Two Roads of Development

Two Roads of Development

Mining for Profits vs Mining for People

By Ramon Grajo
BAYAN Canada in Toronto

(Speech delivered at the CD Launch of “Path of Destruction: Canadian Mining Companies Around the World” on March 25, 2009 in Toronto.)

Mining is a very important issue for BAYAN. It is symptomatic of what is problematic of Philippine society.
BAYAN Canada is the Canadian section of Bagong Alyansang Makabayan or New Patriotic Alliance, or in short BAYAN (the People). BAYAN is the multisectoral alliance of legal people’s alliances and organizations that have an anti-imperialist, anti-feudal and anti-fascist perspective.

Regarding the issue of mining, it theory it is good. Mining is the source of various ores that we need to produce the products we consume. The Philippines is rich in ores. Wonderful it would be if these ores could be used to advance the economic development of the Filipino people. Ah, but here is the crux of the matter!

Theory does not match practice! Mining is mainly undertaken in the Philippines not for the economic development of the Filipino people, and especially not for the communities in which most mining occurs. Who profits from mining in the Philippines are the multinational mining firms, mainly Australian and Canadian, and their local partners in the Philippine ruling classes.

When speaking of mining’s effects on the people in the Philippines, one will have to speak on the one hand of cyanide or heavy metal spillages, mine tailing landslides, mine tailing sea dumps, in sum the destruction of forests, the decapitation of mountains, the annihilation of fresh water sources, the neutering of fishing grounds, the acute and chronic poisoning of peoples and livestock, the rendering of farmland into waste, military occupation and death squads, the terrorizing and displacement of whole communities, housing demolitions, human rights violations, and all around economic deprivation and devastation. These are the real results of the illusory promises of the international division of labour and the trickle down theory of economics.

Let me refer to a recent example, the case of Eliezer ‘Boy’ Billanes, 46, married with three children.

Billanes was the chair of two organizations: SOCPAND (South Cotabato People’s Alliance for Nationalism and Democracy), and SocCSkSarGenDs- AGENDA (Alliance for Genuine Development); and secretary general and program Director for SAMATIKU (Samahan ng Mag-uuma sa Timog Kotabato), a farmer’s organization. Billanes was known for his staunch opposition to the activities of multinational mining firms in Southern Mindanao. Billanes’ group was leading the opposition to the Tampakan Copper-Gold project in South Cotabato of the Xstrata, one the biggest mining companies in the world. Xstrata has a subsidiary Xstrata Canada Inc., which is based in Alberta.

On March 9 Billanes was gunned down by two unidentified men riding a scooter bearing plate number MJ5432. Billanes had been buying a newspaper along the public market of Koronadal City. Two weeks before his murder, Billanes had been under surveillance by military operatives and had received several threats because of his criticisms on mining issues besetting Tampakan, South Cotabato. He had twice called for a dialogue with the Armed Forces of the Philippines regarding his safety and security after learning that the military was doing a census in his village.

Ironically, his dialogue had been first scheduled for March 8, 2009 but was canceled by the 27th Infantry Battalion, which assigned in Tupi, South Cotabato, who pushed for the next day.

Billanes is the second anti-mining leader in Mindanao and 18th anti-mining activist in the Philippines to be killed under the Arroyo administration.

From this example, and many more I could have gone over, we find the Philippine state as the guardian of multinational mining against some Philippine community:

On the one hand there is military protection of mining multinationals through either the Armed Forces of the Philippines, including the Investment Defense Force (IDF), the Philippine National Police, paramilitaries like the Civilian Armed Forces Geographical Unit, or private armed groups trained by the military. On the other hand there is the Philippine legal system that that favours the elite and multinational corporations over communities.

The Philippines has some of South East Asia’s most liberal mining codes. For example, the Mining Act of 1995, or Republic Act No. 7942, allows for 100% foreign-equity participation through so-called financial and technical assistance agreements with local miners.

In addition, the current regime and its predecessors have been pushing for charter change. The goal of these attempts have been two-fold, to maintain the current regime in power and to remove any lingering pro-national and pro-people sections of the 1986 People Power constitution. Especially targeted are those that defend the patrimony of the Filipino people.

Overseas, these anti-people forces receive support from imperialist instrumentalities like the various “multilateral” banks and trade organizations, and from imperialist states like that of Canada.

Let me just give three examples:

The Canadian government, despite condemnation by many international human rights groups, and even the United Nations, has failed to pressure the Gloria Macapagal Arroyo regime for the over 1000 extra-judicial political killings of unarmed civilians, mainly leaders of people’s organizations. Only select opposition members like Bloc MP Johanne Deschamps have denounced the political killings and their ties to mining.

In a verbal communication with Canadian and Filipino-Canadian anti-mining advocates, a representative of Foreign Affairs unambiguously stated that the Canadian government was not going to endanger trade and investment over human rights.

Finally, there is the report produced by an advisory group with representatives from civil society organizations, industry, and government after a ten-month roundtable consultation on the impact of Canadian mining, oil and gas companies overseas. This consultation was called and led by the Department of Foreign Affairs and International Trade and the report, titled “Advisory Group Report:
National Roundtables on Corporate Social Responsibility and the Canadian Extractive Industry in Developing Countries,” and released Mar. 29, 2007. This report sets out recommendations on good conduct for Canadian mining, oil and gas companies operating abroad according to a corporate social responsibility framework. It seeks to establish standards and reporting obligations for Canadian companies and would also create an ombudsman office to investigate and assess complaints and to evaluate compliance with said standards. Procedures for withholding government services to companies in cases of serious non-compliance are also contained in the report as is support for the development of tools to promote good practice in the extractive sector and adherence to this framework. To date, the government has not responded to the report despite a June 3, 2008 motion by the Standing Committee on Foreign Affairs and International Trade asking that the government to respond in a reasonable time to this Advisory Group report.

What we have before us, therefore, are two roads of development:

One, which is supported by the Philippine and Canadian states is pro-corporate and anti-people. We know its details. It seeks to develop the super profits of multinationals and their local business partner.

The other, which is pushed by the people’s movement, is pro-people. It seeks to develop the welfare of the people. Kalikasan People’s Network for the Environment, a Philippine wide network of sectoral organizations, regional formations, non-government organizations, and churches released the document “Towards a People’s Mining Policy”. It’s third section is entitled “Framework and Basic Principles of Pro-people and Pro-Environment Mining Policy.” Let me list these basic principles:

1. Mining is important in nation building. The mineral industry plays an essential role in establishing a progressive, independent and self-reliant economy.

2. Mineral production and development should help in modernizing agriculture within the framework of genuine agrarian reform.

3. Mining development shall be programmed in accordance with the availability of resources, without sacrificing the capability and well being of the people.

4. Role of Research and Development (R&D) in advancing the mining industry

5. Mining operation and development at all times must guarantee environmental protection and safety.
BAYAN Canada hopes that people and organizations like you can support the Filipino people’s movement in their struggle against the anti-national and anti-people multinational mining firms and the states that support them, especially those Canadian.