Mining 24: Casino-Hontiveros Mining Socialism is Off Tangent

Today is part 2 of the oral debate at the Supreme Court between the anti-corporate mining groups led by former Party-list Congressman Teddy Casino and Congresswoman Risa Hontiveros, and the Chamber of Mines of the Philippines (COMP). The former simply wants the government to confiscate as much money and revenues from the big mining corporations as possible because of their exploitation of the country’s mineral and forest resources, while being silent about similar exploitation by  the so-called “small scale mining” groups and individuals.

While data on various payment in taxes, fees, royalties and penalties made by large mining companies are available (See Mining Taxation and Government), there is zero data available for taxes and other payment by the small scale metallic (gold especially) mining. See also this comparison of mining taxation policies of Chile vs. the Philippines.

The petitioners want the SC  to declare Secs. 80 and 81 of RA 7942 as unconstitutional and then what, the SC will make its own tax rates in mining and insert them as the new Secs. 80 and 81 of this law? Can the SC legislate taxes and tax rates? This is not possible unconstitutional itself because such function is assigned by the Constitution exclusively to Congress, the House and Senate crafting a synchronized bill, and must be signed by the President.

I am wondering why these ex-legislators simply cannot wait for the new 16^th Congress to convene just four weeks from now and introduce an amendment to RA 7942, say government should get 90 to 95 percent of the net revenues of big mining companies and go for explicit mining socialism. Teddy Casino and Risa Hontiveros are socialists anyway, I do not think they will deny their affinity with near- or full-socialism and have social and economic equality in society, demonize and over-tax the rich, over-subsidize the poor including the lazy and irresponsible.

Below are some news reports on this subject.

(1) Chamber of Mines files SC motion to nullify Hontiveros petition

Philippine Star, June 21, 2013

COMP argued that since the La Bugal ruling – the longest in Supreme Court history which took six years for the high tribunal to deliberate on – there has been no material change in the circumstances of the Philippine mining industry.

“There is no compelling reason for the high tribunal to abandon its previous ruling,” COMP said in its motion.

Sec. 80 stipulates that the government share in mineral production sharing agreement (mpsa) is limited to excise taxes.

Sec. 81,on the other hand, limits the government’s share in Financial and Technical Assistance Agreement  (FTAA) to taxes, fees and royalties.

COMP said about P173 billion ($4 billion) in mining investments have been poured into the country since 2004 following the high court’s ruling, making the industry a significant contributor to national development, added COMP….

(2) SC to resume debates on constitutionality of mining law

Sun Star, June 24, 2013

Debates started last April as the SC wanted to know whether the mineral production sharing agreement (MPSA) is unconstitutional for allowing an inequitable sharing of wealth (Section 80) and the government surrenders control and beneficial use of mineral resources under the financial and technical assistance agreement (FTAA) under Section 81.

The Chamber of Mines of the Philippines (COMP)… also said an equitable revenue sharing in mining is a question for the legislative and executive branches of government to decide....

(3) On eve of 2nd day of SC oral arguments, groups push for alternative mining law

GMA News, June 24, 2013

In a press conference in Manila, Erwin Quinones of the SOS-Yamang Bayan, one group opposed to the law, said that they wanted an "Alternative Minerals Management Bill", in which mining activities are "regulated and needs-based."

Quinones said the alternative mining law should also pave the way for the creation of a "minerals management council" that would ensure the Philippine Government's interests are protected.

"In its present form the so-called revenue regimes of the Mining Act reveals that with its many fiscal incentives and tax holidays, it is a one-way assurance for mining companies get their profits while the Government and the Filipino people bear the brunt of the social and environmental risks," the groups said.

(4) Miners want to answer mining foes in SC

Philippine Daily Inquirer, June 25, 2013

… In its 38-page comment in intervention, the Chamber of Mines asked for the dismissal of the petitions for certiorari and prohibition filed by Hontiveros and her copetitioners, citing three reasons.

These were: That the arguments raised by petitioners had already been passed upon and disposed of against petitioners in the case La Bugal-B’laan Tribal Association v Ramos, which the Supreme Court made a landmark ruling; that the high court should stand by its ruling here; and that the legislative and executive branches should decide on the question of what is an equitable revenue sharing from mining.

