Natres Reviewer

LAW ON NATURAL RESOURCES Part IPublic Land Act (Commonwealth Act. No. 141) Governing Law CA No. 141, otherwise known as “The Public Land Act”, was enacted on November 07, 1936. Its provisions apply to lands of the public domain; but timber and mineral lands are governed by special laws.

question of fact is conclusive and not subject to be reviewed by the courts. Under EO No. 192, the newly created Lands Management Bureau (LMB) as headed by a Director, shall advise the DENR Secretary on matters pertaining to rational land classification management and disposition Doctrine of Primary Jurisdiction

The Department of Environment and Natural Resources (DENR) shall be in charge in carrying out the State’s constitutional mandate to control and supervise the exploration, development, utilization, and conservation of the country’s natural resources.

Courts cannot and will not resolve a controversy involving a question which is within the jurisdiction of an administrative tribunal, especially where the question demand the exercise of sound administrative discretion requiring the special knowledge, experience and services of the administrative tribunal to determine technical and intricate matters of fact.

Regalian Doctrine

Exhaustion of Administrative Remedies

Under Section 2, Article XII of the Constitution embodies the Regalian Doctrine – all lands of the public domain belong to the State – the source of any asserted right to ownership of land.

As a general rule, recourse through court action cannot prosper until all remedies have been exhausted at the administrative level.

Policy Considerations

With the exception of agricultural lands, all other natural resources shall not be alienated. The Regalian Doctrine reserves to the State all natural wealth that may be found in the bowels of the earth even if the land where the discovery is made be private. Imperium and Dominium Imperium – the government’s concept of sovereignty over public land; Dominium – the government’s capacity to own or acquire property. The Indigenous Peoples Rights Act (IPRA) of 1997 Under RA No. 8371 (IPRA), indigenous peoples may obtain the recognition of their right of ownership over ancestral lands and ancestral domains by virtue of native title. Organizational Structure The Public Land Act provides that the Secretary of the DENR is the executive officer charged with carrying out the provisions of the Public Land Act, through the Director of Lands. The decision of the Director of Lands may be annulled or reviewed when issue involves the question of law or based upon a misconstruction of the law. However, a

Classification of Lands Government lands are classified into two: 1. Lands of the public domain – either alienable or inalienable. 2. Lands of private domain – lands belonging to and owned by the State as a private individual, without being devoted for public use. Under the Civil Code, government lands can either be: 1. Properties of the public dominion – those intended for public use. 2. Patrimonial properties of the State – not or no longer intended for public use. Under the 1987 Constitution, lands of public domain are classified into four (4) categories: 1. Agricultural 2. Forest or timber 3.Mineral 4. National parks Of the four, it is only the agricultural lands may be disposed in accordance with law.

Classification of Lands Under the Public Land Act

be disposed of only as follows:

1. Alienable or disposable lands 2. Timber lands 3. Mineral lands

1. For homestead settlement 2. By sale 3.By lease, and 4. By confirmation of imperfect or incomplete titles: a. by judicial legalization – may apply to the Regional Trial Court where the land is located for the confirmation of their claims and the issuance of a certificate therefore, under the Property Registrration Decree. b. by administrative legalization (free patent) – any natural-born citizen of the Philippines who is not the owner of more than 12 hectares, and who, for at least 30 years prior to the effectivity of the amendatory act, has continuously occupied and cultivated a tract or tracts of land for disposition, who shall have paid the real estate tax land subject to disposition.

The President may at any time and in a like manner transfer such lands from one class to another, for the purposes of their administration and disposition. Classification of Public Lands Open to Disposition 1.Agricultural 2.Residential, commercial, industrial, or for similar productive purposes 3.educational, charitable, or other similar purposes 4. Reservations for town sites for public and quasi-public uses.

Before the government could alienate or dispose of lands of the public domain, the President (thru the DENR) must first officially classify these lands as alienable or disposable.

For homestead settlement · Any citizen of the Philippines · Over the age of 18 or head of the family · A homestead of the not exceeding 12 hectares · Applicant must have cultivated and improved at least one fifth of the land continuously · Resided at least one year in the municipality

“Government Land” and “Public Land” Distinguished

Homestead patent granted has the force and effect of a Torrens title.

The two are not synonymous terms; the first includes not only the second, but also other lands of the government already reserved or devoted to public use or subject to private right.

Sale of public agricultural lands · Any citizen of the Philippines · Of lawful age or head of the family · Applicant may purchase not to exceed 12 hectares which shall be sold thru sealed bidding

Classification of Lands an Executive Prerogative

Modes of Disposition No Public Land can be Acquired Except by a Grant from the State It is indispensable that there be a showing of Title from the State that may come in the form of a homestead, sales or free patent or grant. Only Alienable and Disposable (A&D) may be the Subject of Disposition

The purchase price may be paid in full or in not more then 10 annual equal installments from the date of the award. Lease · Any citizen of the Philippines · Of lawful age; and · Any corporation of which at least 60% of the capital stock belong wholly to the citizens of the Philippines Non-registrable Properties

Occupation thereof in the concept of owner, no matter how long, cannot ripen into ownership and be registered as a title.

1. Property of public dominion · Intended for public use · Intended for some public service

The applicant’s remedy lies in the release of the property from its present classification.

2. Forest lands

Specific Modes of Disposition

3.Watersheds

Public lands suitable for agricultural purposes can

4. Mangrove swamps

5. Mineral lands

by requiring that the titles to such lands “be settled and adjudicated.”

6. National parks Friar Lands 7.Military or naval reservation 8.Foreshore and reclaimed lands 9.Submerged areas

The so-called friar lands were purchased by the government for sale to actual occupants. These lands are not public lands but private or patrimonial property of the government and their acquisition is not governed by the provisions of CA 141 (Public Land Act).

10.Lakes Action for Reversion 11.Navigable rivers 12.Creeks 13. Reservations for public and semi-public purposes Classification and Disposition of Lands for Residential, Commercial or Industrial Purposes 1. Lands reclaimed by the government by dredging, filling, or other means 2. Foreshore; 3. Marshy lands or lands covered with water bordering upon the shores or banks of navigable lakes or rivers;

Director of Lands has Continuing Authority to Investigate Fraudulent Issuance of Patents Government Initiates an Action for Cancellation of Title and Reversion Lands of the public domain fraudulently awarded to the applicant may be recovered or reverted back to its original owner, the government. An action for reversion has to be instituted by the Solicitor General. Action for Nullity of Land Titles Distinguished from Reversion Nullity of land is based on the fact that the land is beyond the jurisdiction of Director of Lands to bestow Reversion of land is based on fraudulent claim

4. Lands not included in any of the foregoing classes. The lands comprised in classes 1,2, and 3 shall be disposed of to private parties by lease only. Conditions of the Lease The lessee shall construct permanent improvements appropriate for the purpose, shall commence the construction within 6 months from the date of the award. At the expiration of the lease, all improvements made by the lessee shall become the property of the Government.

Prohibited Alienations No alienation, transfer, or conveyance of any homestead after 5 years and before 25 years after issuance of title shall be valid without the approval of the Secretary of DENR. Procedure, Legal Restrictions and Encumbrances 1.The full name of applicant, his age, place of birth, citizenship, civil status, and post-office address. 2. That the applicant has all the qualifications.

Lands for Residential, Commercial or Industrial Purposes Shall be Disposed of through Oral Bidding (Except direct sale)

3. That he has none of the disqualifications. 4. That the application is made in good faith.

Sale of Lands Within Military Reservations Priority shall be given to bona fide occupants and then to war veterans.

5. That the application is made for the exclusive benefit of the applicant 6. Accurate description of the land.

Cadastral Registration Proceedings The cadastral system of registration constitutes another means of bringing lands under the operation of the Torrens system. The purpose is to serve public interests

7. Whether all or part of the land is occupied or cultivated or improved.

8. That the land applied for is neither timber or mineral. In case of death of applicant or grantee before the issuance of the patent or final grant of the land, he shall be succeeded by his heirs in law. All other natural resources shall remain with the State. Land is subject of public servitudes, right of way not exceeding 20 meters in width. Private corporations disqualified from acquiring lands of the public domain except by lease for a period not exceeding 25 years, renewable for not more than 20 years and not to exceed one thousand hectares in area.

Part II Revised Forestry Code (Presidential Decree No. 705) Governing Law PD 705, otherwise known as the “Revised Forestry Code of the Philippines,” is the law governing the management and utilization of forest lands. The law places emphasis not only on the utilization of forest resources but more so on the protection, rehabilitation and development of forest lands, in order to ensure the continuity of their productive condition.

domain which have been classified as such by the Secretary of Natural Resources in accordance with prescribed and approved criteria, guidelines and procedure. (g) Forest reservations – refer to forest lands which have been reserved by the President of the Philippines for any specific purpose or purposes. (h) National park – refers to a forest land reservation which has been withdrawn from settlement or occupancy and set aside as such exclusively to preserve the scenery, the natural and historic objects and the wild plants and animals therein, and to provide enjoyment of these features in such a manner as will leave them unimpaired for future generations. (i) Game refuge or bird sanctuary – refers to a forest land designated for the protection of game animals, birds and fish and closed to hunting and fishing in order that the excess population may flow and restock surrounding areas. (j) Marine parks – refer to any off-shore area inhabited by rare and unique species of marine flora and fauna. (k) Seashore park – refers to any public shore area delimited for outdoor recreation, sports fishing, waterskiing and related healthful activities.

Definition of Terms

(l) Watershed reservation – is a forest land reservation established to protect or improve the conditions of the water yield thereof or reduce sedimentation.

(a) Public forest – is the mass of lands of the public domain which has not been the subject of present system of classification.

(m) Watershed – is a land area drained by a stream or fixed body of water and its tributaries having a common outlet for surface run-off.

(b) Permanent forest or forest reserves – refer to those lands of the public domain which have been the subject of the present system of classification and determined to be needed for forest purposes.

(n) Critical watershed – is a drainage area of a river system supporting existing and proposed hydro-electric power and irrigation works needing immediate rehabilitation as it is being subjected to a fast denudation causing accelerated erosion and destructive floods. It is closed from logging until it is fully rehabilitated.

(c) Alienable and disposable lands – refer to those lands of the public domain which have been the subject of the present system of classification and declared as not needed for forest purposes. (d) Forest lands – include the public forest, permanent or forest reserves, and forest reservations. (e) Grazing land – refers to that portion of the public domain which had been set aside for the raising of livestock. (f) Mineral lands – refer to those lands of the public

(o) Mangrove – is a term applied to the type of forest occurring on tidal flat along the seacost. (p) Kaingin – is a portion of the forest land which is subjected to shifting and/or permanent slash-and-burn cultivation having little or no provision to prevent soil erosion. (q) Forest product – means timber, pulpwood, firewood, bark, tree top, resin, gum, wood, oil, beeswax, honey, rattan, or other forest growth, the associated water, fish,

game, scenic, historical, recreational and geologic resources in forest lands. (r) Industrial tree plantation – is any tract of forest land purposely and extensively planted to timber crops primarily to supply the raw material requirements of existing or proposed processing plants and related industries. (s) Tree farm – refers to any tract of forest land purposely and extensively planted to trees of economic value for their fruits, flowers, leaves, barks, or extractives, but not for the wood thereof. (t) Selective logging – means the systematic removal of the mature, over-mature and defective trees in such a manner as to leave adequate number and volume of healthy residual trees of the desired species for the protection and conservation of soil and water. (u) Lease – privilege granted by the State to a person to occupy and possess, in consideration of specified rental, any forest land of the public domain in order to undertake any authorized activity therein. (v) License – is a privilege granted by the State to a person to utilize forest resources, without any right of occupation and possession over the same. (w) License agreement – is a privilege granted by the State to a person to utilize forest resources, without any right of occupation and possession over the same, but with the obligation to develop, protect, and rehabilitate the same in accordance with the terms and conditions set forth in said agreement. (x) Permit – is a short-term privilege or authority granted by the State to a person to utilize any limited forest resources without any right of occupation and possession therein. (y) Ecosystem – means the ecological community considered together with non-living factors and its environment as a unit. (z) Silviculture – is the establishment, development reproduction and care of forest trees. (aa) Private right – refers to titled rights of ownership under existing laws, which possession may include places of abode and worship, burial grounds, and old clearings, but excludes production forest inclusive of logged-over areas, commercial forests and established plantations of forest trees and trees of economic value.

