President Ferdinand Marcos Jr. urged the Philippine Congress to pass a bill aimed at reforming the country’s mining fiscal regime. This call was made during his speech at the 2023 Philippine Mineral Industry Environmental Award (PMIEA) ceremony in Malacañang. Marcos emphasized the need for responsible mining practices and sustainable operations within the sector.
The proposed legislative measure, known as the Rationalization of the Mining Fiscal Regime bill, seeks to create a more favorable environment for the industry. It aims to streamline tax systems and regulations, potentially increasing government revenue from the mining sector. The President believes that by simplifying the fiscal framework, the Philippines could position itself as a leader in responsible mining worldwide.
The mining industry has been a significant contributor to the Philippine economy. However, it has often faced criticism over environmental and social concerns. Marcos stressed the importance of ensuring that mining companies adopt practices that prioritize environmental protection and the welfare of communities. He acknowledged that mining activities must be balanced with efforts to protect natural resources and uphold social responsibilities.
The call for legislative reform comes at a time when there is a growing global demand for critical minerals, driven by the transition to green energy. The Philippines is rich in mineral resources, making it a potential key player in the global supply chain for these materials. By implementing reforms, the government hopes to attract more investments and enhance the country’s competitiveness in the international market.
The mining fiscal regime bill is considered a priority measure for the administration. According to Marcos, it is essential to establish a clear and consistent policy framework to provide stability to investors and stakeholders. He believes that having a simplified fiscal regime will help the country maintain its attractiveness to both local and foreign investors.
The President’s call for responsible mining practices was echoed by other government officials attending the PMIEA ceremony. They highlighted the need for mining companies to adhere to strict environmental standards and contribute positively to the communities where they operate. Recognition was given to companies that have demonstrated excellence in responsible mining and environmental stewardship.
Environmental advocates have long been urging the government to implement stricter regulations and oversight in the mining sector. They have raised concerns about the environmental degradation caused by some mining operations and the impact on local communities. Marcos acknowledged these concerns and reiterated the government’s commitment to ensuring that mining activities do not compromise the country’s natural resources.
The proposed reforms also seek to address issues related to revenue sharing between the national government and local governments. By establishing a more equitable distribution of revenue, the government aims to ensure that local communities benefit directly from mining activities in their areas. This is seen as a way to promote social equity and support community development.