The chamber also said the petitioners had not shown any compelling reason to abandon the La Bugal B’laan case as it described their arguments to be a “mere rehash of those already overruled” in the same case.

It also held that there was no actual case or controversy in which to relitigate the case and that petitioners did not complain that they had been injured because of these provisions.

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See also:
Mining 21: Chile Policies, May 21, 2013 
Mining 22: Philippines as EITI Candidate, June 05, 2013 
Mining 23: On the Proposed 10 Percent Gross Revenue Tax, June 06, 2013

Mining 14: Teddy Casino's Environmentalism

Yesterday, Teddy Casino, Senatorial candidate of Bayan Muna/Makabayan Coalition, posted this in his facebook page,

We recently challenged provisions of the Mining Act of 1995 in court.

Ang pagmimina ay dapat bahagi ng isang National Industrialization Policy para matiyak na napapakinabangan ng mga Pilipino ang ating yamang mineral, at minimal ang negatibong epekto nito sa kapaligiran at mga komunidad.
Read the full statement: http://ow.ly/k6Ibm 

http://www.teddycasino.org/casino-supreme-court-should-strike-down-flawed-1995-mining-law/

I commented on it, I wrote that “Government collects about 43% of the net revenues of big metallic mining firms. But government collects zero from small-scale metallic mining, and 9% from net revenues of non-metallic mining firms, http://funwithgovernment.blogspot.com/2013/03/mining-7-mining-taxation-and-government.html”

A supporter of Casino defended him, below are our exchanges:

Leon Dulce Para-Sa Kalikasan But its contribution overall is only 0.91% to GDP, 2.5% in total investments and 0.38% to total employment. At hindi lang taxation ang usapin sa large-scale mining.
http://www.businessmirror.com.ph/index.php/news/nation/10114-mining-act-assailed-by-ngos-anew

Nonoy Oplas The contribution of mining to GDP is similar to raw agriculture. Chicken sold at wholesale price would cost only about P100 each on average, that's the agri share to GDP. When the same chicken is sold as litson manok and sold at P212 (Andok's or Baliwag litson), the P112 value added is counted as service sector share to GDP.

Copper, nickel, iron, when sold as ordinary stones or soil, is priced relatively low. But without these mineral products, there will be no construction and steel industry, no electricity and power industry, no tv/cellphones/radio/various electronics industry.

Leon Dulce Para-Sa Kalikasan Minerals are finite and should be utilized based only on the needs of the people, with the environmental and socio-economic concerns of communities in mind, and with a national industrialization plan in mind.

But as it stands, ores and huge profits are exported while the people are left with literally crumbs. And poison. Look at Padcal Mines in Benguet. Look at Citinickel Mines in Palawan. These are just recent cases. Paano yung long-standing and unresolved like Marcopper?

Mining by TNCs are not bringing in the revenue and safety as advertised. Mining should the public's, no one else.

Please read the article linked above in sir Teddy's caption before rehashing the tired, old lines about "no laptops if no mining."

Nonoy Oplas I read Casino's statement and it's lousy. As I noted above, tax payment by small scale metallic mining in 2010 was zero vs. P12 billion by big metallic mining, constituting 43% of their net revenues. Why is Casino silent on zero taxes, all extraction only by so-called "small scale" mining but are actually "big politicians mining".

Mineral deposits are infinite. Magma, gases and geological movement from the planet's core to the mantle up to the crust, mineralizes ordinary rocks and soil. That is why countries in the Pacific Rim of Fire have more mineral deposits than those in Africa, Europe, S. America and N. America atlantic side. A mining engineer from UP Diliman showed slides about this, http://funwithgovernment.blogspot.com/2013/03/mining-8-supreme-court-hearing-on-ra.html

Leon Dulce Para-Sa Kalikasan Ooh, geologists and mining engineers! Let's wait for the millions of years needed to renew minerals through the continental drift. In the meantime, let's be contented with the poverty incidences that remain highest in mining-affected communities, according to UPSE economists.