Organizational Structure The Department of Environment and Natural Resources; Mandate It is DENR shall be primarily responsible for the implementation of the policy of the State to ensure, for the benefit of the Filipino people, the full exploration and development as well as the judicious disposition, utilization, management, renewal and conservation of the country’s forest… Policy determination by the executive branch on the proper management of forest resources cannot as a rule be inferred with by the courts. It is addressed to the sound duiscretion of government agencies entrusted with the regulation of activities coming under the special technical knowledge and training of such agencies. Forest Management Bureau is implementing the provisions of the Code. It shall have jurisdiction and authority over all forest land, grazing lands, and all forest reservations including watershed reservations. The Bureau is directly under the control and supervision of the DENR Secretary. The Bureau shall regulate the establishment and operation of sawmills, veneer and plywood mills and other wood processing plants. All actions and decisions of the Bureau Director are subject to review, motuproprio or upon appeal of any person aggrieved thereby, by the DENR Secretary whose decisions shall be final and executory after the lapse of thirty (30) days from receipt of the aggrieved party of said decision., unless appealed to the President in accordance with EO No. 19, s. 1966. Exhaustion of administrative remedies – it calls for resort first to the administrative authorities in the resolution of a controversy falling under their jurisdiction before the same may be elevated to the courts of justice for review. It is an established doctrine that the decisions and orders of administrative agencies have, upon their finality, the force and binding effect of final judgment within the purview of res judicata. Res judicata – the rule forbids the reopening of a matter once determined by competent authority acting within their exclusive jurisdiction. Laches – the failure or neglect for an unreasonable and unexplained length of time to do that which by exercising due diligence, could or should have been done earlier, or to assert a right within a reasonable time, warranting a

presumption that the party entitled thereto has either abandoned it or declined to assert it.

disposable, nor any forest land fifty percent (50%) in slope or over as grazing land.

Jurisdiction

Lands eighteen percent (18%) in slope or over which have already been declared as alienable and disposable shall be reverted to the classification of forest lands by the DENR Secretary, to form part of the forest reserves, unless they are already covered by existing titles or approved public land applications or actually occupied openly, continuously, adversely and publicly for a period of not less than thirty (30) years of the effectivity of the Code, where occupant is qualified for a free patent under the Public Land Act (CA No. 141, as amended). Areas Needed for Forest Purposes

The Bureau has jurisdiction and authority over all forest lands, grazing lands, and all forest reservations, including watershed reservations presently administered by other government agencies or instrumentalities. Forest lands are within the exclusive jurisdiction of the Bureau and beyond the power and jurisdiction of the courts to register under the Torrens system. Legality of the closure of a logging road is a judicial question. It is beyond the power and authority of the Bureau to determine the unlawful closure of a passage way. Not every activity inside a forest area is subject to the jurisdiction of the Bureau. Classification of Surveys

The following lands, even if they are below 18 percent in slope, are needed for forest purposes: (a) areas less than 250 hectares which are far from, or not contiguous with, any certified alienable and disposable land;

Classification The DENR Secretary shall study, devise, determine and prescribe the criteria, guidelines and methods for the proper and accurate classification and survey of all lands of the public domain into agricultural, industrial or commercial, residential, resettlement, mineral, timber or forest, and grazing lands, and into such other classes as now or may hereafter be provided by law, rules and regulations. Concept of Forests and Forest Lands

(b) isolated patches of forest of at least five (5) hectares with rocky terrain, or which protect a spring for communal use; (c) areas which have already been reforested; (d) areas within forest concessions; (e) ridge tops and plateaus found within, or surrounded wholly or partly by, forest lands where headwaters emanate;

There is a big difference between “forest” as defined in a dictionary and “forest or timberland” as a classification of lands of the public domain in the Constitution. One is descriptive of what appears on the land while the other is a legal status, a classification for legal purposes. Forests, in the context of both the Public Land Act and the Constitution classifying lands of the public domain do not necessarily refer to a large tract of wooded land or an expanse covered by dense growth of trees and underbrush.

(f) appropriately located road-rights-or-way;

Public forests or forests reserves are not capable of private appropriation. Unclassified land cannot be acquired by adverse occupation or possession; occupation thereof in the concept of owner, however long, cannot ripen ownership and be registered as title.

(i) areas needed for other purposes, such as national parks, etc.;

Topography No land of the public domain eighteen percent (18%) in slope or over shall be classified as alienable and

(g) twenty meter strips of land along the edge of the normal high waterline of rivers and streams with channels of at least five (5) meters wide; (h) strips of mangrove or swamplands at least twenty (20) meters wide, along shorelines facing oceans, lakes and other bodies of water; and strips of land at least twenty (2) meters wide facing lakes;

(j) areas previously proclaimed by the President as forest reserves, national parks, etc. The maximum period of any privilege to harvest timber is 25 years, renewable for a period, not exceeding 25years. Timber utilization shall be limited to that which a person may effectively utilize and develop for a period of 50 years.

Mangrove swamps are in the category of forest lands and the Bureau of Fisheries and Aquatic Resources has no jurisdiction to administer or dispose them. Forest lands are not registrable until they are released as disposable and alienable. Any title issued on non-disposable lots even in the hands of an alleged innocent purchaser for value, shall be cancelled. All roads and infrastructure constructed by holders of license agreements, licenses, leases and permits belong to the State. Regalian Doctrine

Control of Concession Area Regulation of Timber Utilization in All Other Classes of Lands and of Wood-processing Plants Swamplands and Mangrove Forests Visitorial Power The DENR Secretary, by himself or through the Director or any qualified representative, may investigate, inspect and examine records and other documents relating to the operation of a license agreement, license, lease or permit, and its subsidiary or affiliated companies, to determine compliance with the terms and conditions thereof. Authority of Forest Officers

Under Section 2, Article XII of the Constitution embodies the Regalian Doctrine – all lands of the public domain belong to the State – the source of any asserted right to ownership of land. All lands not appearing to be clearly of private dominion presumptively belong to the State.

When in performance of their official duties, forest officers shall have free entry into areas covered by license agreement. Mining Operations

Reservation of land, covered by a timber concession, for experiment station vests in the grantee full ownership thereof.

Location, prospecting, exploration, utilization or exploitation of mineral resources in forest reservations shall be governed by mining laws.

Utilization and Management

Mineral Reservations

Preservation and protection of forests is in adherence to public policy.

Mineral reservations which are not the subject of mining operations or where operations have been suspended for more than five (5) years shall be placed under forest management by the Bureau.

Principle of inter-generational responsibility. “…the right of the people to a balanced and healthful ecology in accord with the rhythm and harmony of nature.” (Sec. 16, Article II of the Constitution. Every generation has a responsibility to the next to preserve that rhythm and harmony for the full enjoyment of a balanced and healthful ecology. A timber license is not a contract but a mere privilege which does not create irrevocable rights. Industrial tree plantations and tree farms A lease for a period of twenty-five (25) years, renewable for another period not exceeding twenty-five (25) years, for the establishment of an industrial tree plantation or a tree farm may be granted by the DENR, upon recommendation of the Director with minimum area of 1,000 hectares for industrial tree plantation and 100 hectares for tree farm. No lease shall be granted within critical watersheds. Forest Protection

Special Uses 1. Pasture in Forest Lands No forest land 50% in slope or over may be utilized for pasture purposes. 2. Wildlife The Director may regulate the killing and destruction of wildlife in forest lands in order to maintain an ecological balance of flora and fauna. 3. Recreation 4. Other Special Uses of Forest Lands Qualifications Diffusion of Benefits The privilege to utilize, exploit, occupy, or possess forest lands, or to conduct any activity therein shall be diffused to as many qualified and deserving applicants as

possible. Criminal Offenses and Penalties

Authority also contains the disposal of the confiscated forest products.

1. Cutting, Gathering and/or Collecting Timber or Other Products Without License

Offenses Punished Under Sec. 68, PD No. 705, as Amended

Punishment with penalties is imposed under Arts. 309 and 310.

1) cutting, gathering, collecting and removing timber or other forest products from any forest land, or timber from alienable or disposable public and, or from private land without any authority; and, 2) possession of timber or other forest products without the legal documents required under existing forest laws and regulations.

If officers in a corporation is alien, in addition to penalty, he may be deported without further proceedings on the part of the Commission on Immigration and deportation. A timber license is not a contract in the purview of the due process clause; it is only a license or privilege, which can be validly withdrawn whenever dictated by public interest or public welfare. The granting of license does not create irrevocable rights, neither is it property or property rights. 2. Unlawful Occupation or Destruction of Forest Lands 3. Pasturing Livestock 4.Illegal Occupation of National Parks System and Creation Areas and Vandalism Therein 5.Destruction of Wildlife Resources 6.Survey by Unauthorized Person 7.Misclassification and Survey by Government Official or Employee 8.Issuance of Tax Declaration on Real Property without Certification from the Director of Forest Development and the Director of Lands 9.Coercion and Influence to Commit of the Acts 10.Unlawful Possession of Implements and Devices Used by Forest Officers 11.Failure to Pay the Amount Due and Demandable Under This Code 12. Sale of Wood products Without Grading Rules Timber Duration of license agreement or license to harvest timber in forest lands has a maximum period twenty-five years, renewable for a period, not exceeding twenty-five years. Size of forest concessions shall be limited to that which a person may effectively utilize and develop for a period of fifty (5) years. Reforestation Forest Lands to be Reforested Sec. 68-A. Administrative Authority of the Department Head or His Duly Authorized Representative to Order Confiscation.

Difference Timber and Lumber: Timber is a raw log or forest product; Lumber is the processed log or timber. DENR Has Jurisdiction Over the Confiscation of Forest Products and Conveyances Used in the Commission of the Offense Under Sec. 68 of PD No. 705, as amended, the regional trial court has jurisdiction to order the confiscation of the timber or forest products as well as the machinery, equipment, implements and tools illegally used in the area where the timber of forest products are found. However, the DENR Secretary or his duly authorized representative under Sec. 68-A of PD No. 705, as amended by EO No. 277, has jurisdiction to order the confiscation and disposition of all Conveyances –by land, water, or air – used in illegally cutting, gathering, removing, possessing or abandoning forest products. A person guilty of unlawful occupation or destruction of forest lands shall be fined an amount of not less than five hundred pesos (P500.00) nor more than twenty thousand pesos (P20,000) and imprisoned for not less than 6 months nor more than 2 years for each such offense, and be liable to the payment of 10 times the rental fees and other charges which would have been accrued had the occupation and use of the land been authorized under a license agreement, lease, license or permit. In the case of an offender found guilty of making kaingin, the penalty shall be imprisoned for not less than 2 nor more than 4 years and a fine equal to 8 times the regular forest charges due on forest products destroyed, without prejudice to the payment of the full cost of restoration of the occupied area as determined by the Bureau.

