LRC-Luzon Regional Office

Wednesday, May 30, 2007

Friends of the Earth sue Canada for breaching Kyoto treaty

Agence France-Presse

Last updated 08:11am (Mla time) 05/30/2007

OTTAWA -- The environmental group Friends of the Earth sued Canada on Tuesday for failing to meet its Kyoto Protocol obligations to cut greenhouse gas emissions linked to global warming.

"Because climate change is the most urgent crisis ever facing the planet, Friends of the Earth is resorting to the courts to require the federal government to respect its Kyoto promises," Beatrice Olivastri, head of the group's Canadian section, said in a statement.

The lawsuit was launched in federal court, relying on a clause in the Canadian Environmental Protection Act that requires Ottawa to "prevent air pollution that violates an international agreement binding on Canada," she said.

Canada had agreed under the 1997 Kyoto Protocol to reduce CO2 emissions to 6.0 percent below 1990 levels by 2012, but emissions have instead increased by 35 percent.

Environment Minister John Baird has maintained the target, negotiated by the previous Liberal administration, is unattainable.

But environmentalists note Canada is second only to Austria in the "staggering size of its failure to meet its Kyoto target."

The Friends of the Earth point to a legal opinion presented to the Canadian government in October 2006 indicating Ottawa has failed to show "demonstrable progress" in achieving its target, as required by 2005.

Meanwhile, the Conservative government's new plan, unveiled in April, was panned by both environmentalists and opposition parties.

It aims to cut carbon dioxide emissions by 150 megatons, or 20 percent based on 2006 levels, by 2020.

Friends of the Earth sue Canada for breaching Kyoto treaty

Agence France-Presse
Last updated 08:11am (Mla time) 05/30/2007

http://newsinfo.inquirer.net/breakingnews/world/view_article.php?article_id=68618

OTTAWA -- The environmental group Friends of the Earth sued Canada on Tuesday for failing to meet its Kyoto Protocol obligations to cut greenhouse gas emissions linked to global warming.
"Because climate change is the most urgent crisis ever facing the planet, Friends of the Earth is resorting to the courts to require the federal government to respect its Kyoto promises," Beatrice Olivastri, head of the group's Canadian section, said in a statement.


The lawsuit was launched in federal court, relying on a clause in the Canadian Environmental Protection Act that requires Ottawa to "prevent air pollution that violates an international agreement binding on Canada," she said.

Canada had agreed under the 1997 Kyoto Protocol to reduce CO2 emissions to 6.0 percent below 1990 levels by 2012, but emissions have instead increased by 35 percent.

Environment Minister John Baird has maintained the target, negotiated by the previous Liberal administration, is unattainable.

But environmentalists note Canada is second only to Austria in the "staggering size of its failure to meet its Kyoto target."

The Friends of the Earth point to a legal opinion presented to the Canadian government in October 2006 indicating Ottawa has failed to show "demonstrable progress" in achieving its target, as required by 2005.

Meanwhile, the Conservative government's new plan, unveiled in April, was panned by both environmentalists and opposition parties.It aims to cut carbon dioxide emissions by 150 megatons, or 20 percent based on 2006 levels, by 2020.

Copyright 2007 Agence France-Presse. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Tuesday, May 29, 2007

Idle mining concessions opened to new investors

D.E.N.R. HOPES TO REOPEN 68,000 HAS. OF MINERAL LANDS

By Jonathan L. Mayuga

Correspondent

http://www.businessmirror.com.ph/05292007/economy02.html

ENVIRONMENT and Natural Resources Secretary Angelo Reyes on Monday ordered the transfer of the disposition of cancelled mining permits to the Philippine Mining Development Corp. (PMDC), a corporate arm of the Department of Environment and Natural Resources (DENR).

With the move, Reyes hopes to further boost the mining sector with the reopening of 68,625 hectares of mineral lands that have been idle for the past several years because of the reluctance of investors to pursue mining activity.

