A new twist on the controversial $2.9 million Korean-proposed bio-ethanol research center located in Talibon town and seaweed project for bio-ethanol production surfaced last week during the public consultation.  Talibon Mayor Restituto Auxtero confirmed in an interview that he indeed received a letter from the Ombudsman Visayas. He said that the office of the Ombudsman Visayas wanted an update of the project. He was even urged to provide vital information regarding the project. But he did not know who inform the Ombudsman about the project nor did he know the complainant, if any, he said. He said that whatever he has (information or updates) he would not hesitate to provide them to the Ombudsman.

Trinidad Mayor Roberto Cajes brought to the attention of the provincial officials the an Ombudsman letter during the public consultation. As this developed, the Sangguniang Panlalawigan has proposed for the scrapping of the project unless some environmental and economic terms and conditions are met. The proposal to scrap the project was approved by the SP in its session Friday. The move was an offshoot of the multi-sectoral public consultation undertaken at the Bohol Tropics Resort Club in this city initiated by the provincial government to give opportunity for the stakeholders, including seaweed farmers, to voice out their concerns.

Gov. Edgar Chatto, who participated in the consultation with Korean officials, stressed that “participatory governance is the name of the game” since the project is the concern of everybody. The board chaired by Vice-Gov. Concepcion Lim approved last Friday a report by the joint committees on environment, agriculture, trade and appropriations that strongly recommended to halt the project. “It is therefore imperative to stop (cease and desist) all current and ongoing natural resource utilization activities in the seas of Bohol by any and all pertinent foreign entities, companies and corporations,” the report said. Gov. Chatto was urged by the board to form and convene a technical working group (TWG) to be composed of various government agencies concerned tasked to review the Record of Discussion (ROD) and the Memorandum of Understanding signed by the Korean representatives, then Gov. Erico Aumentado and 28 mayors of coastal municipalities.

The ROD was then signed by Kim Jin Oh of the Korea International Cooperation Agency (KOICA) and Aumentado, (now congressman) and Graciano Yumul representing the Department of Science and Technology (DOST). The ROD focuses on the establishment of bio-ethanol research center while the MOU, which does not have the imprimatur of the board, concerns about (sea) areas for seaweed mass production supposedly to be provided by the provincial government and the municipalities. The board also recommended for the comprehensive bio-ethanol research on environmental impact, coastal marine resource and its carrying capacity, impact on seaweed farms, employment and other economic implication.

Biolsystems Co., Ltd., a Seoul-based company, through its sister firm Algahol company, has developed a marine farm in Talibon town and is said to put up a US$150-million facility for bio-ethanol extraction, biomass power generation and organic fertilizer production and the US$2.9 million algae bio-ethanol research center funded as a grant by the KOICA. Biolsystems will “lead investment into seaweeds aquaculture, bio-fuel production and post harvest industries,” the MOU provides. It is also allowed to conduct research and development of improved methods for higher yield of algae species and marketing methods and should give priority to Boholanos in hiring manpower. The company should not cause environmental and eco-tourism degradation as a result of the bio-fuel production. The seaweed farmers and other stakeholders in Danajon Double Barrier Reef between Cebu and Bohol raised a howl for they were not consulted. The fisherfolk are largely banking on this Danajon Bank, considered a rare marine eco-systems formation and only one in Asia one of six in the world, for their main source of livelihood.

Infringement

The joint committee has found three salient points of the project that generated the controversy. The joint committee found that the MOU signed by the then governor Aumentado did not have a green light from the board pursuant to the law. The joint committee said that the Local Government Code (section 22(c)) “is explicit on the matter.” But then provincial legal officer lawyer Handel Lagunay, who also attended the consultation pointed out that there was no need for a MOU to be sanctioned by the board since this was not an agreement yet. He explained that the MOU's terms were sort of generalities unlike a MOA which was already loaded with details of the agreement. “The MOU is also silent as to the nature and status of Biolsystems Co, Ltd. of the Republic of Korea, especially its manner of creation and whether or not it is a government instrumentality of the Republic of Korea.” It is the view of the SP that the nature and status of the company “should be expressly stated in the MOU.”

Vira Gulle Salac, representative of the DOST, questioned the legality of the occupation of the Korean company on the seawaters of Talibon, especially that it was already eyeing an expansion toward Bien-Unido. She said for research purposes the company may just engage into research for at least one hectare of seaweed farming. She also said that foreign company such as the Biolsystems or the Algahol, which is 100% Korean owned, is not allowed to engage in aqua farming under the Philippine Constitution. She stressed that though DOST supports to the resource development it does not in favor, however, of “massive production of seaweeds.” Cultivating 500 hectares or more of seaweeds “is too much,” she said. Gyungsoo Kim of the Biolsystems told the consultation that he thought seaweeds “are not natural resources.” He said that his company was not informed that 100%-foreign-owned companies/entities cannot do business such as in aquaculture in the country. Other concerns that must be studied thoroughly include research, extent and results and rights and commercial production of algae apparently to protect the rights of access to the seawater by marginal fisherfolk.