Thursday, 15 May 2025, 10:19 pm

    Supreme Court voids Occidental Mindoro mining ban

    The Philippine Nickel Industry Association (PNIA) on Thursday welcomed the landmark Supreme Court (SC) decision invalidating Occidental Mindoro’s 25-year mining ban that resolves long-standing regulatory ambiguities and reaffirms the legal primacy of national laws over local ordinances in natural resource governance.

    The en banc decision, dated 14 January but released only this week, nullified the moratorium on large-scale mining activities imposed by Occidental Mindoro and the municipality of Abra de Ilog. The High Court ruled that the ban violated the Philippine Mining Act of 1995, which governs mineral exploration and development across the country.

    “We commend the High Court’s decisive stance in upholding the rule of law, which clarifies the regulatory framework for mining in the Philippines and marks a pivotal step in enhancing the competitiveness of the mining industry while fostering its sustainable development,” the PNIA said in a statement.

    The decision, according to PNIA, carries broad legal and commercial significance. It reinforces the view that while local governments may assess and approve mining applications within their jurisdictions, they cannot issue sweeping prohibitions that conflict with national legislation.

    “This ruling clearly establishes that while local governments have the authority to evaluate and approve mining applications, they cannot impose blanket bans on mining,” PNIA said. “This distinction is crucial for maintaining harmony between local and national priorities, ensuring that the mining industry operates within a stable, predictable, and legally consistent framework.”

    PNIA — whose members include key players such as Nickel Asia Corp., DMCI Mining Corp., and Marcventures Holdings Inc. — said the ruling eliminates a major source of investor uncertainty. In recent years, several local government units have moved to halt or restrict mining activities, prompting legal challenges and regulatory fragmentation that have hampered the sector’s growth.

    “This development removes uncertainties in the local mining sector, especially those that are caused by local bans, creating a more secure investment climate for the country,” the group added.

    PNIA also emphasized its commitment to responsible mining and collaborative governance, saying it is prepared to work closely with national and local authorities, as well as civil society stakeholders, to harmonize policies and strengthen oversight.

    “We believe sustainable mining can only thrive through constructive dialogue and well-defined legal standards that balance environmental protection, community welfare, and economic development,” the group said.

    The SC ruling is expected to have implications beyond Occidental Mindoro, setting a legal precedent on the limits of local autonomy in the context of natural resource management. Legal experts note that it may serve as a basis for resolving similar conflicts across other provinces with pending or proposed mining bans.

    The PNIA comprises both full and associate members across the mining and logistics value chain, making it one of the most comprehensive industry bodies in the mineral sector.

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