Title
Amending EO No. 79 on Mining Reforms
Law
Executive Order No. 130
Decision Date
Apr 14, 2021
Rodrigo Roa Duterte's Executive Order No. 130 lifts the moratorium on mineral agreements, allowing new contracts under the Philippine Mining Act while emphasizing environmental protection and maximizing government revenue from mineral resources.
A

Lifting of Moratorium on Mineral Agreements

  • Previous moratorium on new mineral agreements under Section 4 of EO No. 79 is lifted.
  • Government may enter into new mineral agreements compliant with the Mining Act and applicable laws.
  • DENR continues to grant Exploration Permits, granting rights over approved exploration areas.
  • Grantees have the first option to develop minerals upon project feasibility approval.
  • DENR tasked to formulate terms maximizing government revenue, including potential designation of mineral reservations.
  • DENR to review existing agreements for possible mutually acceptable renegotiations.
  • Joint DENR and Department of Finance action to rationalize revenue-sharing mechanisms.

Enhancement and Enforcement of Environmental and Safety Policies

  • DENR mandated to strictly enforce mining safety and environmental measures.
  • Compliance with Mining Industry Coordinating Council’s recommendations and pertinent laws is compulsory.
  • Terms and conditions of mineral agreements subject to such safety and environmental standards.

Policy on Revenue Sharing and Excise Tax

  • Section 48 of RA No. 10963 (TRAIN Act) doubled excise tax on minerals from 2% to 4%.
  • DENR and Department of Finance to rationalize existing revenue sharing schemes to ensure fair government income.

Importance of Mining Sector to National Development

  • Mining has contributed less than 5% tapped resource utilization but has significant economic potential.
  • Industry supports infrastructure programs (e.g., Build, Build, Build) and stimulates rural development (Balik Probinsya, Bagong Pag-asa).
  • Generates employment and promotes countryside economic growth.

Executive Authority and Continuity

  • The President holds control over Executive Departments to ensure faithful execution of laws.
  • Executive Order repeals or modifies inconsistent issuances.
  • Provisions declared invalid do not affect the rest of the Order.

Effectivity

  • Order effective immediately upon publication in a newspaper of general circulation.

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