In pasturing livestock without authority in forest lands, the guilty person shall be imprisoned for not less than 6 months nor more than 2 years for each such offense, and a fine equal to 10 times the regular rentals due, in addition to the confiscation of such livestock and all improvement introduced in the area.

Act No. 624 passed by the United States Philippine Commission and approved on Feb. 07, 1903.

Any person who is guilty of illegal occupation of national parks system and recreation areas and vandalism therein shall be fined not less than P200 or more than P500 exclusive of the value of the thing damaged. If the area requires rehabilitation or restoration, the offender shall also be required to restore or compensate for the restoration of the damage.

EO No. 141 of then Pres. Marcos

The 1935 Constitution CA No. 137, the Mining Act

The 1973 Constitution PD 463, revising CA 137 stipulating the conditional application of Regalian Doctrine The 1987 Constitution

Survey by unauthorized person is punishable by imprisonment for not less than 2 nor more than 4 years, in addition to confiscation of the implements used.

The Philippine Mining Act of 1995. Declaration of Policy

Misclassification and survey by government official or employee shall be dismissed from the service with prejudice to re-employment, and upon conviction by a court of competent jurisdiction, suffer an imprisonment of not less than 1 year and a fine of not less than P1000. The survey, classification or release of forest lands shall be null and void. A forest Officer or employee of the Bureau shall arrest even without warrant of arrest any person who has committed or is committing in his presence any of the offenses defined in the Code. He shall also seize and confiscate, in favor of the government, the tools and equipment used in committing the offense, and the forest products. The arresting officer or employee shall thereafter deliver within 6 hours from the time of arrest and seizure, the offender and the confiscated forest products, tools and equipment to, and file the proper complaint with, the appropriate official designated by law to conduct preliminary investigations and file information in court. Part IIIPhilippine Mining Act of 1995(Republic Act. No. 7942)

All mineral resources in public and private lands within the territory and exclusive economic zone of the Republic of the Philippines are owned by the State. (Regalian Doctrine) Ownership of Mineral Resources Ownership of mineral deposits by the State is also dominant principle expressed in PD No. 463, otherwise known as the “Mineral Resources Decree of 1974). Minerals excluded from other rights to land Mineral deposits open to location and lease “Full control and supervision by the State” in the exploration, development and utilization of the country’s natural resources – is the adoption of the concept of jura regalia. The old system of exploration, development and utilization of natural resources through licenses, concessions or leases has been omitted under the 1987 Constitution. Nonetheless, RA 7942 respects previously issued valid and existing licenses.

Governing Law RA 7942 was enacted of March 03, 1995, instituting a new system of mineral resources exploration, development, utilization and conservation in the country.

RA No. 7942 reiterates ownership of natural resources by the State Activities which may be undertaken by the State in connection with its “full control and supervision

Evolution of Pertinent Mining Laws Royal Decree of May 18667 – Spanish Mining Law Act of Congress of July 1, 1902

enter into co-production, joint venture or production sharing agreements with Filipino citizens or qualified corporations; may allow small-scale utilization of natural resources by

Filipino citizens;

a. to ensure that relevant laws on public notice;

The President may enter into agreements with foreignowned corporations involving technical or financial assistance for the large-scale exploration, development and utilization of minerals, petroleum and other mineral oils.

b. in coordination with the Bureau/Regional Office(s) to approve applications for small-scale mining, sand and gravel quarry... not exceeding five (5) hectares;

A 10% share of all royalties and revenues to be derived by the government from the development and utilization of the mineral resources.

d. to facilitate the process by which the community shall reach an informed decision on the social acceptability;

c. to receive their share;

e. to participate in the monitoring of any mining activity; Rights of a Locator to a Perfected Claim Mere recording of a mining claim, without performing annual work obligation, does not convert land into mineral land. Abandonment – the act which constitutes actual, absolute and irrevocable desertion of one's right or property. Classification of minerals (5) First group – metals or metalliferous ores

f. to participate as member of the Mine Rehabilitation Fund Committee; g. to be the recipient of social infrastructure; h. to act as mediator between the indigenous cultural communities and the contractors; i. to coordinate with the Department and Bureau in the implementation of the Act; j. to perform such powers and functions as may be provided.

Second group – precious stones Authority of the Bureau Third group – fuels Fourth group – salines and mineral waters Fifth group – building stone in place, clays, fertilizers and other non-metals Mineral land – means any area where mineral resources are found. Mineral resource – any concentration of minerals/rocks with potential economic value. Organizational Structure Pursuant to Section 8 of PD No. 7942, the Department of Environment and Natural resources (DENR) shall be the primary agency responsible for the conservation, management, development, and proper use of the State's mineral resources. The Secretary shall have the authority to enter into mineral agreements on behalf of the government upon the recommendation of the Director, and promulgate such rules and regulations as may be necessary to implement the intent and provisions of the Act. Role of local governments

The Mines and Geosciences Bureau, headed by a Director and assisted by Assistant Director shall advise the secretary on matters pertaining to geology and mineral resources exploration, development, utilization and conservation. The Bureau is conferred with quasi-judicial powers There is an application of Doctrine of Primary Jurisdiction. Doctrine of Primary Jurisdiction - Courts cannot and will not resolve a controversy involving a question which is within the jurisdiction of an administrative tribunal, especially where the question demand the exercise of sound administrative discretion requiring the special knowledge, experience and services of the administrative tribunal to determine technical and intricate matters of fact. Non-interference by the courts on purely administrative matters. Scope of Application No ancestral land shall be opened for mining operations without the prior consent of the indigenous cultural community concerned. In the event of agreement, the

royalty payment shall be agreed upon by the parties. The said royalty shall form part of a trust fund for the socioeconomic well-being of the indigenous cultural community.

An exploration permit holder may, within the term of the permit, file with the Bureau declaration of mining project feasibility accompanied by a work program for development for the Bureau's approval.

Areas Open to Mining Operations Term of Exploration All mineral resources in public or private lands, including timber or forestlands as defined in existing laws, shall be open to mineral agreements. Any conflict that may arise shall be heard and resolved by the panel of arbitrators. Areas Closed to Mining Operations

The term of an exploration permit shall be for the period of two (2) years from date of issuance thereof, renewable for like periods but not to exceed a total term of foour (4) years for non-metallic mineral exploration or six (6) years for metallic mineral exploration.

a. in military and other government reservations; b. near or under public or private buildings, cemeteries, archeological and historic sites, bridges xxx and other infrastructure projectsxxx; c. in areas covered by valid and existing mining rights; d. in areas expressly prohibited by law;

Exploration permit may be transferred but subject to the approval of the Secretary of the DENR. Registration of Exploration Permit Upon approval and issuance of exploration permit, the permitee shall cause the registration of the same with the Bureau/Regional Office concerned within fifteen (15) working days from receipt of written notice and upon payment of of the required fees.

e. in areas covered by small-scale miners; f. old growth or virgin forest, proclaimed watershed forest reserves xxx

Exploration shall be revocable when demanded by police power. The State, under its all-encompassing police power, may alter, modify or amend permits in accordance with the demands of the general welfare.

Exploration Permit Mineral Agreements Exploration Permit – grants the right to conduct exploration for all minerals in specified areas. Section 3 (aq) of RA No. 7942 is not unconstitutional. An observation has been made that Sec. 3 (aq) of RA 7942 which allows a foreign contractor to apply for and hold an exploration permit is unconstitutional. The reasoning is that Sec. 2 of Art. XII of the Constitution does not allow foreign-owned corporations to undertake mining operations directly. However, in La BugalB'laan Tribal Association v. Ramos, the Court ruled that while the Constitution mandates the State to exercise full control and supervision over the exploitation of mineral resources, nowhere does it require the government to hold all exploration permits and similar authorizations xxx. Such a permit does not amount to authorization to extract and carry off the mineral resources that may be discovered. The exploration permit serves a practical and legitimate purpose in that it protects the interest and preserves the rights of the exploration permit grantee (the would-be contractor) during the period of time that it is spending heavily on exploration works, without yet being able to earn revenues to recoup any of its investments and expenditures.

Forms of General Agreements: a. mineral production sharing agreement b. co-production agreement c. joint-venture agreement Eligibility a. in case of individual – must be Filipino citizen, of legal age and with a capacity to contract; b. in case of corporation, partnership, association, or cooperative – at least sixty percent (60%) of capital of which is owned by Filipino citizens. Filing of mineral agreements shall be filed in the region where the areas of interest are located. They will be approved by the Secretary and copies shall be submitted to the President. Term of a Mineral Agreement The term must not exceed twenty five (25) years to start from the date of execution, and renewable for another term not exceeding twenty five (25) years.

Publication, Posting, radio Announcement It shall be done within (15) working days from receipt of the notice. Quarry Resources Themaximum area which a qualified person may hold at any one time shall be 5 hectares. A quarry permit shall have a term of 5 years, renewable for like periods but not to exceed a total term of 25 years. A quarry permit may be canceled by the provincial governor for violations of the provisions of this Act. Transport, Sale, and processing of Minerals In transporting non-processed mineral ores or minerals, there must be an Ore Transport permit. No person shall engage in trading of mineral products unless registered with Department of Trade and Industry. No person shall engage in the processing of minerals without a processing permit from the Secretary. Permit shall be for a period of 5 years renewable for like years but not to exceed a total term of 25 years. A foreign-owned/controlled corporation may be granted a mineral processing permit. Development of Mining Communities, Science and Mining Technology A contractor shall: a. Allot expenditure for community development and science and mining technology b. Maintain manpower training and development program c. Use indigenous goods, services, and technologies d. prior to cessation have 1 year to remove improvements, otherwise all shall be turned over or donated tax-free to the proper government authorities e. employ preferably Filipino citizens Safety and Environmental Protection No person under 16 years of age shall be employed in

any phase of mining operations, and no person under 18 years of age shall be employed underground in the mine. All mining and quarrying operations that employ 50 workers shall have at least 1 licensed mining engineer with 5 year experience, and 1 registered foreman. The regional director shall have exclusive jurisdiction over the safety inspection of all installations. The regional director shall, in consultation with the Environmental Management Bureau have the power to issue orders. Auxiliary Mining Rights Timber rights (subject to forestry laws, rules, and regulations) Water rights (subject to the existing water laws, rules, and regulations) Right to possess explosives Easement right Entry into private lands and concession areas Settlement of Conflicts There shall be panel of arbitrators in the regional office of the department composed of 3 members, 2 of whom must be member of the Philippine Bar and 1 licensed mining engineer and duly designated by the Secretary. The panel shall settle the following: disputes involving rights to mining areas disputes involving mineral agreements or permit disputes involving surface owners, occupants and claim holder/concessionaires disputes pending before the Bureau and the Department at the date of the effectivity of this Act. The decision or order of the panel of arbitrators may be appealed by the party to the Mines Adjudication Board within 15 days from receipt. The Mines Adjudication Board is composed of the Secretary as Chairman with the Director of Mines and Geosciences Bureau and the Undersecretary for Operations of the Department as members. Government Share The total government share in a mineral production sharing agreement shall be the excise tax on mineral products. The share of the Government in co-production and joint venture agreements shall be negotiated by the Government and the contractor.