Reyes signed the order last week, which covers all mining permits earlier cancelled by the DENR under memorandum orders No. 2005-3 and No. 2005-13 issued by former DENR secretary Michael Defensor, which include 65 non-performing permits in various provinces.

“This will enable the entry of more serious investors, thus further spurring development and economic activity in the mining sector. At the same time, this will result in higher revenues from government mining assets,” Reyes, who is also chairman of the PMDC, said.

Transferring the management of the permits to a government-owned corporation, according to Reyes, would allow government greater flexibility and leverage in developing the mines.

He said the transfer would put the task of disposing vacated mineral lands to PMDC, formerly known as the Natural Resources Mining Development Corp., through public bidding.

PMDC, however, also has the option to develop and operate the mines or enter in a joint venture with a qualified private party or contractor.

Reyes directed the Mines and Geosciences Bureau to coordinate with PMDC for the transfer of relevant documents and information as soon as possible.

Defensor issued Memorandum Order No. 2005-03 on February 1, 2005, canceling 93 nonperforming mining permits. Defensor later issued Memorandum Order No. 2005-13 declaring as final and executory the cancellation of 65 of the 93 idle permits, while the remaining 28 permits subjected to further review in view of the motions for reconsideration filed by their owners.

A moratorium was imposed for the filing of mining applications on the 65 idle mineral lands until such time that the appropriate policy is issued by the DENR.

The 65 permits were eventually cancelled in view of certain violations of the provisions of the Philippine Mining Act of 1995, its implementing rules and regulations, and terms and conditions of their respective mining permits.

One of the main reasons cited was the failure of the mining contractors to undertake mining activities on the ground over a long period of time.

Thursday, May 24, 2007

Environment groups favor selective mining

By Jonathan L. Mayuga
Correspondent

http://www.businessmirror.com.ph/0524/eco01.php

ENVIRONMENTAL groups on Tuesday renewed the call to repeal Republic Act 1942, otherwise known as the Philippine Mining Act of 1995, and pushed for the implementation of selective mining instead of large-scale mining activities.

Led by Bayan Muna Party-list Rep. Joel Virador, members of the groups Defend Patrimony and Kalikasan-PNE, they called on MalacaƱang to implement the recommendations of the Rapu-Rapu Fact Finding Commission (RRFFC) led by Bishop Arturo Bastes and proposed selective mining activities under the concept of the “People’s Mining Policy,” which they said is a viable alternative to the government’s large-scale mining policy.

Virador said MalacaƱang should not give in to pressure by the Australian government or the Australian mining firm Lafayette Mining Ltd. and its subsidiary, Lafayette Philippines Inc., by allowing it to conduct a test run after the mine-tailings spills in October 11 and 31 last year, which reportedly led to fish kills in the area.

He said President Arroyo should heed the call of the RRFFC headed by Bishop Arturo Bastes which recommended the permanent closure of the Rapu-Rapu Polymetallic Project, rehabilitation of the local ecosystem, compensation for mining victims and a moratorium on mining operations in Rapu-Rapu, Albay.

Trixie Concepcion of Defend Patrimony said they are not really against mining but she emphasized that the government must ensure responsible mining and implement mining’s best practice that ensure environmental protection while developing the country’s mineral resources.

Under the People’s Mining Policy, which the group vowed to lobby in Congress, both the government and people will benefit first and foremost, instead of foreign mining companies, said Clemente Bautista Jr. of Kalikasan-PNE.

Areas to be explored and developed should be identified based on the need of local industries and not their export potentials, he said.

He added that the people living in the area to be explored and developed should approve of any project, to make sure that those to be affected will be the first to benefit from such mining activities.

Bautista said small islands like Rapu-Rapu should not be explored and developed because they pose great risk to human health and environment in case of a mining incident such as what happened in Rapu-Rapu last year.

“Under the People’s Mining Policy, areas where mining activities are possible, without causing mass destruction of natural resources, will be identified. But the people living in areas to be mined must approve of any mining activity first,” he said.

He added that the government must strictly monitor mining activities to make sure that the companies are not cheating the government of their rightful share through excise taxes derived from the mined-out resources.

