THE National Government has ordered measures to strengthen the Philippines’ critical minerals industry by expanding local processing and downstream manufacturing of higher-value products, including batteries, electronic components and renewable energy technologies.
Under Executive Order (EO) 122, President Ferdinand Marcos Jr. established a national framework aimed at moving the country beyond mineral extraction and improving its position in the global green technology value chain.
The Department of Trade and Industry-Board of Investments (DTI-BOI), in coordination with the Department of Environment and Natural Resources (DENR), was directed to develop a strategy covering critical mineral refining, advanced material processing and finished-product manufacturing.
EO 122 also tasks the DTI-BOI to prepare incentives for value-added processing and downstream industries, facilitate public-private partnerships and industry clusters and give domestic processing plants priority access to locally produced mineral ores at fair, market-based prices.
The order also calls for diversified mineral sources, international partnerships and measures to reduce risks from global supply disruptions.
Sustainable mining
Marcos said critical mineral development must be pursued alongside responsible and sustainable mining, environmental protection, and the social, cultural and economic development of host communities. EO 122 defines critical minerals as resources essential to clean energy technologies, advanced manufacturing, digital infrastructure, national defense and other strategic industries.
The DENR, through the Mines and Geosciences Bureau (MGB), must conduct a national exploration and mineral reservation program and issue the Philippine Critical Minerals List within 30 days of the order taking effect, in consultation with the reorganized Mining Industry Coordinating Council (MICC).
EO 122 also directs strict enforcement of the “use it or lose it” policy for critical mineral mining tenements. Mining areas that materially fail to meet approved timelines, work programs or development commitments may be canceled or sanctioned, except when delays result from force majeure or circumstances beyond a contractor’s control.
The National Government will accelerate the privatization of state-owned critical mineral mining assets and consider canceled, expired, relinquished or surrendered mining areas for designation as critical mineral reservations.
Streamlining applications
To speed up permitting, the MGB must streamline mining-related applications within six months and develop a fully integrated digital platform for national and local permits, licenses and regulatory clearances within one year. The system is intended to allow simultaneous processing and establish clear timelines and performance-based accountability.
EO 122 also reorganized the MICC, with the DENR and Department of Finance serving as co-chairpersons and the Department of Economy, Planning, and Development as secretariat. The government estimates that at least 9 million hectares of highly prospective areas could contain mineral resources that may strengthen the Philippines’ role in the global critical minerals value chain. / PNA
