Semirara remits P3.57B in royalties to gov’t

Integrated coal mining and energy company Semirara Mining and Power Corp.(SMPC) remitted P3.57 billion in royalties to the Department of Energy (DOE) in March, representing the government share in mining revenues for 2018.

The royalty payment was 17 percent lower than the P4.3 billion remitted last year as coal sales volume dropped by 11 percent year-on-year to 11 million metric tons (MMT) from 13.1 million MT.

Of the P3.57 billion paid to government coffers, around P1.43 billion will be distributed to Semirara’s host communities. Nearly P500 million will go to Barangay Semirara while the town of Caluya and the Antique will receive P642 million and P285 million, respectively.

“Our partnership with DOE allows us to contribute meaningfully to the economy of our host communities. Aside from royalties, we also generate employment in Semirara Island and nearby areas,” said Semirara president and chief operating officer Maria Cristina Gotianun.

Semirara’s mining site directly employs over 3,300 people, making it the single biggest employer in Semirara Island and Caluya. Last year, its mine site payroll alone reached P1.48 billion.

Under Republic Act No. 7160 or the Local Government Code of 1991, local government units are entitled to a 40-percent share of royalty proceeds from petroleum, coal, geothermal, hydrothermal and wind resources.