In the Philippine legal landscape, the extraction of mineral resources is a highly regulated activity governed primarily by the Philippine Mining Act of 1995 (Republic Act No. 7942) and the Local Government Code of 1991 (Republic Act No. 7160). Authority is divided between the national government and local government units (LGUs) based on the scale of the operation and the type of minerals involved.
1. Department of Environment and Natural Resources (DENR)
The DENR is the primary agency responsible for the conservation, management, development, and proper use of the country’s mineral resources. Under the law, the DENR Secretary has the authority to enter into mineral agreements on behalf of the Government.
Mines and Geosciences Bureau (MGB)
The MGB is the line bureau of the DENR that directly administers and disposes of mineral lands and resources.
- Functions: It processes applications for large-scale exploration, development, and utilization of mineral resources.
- Permit Types: It handles Exploration Permits (EP), Mineral Production Sharing Agreements (MPSA), and Financial or Technical Assistance Agreements (FTAA) for large-scale mining.
2. Local Government Units (LGUs)
Under the principle of decentralization, provincial and city governments have the authority to regulate small-scale mining and quarrying within their respective jurisdictions.
Provincial/City Mining Regulatory Board (PMRB)
The PMRB is a multi-sectoral body chaired by the MGB Regional Director, with the Provincial Governor or City Mayor as a member.
- Quarry Permits: Issued for the extraction of quarry resources (such as andesite, basalt, limestone, and silica) on public or private lands for a maximum area of five (5) hectares.
- Sand and Gravel (SAG) Permits: Issued for the extraction of riverbed materials.
- Small-Scale Mining Contracts: Governed by Republic Act No. 7076 (People’s Small-Scale Mining Act), these are issued to cooperatives within declared Minahang Bayan areas.
3. Environmental Management Bureau (EMB)
While the MGB handles the technical and economic aspects of mining, the EMB focuses on environmental compliance.
- Environmental Compliance Certificate (ECC): No mining or quarrying permit can be granted without an ECC. This document certifies that the proponent has committed to mitigating the environmental impact of the project.
4. National Commission on Indigenous Peoples (NCIP)
For mining or quarrying operations located within Ancestral Domains, the NCIP plays a critical role under the Indigenous Peoples’ Rights Act (IPRA) of 1997.
- Certification Precondition: The agency ensures that the Free and Prior Informed Consent (FPIC) of the Indigenous Cultural Communities (ICCs) has been obtained before any permit is issued.
5. Other Specialized Regulatory Bodies
Depending on the location and nature of the project, additional clearances may be required from:
- Palawan Council for Sustainable Development (PCSD): Specifically for mining activities within the province of Palawan, pursuant to the Strategic Environmental Plan (SEP) for Palawan Act.
- Department of Public Works and Highways (DPWH): For quarrying activities that may affect public infrastructure, bridges, or river control systems.
- Bureau of Internal Revenue (BIR): For the payment of excise taxes on mineral products.
Summary of Jurisdiction
| Agency | Scope of Authority | Primary Permit/Document |
|---|---|---|
| DENR-MGB | Large-scale mining & national mineral lands | MPSA, FTAA, Exploration Permit |
| Provincial/City Govt | Quarrying and small-scale resources | Quarry Permit, SAG Permit |
| EMB | Environmental impact mitigation | ECC |
| NCIP | Ancestral Domain protections | CP / FPIC |
Failure to secure permits from the appropriate agency constitutes Illegal Mining or Illegal Quarrying, punishable under Section 103 of RA 7942 and various local ordinances.