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THE MINING CONTROVERSY
AND DYNAMICS OF CONFLICT IN
 BROOKE’S POINT, PALAWAN



           A case study prepared for the
        Ateneo School of Government



                      by the
Environmental Legal Assistance Center, Inc.

             Datu Abdelwin Sangkula
                  Marlon Tamsi


                   Edited by:
  Atty. Grizelda Mayo-Anda & Dante Dalabajan



                 December 2007



               With the Support of:

United States Agency for International Development
               The Asia Foundation
     United Nations Development Programme
2
                                   EXECUTIVE SUMMARY


       This case study was conducted by the Environmental Legal Assistance Center (ELAC) as
part of the research component of the program on “Reforming Environment and Natural
Resources (ENR) and Mining Governance: Managing Conflicts in Mining Areas” of the Ateneo
School of Government, with the support of the U.S. Agency for International Development, The
Asia Foundation, and the United Nations Development Programme. It is one of five case studies
conducted in various mining sites around the country to determine the types and sources of
mining-related conflicts and assess the needs in relation to conflict management.

       This study seeks to look into the conflict that arose as a result of the decision of the local
government unit of the Municipality of Brooke’s Point, Province of Palawan to endorse the
exploration projects of MacroAsia Corporation and Celestial Nickel Mining Exploration
Corporation/Ipilan Nickel Corporation. It examines the varying positions and interests of key
stakeholders with regard to the mining issue, the existing conflict-resolution mechanisms, if any,
and the effectiveness of such mechanisms. It also seeks to determine the conflict resolution needs
to guide stakeholders and other players in their future endeavors with regards to conflict
management.

        The study makes a review of the mandated responsibilities of several concerned agencies
to determine whether or not the performance of public officials are in accord with their duties
and responsibilities. Since mining is all about resource and land use, in which several
environmental laws serve as the overarching legal framework, a brief discussion of the
applicable laws is made to clarify some legal ambiguities in relation to exploration activities of
the two large-scale mining companies.

       To achieve the objectives of this study, the ELAC research team primarily utilized key
informant interviews and focus group discussions in the data gathering process. The team also
reviewed existing literature and secondary information, both published and unpublished.

        The study shows that the haste with which the local authorities endorsed the conduct of
mining exploration activities in Brooke’s Point has sparked divisions and conflict among local
stakeholders. The conflict emerged from what seemed to be a deliberate effort on the part of the
mining companies and the local government officials to circumvent legal requisites concerning
social acceptability and accountability. Other issues such as the potential socio-cultural and
ecological impacts of mining activities in the watershed and ancestral domain areas, the
legal/policy issues spawned by the conflicting resource/land uses in the proposed mining sites,
and the disregard of the Environmentally Critical Areas Network (ECAN) zonation as prescribed
by law exacerbated the emerging conflict.

       The study recommends the following:

•   To effectively address the latent and emerging conflicts between local stakeholders, both
    parties should agree to a mutually acceptable and transparent system of dealing with the
3
    mining issue. Genuine consultative processes with the concerned stakeholders, directly or
    indirectly affected by mining activities, should be undertaken.

•   Government regulators should strictly implement and monitor the compliance of mining
    companies to environmental laws and policies, and undertake decisive administrative and/or
    judicial actions against the offenders and consistently uphold the welfare and interest of the
    general public.

•   On the part of the concerned mining companies, the study argues that sincere compliance
    with all the legal requirements and processes is necessary to avoid the escalation of conflict.
    In the interest of the general public, the engagements of mining companies with public
    officials and other interested parties should always be above-board and ensure that the voices
    of affected communities either opposing or supportive to the mining industry are fairly and
    objectively heard.

•   On the part of the affected communities and concerned stakeholders, active involvement in
    the entire decision-making process should be enhanced by improving their capacity to engage
    in dialogues, negotiations and conflict resolution. The participation of the local communities
    is, therefore, critical in any development undertaking to avoid and manage the further
    escalation of the conflict.
4


Introduction

        The objective of the research is to map out the conflicts attendant to the mining activities
in the municipality of Brooke’s Point. To achieve this, an analysis of the parties involved in the
conflict, the positions they have assumed, and the standpoint from which their positions come
from will be made. Factors that facilitate or hinder the resolution of the conflicts will also be
examined.

        Essentially, the research will look into the dynamics of the relationships among different
social actors and the existing conflict-resolution mechanisms, if any, and how these mechanisms
are effective in resolving issues and conflicts. Likewise, it shall also determine the conflict
resolution needs to guide stakeholders and other players in their future endeavors with regard to
conflict management.

Methodology

        The case study primarily utilized key informant interviews (KII) and focus group
discussions (FGDs) in the data gathering process. More or less 120 informants, including
barangay officials, indigenous peoples, farmers (men and women), and non-government
organization (NGO) workers and professionals, were interviewed between August 2 and
September 10, 2007, using a pre-designed questionnaire.

       Between July and September 2007, the research team gathered and analyzed the
secondary data provided by Conservation International (CI), the Palawan Council for Sustainable
Development Staff (PCSDS), the Municipal Planning and Development Office (MPDO) of
Brooke’s Point, and the Brooke’s Point Rural Waterworks and Sanitation Association
(BPRWSA). During the latter part of the research period, MacroAsia Corporation (MacroAsia)
provided the Ateneo School of Government (ASoG) with some news clippings and the
company’s 2006 Annual Report.

       During the early part of the research period, ELAC and ASoG sent formal letters to the
PCSDS, Department of Environment and Natural Resources (DENR), National Commission on
Indigenous Peoples (NCIP), Municipal Environmentally Critical Areas Network (ECAN) Board
of Brooke’s Point, and CI to request for relevant data and maps. Letters were also sent to the
Municipal Mayor of Brooke’s Point, Punong Barangays of the six concerned barangays, and
other potential key informants.

        Some documents and studies, including the Evaluation Reports of Mines and Geo-
sciences Bureau (MGB) of the DENR and PCSDS relating to the operations of Celestial Nickel
and Mineral Exploration Corporation (CNMEC) and MacroAsia, were sourced out from the
existing files of ELAC.

       During the conduct of FGDs in the six barangays, an NGO, the SAMMI Foundation, Inc.,
with the assistance of another NGO, World Vision, generously provided support to ELAC in
5
coordination work and mobilization of key respondents. Two SAMMI staff members were
assigned to assist the research team.

       The data gathered from KIIs and FGDs were then consolidated and analyzed together
with the secondary data, based on the research framework jointly developed by ASoG and its
research partners during the June 2007 Conflict Mapping Workshop.

Scope and Limitations

       The study covered the Barangays of Calasaguen, Ipilan, Mambalot, Maasin, Barong-
Barong and Aribungos, all in the municipality of Brooke’s Point, Palawan. Data-gathering lasted
for almost four months.

        As anticipated, the active engagement of ELAC in the anti-mining advocacy campaign
engendered reluctance among some pro-mining supporters to participate in the case study as key
informants. As a result, the FGDs and KIs were partly delayed, and in some cases, prospective
key informants even turned down invitations for interviews despite efforts to explain the
objective of the case study. In other cases, some pro-mining supporters opted not to speak
publicly on their positions regarding the mining conflict.

       Due to some difficulty in interviewing pro-mining residents, the research team had to rely
on the views and perceptions of certain barangay officials and individuals who are generally
supportive of the mining industry in their respective localities.1 On the part of the Ipilan Nickel
Corporation (INC),2 the research team was advised to secure permission from the company’s
head office in Manila as a pre-requisite for an interview.

        The ASoG also met with an officer of MacroAsia and sent a questionnaire requesting for
certain documents and information on the company. However, the latter was only able to provide
the ASOG with news clippings and a copy of its 2006 Annual Report.



1
  During a courtesy meeting with the Local Chief Executive of Brooke’s Point, together with the Punong Barangays
of the six study sites on July 30, 2007, the Punong Barangays of Maasin, Ipilan and Mambalot declined to be
interviewed. The three (3) barangay officials expressed apprehension that the research will just resurrect a problem
which they believe they have long settled.

In the course of the meeting, wherein the Research Team patiently clarified and explained the rationale and
objective of the case study, one of the Barangay officials even questioned the “motive” of the research and imputed
that ELAC has a “hidden agenda” in conducting the said research. The Punong Barangay of Mambalot pointed out
that they could allow the research to push through in their areas provided that mining issue should not anymore be
discussed.

At least two Punong Barangays present during that meeting declined to receive the joint letter of ELAC and ASOG.

Aside from Mambalot and Ipilan, FGDs were held with members of the Barangay Councils of Barong-Barong,
Aribungos and Maasin. The Punong Barangay of Maasin later allowed a separate FGD among his colleagues in the
Council.
2
    Based on the verbal statement of Engr. Gonzales, Geologist of Ipilan Nickel Corporation
6
        This paper basically focuses on the mining conflict involving key stakeholders (local
government units, government agencies, civil society organizations, pro- and anti-mining
residents) in the areas where MacroAsia and INC are currently operating. Other potential
conflicts between local stakeholders and mining companies intending or applying to operate
within and outside the study sites are not included in this paper.

         Since mining conflict is both social and legal in nature, the study gave particular
attention to the perceptions of key stakeholders (pro- and anti-mining), as well as the review and
analysis of the legal precepts correlative to the issue.


Background

Location & Biophysical Profile of Brooke’s Point

       The Municipality of Brooke’s Point is situated in the southeastern portion of mainland
Palawan at a latitude of 8°47’ and longitude of 117°49’. It is bordered by the municipalities of
Sofronio Espanola to the north; Bataraza, south; Rizal, west; and Sulu Sea to the east. (Please see
map below.) It is located approximately 192 kilometers away from the City of Puerto Princesa, a
four-hour ride by passenger vehicle.
7
                       Table 1: 2005 CBMS Census and Survey of Brooke’s Point
         Barangay                            Households                          Population
           Amas                                 495                                2,081
        Aribungos                               857                                4,322
      Barong-Barong                             642                                3,282
       Calasaguen                               419                                2,088
          Imulnod                               464                                1,915
           Ipilan                               989                                4,789
          Maasin                                587                                2,780
           Mainit                               537                                2,569
            Malis                               482                                2,159
        Mambalot                                456                                2,297
       Oring-Oring                              311                                1,583
        Pangobilian                            1,362                               6,918
        Poblacion 1                             947                                4,672
        Poblacion 2                             620                                2,887
          Salogon                               635                                3,130
        Samarinana                              551                                2,598
           Saraza                               662                                3,321
           Tubtub                               292                                1,418
          TOTAL                                11,308                              54,807


Based on the 2005 Census and Survey, the population of Brooke’s Point is 54,807, or 11,308
households, with a population density of 69 per square meter. This represents an increase of 20%
compared to 57.5 in the year 2000. Of the total population, 29.11% or 15,956 (3,950 households)
live in the six mining communities of Calasaquen, Ipilan, Mambalot, Maasin, Barong-Barong
and Aribungos (see Table 1). The total population of Brooke’s Point is projected to reach 58,457
by the end of 2010, computed based on the population figure of 1995.3
        The topography of Brooke’s Point is generally hilly. Of the 85,064.90 hectares total land
area, 63.67% has a slope of 18% and above, and the remaining areas have a slope ranging from
0-18%. The six mining barangays constitute around 44.04% or 37,467.50 hectares of the total
land area of the municipality (see Table 2).
        Based on the Municipal Comprehensive Land Use Plan (2000-2010)4 of the municipality,
27,949.67 hectares (or 92.98% of the manipulative/multiple use land) are devoted to agricultural
purposes and are being utilized for production of major crops. This figure comprises around
32.86% of the municipality’s total land area. However, the 2006 Socio-Economic Profile of the
municipality shows a different figure, with only 17.87% or 15,205.21 hectares devoted to
agricultural production.5



3
  CLUP of Brooke’s Point as cited in the Socio-Economic Profile, Conservation International, Aug. 2007.
4
  CLUP, General Land use, page 161
5
  Socio-Economic Profile CY 2006, Municipality of Brooke’s Point.
8
                               Table 2: Land Area Per Barangay
                                                      LAND AREA
           BARANGAYS                    (HAS.)                      (SQ.KM.)
URBAN                                   254.60                         2.55
       POBLACION 1                      56.20                          0.56
       POBLACION 2                      198.40                         1.98
RURAL                                 84,810.30                      848.10
       AMAS                            6,573.10                       65.73
       ARIBUNGOS                       8,624.90                       86.25
       BARONG-BARONG                   1,400.80                       14.01
       CALASAGUEN                     12,121.10                      121.21
       IMULNOD                         6,817.40                       68.17
       IPILAN                          1,157.10                       11.57
       MAASIN                          6,319.40                       63.19
       MAINIT                          9,292.30                       92.92
       MALIS                           4,563.30                       45.63
       MAMBALOT                        7,844.20                       78.44
       ORING-ORING                     1,456.60                       14.57
       PANGOBILIAN                     2,213.90                       22.14
       SALOGON                         7,259.30                       72.59
       SAMARINANA                      4,666.30                       46.66
       SARAZA                          3,941.80                       39.42
       TUBTUB                           558.80                         5.59
TOTAL                                 85,064.90                      850.65



        The CLUP further states that of the 27,949.67 hectares of agricultural land, around
20,546.25 hectares or 73.5% are considered to be “prime agricultural land” and therefore, part of
the Network of Protected Agricultural Areas (NPAAs). These areas are considered as “restricted
for conversion into non-agricultural uses” under Republic Act 8435, otherwise known as the
Agriculture and Fishery Modernization Act (AFMA). In 2006 alone, around 3,873.45 hectares of
rice fields yielded a harvest totaling 13, 313.36 metric tons, or an average production of 2.92
metric tons per hectare.6



6
    ibid
9
         Figure 1 below shows that the municipality is classified into different land uses as
follows: Core Zone/Protected Use Forest Land, Buffer Zones (Restricted Use and Controlled
Use), Traditional Use Land, Manipulative/Multiple Use Land and Swamps/Mangroves.


                        Figure 1: Existing General Land Uses of Brooke’s Point




                                           sw am ps
                                              1% Core Zone
                                                    12%                                 Core Zone
                                    Multiple Use                                        Restricted Use
                                        36%           Restricted Use
                                                                                        Controlled Use
                                                           22%
                                                                                        Traditional Use
                                                                                        Multiple Use
                                    Traditional Use   Controlled Use
                                                                                        sw amps
                                          19%              10%




       These different zones are utilized and managed according to the Environmentally Critical
Areas Network (ECAN) strategy, a graded system of protection and development control over
the whole of Palawan. The definition of and management schemes prescribed for the different
ECAN zones, as stated in Section 9 of Republic Act No. 7611 or the Strategic Environmental
Plan (SEP) for Palawan Act are summarized below:7


 Terrestrial Zones                   Characteristics                               Management
CORE ZONES                Included here are all types of               This zone shall be fully and strictly
                          natural forest, which include first          protected and maintained free of
                          growth forest, residual forest and           human disruption. Exceptions,
                          edges of intact forest, areas above          however, may be granted to
                          one thousand (1,000) meters                  traditional     uses     of    tribal
                          elevation, peaks of mountains or             communities of these areas for
                          other areas with very steep                  minimal and soft impact gathering
                          gradients, and endangered habitats           of forest species for ceremonial and
                          and habitats of endangered and               medicinal purposes.
                          rare species


7
 Atty. Grizelda Mayo-Anda, etal “The Costs and Benefits of Three Decades of Mining in Rio Tuba, Bataraza,
Palawan, 2005, citing RA 7611.
10
BUFFER ZONES
(i) Restricted Use Generally surrounds the core zone Limited and non-consumptive
Area                and provides a protective barrier. activities may be allowed in this
                                                       area
                    Encircles and provides the outer Controlled forest extraction, like the
(ii) Controlled Use barrier to the core and restricted collecting of minor forest products,
Area                use area                           and strictly controlled logging and
                                                       mining may be allowed.
                      Edges of intact forests where Management and control shall be
                      traditional land use is already carried out with the other
(iii) Traditional Use
                      stabilized                      supporting programs of the SEP
Area

MULTIPLE USE               This is the area where the                 Control and management shall be
                           landscape has been modified for            strictly integrated with the other
                           different forms of land use such as        supporting programs of the SEP and
                           intensive     timber     extraction,       other similar programs of the
                           grazing and pastures, agriculture          Government.
                           and infrastructures development

Under the law, the Palawan Council for Sustainable Development (PCSD) is mandated to
implement the ECAN strategy.


Mineral Endowments
       Of the total applications for mining in Southern Palawan (see Status of Mining Claims
attached as Annex A), more than 90% are targeting nickeliferous laterite, which is believed to be
a “residually enriched deposit that is usually found in tropical and subtropical regions” like
Palawan.8
        According to the geological study made by Dr. Jose Almasco,9 the “ultramafic complex
and associated volcanic rocks of the Mantalingahan-Pulot Range is part of the greater ophiolite
belt of Palawan that is known to extend from Central Palawan and across the strait to North
Borneo.” The study further claimed that the “Palawan ophiolite belt is believed to be coeval
(contemporary) with other known ophiolite occurrences in the Philippines, which are hosts to
significant nickel laterite deposits.”
       Based on the extensive test pitting conducted by Sarabat Mineral Philippines, Inc., a
subsidiary company of Mighty Beaut Minerals, Inc., and the metallurgical test work performed
by Sheritt International Consultants, Incorporated in 1997, the 2,835.06-hectare property of
CNMEC (also referred to as “Celestial property”) has an estimated resource of approximately
“77 million tones with a nickel grade of 1.25% and a cobalt grade of 0.10%.”10


8
  Dr. Jose Almasco, Environmental Work Program, CNMEC, 1997
9
  ibid
10
   Executive Summary, Pre-Feasibility Study, H.A. Simons Ltd., 1999
11
        London-based Toledo Mining Corporation (TMC), which holds majority interest in the
Celestial Nickel Project (CNP) and its affiliates, has stated that it has “defined 60 million tons of
mineralization over a small footprint and it is expected that a similar tonnage of nickel laterite
mineralization occurs in the MacroAsia property.”11 TMC co-owns the CNP in Brooke’s Point,
Palawan with Celestial Nickel Mining and Exploration Corporation (CNMEC or Celestial),
holder of MPSA-017-93-IV, which covers an area of 2,835.06 hectares.

       What is nickel?

       Nickel, with a symbol of Ni, is a silvery shiny, metallic
       element with an atomic number of 28. It can be hammered
       into thin sheets, which means it is malleable. Nickel, iron and
       cobalt are the only elements known to be ferro-magnetic. Of
       the three, nickel is the least magnetic. When all three ferro-
       magnetic metals are alloyed together, an unusually strong
       magnet is created. This alloy conducts heat and electricity
       fairly well, but is not as good a conductor as pure silver or
       copper.

