Semirara next on Gina’s hit list

By Louise Maureen Simeon and Rhodina Villanueva (The Philippine Star) | Updated August 12, http://www.philstar.com/headlines/2016/08/12/1612604/semirara-next-ginas-hit-list

MANILA, Philippines - Environment Secretary Gina Lopez has given Consunji-led Semirara Mining and Power Corp., the country’s lone coal mine, an ultimatum to explain or face suspension of its environment compliance certificate (ECC).

The Department of Environment and Natural Resources will issue a show cause order for Semirara to explain why violations were committed as per complaints of the local communities in Antique. The order covers all its pits.

“Semirara has to get its act together,” Lopez said.

“While it’s producing the coal needed by the country, they can’t adversely affect the lives of the farmers and fishermen.” 

However, Lopez said closing Semirara will not be easy, as Semirara produces 90 percent of coal supply and supplies 30 percent of the power requirement in the country.

“They are not that easy to close because if we do that it will affect the electric supply of the country,” she said.

 “But the problem is that the boiler of their coal plants is not designed to take on high quality coal. They are just using low grade coal that’s making people sick.” 

The DENR said various grounds for possible suspension include degradation of water quality, siltation of marine environment, damage of coral areas, presence of toxic contaminants in the water, displacement of local residents and unsafe working conditions of workers, among others.

“Their mine wastes are dumped along the coasts and the issue of pollution has to be addressed as well,” Environment Undersecretary Leo Jasareno, head of the mining audit team, said.

In a statement, the company said it is yet to receive a copy of any order from DENR and will respond accordingly once complete official information is received.

“We would like to reiterate that SMPC has been fully complying with all relevant laws and regulations,” the company said. “Our mining and environmental protocols also conform with the conditions of our ECCs.  

“We hope that our company will be accorded due process throughout any pre- and formal audit process of the government.” 

Tampakan

Meanwhile, the $5.9-billion Tampakan project in South Cotabato, dubbed as potentially the country’s biggest foreign investment and believed to be one of the largest gold prospects in the world, remains on the brink of cancellation even before it starts.

Based on initial review, violations were found, especially on the issue of certificate of land ownership award (CLOA).

Jasareno said the agrarian reform department issued the CLOAs to 3,000 families in an area where the proposed open pit mine is to be located.

“The review is in its final stage. DENR will be serving Tampakan a show cause order why its ECC should not be revoked,” he said.

Lopez said former president Benigno Aquino III was the one who issued the ECC for the Tampakan project.

“We are eventually canceling it after seven days if they fail,” she said.

“The project should never have been given an ECC. It’s not even an economic issue, it’s a peace issue.

“DENR did not really want to issue the ECC. But it was brought up to the President and they mandated the ECC. Now, I’m reviewing why they gave it at all.” 

Operator Sagittarius Mines Inc. has secured the declaration of mining feasibility and is a few steps closer to operation.

The Tampakan mine development is targeted to start operations in the next two years, as part of the aggregate $14.75-billion pegged investments for 2018.

The Tampakan deposit contains an estimated 2.94 billion tons of mineral resource containing 15 million tons of copper and 18 million ounces of gold.

The prospective mine is projected to produce 375,000 tons of copper and 360,000 ounces of gold per year in the initial mine-life of 17 years, with potential for mine-life extension.

The project has been on hold since the province banned open-pit mining in mid-2010.

The project site covers an area of around 10,000 hectares spanning Tampakan, South Cotabato; Columbio in Sultan Kudarat; Kiblawan in Davao del Sur; and Malungon in Sarangani.

Value of the mine’s production is estimated at $37 billion over a period of 20 years.

Lopez said technical audit alone is not enough as social, environmental and health aspects are being considered as well.

The DENR is set to release the result of the mining audit of large and small-scale companies third week of this month.

The DENR has also suspended two more mining companies in Eastern Samar in line with the ongoing mining audit by the agency.

It has ordered the suspension of Mt. Sinai Exploration Mining and Development Corp. and EMIR Mineral Resources Corp., both in Homonhon, Eastern Samar.

“The audit team has already recommended suspension, so we will suspend them,” Lopez said.

Based on the audit, Mt. Sinai, which mines chromite, caused siltation of the coastal waters and the non-practice of engineered mining methods.

Meanwhile, nickel-producing EMIR Minerals had the same violations as Mt. Sinai, particularly on siltation of coastal waters.

In 2015, EMIR Minerals produced 150,000 tons of nickel while Mt. Sinai produced 50,000 tons of chromite, all exported to China.

To date, the DENR has suspended 10 mining companies and is on track to finish the audit of all 42 metallic mines within the month.

“All suspensions due to the audit are indefinite. The DENR will still be looking into the violations depending on their gravity,” Jasareno said.

Other mining companies under extensive review are the Canadian-owned TVI Resource Development Philippines Inc. in Zamboanga del Norte, St. Augustine Gold and Copper Ltd. in Compostela Valley, San Roque Metals Inc. in Agusan del Norte, Greenstone Resources Corp., Silangan Mine and Taganito Mine in Surigao del Norte.

La Mesa housing project, too

Lopez said the move to suspend and subject to review ECCs issued during the previous administration would help DENR identify more companies that have committed violations.

The housing project of Century Communities Corp. within the La Mesa Eco-Watershed in Quezon City is among those issued show-cause orders to explain within seven days why it still lacks the necessary requirements.

The project is said to affect the watershed, which is a protected area.

“This will involve putting up 97 buildings in a 6,000 square-meter area that will affect 12 million people,” Lopez noted in a news conference.

Century reportedly failed “to meet certain conditions of the ECC such as submitting an enhanced revised monitoring plan, ground modeling studies to assess water availability and ground water contamination.”

Century was also asked to explain why it shouldn’t be penalized P50,000 for every violation.

The DENR said that eventually, it is set to change the process of issuing ECCs.

Lopez said that in the near future, the DENR under her leadership will impose conditions that must be met first before the issuance of an ECC.

“There could be a change in the policy. For the meantime, we will follow the rules, we will follow the current process by first issuing them show-cause orders,” she said.

“It is possible that one of the conditions we will impose for the ECC issuance is for the applicant to come up with a program targeting to benefit nearby communities.”