Ground for Cancellation, revocation, and Termination Late or non-filing of requirements Violation of the terms and conditions of permits or agreements Non-payment of taxes and fees Suspension or cancellation of tax incentives and credits Falsehood or omission of facts in the statement Penal Provisions 1.False statements 2.illegal exploration 3. Theft of minerals 4. Destruction of mining structures 5. Mines arson 6.Willful damage to mine 7.Illegal obstruction to permitees or contractors 8. Violation of the terms and conditions of the Environmental Compliance Certificate (ECC) 9. Obstruction of government officials 10.Other violations 11. Fines Part VIII Philippine Fisheries Code of 1998(Republic Act No. 8550)

The provisions of the Code shall be enforced in: · all Philippine waters including other waters over which the Philippines has sovereignty and jurisdiction, and the country’s 200-nautical mile EEZ (Exclusive Economic Zone) and continental shelf; · all aquatic and fishery resources · all lands devoted to aquaculture, or businesses and activities relating to fishery, whether private or public lands Use of Philippine Waters Section 2, Article XII of the Constitution provides: “ The State shall protect the nation’s marine wealth in its archipelagic water, territorial sea, and exclusive economic zone, and reserve its use and enjoyment exclusive to Filipino citizens.” Consistent with the foregoing constitutional provision, Sec. 5 of RA No. 8550 provides that the use and exploitation of the fishery and aquatic resources in the Philippine waters shall be reserved exclusively to Filipinos. Research and survey activities may be allowed under strict regulations that would also benefit Filipino citizens.

Governing Law Definition of Terms RA No. 8550, otherwise known as “The Philippine Fisheries Code of 1998”, was enacted on February 17, 1998 to provide for the development and conservation of the fisheries and aquatic resources and integrating all laws pertinent thereto.

Aquatic resources – includes fish, all other aquatic flora and fauna and other living resources of the aquatic environment, including, but not limited to, salt and corals.

Policy Considerations

Closed season – the period during which the taking of specified fishery species by a specified fishing gear is prohibited in a specified area or areas in the Philippine waters.

The State shall ensure the attainment of the following objectives: · Conservation, protection and sustained management of the country’s fishery and aquatic resources · Poverty alleviation and the provision of supplementary livelihood among municipal fisherfolk · Improvement of productivity of aquaculture within ecological limit · Optimal utilization of off-shore and deep-sea resources and · Upgrading of post-harvest technology Application of the Law

Commercial fishing – the taking of fishery species by passive or active gear for trade, business and profit beyond subsistence or sports fishing, to be further classified as: · Small scale commercial fishing – fishing with passive or active gear utilizing fishing vessels of 3.1 gross tons (GT) up to twenty (20) GT; · Medium scale commercial fishing – fishing with passive or active gear utilizing fishing vessels of 20.1 gross tons (GT) up to one hundred fifty (150) GT; · Large commercial fishing – fishing with passive or active gear utilizing fishing vessels of more than one hundred fifty (150) GT

Municipal waters – 15 kilometers from coastline. Organizational Structure The Department of Agriculture (DA) is the government agency responsible for the promotion of agricultural development by providing the policy framework, public investments, and support services needed for domestic and export-oriented business enterprises. It shall be the primary concern of the DA to improve farm in come and generate work opportunities for farmers, fishermen, and other rural workers.

engaged in commercial fishing; monitor and review joint fishing agreements between Filipino citizens and foreigners; formulate and implement (CNFIDP); establish and maintain a Comprehensive Fishery Information System (CFIS); provide extensive development support services in all aspects of fisheries production, processing, and marketing; provide advisory services and technical assistance;

Access to Fishery Resources coordinate efforts relating to fishery production; The DA shall issue such number of licenses and permits for the conduct of fishery activities subject to the limits of the maximum sustainable yield (MSY) of the resources as determined by scientific studies or best available evidence. Preference shall be given to resource users in the local communities adjacent or nearest to the municipal waters. · Catch ceiling limitation – the DA Secretary may prescribe limitations or quota on the total quantity of fish captured, for specified period of time and specified area based on the best available evidence. · Establishment of closed season – the Secretary may declare a closed season in any or all Philippine waters outside the boundary of municipal waters and in bays, for conservation and ecological purposes. The Secretary may include waters under the jurisdiction of special agencies, municipal waters and bays, and or other other areas reserved for the use of the municipal fisherfolk. This shall be done only upon the concurrence and approval of such special agencies, and concerned LGUs. Bureau of Fisheries and Aquatic Resources; Functions The Bureau of Fisheries and Aquatic Resources (BFAR) is a line bureau under the DA. It shall have the following functions: prepare and implement a Comprehensive National Fisheries Industry Development Plan (CNFIDP); issue licenses for the operation of commercial fishing vessels; issue identification cards free of charge to fishworkers

advise and coordinate with LGUs on the maintenance of proper sanitation and hygienic practices in fish markets and fish landing areas; establish a corps of specialists in collaboration with DND, DILG, and DFA for the efficient monitoring, control, and surveillance of fishing activities… and provide for necessary facilities, equipment and training therefore; implement an inspection system for import and export of fishery/aquatic products; coordinate with LGUs and other concerned agencies for the establishment of productivity enhancing and market development programs in fishing communities; enforce all laws, formulate and enforce all rules and regulations governing the conservation and management of fishery resources, except in municipal waters, and settle conflicts of resource use and allocation; develop value-added fishery products for domestic consumption and export; recommend measures for the protection/enhancement of fishery industries; assist LGUs in developing their technical capability in the development, management, regulation, conservation, and protection of the fishery resources; formulate rules and regulations for the conservation and management of straddling fish stocks and highly migratory fish stocks; and perform such other related functions which shall promote the development, conservation, management, protection and utilization of fisheries and aquatic resources.

Composition of BFAR The BFAR is headed by a Director and assisted by two (2) Asst. Directors who shall supervise the administrative and technical services of the bureau respectively. Municipal Fisheries The municipality/city government shall have jurisdiction over municipal waters as defined in the Code. The LGUs shall enforce all fishery laws, rules and regulations as well as valid fishery ordinances enacted by the municipal/city council. The LGUs which share or border fishery resources may group themselves and coordinate with each other. The Integrated Fisheries and Aquatic Resources Management Councils (FARMCs) established under Sec. 76 of the Code shall serve as the venues for close collaboration among LGUs in the management of contiguous resources. Grant of Fishing Privileges in Municipal Waters The duly registered fisherfolk organizations/cooperatives shall have preference in the grant of fishery rights by the municipal/city council. Users of municipal waters The municipal or city government may authorize or permit small and medium commercial fishing vessels to operate within the 10.1 to 15 kilometer area from the shoreline in municipal waters, provided, that all the following are met: no commercial fishing in municipal waters with depth less than 7 fathoms; fishing activities utilizing methods and gears that are determined to be consistent with national policies set by the DA; prior consultation with the M/CFARMC has been conducted; and the applicant vessel as well as the shipowner, employer, captain and crew have been certified by the appropriate agency as not having violated the Code, environmental laws and related laws. Resident municipal fisherfolk of the municipality concerned and their organizations/cooperatives shall have priority to exploit municipal and demarcated fishery areas of the said municipality.

Persons Eligible for Commercial Fishing Vessel License No commercial fishing vessel license shall be issued except to citizens of the Philippines, partnerships or associations, cooperatives or corporations duly registered in the Philippines at least 60% of capital stock of which is owned by Filipino citizens. No person to whom a license has been issued shall sell, transfer or assign, directly or indirectly, his stock or interest therein to any person not qualified to hold a license. The commercial fishing boat license shall be renewed every 3 years. The owner/operator of a fishing vessel has a period of 60 days prior to the expiration of the license within which to renew the same. The owner/operator of a registered fishing vessel shall notify the department in writing of the transfer of ownership of the vessel with a copy of such document within 10 days after its transfer to another person. Fishing by Philippine Commercial Fishing in International Waters Fishing vessels of Philippine registry may operate in international waters or waters of other countries which allow such fishing operations but they should comply with the safety, manning and other requirements of the Philippine Coast guard, maritime Industry Authority and other agencies concerned. Aquaculture Disposition of Public Lands for Fishery Purposes Public lands such as tidal swamps, mangroves, marshes, foreshore lands and ponds suitable for fishery operations shall not be disposed or alienated. Fishponds lease agreements (FLA) may be issued for public lands that may be declared available for fishpond development primarily to qualified fisherfolk cooperatives/associations. Upon the expiration of existing FLAs, the current lessees shall be given priority and entitled to an extension of 25 years. DA shall declare as reservation portions available public lands certified as suitable for fishpond purposes. No fish pens or fish cages or fish traps shall be allowed in lakes.

Lease of Fishponds areas leased for fishpond purposes shall be no more than 50 hectares for individuals and 250 hectares for corporations or fisherfolk organizations; the lease shall be for a period of 25 years and renewable for another 25 years. In case of death of lessee, his spouse and/or children, as his heirs, shall have preemptive rights to the unexpired term of his FLA; lease rates for fishpond areas shall be determined by the DA; The area leased shall be developed and producing on commercial scale within 3 years from the approval of the lease contract, but areas not fully producing within 5 years from approval shall automatically revert to the public domain for reforestation; Reversion of All Abandoned, Undeveloped or Underutilized Fishponds The DENR, in coordination with the DA, LGUs, other concerned agencies and FARMCs shall determine shall determine which abandoned, underdeveloped, or underutilized fishponds covered by FLA can be reverted to their original mangrove state.

administered in the manner prescribed by the BFAR. Prohibitions and Penalties Unauthorized fishing or engaging in other unauthorized fisheries activities Poaching in Philippine waters – it shall be unlawful for any foreign person, corporation, or entity to fish or operate any fishing vessel in Philippine waters Fishing through explosives, noxious or poisonous substance, and/or electricity, and to deal in, sell or in any manner dispose of, any fish or fishery species which have been illegally caught, taken or gathered Use of fine mesh net – net with mesh size of less than 3 cm measured between 2 opposite knots of a full mesh when stretched Use of active gear in the municipal waters and bays and other fishery management areas Ban on coral exploitation and exportation Ban on muro-ami, other methods and gear destructive to coral reefs and other marine habitat

License to Operate Fish Pens, Fish Cages...

Illegal use of superlights

Fish pens, fish cages, fish traps and other structures for the culture of fish and other fishery products shall be constructed and shall operate only within established zones duly designated by LGUs in consultation with FARMCs concerned.

Conversion of mangroves into fishponds for any other purposes Fishing in overfished area and during closed season Fishing in fishery reserves, refuge and sanctuaries

Not more than 10% of suitable water surface area of lakes and rivers shall be allotted for aquaculture purposes.

Fishing or taking of rare, threatened or endangered species

No new concessions for establishment of fishpens and other similar structures in municipal areas shall be granted, except to municipal fisherfolk and their organizations.

Capture of sabalo (mature milk fish) and other breeders/spawners

Inland fishponds, fish cages and fish pens shall be covered under the insurance program of the Philippine Crop Insurance Corp (PCIC) for losses caused by force majeure and fortuitous events.

