Mining industry wants new government policy to come out soonBy Riza T. OlchondraPhilippine Daily Inquirer1:38 am | Thursday, June 21st, 2012

Environment Secretary Ramon Pajemaintained that government would push for responsible mining, increased government share in mining revenues, and the reign of national laws over local laws.

Mining industry leaders are hoping that the government’s mining policy will come out “soon” to resolve many pending issues, according to the Chamber of Mines of the Philippines.“There are many outstanding issues and we hope there will be positive movements when it does come out,” Artemio Disini, the chamber’s chairman, said in a phone interview.They particularly want “movements” regarding the current moratorium on the processing of applications for new mining permits, environmental compliance certificates, and tree-cutting permits for clearing areas to be explored and developed.

However, executives of private mining firms seemed reluctant to comment on the pending policy statement and directives of President Benigno Aquino, noting various drafts and several announced “deadlines.” “Let’s just wait for the EO (executive order),” Cris G. Acosta, president of Filminera Resources Corp., said in a text message.Earlier, Mines and Geosciences Bureau (MGB) Director Leo Jasareno said he expected the core content of the policy to be not much different from issues raised and addressed in consultation talks.Jasareno said that upon the President’s signing

Aquino set to sign mining EONew policy reserves 78 areas for tourismBy Christine O. AvendañoPhilippine Daily Inquirer12:46 am | Thursday, June 21st, 2012

President Benigno Aquino addresses the media after attending the ARMM Convention on Local Governance in Waterfront Hotel, Davao City. Flanking the president are presidential adviser Ronald Llamas (left) and DILG Sec. Jesse Robredo (right). LYN RILLONAquino said here on Wednesday that he hoped to come out soon with the much-awaited executive order (EO) spelling out the government’s revised mining policy in the midst of intense debate between industry leaders and environmentalists through the years.

Without going into details, the President said small-scale mining would be further regulated throughout the country under the new EO, which, he added, was undergoing “fine-tuning” in certain provisions for being “superfluous.”Mining and oil shares rose 1.64 percent in the Philippine stock market on Wednesday following Mr. Aquino’s statements.The managing director of First Grade Holdings, Astro del Castillo, said the issuance of the new rules would trigger a significant spike in investments from new and old mining companies. “If you look at the industry, they have really stepped on the brakes over the past year,” he said in an interview. The new policy would expand the functions of the Mineral Development Council, said a source privy to the matter.

Aquino says mining EO out by June 22http://www.rappler.com/business/7330-aquino-says-mining-eo-out-by-june-22

MANILA, Philippines - The much-awaited executive order on the government's mining policy may be out by Friday, June 22.

President Aquino himself sought for the comprehensive review of the government’s mining policy and the industry’s environmental and economic impacts. He was also concerned with safety issues and the dislocation of indigenous peoples.

In a press briefing in Davao City on Wednesday, June 20, President Aquino said he is hoping to release the mining E.O. within the week, or after some details, especially on the revenues received by the government, are fine-tuned. "The basis to impose higher fees or royalties, etc, is also being fleshed out," he told reporters after he attended the ARMM Convention on Local Governance. He reiterated his previous concern about the economic, legal and environmental issues that hound the industry. He said the part on revenue sharing will determine if legislation is needed to ensure a better share for the government.

"Presently, it's about 2% (of income taxes paid), if my memory serves me right. The total taxes involved will not even reach 10% of what they are making from the

He also reiterated the 78 placed designated as eco-tourism areas where mining cannot take place, as well as designate the "minahan ng bayan" areas where small scale miners can operate.

He said small scale miners will be subjected to more regulation under the new mining policy.

President Aquino himself sought for the comprehensive review of the government’s mining policy and the industry’s environmental and economic impacts. He was also concerned with safety issues and the dislocation of indigenous peoples.