Lousy.

Nonoy Oplas I saw Rio Tuba Nickel Mining in southern Palawan. That small barrio has more shops, more cemented roads, wide street lights, a La Salle-administered private elementary and high school and it's free for all of its students, a modern private hospital and it's free for all patients. So the "poverty incidences that remain highest in mining-affected communities" is fiction story by some emotional environmentalists. A few kilometers outside Brgy Rio Tuba, even in the municipal proper of Bataraza, there is more poverty, more unemployment, zero hospital available. See the photos and you will fume more 

http://funwithgovernment.blogspot.com/2013/03/mining-8-rio-tuba-mining-in-south.html

SONA 2012, the Demonstrators

State Of the Nation And Dress. I like that description by Cong. Pablo of Cebu, referring to the elaborate clothing by the legislators, their spouses and families, during the President's State of the Nation Address (SONA) yesterday.

The left leaning legislators and lovers of more government, more regulations, more taxation, more forced equality, particularly those from Bayan Muna or the mother organization BAYAN, had a field day protesting certain programs of the administration (or the lack of it ) both inside and outside the Batasan.

Party list Cong. Teddy Casino wore a barong with design "PRESYO IBABA", meaning prices of basic commodities must come down. Cong. I actually replied to his tweet about it, I said something like this "Yes, please tell the NPA  rebels to stop their extortion of businesses as these costs are passed on to us consumers", he did not reply.

The barong by another Party list Cong., Paeng Mariano has the design, "Hacienda Luisita, Ipamahagi" referring to the implementation of agrarian reform in that place, in Tarlac City. Lower design wore by a GABRIELA party list Congw. It says something about healthcare services. And another Bayan Muna party list Cong.  Colmenares wore a barong with the design, "Free the political prisoners". I'm no fan of any of these guys but I like their creativity in putting their advocacy in their formal dresses.

A long line of street demonstrators, along Commonwealth Avenue, going to Batasan. The last time I joined a rally during SONA was perhaps in the late 80s or more than 20 years ago, when I was still enamored with socialism.

These photos are from the facebook album of the Medical Action Group (MAG). I thanked John and Edel for their permission to use them here.

Twitter Notes, August 2011 (a)

Sharing again my recent tweets. Two parts here: July 26-20, then August 1-7, 2011.

July 26-30, 2011

AncientProverbs Motivational Quotes by Noysky
Employ your time in improving yourself by other men's writings, so that you shall gain easily what others have labored hard for. -Socrates

Oprah_World Oprah Quotes by Noysky
You know you are on the road to success if you would do your job, & not be paid for it. -Oprah

@maria_ressa "Fundamentalism is the problem" Beyond that, hatred among youth n rich countries why their expnsive welfare sys giv

@clean__energy Renewable Energy (RE) law in d Philippines is a big energy racket & cronyism. Makes already high energy prices more expensive

@philoquotes "If you are lonely when you're alone, you are in bad company ~ Sartre" Cool. Self contentment, self-confidence, we need that.

mitosmagsaysay Mitos Magsaysay by Noysky
Just came frm a hearing w/ Bureau of Customs. It's still got CORRUPTION written all over it. Thousands of containers missing w/ no taxes pd

risahontiveros risa hontiveros by Noysky
W/ Danny Lim & Jimmy Regalario, filed a case of plunder vs GMA this a m in d Ombudsman re d PCSO funds. End corruption! Justice to d people!

Oprah_World Oprah Quotes by Noysky
Everything you want is out there waiting for you to ask. Everything you want also wants you. Take action to get it. -Jack Canfield

"Time discovers truth. ~ Seneca" True. But sometimes a lie repeated over & over through time, becomes truth.

@WilsonLeeFlores @limbertqc @mikevchua @SagadaSun Phil. politicians r not xenophobic & anti-business. They're simply business extortionists.

@limbertqc @WilsonLeeFlores @karadavid Why ban buses from skyway? People need not bring their cars as buses on skyway reduce travel time.

@maria_ressa @bethangsioco Instead of divorce law, why not renewable marriage. Every 3 or 5 yrs, marriage annulled. Couples just renew it.