Importation or exportation of fish or fishery species

Exportation of breeders, spawners, eggs or fry

Violation of catch ceilings Aquatic pollution

Fishery Reserves, refuge and Sanctuaries Other violations: The DA may designate area or areas in Philippine waters beyond fifteen (15) kilometers from shoreline as fishery reservation . The DA may establish fish refuge and sanctuaries to be

a. Failure to comply with minimum safety standards b. Failure to conduct a yearly report on all fishponds, fish

pens and fish cages

(b) all waters that belong to the State cannot be the subject to acquisitive prescription

c. Gathering and marketing of shell fishes d. Obstruction to navigation or flow and ebb of tide in any stream, river, lake or bay e. Construction and operation of fish corrals/traps, fish pens and fish cages Commercial fishing vessel operators employing unlicensed fisherfolk or fishworker or crew Obstruction of defined migration paths Obstruction to fishery law enforcement officer

(c) the State may allow the use or development of waters by administrative concessions (d) the utilization, exploitation, development, conservation and protection of water resources shall subject to the control and regulation of the government through the National Water Resources Council (e) preference in the use and development of waters shall consider current usages and be responsive to the changing needs of the country State Ownership of Waters

Enactment of Ordinances by LGUs The following belong to the State: Under the general welfare clause, LGUs have the power to enact ordinances to enhance the right of the people to a balanced ecology. It likewise specifically vests municipalities with the power to grant fishery pprivileges in municipal waters, and impose rentals, fees or charges therefor; to penalize, by appropriate ordinances, the use of explosives, noxious or poisonous substances, electricity, muro-ami, and other deleterious methods of fishing; and to prosecute any violation of the provisions of applicable fishery laws.

(a) rivers and their natural beds (b) continuous or intermittent waters of springs and brooks running in their natural beds and and the beds themselves (c) natural lakes and lagoons (d) all other categories of surface waters (e) atmospheric water

Seizure Without warrant of Fishing Vessels Breaching Fishery Laws Search and seiizure without search warrant of vessels and aircrafts for violations of customs laws have been the traditional exception to the constitutional requirement of a search warrant.

(f) subterranean or ground waters (g) seawater The following waters found on private lands belong to the State: (a) continuous or intermittent waters rising on such land

This same exception applies to seizures of fishing vessels and boats breaching our fishery laws. Part IXWater Code of the Philippines(Presidential Decree No. 1067)

(b) lakes and lagoons naturally occurring on such lands (c) subterranean or ground waters (d) water in swamps and marshes

Governing Law PD NO. 1067 was enacted om December 31, 1976, revising and consolidating the laws governing the ownership, appropriation, utilization, exploitation, development, conservation and protection of water resources. Underlying Principles of the Code (a) all waters belong to the State

The owner of the land where the water is found may use the same for domestic purposes without securing a permit, provided that such use shall be registered, when required by the Council. Any person who captures or collects water by means of cisterns, tanks, or pools shall have exclusive control over such water and the right to dispose the same. Water legally appropriated shall be subject to the control of the appropriator from the moment it reaches the

appropriator's canal or aqueduct leading to the place where the water will be used or stored.

of water without securing a water permit for any of the following: (a) appropriation of water by means of hand-carried receptacles; and

Appropriation of Waters Water may be appropriated for the following purposes: (a) domestic -utilization of water for drinking, washing, bathing, cooking, etc (b) municipal – utilization of water for supplying the water requirements of the communit (c) irrigation – utilization of water for producing agricultural crops

(b) bathing or washing, watering or dipping of domistic or farm animals, and navigation of watercrafts or transportation of logs and other objects by floatation. A water right shall be exercised in such manner that the rights of third persons or of other appropriators are not prejudiced thereby. A holder of water permit may demand the establishment of easements necessary for the construction and maintenance of the works and facilities needed for the beneficial use of waters to be appropriated.

(d) power generation – utilization of water for producing electrical or mechanical power

Revocation of Water Permits

(e) fisheries – utilization of water for the propagation and culture of fish as a commercial enterprise

Water permits may be revoked after due notice and hearing on grounds of:

(f) livestock raising – utilization of water for large herds or flocks of animals raised as a commercial enterprise

non-use gross violation of the conditions imposed in the permit unauthorized sale of water willful failure or refusal to comply with rules and regulations of any lawful order pollution, public nuisance or acts detrimental to public health and safety when the appropriator is found to be disqualified under the law to exploit and develop natural resources of the country when in case of irrigation, the land is converted to nonagricultural purposes, and other similar grounds

(g) industrial – utilization of water in factories, industrial plants and mines, etc. (h) recreational – utilization of water for swimming pool, bath houses, etc. Citizenship Requirement Only citizens of the Philippines, of legal age, as well as juridical persons, who are duly qualified by law to exploit and develop water resources, may apply for water permits.

Utilization, Order of Preference and Conditions for the Use of Waters

In case of corporations, water permits may be granted if at least 60% of the capital is owned by Filipino citizens.

Order of Preference in the Use of Waters

Filing of Application

(a) domestic and municipal use

Any person who desires to obtain a water permit shall file and application with the Council.

(b) irrigation (c) power generation

Water Rights and Permits (d) fisheries As a rule, no person, including government instrumentalities, shall appropriate water without a water right, which shall be evidenced by a document known as a water permit. However, any person may appropriate or natural bodies

(e) livestock raising (f) industrial use, and (g) other uses

Prohibitions and Conditions for Use of Waters (d) easement of a dam (a) no excavation for the purpose of emission of a hot spring or for enlargement of the existing opening thereof shall be made without prior permit

(e) easement for drawing water or for watering animals (f) easement of aqueduct

(b) no develop shall develop a stream, lake or spring for recreational purposes without prior permit (c) unless otherwise ordered by the President, and only in time of national calamity or emergency, no person shall induce or restrain rainfall by any method (d) no person shall raise or lower the water level of a river, stream, lake, lagoon, or marsh nor drain the same without a permit (e) drainage system shall be constructed that their outlets may be approved by the proper government agency (f) when artificial means are employed to drain water from higher to lower land, the owner of the higher land shall select the routes and methods of drainage that will cause the minimum damage to the lower lands, subject to the requirements of just compensation (g) when the use, conveyance or storage of waters results in damage to another, the person responsible for the damage shall pay compensation (h) any person having an easement for an aqueduct may enter upon the servient land for the purpose of cleaning, repairing or replacing the aqueduct or the removal of destruction therefrom (i) lower estates are obliged to receive the waters which naturally and without the intervention of man flow from the higher estate, as well as the stone or earth which they carry with them (j) the banks of rivers and streams and the shores of the seas and lakes throughout their entire length and within a zone of 3 meters in urban areas, 20 meters in agricultural areas and 40 meters in forest areas, along their margins are subject to the easement of public use Legal Easements Relating to waters Under the Civil Code (a) natural drainage of lands (b) natural drainage of buildings (c) easements on riparian banks for navigation, floatage, fishing and salvage

(g) easement for the construction of a stop lock or sluice gate

Control of Waters Flood Control Areas (a) prohibition against activities that obstruct the flow of water, etc. (b) rivers or lakes may be declared navigable (c) river beds may not be cultivated except upon prior permission from the Secretary of DPWH, and such permission shall not be granted where such cultivation obstructs the flow of water or increase flood levels so as to cause damage to other areas (d) any person may erect levees or revetments to protect his property from flood, encroachment by the river or change in the course of the river, provided that such construction does not cause damage to the property of another (e) when a river or stream suddenly changes its course to traverse private lands, the owners of the affected lands may not compel the government to restore the river to its former bed, nor can they restrain the government from taking steps to revert the river or stream to its former course. The owners of the affected lands may undertake to return the river or stream to its old bed at their own expense upon a permit first secured from the DPWH (f) waters of a stream may be stored in a reservoir by a permittee in such amount as will not prejudice the right of any permittee downstream (g) no person shall drill a well without prior permission from the Council (h) easement of aqueduct – any person who may wish to use upon his own estate any water of which he can dispose shall have the right to make it flow through the intervening estates, with the obligation to indemniify their owners, as well as the owners of the lower estates upon which the waters may filter or descend

Conservation and Protection of Waters and Watersheds and Related Land Resources

Powers and Functions authority to enter upon private lands

that for which a right or permit was granted (f) construction or repair of any hydraulic work or structure without duly approved plans and specifications, when required (g) failure to install a regulating and measuring device for the control of the volume of water appropriated, when required (h) unauthorized sale, lease, or transfer of water and/or water rights (i) failure to provide adequate facilities to prevent or control diseases when required by the Council (j) drilling of a well without permission of the Council (k) utilization of an existing well or ponding or spreading of water for recharging subterranean or ground water supplies without permission of the Council (l) violation or non-compliance with any order, rules, or regulations of the Council (m) illegal taking or diversion of water in an open canal, aqueduct or reservoir (n) malicious destruction of hydraulic works or structure valued at not exceeding P5,000.00.

jurisdiction of the Council over water disputes

Under Art. 91 -

where the case does not involve the settlement of a water rights dispute, but the enjoyment of a right to water use for which a permit was already granted, the regular court has jurisdiction over the dispute, not the NWRC

(a) a fine of not exceeding P3,000.00 or imprisonment of not more than 3 years 1) appropriation of water without a water permit, unless such person is expressly exempted by provisions of this Act 2) unauthorized obstruction of an irrigation canal 3) cultivation of a river bed, sand bar or tidal flat without permission 4) malicious destruction of hydraulic works or structure valued at not exceeding P25,000

(a) watersheds may be declared a protected area – it is an 'intergenerational responsibility.' (b) a watershed reservation is not subject to occupancy or alienation (c) a timber license covering a watershed area may be withdrawn in the public interest The National Water Resources Council The Council was created by PD No. 424 as a regulatory and executory agency which coordinates and integrates water resource development activities, and grants, determines and adjudicates water rights.

there must be observance on rule on exhaustion of administrative remedies the decisions of the Council on water rights controversies may be appealed to the regional trial court of the province where the subject matter of the controversy is situated within fifteen (15) days from the date the party appealing receives a copy of the decision. Penalties Articles 90 and 91 of the Water Code enumerate the acts that may be penalized under the Code. The criminal action shall be brought before the proper court. The following acts shall be penalized: Under Art. 90 – a fine of not exceeding P1,000.00 (a) appropriation of subterranean or ground water for domestic use (b) non-observance of any standard beneficial use of water (c) failure of the appropriator to keep a record of water withdrawal, when required (d) failure to comply with any of the terms or conditions in a water permit or a water rights grant (e) unauthorized use of water for a purpose other than

(b) a fine exceeding P3,000.00 or imprisonment exceeding 3 years but not more than 6 years 1) distribution for public consumption of water which adversely affects the health and safety of the public 2) excavation or enlargement of the opening of a hot spring without permission 3) unauthorized obstruction of a river or waterway, or occupancy of a river bank or seashore without permission 4) establishment of a cemetery or a waste disposal area near a source of water supply or reservoir for domestic municipal use without permission 5) constructing, without prior permission of the government agency concerned, works that produce dangerous or noxious substances, or performing acts that result in introduction of sewage, industrial waste or any substance that pollutes a source of water supply 6) dumping mine tailings and sediments into rivers of waterways without permission 7) malicious destruction of hydraulic works or structure valued more than P25,000 but at not exceeding

