The Extractive Industry Transparency Initiative is an international effort pursued by various governments, industry players in mining, oil, and gas, and civil society. It seeks to establish global standards of ensuring transparency of revenues from natural resources.
Fundamentally, the effort seeks to find out exactly how much countries earn from extractive industries (mining, oil, and gas) by comparing data from the companies and verifying these against the data of government.
This is important especially for the Philippines. Think about this: if mining doesn’t help the economy significantly, shouldn’t we be slowly shifting to more sustainable industries like tourism?
I sit as one of the alternative civil society representatives in the Philippine EITI Multisectoral Group. We meet every month in Manila.
The recent suspension of a significant number of mining companies, led by the Secretary of the Department of Environment & Natural Resources, sent shockwaves across the mining industry. For whatever it’s worth, here are my thoughts:
Many of these firms SHOULD be suspended/closed because they are violating our laws. Environment degradation and human rights violations are rampant in many mining sites that I’ve worked in for the past decade.
Because it has to win this tough fight against mining firms that violate our laws, DENR’s actions must be sober, methodical, and even surgical. It should not commit amateur mistakes like suspending firms before they receive the audit reports. DENR’s credibility is diminished every time mining firms accuse it of being unfair and disrespectful of basic due process.
Now is the time for verifiable data. The industry threatens government of a potential P16.7 billion loss in taxes if the suspensions continue. This is an exaggerated and dishonest threat.
Based on 2014 figures, mining companies pay a total of P10.8 billion in both local and national taxes —not P16.7 billion. If we deduct the taxes paid by companies that were not suspended, like Philex Mining Corp., the tax revenue loss projection will decrease further.
Mining also only create approximately 250,000 jobs, not 1.2 million as often reported.
If we want to have sober discussions about mining, we should stick to honest statistics.
Finally, I wish we can do away with mining altogether because the environment, food security, and human rights are more important.
However, we still need mined products. That’s why I refuse to cheapen the debate to a mere anti- or pro-mining discourse. That debate ship should leave the port… and sink… like forever.
We cannot raise shallow questions like “How can you support the closure of mines if you have a phone that is made of mined products?” We have to elevate the discourse. I support the closure of firms that violate our laws.
What we need to do is to have a sober, intelligent, and human conversation to get verifiable data, and use available legal remedies to really shut down mining companies that refuse to protect and promote fundamental human rights and protect our environment.
We, as a nation, have to do this right.
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Author’s email: goldabenjamin@gmail.com