       Vital as an alloying constituent of stainless steel, Nickel plays a key role in the chemical and
       aerospace industries.

       It is estimated that there is about 140 million tons of nickel available in identified deposits.
       Eighty-four million tons or 60% of the total available nickel is in laterite deposits. A deposit
       in which rain and surface water leached nickel-rich rock and concentrated the nickel at or
       near surface of the Earth is a laterite deposit. Nickel sulfide deposits contain the remaining
       forty percent (56 million tons).

       Leading producers of nickel include Australia, Canada, Norway, and Russia. Large reserves
       are found in Australia, Cuba, New Caledonia, Canada, Indonesia, the Philippines, and
       Russia.




Mining Claims and Applications
       Aside from the Mineral Production Sharing Agreement (MPSA) areas of MacroAsia and
INC, which have an aggregate area of more or less 4,000 hectares, the municipality of Brooke’s
Point has approximately 33 mining claims/applications in the nature of exploration permits,
small-scale permits and MPSAs. These mining claims and applications cover around 117,831.30
hectares of forestlands - almost the size of the entire Proposed Mantalingahan Range Protected
Landscape, which encompasses five municipalities (see Table 3).




11
     Zinnia B. Dela Peña, Philippine Star, September 6, 2007
12
                Table 3: LIST OF APPLICATIONS FOR MPSA AND EXPLORATION PERMITS12
                                         Brooke’s Point, Palawan
                                            As of August 2007

                                                                              Date of
No.    Proponent                 Type          Area          Location         Application   MineralType
  1    Blueridge Min. Corp       AMA- 3           2,655.00   Brooke's Point    11/19/1995   Nickel
  2    MacroAsia                 MPSA-220         1,113.98   Brooke's Point     12/1/1995   Nickel
  3    MacroAsia                 MPSA-221           410.00   Brooke's Point     12/1/1995   Nickel
  4    Celestial                 MPSA-93          2,895.06   Brooke's Point     9/18/1993   Nickel
  5    Celestial                 EPA-33           3,000.00   Brooke's Point     9/22/1997   nickel., cobalt
  6    Lebach                    AMA-74           5,427.00   Brooke's Point     9/11/1997   nickel. Chromite
  7    Celestial                 AMA-61           4,040.44   Brooke's Point    11/28/1995   nickel, cobalt, andesite
  8    Celestial                 AMA-87           2,164.95   Brooke's Point     9/30/1997   nickel, cobalt
                                 PMPSA-
  9    PL Goodman Mining         217              7,938.00   Brooke's Point    7/5/1995     andesite, basalt
 10    Mt. Peak Mining           AMA-4            5,427.00   Brooke's Point   12/18/1995    Nickel
 11    Galactica                 AMA-5            6,718.00   Brooke's Point   12/18/1995    Nickel
 12    Giporlos Mining           PMPSA-3            891.00   Brooke's Point    6/17/1991    nickel, chromite
       Newton Const. & Mrkt.     PMPSA-
 13    Corp                      15               5,000.00   Brooke's Point    4/13/1992    Nickel
       Silvermountain
 14    Exploration               EPA-29           7,375.76   Brooke's Point    9/16/1997    nickel, cobalt
 15    RT Minerals               EPA-99              24.00   Brooke's Point    9/26/2006    Nickel
                                                                                            nickel, chromite, cobalt,
 16    Gandara                   EPA-110          2,163.00   Brooke's Point   10/27/2006    iron
       Pacific Heights Min.
 17    Res.                      EPA-114          5,896.00   Brooke's Point   11/28/2006    nickel, chromite
 18    Peregrino Min. Res.       EPA-121          3,564.00   Brooke's Point    12/6/2006    Nickel
       Newminco Pacific
 19    Mining                    EPA-124          9,631.00   Brooke's Point   12/14/2006    Nickel
 20    Shuley Mines              EPA-127          4,393.02   Brooke's Point   12/22/2005    nickel, chromite
 21    Palawan Res. Island       EPA-131          2,460.00   Brooke's Point   12/29/2006    nickel, chromite
 22    Peregrino Min. Res.       EPA-132          3,379.30   Brooke's Point    1/11/2007    nickel, chromite
 23    Peregrino Min. Res.       EPA-143          4,262.00   Brooke's Point    2/23/2007    nickel, chromite
       Pacific Heights Min.
 24    Res.                      EPA-145          1,004.00   Brooke's Point    2/27/2007    nickel, chromite
 25    APC Mining Corp           EPA-170          2,787.41   Brooke's Point    4/25/2007    nickel, chromite
       Amalgamated Iron
 26    Works                     EPA-173          3,309.00   Brooke's Point    4/30/2007    nickel, chromite
 27    APC Mining Corp           EPA-174          2,659.19   Brooke's Point    4/30/2007    nickel, chromite
 28    San Manuel Mining         EPA-182          1,690.63   Brooke's Point    5/22/2007    nickel, chromite
 29    Alcorn Gold Resources     EPA-196          4,225.61   Brooke's Point    5/14/2007    nickel, chromite
 30    Baegil Resources          EPA-203          4,779.00   Brooke's Point    6/21/2007    nickel, chromite
 31    Primo Manlasing           EPA-210          1,215.00   Brooke's Point    7/3/2007     nickeliferous, chromite
       Artigiano Mineral
 32    Resources                 EPA-215          1,951.00   Brooke's Point    7/16/2007    nickel, chromite
       Philippine Great
 33    Mineral Corp              EPA-227         3,381.95    Brooke's Point    8/6/2007     nickel, chromite
                                 TOTAL:         117,831.30

      12
           DENR-Mines and Geosciences Bureau
13

The Proposed Protected Landscape13
       The South Palawan Planning Council (SPPC), composed of the municipalities of
Sofronio Espanola, Quezon, Bataraza, Rizal and Brooke’s Point, is currently working for the
declaration of the 120,457-hectare Mt. Mantalingahan Range as a “Protected Landscape,” under
the framework of the National Integrated Protected Areas System (NIPAS) and the SEP Law.
The council was created by virtue of Executive Order No. 24, series of 2001, issued by Gov. Joel
T. Reyes. The municipality of Brooke’s Point is a member of the SPPC. Thirteen (13) of its
barangays are covered by the proposed Protected Landscape, including the barangays of
Calasaguen, Maasin, Ipilan, Mambalot and Aribungos14.

       The Mantalingahan Range, the highest mountain in the province with an elevation of
2,086 meters, is considered “very high” in terms of biodiversity due to its “varied habitats,” and
has been identified as one of the eleven Important Bird Areas (IBAs) in Palawan.15


        In March 2006, the Provincial Protected Area Suitability Assessment (PASA) team was
formed to “determine the suitability or non-suitability of Mt. Mantalingahan as a protected area
under any of the categories under the NIPAS.”16 After several months of consultations, surveys
and studies, the PASA team concluded that Mt. Mantalingahan is highly suitable for integration
to the NIPAS for the following reasons:

•        Mt. Mantalingahan is a biodiversity rich area which is ecologically important because of
         the variety of habitats and the presence of rare and endangered wildlife species;
•        The state of naturalness of Mt. Mantalingahan is observed where approximately 74% of
         the total area is old growth forest;
•        Mt. Mantalingahan is the main source of 45 rivers which drain the Mantalingahan range;
•        Mt. Mantalingahan’s economic importance is exhibited by its existing and
         potential contribution to the economic well-being of the local communities;
•        Mt. Mantalingahan is socially important due to its heritage, historical, cultural,
         traditional, aesthetic, educational, and recreational qualities;
•        The site has potential for ecotourism and recreational services;
•        Mt Mantalingahan is scientifically important as a site for research, education and
         monitoring;
•        The site’s social and political acceptability as a research location, the extent of
         community support, accessibility with existing uses and management practices and ease
13
   A protected landscape is defined as an area with coast and sea, as appropriate, where the interaction of people and
nature over time has produced an area with significant aesthetic, ecological and/or cultural value and often with high
biological diversity. Safeguarding the integrity of this traditional interaction is vital to the protection, maintenance
and evolution of such an area. (WCPA, 2003)
14
   Documentation of Gazettement Process 2005-2007, CI
15
   Creating a New Protected Area for the Mantalingahan Range Forest, Palawan: Floral Survey, CI, citing Dr. Perry
Ong, et al. 2002
16
   Special Order of DENR-PENRO Raymundo Crisostomo dated March 20, 2006, Documentation of Gazettement
Process, CI
14
           of management are all indications of practicality and feasibility for the area to be
           protected.


        The proposed protected area practically covers all areas identified as core and restricted
use zones and portions of controlled use and traditional use zones (see Figure 2 below) under the
ECAN guidelines. These different zones will be managed according to the Protected Area
Management Plan (PAMP), which shall be developed and implemented by the different
stakeholders after the issuance of a Presidential Proclamation establishing the protected area. Its
implementation will also be guided by the implementing rules and regulations of various
environmental laws and policies, including the Local Government Code and Indigenous Peoples’
Rights Act (IPRA).


 Figure 2: Map of the Proposed Mantalingahan Range Protected Landscape (Brooke’s Point Area)




       Of the 120,457 hectares being proposed as protected area, approximately 32,262.15
hectares or 26.78 % are located in the municipality of Brooke’s Point.17


       A study commissioned by CI-Philippines revealed that several endangered species listed
by IUCN (The World Conservation Union) are found around Mt. Mantalingahan Range. The
study concluded that there is a high floral diversity and endemism in some parts of the Range,
which bolsters the need to, among other reasons, declare Mt. Mantalingahan as a Protected
Landscape. In 2004, the same group released a faunal study on Key Biodiversity Areas (KBAs)


17
     GIS Map of Proposed Mt. Mantalingan Protected landscape, Conservation International
15
in mainland Palawan, which showed that Mt. Mantalingahan has two critically endangered
species, three endangered species, 13 vulnerable species and 20 endemic species.
       CI is assisting the SPPC in the establishment of Mt. Mantalingahan as a protected area to
help facilitate the conservation of highly important habitats and wildlife in the Range’s critical
zones.


Parties to the Conflict

       The parties involved in the mining conflict consist of the local government units
(municipal and barangay levels), national government agencies (DENR, PCSD), NGOs, people’s
organizations/federations, church groups, and the mining companies.
       The background, mandates, roles and compositions of each of the concerned parties, as
well as their respective positions and interests with regard to the mining issue are discussed
below.


Local Government Units of Brooke’s Point (Municipal and Barangay)


       The LGU derives its mandates from the Local Government Code (LGC) of 1991 in the
performance of its official duties and functions. Section 15 of the Local Government Code of
1991 (Republic Act No. 7160) states that:
           “Every local government unit created or recognized under this Code is a body
           politic and corporate endowed with powers to be exercised by it in conformity
           with law. As such, it shall exercise powers as a political subdivision of the
           National Government and as a corporate entity representing the inhabitants of its
           territory.”


        The Code further declares that the Local Government Units shall “enjoy genuine and
meaningful local autonomy” and mandates the State to “ensure the accountabilities of local
government units” in the performance of its official duties and functions.18 Nolledo (1992)
pointed out that the foregoing provision is an implementation of the provision in Article XI,
section 1 of the 1987 Constitution that:
           “Public office is a public trust. Public officers and employees must at all times be
           accountable to the people, serve them with utmost responsibility, integrity,
           loyalty, and efficiency, act with patriotism and justice, and lead modest lives.”




18
     Republic Act No. 7160, section 2.
16
        LGUs are also mandated by the Code to “share with the National Government the
responsibility in the management and maintenance of ecological balance within the territorial
jurisdiction, subject to the provisions of this Code and national policies.”19


       The municipal government of Brooke’s Point under the administration of Mayor Cesareo
Benedito, Jr. and former Vice Mayor Danilo Chan endorsed the exploration activities of INC and
MacroAsia.


PCSD


           The PCSD was created by the SEP Law. Section 16 of the Law states:

           “SEC. 16 Palawan Council for Sustainable Development. - The governance,
           implementation and policy direction of the Strategic Environmental Plan shall be
           exercised by the herein created Palawan Council for Sustainable Development
           (PCSD), hereinafter referred to as the Council, which shall be under the Office of
           the President. It shall be composed of the Members of the House of the
           Representatives representing the province of Palawan, the Deputy Director
           General of the National Economic and Development Authority, the
           Undersecretary of Environment and Natural Resources, the Undersecretary for
           Special Concerns of the Department of Agriculture, the Governor of Palawan, the
           Mayor of Puerto Princesa City, the President of the Mayor's League of Palawan,
           the President of the Provincial Chapter of the Liga ng mga Barangay, the
           Executive Director of the Palawan council for Sustainable Development Staff as
           provided in Section 20 of this Act, and such other members from the public or
           private sectors as the majority of the council may deem necessary.”

        The PCSD exercises the following powers and functions:, as defined in Section 19 of this
law, to wit:

            (1) Formulate plans and policies as may be necessary to carry out the provisions
           of this Act.

           (2) Coordinate with the local governments to ensure that the latter's plans,
           programs and projects are aligned with the plans, programs and policies of the
           SEP.

           (3) Call on any department, bureau, office, agency or instrumentality of the
           Government, and on private entities and organizations for cooperation and
           assistance in the performance of its functions.



19
     See Chapter 1, Section 3 (i) of RA 7160
17
        (4) Arrange, negotiate for, accept donations, grants, gifts, loans, and other
        fundings from domestic and foreign sources to carry out the activities and
        purposes of the SEP.

        (5) Recommend to the Congress of the Philippines such matters that may require
        legislation in support of the objectives of the SEP.

        (6) Delegate any or all of its powers and functions to its support staff, as
        hereinafter provided, except those which by provisions of law cannot be
        delegated;

        (7) Establish policies and guidelines for employment on the basis of merit,
        technical competence and moral character and prescribe a compensation and
        staffing pattern;

        (8) Adopt, amend and rescind such rules and regulations and impose penalties
        therefore for the effective implementation of the SEP and the other provisions of
        this Act.

        (9) Enforce the provisions of this Act and other existing laws. Rules and
        regulations similar to or complementary with this Act;

        (10) Perform related functions which shall promote the development,
        conservation, management, protection, and utilization of the natural resources of
        Palawan; and

        (11) Perform such other powers and functions as may be necessary in carrying out
        its functions, powers, and the provisions of this Act.20

        As a policy-making body, PCSD is guided by the principle of sustainable development,
which is defined as “the improvement in the quality of life of its people in the present and future
generations through the use of complementary activities of development and conservation that
protect life-support ecosystem and rehabilitate exploited areas to allow upcoming generations to
sustain development growth.”21


        Under PCSD Administrative Order No. 6 series of 2000, permits, licenses or similar
instruments must have prior clearance from PCSD.22 The SEP Clearance is, therefore, a pre-
requisite to any development project or program in the province.


20
   Republic Act 7611, section 19.
21
   Id. at section 5.
22
   Section 11. Issuance of Clearance by the PCSD. Subject to the final review of the PCSD, the recommendation
of the PCSDS may be affirmed or controverted. In any case, the PCSD through its Chairman shall issue either of the
following form of clearance depending upon the type of project: (1) an authorization for the DENR to proceed with
the processing of the ECC, processing of the certificate of non-coverage, permits, licenses, lease agreements and
other similar instruments being issued by DENR; (2) a letter of accreditation and prior informed consent
18
         The PCSD issued SEP Clearances to MacroAsia and INC for their mining exploration
activities.


DENR


       The DENR was created by Executive Order No. 192 issued on June 10, 1987. The order
provided for the reorganization of Department of Environment, Energy and Natural Resources
and renamed it as the DENR.
         The Department is mandated to be “the primary agency responsible for the conservation,
management, development, and proper use of the country’s environment and natural resources.”
It has the following objectives:
    (1) Assure the availability and sustainability of the country's natural resources through
    judicious use and systematic restoration or replacement, whenever possible;
    (2) Increase the productivity of natural resources in order to meet the demands for forest,
    mineral, and land resources of a growing population;
    (3) Enhance the contribution of natural resources for achieving national economic and social
    development;
    (4) Promote equitable access to natural resources by the different sectors of the population;
    and
    (5)Conserve specific terrestrial and marine areas representative of the Philippine natural and
    cultural heritage for present and future generations.

       The Department issued the MPSAs of MacroAsia and INC and approved their respective
exploration permits.




certification; or (3) letter of denial. The authorization together with the evaluation reports shall be submitted to the
DENR (through the PENRO) as bases for the latter´s subsequent processing of the aforementioned issuances. On the
other hand, the accreditation and prior informed consent certificate shall be given to the proponent. If the project is
denied, a letter of denial shall be sent to the proponent informing him of the reason for denial. The proponent may
submit to PCSD a written appeal for reconsideration. If the appeal in reversed, the PCSD shall issue either the
aforementioned authorization or letter of accreditation and prior informed consent. The decision of the PCSD on
appeal shall be considered final and executory.

Section 12. Issuance of Permit, Licenses, ECC´s, Lease Agreements, and Other Similar Instruments. Upon
receipt of the authorization issued by the PCSD, the DENR shall either proceed with the processing of the ECC,
issue a certification of non-coverage, permit, license, lease agreements or other similar instruments depending upon
the instrument being secured by the proponent.
19
The Municipal ECAN Board


       The Municipal ECAN Board was created through Municipal Resolution No. 26, series of
1996, in compliance of Section 37, Chapter II, Title 3 of the Revised ECAN Guidelines of the
PCSD.
       The Board is a multi-sectoral policy-making, implementing and coordinating body of the
municipality, intended to promote the management of the environment and natural resources
under the SEP and other pertinent laws and guidelines.


        Among its key functions are the following: (1) facilitate the local implementation of
PCSD Resolutions and Administrative Orders related to the implementation of ECAN
Guidelines and other pertinent rules, regulations and issuances, (2) initiate the passage of
resolutions, municipal/barangay ordinances and regulatory measures to implement ECAN and
enforce the ECAN Zoning Plan, (3) review proposed and existing projects in the light of ECAN
targets and objectives, (4) harness the participation of line agencies, NGOs and the communities
towards the attainment of ECAN objectives, and enhance the capability of environmental bodies
and related offices, among others.23


       On July 11, 2007, the Local Chief Executive issued Executive Order No. 07, Series of
2007, reorganizing the ECAN Board and delegating the chairmanship to the Municipal Vice
Mayor.


       The current ECAN Board under the chairmanship of the Vice Mayor is calling for a “10-
year moratorium on mining”24 in Brooke’s Point. The leadership of the Board believes that the
mining industry should first prove whether “responsible mining” is indeed an attainable
proposition.


