Primary Government Agencies and Responsibilities
- The Department of Environment and Natural Resources (DENR) is the primary agency responsible for conservation, management, development, and proper use of mineral resources.
- The Mines and Geosciences Bureau (MGB), under DENR, administers and disposes of mineral lands and resources both offshore and onshore.
- The Natural Resources Development Corporation (NRDC), a government corporation and arm of DENR, promotes development of natural resources including minerals.
Importance of Quarry and Related Materials for Government Projects
- Quarry, sand, gravel, clay, and related onshore materials are vital raw materials for government infrastructure and flagship projects.
- Prioritizing government projects ensures efficient delivery of services essential to economic and social development.
- There is a need for a continuous, low-cost supply to prevent delays in government project implementation.
- Environmental safeguards and mitigation measures must be enforced under DENR’s strict supervision due to mining impacts.
Government Gratuitous Permit under RA 7942 and Gaps Addressed
- Section 49 of RA 7942 allows Government Gratuitous Permits for extraction of certain minerals over areas not exceeding 2 hectares for government projects.
- RA 7942 does not clearly address permitting for quarry and related materials extraction over areas exceeding 2 hectares for government projects.
Authority for Special Minerals Extraction Permit (SMEP) – Section 1
- DENR authorized to issue SMEP, including Interim Permits, to NRDC or qualified government entities for extraction of quarry, sand, gravel, clay, and related materials exceeding 2 hectares.
- Permittees may enter into Memorandum of Agreement with concerned government entities and engage qualified contractors to carry out extraction activities.
- SMEP covers areas including those under pending mining applications.
Government Gratuitous Permit for Areas Not Exceeding Two Hectares – Section 2
- For extraction within 2 hectares, Government Gratuitous Permits are issued by the Provincial Governor or City Mayor via the Provincial/City Mining Regulatory Board.
- Issuance complies with RA 7942 and its Revised Implementing Rules and Regulations (DAO No. 96-40).
- Only one Government Gratuitous Permit may be issued per single government project.
Fee Collection Authority of NRDC – Section 3
- When NRDC is the permittee, it may collect management, service, environmental user, and other fees from government entities and contractors.
- Fee collection and sharing schemes are to be defined under the implementing rules and regulations of this Order.
Implementation and Effectivity – Sections 4, 5, and 6
- DENR tasked to formulate and issue necessary implementing rules and regulations for this Order.
- All inconsistent orders, rules, or regulations are repealed or amended to conform with this Order.
- The Order takes effect immediately upon issuance on January 17, 2000.