Mining NewsPart 3 News: Seven Winning Sectors

DENR has no power to issue special mining permits – DOJ

MANILA, Philippines – The secretary of the Department of Environment and Natural Resources (DENR) has no authority to grant special mining permits, the Department of Justice (DOJ) has said.

In a five-page legal opinion released last Friday, Justice Secretary Leila de Lima said the power to issue permits to mining firms lies solely on the director of the Mines and Geosciences Bureau (MGB).

De Lima’s position opposed that of Environment Secretary Ramon Paje, who earlier upheld the Special Ore Extraction Permit (SOEP) awarded by his predecessor, former secretary Lito Atienza Jr., to Lupa Pigigetawan mining firm in Zamboanga del Sur.

The DOJ chief cited Republic Act 7942 (Mining Act of 1995) in declaring invalid the SOEP of Lupa Pigigetawan whose security personnel have reportedly been causing panic among indigenous people, the Subanens in Bayog town.

“The intention of the law in granting the authority to the Director of the Bureau instead of the Secretary of DENR is clear, it is the Director of the Bureau who is in a better position to determine whether or not the requirements of the law have been complied with by the applicant. In this regard, a careful perusal of your letter does not show that the requirements were satisfied before the permit to Lupa Pigigetawan was issued,” she explained.

The DOJ’s opinion on the issue was sought by Secretary Paje himself.

When Paje took over the DENR, he upheld the validity of the permit given to Lupa Pigigetawan despite contrary position taken by the Bureau of Mines and Geosciences, which even issued a cease and desist order against the mining firm for operating without valid permit and licenses.

Zamboanga Gov. Antonio Cerilles had also written Paje to nullify the contested SOEP issued to the mining firm and implement the CDO against the mining firm.

Cerilles also told Paje that aside from operating without a permit, Lupa Pigigetawan had hired heavily armed security guards after the issuance of a CDO alarming students and parents in the town of Bayog.

It was also reported that for a few days classes were not held in the area because of the escalating tension and that some residents have chosen to relocate.

But Paje, instead of defusing the tension brought about by the mining firm’s security detail, sided with Lupa Pigigetawan and upheld its SOEP, saying it is analogous to the Exploration Permit provided for in the Mining Act and its Implementing Rules and Regulations and that the DENR Secretary is not precluded from issuing other forms of mining permits.

The issue on the mining permit had been one of the grounds raised for the opposition of the confirmation of Paje by the Commission on Appointments.

However, Secretary De Lima said while Paje may issue other forms of special mine permits, it must be done “after verification and evaluation of the Mines and Geosciences Bureau” as expressly provided in the IRR of the mining law.

De Lima further stated that the law gives the Mines and Geosciences Bureau the sole power to grant exploration permits.

“It is basic in statutory interpretation that when the words and phrases of the statute are clear and unequivocal… the statute must be taken exactly what it says. The reason is because when the law is clear, interpretation does not apply – only application,” she said.

She further stated that Lupa Pigigetawan also has not secured the necessary permit from the local government unit concerned as provided by RA 7942.

“Mainly for these reasons, the disputed permit is invalid,” the DOJ chief added.
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By: Edu Punay
Source: The Philippine Star, Oct. 10, 2011
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