Transparency in Action: TVIRD and its Indigenous Community
Following publication in the Philippine Daily Inquirer of a story entitled Indigenous people can get more from mining, says mine exec , in which a TVIRD manager was reported as saying indigenous communities can demand enormous royalties from mining companies , TVIRD has sent a letter to the Inquirer’s Editor to correct the misreporting carried in the story.
In the letter, TVIRD Chief Operating Officer Yulo Perez explains how Community Relations and Development Office (CReDO) Manager Joel Alasco’s comments to a training program hosted by the Mindanao Peacebuilding Institute Foundation in Pagadian City last June 7 were misrepresented by Inquirer reporter Tito Fiel. Mr. Perez also provided an expanded view of the royalties given to Indigenous Peoples and the company’s transparency in its operations and financial dealings.
Quoted in full below is the letter sent by CEO Yulo Perez to Ms. Letty Jimenez-Magsanoc, as well as the link for the original Inquirer story :
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June 12, 2012
Ms. Letty Jimenez-Magsanoc
Editor-in-Chief
Philippine Daily Inquirer
Chino Roces Ave. Corner Yague
and Mascardo Sts., Makati City
LETTER TO THE EDITOR
Dear Madame Editor,
I am writing in reference to the Indigenous people can get more from mining, says mine exec article published in the June 8, 2012 issue of your distinguished paper.
For the record, we deny that Mr. Joel Alasco, manager of TVI Resource Development (Phils) Inc. (TVIRD) Community Relations and Development Office (CReDO) issued such statements at the open forum of the training hosted by the Mindanao Peace building Institute Foundation.
In fact, Mr. Alasco’s responses to the query of Mr. Abel Moya, a training participant, on why mining companies can’t increase the royalty given to the indigenous peoples were:
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1. Royalties are given based on the IPRA law; |
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2. It was given after an agreement has been reached and signed by and between the mining company and the Indigenous People (IP) during a series of negotiations. In the case of TVIRD, the 1.5% royalty even exceeds what the law prescribes and was decided and fixed by the company together with the tribal leaders. An increase of this amount will be based in the Memorandum of Agreement or in future negotiations between the two parties. |
In detail, Mr. Alasco merely tore a piece of paper into small pieces explaining each time that each small piece represented different types of expenses necessary to operate the mine (such as operating costs, capital cost, interests on loans, taxes, royalties, etc..). Finally, a small piece is left for profit. The participants nodded their heads to this. Mr. Moya then asked how much royalty that the tribal leaders were receiving from the question took a piece of paper and tore it in half – saying, “How about the half to be given to the IPs.”
As a matter of policy, TVIRD is transparent both in its operations and financial dealings. There are no ifs and buts about it because the firm is listed with the Toronto Stock Exchange and all our financial statements are audited by Price Waterhouse Coopers.
For the record, for every shipment of our products, we are required to secure an Ore Transport Permit (OTP) from the Mines and Geosciences Bureau (MGB) of the Department of Environment and Natural Resources (DENR). The OTP is a piece of document that contains the information on the volume of the product we are transporting, its estimated amount, the buyer, and the product’s destination. MGB sends representatives to supervise the actual loading, prepares copies of OTP and furnishes TVIRD its copy. OTP is a public document hence, accessible to the public.
It was just unfortunate that Mr. Onsino Mato took a rhetorical opportunity on the tribal leaders’ royalty for dramatic effect at the expense of TVIRD. Had he just read the OTP he would have known how much revenue the company earns every shipment. With this, he will know how much royalty they will receive. Let me point this out too, our Finance Department in Canatuan is also keeping copy of this document. He can easily have it once a verbal or written request is made.
I hope this merits your favourable consideration in giving us a voice in your most influential newspaper. Surely, this will help provide accurate information to the general public. Please accept my best regards.
Sincerely,
Yulo E. Perez
VP for Operation/Chief Operation Officer
For your reference, you can read the article at: http://newsinfo.inquirer.net/209755/indigenous-people-can-get-more-from-mining-says-mine-exec