Mining Companies


MacroAsia Corporation

       MacroAsia was incorporated in the Philippines on February 16, 1970, originally under
the name Infanta Mineral & Industrial Corporation, to engage in the business of geological
exploration and development. As a mining firm, it had actually mined its leased areas in
Brooke’s Point in the 1970’s. The corporation amended its Articles of Incorporation on two
occasions. In January 1994, an amendment was made to change its primary purpose from
geological exploration and development to engaging in the business of a holding company, and

23
  See Resolution No. 26 series of 1996
24
  The Chair of the ECAN Board is the Municipal Vice Mayor, Atty. Mary Jean Feliciano, who ran on anti-mining
agenda and is proposing a moratorium on mining in Brooke’s Point.
20
to change its corporate name to Cobertson Holdings Corporation. In November 1995, another
amendment was done to change its corporate name to its present name.

        On March 28, 2006, MacroAsia received from the government a Mineral Production
Sharing Agreement (MPSA) covering 1,113.9836 hectares in Brooke’s Point, the same area that
used to be mined by Infanta in the 1970s.25 The company is currently undertaking exploration
activity in Barangays Ipilan, Mambalot and Maasin.26

        As of 2007, the company reported that it has already “collected a total of 3,348 meters of
drill core samples based on its core drilling and test pitting over an area of approximately 300
hectares.”27

CNMEC (now operated by INC)

       CNMEC is the holder of MPSA-017-93-IV, granted on August 5, 1993 and amended on
April 10, 2000. The MPSA covers an area of 2,835.06 hectares situated in Barangays Ipilan and
Maasin. It started its mining exploration in 1993.

        The CNMEC nickel laterite property is now currently being operated by INC, a company
partly owned by London-based Toledo Mining Corporation (TMC). INC was incorporated and
registered with the Securities and Exchange Commission (SEC) on July 22, 2005 and its
principal activity is to explore, develop and mine the Celestial/Ipilan mineral properties.28
       TMC has entered into a memorandum of understanding with MacroAsia, to enable both
corporations to jointly “undertake studies that will cover possible collaboration in mine
development and on-site value-added processing”29 in the two properties.


Indigenous Peoples


Samahan ng mga Panglima (Panglima Assembly)


        The Panglima Assembly was organized sometime in 2005 when mining became a
prominent issue. The Assembly was originally composed of more than 40 Panglimas (traditional
leaders), but has since increased its membership to more than 70. Panglimas exist in 15 out of
the 18 barangays of Brooke’s Point.


       Membership in the Assembly is exclusive to indigenous Pala’wan leaders or elders who
have royal lineage according to their traditions. The Panglima is traditionally the recognized
25
   MacroAsia Corporation 2006 Annual Report.
26
   Based on the document provided by MacroAsia on the list of direct impact stakeholders in Brooke’s Point,
Palawan
27
   ibid
28
   http://www.minesite.com/companies/comp_single/company/toledo-mining-corp-plc.html
29
   ibid
21
leader of an IP community based on the socio-political system of the indigenous people.
Panglima Quirino Tanogan is the Pangarapan or the overall convenor of the Assembly.


        The Assembly is at the forefront in the fight against large-scale mining in the
municipality of Brooke’s Point and meets regularly to discuss issues and concerns confronting
the indigenous people of Brooke’s Point.


Brooke’s Point Federation of Tribal Councils (BROFETRICS)


       BROFETRICS is the federation of all tribal chieftains30 in the municipality and covers
around 18 groups. It was organized by the NCIP sometime in 2000. The Federation is actively
supporting the mining projects in the municipality and has been involved in the promotion of
mining among the indigenous peoples’ communities throughout the municipality. Ms. Renila
Dulay is the Chairperson of the federation and Mr. Juanito Lacubtan serves as the Adviser.


IP Communities


       Some IP communities within and around the mining impact areas are supportive of the
mining exploration, while others are against.


        The OIPAPI, an indigenous people’s organization based in Bgy. Aribungos, led the
indigenous Pala’wan in rejecting the mining exploration of MacroAsia in their areas. Majority of
the indigenous people in Aribungos voted “No” during the FPIC process.


        In Maasin, the Kabiagan Katutubo Lupaing Ninuno Association, Inc. (KKLNA) has been
actively opposing the mining operations of MacroAsia and INC. However, some of its members
have already been engaged in contractual work (manual labor) by the mining companies and
since then, have become inactive in anti-mining campaigns.
      Aside from Aribungos, all IP communities inside the mining impact zones of MacroAsia
and INC voted “Yes” in the FPIC process thus, endorsing the mining exploration.




30
   Tribal chieftains are usually appointed by NCIP and not necessarily according to the cultural traditions of the
concerned indigenous people. In the exercise of its political power over an IP community, the tribal chieftains are
actually performing and duplicating the traditionally held political functions of the panglima.
22
NGOs


Samahan Isinusulong ang Kaayusan ng Pamayanan (SIKAP)


       SIKAP is an organization of professionals and other concerned citizens of Brooke’s Point
organized sometime in 2005. It was formed primarily as an anti-corruption watchdog and its
advocacy was focused on corruption issues in the municipal government, such as the
involvement of some local officials in illegal logging activities. It is the convenor of the Alliance
on Good Governance, a loose coalition composed of NGOs, farmers’ organizations, indigenous
peoples’ organizations, church groups and other professionals, and advocating for transparency
and accountability in local governance.


         SIKAP stood against the controversial LGU endorsement of the proposed mining
activities of MacroAsia and INC and has been involved in several actions on anti-mining
advocacy.


SAMMI Foundation, Inc.


        SAMMI Foundation was organized in 1987 and registered with the SEC in January 1990.
Originally, it was composed of farmers from Mainit and Imulnod. In 2000, SAMMI became
actively engaged in the campaign against the establishment of the Hydrometallurgical Processing
Plant (HPP) in Rio Tuba, Bataraza, Palawan. It has been actively involved in the anti-mining
campaign in Brooke’s Point since the time of CNMEC’s exploration activity in Ipilan and
Maasin in the late 1990s. Its anti-mining advocacy was triggered by SAMMI’s campaign on the
protection of the children’s rights to a healthy ecology.


      Currently, SAMMI has more than 900 beneficiary families in eight (8) barangays of
Brooke’s Point for its “Tabod it Arap” (Spring of Hope) Project, a transformative development
program introduced by its partner, World Vision.


World Vision


        World Vision (WV) started its project in Brooke’s Point, Palawan in 1983. Its program
started with child care, and evolved into family care and, eventually, community development.


         As early as mid-1990s, WV and its partner-beneficiaries have been discussing the mining
issue. Mining has become part of the regular agenda of its children-beneficiaries during the
latter’s annual congresses. In 2002, WV intensified its anti-mining advocacy in Brooke’s Point
when Coral Bay Nickel Corporation started its HPP operation in Bataraza, Palawan. Its
23
campaign was undertaken together with Brooke’s Point Network of NGOs, Inc. (BPNNI), a
network of 23 NGOs, farmers’ organizations, indigenous groups and church groups, working to
promote participatory governance in Brooke’s Point.


Augustinian Missionaries of the Philippines (AMP)


         The AMP started its programs in Bgy. Bayog, Brooke’s Point in 1998 as part of the
immersion program of the Commission for Social and Special Concerns of the Vicariate of
Puerto Princesa. In 2003, it decided to operate independently of the Vicariate as a separate
congregation. In the same year, it implemented a new project among the indigenous Pala’wan
tribe in Sitio Boog in Bgy. Ipilan and Sto. Raang in Bgy. Aribungos.


       When MacroAsia started the process to secure an FPIC from the Pala’wan tribe for its
mining exploration in 2005, AMP stood against the mining project together with some
indigenous Pala’wan. Since then, AMP has been actively involved in the anti-mining campaign
in Brooke’s Point.


Irrigators’ Associations of Maasin-Calasaguen & Sabsaban (MCIA and SIA)


       The Maasin-Calasaguen and the Sabsaban Irrigators’ Associations were both organized in
the 1990s through the assistance of the National Irrigation Administration (NIA). The Maasin-
Calasaguen Irrigators’ Association (MCIA) was registered with the SEC on March 5, 1998.


         An MCIA Resolution31 states that the Communal Irrigation System of Maasin “supplies
irrigation water to four barangays of Calasaguen, Maasin, Mambalot and Ipilan comprising an
area of 1,016 hectares of rice lands owned and tilled by 360 farmers.” MCIA also claims that
180 farm families are directly benefiting from the irrigation system which produces around “80
cavans of palay per cropping season per hectare.”


       Both groups are opposing mining operations due to the perceived impact on watersheds
and agricultural lands.




31
     Board Resolution No. 04-5 series of 2005
24
Overview of the Mining Conflict

       Mining activities in Brooke’s Point started in the 1970s when Nippon Mining Company
of Japan (Nippon) and Infanta Mineral and Industrial Corporation (Infanta) undertook
exploration activities in Barangays Ipilan and Mambalot32


       Interviews reveal that the two mining companies engaged only in exploration activities
and did not proceed to large-scale mining operations. During those years, the two companies
were, in fact, extensively engaged in logging activities which resulted in the cutting down of
thousands of forest trees such as almaciga, ipil and other premium tree species. Based on the
conservative estimate of some IP informants, more or less 20 hectares of forestland or equivalent
to 5,000 trees were cut down in connection with the logging activities of Infanta.


        The IP informants claimed that the logging operations of Infanta caused the death of four
members of the Pala’wan tribe in two separate incidents. The first incident happened in the
1970s when three IP workers accidentally fell from a truck during logging operations, while the
other incident happened few months later, when a certain Laning Immek was hit by a moving
truck loaded with almaciga logs. According to the IPs, the management of Infanta only paid the
cost of burial expenses and nothing more. These incidents have left an indelible mark on the
consciousness of some IP residents and there is prevailing fear that similar incidents would result
from the current mining activities in the IPs’ ancestral domains.


         IPs also claimed that the exploration activities, particularly of Infanta, had caused the
siltation of the river (downstream) due to the erosion of loose soil materials from the test-pit and
auger-drilling sites, which have affected more or less 50 hectares of agricultural land. The
exploration activities of Nippon, on the other hand, had also caused the siltation particularly of
the Ipilan River, which the Pala’wan tribe called Ipilan Kală (big).


        To migrant farmers, however, the operations of Infanta and Nippon did not trigger
division between the companies and the local people. The two mining companies only operated
for a few years and no wide-scale tensions were reported during the brief stint of exploration and
logging activities, as far as key informants are concerned. However, it was reported that in 1975,
several communities around Maasin, Mambalot, Ipilan, Barong-Barong and Aribungos were
affected by a huge flood that hit just a few years after these two companies ceased their
exploration and logging operations.


       After a lull of more than two decades, the issue on mining re-emerged when CNMEC
began its mining exploration activities in Maasin, in the site formerly operated by Nippon. In
September 1993, CNMEC secured an MPSA from the National Government and subsequently

32
     Key informants interviewed during FGD/KI sessions between August 8-16, 2007
25
entered into a Joint Venture Agreement with Sarabat Minerals Philippines to “explore and
develop into commercial production the nickel laterite deposits identified as the Celestial
property” 33 in Brooke’s Point, Palawan. Its MPSA was amended on April 10, 2000.


         In the late 1990s and early 2000s, some groups under the umbrella of Palawan NGO
Network, Inc. (these include World Vision, SAMMI, ELAC), Restoration Foundation (RF),
Samahan sa Pangangalaga ng Kalikasan (SAPAKA), and some indigenous peoples’
organizations began to undertake protest and other advocacy actions against Celestial’s alleged
illegal exploration activities in Maasin.


        In October 1999, the residents of Barangays Calasaguen, Maasin, Mambalot and Ipilan,
Brooke’s Point signed a “petition expressing their concerns on the potential irreversible
environmental damages”34 that the mining activities and future refinery plant would cause to the
health, livelihood and environment of the surrounding barangays. Aside from pursuing its mining
operations, Celestial was proposing for the establishment of a processing plant which “will
produce briquette nickel and cobalt via sulfide precipitation and leaching, with specification-
grade ammonia sulfate as a by-product.”35


        In response, a multi-sectoral investigation was conducted in September 2000 to
investigate the complaint. The field monitoring and investigation led by PCSDS and ELAC came
up with several findings.36 Among these were the following: (1) all test pits seen were left open
making it hazardous/dangerous to human beings, animals and wildlife; (2) excavated materials
that were left on the surface could be subject to severe erosion that might be toxic to plants and
animals on the lower grounds; (3) previously mined out areas were left unrehabilitated subject to
severe degree of erosion; (4) traces of mineral elements were observed along tributaries and
waterways draining to the lowlands particularly on streams, rivers and ricefield areas; (5)
maintenance of the access road - particularly on providing necessary canals, stabilizing side cut
thru reducing slopes and rip rapping measures, and providing/adopting dense vegetative cover to
control erosion - were poorly undertaken; (6) large-scale cutting of standing trees sawn into
lumber, some of which were premium or banned species within the mine-claim area, were
observed; (7) the Environmental Work Program as submitted is inadequate and incomplete to
mitigate foreseen environmental impacts due to mineral exploration at the higher ground,
particularly on the watershed/drainage area of a medium scale irrigation system; and (8) the
company failed on their social obligation to provide the correct and necessary information to the
host and neighboring communities.
        The investigation team recommended the following: (1) that the mining company
(Celestial) secure a PCSD clearance for its exploration project, as required by Republic Act No.

33
   Executive Summary, Palawan Nickel Projecy-U309A, Pre-Feasibility Study of Mighty Beaut Minerals, Inc.
34
   Investigation of the Impacts of Celestial’s Exploration Activities in Brooke’s Point, ELAC-Scientific Advisory
Team (SAT), 2000.
35
   News Release, October 12, 2000, Mighty Beaut Minerals, Inc. (www.mightybeaut.com)
36
   Intra-Office Memo of Engr. Leo Eusev Palao to PCSDS Executive Director Atty. Joselito Alisuag dated 02
October 2000 containing the findings of the investigation.
26
7611; and (2) for the PCSD to pursue appropriate action/s against Celestial on, among others,
their non-compliance with the conditions set forth in their approved MPSA.


       As a result of the said investigation, the PCSD ordered the mining company to “stop all
exploration activities until such time that the above issues are resolved.”37


        In response, the mining company undertook some remedial measures to implement
necessary work programs in compliance with their Exploration and Environmental Work
Programs (EEWP). On March 22, 2001 and April 4, 2002, the mining company submitted copies
of its progress reports to ELAC and DENR-MGB Region IV, respectively. The reports
(accompanied with photos) contained the various activities such as fencing of test pits, tree
planting, and installation of additional warning signs that were undertaken by the company in
their project area.


        Since the alleged illegal exploration issue was not resolved, some residents of Brgy.
Maasin through the Pro-Life and Environment Friendly Association (Pro-Life) again wrote to the
concerned agencies (PCSD, DENR, Governor’s Office, ELAC) on May 4, 2004, complaining of
such illegal activities. The group claimed that Celestial was engaged in exploration activities
without the necessary exploration permit. Thus, on May 12, 2004, the DENR-Community
Environment and Natural Resources Office (CENRO) conducted its own investigation and found
out that the exploration/drilling activities undertaken by Celestial “is a clear violation of
[Republic Act No.] 7942 and the terms and conditions stipulated in the approved MPSA.”38 The
DENR-Provincial Environment and Natural Resources Office (PENRO) then forwarded the
result of the investigation to the DENR-MGB Regional Office for the latter’s action.


The Endorsements and the FPIC process


       Despite the various complaints and issues raised by concerned residents, particularly of
Ipilan and Maasin, prior to and after the said investigation, some Barangay LGUs41 in the
municipality of Brooke’s Point endorsed the mining exploration of Celestial.


        The informants recall that, in one of the dialogues between civil society groups and local
officials, the Local Chief Executive promised to “consult” the people on the issue of mining.
However, this was not done. They learned later that the endorsement for Celestial’s exploration
activity had been given by the Chief Executive without the consent of his constituents.



37
   Letter of PCSDS Executive Director Atty. Joselito Alisuag addressed to Mr. Denis C. Hernandez, President of
CNMEC dated 29 November 2000.
38
   Investigation Report of DENR-CENRO Brooke’s Point dated May 24, 2004
41
   Bgy. Resolution of Bgy. Ipilan obtained by ELAC
27
         On June 24, 2005, MacroAsia was able to secure a SEP Clearance from the PCSD for its
mineral exploration project in Ipilan, Mambalot and Maasin. Despite the opposition raised by
civil society groups, the PCSD pushed through with the issuance of the clearance. Two months
later, in August 2005, the company secured the FPIC of the concerned indigenous people within
the impact communities for its exploration activity.

        In late 2005, the Sangguniang Bayan of Brooke’s Point endorsed the mining exploration
of MacroAsia. The passage of the resolution was swift. Residents were totally oblivious of the
fact that an endorsement had been given, as no public consultations were undertaken.

        After the issuance of the said endorsement, civil society groups consisting of irrigators’
associations, indigenous groups, church groups, and professionals, undertook concerted actions,
such as the signing of petitions, and the holding of discussions-fora, dialogues and a rally, calling
for the revocation of the endorsement. When all of their initiatives and demands fell on deaf ears,
the anti-mining groups initiated a Petition for Recall against the Local Chief Executive.
Unfortunately, even as the Petition for Recall was signed by more or less 6,000 registered voters,
the initiative did not prosper as the Commission on Elections (COMELEC) failed to hold a
special election for the purpose.39


        On May 10, 2006, the provincial governor wrote a letter to DENR Secretary Angelo
Reyes complaining about the issuance of the MPSA to MacroAsia in the absence of an
endorsement from the Sangguniang Panlalawigan. In his letter, Governor Reyes claimed that
“no consultation and prior approval of the LGUs concerned were secured by the applicant
(MacroAsia), in blatant violation of Republic 7942 (Philippine Mining Act), Republic Act 7160
(Local Government Code), DENR Memorandum Order No. 2004-09, DENR Administrative
Order No. 2005-15, and Provincial Ordinance Nos. 682 and 918 re: Mandatory Consultation and
Project Endorsement Guidelines”40. The governor then requested the DENR to “immediately
effect the SUSPENSION, if not, CANCELLATION of the Mineral Production Sharing
Agreement (MPSA) of MacroAsia Corporation for violation of the pertinent laws, rules and
regulations and orders.”41


Elections as an arena of engagement

       Unsatisfied with the government’s responses to the said controversy, the anti-mining
groups saw an opportunity in the May 2007 elections to sustain their fight against mining. The
group led by SIKAP came up with a complete slate for the municipal LGU positions, with the
mining issue as one of its electoral agenda.