Virador, who was asked by Defend Patrimony and Kalikasan-PNE to support their alternative mining proposal, vowed to sponsor a bill pushing for the People’s Mining Policy.

He admitted that while it is hard to convince other members of Congress to support the repeal of the Philippine Mining Act of 1995, anti-mining congressmen and those who care for the environment will likely support the selective mining proposal.

Monday, May 21, 2007

Latest "guesstimates" of the DENR Secretary concerning Mining

Mining investments in RP to reach $348M in ‘07--DENR

http://business. inquirer. net/money/ breakingnews/ view_article. php?article_ id=67062

By TJ Burgonio
Inquirer
Last updated 00:08am (Mla time) 05/21/2007

MANILA, Philippines--Environment Secretary Angelo Reyes sees brighter prospects for the mining industry this year with investments projected to reach $348 million.

Reyes said the expansion of the HPAL facility in Coral Bay in Palawan would bring in a$154 million, the continuing rehabilitation of the Carmen copper project in Cebu would bring in $97 million, and a gold project in Masbate , $36 million.

Another $23-million investment was expected from the construction of the base metal plant of TVI in Zamboanga del Norte and $21 million from the construction and development of the Didipio copper-gold project in Nueva Vizcaya, he said.

Advance in Stage

Since the mining industry was revitalized in January 2004, Reyes said a total of $694 million in investments has been generated. These investments are expected to rise further between now and 2010 as ongoing projects “advance in stage.”

“As the projects advance in their development, additional direct employment is created in the areas where the projects are located. This augurs well for the government’s employment and poverty reduction program,” Reyes said.

Some 3,000 new jobs are expected to be generated this year, on top of the 6,500 jobs created since 2004, according to Reyes.

Reyes said that if the priority projects materialized, the value of metallic and non-metallic minerals would grow to $1.385 billion this year, up from $1.282 billion in 2006, while mining’s share to total exports would rise to 9 percent this year.

Mining Country

“These levels, to the DENR’s belief, are reflective of the country’s mineral wealth and will elevate the Philippines to a ‘mining country,’” he said.

In 2006, the mining industry’s gross production was valued at P68.4 billion. Total exports of mineral and mineral products amounted to $2.06 billion, while taxes, royalties and fees from mining reached P3.1 billion. Employment from mining rose to 141,000.

The Philippines has 18 medium to large-scale mines, including the controversial polymetallic mine in Rapu-Rapu island in Albay that was allowed to resume operations in February following months of suspension due to a mine tailing spill in late 2005.

On top of these, there are 23 projects in advanced stage and 41 others in a stage of exploration, according to the Department of Environment and Natural Resources.

Reyes admitted that instituting reforms in the industry was “never easy” since there would always be two groups who would “agree or disagree” to these.

He said he expected to continue to tangle with non-government organizations over the adverse effects of the government policy to revitalize the industry, but said the best option was to engage them.

Right Decision

Reyes had come under criticism over his decision to lift the suspension on the operation of Lafayette-run mine in Rapu-Rapu island.

“While met differently by different sectors, the DENR believes that it made the right decision in Rapu-Rapu,” he said.

In view of the incidents that had tainted the image of the industry, Reyes said he expected the foreign mining investors to employ the “best practices” and comply with Philippine laws and standards when they operate here.

It was imperative, he stressed, for mining companies to build “long-lasting relationships” with the communities and local government units, and educate them on the risks and impacts of their projects.

“Any effort to engage with the stakeholders should be anchored on sincerity and trustworthiness, not just for mere compliance with regulations or lip service,” he said. “In the bottomline, the mining operation must contribute to real community development not just provide dole-outs to communities.”

Archie SX

Friday, May 18, 2007

Philippines May Raise Tax Rate for Some Mines; Prepares Order

By Luzi Ann Javier

May 18 (Bloomberg) -- The Philippines, which may have $1 trillion in mineral wealth, might unify the overall tax rate for some new mine projects by doubling the sum paid by less- profitable ventures, according to a draft order.

