Bantay Kita supports legislative reforms to increase government revenue from the extractives industry. A mining fiscal regime should ensure the greatest possible benefit to support development and well-being of citizens.
The government should establish a fiscal regime that is simple, and transparent mainly due to the limited administrative capacity, and weak regulatory capacity on disclosure.
We propose imposing 5% mineral royalty payments for all metallic mining operations which will be easier to administer, and by reason of that royalties are payments to the government for the minerals extracted. We support windfall profits tax to ensure revenue to government from excess profit of companies when international prices of resources soar. We support the introduction of new tax measures such as thin capitalization and ring-fencing to control tax avoidance of companies. However, a mining fiscal regime will only be effective and efficient by closely monitoring companies, and sustaining practice of transparency of both government and industry.
Bantay Kita welcomes the creation of a Natural Resource Trust Fund. We propose that the Trust Fund shall be governed by a multi-stakeholder oversight body composed of representatives from the government, industry, and civil society. The oversight body shall advise concerned local government units on fund operations. The Trust Fund is subjected to disclosures to the Philippine Extractive Industries Transparency Initiative (PH-EITI). It shall also be consistent with best practices of natural resource trust funds globally.
Bantay Kita strongly supports the institutionalization of the PH-EITI. The EITI is the global standard to promote the open and accountable management of extractive resources. In 2017, the Philippines has been recognized internationally as the first country to achieve satisfactory progress against the EITI Standard. The EITI identified that the Philippines has gone beyond the minimum required by the EITI Standard. The PH-EITI must continue its work to improve governance of the extractive industry. We recommend that a portion or share of mining revenues shall fund the PH-EITI programs and activities.
Finally, Bantay Kita supports this legislative reform on the mining fiscal regime only for the metallic mining. We believe that a different bill for the non-metallic industry which includes the coal industry should be filed. The Semirara Mining and Power Corporation, the major player in the coal industry do not exhibit any practice of good governance and have remain non-participant in PH-EITI for the past five years.
Bantay Kita, a national coalition advocating for transparency and accountability in natural resource governance, calls on national government agencies to make its processes transparent, to hold genuine consultations from key stakeholders, and to recognize the right of indigenous peoples to a free and prior informed consent.
Last 20 June 2019, the financial or technical assistance agreement (FTAA) of OceanaGold Philippines, Inc. (OGPI) expired and is currently pending for renewal. However, the local government unit and mining-affected communities of Brgy. Didipio, Kasibu in Nueva Vizcaya were not made aware of the renewal application of the mining agreement of OceanaGold.
Bantay Kita National Coordinator Pamela Grafilo said, “the Department of Environment and Natural Resources - Mines and Geoscience Bureau (DENR-MGB), as a member of the Philippine Extractive Industries Transparency Initiative (PH-EITI), commits to uphold the principle of transparency, including the renewal process of any mining agreement.”
The EITI Standard requires disclosure of information along the extractive industry value chain involving how extraction rights are awarded. Local government units and affected mining communities have the right to access to information regarding their natural resources.
“As stakeholders of the PH-EITI, we urge the MGB to uphold its commitment to transparency on decision-making processes that affect communities as well as to genuine community engagement for sound natural resource governance”, said Pamela Grafilo.
Today, as we celebrate the International Day of the World’s Indigenous Peoples, Bantay Kita reiterates its call to the relevant government agencies to uphold their processes in transparency and to recognize and respect any decision made by affected communities and the indigenous peoples.
Bantay Kita also calls on the National Commission on Indigenous People (NCIP) to hold a participatory and inclusive free and prior informed consent process among cultural communities. A process that is free from any form of manipulation and provided a platform to be heard and attended to.
The FPIC process shall serve as a safeguard to the right of the indigenous peoples to self-governance over their ancestral domain.
by Rose Ann Paragas
Luzon Subnational Coordinator
POWER, RESILIENCE, PERSISTENCE and HOPE – few words that I think would best represent the indigenous women leaders whom I had an opportunity to rub elbows with during a three-day knowledge- sharing workshop led by VOICE-HIVOS in Baguio City last February. They are the indigenous women leaders from different sides of the globe who share the same stories of struggle, shared victories, hopes, dreams, and aspirations towards complete liberation of women from any form of abuse, violence and culture that prohibits their voices from getting heard and left in the margins.