P100,000 (c) a fine exceeding P6,000 but not more than P10,000 or imprisonment exceeding 6 years but not more than 12 years 1) misrepresentation of citizenship in order to qualify for water permit 2) malicious destruction of hydraulic works or structure, valued at more than P100,000 Water Districts PD No. 198, otherwise known as the “Provincial Water Utilities Act of 19973” (effective May 25, 1973) authorizes the formation and governs the operation of water districts throughout the country. Water districts may be created by the different local legislative bodies by the passage of a resolution. The primary function of these water districts is to sell water to residents within their territory. Water districts are quasi-public corporations, performing public services and supplying public wants. A water district may be dissolved by a resolution of its board of directors filed in the manner of filing the resolution forming the district. The resolution of dissolution is filed with Local water Utilities Administration (LWUA). The Local Water Utilities Administration (LWUA) PD No. 198 established a government corporation known as LWUA, attached to the Office of the President, to function primarily as “a specialized lending institution for the promotion, development and financing of local water utilities.” The LWUA has no adjudicatory functions.

and harmony of nature. The State shall promote and protect the global environment to attain sustainable development while recognizing the primary responsibility of local government units to deal with environmental problems. The State recognizes that the responsibility of cleaning the habitat and environment is primarily area-based. The State also recognizes the principle that “polluters must pay”. Finally, the State recognizes that a clean and healthy environment is for the good of all and should, therefore, be the concern of all. SEC. 3.Declaration of Policies. - The State shall pursue a policy of balancing development and environmental protection. To achieve this end, the frame work for sustainable development shall be pursued. It shall be the policy of the State to: [a] Formulate a holistic national program of air pollution management that shall be implemented by the government through proper delegation and effective coordination of functions and activities; [b] Encourage cooperation and self-regulation among citizens and industries through the application of marketbased instruments; [c] Focus primarily on pollution prevention rather than on control and provide for a comprehensive management program for air pollution; [d] Promote public information and education and to encourage the participation of an informed and active public in air quality planning and monitoring; and [e] Formulate and enforce a system of accountability for short and long-term adverse environmental impact of a project, program or activity. This shall include the setting up of a funding or guarantee mechanism for clean-up and environmental rehabilitation and compensation for personal damages.

The SEC has no supervisory powers over water districts. REPUBLIC ACT NO. 8749- PHILIPPINE CLEAN AIR ACT OF 1999 Chapter 1 General Provisions Article One Basic Air Quality Policies SECTION 1.Short Title. - This Act shall be known as the “Philippine Clean Air Act of 1999.” SEC. 2.Declaration of Principles. - The State shall protect and advance the right of the people to a balanced and healthful ecology in accord with the rhythm

SEC. 4.Recognition of Rights. - Pursuant to the abovedeclared principles, the following rights of citizens are hereby sought to be recognized and the State shall seek to guarantee their enjoyment: [a] The right to breathe clean air; [b] The right to utilize and enjoy all natural resources according to the principles of sustainable development; [c] The right to participate in the formulation, planning, implementation and monitoring of environmental policies and programs and in the decision-making process; [d] The right to participate in the decision-making process concerning development policies, plans and programs projects or activities that may have adverse impact on the environment and public health; [e] The right to be informed of the nature and extent of the potential hazard of any activity, undertaking or project and to be served timely notice of any significant rise in the level of pollution and the accidental or

deliberate release into the atmosphere of harmful or hazardous substances; [f] The right of access to public records which a citizen may need to exercise his or her rights effectively under this Act; [g] The right to bring action in court or quasi-judicial bodies to enjoin all activities in violation of environmental laws and regulations, to compel the rehabilitation and cleanup of affected area, and to seek the imposition of penal sanctions against violators of environmental laws; and [h] The right to bring action in court for compensation of personal damages resulting from the adverse environmental and public health impact of a project or activity. Article Two Definition of Terms SEC. 5. Definitions.- As used in this Act: a) “Air pollutant” means any matter found in the atmosphere other than oxygen, nitrogen, water vapor, carbon dioxide, and the inert gases in their natural or normal concentrations, that is detrimental to health or the environment, which includes, but not limited to smoke, dust, soot, cinders, fly ash, solid particles of any kind, gases, fumes, chemical mists, steam and radioactive substances; b) “Air pollution” means any alteration of the physical, chemical and biological properties of the atmospheric air, or any discharge thereto of any liquid, gaseous or solid substances that will or is likely to create or to render the air resources of the country harmful, detrimental, or injurious to public health, safety or welfare or which will adversely affect their utilization for domestic, commercial, industrial, agricultural, recreational, or other legitimate purposes; c) “Ambient air quality guideline values” means the concentration of air over specified periods classified as short-term and long-term which are intended to serve as goals or objectives for the protection of health and/or public welfare. These values shall be used for air quality management purposes such as determining time trends, evaluating stages of deterioration or enhancement of the air quality, and in general, used as basis for taking positive action in preventing, controlling, or abating air pollution; d) “Ambient air quality” means the general amount of pollution present in a broad area; and refers to the atmosphere’s average purity as distinguished from discharge measurements taken at the source of pollution; e) “Certificate of Conformity” means a certificate issued by the Department of Environment and Natural Resources to a vehicle manufacturer / assembler or

importer certifying that a particular new vehicle or vehicle type meets the requirements provided under this Act and its rules and regulations; f) “Department” means the Department of Environment and Natural Resources; g)“Eco-profile” means the geographic-based instrument for planners and decision makers which present an evaluation of the environment quality and carrying capacity of an area. It is the result of the integration of primary data and information on natural resources and antropogenic activities on the land which were evaluated by various environmental risk assessment and forecasting methodologies that enable the Department to anticipate the type of development control necessary in the planning area. h)“Emission” means any air contaminant, pollutant, gas stream or unwanted sound from a known source which is passed into the atmosphere; i) “Greenhouse gases” means those gases that can potentially or can reasonably be expected to induce global warming, which include carbon dioxide, oxides of nitrogen, chloroflourocarbons, and the like; j) “Hazardous substances” means those substances which present either: (1) short-term acute hazards such as acute toxicity by ingestion, inhalation, or skin absorption, corrosivity or other skin or eye contact hazard or the risk of fire explosion; or (2) long-term toxicity upon repeated exposure, carcinogecity (which in some cases result in acute exposure but with a long latent period), resistance to detoxification process such as biodegradation, the potential to pollute underground or surface waters; k) “Infectious waste” means that portion of medical waste that could transmit an infectious disease; l) “Medical waste” means the materials generated as a result of patient diagnosis, treatment, or immunization of human beings or animals; m) “Mobile source” means any vehicle propelled by or through combustion of carbon-based or other fuel, constructed and operated principally for the conveyance of persons or the transportation of property goods; n) “Motor vehicle” means any vehicle propelled by a gasoline or diesel engine or by any means other than human or animal power, constructed and operated principally for the conveyance of persons or the transportation of property or goods in a public highway or street open to public use; o) “Municipal waste” means the waste materials generated from communities within a specific locality; p) "New vehicle” means a vehicle constructed entirely from new parts that has never been sold or registered with the DOTC or with the appropriate agency or authority, and operated on the highways of the Philippines, any foreign state or country; q) “Octane Rating or the Anti-Knock Index(AKI)” means the rating of the anti-knock characteristics of a grade or

type of automotive gasoline as determined by dividing by two (2) the sum of the Research Octane Number (RON), plus the Motor Octane Number (MON); the octane requirement, with respect to automotive gasoline for use in a motor vehicle or a class thereof, whether imported, manufactured, or assembled by a manufacturer, shall refer to the minimum octane rating of such automotive gasoline which such manufacturer recommends for the efficient operation of such motor vehicle, or a substantial portion of such class, without knocking; r) “Ozone Depleting Substances (ODS)” means those substances that significantly deplete or otherwise modify the ozone layer in a manner that is likely to result in adverse effects of human health and the environment such as, but not limited to, chloroflourocarbons, halons and the like; s) “Persistent Organic Pollutants (POPs)” means the organic compounds that persist in the environment, bioaccumulate through the food web, and pose a risk of causing adverse effects to human health and the environment. These compounds resist photolytic, chemical and biological degradation, which shall include but not be limited to dioxin, furan, Polychlorinated Biphenyls (PCBs), organochlorine pesticides, such as aldrin, dieldrin, DDT, hexachlorobenzene, lindane, toxaphere and chlordane; t) “Poisonous and toxic fumes” means any emissions and fumes which are beyond internationally - accepted standards, including but not limited to the World Health Organization (WHO) guideline values; u) “Pollution control device" means any device or apparatus used to prevent, control or abate the pollution of air caused by emissions from identified pollution sources at levels within the air pollution control standards established by the Department; v) “Pollution control technology” means the pollution control devices, production process, fuel combustion processes or other means that effectively prevent or reduce emissions or effluent; w) “Standard of performance" means a standard for emissions of air pollutant which reflects the degree of emission limitation achievable through the application of the best system of emission reduction, taking into account the cost of achieving such reduction and any non-air quality health and environmental impact and energy requirement which the Department determines, and adequately demonstrates; and x) “Stationary source” means any building or immobile structure, facility or installation which emits or may emit any air pollutant.

Chapter 2 Air Quality Management System Article One General Provisions

SEC. 6. Air Quality Monitoring and Information Network.The Department shall prepare an annual National Air Quality Status Report which shall be used as the basis in formulating the Integrated Air Quality Improvement Framework, as provided for in Sec. 7. The said report shall include, but shall not be limited to the following: a) Extent of pollution in the country, per type of pollutant and per type of source, based on reports of the Department’s monitoring stations; b) Analysis and evaluation of the current state, trends and projections of air pollution at the various levels provided herein; c) Identification of critical areas, activities, or projects which will need closer monitoring or regulation; d) Recommendations for necessary executive and legislative action; and e) Other pertinent qualitative and quantitative information concerning the extent of air pollution and the air quality performance rating of industries in the country. The Department, in cooperation with the National Statistical Coordination Board (NSCB), shall design and develop an information network for data storage, retrieval and exchange. The Department shall serve as the central depository of all data and information related to air quality. SEC. 7. Integrated Air Quality Improvement Framework.The Department shall within six (6) months after the effectivity of this Act, establish, with the participation of LGUs, NGOs, POs, the academe and other concerned entities from the private sector, formulate and implement the Integrated Air Quality Improvement Framework for a comprehensive air pollution management and control program. The framework shall, among others, prescribe the emission reduction goals using permissible standards, control strategies and control measures to undertaken within a specified time period, including costeffective use of economic incentives, management strategies, collective actions, and environmental education and information. The Integrated Air Quality Improvement Framework shall be adopted as the official blueprint with which all government agencies must comply with to attain and maintain ambient air quality standards. SEC. 8. Air Quality Control Action Plan.- Within six (6) months after the formulation of the framework, the Department shall, with public participation, formulate and implement an air quality control action plan consistent with Sec. 7 of this Act. The action plan shall: a) Include enforceable emission limitations and other control measures, means or techniques, as well as schedules and time tables for compliance, as may be necessary or appropriate to meet the applicable requirements of this Act; b) Provide for the establishment and operation of appropriate devices, methods, systems and procedures necessary to monitor, compile and analyze data on

