by Yulo E. Perez, Vice President for Philippine Operations, TVI Resource Development (Phils.), Inc.
The Philippine Mining Industry, like all other industries, is faced with the challenge of striking a balance between operating profitably and ensuring long-term sustainability both of the business and the environment in which it operates. TVIRD believes that this challenge can be overcome through responsible mining: by operating in ways that meet and integrate existing environmental, economic, and social needs of the company’s host communities without compromising the well being of future generations.
Above, Yulo Perez, TVIRD Vice President for Philippine Operations, presents his paper, "In Pursuit of Profitability and Sustainability", at the Philippine Society of Mining Engineers 1st Mining Engineers Convention at the Waterfront Insular Hotel, Davao City, before delegates below.
Situational Analysis
In order to move forward in a profitable and sustainable manner, TVIRD takes stock of its “assets” – internal strengths and external support systems – that can be enhanced and utilized to help address social, economic, and environmental challenges. Foremost of these challenges is the “sins of the past” stigma that continues to hound the industry; a stigma that is the root of all doubts over the industry’s ability to respond to society’s growing and evolving expectations.
As society is composed of various stakeholders with different, sometimes conflicting needs, TVIRD maps out these stakeholders and considers their needs, keeping in mind that scarce resources need to be maximized in a way that ensures the various stakeholder needs are met not only for the here and now but, more importantly, for the long haul.
Unified Approach
Aware of the stigma, TVIRD’s various units and departments – though their various programs, activities, projects, and fields of expertise – have been undertaking a unified approach to profitability and sustainability. For instance, effective cost management, although driven by the operations group, the Finance Department and Human Resources and Administration Department, come up with programs that guarantee that cost-consciousness pervades in the entire TVIRD organization. And while the company is committed to working towards enhancing the quality of life of employees and their families, it also expects them to have a strong awareness of social and environmental issues facing the industry, and to strictly adhere to high ethical standards in the performance of their duties.
As such, the men and women of TVIRD are supportive of – and take pride in – the company’s environmental and social initiatives. These initiatives include, among others, the Quadrants of Development approach to social development, the Transparency and Open Door Policy that allows stakeholders – pro- and anti-mining alike – visit Canatuan under a highly institutionalized Mine Tour Program, and the safety awareness campaign that has encouraged the blossoming of a Safety Culture at the mine site.
Perez stresses a point during his presentation. "While TVIRD is committed to working towards enhancing the quality of life of employees and their families, it also expects them to have a strong awareness of social and environmental issues facing the industry and to strictly adhere to high ethical standards in the performance of their duties", he says.
The Port of Sta. Maria Experience
TVIRD’s experience at Sta. Maria port where the Company loads out its product is an excellent case study on a specific initiative where the company has been demonstrating a unified approach to profitability and sustainability. A predominantly Muslim fishing village in Siocon, Zamboanga del Norte, Sta. Maria’s residents were understandably concerned at first that their main livelihood source would be adversely affected by the company’s warehousing and transshipment operations there. An added concern is its easy access to the nearby conflict areas further south of Zamboanga. As part of the overall business plan, TVIRD engaged the residents and the other stakeholders in an effort to find win-win opportunities for all concerned.
The company’s development programs are based on a new way of looking at communities; they are viewed not as “poor”, “marginalized”, or “deprived” but as having capital and assets that can be harnessed for their own benefit. If members of a community feel that they are perceived as poor, they tend to acquire a sense of helplessness and, therefore, need to be dependent. But if they are made aware that they possess assets, they gain a sense of pride, of ownership, of empowerment.
Community Assets
The Company’s experience on the ground helped its people identify at least 10 Community Assets which TVIRD hopes to tap: Financial, Information, Social capital, Human, Aspirational, Natural, Cultural, Political, Physical, Security. After having identified Sta. Maria’s inherent assets, TVIRD Canatuan’s various departments embarked on various programs, projects and activities designed to address the pressing needs of Sta. Maria stakeholders in the areas of infrastructure, livelihood, health, and education. For instance, TVIRD’s Civil Engineering Services unit improved the port facilities and opened a farm-to-market road in constructing the Barason-Busicong-Banso road. TVIRD is currently constructing domestic water systems in the barangay and surrounding villages and is helping facilitate the rural electrification program to Busicong. These initiatives spurred the hiring of residents for labor requirements and an increase in local purchases that provided a much-needed boost for the economy of local community.
Meanwhile, TVIRD’s Community Relations and Development Office conducted an information-education-communication campaign on the company’s mining operations, including mine tours for Sta. Maria’s women and fisher folk groups, as well as programs on micro financing and on capacity-building and governance.
Stable Operations
The company’s efforts to inform, consult, involve, collaborate and empower were taken in a positive light by Sta. Maria’s various stakeholders who have since have demonstrated full cooperation and support for TVIRD’s activities in their community. As of this writing, the company has conducted 14 copper concentrate shipments without stoppage. With the ongoing unified approach and engaging the community as business partners, it is assured that the stability of TVIRD’s operation in Sta. Maria will be sustained.
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