Aquino's proposed six point agenda on miningWEDNESDAY, JUNE 20, 2012http://map-oz.blogspot.com/2012/06/aquino-says-mining-eo-out-by-june-22.html

THE SIX-POINT AGENDA TO ENSURE RESPONSIBLE MINING

Agenda 1: Ensure responsible mining's contribution to the country's sustainable development (i.e. economic and social growth and environmental protection);

Agenda 2: Adopt international best practices to promote good governance and integrity in the sector

Agenda 3: Ensure the protection of the environment by adopting technically and scientifically sound and generally accepted methods as well as indigenous best practices

Agenda 4: Enforce the primacy of national laws over local issuances and harmonize laws, policies, and regulation

Agenda 5: Ensure a fair, adequate, and equitably shared economic benefit for the country and the people

Agenda 6: Deliver efficient and effective management of the mining sector, both large and small scale

Office of the executive Secretary – Strategic Initiatives and Monitoring Office (SIMO) 1

Six-Point Agenda on the Aquino Administration's Mining Policies with Specific Recommendations

PROPOSED ACTIONS TO IMPLEMENT THE 6 POINT AGENDA ON RESPONSIBLE MINING

Agenda 3: Ensure the protection of the environment by adopting technically and scientifically sound and generally accepted methods as well as indigenous best practices

o Identify additional areas closed to mining (i.e., prime agricultural lands as determined by the Department of Agriculture, priority eco-tourism sites as determined by the National Ecotourism Council, critical areas and island ecosystems, among others)o Create a separate environmental protection commission/agency to handle environmental regulation functions of the DENRo Adopt Programmatic and/or Sectoral Environmental Impact Assessment (EIA) in the Philippine Environmental Impact Statement System (PEISS)o Use the geo-hazard maps/mufti-hazard maps for the country and forecast of climate change impacts to determine "go" and "no-go" areas for mining based on areas reserved by law and executive issuanceso Consider the impact of the New Rules of Procedure

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the Company who cares

There is a universal

concern of both government and non-government organizations and groups, for the sustainable development and protection of the environment.

More developed countries, notably in Europe, have seen it fit to “MANDATE” compulsory POLLUTION liability insuranceon ALL corporations whose activities have impact on soil, air, water ... NATURAL RESOURCES as a

The Philippines, very reliant on its natural resources and long acknowledged to be a major tourists favorite, should protect the many scenic spots, the patrimony of this nation ... for the benefit of the present and upcoming generations.

For Filipinos to continue having a CLEAN and GREENCOUNTRY which provides decent sustainable livelihood, we should seriously consider as a must,

“ENVIRONMENT IMPAIRMENT INSURANCE”

or simply“ENVIRONMENT INSURANCE”

1. ENVIRONMENTAL POLLUTION LEGAL LIABILITY INSURANCE OR SIMPLY POLLUTION LEGAL LIABILITY (PLL)

To protect against claims of Third party off-site bodily injury (BI), property damage (PD), including clean-up costs arising from pollutive conditions emanating from insured’s site. Property damage owned by the Third parties can be direct damage or loss of use of the

1. ENVIRONMENTAL POLLUTION LEGAL LIABILITY INSURANCE OR SIMPLY POLLUTION LEGAL LIABILITY (PLL)

This insurance coverage can be tailored to include on-site cover for the Third party, BI and PD. In addition, the cover can be extended to include owned transportation, vendor transportation, and non-owned disposal sites.

2. ENVIRONMENTAL IMPAIRMENT INSURANCE

To include more than just liability but also First party pollution remediation insurance.

3. REMEDIATION OR CLEAN-UP COST (STOP LOSS) INSURANCE

This indemnifies the insured for financial losses that arise when the anticipated cost of a remediation project is exceeded.

It is basically an “over-run” insurance cover. This coverage is necessary and should be resorted to by investors acquiring“contaminated” property or property

4. GENERAL CONTRACTORS POLLUTION LIABILITY INSURANCEThis protects general contractors against suits/claims alleging Third party

BI and PD arising from pollution conditions while working at customer site such as maintenance operations, process piping, and underground work, (ex. Drilling, excavation, painting or re-grading operations).

5. HOSPITAL POLLUTION LIABILITY INSURANCEThis covers environmental mishaps such as injuries suffered by hospital visitors from incidents such as incinerator emissions, HIV or other contaminations, infections from pathological wastes, red bag wastes, etc.

6. UNDERGROUND STORAGE TANK POLLUTION (UST) This cover claims for on-site as well as

6. UNDERGROUND STORAGE TANK POLLUTION (UST) This cover claims for on-site as well as off-site clean-up coverage for both above and under ground storage tanks which release toxic substances into the environment.

7. ENVIRONMENTAL PROFESSIONAL / E & O LIABILITY INSURANCE This coverage is intended for professionals, engineers and architects in the environmental control systems business. 8. WASTE TRANSPORTATION POLLUTION INSURANCEThis covers the waste transportation entities for BI and PD or clean-up due to a release of toxic or harmful substances

9. CLOSURE / POST CLOSURE INSURANCEApplies to the closure of treatment storage and disposal facilities (TSD) to satisfy financial responsibility requirements. It is more of a financial guarantee that the TST Owner/Manager will properly close and maintain the site for a specified period of time.

