Mining industry scores Church’s ‘extremist view’

The Chamber of Mines of the Philippines (CMP) on Monday scored the Catholic Church for its “extremist view” against the exploitation and development of the country’s natural resources. In a statement, Nelia Halcon, the executive vice president Chamber of Mines, expressed disappointment over the letter of the Catholic Bishops’ Conference of the Philippines (CBCP) to President Benigno Aquino 3rd calling for the abolition of the Mining Act.

“It is distressing that the Philippines is the only country in the world where the Catholic Church is against the development of the God-given natural resources,” she added.

Halcon said that the Philippines is now lagging behind other Catholic countries in the development of its indigenous mineral resources, saying that it is only now that the country was able to sustain the industry’s growth momentum.

The mining chamber noted that Catholic countries like Chile, the largest producer of copper, exports about $29.9-billion worth of copper while Peru earns about $15.9 billion from its silver exports.

Brazil, one of the biggest producers of iron ore, exports about $40.1-billion worth of the minerals.

In the Philippines, the mining industry’s contribution to the gross domestic product (GDP) has reached 1.3 percent while exports have been recorded at only $1.6 billion.

GDP represents the amount of goods and services produced locally, and is a proxy for a country’s economic performance.

Enticing investors

Halcon said that since 2005, when uncertainties about the Mining Law were finally resolved, the mining industry enticed investors to take a second look at the opportunities in the industry and the revitalization efforts made by both the government and the private sector.

In 2009, the mining industry became a star performer for registering about 23 percent in growth even with the financial meltdown that affected the other sectors of the economy.

Capital investments of $3 billion have been made since 2004 and another $1 billion is expected within 2010.

“Mining generates income and employment for the community and with its multiplier effects, creates even greater economic value for society,” Halcon said.

“While CBCP has been supporting small-scale mining which is unregulated, has problems on environmental protection measures and does not contribute to government’s tax revenues,” she added.

On Friday, the CBCP sent a letter to President Aquino urging him to repeal the Mining Act contending it opens the country’s natural resources to exploitation by foreigners.

“Our bias for the use of our resources should be for Filipinos and not for foreigners,” the CBCP said in its letter.

The Catholic Church also called for a review of the government’s policy on mining and the allegedly “anomalous” contracts forged by the Arroyo administration with mining companies.

The CBCP further said that the government should make public all mining applications and contracts, which have been held in secrecy, in accordance with the President’s stance for transparency. –JAMES KONSTANTIN GALVEZ REPORTER, Manila Times