TITLE: UNREGULATED SMALE-SCALE MINING

ABSTRACT
The study examines both the positive and negative socio-economic impacts of small-scale
mining in developing countries, and outlines some key measures for improving sustainability in
the sector. It is important to clarify that, in spite of experiencing its share of environmental- and
health-related problems that adversely impact human quality-of-life, small-scale mining plays a
pivotal role in alleviating poverty in the developing world, and contributes significantly to
national revenues and foreign exchange earnings. Though these important socio-economic
contributions make small-scale mining an indispensable economic activity, there is an obvious
need for improved sustainability in the industry, more specifically, for operations to resolve
pressing problems, many of which have wide-ranging impacts. However, because most small-
scale mines are low-tech and employ poorly trained uneducated people, it is difficult for the
sector to improve on its own. Thus, governments and regional international bodies must play an
expanded role in bridging critical information, technologic and economic gaps. It is concluded
that governments and regional organizations could accomplish much in the way of improved
sustainability in the small-scale mining industry by: (1) legalizing small-scale mining and
implementing sector-specific legislation; (2) contributing to community development and
providing increased economic support; and (3) providing training and educational assistance,
and playing an expanded role in the dissemination and transfer of important technologies.
 CHAPTER I

INTRODUCTION AND STATEMENT OF THE PROBLEM

The presence of gold deposits discovered in the areas of the Cordillera Administrative
Region has attracted a lot of unemployed youth and small-scale mining ventures to the area.
The activities of illegal small-scale gold mining in the community is causing serious
environmental havoc and destruction. Enormous quantities of the vegetation cover are gouged
out, inverted and buried coverting the natural terrain into raw, bare, lifeless spoil banks. Greater
portions of the vegetation cover in the mined areas lose its properties to be used for any other
purpose.
Gold mining in recent times has become unpopular as it is regarded as a significant source of
Hg, Pb and heavy metal contamination to the environment owing to activities such as mineral
exploitation, ore transportation, smelting and refining, disposal of the tailings and waste waters
around mines. The principal environmental problems caused by small-scale mining activities
are mercury pollution from gold processing and land degradation. Research suggests that
resident children and adults are at risk to exposure to mercury in shallow dug-wells and
dugouts.
Generally, mineral exploitation creates environmental damage on a scale matched by
only few other human activities. It is responsible for deforestation, soil erosion, water pollution
and significant air pollution. The environmental impacts are particularly very severe in
developing countries, which produce a large portion of the world’s minerals. Mining activities
impact negatively on the environment and the severity of the impact depends on methods used
and whether the mine is large or small.
The advent of small-scale mining has changed the land-use practices of the people who
have virtually abandoned their traditional livelihood activities in exchange of mining.
Traditionally, these specific areas are farming communities where the people were mainly
engaged in small scale farming, rearing of livestock and fishing. Farming was the major
livelihood activity and was centered on food crop production. The influx of activities of illegal
small-scale gold miners led to a restructuring of livelihood activities, improving the living
standards and attracting people back to the area.
Mining as an industrial activity, takes place on the natural environment, disturbing areas
around where it occurs. Research has posited small-scale mining as a subsistence activity which
is generally mechanized and carried out by poor people.

OBJECTIVES
This research seeks to investigate the effects of small-scale mining and the effects of
demineralization of the lands.

Limitations of the study

The study focuses only on illegal small-scale mining operation in the areas of Benguet.

CHAPTER II
Review of Related Literature

Small-scale mining refers to mining activities which rely heavily on manual labor using simple
implement and methods and do not use explosives or heavy mining equipment (Sec. 3, RA no
7076). Small-scale miners pertain to Filipino citizens who, individually or in the company of
other Filipino citizens, voluntarily form a cooperative duly licensed by the Department of
Environment and Natural Resources to engage, under the terms and conditions of a contract, in
the extraction or removal of minerals or ore-bearing materials from the ground. They are
supposed to be restricted to pick-and-shovel operations only, but, nowadays, unscrupulous
foreign investors were funding them to use equipment and dynamite to dig deeper for ore.
Foreign metal traders, in an attempt to avoid payment of taxes and other rigorous mining
requirements, were using these Filipino “dummies” in small-scale operations which in fact
extracted massive amounts using machinery and harmful chemicals.

Large-scale mining is usually done by big corporations and for the process they use lots of
employees along with a big manual labor force. The large sites are taken by the company to
mine and company carry on the process until the metal or mineral is entirely dugout. Large-
scale mining is closely monitored, unlike small-scale mining.

Methodology

Main Body

Conclusion

Recommendations
The Philippine government should check metal import statistics from China and other
countries and compare these with exports from the Philippines in order to determine the extent
of illegal mining in the country. The Department of Environment and Natural Resources should
be in charge even of small-scale mining until local government units have attained the technical
competence to deal with mining operations. The government must take a tougher stance on
illegal mining operations in the country.
Small-mining operations should be legalized and regularly supervised, including the
collection of taxes. These matters must not be left to the discretion of LGUs. The government
must legalize the sector by establishing more Minahang Bayan where small-scale mining
activities are robust, such as in the Cordillera region, and generate revenues both for the
national government and local government units (LGUs). The tenure of the regulated small-scale
miners for a period of two years is too short and may result in miners going back to their
unregulated and dangerous operations. Hence, its extension must be pondered upon by the
government.