Philippine Mining Act Framework (R.A. No. 7942)
- Mineral resources are owned by the State.
- The State exercises full control and supervision over exploration, development, utilization, and processing of mineral resources.
- The Department of Environment and Natural Resources (DENR) is the primary agency responsible for conservation, management, and development of mineral resources.
Role of Government Entities in Natural Resource Development
- Natural Resources Development Corporation (NRDC) acts as the government’s corporate arm in promoting natural resource development.
- Mines and Geosciences Bureau (MGB) administers mineral lands and resources both inland and offshore.
- Public Estates Authority (PEA) is responsible for integrating, directing, and coordinating reclamation projects on behalf of the National Government.
- Under P.D. No. 1084, PEA is authorized to reclaim land, including foreshore and submerged areas, by dredging, filling, or other means.
Authorization to Use Offshore Areas Not Covered by Mining Permits as Borrow Areas
- Government projects, deemed vital for socio-economic development, may utilize offshore areas not covered by approved mining permits or contracts as sources of dredgefill materials.
- Government agencies involved: DENR, NRDC, and PEA.
- Activities such as surveys, sampling, and dredging are subject to DENR monitoring to ensure compliance with mining and environmental laws.
Responsibilities of PEA and DENR Regarding Reclamation Projects
- PEA approves contracts of work for reclamation projects; winning bidders get priority for borrow areas if they meet qualification requirements under R.A. No. 7942.
- If the winning bidder is unqualified, DENR through NRDC may undertake quarry operations.
- PEA or its contractors identify borrow areas, which require DENR verification and approval.
- Borrow areas not used for PEA projects fall under DENR jurisdiction, with MGB responsible for mining rights approvals.
Taxation, Royalties, and Fee Collection
- Taxes and royalties apply to permittees and contractors as prescribed by law.
- DENR or NRDC is authorized to collect management, service, environmental user’s, and other fees.
- Fee distribution: 41% to NRDC, 40% to PEA, and 20% to concerned Local Government Units (LGUs).
Formulation of Implementing Rules and Regulations
- DENR and PEA must formulate necessary rules and regulations for the effective implementation of the Order.
Repealing and Amending Provisions
- All inconsistent orders, rules, or regulations are repealed or amended accordingly to conform with this Order.
Effectivity Clause
- The Order takes effect fifteen (15) days after its publication in a newspaper of general circulation.