The Department of Environment and Natural Resources (DENR) initially issued an environmental compliance certificate allowing Jung Ang Interventure Corp to go through with the project.

But DENR Secretary Angelo Reyes said his office has now cancelled the certificate after an investigation found that the Korean firm did not meet all requirements.

“They have been less transparent in their application,” he said in a statement. “I don’t think they thoroughly presented the environmental impact of the project.”

Reyes said Jung Ang also failed to secure a clearance from the government’s volcanology institute, the Department of Tourism and local government offices.

Taal Volcano, one of the 22 active volcanoes in the Philippines, lies in the middle of a scenic lake straddling several towns in Batangas.

Thousands of people live on the island and hundreds of tourists visit everyday even though it has been declared a danger zone.

The first of a five-level alert system has been raised on Taal since last year amid increasing signs of unrest.

The volcano last erupted in October 1977 and its deadliest eruption was in 1911, when it killed 1,334 people and its ashes reached Manila.