Pimentel bats for Cha-cha anew as ZTE mining row heats up
abs-cbnNEWS.com | 09/14/2008 6:35 PM
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Senate Minority Leader Aquilino Pimentel Jr. pressed for constitutional amendments anew Sunday in light of the purported mining deal between the Philippines and China's ZTE Corp. in Mt. Diwalwal, Compostela Valley province.
Pimentel, principal author of Senate Resolution No. 10 that seek for a shift to federal system, said changing the present form of government will provide an opportunity to review and modify the country’s mining policy.
“Based on Joint Resolution l0, the executive branch may enter into mining agreements with firms according to the conditions provided by the Constitution and by law,” he said.
He, however, said that the Senate should still be on top of the confirmation.
"The agreements must be subjected to Senate confirmation before implementation and the mining firms must follow the best international practices," he said.
The senator stressed the need to protect the environment and welfare of the people, noting that laws and rules are liberalized today to lure foreign and local investors into the mining industry.
He noted that opening up of more mineral-rich areas in various parts of the country has caused restiveness among the people in the affected communities due to indiscriminate mining activities.
As a result of the December 2004 decision of the Supreme Court overturning its earlier decision declaring the Mining Act of l995 as unconstitutional, he also said the rights of foreigners investing in the mining industry have been broadened and in effect, they may now “fully own and operate mining firms.”
“The world’s largest mining firms – many of which are notorious in other parts of the globe – will bring this country into a state of calamity and will unleash an environmental tsunami that would engulf the people in a tide of unparalleled hardship,” he said.
Pimentel also called for the amendment of the Mining Act of l995 or for its scrapping to replace it with a more environment-friendly legislation.
He said his resolution provides safeguards against environmental degradation and to uphold the rights of the people in the surrounding communities.
Economic provisions
Meanwhile, Pimentel said Congress will have to study proposals to amend the economic provisions of the l987 Constitution to encourage foreign investors to do business in the country.
Pimentel said the changes in the economic provisions may be tackled by Congress if it decides to convert itself into a constituent assembly to consider the proposal for the adoption of a federal system of government.
“If there are certain federal states that are not disposed to granting foreigners the right to own lands, that is up to them. On the other hand, there may be other federal states that may be inclined to grant such right to attract foreign investments. But they must account for their decision before the people,” he said.
Earlier, Trade and Industry Secretary Peter Favila said the amendments to the economic provisions of the Constitution are necessary to enhance the country’s economic competitiveness.
Favila said specifically mentioned the need to change the provisions on the limitations on foreign ownership of enterprises and on the ban on their ownership of lands.
'Stop the lies'
Also on Sunday, Favila and Environment Secretary Lito Atienza called on lawyer Harry Roque, a staunch critic of the Arroyo administration, to stop peddling “lies” about the alleged mining deal between the Philippines and China's ZTE Corp.
Favila and Atienza reiterated that in the first place, no mining contract in Mt. Diwalwal had been signed by the Philippine government and ZTE. They said it was only a memorandum of understanding (MOU), not a contract.
The MOU was non-binding and it did not push through, both Favila and Atienza pointed out.
“Siguro noong 2006 ay nag-kapirmahan ng MOU pero wala nang nangyari after that sapagkat sa ngayon, even noong isang taon noong nag-take over ako sa [Department of Environment and Natural Resources (DENR)], wala akong nakitang interest, or any operation, or any document on that matter that shows ZTE pursued any mining interest in the country. In other words
ang MOU never materialized. In other words they were not pursued,” Atienza said in a radio dzMM interview Sunday morning.
Atienza accused Roque of lying about the MOU. He also challenged the lawyer to produce more proof to back up his accusations. The environment chief lamented that the “misinformation” only sows confusion and foments anger.
During the same teleconference, Favila said the MOU was non-binding because it is still subject to negotiations and to Philippine rules and regulations.
“Itong sinasabi niyang kontrata ng pagmimina supposedly with the ZTE, hindi ko malaman kung saan nanggagaling itong si Professor Roque, kung anong basehan niya,” Favila said.
Favila also denied Roque’s accusation that the Arroyo administration would be giving away 90 percent of the country's gold reserves in Mt. Diwalwal to ZTE if the mining deal pushes through.
Like Atienza, the trade secretary called on Roque to show more proof, aside from the MOU, that would support his allegations.
