Background

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Role of Private Sector in EIA The RTNMC/CBNC
Experience

• Background
• Roads Taken
• Lessons Learned
• Role of RTNMC/CBNC in EIA
• EIA Outcome
• Recommendations

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The RTNMC Operation
Since 1977, RTNMC has been mining saprolitic
nickel ores selling them to ferro-nickel smelters
abroad. The mine is located in Barangay Rio
Tuba, Bataraza, Palawan. In 1996, an EIA was
conducted for the renewal of its 990-Ha Ni Mining
Claims and the conversion of its MLC to MPSA.
ECC was granted the following year.
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In its more than 25 years of operation, RTNMC
accumulated 20 million dry tonnes of laterite and
low-grade Ni ore. Then considered as waste,
these were stockpiled at the site.
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The HPP Project of CBNC
Extensive metallurgical tests were carried out to
extract Ni and Co from the low-grade ore. The
production of a mixed Ni and Co sulfide through a
hydrometallurgical process called HPAL was found
possible. Later developments by Sumitomo Metals
and Mining Co. Ltd. justified the feasibility of
the HPP Project.
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The project is located inside the mining facility
of RTNMC.In Oct. 2000, an EIA was conducted and
the ECC was granted in July,2002.While
construction proceeded, the ECC was challenged in
the senate, in the courts, and at the PCSD.In
Aug.- Sept, 2004, the MPP and EPEP were obtained.
MPSA will be released this month.
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The HPP Complex
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Roads Taken... (The RTNMC/CBNC Experience with
the HPP Project)
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623 days
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• ECC took 617 days (102500-071002)
• Project Scoping , 115 days
  (102500-021901)
• EIS Preparation , 157 days
  (021901-072401)
• EIS public acceptance took
• Bataraza Sanggunian , 26 days
  (072401-082001)
• Bgy Rio Tuba Sanggunian, 32 days
  (072401-082601)
• Palawan Sanggunian , 47 days
  (072401-091101)
• 30 Different Organizations, 110 days
  (072401-111201)
• 5 IP Councils , 154 days
  (072401-122601)
• 10 Brgy Capts Manifesto , 206 days
  (072401-021902)
• EIS technical report acceptance took
• PCSD , 127 days
  (072401-112901)

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Reasons for Long EIA Process

• Wide latitude given to all stakeholders LGUs,
  NGOs, POs, IPs, Church
• Two separate reviews to contend with PCSD and
  EMB

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• NCIP - CPC took 1148 days(062501-092404)
• Application for 1st FBI by NCIP Provl
  , 101 days
• Moratorium on FPIC processing
  , 300 days
• Reapplication for 1st FBI by NCIP IV
  , 150 days
• Notification to FPIC Conduct by NCIP IV
  , 65 days
• Application for CPC/Denial by NCIP IV
  , 30 days
• Conduct of 2nd FBI by NCIP IV
  , 36 days
• Reapplication for CPC/Denial of NCIP IV
  , 139 days
• Appeal to NCIP CO to 3rd FBI and
• Conduct of FPIC by NCIP CO Legal
  , 90 days
• Submission of FPIC / MOA and
• Approval by NCIP CO
  , 237 days
• NCIP Issuance
• CPC
  , 1148 days
  
  
  (062501-082404)
• MOA
  , 1175 days
  
  (062501-092104)

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Reasons for Long FPIC Process

• Moratorium while NCIPs A.O. of 1998 was reviewed
  and revised to A.O. of 2002
• Questionable legal interpretation of A.O. of 2002
  and apparent bias at the NCIP IV level.
• Influence of some NGOs on the IPs.

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• NGO Case took 547 days(121602-062304)
• Petition for Certiorari, Manila Court of Appeals
• (Dismissed, 121602 093003)
  , 284 days
• Motion for Reconsideration, Manila Court of
  Appeals
• (Denied, 093003 120803)
  , 68 days
• Petition for Review on Certiorari, Supreme Court
• (Denied, 120803 022304)
  , 75 days
• Motion for Reconsideration, Supreme Court
• (Denied with Finality, 022304 062304)
  , 120days

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Issues and Rulings

• NGO Issue
• Grave abuse of authority and discretion by the
  DENR Secretary in issuing the ECC
• Supreme Courts Ruling
• Courts will not interfere in matters which are
  addressed to the sound discretion of government
  agency entrusted with regulations or activities
  coming under the special and technical training
  and knowledge of such agency.
• Courts respect rulings of quasi-judicial bodies
  with finality if these are supported with
  substantial evidence.
• Administrative agencies are given wide latitude
  in the evaluation of evidence and in the exercise
  of its adjudicative functions.
• Petitioners failed to present compelling reason
  to warrant the deviation by this court from the
  foregoing salutatory principles.