        The anti-mining candidates utilized their campaign sorties as a vehicle to expose mining
issues. The slate also came up with its own development agenda for the municipality. Although
the group competed with political veterans, they managed to win the vice mayoralty position in

39
   Interview with Nomelito Lagan & Vice Mayor Mary Jean Feliciano, leaders of SIKAP
40
    Letter of Hon. Governor Joel T. Reyes to DENR Sec. Angelo Reyes dated May 10, 2006.
41
   ibid
28
the person of Atty. Mary Jean Feliciano, a staunch anti-mining advocate and one of the leaders of
SIKAP.



Issues and Conflicts

        Based on the accounts of key informants42 and a thorough review of applicable laws,
policies and issuances, the following are the key conflict areas in this case:


Conflict between mining and the municipality’s Comprehensive Land Use Plan


        The Municipal Comprehensive Land Use Plan (CLUP) for 2000-2010 of Brooke’s Point
was adopted under Municipal Ordinance No. 04, series of 2001 and approved by the
Sangguniang Panlalawigan, through Resolution No. 4786, series of 2001. It identifies the
2,835.06-MPSA area of CNMEC in Barangays Maasin and Ipilan as part of the proposed
“Communal Forest” of the municipality. The CLUP mandates that “protection and production
forests which cover approximately 54,099 hectares or 63.60% of the municipal land area be
maintained”43 as such. In fact, the LGU of Brooke’s Point had already delineated more or less
5,000 hectares located in the buffer/controlled use zone as the proposed communal forest.


        The CLUP, likewise, did not identify mining as one of the municipality’s development
strategies, nor did it mention mining as one of the economic sectors. Rather, the CLUP focused
on forestry, marine and fisheries, agriculture, tourism, and commerce, trade and industry as its
key development sectors. In terms of industrial activities, the CLUP is geared towards
“processing of agriculture and fishery products.”44 It also emphasized that the “promotion and
support of agro-based, small- and medium-scale industries shall form the core of the municipal
industrial strategy.”45


       Therefore, as far as the CLUP is concerned, mining was never considered as a
development strategy, and that the municipality’s land and resource uses are largely devoted to
agro-forestry development, watershed protection and forest management.




Mining within ancestral domains

42
   Informants interviewed individually and through FGD between August-September,2007
43
   Proposed General Land Use, CLUP, pg. 160
44
   Development Strategies, CLUP, pg. 127
45
   Ibid
29


        The indigenous Pala’wan tribe has existing ancestral domain claims covering an
approximate area of 4,600 and 10,000 hectares in Barangays Maasin and Aribungos,
respectively. According to the key informants, the indigenous peoples have been utilizing their
lands, rivers, streams and forest areas for cultural and economic uses such as kaingin (slash and
burn farming), hunting of wild boar, and gathering of almaciga resin, wild fruits, and honey.
However, with the entry of mining companies in their ancestral domains, the traditional practices
of the indigenous people would definitely be affected. They further claimed that the “diwata” or
spirit may be driven away because of the disturbance resulting from the mining activity.
Customarily, Pala’wans believe that the spirit would curse them (“paneket”) if Mt. Gantong and
Mt. Kalinduan, which are believed to be sacred places (“panyaen”) are destroyed.


      Other members of the tribe, however, viewed the re-entry and future operations of the
mining companies as economically beneficial. They said it would help them in terms of
employment. They also claimed that the affected IP communities would directly benefit from the
1% royalty share of the gross revenue of the mining company.


        The IPRA Law provides that any activity or project implemented within an ancestral
domain should secure a Free and Prior Informed Consent (FPIC) from the concerned indigenous
peoples. The law emphasizes “consensus” as the operating principle in securing the FPIC of the
concerned indigenous people and further stresses that the process must be in accordance with
their own customary practices.

           Section 3(g) of the IPRA defines FPIC as:

           “Free and Prior Informed Consent - as used in this Act shall mean the
           consensus of all members of the ICCs/IPs to be determined in accordance with
           their respective customary laws and practices, free from any external
           manipulation, interference coercion, and obtained after fully disclosing the
           intent and scope of the activity, in a language and process understandable to the
           community” (emphasis supplied).

       However, while the mining companies were able to secure FPIC from the affected IP
communities, the process undertaken by the NCIP was not only inconsistent with the spirit of
“consensus,” it was also allegedly marred by bribery and manipulation. During the general
assembly of IPs in Sitio Linao, Ipilan, Brooke’s Point, on August 30, 2005, some IPs46
personally witnessed certain community leaders offering money to IP participants - including the
witnesses themselves. The offer was made in exchange for their “Yes” votes during the FPIC
assembly. According to them, the assembly was supposedly exclusive for the IPs of Aribungos
and Linao, Ipilan but some IPs from other barangays were also allowed to participate.



46
     Sworn Affidavits of Nolsita Siyang, Ingkal Lumnas, Dailan Mailan, Ulot Torina Basio Torina & Tarsan Torina
30
        It should be noted that some of the witnesses subsequently retracted their statements and
denied that there was bribery during the FPIC process. A few months later, one of them attested
that he was threatened in connection with the statements he made.


Conflict between mining and watersheds

       The LGU of Brooke’s Point has identified the forest areas of Barangays Maasin and
Aribungos as potential sources of water supply for the municipality. In Maasin, initiatives have
already been undertaken to delineate the watershed areas through the adoption of a Barangay
Resolution.47 The Mt. Gantong watershed, located in Barangay Aribungos, is also being utilized
as one of the major sources of water for domestic and agricultural purposes.


        While these areas have not yet been legally declared as “watershed areas,” the farmers of
Maasin, Calasaguen, Barong-Barong, Mambalot, Ipilan and Aribungos have been benefiting
from two Communal Irrigation Projects (CIPs) - the Maasin–Calasaguen Communal Irrigation
Project (servicing the irrigation needs of the farmers of Barangays Maasin and Calasaguen) and
the Sabsaban Communal Irrigation Project (which irrigates the farmlands of Barangays Ipilan,
Mambalot, Barong-Barong and part of Aribungos). These CIPs, together with three other CIPs
in the municipality, collectively irrigate more or less 3,000 hectares of rice fields. These rice
fields produce an average of 412,000 bags of palay, which at a conservative estimate are worth
approximately P165 million, annually. These irrigation projects cost approximately P200M48.


       Yet, despite the resolution submitted by the Maasin-Calasaguen Irrigators’ Association to
declare the source of irrigation as a “watershed area,” the proposal has not been acted upon by
the LGU and the DENR.


         Chapter VI, Article 67 of Presidential Decree 1067 or the Water Code of the Philippines
states that:
        “any watershed or any area of the land adjacent to any surface water or
        overlying any ground water may be declared by the Department of Natural
        Resources as a protected area”.


       These watershed areas are directly or indirectly facing imminent threat from the proposed
mining operations of MacroAsia and INC. The former has a mining claim which covers part of
the Mt. Gantong watershed, while the latter is currently operating adjacent to the proposed
watershed area of Maasin.



47
   The Bgy. Council of Maasin passed a Resolution delineating and declaring the forest of Maasin as a “watershed
area”. ELAC assisted in the delineation and survey of the proposed watershed area.
48
   Mr. Danilo Gonzales, Manager of BPRWSA, during a key informant interview on August 9, 2007
31
        However, the mining companies argue that they are currently operating outside the
watershed areas and their activities are still in the exploration stage. On several occasions 49
though, the mining companies would only explain in great detail the exploration activities and
tend to evade the issue on the impacts of mining during actual operations.


Questionable decision-making processes of LGUs


        The decision taken by key LGU officials of Brooke’s Point from barangay to municipal
levels endorsing the mining exploration activities of INC and MacroAsia have been strongly
criticized by some local stakeholders due to the absence of “public consultations.” Key
informants feel that the endorsements did not consider the general interest and welfare of the
majority of the constituents. They further believe that such hastily-made decisions have ignited
the conflict and contributed to further division among the local stakeholders. They also claim
that some important provisions of the Local Government Code were not followed. Among the
important provisions is Section 27, which states that:
           “Prior Consultations Required. - No project or program shall be implemented by
           government unless the consultations mentioned in Sections 2 (c) and 26 hereof are
           complied with, and prior approval of the sanggunian concerned is obtained:
           Provided, That occupants in areas where such projects are to be implemented
           shall not be evicted unless appropriate relocation sites have been provided, in
           accordance with the provisions of the Constitution”


        The key informants believe that the above-mentioned provision has not been observed by
the local officials when the said resolutions were passed. The informants added that the said
provision and other important provisions should have been the legislative prerequisite prior to
the said endorsements.


        Some barangay officials interviewed during the research have validated this claim.
According to them, the Resolution endorsing the exploration activity of MacroAsia was already
drafted, and further claimed that there were really no deliberations made by the council, or any
public hearings conducted..


        According to some key informants,50 the Sangguniang Bayan briskly passed the
Resolution of endorsement for MacroAsia in a single session without observing the regular
legislative process. What complicated the issue further was that, when the Resolution was
deliberated on the floor, the council’s Presiding Officer was the acting OIC for the Mayor.
       On the part of the Barangay Council of Aribungos, it withdrew its endorsement of
MacroAsia’s exploration activity partly as a result of pressure from several groups in Aribungos,
including OIPAPI, AMP and the irrigators’ association. The Punong Barangay of Aribungos also
49
     Multipartite Monitoring Team (MMT) meetings and public fora sponsored or attended by the mining company.
50
     SIKAP personalities
32
stood up against the position taken by the other five Punong Barangays and the Local Chief
Executive.

       Aside from the perception that some local officials have violated important provisions of
the Local Government Code, those opposing the exploration activities feel that they have been
betrayed by the Local Chief Executive when he defied his own public pronouncement that he
would “consult” his constituents particularly on Celestial’s exploration activity.

       These questionable endorsements were the very sources of conflicts among the local
stakeholders.


Mining within core and restricted use zones of ECAN

      The SEP Law adopted the ECAN as its main strategy. Programs and projects to be
implemented in the province of Palawan must be consistent with this framework. Therefore, the
PCSD shall approve or disapprove a particular project based on the following criteria:

       (1)     Ecological viability - The physical and biological cycles that maintain the
productivity of natural ecosystems must always be kept intact;

        (2)    Social acceptability - The people themselves, through participatory process,
should be fully committed to support sustainable development activities by fostering equity in
access to resources and the benefits derived from them; and

         (3)   Integrated approach - This allow for a holistic view of problems and issues
obtaining in the environment as well as opportunities for coordination and sharing that will
eventually provide the resources and political will to actually implement and sustain SEP
activities.

      Thus, in issuing a SEP Clearance, PCSD is mandated to implement Section 9 of the SEP
Law, which specifically states:

       SEC. 9. Terrestrial Component; Management Scheme and Zonation. — The
       terrestrial component may be further subdivided into smaller management
       components for a more efficient supervision. These management components,
       in turn, shall each be further subdivided into the following zones:

       1. Area of maximum protection or core zone — This zone shall be fully and
       strictly protected and maintained free of human disruption. Included here
       are all types of natural forest which include first growth forest, residual forest
       and edges of intact forest, areas above one thousand (1,000) meters elevation,
       peaks of mountains or other areas with very steep gradients, and endangered
       habitats and habitats of endangered and rare species. Exceptions, however, may
       be granted to traditional uses of tribal communities of these areas for minimal
       and soft impact gathering of forest species for ceremonial and medicinal
33
           purposes.

           2. Buffer zone — This area permits regulated use and may be further
           subdivided into three (3) sub-zones:

           a. Restricted use area. — Generally surrounds the core zone and provides a
           protective barrier. Limited and non consumptive activities may be allowed in
           this area;

           b. Controlled use area. — Encircles and provides the outer barrier to the core
           and restricted use areas. Controlled forest extraction, like the collecting of minor
           forest products, and strictly controlled logging and mining may be allowed; and,

           c. Traditional use area. — Edges of intact forests where traditional land use is
           already stabilized or is being stabilized. Management and control shall be
           carried out with the other supporting programs of the SEP.

           3. Multiple/manipulative use area. — This is the area where the landscape has
           been modified for different forms of land use such as intensive timber
           extraction, grazing and pastures, agriculture and infrastructure development.
           Control and management shall be strictly integrated with the other supporting
           programs of the SEP and other similar programs of the Government” (emphasis
           mine).

       However, both the mining claims of MacroAsia and INC are partly situated within core
and restricted use zones of Mantalingahan Range which are considered as “non-allowable areas”
based on the updated 2005 ECAN map of the municipality. The updated ECAN map was
adopted by the Sangguniang Bayan of Brooke’s Point in 2005.51 Despite this, the PCSD issued
SEP Clearances to the two companies in 2005. The PCSD has not given any justification for the
issuance.

       Moreover, most of the areas within and around Mantalingahan Range either have existing
mining claims, or are subject of applications for exploration and mining operation. Some
stakeholders believe that the re-entry of extractive industries in an area as ecologically important
as Mt. Mantalingahan is diametrically opposed to the primary objective of declaring the area as a
Protected Landscape.


Conflicting interests and perceptions of local stakeholders on mining


        There are divergent interests and perceptions among local stakeholders as far as the issue
on impacts and benefits of mining is concerned. Such contrasting and diverse interests constitute
one of the causes of conflict and tension among the concerned parties.


51
     See Municipal Resolution No. 2005-110
34
       Aside from the position taken by the Catholic Church52 on the mining issue, which is
anchored not only on environmental grounds, but also on the social and moral implications of
mining in the life of its flock and on the “integrity of Creation”, the civil society organizations in
Brooke’s Point generally anchor their opposition on the social, economic and environmental
implications of mining.

       They believe that mining should not be considered as a development option at all, as far
as Brooke’s Point is concerned. They claim that the municipality has other options for improving
the local economy and addressing poverty. The group asserts that the LGU should prioritize,
enhance and support the agricultural and tourism sectors because fishery and agricultural
resources are still abundant, and the eco-tourism business has potential.

        However, other sectors, groups and individuals have different views and strategies on
economic development and poverty alleviation. The pro-mining groups (such as BROFETRICS,
and some local officials) believe that mining is economically beneficial. They argue that given
the current state of the local economy and the living conditions of the people, mining is an
alternative because it would substantially contribute to the local coffers in the form of taxes and
socio-economic projects, especially in the impact communities. They say that the huge mineral
deposits beneath the mountains and forests should now be extracted and utilized while the
demand for nickel and other metallic minerals are still high in the international market.

        Among the tribal chieftains and their followers, the 1% royalty share of the indigenous
peoples as well as the socio-economic benefits (e.g., jobs, water pumps, scholarships, and
livelihood projects) given by mining companies are enough reasons for their continued support
to the mining industry.

        However, IP groups under the Panglima Assembly view these socio-economic projects
and contractual job offers to the locals as instruments of the mining companies to entice residents
to support the exploration activities. They observed that this approach sowed divisions among
the indigenous peoples.


Analysis and Recommendations


        The case study shows that concealment, undue haste and circumvention, especially on
matters involving public interest, make up a recipe for social conflicts. The exclusion of the
majority of the local stakeholders in the decision-making process, coupled with a widely
perceived circumvention of the rule of law, only strengthen the resolve of some constituents to
continually distrust their public officials. The perception of other stakeholders that there seemed
to be a manipulation of the process of endorsement only heightened the conflict and further
strained the relationship among local stakeholders.


52
  Statement of Concern issued by the Bishop, Clergy and the Association of Religious Women of the Apostolic
Vicariate of Puerto Princesa, 2007.
35
         While the tension is relatively manageable and the relationship among the different
stakeholders largely remains to be civil, the situation has the potential to escalate if the following
concerns, which can serve as “conflict flashpoints,”53 remain unattended: 1) the impact of mining
on watersheds and irrigation, the cultural and economic practices of the IPs, and forest and
agricultural sustainability; and 2) the perceived propensity of some government authorities to
favor mining companies (e.g., endorsement without public consultations), and the apparent lack
of transparency on the part of the mining companies to disclose important information to the
public, especially on the negative impact of their mining activities (information was largely
devoted to exploration activities), which only exacerbates the tension within the communities.
Although the mining companies have been conducting series of consultations and information
dissemination campaigns to inform the public on the extent of their projects, participants to these
activities are usually those who are in favor of mining.

       Aside from the above-stated factors, conflict is essentially induced by the divergent views
of the local stakeholders on mining. This disparity is anchored on economic benefits on one
hand, and environmental impacts on the other. The pro-mining groups and individuals believe
that mining is one of the alternative solutions to address the social and economic inequities such
as unemployment, low income and limited opportunities. Therefore, the extraction and utilization
of huge mineral deposits beneath the mountains and forests are necessary while there is a high
demand for nickel and other metallic minerals in the international market.

        On the other hand, the anti-mining groups believe that mining should not be considered
as an option at all for Brooke’s Point. They argue that the municipality is still rich and productive
in terms of fishery and agricultural resources. The group asserts that the agricultural and tourism
sectors should be prioritized, enhanced and supported by the local government unit of Brooke’s
Point in order to improve the local economy and uplift the living conditions of its constituents

        Based on the foregoing, this study recommends the following courses of actions to
prevent the escalation of conflicts and eventually pave the way towards the resolution of the
identified “conflict flashpoints”:

(1) Establishment of mutually acceptable and transparent mechanism/s and strengthening of
existing structures

        The conflicting parties, especially the LGUs and civil society organizations, should agree
on a functional mechanism that is mutually acceptable, inclusive and transparent to the public.
The rationale for instituting this mechanism is to facilitate the resolution of emerging issues and
grievances by purposively encouraging the participation of different stakeholders in the entire
process of conflict resolution. Existing bodies can be tapped for this purpose, such as the ECAN
Board which is mandated to oversee, monitor and make policy recommendations in relation to
the implementation of the SEP law and other environmental laws. Regular dialogues and
participatory, community-oriented forms of grievance mechanisms can be initiated within the
ECAN structure. Other existing administrative structures, such as the Municipal Development

53
  Michael Carson et al. of Woodrow Wilson School of Public and International Affairs, coins key issues that are
important determinants of conflict as “conflict flashpoints”
36
Council, Barangay Development Councils and Lupon ng Tagapamayapa can be strengthened and
utilized in resolving disputes.

        By installing an effective grievance procedure down to the community level, conflicts or
issues are immediately settled and/or clarified. The absence of a conflict resolution mechanism at
the community level, as this study showed, has contributed to the building up of a complicated
web of issues, which are sometimes, irrelevant to the main points of the controversy.

        Strengthening existing administrative structures, which are multisectoral and
multidisciplinary in nature, is necessary. Through the involvement of different sectors and key
players, issues or concerns are decided collectively rather than through the exclusive discretion
of the politically dominant structures of government (e.g. Sangguniang Bayan). Thus, decisions
can be collegial and there is greater probability that the processes involved (including the
structure itself and the issues to be resolved) are acceptable to all.