10. TIME ELEMENT POLLUTION INSURANCEThe coverage is included in large excess liability policies (e.g. over US$ 25 Million). Under the terms of this cover, sudden release of deleterious substances will be covered and the pollution incident should be discovered within 7 days from commencement, and subsequently reported to the insurer within 30-45 days from discovery date.* Note: The above-named insurance coverage shall have an agreement limit and all claims from pollution incident are considered as a single loss with one per loss limit (inner limit).Defense costs against suits alleging damage suffered from an occurrence is included but within the limit specified in the policy schedule. In order to prevent spiraling of claims costs (and subsequently bringing up the cost of insurance), punitive damages is excluded

1. Require all environmentally critical business (commercial, industrial, warehousing) who apply for a license to operate / business permit, to show proof of adequate bank deposits escrowed for pollution clean-up funds, OR to present an Environmental Impairment Insurance policy providing for payment or damages and restoration of environment and finally restitution of losses to livelihood, as a result of pollution, pollutants from operations and/or products of the business firm.

In lieu of such bank deposit, the business firm may present an Environment Impairment or

In a nutshell, Environmental Impairment or Pollution Liability Insurance shall include the specific benefits enumerated below with the estimated limits of liabilities applicable to a business operation in a certain community, specified in the policy schedule :

Clean-up and mitigation expenses to be incurred ...Rehabilitation expenses to be incurred (to reinstitute livelihood opportunities) ...Direct impact or loss of livelihood of community (allow 2-3 years recovery) ...

Indirect consequential losses, such as loss of future revenues due to loss of stature of the community as a prime tourists or eco-tour destination; or reduction of real estate value as a premier residential estate as a result of pollution, whether actual or sentimental.

Looking at previous catastrophes, and the subsequent damages caused and the cost of clean-up measures undertaken, a minimum P50 Million limit of liability is recommended, with higher limits imposed on bigger, riskier and more extensive ... area wise ... business operations.

2. Require business firms to specify a schedule for the annual visit of accredited (by the provincial governor / mayor) environmental risk managers from the insurance sector who can suggest ways and means of preventing/minimizing losses with their risk management studies, thereby averting aggravations in the situation, with their loss control studies and recommendations.

The loss control survey report will be submitted to the business firm for their action / implementation of recommended measures, with copy to the Provincial Governor/Mayor, for monitoring purposes. Thus, aside from the insurance system being able to provide a more reliable means of responding to environmental

3. The formation of a “Green Police Unit’ to oversee the ENVIRONMENTAL IMPAIRMENT concerns and to administer these procedures would go a long way towards protecting the environment and ensuring its sustainability for the longer term.

To be effective in monitoring loss prevention measures undertaken, we would need to organize a duly authorized outfit of dedicated “Green Policemen” to be aware of the environmental impact of the so many business / industrial activities that threaten the

The fundamental essence of the “Green Police” Unit is similar to the Forest Rangers, except that the “Green Police” Unit has administrative and punitive, in addition to police, powers, concerning the care of the environment. However, in addition to the police responsibilities, the “Green Police” Unit will undertake extensive educational initiatives through regular symposia and conferences (twice a year) and the like, in both public and private schools, starting from Primary, all the way to tertiary level -Colleges/Universities.

The effective implementation of the “ENVIRONMENTAL INSURANCE” system for the sustainable development and protection of the environment will be assured by:

Mandating the presentation of proof of the capability of the business enterprise to clean up areas that it has polluted to the detriment of the people, livelihood and the environment in general, via insurance or escrowed funds.

Having a Pro-active response to the prevention of contamination or pollution of the environment, through the employment of loss prevention techniques. Immediate and long-term responses to prevent and minimize damage to environment through the “Green Police” Unit which are endowed with educational and Police powers / responsibilities.

“With our collective pro-active response to care for the Environment, we are optimistic that ALL FILIPINOS, including the future generations, will continually enjoy the gifts from our MOTHER NATURE ... blessings given to us by the ALMIGHTY FATHER, in an atmosphere of sustainability, generosity and harmony, where there will be no more conflict, wars

LET’S GO GREEN!