The companies will pay 50 percent of revenue after expenses irrespective of their so-called rate of return, according to a copy of a draft order obtained by Bloomberg. Previously, those with a rate of return less than 20 percent paid 25 percent of revenue after expenses, while those above 20 percent paid 50 percent of revenue. The order would remove the lower rate.

The Southeast Asian nation, rich in copper and nickel, wants to balance its bid to attract $6.7 billion in investment in 24 priority mines by 2010, with ensuring that it benefits from the income generated by the developments. The changes will apply to new mines with no restrictions on overseas ownership.

``The government wanted to simplify the fiscal regime, and to ensure that there's no abuse of the system,'' Peter Wallace, director of the Australia-New Zealand Chamber of Commerce in the Philippines , said today. ``But haven't they removed an option that would otherwise have attracted a company?''

The government's 50 percent share is to include existing corporate taxes and fees imposed on mining companies, as well as the export tariffs on minerals. If these add up to less than 50 percent, the balance will need to be paid.

`Equitable Sharing'

There will be ``a more equitable sharing of benefits,'' Environment and Natural Resources Secretary Angelo Reyes said late yesterday. ``The contractor gets a reasonable return on its investments, while the government gets its reasonable share from the utilization of the country's mineral resources.''

The government will collect its share of mining revenue only after the company running a mine has recovered the expenses incurred in starting operations, Reyes said. Net mining revenue is defined in the order as gross output less deductible expenses.

``The review of the administrative order has been finished,'' Reyes said at a conference, without giving details of when it would be enacted. The draft order ``is now in its polishing stage,'' he said.

A so-called rate of return is one measure of a company's profitability: it may be calculated by dividing stockholders' equity into net income.

``They have to talk to the mining companies here, and find out the direct impact on investment before making a decision,'' on the planned tax-regime change, said Wallace, the director of the Australia-New Zealand Chamber of Commerce.

The draft order, if implemented, applies to companies covered by so-called Financial and Technical Assistance Agreements, which do not have restrictions on overseas ownership. Mine projects that do have limits of overseas ownership, and are typically covered by so-called Mineral Production Sharing Agreements, are not affected by the planned change.

To contact the reporter for this story: Luzi Ann Javier in Manila at ljavier@bloomberg. net

Last Updated: May 17, 2007 22:51 EDT

Tuesday, May 08, 2007

Pastoral Statement on 2007 Election and Environment Agenda

Sisters and Brothers in Christ:

The Church, in fidelity to its mission, has the duty to proclaim the Gospel "to all creation" (Mk 16:15) and "to restore all things under Christ" (Eph 1:10).

As a nation, we are once again strengthening our democratic institution by participating in the forthcoming election in May 2007. The Catholic Bishops' Conference of the Philippines, in its letter to the dioceses and parishes, dated 28 January 2007, has noted the special importance of this political exercise: "Elections in a democracy allow citizens to choose freely those who will govern them and be instruments of a better life and a more just society for all."

It is saddening to note that historically, we have not been able to genuinely transform our political institution and electoral practices to make it truly at the service of the people, and to bring solutions to injustice and social, cultural and environmental problems. On the contrary, Philippine politics and the way it had been practiced, "has been the most hurtful of us as a people. It is possibly the biggest bane in our life as a nation and the most pernicious obstacle to our achieving full development . . . If we are what we are today � a country with a very great number of poor and powerless people � one reason is the way we have allowed politics to be debased and prostituted to the low level it is now." (CBCP Pastoral Exhortation on Philippine Politics, 1997)

The Church responsibility of fulfilling its evangelizing mission in the sphere of politics is becoming even more an imperative, given the ever worsening situation of poverty, graft and corruption, and political crisis. It is the duty of the Church to emphasize that political authority "must always be exercised within the limits of morality and on behalf of the dynamically conceived common good . . . All of its dignity derives from its being exercised within the context of the moral order." (Gaudium et Spes, 74)

Hence, moral responsibility and commitment to the welfare and genuine interest of the people are fundamental criteria that must be required of the candidates aspiring to assume public office.