        However, this mechanism should not negate the mandated duties and responsibilities of
elected officials. Rather, it should democratize the decision-making process, especially on crucial
issues like mining.

        As Stephen Tyler54 suggests, there is a need “to sort out new mechanisms and institutions
to manage these conflicts and resolve them productively in the interests of both long-term
sustainability and short-term economic feasibility”. In the process of resolving conflicts
especially between LGUs and civil society organizations, a dialogical approach can be an
effective means. Through reflective dialogue,55 parties can consider the wider interests of
different stakeholders rather than just their respective positions. Through this approach, the
quality of conversation is transformed from discussion and debate to collective inquiry (Isaacs
1999), thus, effectively resolving the issue at hand. The prevailing suspicions and distrust are
objectively clarified and reflected on by both parties.


(2) Strict implementation of applicable laws, policies and ordinances

        One of the key factors that fueled the conflict is the failure to adhere to the provisions of
the applicable laws. Thus, government authorities especially the LGUs, DENR, PCSD and NCIP
should fairly and judiciously implement the relevant laws, policies and issuances, and perform its
official duties according to their respective institutional mandates. Several provisions of various
laws, such as, but not limited to, Sections 26 and 27 of the Local Government Code, Section 9 of
the SEP Law, Chapter VI, Article 67 of Presidential Decree 1067 or the Water Code of the
Philippines, Chapter II, Section 3 (g) of IPRA Law and Municipal Ordinance No. 04 series of



54
    Dr. Tyler is the founder of Adaptive Resource Management Ltd, an interdisciplinary consulting practice
specializing in community-oriented natural resource management and adaptation studies. From 1997-2005, he was
Team Leader for the Community-Based Natural Resource Management (CBNRM) program of the International
Development Research Centre.
55
   Isaacs (1999) uses the term “reflective dialogue” to refer to a process “where you become willing to think about
the rules underlying what you do- the reasons for your thoughts and actions...”
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN
THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN

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THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN

  • 1. THE MINING CONTROVERSY AND DYNAMICS OF CONFLICT IN BROOKE’S POINT, PALAWAN A case study prepared for the Ateneo School of Government by the Environmental Legal Assistance Center, Inc. Datu Abdelwin Sangkula Marlon Tamsi Edited by: Atty. Grizelda Mayo-Anda & Dante Dalabajan December 2007 With the Support of: United States Agency for International Development The Asia Foundation United Nations Development Programme
  • 2. 2 EXECUTIVE SUMMARY This case study was conducted by the Environmental Legal Assistance Center (ELAC) as part of the research component of the program on “Reforming Environment and Natural Resources (ENR) and Mining Governance: Managing Conflicts in Mining Areas” of the Ateneo School of Government, with the support of the U.S. Agency for International Development, The Asia Foundation, and the United Nations Development Programme. It is one of five case studies conducted in various mining sites around the country to determine the types and sources of mining-related conflicts and assess the needs in relation to conflict management. This study seeks to look into the conflict that arose as a result of the decision of the local government unit of the Municipality of Brooke’s Point, Province of Palawan to endorse the exploration projects of MacroAsia Corporation and Celestial Nickel Mining Exploration Corporation/Ipilan Nickel Corporation. It examines the varying positions and interests of key stakeholders with regard to the mining issue, the existing conflict-resolution mechanisms, if any, and the effectiveness of such mechanisms. It also seeks to determine the conflict resolution needs to guide stakeholders and other players in their future endeavors with regards to conflict management. The study makes a review of the mandated responsibilities of several concerned agencies to determine whether or not the performance of public officials are in accord with their duties and responsibilities. Since mining is all about resource and land use, in which several environmental laws serve as the overarching legal framework, a brief discussion of the applicable laws is made to clarify some legal ambiguities in relation to exploration activities of the two large-scale mining companies. To achieve the objectives of this study, the ELAC research team primarily utilized key informant interviews and focus group discussions in the data gathering process. The team also reviewed existing literature and secondary information, both published and unpublished. The study shows that the haste with which the local authorities endorsed the conduct of mining exploration activities in Brooke’s Point has sparked divisions and conflict among local stakeholders. The conflict emerged from what seemed to be a deliberate effort on the part of the mining companies and the local government officials to circumvent legal requisites concerning social acceptability and accountability. Other issues such as the potential socio-cultural and ecological impacts of mining activities in the watershed and ancestral domain areas, the legal/policy issues spawned by the conflicting resource/land uses in the proposed mining sites, and the disregard of the Environmentally Critical Areas Network (ECAN) zonation as prescribed by law exacerbated the emerging conflict. The study recommends the following: • To effectively address the latent and emerging conflicts between local stakeholders, both parties should agree to a mutually acceptable and transparent system of dealing with the
  • 3. 3 mining issue. Genuine consultative processes with the concerned stakeholders, directly or indirectly affected by mining activities, should be undertaken. • Government regulators should strictly implement and monitor the compliance of mining companies to environmental laws and policies, and undertake decisive administrative and/or judicial actions against the offenders and consistently uphold the welfare and interest of the general public. • On the part of the concerned mining companies, the study argues that sincere compliance with all the legal requirements and processes is necessary to avoid the escalation of conflict. In the interest of the general public, the engagements of mining companies with public officials and other interested parties should always be above-board and ensure that the voices of affected communities either opposing or supportive to the mining industry are fairly and objectively heard. • On the part of the affected communities and concerned stakeholders, active involvement in the entire decision-making process should be enhanced by improving their capacity to engage in dialogues, negotiations and conflict resolution. The participation of the local communities is, therefore, critical in any development undertaking to avoid and manage the further escalation of the conflict.
  • 4. 4 Introduction The objective of the research is to map out the conflicts attendant to the mining activities in the municipality of Brooke’s Point. To achieve this, an analysis of the parties involved in the conflict, the positions they have assumed, and the standpoint from which their positions come from will be made. Factors that facilitate or hinder the resolution of the conflicts will also be examined. Essentially, the research will look into the dynamics of the relationships among different social actors and the existing conflict-resolution mechanisms, if any, and how these mechanisms are effective in resolving issues and conflicts. Likewise, it shall also determine the conflict resolution needs to guide stakeholders and other players in their future endeavors with regard to conflict management. Methodology The case study primarily utilized key informant interviews (KII) and focus group discussions (FGDs) in the data gathering process. More or less 120 informants, including barangay officials, indigenous peoples, farmers (men and women), and non-government organization (NGO) workers and professionals, were interviewed between August 2 and September 10, 2007, using a pre-designed questionnaire. Between July and September 2007, the research team gathered and analyzed the secondary data provided by Conservation International (CI), the Palawan Council for Sustainable Development Staff (PCSDS), the Municipal Planning and Development Office (MPDO) of Brooke’s Point, and the Brooke’s Point Rural Waterworks and Sanitation Association (BPRWSA). During the latter part of the research period, MacroAsia Corporation (MacroAsia) provided the Ateneo School of Government (ASoG) with some news clippings and the company’s 2006 Annual Report. During the early part of the research period, ELAC and ASoG sent formal letters to the PCSDS, Department of Environment and Natural Resources (DENR), National Commission on Indigenous Peoples (NCIP), Municipal Environmentally Critical Areas Network (ECAN) Board of Brooke’s Point, and CI to request for relevant data and maps. Letters were also sent to the Municipal Mayor of Brooke’s Point, Punong Barangays of the six concerned barangays, and other potential key informants. Some documents and studies, including the Evaluation Reports of Mines and Geo- sciences Bureau (MGB) of the DENR and PCSDS relating to the operations of Celestial Nickel and Mineral Exploration Corporation (CNMEC) and MacroAsia, were sourced out from the existing files of ELAC. During the conduct of FGDs in the six barangays, an NGO, the SAMMI Foundation, Inc., with the assistance of another NGO, World Vision, generously provided support to ELAC in
  • 5. 5 coordination work and mobilization of key respondents. Two SAMMI staff members were assigned to assist the research team. The data gathered from KIIs and FGDs were then consolidated and analyzed together with the secondary data, based on the research framework jointly developed by ASoG and its research partners during the June 2007 Conflict Mapping Workshop. Scope and Limitations The study covered the Barangays of Calasaguen, Ipilan, Mambalot, Maasin, Barong- Barong and Aribungos, all in the municipality of Brooke’s Point, Palawan. Data-gathering lasted for almost four months. As anticipated, the active engagement of ELAC in the anti-mining advocacy campaign engendered reluctance among some pro-mining supporters to participate in the case study as key informants. As a result, the FGDs and KIs were partly delayed, and in some cases, prospective key informants even turned down invitations for interviews despite efforts to explain the objective of the case study. In other cases, some pro-mining supporters opted not to speak publicly on their positions regarding the mining conflict. Due to some difficulty in interviewing pro-mining residents, the research team had to rely on the views and perceptions of certain barangay officials and individuals who are generally supportive of the mining industry in their respective localities.1 On the part of the Ipilan Nickel Corporation (INC),2 the research team was advised to secure permission from the company’s head office in Manila as a pre-requisite for an interview. The ASoG also met with an officer of MacroAsia and sent a questionnaire requesting for certain documents and information on the company. However, the latter was only able to provide the ASOG with news clippings and a copy of its 2006 Annual Report. 1 During a courtesy meeting with the Local Chief Executive of Brooke’s Point, together with the Punong Barangays of the six study sites on July 30, 2007, the Punong Barangays of Maasin, Ipilan and Mambalot declined to be interviewed. The three (3) barangay officials expressed apprehension that the research will just resurrect a problem which they believe they have long settled. In the course of the meeting, wherein the Research Team patiently clarified and explained the rationale and objective of the case study, one of the Barangay officials even questioned the “motive” of the research and imputed that ELAC has a “hidden agenda” in conducting the said research. The Punong Barangay of Mambalot pointed out that they could allow the research to push through in their areas provided that mining issue should not anymore be discussed. At least two Punong Barangays present during that meeting declined to receive the joint letter of ELAC and ASOG. Aside from Mambalot and Ipilan, FGDs were held with members of the Barangay Councils of Barong-Barong, Aribungos and Maasin. The Punong Barangay of Maasin later allowed a separate FGD among his colleagues in the Council. 2 Based on the verbal statement of Engr. Gonzales, Geologist of Ipilan Nickel Corporation
  • 6. 6 This paper basically focuses on the mining conflict involving key stakeholders (local government units, government agencies, civil society organizations, pro- and anti-mining residents) in the areas where MacroAsia and INC are currently operating. Other potential conflicts between local stakeholders and mining companies intending or applying to operate within and outside the study sites are not included in this paper. Since mining conflict is both social and legal in nature, the study gave particular attention to the perceptions of key stakeholders (pro- and anti-mining), as well as the review and analysis of the legal precepts correlative to the issue. Background Location & Biophysical Profile of Brooke’s Point The Municipality of Brooke’s Point is situated in the southeastern portion of mainland Palawan at a latitude of 8°47’ and longitude of 117°49’. It is bordered by the municipalities of Sofronio Espanola to the north; Bataraza, south; Rizal, west; and Sulu Sea to the east. (Please see map below.) It is located approximately 192 kilometers away from the City of Puerto Princesa, a four-hour ride by passenger vehicle.
  • 7. 7 Table 1: 2005 CBMS Census and Survey of Brooke’s Point Barangay Households Population Amas 495 2,081 Aribungos 857 4,322 Barong-Barong 642 3,282 Calasaguen 419 2,088 Imulnod 464 1,915 Ipilan 989 4,789 Maasin 587 2,780 Mainit 537 2,569 Malis 482 2,159 Mambalot 456 2,297 Oring-Oring 311 1,583 Pangobilian 1,362 6,918 Poblacion 1 947 4,672 Poblacion 2 620 2,887 Salogon 635 3,130 Samarinana 551 2,598 Saraza 662 3,321 Tubtub 292 1,418 TOTAL 11,308 54,807 Based on the 2005 Census and Survey, the population of Brooke’s Point is 54,807, or 11,308 households, with a population density of 69 per square meter. This represents an increase of 20% compared to 57.5 in the year 2000. Of the total population, 29.11% or 15,956 (3,950 households) live in the six mining communities of Calasaquen, Ipilan, Mambalot, Maasin, Barong-Barong and Aribungos (see Table 1). The total population of Brooke’s Point is projected to reach 58,457 by the end of 2010, computed based on the population figure of 1995.3 The topography of Brooke’s Point is generally hilly. Of the 85,064.90 hectares total land area, 63.67% has a slope of 18% and above, and the remaining areas have a slope ranging from 0-18%. The six mining barangays constitute around 44.04% or 37,467.50 hectares of the total land area of the municipality (see Table 2). Based on the Municipal Comprehensive Land Use Plan (2000-2010)4 of the municipality, 27,949.67 hectares (or 92.98% of the manipulative/multiple use land) are devoted to agricultural purposes and are being utilized for production of major crops. This figure comprises around 32.86% of the municipality’s total land area. However, the 2006 Socio-Economic Profile of the municipality shows a different figure, with only 17.87% or 15,205.21 hectares devoted to agricultural production.5 3 CLUP of Brooke’s Point as cited in the Socio-Economic Profile, Conservation International, Aug. 2007. 4 CLUP, General Land use, page 161 5 Socio-Economic Profile CY 2006, Municipality of Brooke’s Point.
  • 8. 8 Table 2: Land Area Per Barangay LAND AREA BARANGAYS (HAS.) (SQ.KM.) URBAN 254.60 2.55 POBLACION 1 56.20 0.56 POBLACION 2 198.40 1.98 RURAL 84,810.30 848.10 AMAS 6,573.10 65.73 ARIBUNGOS 8,624.90 86.25 BARONG-BARONG 1,400.80 14.01 CALASAGUEN 12,121.10 121.21 IMULNOD 6,817.40 68.17 IPILAN 1,157.10 11.57 MAASIN 6,319.40 63.19 MAINIT 9,292.30 92.92 MALIS 4,563.30 45.63 MAMBALOT 7,844.20 78.44 ORING-ORING 1,456.60 14.57 PANGOBILIAN 2,213.90 22.14 SALOGON 7,259.30 72.59 SAMARINANA 4,666.30 46.66 SARAZA 3,941.80 39.42 TUBTUB 558.80 5.59 TOTAL 85,064.90 850.65 The CLUP further states that of the 27,949.67 hectares of agricultural land, around 20,546.25 hectares or 73.5% are considered to be “prime agricultural land” and therefore, part of the Network of Protected Agricultural Areas (NPAAs). These areas are considered as “restricted for conversion into non-agricultural uses” under Republic Act 8435, otherwise known as the Agriculture and Fishery Modernization Act (AFMA). In 2006 alone, around 3,873.45 hectares of rice fields yielded a harvest totaling 13, 313.36 metric tons, or an average production of 2.92 metric tons per hectare.6 6 ibid
  • 9. 9 Figure 1 below shows that the municipality is classified into different land uses as follows: Core Zone/Protected Use Forest Land, Buffer Zones (Restricted Use and Controlled Use), Traditional Use Land, Manipulative/Multiple Use Land and Swamps/Mangroves. Figure 1: Existing General Land Uses of Brooke’s Point sw am ps 1% Core Zone 12% Core Zone Multiple Use Restricted Use 36% Restricted Use Controlled Use 22% Traditional Use Multiple Use Traditional Use Controlled Use sw amps 19% 10% These different zones are utilized and managed according to the Environmentally Critical Areas Network (ECAN) strategy, a graded system of protection and development control over the whole of Palawan. The definition of and management schemes prescribed for the different ECAN zones, as stated in Section 9 of Republic Act No. 7611 or the Strategic Environmental Plan (SEP) for Palawan Act are summarized below:7 Terrestrial Zones Characteristics Management CORE ZONES Included here are all types of This zone shall be fully and strictly natural forest, which include first protected and maintained free of growth forest, residual forest and human disruption. Exceptions, edges of intact forest, areas above however, may be granted to one thousand (1,000) meters traditional uses of tribal elevation, peaks of mountains or communities of these areas for other areas with very steep minimal and soft impact gathering gradients, and endangered habitats of forest species for ceremonial and and habitats of endangered and medicinal purposes. rare species 7 Atty. Grizelda Mayo-Anda, etal “The Costs and Benefits of Three Decades of Mining in Rio Tuba, Bataraza, Palawan, 2005, citing RA 7611.
  • 10. 10 BUFFER ZONES (i) Restricted Use Generally surrounds the core zone Limited and non-consumptive Area and provides a protective barrier. activities may be allowed in this area Encircles and provides the outer Controlled forest extraction, like the (ii) Controlled Use barrier to the core and restricted collecting of minor forest products, Area use area and strictly controlled logging and mining may be allowed. Edges of intact forests where Management and control shall be traditional land use is already carried out with the other (iii) Traditional Use stabilized supporting programs of the SEP Area MULTIPLE USE This is the area where the Control and management shall be landscape has been modified for strictly integrated with the other different forms of land use such as supporting programs of the SEP and intensive timber extraction, other similar programs of the grazing and pastures, agriculture Government. and infrastructures development Under the law, the Palawan Council for Sustainable Development (PCSD) is mandated to implement the ECAN strategy. Mineral Endowments Of the total applications for mining in Southern Palawan (see Status of Mining Claims attached as Annex A), more than 90% are targeting nickeliferous laterite, which is believed to be a “residually enriched deposit that is usually found in tropical and subtropical regions” like Palawan.8 According to the geological study made by Dr. Jose Almasco,9 the “ultramafic complex and associated volcanic rocks of the Mantalingahan-Pulot Range is part of the greater ophiolite belt of Palawan that is known to extend from Central Palawan and across the strait to North Borneo.” The study further claimed that the “Palawan ophiolite belt is believed to be coeval (contemporary) with other known ophiolite occurrences in the Philippines, which are hosts to significant nickel laterite deposits.” Based on the extensive test pitting conducted by Sarabat Mineral Philippines, Inc., a subsidiary company of Mighty Beaut Minerals, Inc., and the metallurgical test work performed by Sheritt International Consultants, Incorporated in 1997, the 2,835.06-hectare property of CNMEC (also referred to as “Celestial property”) has an estimated resource of approximately “77 million tones with a nickel grade of 1.25% and a cobalt grade of 0.10%.”10 8 Dr. Jose Almasco, Environmental Work Program, CNMEC, 1997 9 ibid 10 Executive Summary, Pre-Feasibility Study, H.A. Simons Ltd., 1999
  • 11. 11 London-based Toledo Mining Corporation (TMC), which holds majority interest in the Celestial Nickel Project (CNP) and its affiliates, has stated that it has “defined 60 million tons of mineralization over a small footprint and it is expected that a similar tonnage of nickel laterite mineralization occurs in the MacroAsia property.”11 TMC co-owns the CNP in Brooke’s Point, Palawan with Celestial Nickel Mining and Exploration Corporation (CNMEC or Celestial), holder of MPSA-017-93-IV, which covers an area of 2,835.06 hectares. What is nickel? Nickel, with a symbol of Ni, is a silvery shiny, metallic element with an atomic number of 28. It can be hammered into thin sheets, which means it is malleable. Nickel, iron and cobalt are the only elements known to be ferro-magnetic. Of the three, nickel is the least magnetic. When all three ferro- magnetic metals are alloyed together, an unusually strong magnet is created. This alloy conducts heat and electricity fairly well, but is not as good a conductor as pure silver or copper. Vital as an alloying constituent of stainless steel, Nickel plays a key role in the chemical and aerospace industries. It is estimated that there is about 140 million tons of nickel available in identified deposits. Eighty-four million tons or 60% of the total available nickel is in laterite deposits. A deposit in which rain and surface water leached nickel-rich rock and concentrated the nickel at or near surface of the Earth is a laterite deposit. Nickel sulfide deposits contain the remaining forty percent (56 million tons). Leading producers of nickel include Australia, Canada, Norway, and Russia. Large reserves are found in Australia, Cuba, New Caledonia, Canada, Indonesia, the Philippines, and Russia. Mining Claims and Applications Aside from the Mineral Production Sharing Agreement (MPSA) areas of MacroAsia and INC, which have an aggregate area of more or less 4,000 hectares, the municipality of Brooke’s Point has approximately 33 mining claims/applications in the nature of exploration permits, small-scale permits and MPSAs. These mining claims and applications cover around 117,831.30 hectares of forestlands - almost the size of the entire Proposed Mantalingahan Range Protected Landscape, which encompasses five municipalities (see Table 3). 11 Zinnia B. Dela Peña, Philippine Star, September 6, 2007
  • 12. 12 Table 3: LIST OF APPLICATIONS FOR MPSA AND EXPLORATION PERMITS12 Brooke’s Point, Palawan As of August 2007 Date of No. Proponent Type Area Location Application MineralType 1 Blueridge Min. Corp AMA- 3 2,655.00 Brooke's Point 11/19/1995 Nickel 2 MacroAsia MPSA-220 1,113.98 Brooke's Point 12/1/1995 Nickel 3 MacroAsia MPSA-221 410.00 Brooke's Point 12/1/1995 Nickel 4 Celestial MPSA-93 2,895.06 Brooke's Point 9/18/1993 Nickel 5 Celestial EPA-33 3,000.00 Brooke's Point 9/22/1997 nickel., cobalt 6 Lebach AMA-74 5,427.00 Brooke's Point 9/11/1997 nickel. Chromite 7 Celestial AMA-61 4,040.44 Brooke's Point 11/28/1995 nickel, cobalt, andesite 8 Celestial AMA-87 2,164.95 Brooke's Point 9/30/1997 nickel, cobalt PMPSA- 9 PL Goodman Mining 217 7,938.00 Brooke's Point 7/5/1995 andesite, basalt 10 Mt. Peak Mining AMA-4 5,427.00 Brooke's Point 12/18/1995 Nickel 11 Galactica AMA-5 6,718.00 Brooke's Point 12/18/1995 Nickel 12 Giporlos Mining PMPSA-3 891.00 Brooke's Point 6/17/1991 nickel, chromite Newton Const. & Mrkt. PMPSA- 13 Corp 15 5,000.00 Brooke's Point 4/13/1992 Nickel Silvermountain 14 Exploration EPA-29 7,375.76 Brooke's Point 9/16/1997 nickel, cobalt 15 RT Minerals EPA-99 24.00 Brooke's Point 9/26/2006 Nickel nickel, chromite, cobalt, 16 Gandara EPA-110 2,163.00 Brooke's Point 10/27/2006 iron Pacific Heights Min. 17 Res. EPA-114 5,896.00 Brooke's Point 11/28/2006 nickel, chromite 18 Peregrino Min. Res. EPA-121 3,564.00 Brooke's Point 12/6/2006 Nickel Newminco Pacific 19 Mining EPA-124 9,631.00 Brooke's Point 12/14/2006 Nickel 20 Shuley Mines EPA-127 4,393.02 Brooke's Point 12/22/2005 nickel, chromite 21 Palawan Res. Island EPA-131 2,460.00 Brooke's Point 12/29/2006 nickel, chromite 22 Peregrino Min. Res. EPA-132 3,379.30 Brooke's Point 1/11/2007 nickel, chromite 23 Peregrino Min. Res. EPA-143 4,262.00 Brooke's Point 2/23/2007 nickel, chromite Pacific Heights Min. 24 Res. EPA-145 1,004.00 Brooke's Point 2/27/2007 nickel, chromite 25 APC Mining Corp EPA-170 2,787.41 Brooke's Point 4/25/2007 nickel, chromite Amalgamated Iron 26 Works EPA-173 3,309.00 Brooke's Point 4/30/2007 nickel, chromite 27 APC Mining Corp EPA-174 2,659.19 Brooke's Point 4/30/2007 nickel, chromite 28 San Manuel Mining EPA-182 1,690.63 Brooke's Point 5/22/2007 nickel, chromite 29 Alcorn Gold Resources EPA-196 4,225.61 Brooke's Point 5/14/2007 nickel, chromite 30 Baegil Resources EPA-203 4,779.00 Brooke's Point 6/21/2007 nickel, chromite 31 Primo Manlasing EPA-210 1,215.00 Brooke's Point 7/3/2007 nickeliferous, chromite Artigiano Mineral 32 Resources EPA-215 1,951.00 Brooke's Point 7/16/2007 nickel, chromite Philippine Great 33 Mineral Corp EPA-227 3,381.95 Brooke's Point 8/6/2007 nickel, chromite TOTAL: 117,831.30 12 DENR-Mines and Geosciences Bureau
  • 13. 13 The Proposed Protected Landscape13 The South Palawan Planning Council (SPPC), composed of the municipalities of Sofronio Espanola, Quezon, Bataraza, Rizal and Brooke’s Point, is currently working for the declaration of the 120,457-hectare Mt. Mantalingahan Range as a “Protected Landscape,” under the framework of the National Integrated Protected Areas System (NIPAS) and the SEP Law. The council was created by virtue of Executive Order No. 24, series of 2001, issued by Gov. Joel T. Reyes. The municipality of Brooke’s Point is a member of the SPPC. Thirteen (13) of its barangays are covered by the proposed Protected Landscape, including the barangays of Calasaguen, Maasin, Ipilan, Mambalot and Aribungos14. The Mantalingahan Range, the highest mountain in the province with an elevation of 2,086 meters, is considered “very high” in terms of biodiversity due to its “varied habitats,” and has been identified as one of the eleven Important Bird Areas (IBAs) in Palawan.15 In March 2006, the Provincial Protected Area Suitability Assessment (PASA) team was formed to “determine the suitability or non-suitability of Mt. Mantalingahan as a protected area under any of the categories under the NIPAS.”16 After several months of consultations, surveys and studies, the PASA team concluded that Mt. Mantalingahan is highly suitable for integration to the NIPAS for the following reasons: • Mt. Mantalingahan is a biodiversity rich area which is ecologically important because of the variety of habitats and the presence of rare and endangered wildlife species; • The state of naturalness of Mt. Mantalingahan is observed where approximately 74% of the total area is old growth forest; • Mt. Mantalingahan is the main source of 45 rivers which drain the Mantalingahan range; • Mt. Mantalingahan’s economic importance is exhibited by its existing and potential contribution to the economic well-being of the local communities; • Mt. Mantalingahan is socially important due to its heritage, historical, cultural, traditional, aesthetic, educational, and recreational qualities; • The site has potential for ecotourism and recreational services; • Mt Mantalingahan is scientifically important as a site for research, education and monitoring; • The site’s social and political acceptability as a research location, the extent of community support, accessibility with existing uses and management practices and ease 13 A protected landscape is defined as an area with coast and sea, as appropriate, where the interaction of people and nature over time has produced an area with significant aesthetic, ecological and/or cultural value and often with high biological diversity. Safeguarding the integrity of this traditional interaction is vital to the protection, maintenance and evolution of such an area. (WCPA, 2003) 14 Documentation of Gazettement Process 2005-2007, CI 15 Creating a New Protected Area for the Mantalingahan Range Forest, Palawan: Floral Survey, CI, citing Dr. Perry Ong, et al. 2002 16 Special Order of DENR-PENRO Raymundo Crisostomo dated March 20, 2006, Documentation of Gazettement Process, CI
  • 14. 14 of management are all indications of practicality and feasibility for the area to be protected. The proposed protected area practically covers all areas identified as core and restricted use zones and portions of controlled use and traditional use zones (see Figure 2 below) under the ECAN guidelines. These different zones will be managed according to the Protected Area Management Plan (PAMP), which shall be developed and implemented by the different stakeholders after the issuance of a Presidential Proclamation establishing the protected area. Its implementation will also be guided by the implementing rules and regulations of various environmental laws and policies, including the Local Government Code and Indigenous Peoples’ Rights Act (IPRA). Figure 2: Map of the Proposed Mantalingahan Range Protected Landscape (Brooke’s Point Area) Of the 120,457 hectares being proposed as protected area, approximately 32,262.15 hectares or 26.78 % are located in the municipality of Brooke’s Point.17 A study commissioned by CI-Philippines revealed that several endangered species listed by IUCN (The World Conservation Union) are found around Mt. Mantalingahan Range. The study concluded that there is a high floral diversity and endemism in some parts of the Range, which bolsters the need to, among other reasons, declare Mt. Mantalingahan as a Protected Landscape. In 2004, the same group released a faunal study on Key Biodiversity Areas (KBAs) 17 GIS Map of Proposed Mt. Mantalingan Protected landscape, Conservation International
