Olongapo SubicBay BatangGapo Newscenter

Thursday, January 22, 2009

Deloso cites impact of DENR order on Zambales mining

IBA, Zambales—An order the Department of Environment and Natural Resources (DENR) recently issued to improve tax collection in the mining industry would likely have a negative impact in this province, according to Gov. Amor Deloso.

The governor was reiterating his grounds for filing a case against the national government on the DENR order.

According to Deloso, DENR Administrative Order (DAO) 2008-20, issued by Secretary Lito Atienza last September 4, would result in the loss of thousands of jobs in Zambales and millions of pesos in mining fees, excise taxes and other local fees and taxes.

Zambales produces chromite, sand and gravel, magnetic sand, nickel, armor rocks, serpentine, sandstone, copper, lahar stone and sand, and red stone.

The DENR chief said in an earlier statement he welcomed the move of Deloso to seek redress before the Court of Appeals and to clarify guidelines for the mineral ore export permit (MOEP) “since this would give us an opportunity to make our position on the issue clearer and enlighten all sectors, particularly the public at large.”

The DENR’s overriding concern “is to make sure that smuggling of mineral resources is addressed effectively” and that all mining companies understand the need to be transparent in terms of operations, Atienza stressed.

Deloso asked the Court of Appeals in a petition to stop the DENR order. DAO 2008-20, which required an MOEP for all mineral exports by large- and small-scale miners, should not be implemented because it is “void, infirm and defective,” the governor said in the petition.

DAO 2008-20 intended to eradicate “undervaluation, misdeclaration and red tape in the exportation of mineral ores, and the improvement of the collection of taxes by the government.”

But the same order called for the processing of the MOEP at the DENR office in Manila, and at least 60 days before the intended date of shipping.

The MOEP is to be required on top of the ore transport permit, which is already required under Republic Act 7942, or the Mining Act of 1995, Deloso said.

In this light, DAO 2008-20 “would definitely work injustice to Zambales, which is rich in mineral resources and where several thousands of residents work in the mining sector,” he added.

Deloso further said DAO 2008-20 is “an unlawful usurpation of legislative power vested by the Constitution with Congress.”

He said Atienza’s order “is an administrative issuance which is not sanctioned by RA 7942.”

RA 7942 specifically requires an OTP for any mined ore to be exported, but the same law contains no provision for an MOEP.

“The act, therefore, of Atienza in issuing DAO 2008-20 is an amendment of RA 7942 because it expands the law,” Deloso said in his pleadings.

“Since there is now a discrepancy between the statute RA 7942 and an administrative issuance [DAO 2008-20], then the statute prevails because the administrative issuance cannot amend an act of Congress,” Deloso concluded.

Atienza, however, said his agency has the power under the Constitution to protect the country’s environment and natural resources.

“The DENR could not stand idly by while our mineral resources become the target of smugglers who, of course, have enough money to buy all the protection they need to evade the law,” Atienza said in a statement released by the DENR.

“Our duty to protect our mineral resources is stated very clearly in the Constitution, contrary to what Governor Deloso claims,” he added.

Regarding the 60-day period to process the MOEP to which Deloso objected, Atienza said neither the Mines and Geosciences Bureau nor his office has received any complaint about this.

He added that the MOEP and its implementing guidelines have the full support of the Chamber of Mines, the main association of mining companies in the country.Written by Henry Empeño- business Mirror

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