It is in this context that we would like to relate the issue of environment and anti-mining agenda to the critical challenge of political engagement in the May 2007 election. The care for the earth, as a core moral issue defining the direction of sustainable development, protecting indigenous peoples rights and ensuring intergenerational equity and integrity of creation, must be highlighted as an indispensable consideration in any political platform deserving serious consideration. This is the premise of the recent appeal of Cardinal Gaudencio Rosales that voters should discern who among those aspiring for public office were truly committed in caring for Mother Nature and that we choose to vote for "ecology-minded" candidates.

It is alarming to note the prevailing situation of ecological crisis and the widespread destruction of the environment. The World Bank study called in Philippine Environment Monitor 2004, reported that the Philippines loses over $2 billion dollars annually due to environmental degradation. This estimate excludes social cost and the loss of quality of life. The Food and Agriculture Organization noted in 2001 that we lost 100,000 hectares per year of forest reserves in the decade of 1990-2000, and HARIBON has stated their concern that 18% of our remaining forest areas will be subjected to cutting, after analyzing the 2004 Philippine Forestry Statistics. In addition, PAFID has observed that 1 out of 3 ancestral domains are being threatened by mining, after studying the data from DENR and NCIP.

In our country, the destruction caused by human disregard for the ecology is clearly noted: "because the integrity of God's creation is violated, our people suffer the destruction brought about by droughts and floods. Those disasters cannot be traced merely to uncontrollable powers of nature, but also to human greed for short term economic gain�" (PCP II, Acts 323)

The ecological devastation is made even worse by the government's policy to aggressively promote the mining industry, enticing the transnational companies to plunder our natural resources at the expense of the affected communities. It is for this reason that the CBCP in their Statement on Mining Issues and Concerns, dated January 29, 2006, reaffirm their stand for the repeal of Mining Act of 1995 and declared that "allowing the interests of big mining corporations to prevail over people's right to these sources amounts to violating their right to life."

We, as a Church, profess our commitment to care for creation for we believe that it is a matter of urgent challenge and a call of duty to promote the Christian principles of justice and to uphold the common good. With the late Pope John Paul II, we profess that "Christians, in particular, realize that their responsibility within creation and their duty towards nature and the Creator are an essential part of their faith." (THE ECOLOGICAL CRISIS, No. 8, Message of His Holiness Pope John Paul II for the celebration of the WORLD DAY OF PEACE, January 1, 1990; also, Centesimus Annus, 40)

Therefore, we strongly call for our people to include environmental platform as one primary criterion in choosing candidates, be they for national or local offices. It is our responsibility to scrutinize the track record of every candidate with regard to their stand on logging, mining, and other ecological concerns, including their advocacy for the rights of the indigenous peoples. And we vote accordingly, in favor of pro-environment and pro-people candidates!

We encourage all the communities to be active in seeking information and increasing their awareness on the issues surrounding the elections and the concerns related to choosing our next leaders.

As Christians committed to our vision of promoting life, justice and equity in ecologically sustainable communities, we entrust all our endeavors to God, our Creator, who gives us the mission to care for the earth and all of creation, of which we are part (Gen. 1:28).

We also implore Mary, our mother and mother of creation, to help us to vote according to our consciences so that we may be blessed in the coming years with good government.

May the Risen Lord continue to journey with us and sustain us all the blessings that we need in proclaiming the Kingdom of justice and love for all his people and for all creation.

Signed by: Bishop Deogracias I�iguez of the Diocese of Kalookan, Bishop Jose Manguiran of the Diocese of Dipolog, Bishop Nereo Odchimar of the Diocese of Tandag, Bishop Dinualdo Gutierrez of the Diocese of Marbel, Bishop Ramon Villena of the Diocese of Bayombong, Bishop Jose Corazon T. Tala-oc of Diocese of Romblon and Bishop Warlito Cajandigof Apostholic Bicariate of Calapan, Mindoro