  • 15. 15 in mainland Palawan, which showed that Mt. Mantalingahan has two critically endangered species, three endangered species, 13 vulnerable species and 20 endemic species. CI is assisting the SPPC in the establishment of Mt. Mantalingahan as a protected area to help facilitate the conservation of highly important habitats and wildlife in the Range’s critical zones. Parties to the Conflict The parties involved in the mining conflict consist of the local government units (municipal and barangay levels), national government agencies (DENR, PCSD), NGOs, people’s organizations/federations, church groups, and the mining companies. The background, mandates, roles and compositions of each of the concerned parties, as well as their respective positions and interests with regard to the mining issue are discussed below. Local Government Units of Brooke’s Point (Municipal and Barangay) The LGU derives its mandates from the Local Government Code (LGC) of 1991 in the performance of its official duties and functions. Section 15 of the Local Government Code of 1991 (Republic Act No. 7160) states that: “Every local government unit created or recognized under this Code is a body politic and corporate endowed with powers to be exercised by it in conformity with law. As such, it shall exercise powers as a political subdivision of the National Government and as a corporate entity representing the inhabitants of its territory.” The Code further declares that the Local Government Units shall “enjoy genuine and meaningful local autonomy” and mandates the State to “ensure the accountabilities of local government units” in the performance of its official duties and functions.18 Nolledo (1992) pointed out that the foregoing provision is an implementation of the provision in Article XI, section 1 of the 1987 Constitution that: “Public office is a public trust. Public officers and employees must at all times be accountable to the people, serve them with utmost responsibility, integrity, loyalty, and efficiency, act with patriotism and justice, and lead modest lives.” 18 Republic Act No. 7160, section 2.
  • 16. 16 LGUs are also mandated by the Code to “share with the National Government the responsibility in the management and maintenance of ecological balance within the territorial jurisdiction, subject to the provisions of this Code and national policies.”19 The municipal government of Brooke’s Point under the administration of Mayor Cesareo Benedito, Jr. and former Vice Mayor Danilo Chan endorsed the exploration activities of INC and MacroAsia. PCSD The PCSD was created by the SEP Law. Section 16 of the Law states: “SEC. 16 Palawan Council for Sustainable Development. - The governance, implementation and policy direction of the Strategic Environmental Plan shall be exercised by the herein created Palawan Council for Sustainable Development (PCSD), hereinafter referred to as the Council, which shall be under the Office of the President. It shall be composed of the Members of the House of the Representatives representing the province of Palawan, the Deputy Director General of the National Economic and Development Authority, the Undersecretary of Environment and Natural Resources, the Undersecretary for Special Concerns of the Department of Agriculture, the Governor of Palawan, the Mayor of Puerto Princesa City, the President of the Mayor's League of Palawan, the President of the Provincial Chapter of the Liga ng mga Barangay, the Executive Director of the Palawan council for Sustainable Development Staff as provided in Section 20 of this Act, and such other members from the public or private sectors as the majority of the council may deem necessary.” The PCSD exercises the following powers and functions:, as defined in Section 19 of this law, to wit: (1) Formulate plans and policies as may be necessary to carry out the provisions of this Act. (2) Coordinate with the local governments to ensure that the latter's plans, programs and projects are aligned with the plans, programs and policies of the SEP. (3) Call on any department, bureau, office, agency or instrumentality of the Government, and on private entities and organizations for cooperation and assistance in the performance of its functions. 19 See Chapter 1, Section 3 (i) of RA 7160
  • 17. 17 (4) Arrange, negotiate for, accept donations, grants, gifts, loans, and other fundings from domestic and foreign sources to carry out the activities and purposes of the SEP. (5) Recommend to the Congress of the Philippines such matters that may require legislation in support of the objectives of the SEP. (6) Delegate any or all of its powers and functions to its support staff, as hereinafter provided, except those which by provisions of law cannot be delegated; (7) Establish policies and guidelines for employment on the basis of merit, technical competence and moral character and prescribe a compensation and staffing pattern; (8) Adopt, amend and rescind such rules and regulations and impose penalties therefore for the effective implementation of the SEP and the other provisions of this Act. (9) Enforce the provisions of this Act and other existing laws. Rules and regulations similar to or complementary with this Act; (10) Perform related functions which shall promote the development, conservation, management, protection, and utilization of the natural resources of Palawan; and (11) Perform such other powers and functions as may be necessary in carrying out its functions, powers, and the provisions of this Act.20 As a policy-making body, PCSD is guided by the principle of sustainable development, which is defined as “the improvement in the quality of life of its people in the present and future generations through the use of complementary activities of development and conservation that protect life-support ecosystem and rehabilitate exploited areas to allow upcoming generations to sustain development growth.”21 Under PCSD Administrative Order No. 6 series of 2000, permits, licenses or similar instruments must have prior clearance from PCSD.22 The SEP Clearance is, therefore, a pre- requisite to any development project or program in the province. 20 Republic Act 7611, section 19. 21 Id. at section 5. 22 Section 11. Issuance of Clearance by the PCSD. Subject to the final review of the PCSD, the recommendation of the PCSDS may be affirmed or controverted. In any case, the PCSD through its Chairman shall issue either of the following form of clearance depending upon the type of project: (1) an authorization for the DENR to proceed with the processing of the ECC, processing of the certificate of non-coverage, permits, licenses, lease agreements and other similar instruments being issued by DENR; (2) a letter of accreditation and prior informed consent
  • 18. 18 The PCSD issued SEP Clearances to MacroAsia and INC for their mining exploration activities. DENR The DENR was created by Executive Order No. 192 issued on June 10, 1987. The order provided for the reorganization of Department of Environment, Energy and Natural Resources and renamed it as the DENR. The Department is mandated to be “the primary agency responsible for the conservation, management, development, and proper use of the country’s environment and natural resources.” It has the following objectives: (1) Assure the availability and sustainability of the country's natural resources through judicious use and systematic restoration or replacement, whenever possible; (2) Increase the productivity of natural resources in order to meet the demands for forest, mineral, and land resources of a growing population; (3) Enhance the contribution of natural resources for achieving national economic and social development; (4) Promote equitable access to natural resources by the different sectors of the population; and (5)Conserve specific terrestrial and marine areas representative of the Philippine natural and cultural heritage for present and future generations. The Department issued the MPSAs of MacroAsia and INC and approved their respective exploration permits. certification; or (3) letter of denial. The authorization together with the evaluation reports shall be submitted to the DENR (through the PENRO) as bases for the latter´s subsequent processing of the aforementioned issuances. On the other hand, the accreditation and prior informed consent certificate shall be given to the proponent. If the project is denied, a letter of denial shall be sent to the proponent informing him of the reason for denial. The proponent may submit to PCSD a written appeal for reconsideration. If the appeal in reversed, the PCSD shall issue either the aforementioned authorization or letter of accreditation and prior informed consent. The decision of the PCSD on appeal shall be considered final and executory. Section 12. Issuance of Permit, Licenses, ECC´s, Lease Agreements, and Other Similar Instruments. Upon receipt of the authorization issued by the PCSD, the DENR shall either proceed with the processing of the ECC, issue a certification of non-coverage, permit, license, lease agreements or other similar instruments depending upon the instrument being secured by the proponent.
  • 19. 19 The Municipal ECAN Board The Municipal ECAN Board was created through Municipal Resolution No. 26, series of 1996, in compliance of Section 37, Chapter II, Title 3 of the Revised ECAN Guidelines of the PCSD. The Board is a multi-sectoral policy-making, implementing and coordinating body of the municipality, intended to promote the management of the environment and natural resources under the SEP and other pertinent laws and guidelines. Among its key functions are the following: (1) facilitate the local implementation of PCSD Resolutions and Administrative Orders related to the implementation of ECAN Guidelines and other pertinent rules, regulations and issuances, (2) initiate the passage of resolutions, municipal/barangay ordinances and regulatory measures to implement ECAN and enforce the ECAN Zoning Plan, (3) review proposed and existing projects in the light of ECAN targets and objectives, (4) harness the participation of line agencies, NGOs and the communities towards the attainment of ECAN objectives, and enhance the capability of environmental bodies and related offices, among others.23 On July 11, 2007, the Local Chief Executive issued Executive Order No. 07, Series of 2007, reorganizing the ECAN Board and delegating the chairmanship to the Municipal Vice Mayor. The current ECAN Board under the chairmanship of the Vice Mayor is calling for a “10- year moratorium on mining”24 in Brooke’s Point. The leadership of the Board believes that the mining industry should first prove whether “responsible mining” is indeed an attainable proposition. Mining Companies MacroAsia Corporation MacroAsia was incorporated in the Philippines on February 16, 1970, originally under the name Infanta Mineral & Industrial Corporation, to engage in the business of geological exploration and development. As a mining firm, it had actually mined its leased areas in Brooke’s Point in the 1970’s. The corporation amended its Articles of Incorporation on two occasions. In January 1994, an amendment was made to change its primary purpose from geological exploration and development to engaging in the business of a holding company, and 23 See Resolution No. 26 series of 1996 24 The Chair of the ECAN Board is the Municipal Vice Mayor, Atty. Mary Jean Feliciano, who ran on anti-mining agenda and is proposing a moratorium on mining in Brooke’s Point.
  • 20. 20 to change its corporate name to Cobertson Holdings Corporation. In November 1995, another amendment was done to change its corporate name to its present name. On March 28, 2006, MacroAsia received from the government a Mineral Production Sharing Agreement (MPSA) covering 1,113.9836 hectares in Brooke’s Point, the same area that used to be mined by Infanta in the 1970s.25 The company is currently undertaking exploration activity in Barangays Ipilan, Mambalot and Maasin.26 As of 2007, the company reported that it has already “collected a total of 3,348 meters of drill core samples based on its core drilling and test pitting over an area of approximately 300 hectares.”27 CNMEC (now operated by INC) CNMEC is the holder of MPSA-017-93-IV, granted on August 5, 1993 and amended on April 10, 2000. The MPSA covers an area of 2,835.06 hectares situated in Barangays Ipilan and Maasin. It started its mining exploration in 1993. The CNMEC nickel laterite property is now currently being operated by INC, a company partly owned by London-based Toledo Mining Corporation (TMC). INC was incorporated and registered with the Securities and Exchange Commission (SEC) on July 22, 2005 and its principal activity is to explore, develop and mine the Celestial/Ipilan mineral properties.28 TMC has entered into a memorandum of understanding with MacroAsia, to enable both corporations to jointly “undertake studies that will cover possible collaboration in mine development and on-site value-added processing”29 in the two properties. Indigenous Peoples Samahan ng mga Panglima (Panglima Assembly) The Panglima Assembly was organized sometime in 2005 when mining became a prominent issue. The Assembly was originally composed of more than 40 Panglimas (traditional leaders), but has since increased its membership to more than 70. Panglimas exist in 15 out of the 18 barangays of Brooke’s Point. Membership in the Assembly is exclusive to indigenous Pala’wan leaders or elders who have royal lineage according to their traditions. The Panglima is traditionally the recognized 25 MacroAsia Corporation 2006 Annual Report. 26 Based on the document provided by MacroAsia on the list of direct impact stakeholders in Brooke’s Point, Palawan 27 ibid 28 http://www.minesite.com/companies/comp_single/company/toledo-mining-corp-plc.html 29 ibid
  • 21. 21 leader of an IP community based on the socio-political system of the indigenous people. Panglima Quirino Tanogan is the Pangarapan or the overall convenor of the Assembly. The Assembly is at the forefront in the fight against large-scale mining in the municipality of Brooke’s Point and meets regularly to discuss issues and concerns confronting the indigenous people of Brooke’s Point. Brooke’s Point Federation of Tribal Councils (BROFETRICS) BROFETRICS is the federation of all tribal chieftains30 in the municipality and covers around 18 groups. It was organized by the NCIP sometime in 2000. The Federation is actively supporting the mining projects in the municipality and has been involved in the promotion of mining among the indigenous peoples’ communities throughout the municipality. Ms. Renila Dulay is the Chairperson of the federation and Mr. Juanito Lacubtan serves as the Adviser. IP Communities Some IP communities within and around the mining impact areas are supportive of the mining exploration, while others are against. The OIPAPI, an indigenous people’s organization based in Bgy. Aribungos, led the indigenous Pala’wan in rejecting the mining exploration of MacroAsia in their areas. Majority of the indigenous people in Aribungos voted “No” during the FPIC process. In Maasin, the Kabiagan Katutubo Lupaing Ninuno Association, Inc. (KKLNA) has been actively opposing the mining operations of MacroAsia and INC. However, some of its members have already been engaged in contractual work (manual labor) by the mining companies and since then, have become inactive in anti-mining campaigns. Aside from Aribungos, all IP communities inside the mining impact zones of MacroAsia and INC voted “Yes” in the FPIC process thus, endorsing the mining exploration. 30 Tribal chieftains are usually appointed by NCIP and not necessarily according to the cultural traditions of the concerned indigenous people. In the exercise of its political power over an IP community, the tribal chieftains are actually performing and duplicating the traditionally held political functions of the panglima.
  • 22. 22 NGOs Samahan Isinusulong ang Kaayusan ng Pamayanan (SIKAP) SIKAP is an organization of professionals and other concerned citizens of Brooke’s Point organized sometime in 2005. It was formed primarily as an anti-corruption watchdog and its advocacy was focused on corruption issues in the municipal government, such as the involvement of some local officials in illegal logging activities. It is the convenor of the Alliance on Good Governance, a loose coalition composed of NGOs, farmers’ organizations, indigenous peoples’ organizations, church groups and other professionals, and advocating for transparency and accountability in local governance. SIKAP stood against the controversial LGU endorsement of the proposed mining activities of MacroAsia and INC and has been involved in several actions on anti-mining advocacy. SAMMI Foundation, Inc. SAMMI Foundation was organized in 1987 and registered with the SEC in January 1990. Originally, it was composed of farmers from Mainit and Imulnod. In 2000, SAMMI became actively engaged in the campaign against the establishment of the Hydrometallurgical Processing Plant (HPP) in Rio Tuba, Bataraza, Palawan. It has been actively involved in the anti-mining campaign in Brooke’s Point since the time of CNMEC’s exploration activity in Ipilan and Maasin in the late 1990s. Its anti-mining advocacy was triggered by SAMMI’s campaign on the protection of the children’s rights to a healthy ecology. Currently, SAMMI has more than 900 beneficiary families in eight (8) barangays of Brooke’s Point for its “Tabod it Arap” (Spring of Hope) Project, a transformative development program introduced by its partner, World Vision. World Vision World Vision (WV) started its project in Brooke’s Point, Palawan in 1983. Its program started with child care, and evolved into family care and, eventually, community development. As early as mid-1990s, WV and its partner-beneficiaries have been discussing the mining issue. Mining has become part of the regular agenda of its children-beneficiaries during the latter’s annual congresses. In 2002, WV intensified its anti-mining advocacy in Brooke’s Point when Coral Bay Nickel Corporation started its HPP operation in Bataraza, Palawan. Its
  • 23. 23 campaign was undertaken together with Brooke’s Point Network of NGOs, Inc. (BPNNI), a network of 23 NGOs, farmers’ organizations, indigenous groups and church groups, working to promote participatory governance in Brooke’s Point. Augustinian Missionaries of the Philippines (AMP) The AMP started its programs in Bgy. Bayog, Brooke’s Point in 1998 as part of the immersion program of the Commission for Social and Special Concerns of the Vicariate of Puerto Princesa. In 2003, it decided to operate independently of the Vicariate as a separate congregation. In the same year, it implemented a new project among the indigenous Pala’wan tribe in Sitio Boog in Bgy. Ipilan and Sto. Raang in Bgy. Aribungos. When MacroAsia started the process to secure an FPIC from the Pala’wan tribe for its mining exploration in 2005, AMP stood against the mining project together with some indigenous Pala’wan. Since then, AMP has been actively involved in the anti-mining campaign in Brooke’s Point. Irrigators’ Associations of Maasin-Calasaguen & Sabsaban (MCIA and SIA) The Maasin-Calasaguen and the Sabsaban Irrigators’ Associations were both organized in the 1990s through the assistance of the National Irrigation Administration (NIA). The Maasin- Calasaguen Irrigators’ Association (MCIA) was registered with the SEC on March 5, 1998. An MCIA Resolution31 states that the Communal Irrigation System of Maasin “supplies irrigation water to four barangays of Calasaguen, Maasin, Mambalot and Ipilan comprising an area of 1,016 hectares of rice lands owned and tilled by 360 farmers.” MCIA also claims that 180 farm families are directly benefiting from the irrigation system which produces around “80 cavans of palay per cropping season per hectare.” Both groups are opposing mining operations due to the perceived impact on watersheds and agricultural lands. 31 Board Resolution No. 04-5 series of 2005
  • 24. 24 Overview of the Mining Conflict Mining activities in Brooke’s Point started in the 1970s when Nippon Mining Company of Japan (Nippon) and Infanta Mineral and Industrial Corporation (Infanta) undertook exploration activities in Barangays Ipilan and Mambalot32 Interviews reveal that the two mining companies engaged only in exploration activities and did not proceed to large-scale mining operations. During those years, the two companies were, in fact, extensively engaged in logging activities which resulted in the cutting down of thousands of forest trees such as almaciga, ipil and other premium tree species. Based on the conservative estimate of some IP informants, more or less 20 hectares of forestland or equivalent to 5,000 trees were cut down in connection with the logging activities of Infanta. The IP informants claimed that the logging operations of Infanta caused the death of four members of the Pala’wan tribe in two separate incidents. The first incident happened in the 1970s when three IP workers accidentally fell from a truck during logging operations, while the other incident happened few months later, when a certain Laning Immek was hit by a moving truck loaded with almaciga logs. According to the IPs, the management of Infanta only paid the cost of burial expenses and nothing more. These incidents have left an indelible mark on the consciousness of some IP residents and there is prevailing fear that similar incidents would result from the current mining activities in the IPs’ ancestral domains. IPs also claimed that the exploration activities, particularly of Infanta, had caused the siltation of the river (downstream) due to the erosion of loose soil materials from the test-pit and auger-drilling sites, which have affected more or less 50 hectares of agricultural land. The exploration activities of Nippon, on the other hand, had also caused the siltation particularly of the Ipilan River, which the Pala’wan tribe called Ipilan Kală (big). To migrant farmers, however, the operations of Infanta and Nippon did not trigger division between the companies and the local people. The two mining companies only operated for a few years and no wide-scale tensions were reported during the brief stint of exploration and logging activities, as far as key informants are concerned. However, it was reported that in 1975, several communities around Maasin, Mambalot, Ipilan, Barong-Barong and Aribungos were affected by a huge flood that hit just a few years after these two companies ceased their exploration and logging operations. After a lull of more than two decades, the issue on mining re-emerged when CNMEC began its mining exploration activities in Maasin, in the site formerly operated by Nippon. In September 1993, CNMEC secured an MPSA from the National Government and subsequently 32 Key informants interviewed during FGD/KI sessions between August 8-16, 2007
  • 25. 25 entered into a Joint Venture Agreement with Sarabat Minerals Philippines to “explore and develop into commercial production the nickel laterite deposits identified as the Celestial property” 33 in Brooke’s Point, Palawan. Its MPSA was amended on April 10, 2000. In the late 1990s and early 2000s, some groups under the umbrella of Palawan NGO Network, Inc. (these include World Vision, SAMMI, ELAC), Restoration Foundation (RF), Samahan sa Pangangalaga ng Kalikasan (SAPAKA), and some indigenous peoples’ organizations began to undertake protest and other advocacy actions against Celestial’s alleged illegal exploration activities in Maasin. In October 1999, the residents of Barangays Calasaguen, Maasin, Mambalot and Ipilan, Brooke’s Point signed a “petition expressing their concerns on the potential irreversible environmental damages”34 that the mining activities and future refinery plant would cause to the health, livelihood and environment of the surrounding barangays. Aside from pursuing its mining operations, Celestial was proposing for the establishment of a processing plant which “will produce briquette nickel and cobalt via sulfide precipitation and leaching, with specification- grade ammonia sulfate as a by-product.”35 In response, a multi-sectoral investigation was conducted in September 2000 to investigate the complaint. The field monitoring and investigation led by PCSDS and ELAC came up with several findings.36 Among these were the following: (1) all test pits seen were left open making it hazardous/dangerous to human beings, animals and wildlife; (2) excavated materials that were left on the surface could be subject to severe erosion that might be toxic to plants and animals on the lower grounds; (3) previously mined out areas were left unrehabilitated subject to severe degree of erosion; (4) traces of mineral elements were observed along tributaries and waterways draining to the lowlands particularly on streams, rivers and ricefield areas; (5) maintenance of the access road - particularly on providing necessary canals, stabilizing side cut thru reducing slopes and rip rapping measures, and providing/adopting dense vegetative cover to control erosion - were poorly undertaken; (6) large-scale cutting of standing trees sawn into lumber, some of which were premium or banned species within the mine-claim area, were observed; (7) the Environmental Work Program as submitted is inadequate and incomplete to mitigate foreseen environmental impacts due to mineral exploration at the higher ground, particularly on the watershed/drainage area of a medium scale irrigation system; and (8) the company failed on their social obligation to provide the correct and necessary information to the host and neighboring communities. The investigation team recommended the following: (1) that the mining company (Celestial) secure a PCSD clearance for its exploration project, as required by Republic Act No. 33 Executive Summary, Palawan Nickel Projecy-U309A, Pre-Feasibility Study of Mighty Beaut Minerals, Inc. 34 Investigation of the Impacts of Celestial’s Exploration Activities in Brooke’s Point, ELAC-Scientific Advisory Team (SAT), 2000. 35 News Release, October 12, 2000, Mighty Beaut Minerals, Inc. (www.mightybeaut.com) 36 Intra-Office Memo of Engr. Leo Eusev Palao to PCSDS Executive Director Atty. Joselito Alisuag dated 02 October 2000 containing the findings of the investigation.
  • 26. 26 7611; and (2) for the PCSD to pursue appropriate action/s against Celestial on, among others, their non-compliance with the conditions set forth in their approved MPSA. As a result of the said investigation, the PCSD ordered the mining company to “stop all exploration activities until such time that the above issues are resolved.”37 In response, the mining company undertook some remedial measures to implement necessary work programs in compliance with their Exploration and Environmental Work Programs (EEWP). On March 22, 2001 and April 4, 2002, the mining company submitted copies of its progress reports to ELAC and DENR-MGB Region IV, respectively. The reports (accompanied with photos) contained the various activities such as fencing of test pits, tree planting, and installation of additional warning signs that were undertaken by the company in their project area. Since the alleged illegal exploration issue was not resolved, some residents of Brgy. Maasin through the Pro-Life and Environment Friendly Association (Pro-Life) again wrote to the concerned agencies (PCSD, DENR, Governor’s Office, ELAC) on May 4, 2004, complaining of such illegal activities. The group claimed that Celestial was engaged in exploration activities without the necessary exploration permit. Thus, on May 12, 2004, the DENR-Community Environment and Natural Resources Office (CENRO) conducted its own investigation and found out that the exploration/drilling activities undertaken by Celestial “is a clear violation of [Republic Act No.] 7942 and the terms and conditions stipulated in the approved MPSA.”38 The DENR-Provincial Environment and Natural Resources Office (PENRO) then forwarded the result of the investigation to the DENR-MGB Regional Office for the latter’s action. The Endorsements and the FPIC process Despite the various complaints and issues raised by concerned residents, particularly of Ipilan and Maasin, prior to and after the said investigation, some Barangay LGUs41 in the municipality of Brooke’s Point endorsed the mining exploration of Celestial. The informants recall that, in one of the dialogues between civil society groups and local officials, the Local Chief Executive promised to “consult” the people on the issue of mining. However, this was not done. They learned later that the endorsement for Celestial’s exploration activity had been given by the Chief Executive without the consent of his constituents. 37 Letter of PCSDS Executive Director Atty. Joselito Alisuag addressed to Mr. Denis C. Hernandez, President of CNMEC dated 29 November 2000. 38 Investigation Report of DENR-CENRO Brooke’s Point dated May 24, 2004 41 Bgy. Resolution of Bgy. Ipilan obtained by ELAC
