Legal experts warned that company directors in the Philippines, including those in the mining sector, may face heightened accountability if they fail to address nature-related risks as part of their corporate duties.
The report, released by the Commonwealth Climate and Law Initiative (CCLI) in partnership with ClientEarth and the Institute of Corporate Directors (ICD), outlines how environmental risks are increasingly being treated as core legal responsibilities under Philippine law.
It states that nature-related risks must be integrated into board-level decision-making, risk management, and long-term strategy, especially for industries such as mining, where operations can directly affect ecosystems and local communities.
“This legal opinion makes clear that nature-related risks are not optional considerations for directors. They are core to fulfilling directors’ duties under Philippine law,” said Natalie Shippen of CCLI.
The findings highlight that mining companies, which often operate in environmentally sensitive areas and interact with Indigenous Peoples and host communities, face heightened exposure to risks tied to environmental degradation, regulatory compliance, and social license to operate.
ClientEarth also warned that these risks are not merely theoretical. “Nature-related risks are not abstract- they can translate into material financial, operational, legal and reputational risks for companies,” said Racle Rodriguez, lawyer for resources, energy, mobility in Japan and Southeast Asia at ClientEarth.
The report noted that failure to properly identify and manage these risks could disrupt supply chains, expose companies to legal challenges, and affect long-term business viability.
Organizers said the initiative aims to guide directors toward adopting more robust governance practices, including integrating nature-related considerations into corporate frameworks and disclosures.
A follow-up convening scheduled on April 14 in Makati will bring together board directors, regulators, and industry stakeholders, which will include representatives from the Securities and Exchange Commission and the Philippine Stock Exchange, to discuss the implications of the findings.
As scrutiny over environmental impacts intensifies, how prepared are mining companies to meet these evolving expectations for accountability?
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