@bethangsioco @maria_ressa Renewable marriage not a joke if a legislative bill. Apply to civil wedding only, church not coverd by natl laws

@Montberte "Every absurdity has a champion who will defend it." LOL, so true. If theres politics involved, even natural sci becomes pol sci.

@limbertqc @WilsonLeeFlores @karadavid Cars & vans get unruly in skyway too, ban them too? Cost of banning buses way hi than projcted beneft

elybuendia9000 Ely Buendia by Noysky
Next time na may magkalat pa na patay na 'ko di na talaga 'ko maniniwala.

Zen_Moments Zen Moments by Noysky
The more you are willing to accept responsibility for your actions, the more credibility you will have. ~ Brian Koslow

@limbertqc @WilsonLeeFlores @karadavid U ban buses in skyway, people rushing to & fr Mla will bring their cars, then u complain more traffic

Donal_Blaney Donal_Blaney by Noysky
Hard-hitting & contemporary political ad highlighting how US politicians and voters are like drug addicts on spending:youtube.com/watch?v=itxfB3…

@SagadaSun @KAREN_DAVIL Akbayan & Bayan are not mortal enemies. They're both socialist leaning. They only disagree on form of struggle.

@SagadaSun @teddycasino @KAREN_DAVIL Ronald L is explicit socialist but many silent socialists in PNoy govt, They love endless subsidies.

@SagadaSun Combination of SocDems & Akbayan in PNoy govt. NatDems sided with Manny Villar in last elections, so they're outsiders now.

@SoSmileeey @dollyannec "We are products of our past, but we don't have to be prisoners of it" Cool. Always look forward, mindful of d past.

AncientProverbs Motivational Quotes by Noysky
The ideal man bears the accidents of life with dignity & grace, making the best of circumstances. -Aristotle

@teddycasino @Karen_DaviLa @SagadaSun Bert Gonzales fr PDSP, Ronald fr BISIG, both socialists. They play capitalism politics, so double talk

Debt default or credit ratings downgrade. Only 2 choices for the US & both are bad. Debt default worse, mocks the rule of law culture there.

@denversolarguy Let companies develop renewable energy not by milking taxpayers to subsidize RE. Dvelop RE bec cnsumers willing to pay price

Montberte Steve Cushing by Noysky
An expert is a man who tells you a simple thing in a confused way in such a fashion as to make you think the confusion is your fault.

@teddycasino PNoy SONA has minority liberal, majority interventionist/socialistic policies. Socialists shd rejoice, liberals shd be worried.

@WilsonLeeFlores @TgGuingona RE law is a big racket & energy cronyism that will make already high power prices become even more expensive.

@GreatestQuotes "He who is contented is rich. - Lao Tso" Cool. Humility, modesty, living within one's means. Many people & govts forget them

@WilsonLeeFlores @TgGuingona Sen Serge is correct. For me, RE law is energy cronyism & robbery. We ord electricity consumers will suffer.

Montberte Steve Cushing by Noysky
I'm not an alcoholic. Alcoholics are desperate for a drink. I already have one. #stevec

@Montberte "Happiness is a state of activity ~ Aristotle" Yep. Always doin something, being useful productive & creative, gives us happiness

Flipbooks Blair Semenoff by Noysky
"Life is too short to stress yourself with people who don't even deserve to be an issue in your life" ~Unknown #quote

@SagadaSun "If Uncle Sam can't pay his bills, why should WE?" Then all govts can borrow & not pay too, bit.ly/pKwvaH.

Gail_Elliott Gail Elliott by Noysky
Man walks into Doctor’s and says “Doctor, I think I’m addicted to Twitter.” Doctor looks at him and says “Sorry, I don’t follow you.

@Montberte "Yes money talks. mine says, good-bye." LOL. Money is relative. More money, more relatives.

@newsbreak_ph Can't mil generals retire as priv citizens, not as recycled bureaucrats? Cant they become net taxpayers, not tax receivers?