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• PCSD RECALL took 305 days(100903 - 081304)
• Explanation of 13 old / recyled issues raised
• by NGO (100903 112103)
  , 43 days
• Discussion of Inspection/Investigation Report
• of PCSDs TWG (112103 030804)
  , 107 days
• Discussion of Inspection/Investigation Report
• of PCSDs CENR (030804 081304)
  , 155 days
• Decision Uphold the earlier clearance granted on
  
• November 29, 2001.

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Causes of the Delays

• MPP took 623 days (120902-082704)
• NCIPs late issuance of CPC
• EPEP took 686 days(103002-092104)
• NGO Petition for Certiorari
• PCSD Recall of HPP Clearance
• MPSA will be obtained this month.

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Roads Taken...
...were Bumpy but Passable!
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LESSONS LEARNED

• The EIA exercise was costly and time-consuming,
  but
• The comprehensive discussions and dialogues
  resulted in increased information flow to the
  stakeholders which enhanced their high level of
  awareness.
• On the part of the proponent, it made them
  realized the importance of becoming pro-active in
  addressing social and environmental issues.
• The exercise gave the assurance of the eventual
  realization of a balance of interests between
  development and environment.
• The experience was educational to the foreign
  investors and the business sector as well because
  of its far-reaching implications on doing
  business in our country.
• The judiciarys impartiality and high respect to
  administrative agencies was once again manifested.

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Role of RTNMC/CBNC in EIA

• Must be active participants, not just
  fence-sitters or behind the EIS preparers
• Shoulder financial responsibility during the EIA
  conduct and reviews
• Explain thoroughly the plans and coordinate
  credibly with all sectors
• Be responsible for administrative and
  coordination works
• Work very hard to get public acceptance

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EIA/EIS ensures a balance of interests on

• Economic Viability stated in the FS
• Environmental Protection thru the EPEP
• Social Responsibility thru the SDMP

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RTNMC ACCOMPLISHMENTS

• Infrastructures for Community Service (Php 100
  million, at the start of operations) for
  construction of hospital with pharmacy, schools,
  recreational facilities, markets, a catholic
  church, a muslim mosque, airstrip and port
  facilities.
• Environmental/Social Concerns (1991-2004)
• Environmental Protection (Php 135 million) for
  soil erosion control measures, dust suppression
  system, and mine rehabilitation/reforestation
  programs (203 Has. Mined Out areas and 132 Has.
  Outside). Recipient of 2002 PMIEA and other
  Environmental Awards, and 6 Safety Awards.
• Social Responsibility (Php 50 million) - for
  social development such as for school subsidies
  and scholarships, free medical /dental services,
  free transportation and water supply, free power
  to selected public places, sanitation (communal
  latrines), construction and maintenance of 51 kms
  farm to markets roads, and skills development
  programs.
• Generated jobs for 700 direct and indirect
  labor force. Stimulated local business and
  improved trade and commerce in the locality and
  province of Palawan,

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CBNC ACCOMPLISHMENT/PROGRAM

• Environmental Protection (Php 910 million
  capital, Php 230 million/yr operating) for
  wastewater treatment plants, tailings disposal
  system, air pollution control facilities, solid
  waste management system, and safety / health
  programs. Recipient of 2004 Safety Award for 3
  million manhours without LTA during the
  construction of the project facilities.
• Combined CBNC/RTNMC Social Responsibility (Php 90
  million for 5 years for 10 barangays) - for
  social development such as construction of
  classrooms, day-care centers, tribal halls,
  recreational facilities, 80 kms of main and
  feeder roads. Extends scholarships and free
  medical/dental services. Gives assistance to
  livelihood projects in the form of capital for
  cooperatives, farm tractors, improved irrigation
  systems, seeds and pesticides, and animal
  husbandry. Improves mobility with provision of
  multicabs and tricycles with sidecars in each
  barangay and communications with radios and
  cellfones, training/literacy programs.
• Generated jobs for an average of 1000 workers
  during construction and 500 employees when in
  operation. Stimulated local business and improved
  trade and commerce in the locality and province
  of Palawan.

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RECOMMENDATIONS

• Proponents should be true to its commitments and
  transparent in all transactions.
• The IEC should be pursued and continuously
  improved to be more effective in ensuring faster
  and accurate flow of information.
• Recognizing the NGOs steadfast dedication to
  protect the environment, they are encourage to
  get better technical advice to enable them to
  understand and better appreciate genuine efforts
  at explaining issues hence, give more merit to
  their work.
• Tap third party consultants to enable access to
  impartial and technically sound project
  assessment and recommendations.

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Thank You!
Happy Valentine