Amendment to DENR A.O. No. 2012-07
DENR Administrative Order No. 07-A-12 amends the implementing rules and regulations of Executive Order No. 79, which focuses on reforms in the Philippine mining sector to ensure environmental protection and responsible mining practices. Key amendments include the definition of "expired mining tenements" and stipulations that no new mineral agreements can be made until new legislation on revenue sharing is passed. Additionally, the order mandates that mining rights must be granted through competitive public bidding, with specific guidelines for renewing expiring contracts. The order emphasizes the need for compliance with existing laws and includes a separability clause to maintain the integrity of the regulations. This order will take effect 15 days after publication and registration.
October 8, 2012
DENR ADMINISTRATIVE ORDER NO. 07-A-12
| SUBJECT | : | Amendment to Department of Environment and Natural Resources Administrative Order No. 2012-07 or the Implementing Rules and Regulations of Executive Order No. 79 |
Pursuant to Section 19 of Executive Order (EO) No. 79 dated 06 July 2012, entitled "Institutionalizing and Implementing Reforms in the Philippine Mining Sector Providing Policies and Guidelines to Ensure Environmental Protection and Responsible Mining in the Utilization of Mineral Resources," the following amendments to its implementing rules and regulations as embodied in Department of Environment and Natural Resources (DENR) Administrative Order No. 2012-07, are hereby promulgated for the guidance and compliance of all concerned:
SECTION 1. Section 3 (Definition of Terms) is hereby amended to include the definition of "Expired mining tenements" as Item c after the definition of Environmental Management Record. Consequently, the definition of "Fish refuge and sanctuaries" and the succeeding terms thereunder are redenominated as Items d, e, f and so forth. Section 3 shall, therefore, read as follows:
"Section 3. Definition of Terms. —
As used in and for purposes of these implementing rules and regulations, the following terms are defined accordingly:
a. "Abandoned ores" refer to . . .;
b. "Environmental management record" refers to . . .;
c. "Expired mining tenements" refer to mining contracts/agreements which 25- or 50-year term has lapsed: Provided, that in case of the initial 25-year term, the mining contract/agreement shall be considered expired if the parties concerned fail to agree on the terms of the renewal pursuant to Sections 32 and 38 of Republic Act (RA) No. 7942, the Philippine Mining Act of 1995, and other pertinent laws. IHCSTE
d. "Fish refuge and sanctuaries" refer to . . .;
e. "Impact areas of mining" refer to . . .;
xxx xxx xxx."
SECTION 2. Section 7 (Grant of Mineral Agreements Pending New Legislation) is hereby amended to read as follows:
"Section 7. Grant of Mineral Agreements Pending New Legislation. —
No new mineral agreements shall be entered into until a legislation rationalizing existing revenue sharing schemes and mechanisms shall have taken effect: Provided, that no expansion of existing contract areas shall be allowed by the DENR Secretary unless there is an imminent and/or threatened economic disruption, such as a shortage of critical commodities and raw materials, that could adversely affect priority government projects and/or economic activities as determined by the Economic Development Cabinet Cluster: Provided, further, that the National Government-Owned Mining Assets may be subject to the Financial or Technical Assistance Agreement (FTAA) in accordance with Section 9 of these implementing rules and regulations.
xxx xxx xxx."
SECTION 3. Section 9 (Opening of Areas for Mining through Competitive Public Bidding) is hereby amended to read as follows:
"Section 9. Opening of Areas for Mining through Competitive Public Bidding. —
Section 2, Article XII of the Constitution provides that the exploration, development and utilization of natural resources shall be under the full control of the State. Thus, the grant of mining rights and mining tenements over areas with known and verified mineral resources and reserves, including those owned by the Government and all expired tenements, shall be undertaken through competitive public bidding. The mining contract/agreement that may be renewed shall be subject to existing laws, rules and regulations at the time of renewal: Provided, that mining contractors whose tenements are expiring from 01 September 2012 to 30 April 2013, shall be given thirty (30) calendar days from the effectivity of these implementing rules and regulations to file renewal applications: Provided, further, that those mining contractors whose tenements expire after 30 April 2013, shall file their renewal application not later than six (6) months prior to the expiry of their mining contracts/agreements. STADIH
xxx xxx xxx."
SECTION 4. Separability Clause. —
If any clause, sentence, section or provision of these implementing rules and regulations is held or declared to be unconstitutional or invalid by a competent court, the remaining parts hereof shall not be affected thereby.
SECTION 5. Repealing and Amending Clause. —
All orders, rules and regulations and issuances or parts thereof that are inconsistent with or contrary to the provisions of these implementing rules and regulations are hereby repealed or modified accordingly.
SECTION 6. Effectivity. —
These implementing rules and regulations shall take effect fifteen (15) days following its publication in a newspaper of general circulation and fifteen (15) days after registration in the Office of the National Administrative Register.
(SGD.) RAMON J.P. PAJESecretary
ATTACHMENT
Agreements reached during the September 24, 2012 Meeting in Malacanan Palace regarding the IRR of EO 79
Section 3. Definition of Terms. —
"Expired mining tenements" refer to mining contracts/agreements which 25 or 50-year term has lapsed: Provided, that in case of the initial 25-year term, the mining contract/agreement shall be considered expired if the parties concerned fail to agree on the terms of the renewal pursuant to Sections 32 and 38 of Republic Act (RA) No. 7942, the Philippine Mining Act of 1995, and other pertinent laws. aITECD
Section 7. Grant of Mineral Agreements Pending New Legislation. —
No new mineral agreements shall be entered into until a legislation rationalizing existing revenue sharing schemes and mechanisms shall have taken effect: Provided, that in the case of expansion of existing contract areas, the same shall be subject to existing laws: Provided, further, that the National Government-Owned Mining Assets may be subject to the Financial or Technical Assistance Agreement (FTAA) in accordance with Section 9 of these implementing rules and regulations.
Section 9. Opening of Areas for Mining through Competitive Public Bidding. —
Section 2, Article 12 of the Constitution provides that the exploration, development and utilization of natural resources shall be under the full control of the State. Thus, the grant of mining rights and mining tenements over areas with known and verified mineral resources and reserves, including those owned by the Government and all expired tenements, shall be undertaken through competitive public bidding. The mining contract/agreement that may be renewed shall be subject to existing laws, rules and regulations at the time of renewal. Provided, further, that mining contractors whose tenements are expiring from 01 September 2012 to 30 April 2013, shall be given thirty (30) calendar days from the effectivity of these implementing rules and regulations to file renewal applications: Provided, finally, that those mining contractors whose tenements expire after 30 April 2013, shall file their renewal application not later than six (6) months prior to the expiry of their mining contracts/agreements.
Agreements reached during the October 4, 2012 Meeting in Malacanan Palace regarding the IRR of EO 79
Section 7. Grant of Mineral Agreements Pending New Legislation. —
No new mineral agreements shall be entered into until a legislation rationalizing existing revenue sharing schemes and mechanisms shall have taken effect:
Provided, that no expansion of existing contract areas shall be allowed by the DENR Secretary unless there is an imminent and/or threatened economic disruption, such as a shortage of critical commodities and raw materials, that could adversely affect priority government projects and/or economic activities as determined by the Economic Development Cabinet Cluster.
Provided, further, that the National Government-Owned Mining Assets may be subject to the Financial or Technical Assistance Agreement (FTAA) in accordance with Section 9 of these implementing rules and regulations.