LETTER OF INSTRUCTIONS NO. 243 - ADDITIONAL CONDITION THAT SHOULD BE EMBODIED IN THE GRANT OF CONCESSION TO PRIVATE CONCESSIONAIRES ON THE EXTRACTION OF SAND AND GRAVEL FROM PUBLIC LANDS AND RIVER BEDS

TO    :    The Director and Regional Offices Bureau of Mines

From information furnished by the Department of Public Highways, many persons have filed applications for concessions on river beds abutting proposed and/or on-going infrastructure projects. These applicants are apparently anticipating lucrative business, by way of fees collected from contractors undertaking these projects.

In order not to make the cost of infrastructure projects very expensive because any extra cost for the extraction of sand and gravel imposed by concessionaires would be added to the project cost, you and your regional representatives are hereby instructed to include a condition in the grant of concessions to any applicant, "that national government offices and/or contractors extracting sand and gravel within their concessions shall not be charged any fee for the extraction of these materials, provided that such materials extracted are used exclusively in infrastructure projects". Steps should also be taken so that all previous concessions granted should likewise incorporate this condition.

Immediate compliance with this Letter of Instruction is desired.

Done in the City of Manila, this 20th day of January, in the year of Our Lord, nineteen hundred and seventy-five.

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Since 19.07.98.