TUBA Benguet – Mining is a major catalyst for countryside development if done with utmost responsibility despite reported negative impacts to the environment as economic activities in remote villages have greatly improved due to sufficient sources of livelihood provided by the presence of the mines, a senior Philex official said here recently.
Engr. Eulalio B. Austin, Jr., Philex Mining Corporation president and chief executive officer, admitted that while it is true that mining contributes only 0.5 to 0.7 percent to the country’s annual gross domestic product (GDP), mining contributes in spurring rural development because of the implementation of the social development and management program (SDMP) projects of companies, the provision of opportunities for the children to achieve quality basic and higher education, the availability of reliable health services, the generation of jobs, the provision of livelihood opportunities for miners and the members of their families, among others, all courtesy of the operating mines.
“While it is true that we totally change the status of the land use in the mine site, we are mandated by law to restore the mined out areas close to their original state for other future productive uses,” Austin stressed.
The Philex executive assured concerned stakeholders that Philex will continue to be an icon of responsible mining because it has already done it in its Padcal mines and will do the same for upcoming projects in the Visayas and Mindanao areas.
Austin pointed out Philex officials and employees have been sensitive to the harmonious working relationship of the company with the inhabitants of the host and neighboring communities that it is why it was able to achieve numerous local, regional, national and international citations of being a responsible mining company worthy of emulation, thus, it was able to hurdle the stringent requirements of the recently concluded mine audit done by the environment department.
According to him, the existing scenario in the country’s mining industry is considered to be disruptive and Philex was able to prove that it can still fully operate in such a situation, a major characteristic of a responsible mining company.
Philex spent a total of P470 million for its various SDMP projects for its host and neighboring communities over the past ten years, except for the paving of the 18-kilometer Baguio-Philex road that had a total project cost of around P170 million after it was heavily damaged by the July 16, 1990 killer earthquake. It was also able to pay to the national and local governments over P10 billion in taxes through the years.
Austin disclosed no less than the municipal officials of Tuba have publicly admitted that the town would not have been classified as first-class without the presence of Philex because of its enormous share of the taxes being paid by the company not only directly to the local government but also the municipality’s share of the national wealth tax.
He assured national and local officials that Philex remains committed to helping improve the living condition of the people within its host and neighboring communities through its various corporate social responsibility projects aside from the employment of qualified residents.
The company’s P592 daily wage which is the starting salary for regular workers is 27 percent higher than the P491 daily wage in the National Capital Region (NCR) and 118 percent higher than the P285 daily wage prevailing in the Cordillera region.
Under existing laws, rules and regulations, mining companies are mandated to spend 1.5 percent of their total milling and operating cost for SDMP projects in coordination with the host and neighboring communities annually. Of the said percentage, 75 percent will be spent on social development projects, 15 percent on information and education, and 10 percent for development, mining technology, and geosciences.
Austin claimed in the case of barangay Camp 3 in Tuba that hosts the mining company, its share from the national wealth tax is approximately 50 percent more than the combined internal revenue allotment of the remaining 12 barangays of the municipality.
the Philex official underscored it will continue to play a key role in advocating and practicing responsible mining to help demonstrate to anti-mining advocates the benefits that mining has contributed to the overall development of previously undeveloped communities in the countryside for other mining communities to emulate in their future operations and in order to improve the contributions of mining to the national economy.
By HENT