What then keeps women persist? This was the central of the discussion that gave space for interaction as well as in-depth reflection. The use of “emergent theatre” as a tool for the entire workshop has been very effective in portraying the collective experiences of women on cross-cutting issues on health and nutrition, education, participation in decision-making and natural resource governance among others. I would say that the freedom to choose any form, may it be in dancing, singing, poetry, painting or other forms of expression elicited raw but powerful messages. In this case, the message for me was very clear: Women persist because We Exist. We Can. Therefore, Hear Us. Let Us. This was the same message I got during our community visit in Ucab, Benguet, whose history highlights the struggle of the community against Open Pit Mining. The success of their struggle was actually credited to the women elders who were at the forefront. Take note that a man leader actually claimed this. It is even laudable that this history has been preserved and passed on from one generation to another through poetries and songs.
Having heard and shared discussions with the women leaders throughout the 3-day workshop, I would say that women have come a long way in their pursuit for freedom and equality. Their shared stories provide us the importance of having women to participate in governance and in development. They offer perspectives unique from those of men. In resource governance, for instance, the natural resources including the mountains, forests, water, air both flora and fauna interconnected with the lives of women. Interventions that impact this ecosystem also impact the lives of women, hence, the necessity of saving them seats in the discussion table. This practice was proven effective based on the experiences of the indigenous women present in the forum. The IP women leaders from the T’boli Tribe of South Cotabato, one of the partners of Bantay Kita for VOICE, claimed that women in their tribe are now recognized as leaders. They are now part of the discussion on matters involving their ancestral domain. Also, their tribe had actually gave up some of their traditional practices that go against human rights and women’s laws. In fact, they have written a manifesto condemning rape and violence against women.
These gains and victories for women are well-celebrated the way women deserve to be celebrated. However, we need to acknowledge that our pursuit continues. We need to find ways on how to keep the fire burning. Let me share to you some of the learnings and insights I got from the workshop.
To end this blog, I would like to share with you the lyrics of the song written during one of the workshop activities. We were asked to express our dreams and this song came out – a song that portrays the continuing struggle of indigenous women in defense of their natural resources, democracy and human rights.
At buong pamayanan
Sa buong pamayanan
Bansa at daigdigan
Likas yaman dinedepensahan
Paaralan para magbahaginan
Kaalaman kultura at karanasan
Sa mahirap na kalagayan
Marangal na pamumuhay
may dignidad at demokrasya
Makatarungan at Malaya
Hammering a Productive Dialogue
March 13 - 14, 2019 was a milestone for Bantay Kita (BK), more than a hundred stakeholders from government, mining industry and civil society organizations gathered to discuss in a Forum on Responsible Mining. In collaboration with the Chamber of Mines of the Philippines (COMP), Philippine – Extractive Industry Transparency Initiative and Mining (PH-EITI) and Mines and Geosciences Bureau (MGB), the third and bigger set of stakeholders broke barriers and discussed their points of convergences and divergences on responsible mining.
The forum was third in a series of initial three forums to start discussions on what should be the definition of Responsible Mining in the Philippines. In November and December 2018, the multi-stakeholder group of BK, COMP, PH-EITI and MGB organized the first two Round Table Discussions on responsible mining - including large scale and small scale metallic and non-metallic mining. Experts from the academe, NGO leaders, government officials and industry representatives tackled the issue of conflict sensitivity, labor issues, environment, revenue, planet, profit, and people. The discussions were lively, with conflicting opinions but everyone was generally respectful and even good humored in their discourse.
Existing Mining Standards and Monitoring Frameworks: National and International
Assistant Professor Jo Dionisio from the University of the Philippines Diliman Sociology Department, who was one of the panel reactors to the initial discussion results, gave a very good challenge at the end of her session – “Safe statements that highlight convergences are good but acknowledging divergences, even if uncomfortable, is necessary to filter the non-negotiable and to extract compromises from each sector.”
An industry leader shared his insights from his 30 years of experience and gave honest perspectives on their struggles, “We can accept no (as a response to a question if the industry can accept “no to mining” from communities and other stakeholders), but we want a consistent answer – it cannot be yes now and no later, we have to ensure that our investments will generate returns.”
An equally honest and passionate NGO leader shared their struggles and perspectives from the community, “We have been talking about our community issues and concerns for the past 30 years but we do not get reliable answers and assurances.”
Everyone shared their points, everyone listened.