  • 27. 27 On June 24, 2005, MacroAsia was able to secure a SEP Clearance from the PCSD for its mineral exploration project in Ipilan, Mambalot and Maasin. Despite the opposition raised by civil society groups, the PCSD pushed through with the issuance of the clearance. Two months later, in August 2005, the company secured the FPIC of the concerned indigenous people within the impact communities for its exploration activity. In late 2005, the Sangguniang Bayan of Brooke’s Point endorsed the mining exploration of MacroAsia. The passage of the resolution was swift. Residents were totally oblivious of the fact that an endorsement had been given, as no public consultations were undertaken. After the issuance of the said endorsement, civil society groups consisting of irrigators’ associations, indigenous groups, church groups, and professionals, undertook concerted actions, such as the signing of petitions, and the holding of discussions-fora, dialogues and a rally, calling for the revocation of the endorsement. When all of their initiatives and demands fell on deaf ears, the anti-mining groups initiated a Petition for Recall against the Local Chief Executive. Unfortunately, even as the Petition for Recall was signed by more or less 6,000 registered voters, the initiative did not prosper as the Commission on Elections (COMELEC) failed to hold a special election for the purpose.39 On May 10, 2006, the provincial governor wrote a letter to DENR Secretary Angelo Reyes complaining about the issuance of the MPSA to MacroAsia in the absence of an endorsement from the Sangguniang Panlalawigan. In his letter, Governor Reyes claimed that “no consultation and prior approval of the LGUs concerned were secured by the applicant (MacroAsia), in blatant violation of Republic 7942 (Philippine Mining Act), Republic Act 7160 (Local Government Code), DENR Memorandum Order No. 2004-09, DENR Administrative Order No. 2005-15, and Provincial Ordinance Nos. 682 and 918 re: Mandatory Consultation and Project Endorsement Guidelines”40. The governor then requested the DENR to “immediately effect the SUSPENSION, if not, CANCELLATION of the Mineral Production Sharing Agreement (MPSA) of MacroAsia Corporation for violation of the pertinent laws, rules and regulations and orders.”41 Elections as an arena of engagement Unsatisfied with the government’s responses to the said controversy, the anti-mining groups saw an opportunity in the May 2007 elections to sustain their fight against mining. The group led by SIKAP came up with a complete slate for the municipal LGU positions, with the mining issue as one of its electoral agenda. The anti-mining candidates utilized their campaign sorties as a vehicle to expose mining issues. The slate also came up with its own development agenda for the municipality. Although the group competed with political veterans, they managed to win the vice mayoralty position in 39 Interview with Nomelito Lagan & Vice Mayor Mary Jean Feliciano, leaders of SIKAP 40 Letter of Hon. Governor Joel T. Reyes to DENR Sec. Angelo Reyes dated May 10, 2006. 41 ibid
  • 28. 28 the person of Atty. Mary Jean Feliciano, a staunch anti-mining advocate and one of the leaders of SIKAP. Issues and Conflicts Based on the accounts of key informants42 and a thorough review of applicable laws, policies and issuances, the following are the key conflict areas in this case: Conflict between mining and the municipality’s Comprehensive Land Use Plan The Municipal Comprehensive Land Use Plan (CLUP) for 2000-2010 of Brooke’s Point was adopted under Municipal Ordinance No. 04, series of 2001 and approved by the Sangguniang Panlalawigan, through Resolution No. 4786, series of 2001. It identifies the 2,835.06-MPSA area of CNMEC in Barangays Maasin and Ipilan as part of the proposed “Communal Forest” of the municipality. The CLUP mandates that “protection and production forests which cover approximately 54,099 hectares or 63.60% of the municipal land area be maintained”43 as such. In fact, the LGU of Brooke’s Point had already delineated more or less 5,000 hectares located in the buffer/controlled use zone as the proposed communal forest. The CLUP, likewise, did not identify mining as one of the municipality’s development strategies, nor did it mention mining as one of the economic sectors. Rather, the CLUP focused on forestry, marine and fisheries, agriculture, tourism, and commerce, trade and industry as its key development sectors. In terms of industrial activities, the CLUP is geared towards “processing of agriculture and fishery products.”44 It also emphasized that the “promotion and support of agro-based, small- and medium-scale industries shall form the core of the municipal industrial strategy.”45 Therefore, as far as the CLUP is concerned, mining was never considered as a development strategy, and that the municipality’s land and resource uses are largely devoted to agro-forestry development, watershed protection and forest management. Mining within ancestral domains 42 Informants interviewed individually and through FGD between August-September,2007 43 Proposed General Land Use, CLUP, pg. 160 44 Development Strategies, CLUP, pg. 127 45 Ibid
  • 29. 29 The indigenous Pala’wan tribe has existing ancestral domain claims covering an approximate area of 4,600 and 10,000 hectares in Barangays Maasin and Aribungos, respectively. According to the key informants, the indigenous peoples have been utilizing their lands, rivers, streams and forest areas for cultural and economic uses such as kaingin (slash and burn farming), hunting of wild boar, and gathering of almaciga resin, wild fruits, and honey. However, with the entry of mining companies in their ancestral domains, the traditional practices of the indigenous people would definitely be affected. They further claimed that the “diwata” or spirit may be driven away because of the disturbance resulting from the mining activity. Customarily, Pala’wans believe that the spirit would curse them (“paneket”) if Mt. Gantong and Mt. Kalinduan, which are believed to be sacred places (“panyaen”) are destroyed. Other members of the tribe, however, viewed the re-entry and future operations of the mining companies as economically beneficial. They said it would help them in terms of employment. They also claimed that the affected IP communities would directly benefit from the 1% royalty share of the gross revenue of the mining company. The IPRA Law provides that any activity or project implemented within an ancestral domain should secure a Free and Prior Informed Consent (FPIC) from the concerned indigenous peoples. The law emphasizes “consensus” as the operating principle in securing the FPIC of the concerned indigenous people and further stresses that the process must be in accordance with their own customary practices. Section 3(g) of the IPRA defines FPIC as: “Free and Prior Informed Consent - as used in this Act shall mean the consensus of all members of the ICCs/IPs to be determined in accordance with their respective customary laws and practices, free from any external manipulation, interference coercion, and obtained after fully disclosing the intent and scope of the activity, in a language and process understandable to the community” (emphasis supplied). However, while the mining companies were able to secure FPIC from the affected IP communities, the process undertaken by the NCIP was not only inconsistent with the spirit of “consensus,” it was also allegedly marred by bribery and manipulation. During the general assembly of IPs in Sitio Linao, Ipilan, Brooke’s Point, on August 30, 2005, some IPs46 personally witnessed certain community leaders offering money to IP participants - including the witnesses themselves. The offer was made in exchange for their “Yes” votes during the FPIC assembly. According to them, the assembly was supposedly exclusive for the IPs of Aribungos and Linao, Ipilan but some IPs from other barangays were also allowed to participate. 46 Sworn Affidavits of Nolsita Siyang, Ingkal Lumnas, Dailan Mailan, Ulot Torina Basio Torina & Tarsan Torina
  • 30. 30 It should be noted that some of the witnesses subsequently retracted their statements and denied that there was bribery during the FPIC process. A few months later, one of them attested that he was threatened in connection with the statements he made. Conflict between mining and watersheds The LGU of Brooke’s Point has identified the forest areas of Barangays Maasin and Aribungos as potential sources of water supply for the municipality. In Maasin, initiatives have already been undertaken to delineate the watershed areas through the adoption of a Barangay Resolution.47 The Mt. Gantong watershed, located in Barangay Aribungos, is also being utilized as one of the major sources of water for domestic and agricultural purposes. While these areas have not yet been legally declared as “watershed areas,” the farmers of Maasin, Calasaguen, Barong-Barong, Mambalot, Ipilan and Aribungos have been benefiting from two Communal Irrigation Projects (CIPs) - the Maasin–Calasaguen Communal Irrigation Project (servicing the irrigation needs of the farmers of Barangays Maasin and Calasaguen) and the Sabsaban Communal Irrigation Project (which irrigates the farmlands of Barangays Ipilan, Mambalot, Barong-Barong and part of Aribungos). These CIPs, together with three other CIPs in the municipality, collectively irrigate more or less 3,000 hectares of rice fields. These rice fields produce an average of 412,000 bags of palay, which at a conservative estimate are worth approximately P165 million, annually. These irrigation projects cost approximately P200M48. Yet, despite the resolution submitted by the Maasin-Calasaguen Irrigators’ Association to declare the source of irrigation as a “watershed area,” the proposal has not been acted upon by the LGU and the DENR. Chapter VI, Article 67 of Presidential Decree 1067 or the Water Code of the Philippines states that: “any watershed or any area of the land adjacent to any surface water or overlying any ground water may be declared by the Department of Natural Resources as a protected area”. These watershed areas are directly or indirectly facing imminent threat from the proposed mining operations of MacroAsia and INC. The former has a mining claim which covers part of the Mt. Gantong watershed, while the latter is currently operating adjacent to the proposed watershed area of Maasin. 47 The Bgy. Council of Maasin passed a Resolution delineating and declaring the forest of Maasin as a “watershed area”. ELAC assisted in the delineation and survey of the proposed watershed area. 48 Mr. Danilo Gonzales, Manager of BPRWSA, during a key informant interview on August 9, 2007
  • 31. 31 However, the mining companies argue that they are currently operating outside the watershed areas and their activities are still in the exploration stage. On several occasions 49 though, the mining companies would only explain in great detail the exploration activities and tend to evade the issue on the impacts of mining during actual operations. Questionable decision-making processes of LGUs The decision taken by key LGU officials of Brooke’s Point from barangay to municipal levels endorsing the mining exploration activities of INC and MacroAsia have been strongly criticized by some local stakeholders due to the absence of “public consultations.” Key informants feel that the endorsements did not consider the general interest and welfare of the majority of the constituents. They further believe that such hastily-made decisions have ignited the conflict and contributed to further division among the local stakeholders. They also claim that some important provisions of the Local Government Code were not followed. Among the important provisions is Section 27, which states that: “Prior Consultations Required. - No project or program shall be implemented by government unless the consultations mentioned in Sections 2 (c) and 26 hereof are complied with, and prior approval of the sanggunian concerned is obtained: Provided, That occupants in areas where such projects are to be implemented shall not be evicted unless appropriate relocation sites have been provided, in accordance with the provisions of the Constitution” The key informants believe that the above-mentioned provision has not been observed by the local officials when the said resolutions were passed. The informants added that the said provision and other important provisions should have been the legislative prerequisite prior to the said endorsements. Some barangay officials interviewed during the research have validated this claim. According to them, the Resolution endorsing the exploration activity of MacroAsia was already drafted, and further claimed that there were really no deliberations made by the council, or any public hearings conducted.. According to some key informants,50 the Sangguniang Bayan briskly passed the Resolution of endorsement for MacroAsia in a single session without observing the regular legislative process. What complicated the issue further was that, when the Resolution was deliberated on the floor, the council’s Presiding Officer was the acting OIC for the Mayor. On the part of the Barangay Council of Aribungos, it withdrew its endorsement of MacroAsia’s exploration activity partly as a result of pressure from several groups in Aribungos, including OIPAPI, AMP and the irrigators’ association. The Punong Barangay of Aribungos also 49 Multipartite Monitoring Team (MMT) meetings and public fora sponsored or attended by the mining company. 50 SIKAP personalities
  • 32. 32 stood up against the position taken by the other five Punong Barangays and the Local Chief Executive. Aside from the perception that some local officials have violated important provisions of the Local Government Code, those opposing the exploration activities feel that they have been betrayed by the Local Chief Executive when he defied his own public pronouncement that he would “consult” his constituents particularly on Celestial’s exploration activity. These questionable endorsements were the very sources of conflicts among the local stakeholders. Mining within core and restricted use zones of ECAN The SEP Law adopted the ECAN as its main strategy. Programs and projects to be implemented in the province of Palawan must be consistent with this framework. Therefore, the PCSD shall approve or disapprove a particular project based on the following criteria: (1) Ecological viability - The physical and biological cycles that maintain the productivity of natural ecosystems must always be kept intact; (2) Social acceptability - The people themselves, through participatory process, should be fully committed to support sustainable development activities by fostering equity in access to resources and the benefits derived from them; and (3) Integrated approach - This allow for a holistic view of problems and issues obtaining in the environment as well as opportunities for coordination and sharing that will eventually provide the resources and political will to actually implement and sustain SEP activities. Thus, in issuing a SEP Clearance, PCSD is mandated to implement Section 9 of the SEP Law, which specifically states: SEC. 9. Terrestrial Component; Management Scheme and Zonation. — The terrestrial component may be further subdivided into smaller management components for a more efficient supervision. These management components, in turn, shall each be further subdivided into the following zones: 1. Area of maximum protection or core zone — This zone shall be fully and strictly protected and maintained free of human disruption. Included here are all types of natural forest which include first growth forest, residual forest and edges of intact forest, areas above one thousand (1,000) meters elevation, peaks of mountains or other areas with very steep gradients, and endangered habitats and habitats of endangered and rare species. Exceptions, however, may be granted to traditional uses of tribal communities of these areas for minimal and soft impact gathering of forest species for ceremonial and medicinal
  • 33. 33 purposes. 2. Buffer zone — This area permits regulated use and may be further subdivided into three (3) sub-zones: a. Restricted use area. — Generally surrounds the core zone and provides a protective barrier. Limited and non consumptive activities may be allowed in this area; b. Controlled use area. — Encircles and provides the outer barrier to the core and restricted use areas. Controlled forest extraction, like the collecting of minor forest products, and strictly controlled logging and mining may be allowed; and, c. Traditional use area. — Edges of intact forests where traditional land use is already stabilized or is being stabilized. Management and control shall be carried out with the other supporting programs of the SEP. 3. Multiple/manipulative use area. — This is the area where the landscape has been modified for different forms of land use such as intensive timber extraction, grazing and pastures, agriculture and infrastructure development. Control and management shall be strictly integrated with the other supporting programs of the SEP and other similar programs of the Government” (emphasis mine). However, both the mining claims of MacroAsia and INC are partly situated within core and restricted use zones of Mantalingahan Range which are considered as “non-allowable areas” based on the updated 2005 ECAN map of the municipality. The updated ECAN map was adopted by the Sangguniang Bayan of Brooke’s Point in 2005.51 Despite this, the PCSD issued SEP Clearances to the two companies in 2005. The PCSD has not given any justification for the issuance. Moreover, most of the areas within and around Mantalingahan Range either have existing mining claims, or are subject of applications for exploration and mining operation. Some stakeholders believe that the re-entry of extractive industries in an area as ecologically important as Mt. Mantalingahan is diametrically opposed to the primary objective of declaring the area as a Protected Landscape. Conflicting interests and perceptions of local stakeholders on mining There are divergent interests and perceptions among local stakeholders as far as the issue on impacts and benefits of mining is concerned. Such contrasting and diverse interests constitute one of the causes of conflict and tension among the concerned parties. 51 See Municipal Resolution No. 2005-110
  • 34. 34 Aside from the position taken by the Catholic Church52 on the mining issue, which is anchored not only on environmental grounds, but also on the social and moral implications of mining in the life of its flock and on the “integrity of Creation”, the civil society organizations in Brooke’s Point generally anchor their opposition on the social, economic and environmental implications of mining. They believe that mining should not be considered as a development option at all, as far as Brooke’s Point is concerned. They claim that the municipality has other options for improving the local economy and addressing poverty. The group asserts that the LGU should prioritize, enhance and support the agricultural and tourism sectors because fishery and agricultural resources are still abundant, and the eco-tourism business has potential. However, other sectors, groups and individuals have different views and strategies on economic development and poverty alleviation. The pro-mining groups (such as BROFETRICS, and some local officials) believe that mining is economically beneficial. They argue that given the current state of the local economy and the living conditions of the people, mining is an alternative because it would substantially contribute to the local coffers in the form of taxes and socio-economic projects, especially in the impact communities. They say that the huge mineral deposits beneath the mountains and forests should now be extracted and utilized while the demand for nickel and other metallic minerals are still high in the international market. Among the tribal chieftains and their followers, the 1% royalty share of the indigenous peoples as well as the socio-economic benefits (e.g., jobs, water pumps, scholarships, and livelihood projects) given by mining companies are enough reasons for their continued support to the mining industry. However, IP groups under the Panglima Assembly view these socio-economic projects and contractual job offers to the locals as instruments of the mining companies to entice residents to support the exploration activities. They observed that this approach sowed divisions among the indigenous peoples. Analysis and Recommendations The case study shows that concealment, undue haste and circumvention, especially on matters involving public interest, make up a recipe for social conflicts. The exclusion of the majority of the local stakeholders in the decision-making process, coupled with a widely perceived circumvention of the rule of law, only strengthen the resolve of some constituents to continually distrust their public officials. The perception of other stakeholders that there seemed to be a manipulation of the process of endorsement only heightened the conflict and further strained the relationship among local stakeholders. 52 Statement of Concern issued by the Bishop, Clergy and the Association of Religious Women of the Apostolic Vicariate of Puerto Princesa, 2007.
  • 35. 35 While the tension is relatively manageable and the relationship among the different stakeholders largely remains to be civil, the situation has the potential to escalate if the following concerns, which can serve as “conflict flashpoints,”53 remain unattended: 1) the impact of mining on watersheds and irrigation, the cultural and economic practices of the IPs, and forest and agricultural sustainability; and 2) the perceived propensity of some government authorities to favor mining companies (e.g., endorsement without public consultations), and the apparent lack of transparency on the part of the mining companies to disclose important information to the public, especially on the negative impact of their mining activities (information was largely devoted to exploration activities), which only exacerbates the tension within the communities. Although the mining companies have been conducting series of consultations and information dissemination campaigns to inform the public on the extent of their projects, participants to these activities are usually those who are in favor of mining. Aside from the above-stated factors, conflict is essentially induced by the divergent views of the local stakeholders on mining. This disparity is anchored on economic benefits on one hand, and environmental impacts on the other. The pro-mining groups and individuals believe that mining is one of the alternative solutions to address the social and economic inequities such as unemployment, low income and limited opportunities. Therefore, the extraction and utilization of huge mineral deposits beneath the mountains and forests are necessary while there is a high demand for nickel and other metallic minerals in the international market. On the other hand, the anti-mining groups believe that mining should not be considered as an option at all for Brooke’s Point. They argue that the municipality is still rich and productive in terms of fishery and agricultural resources. The group asserts that the agricultural and tourism sectors should be prioritized, enhanced and supported by the local government unit of Brooke’s Point in order to improve the local economy and uplift the living conditions of its constituents Based on the foregoing, this study recommends the following courses of actions to prevent the escalation of conflicts and eventually pave the way towards the resolution of the identified “conflict flashpoints”: (1) Establishment of mutually acceptable and transparent mechanism/s and strengthening of existing structures The conflicting parties, especially the LGUs and civil society organizations, should agree on a functional mechanism that is mutually acceptable, inclusive and transparent to the public. The rationale for instituting this mechanism is to facilitate the resolution of emerging issues and grievances by purposively encouraging the participation of different stakeholders in the entire process of conflict resolution. Existing bodies can be tapped for this purpose, such as the ECAN Board which is mandated to oversee, monitor and make policy recommendations in relation to the implementation of the SEP law and other environmental laws. Regular dialogues and participatory, community-oriented forms of grievance mechanisms can be initiated within the ECAN structure. Other existing administrative structures, such as the Municipal Development 53 Michael Carson et al. of Woodrow Wilson School of Public and International Affairs, coins key issues that are important determinants of conflict as “conflict flashpoints”
  • 36. 36 Council, Barangay Development Councils and Lupon ng Tagapamayapa can be strengthened and utilized in resolving disputes. By installing an effective grievance procedure down to the community level, conflicts or issues are immediately settled and/or clarified. The absence of a conflict resolution mechanism at the community level, as this study showed, has contributed to the building up of a complicated web of issues, which are sometimes, irrelevant to the main points of the controversy. Strengthening existing administrative structures, which are multisectoral and multidisciplinary in nature, is necessary. Through the involvement of different sectors and key players, issues or concerns are decided collectively rather than through the exclusive discretion of the politically dominant structures of government (e.g. Sangguniang Bayan). Thus, decisions can be collegial and there is greater probability that the processes involved (including the structure itself and the issues to be resolved) are acceptable to all. However, this mechanism should not negate the mandated duties and responsibilities of elected officials. Rather, it should democratize the decision-making process, especially on crucial issues like mining. As Stephen Tyler54 suggests, there is a need “to sort out new mechanisms and institutions to manage these conflicts and resolve them productively in the interests of both long-term sustainability and short-term economic feasibility”. In the process of resolving conflicts especially between LGUs and civil society organizations, a dialogical approach can be an effective means. Through reflective dialogue,55 parties can consider the wider interests of different stakeholders rather than just their respective positions. Through this approach, the quality of conversation is transformed from discussion and debate to collective inquiry (Isaacs 1999), thus, effectively resolving the issue at hand. The prevailing suspicions and distrust are objectively clarified and reflected on by both parties. (2) Strict implementation of applicable laws, policies and ordinances One of the key factors that fueled the conflict is the failure to adhere to the provisions of the applicable laws. Thus, government authorities especially the LGUs, DENR, PCSD and NCIP should fairly and judiciously implement the relevant laws, policies and issuances, and perform its official duties according to their respective institutional mandates. Several provisions of various laws, such as, but not limited to, Sections 26 and 27 of the Local Government Code, Section 9 of the SEP Law, Chapter VI, Article 67 of Presidential Decree 1067 or the Water Code of the Philippines, Chapter II, Section 3 (g) of IPRA Law and Municipal Ordinance No. 04 series of 54 Dr. Tyler is the founder of Adaptive Resource Management Ltd, an interdisciplinary consulting practice specializing in community-oriented natural resource management and adaptation studies. From 1997-2005, he was Team Leader for the Community-Based Natural Resource Management (CBNRM) program of the International Development Research Centre. 55 Isaacs (1999) uses the term “reflective dialogue” to refer to a process “where you become willing to think about the rules underlying what you do- the reasons for your thoughts and actions...”