@SagadaSun US govt may not pay $1.15 T China loan & 0.91 T Japan loan, fine. But US will look as big liar who cant be trusted w/ many things

@Rochbpu Variation: Why cant men see eye to eye with women? Because breasts have no eyes. :-)

@Montberte "Business is bad that even shoplifters stop coming." Hahaha. Shoplifters can easily be seen & caught if there are few shoppers.

@govph @abi_valte "More typhoon-affected LGUs" If only govt will recognize global cooling, LGUs and pub can prepare, bit.ly/rrHkEJ

@philo_quotes "In the state of nature profit is the measure of right. ~ T. Hobbes" Intriguing. Or profit is measure of usefulness in society

@Oprah_World "If it never rained, nothing would grow." Cool. Rain and the Sun, we need both. Warming and cooling, we need both.

Montberte Steve Cushing by Noysky
I'm all for women's rights. I think women should be equal to men - even though they would lose much of their power.

@roilogolez @AddThis Man-made warming or climate change is a scam. We're entering global cooling period too, bit.ly/rrHkEJ

@GoYoLarrazabal Rise in debt limit in exch for spending cuts over next decade. If Senate agrees, no more debt default. Only credit downgrade

tomgpalmer tomgpalmer by Noysky
Some thoughts on one of the greatest champions of peace and freedom who ever lived. http://fb.me/OTBq4EQ6

Montberte Steve Cushing by Noysky
It is better to have bad breath than to have no breath. #stevec
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Twitter Notes, August 1-7, 2011

@GoYoLarrazabal "change starts with me." Right. More personal & parental responsibility, not more govt responsib. What we need in society.

Montberte Steve Cushing
It is easier to fight for one's principles than to live up to them. Alfred Adler
Retweeted by Noysky

glendamgloria Glenda Gloria
‘Mike Arroyo bought choppers then sold to PNP at high cost’ | Newsbreak | Independent Journalism:newsbreak.ph/2011/08/01/sup… via @AddThis
Retweeted by Noysky

@AncientProverbs "Laugh & the world laughs with you, weep & you weep alone. -English proverbs" Cool. Laughter & happiness are infectious.

AngAlvin Alvin P. Ang
Winning 001: Overcoming adversity requires that we showcase our progress instead of our problems. #quotes, #leadership
Retweeted by Noysky

@richard_cairo "Does popn really matter in any nation's progress?" Yes, 100%. People are workers & entrepreneurs; producers & consumers.

@charievilla @AddThis "Essay on flooding" We shd prepare for worse global cooling. Man-made warming/climate ch. is scam,bit.ly/qTdKwQ

@tonylavs @WRIClimate "Sea Level Rises" -- Warming racket does not recognize global cooling, only warming, bit.ly/qTdKwQ

@angchuongco @charievilla "pag may disaster, dpat may work Gov officials" Most of thr "work" is imposing regulatns, more man-made calamities

@GoYoLarrazabal If "EDSA has too many buses", no need add'l regulation, some will fade away if they lose money due to stiff competition.

@GoYoLarrazabal "drivers recklessly try to jockey for position" That's natural. MMDA need enforce its rules on loading, no need add'l rules.

@GoYoLarrazabal Govt dictates franchising, traffic, loading rules for buses. Even in salaries setting, govt will dictate? Not good.,

@funnyoneliners "I'm so far behind I thought I was first." LOL. Opposite is: I run so fast in an oval that I bumped my back.

@TgGuingona "gobyerno, feeling nila, sila may-ari ng pera ng bayan" Enforce d rule of law. No 1 went to jail yet w/ so many corupt govt ppol

@Karen_DaviLa MMDA shd focus on flood control, improvd trafic, not catching smokers. MMDA guys wud go aftr smokers than clear clogd drainage

@cholonunez @Karen_DaviLa Extortion opportunity in going after smokers. Maski P100 ok na. No such opportunity in clearing clogged drainage

WhoIsMikeGordon Mike Gordon
The invisible hand of the market always moves faster and better than the heavy hand of government. Mitt Romney
Retweeted by Noysky

C3Heditor C3H Editor
Central Europe Temperatures In Free Fall: Multi-Year Cooling Trend Reveals Warming Farce Is Global: Read here. A...http://bit.ly/nefKV7
Retweeted by Noysky

@A_Demokrasya @Karen_DaviLa Bulk of MMDA budget I think is on hiring ppol, not cap eqpt to dredge heavily silted rivers & clogged drainage.