ambient air quality; c) Include a program to provide for the following: (1) enforcement of the measures described in subparagraph [a]; (2) regulation of the modification and construction of any stationary source within the areas covered by the plan, in accordance with land use policy to ensure that ambient air quality standards are achieved; d) Contain adequate provisions, consistent with the provisions of this Act, prohibiting any source or other types of emissions activity within the country from emitting any air pollutant in amounts which will significantly contribute to the non-attainment or will interfere with the maintenance by the Department of any such ambient air quality standard required to be included in the implementation plan to prevent significant deterioration of air quality or to protect visibility; e) Include control strategies and control measures to be undertaken within a specified time period, including cost effective use of economic incentives, management strategies, collection action and environmental education and information; f) Designate airsheds; and g) All other measures necessary for the effective control and abatement of air pollution. The adoption of the plan shall clarify the legal effects on the financial, manpower and budgetary resources of the affected government agencies, and on the alignment of their programs with the plans. In addition to direct regulations, the plan shall be characterized by a participatory approach to the pollution problem. The involvement of private entities in the monitoring and testing of emissions from mobile and/or stationary sources shall be considered. Likewise, the LGU’s, with the assistance from the Department, shall prepare and develop an action plan consistent with the Integrated Air Quality Improvement Framework to attain and maintain the ambient air quality standards within their respective airsheds as provided in Sec. 9 hereof. The local government units shall develop and submit to the Department a procedure for carrying out the action plan for their jurisdiction. The Department, however, shall maintain its authority to independently inspect the enforcement procedure adopted. The Department shall have the power to closely supervise all or parts of the air quality action plan until such time the local government unit concerned can assume the function to enforce the standards set by the Department. A multi-sectoral monitoring team with broad public representation shall be convened by the Department for each LGU to conduct periodic inspections of air pollution sources to assess compliance with emission limitations contained in their permits. SEC. 9.Airsheds.- Pursuant to Sec. 8 of this Act, the designation of airsheds shall be on the basis of, but not limited to, areas with similar climate, meteorology and topology which affect the interchange and diffusion of pollutants in the atmosphere, or areas which share

common interest or face similar development programs, prospects or problems. For a more effective air quality management, a system of planning and coordination shall be established and a common action plan shall be formulated for each airshed. To effectively carry out the formulated action plans, a Governing Board is hereby created, hereinafter referred to as the Board. The Board shall be headed by the Secretary of the Department of Environment and Natural Resources as chairman. The members shall be as follows: a) Provincial Governors from areas belonging to the airshed; b) City/Municipal Mayors from areas belonging to the airshed; c) A representative from each concerned government agency; d) Representatives from people’s organizations; e) Representatives from non-government organizations; and f) Representatives from the private sector. The Board shall perform the following functions: a) Formulation of policies; b) Preparation of a common action plan; c) Coordination of functions among its members; and d) Submission and publication of an annual Air Quality Status Report for each airshed. Upon consultation with appropriate local government authorities, the Department shall, from time to time, revise the designation of airsheds utilizing eco-profiling techniques and undertaking scientific studies. Emissions trading may be allowed among pollution sources within an airshed. SEC. 10. Management of Non-attainment Areas.- The Department shall designate areas where specific pollutants have already exceeded ambient standards as non-attainment areas. The Department shall prepare and implement a program that will prohibit new sources of exceeded air pollutant without a corresponding reduction in existing resources. In coordination with other appropriate government agencies, the LGUs shall prepare and implement a program and other measures including relocation, whenever necessary, to protect the health and welfare of residents in the area. For those designated as nonattainment areas, the Department, after consultation with local government authorities, nongovernment organizations (NGOs), people’s organizations (POs) and concerned sectors may revise the designation of such areas and expand its coverage to cover larger areas depending on the condition of the areas. SEC. 11. Air Quality Control Techniques.- Simultaneous with the issuance of the guideline values and standards, the Department, through the research and development

program contained in this Act and upon consultation with appropriate advisory committees, government agencies and LGUs, shall issue, and from time to time, revise information on air pollution control techniques. Such information shall include: a) Best available technology and alternative methods of prevention, management and control of air pollution; b) Best available technology economically achievable which shall refer to the technological basis/standards for emission limits applicable to existing, direct industrial emitters of nonconventional and toxic pollutants; and c) Alternative fuels, processes and operating methods which will result in the eliminator or significant reduction of emissions. Such information may also include data relating to the cost of installation and operation, energy requirements, emission reduction benefits, and environmental impact or the emission control technology. The issuance of air quality guideline values, standards and information on air quality control techniques shall be made available to the general public: Provided, That the issuance of information on air quality control techniques shall not be construed as requiring the purchase of certain pollution control devices by the public. SEC. 12. Ambient Air Quality Guideline Values and Standards.- The Department, in coordination with other concerned agencies, shall review and or revise and publish annually a list of hazardous air pollutants with corresponding ambient guideline values and/or standard necessary to protect health and safety, and general welfare. The initial list and values of the hazardous air pollutants shall be as follows: a) For National Ambient Air Quality Guideline for Criteria Pollutants: Short Term a Long Term b Pollutants µg/Ncm ppm Averaging Time µg/Ncm ppm Averaging Time Suspended Particulate Matterc-TSP 230d 24 hours 90 ---1 yeare -PM-10 150f

24 hours 60 ---1 yeare SulfurDioxidec 180 0.07 24 hours 80 0.03 1 year Nitrogen Dioxide 150 0.08 24 hours ---------Photochemical Oxidants 140 0.07 1 hour ---------As Ozone 60 0.03 8 hours ---------Carbon Monoxide 35 30 1 hour ------------mg/Ncm

10 9 8 hours ---------mg/Ncm

Leadg 1.5 ----

3 monthsg 1.0 ---1 year a Maximum limits represented by ninety-eight percentile (98%) values not to be exceed more than once a year. b Arithmetic mean c SO2 and Suspended Particulate matter are sampled once every six days when using the manual methods. A minimum of twelve sampling days per quarter of fortyeight sampling days each year is required for these methods. Daily sampling may be done in the future once continuous analyzers are procured and become available. d Limits for Total Suspended Particulate Matter with mass median diameter less than 25-50 um. e Annual Geometric Mean f Provisional limits for Suspended Particulate Matter with mass median diameter less than 10 microns and below until sufficient monitoring data are gathered to base a proper guideline. g Evaluation of this guideline is carried out for 24-hour averaging time and averaged over three moving calendar months. The monitored average value for any three months shall not exceed the guideline value. b) For National Ambient Air Quality Standards for Source Specific Air Pollutants from: Industrial Sources/ Operations: Pollutants1 Concentration2 Averaging time (min.) Method of Analysis/ Measurement3 µ/Ncm ppm 1. Ammonia 200 0.28 30 Nesselerization/ Indo Phenol 2.Carbon Disulfide 30 0.01 30 Tischer Method 3. Chlorine and Chlorine Compounds expressed as Cl2 100 0.03 5 Methyl Orange 4. Formaldehyde 50

0.04 30 Chromotropic acid Method or MBTH Colorimetric Method 5.Hydrogen Chloride 200 0.13 30 Volhard Titration with Iodine Solution 6.Hydrogen Sulfide 100 0.07 30 Methylene Blue 7.Lead 20 30 AASc 8. Nitrogen Dioxide 375,260 0.20,0.14 30,60 Greiss- Saltzman 9. Phenol 100 0.03 30 4-Aminoantiphyrine 10.Sulfur Dioxide 470, 340 0.18, 0.13 30,60 Colorimetric-Pararosaniline 11. Suspended Particulate

Matter-TSP 300 ---60 Gravimetric 1 Pertinent ambient standards for Antimony, Arsenic, Cadmium, Asbestos, Nitric Acid and Sulfuric Acid Mists in the 1978 NPCC Rules and Regulations may be considered as guides in determining compliance. 2 Ninety-eight percentile (98%) values of 30-minute sampling measured at 250C and one atmosphere pressure. 3 Other equivalent methods approved by the Department may be used. The basis in setting up the ambient air quality guideline values and standards shall reflect, among others, the latest scientific knowledge including information on: a) Variable, including atmospheric conditions, which of

themselves or in combination with other factors may alter the effects on public health or welfare of such air pollutant; b) The other types of air pollutants which may interact with such pollutant to produce an adverse effect on public health or welfare; and c) The kind and extent of all identifiable effects on public health or welfare which may be expected from presence of such pollutant in the ambient air, in varying quantities. The Department shall base such ambient air quality standards on World Health Organization (WHO) standards, but shall not be limited to nor be less stringent than such standards. SEC. 13. Emission Charge System.- The Department, in case of industrial dischargers, and the Department of Transportation and Communication (DOTC), in case of motor vehicle dischargers, shall, based on environmental techniques, design, impose on and collect regular emission fees from said dischargers as part of the emission permitting system or vehicle registration renewal system, as the case may be. The system shall encourage the industries and motor vehicles to abate, reduce, or prevent pollution. The basis of the fees include, but is not limited to, the volume and toxicity of any emitted pollutant. Industries, which shall install pollution control devices or retrofit their existing facilities with mechanisms that reduce pollution shall be entitled to tax incentives such as but not limited total credits and/or accelerated depreciation deductions. SEC. 14. Air Quality Management Fund.- An Air Quality Management Fund to be administered by the Department as a special account in the National Treasury is hereby established to finance containment, removal, and clean-up operations of the Government in air pollution cases, guarantee restoration of ecosystems and rehabilitate areas affected by the acts of violators of this Act, to support research, enforcement and monitoring activities and capabilities of the relevant agencies, as well as to provide technical assistance to the relevant agencies. Such fund may likewise be allocated per airshed for the undertakings herein stated. The Fund shall be sourced from the fines imposed and damages awarded to the Republic of the Philippines by the Pollution Adjudication Board (PAB), proceeds of licenses and permits issued by the Department under this Act, emission fees and from donations, endowments and grants in the forms of contributions. Contributions to the Fund shall be exempted from donor taxes and all other taxes, charges or fees imposed by the Government. SEC. 15. Air Pollution Research and Development Program.- The Department, in coordination with the Department of Science and Technology (DOST), other agencies, the private sector, the academe, NGO’s and PO’s, shall establish a National Research and Development Program for the prevention and control of

air pollution. The Department shall give special emphasis to research on and the development of improved methods having industry-wide application for the prevention and control of air pollution. Such a research and development program shall develop air quality guideline values and standards in addition to internationally-accepted standards. It shall also consider the socio-cultural, political and economic implications of air quality management and pollution control. Article Two Air Pollution Clearances and Permits for Stationary Sources SEC. 16. Permits.- Consistent with the provisions of this Act, the Department shall have the authority to issue permits as it may determine necessary for the prevention and abatement of air pollution. Said permits shall cover emission limitations for the regulated air pollutants to help attain and maintain the ambient air quality standards. These permits shall serve as management tools for the LGUs in the development of their action plan. SEC. 17. Emission Quotas.- The Department may allow each regional industrial center that is designated as special airshed to allocate emission quotas to pollution sources within its jurisdiction that qualify under an environmental impact assessment system programmatic compliance program pursuant to the implementing rules and regulations of Presidential Decree No. 1586. SEC. 18. Financial Liability for Environmental Rehabilitation.- As part of the environmental management plan attached to the environmental compliance certificate pursuant to Presidential Decree No. 1586 and rules and regulations set therefor, the Department shall require program and project proponents to put up financial guarantee mechanisms to finance the needs for emergency response, clean-up rehabilitation of areas that may be damaged during the program or project’s actual implementation. Liability for damages shall continue even after the termination of a program or project, where such damages are clearly attributable to that program or project and for a definite period to be determined by the Department and incorporated into the environmental compliance certificate. Financial liability instruments may be in the form a trust fund, environmental insurance, surety bonds, letters of credit, as well as self-insurance. The choice of the guarantee instruments shall furnish the Department with evidence of availment of such instruments. Article Three Pollution from Stationary Sources SEC. 19. Pollution From Stationary Sources.- The Department shall, within two (2) years from the effectivity of this Act, and every two (2) years thereafter, review, or as the need therefore arises, revise and publish

