt the country’s investments and confuses investors, said Ronald Recidoro, COMP vice president for legal and policy.
“Changing the regulatory regime will once again be seen by international investors as the country changing the rules in the middle of the game,” Recidoro said in a statement.
The chamber filed its own motion at the SC last month, joining its member organizations in asking that the petitions be dismissed.
The COMP argued that the high court has already decided on the constitutionality of the law in the La Bugal-B’laan vs Ramos case in 2004, a decision penned by former Chief Justice Artemio Panganiban.
Recidoro said the chamber was intervening because any decision on the petitions would directly affect the legal and economic interests of its members, which are all large-scale mining firms.
The Mining Act is world class and at par with similar laws of other countries like Australia, Canada and the United States, in terms of revenue sharing as well as environmental protection and social development, Recidoro said.
“A stable fiscal and regulatory regime is a necessary foundation upon which mining investors will be encouraged to explore, develop and ultimately operate large-scale mines,” he said.
Recidoro added that COMP members have established viable mining operations under the law and have existing agreements with the government, which they expected to be honored.
According to the COMP, about P173 billion in mining investments have been poured into the country since the La Bugal-B’laan ruling that upheld the constitutionality of the Mining Act.
“These investments support job creation, inclusive growth and poverty alleviation, and at the same time protect the environment and uphold human rights,” Recidoro said.