@maria_ressa Hike in debt limit law means the US govt will borrow more. In abt 2 yrs, theyll debate agn to hike debt limit by another $2T.

Montberte Steve Cushing
The only problem with troubleshooting is, sometimes, trouble shoots back #stevec
Retweeted by Noysky

@BillGates "US is headed toward bankruptcy unless..." But no govt ever went bankrupt. Ones who'll go bankrupt are those who lent to it.

@acopatunru @ProSyn Contraction is indeed better term than Depression. These crisis are govt debt-instigated, clear example of govt failure

@mangunonmarkets "PSE drops 1.4%" Following US stocks fall? More debt for America In debt limit hike law, debt worry in Spain, Italy, Greece

@indayevarona @ANCALERTS "Mike Arroyo seeks treatment, may skip hearing" All liars & thieves tend to look for alibi to evade investigations.

@mindanaoan #zubiri "Zubiri worked for passage of Renewable Energy Act" RE law is a big racket and energy cronyism law,bit.ly/kCJFx6

@TonyTe1 @Karen_DaviLa "bec there's no money in flood control" Yes, MMDA busy after car coding, smokers, anti-smoke belching kuno, bilbords

@clean__energy "Nuclear energy can be replaced with renewable energy" Solar & wind farms can power big cities, malls, skyscrapers? joking?

@cesdrilon If one is not guilty of accusations, why resign? Voluntarily offer as many info as possible, take witness stand, to remove doubts

@PeraNgBayan Debt crisis is a result of living beyond one's means. Spending larger than income or revenue, repeatedly, for many decades.

TehminaZaman Tehmina Zaman
Your problem is you're... too busy holding onto your unworthiness. ~Ram Dass
Retweeted by Noysky

@mediaguardian "Press self-regulation and press freedom go hand in hand" Right. People who r afraid of responsib r afraid of freedom itself.

philoquotes PhiloQuotes
We often want one thing and pray for another, not telling the truth even to the gods. ~ Seneca http://bit.ly/philq
Retweeted by Noysky

GroverNorquist Grover Norquist
Communist Vietnam just cut taxes on businesses and dividends. Its official. Birthers were wrong. Obama is not a communist.
Retweeted by Noysky

@mlq3 @huffingtonpost Don't go for dummies when you can read d full S&P report on US credit downgrade, only 8 pages longbit.ly/pfrs1x

@WhoIsMikeGordon "Some remedies are worse than the diseases" Right. Many government intervention & regulations are good examples.

@teddycasino "Global crisis looms" Yes, crisis of BIG govt debts, crisis of fiscal irresponsibility, living beyond their means for decades.

@migzzubiri "change should start from within us." True. Have more personal responsib, less govt responsib, in running people's own lives.

@mlq3 "The jobless future" Many central planners like this fictional scenario. Gives them rationale to intervene, regulate, to "avert" this.

@mlq3 "Nation Without a Govt Still a Nation? Case of Belgium" Govt there is all around: various natl govt agencies + local govts.

@GoYoLarrazabal "highlights of 2010 PH elections" I voted in just 3-4 mins, proclam of winners was quick. Prob was b4 elections, vote buying

philo_quotes Philosophers quotes
Of all the varieties of virtues, liberalism is the most beloved. ~ Aristotle http://bit.ly/philq
Retweeted by Noysky

@clean__energy @RPeconfreedom "BOI presses deferral of RE tariff incentive" Good. RE law is a racket. Don't raise already hi power rates.

GreatestQuotes Great Minds Quotes
"The longer we dwell on our misfortunes the greater is their power to harm us." - Voltaire
Retweeted by Noysky

GreatestQuotes Great Minds Quotes
"First they ignore you, then they laugh at you, then they fight you, then you win." - Mahatma Gandhi
Retweeted by Noysky