Lisa Sumi; a representative from the US-based Initiative for Responsible Mining Assurance (IRMA) - a global non-profit organization with a mission to protect the environment, mine workers and communities directly affected by mining; shared IRMA’s Standard for Responsible Mining. Joan De Venecia-Fabul of Philex Mining Corporation shared COMP’s plan and partnerships with Towards Sustainable Mining (TSM) standards from Canada. Rodolfo Velasco and Larry Heradez from MGB presented their Tenement, Safety and Health, Environment and Social (TSHES) monitoring framework and Nieva Natural of Mining Industry Coordinating Council (MICC) shared their mining audit framework.
Their sessions generated a lot of questions and discussions that redounded to specific steps and suggestions on structures and mechanisms on how to improve monitoring and on how bring forward the discussions at the regional levels.
Collaborative Approach: Shared Responsibility, Joint Solutions
The two-day activity resulted in a joint call to action – to have a shared responsibility and therefore shared actions on how to move forward in coming up with more holistic standard on responsible mining. The following are the top action points from the forum and the action planning session: 1) working together to develop responsible mining standard by reviewing current frameworks and guiding laws and policies, 2) identify ways on effective monitoring (e.g. self-monitoring, multi-stakeholder monitoring, third party monitoring), 3) how to prepare and roll out effective transparency and accountability mechanisms using the monitoring results, 4)discuss and collaborate on enabling governance mechanisms, and 5) working together and build on current level of openness and collaborative engagement.
This can effectively happen in a multi-stakeholder platform with effective and meaningful participation of all stakeholders. “All of us are gathered here out of love and concern for our country, for our fellow Filipinos, because we want our nation to develop sustainably. We persist until we achieve our objectives, and we keep working towards convergence and synergy,” said Atty. Karla Espinosa, National Coordinator of PH-EITI.
At the end of the forum, the sentiment that resonated with everyone was, “We all love our country, we are all patriots and we are all committed to move this forward.” Norie Garcia, Bantay Kita’s Interim National Coordinator ended the forum and workshop by thanking everyone for their openness, commitment and attitude to forge collaborative engagement.
For 11.11.11 who supported BK's participation in the PWYP GA19
Bantay Kita participated in Publish What You Pay’s Global Assembly (PWYP) in Dakar; Senegal.The approval of the new five-year global strategy was one of the major agendas of the global PWYP assembly. The new global strategy intends to build on the achievements of the last several years, scale up the impacts and continue to strengthen the movement for greater transparency and accountability of the extractive industries.
The gathering also served as the election of new global council members. Chadwick Llanos of Bantay Kita was one of the newly elected global council membersto represent the Asia Pacific Region. The newly elected global council ratified the new five-year strategy.
Current context of disclosure
The different plenary and breakout sessions provided venues to share and learn different country context on how to enhance disclosures and on how to push for more citizen participation and greater accountability. For example, in the Philippines, gender related disclosures on employment have been available for the last two years but there are specific issues that need more attention like the role and impact of mining in women and the related governance issues that need to be addressed.
There was also emphasis on the need for more disclosures on social and environmental payments and issues on labor rights, health and safety - not just of laborers but as well as of those of communities.
Calling for social and environmental disclosure
In the Philippines, for the past several years, the CSOs have been clamoring for the disclosure of social and environmental impacts of the extractive industries. This has been more pronounced given the context of climate change vulnerability and the resulting hazards. Now that the global strategy is pushing for this and how it should be reflected in the international EITI standards, the CSOs in the PH-EITI multi-stakeholder platform can have stronger support and basis to demand disclosures and transparencies on these areas.
For example, environmental disclosures such as auxiliary rights on water and timber are not publicly disclosed. Tree cutting and water permits are easily granted to mining companies with less or no regards over communities’ rights to these resources. CSOs, over the past several years, have been asking for disclosures on these natural resource use primarily because these ‘rights’ have been exploited by mining companies.
At the end of the Global Assembly, the Coalition called on the EITI to include social and environmental disclosures and publish contracts and licenses.
With the new global agenda, Bantay Kita will be able to put forward the communities’ agenda on gender, labor, social and environmental issues and continue its advocacy and facilitation of significant reforms in natural resource governance.
Bantay Kita will continue to build on its initial achievements to make transparency and accountability work for the communities it serves. The direction is to make transparency and accountability work such positive actions and outcomes will redound to the communities where it matters most.