Govt eyes more mineral reservation areas

ADDITIONAL mineral reservation areas in the Philippines may be declared soon to help provide fair access to their resources and generate more revenues for the government, the Department of Environment and Natural Resources (DENR) said on Thursday.

According to Environment Undersecretary for Mining Analiza Rebuelta-Teh, the DENR’s Mines and Geosciences Bureau (MGB) is identifying mineralized and high-mineral-potential areas, including existing mines, for declaration as such.

Certain sites have undergone the process prescribed by law and are ready for endorsement to President Rodrigo Duterte in accordance with Republic Act 7942, or the Philippine Mining Act of 1995, Teh said in a statement.

“The law provides that when the national interest so requires, such as when there is a need to preserve strategic raw materials for industries critical to national development, or certain minerals for scientific, cultural or ecological value, the President may establish mineral reservations upon the recommendation of the MGB director through the DENR secretary,” she explained.

Her statement came after the department reportedly failed to collect almost P2.6 billion in royalties from five mining companies in Region 13 (Agusan del Norte, Agusan del Sur, Surigao del Norte, Surigao del Sur, and Dinagat Islands provinces, or Caraga).

Under the Audit Observation Memorandum issued by the Commission on Audit (CoA), royalties should have been collected, since the five firms extracted mineral resources owned by the government.

Teh clarified, however, that the mining law requires the payment of royalties only in areas declared as mineral reservations.

“The five mining companies mentioned in the CoA report are operating outside the Surigao Mineral Reservation Area. Thus, the permits granted to them do not contain any provision for them to pay royalty,” she explained.

All actions of the DENR and MGB on the matter were “in accordance and consistent with existing laws and regulations,” the official said.

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