Mining Policy Mulls Incentive Rules

Manila Bulletin, March 17, 2012 | Go to article overview

Mining Policy Mulls Incentive Rules


MANILA, Philippines - The proposed mining policy being crafted by the government aims to set up in one year incentives and rules for higher end processing of "strategic" minerals that raises hope of generating revenue from mining along with its increased jobs and multiplier effect to the economy.

Department of Environment and Natural Resources-Mines and Geosciences Bureau Director Leo L. Jasareno said that the proposed executive order (EO) on mining puts a target of five years on the implementation of the minerals value adding program.

"The DENR, the DTI (Department of Trade and Industry) and the private sector will formulate a national program for value adding. The EO gives a one year period from its signing for this program to be formulated. Under the mining policy, after five years, the program should be fully implemented," he said in an interview.

However, the program to encourage the development of downstream processing industries for mining products may only focus on strategic minerals.

Such minerals may be tentatively defined as what a nation needs for industrial, military or commercial purposes and are essential to the economy, defense, medicine, and other important applications. However, the IRR or the implementing rules and regulations of this mineral value-adding program is expected to further define what these strategic minerals are.

The initial eagerness to put up a minerals value adding program is expected to be faced with hurdles as the roadblocks to the lofty aim - that of Philippine industrialization on the long term - must be numerous. …

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