emission standards, to further improve the emission standards for stationary sources of air pollution. Such emission standards shall be based on mass rate of emission for all stationary source of air pollution based on internationally accepted standards, but not be limited to, nor be less stringent than such standards and with the standards set forth in this section. The standards, whichever is applicable, shall be the limit on the acceptable level of pollutants emitted from a stationary source for the protection of the public’s health and welfare. With respect to any trade, industry, process and fuelburning equipment or industrial plant emitting air pollutants, the concentration at the point of emission shall not exceed the following limits: Pollutants Standard Applicable to Source Maximum Permissible Limits (mg/Ncm) Method of Analysisa 1. Antimony and Its compounds any source 10 as Sb AASb 2. Arsenic and its compounds Any source 10 as As AASb 3. Cadmium and its compounds Any source 10 as Cd AASb 4. Carbon Monoxide Any industrial Source 500 as CO Orsat analysis 5. Copper and its Compounds Any industrial source 100 ax Cu AASb 6. Hydrofluoric Acids and Fluoride compounds Any source other than the manufacture of Aluminum from Alumina 50 as HF Titration with Ammonium Thiocyanate 7. Hydrogen Sulfide i) Geothermal Power Plants c.d Cadmium Sulfide Method ii) Geothermal Exploration and well-testing e

iii) Any source other than (i) and (ii) 7 as H2S Cadmium Sulfide Method

8. Lead Any trade, industry or process 10 as Pb AASb 9. Mercury Any Source 5 as elemental Hg AASb/Cold-Vapor Technique or Hg Analyzer 10. Nickel and its compounds, except Nickel Carbonyl f Any source 20 as Ni AASb 11. NOx i) Manufacture of Nitric Acid 2,000 as acid and NOx and calculated as NO2 Phenol-disulfonic acid Method ii) Fuel burning steam generators Phenol-disulfonic acid Method Existing Source 1,500 as NO2 New Source • Coal-Fired 1,000 as NO2 • Oil-Fired 500 as NO2

iii) Any source other than (i) adn (ii) Phenol-disulfonic acid Method Existing Source 1000 as NO2

New Source 500 as NO2 12. Phosphorus Pentoxideg Any source 200 as P2O5 Spectrophotometry 13. Zinc and its Compounds Any source 100 as Zn AASb a Other equivalent methods approved by the Department may be used.

b Atomic Absorption Specttrophotometry c All new geothermal power plants starting construction by 01 January 1995 shall control HsS emissions to not more than 150 g/GMW-Hr d All existing geothermal power plants shall control HsS emissions to not more than 200 g/GMW-Hr within 5 years from the date of effectivity of these revised regulations. e Best practicable control technology for air emissions and liquid discharges. Compliance with air and water quality standards is required. f Emission limit of Nickel Carbonyl shall not exceed 0.5 mg/Ncm. g Provisional Guideline Provided, That the maximum limits in mg/ncm particulates in said sources shall be: 1. Fuel Burning Equipment a) Urban or Industrial Area 150 mg/Ncm b) Other Area 200 mg/Ncm 2. Cement Plants (Kilns, etc.) 150 mg/Ncm 3.Smelting Furnaces 150 mg/Ncm 4. Other Stationary Sourcesa 200 mg/Ncm a Other Stationary Sources means a trade, process, industrial plant, or fuel burning equipment other than thermal power plants, industrial boilers, cement plants, incinerators and smelting furnaces. Provided, further, That the maximum limits for sulfur oxides in said sources shall be: (1) Existing Sources (i) Manufacture of Sulfuric Acid and Sulf(on)ation Process 2.0gm.Ncm as SO3 (ii) Fuel burning Equipment 1.5gm.Ncm as SO2 (iii) Other Stationary Sourcesa 1.0gm.Ncm as SO3 (2) New Sources (i) Manufacture of Sulfuric Acid and Sulf(on)ation Process 1.5 gm.Ncm as SO3 (ii) Fuel Burning Equipment 0.7 gm.Ncm as SO2 (iii) Other Stationary Sourcesa 0.2 gm.Ncm as SO3 a Other Stationary Sources refer to existing and new stationary sources other than those caused by the

manufacture of sulfuric acid and sulfonation process, fuel burning equipment and incineration. For stationary sources of pollution not specifically included in the immediately preceding paragraph, the following emission standards shall not be exceeded in the exhaust gas: I. Daily And Half Hourly Average Values Daily Average Values Half Hourly Average Values Total dust 10 mg/m3 30 mg/m3 Gaseous and vaporous organic substances, expressed as total organic carbon 10 mg/m3 20 mg/m3 Hydrogen chloride (HCl) 10 mg/m3 60 mg/m3 Hydrogen fluoride (HF) 1 mg/m3 4 mg/m3 Sulfur dioxide (SO2) 50 mg/m3 200 mg/m3 Nitrogen monoxide (NO) and Nitrogen dioxide (NO2), expressed as nitrogen dioxide for incineration plants with a capacity exceeding 3 tonnes per hour 200 mg/m3 400 mg/m3 Nitrogen monoxide (NO) and nitrogen dioxide (NO2), expressed as nitrogen dioxide for incineration plants with a capacity of 3 tonnes per hour or less 300 mg/m3

Ammonia 10 mg/m3 20 mg/m3 II. All the Average Values Over the Sample Period of a Minimum of 4 and Maximum of 8 Hours. Cadmium and its compounds, expressed as cadmium (Cd) total 0.05 Thallium and its compounds, expressed as thallium (Tl) mg/m3 Mercury and its Compounds, expressed as mercury (Hg) 0.05 mg/m3 Antimony and its compounds, expressed as antimony (Sb) Arsenic and its compounds, expressed as arsenic (As) total 0.5 mg/m3 Lead and its compounds, expressed as lead ( Pb)

Chromium and its compounds, expressed as chromium (Cr) Cobalt and its compounds, expressed as cobalt (Co) Copper and its compounds, expressed as copper (Cu) Manganese and its compounds, expressed as manganese (Mn) Nickel and its compounds, expressed as nickel (Ni) Vanadium and its compounds, expressed as vanadium (V) Tin and its compounds, expressed as tin (Sn) These average values cover also gaseous and the vapor forms of the relevant heavy metal emission as well as their compounds: Provided, That the emission of dioxins and furans into the air shall be reduced by the most progressive techniques: Provided, further, That all average of dioxin and furans measured over the sample period of a minimum of 5 hours and maximum of 8 hours must not exceed the limit value of 0.1 nanogram/m3. Pursuant to Sec. 8 of this Act, the Department shall prepare a detailed action plan setting the emission standards or standards of performance for any stationary source the procedure for testing emissions for each type of pollutant, and the procedure for enforcement of said standards. Existing industries, which are proven to exceed emission rates established by the Department in consultation with stakeholders, after a thorough, credible and transparent measurement process shall be allowed a grace period of eighteen (18) months for the establishment of an environmental management system and the installation of an appropriate air pollution control device : Provided, That an extension of not more than twelve (12) months may be allowed by the Department on meritorious grounds. SEC. 20. Ban on Incineration.- Incineration, hereby defined as the burning of municipal, biomedical and hazardous waste, which process emits poisonous and toxic fumes is hereby prohibited; Provided, however, That the prohibition shall not apply to traditional smallscale method of community/neighborhood sanitation “siga”, traditional, agricultural, cultural, health, and food preparation and crematoria; Provided, further, That existing incinerators dealing with a biomedical wastes shall be out within three (3) years after the effectivity of this Act; Provided, finally, that in the interim, such units shall be limited to the burning of pathological and infectious wastes, and subject to close monitoring by the Department. Local government units are hereby mandated to

promote, encourage and implement in their respective jurisdiction a comprehensive ecological waste management that includes waste segregation, recycling and composting. With due concern on the effects of climate change, the Department shall promote the use of state-of-the-art, environmentally-sound and safe non-burn technologies for the handling, treatment, thermal destruction, utilization, and disposal of sorted, unrecycled, uncomposted, biomedical and hazardous wastes. Article Four Pollution from Motor Vehicles SEC. 21. Pollution from Motor Vehicles.- a) The DOTC shall implement the emission standards for motor vehicles set pursuant to and as provided in this Act. To further improve the emission standards, the Department shall review, revise and publish the standards every two (2) years, or as the need arises. It shall consider the maximum limits for all major pollutants to ensure substantial improvement in air quality for the health, safety and welfare of the general public. The following emission standards for type approval of motor vehicles shall be effective by the year 2003: a) For light duty vehicles, the exhaust emission limits for gaseous pollutants shall be: Emission Limits for Light Duty Vehicles Type Approval (Directive 91/441/EEC)

2.72 0.97 CO (g/km) a for compression-ignition engines only b) For light commercial vehicles, the exhaust emission limit of gaseous pollutants as a function of the given reference mass shall be: Reference Weight (RW) (kg) CO (g/km) HC + NOx (g/km) PMa (g/km) Category 1 1250< RW 2.72 0.97 0.14 Category 2 1250< RW1700 6.9 1.7 0.25 a for compression-ignition engines only c) For heavy duty vehicles, the exhaust emission limits of gaseous pollutants shall be: CO (g/k/Wh) HC (g/k/Wh) NOx (g/k/Wh) PM (g/k/Wh) 4.5 1.1 8.0 0.36a a In the case of engines of 85 kW or less, the limit value for particular emissions in increased by multiplying the quoted limit by a coefficient of 1.7 Fuel evaporative emission for spark-ignition engines shall not exceed 2.0 grams hydrocarbons per test. Likewise, it shall not allow any emission of gases from crankcase ventilation system into the atmosphere. b) The Department, in collaboration with the DOTC, DTI and LGUs, shall develop an action plan for the control and management of air pollution from motor vehicles consistent with the Integrated Air Quality Framework. The DOTC shall enforce compliance with the emission standards for motor vehicles set by the Department. The DOTC may deputize other law enforcement agencies and LGUs for this purpose. To this end, the DOTC shall have the power to: [1] Inspect and monitor the emissions of motor vehicles; [2] Prohibit or enjoin the use of motor vehicles or a class of motor vehicles in any area or street at specified times; and [3] Authorize private testing emission testing centers duly accredited by the DTI. c) The DOTC, together with the DTI and the Department, shall establish the procedures for the inspection of motor vehicles and the testing of their emissions for the purpose of determining the concentration and/or rate of pollutants discharged by said sources. d) In order to ensure the substantial reduction of emissions from motor vehicles, the Department of Trade and Industry (DTI), together with the DOTC and the Department shall formulate and implement a national motor vehicle inspection and maintenance program that will promote efficient and safe operation of all motor vehicles. In this regard, the DTI shall develop and implement standards and procedures for the certification

of training institutions, instructors and facilities and the licensing of qualified private service centers and their technicians as prerequisite for performing the testing, servicing, repair and the required adjustment to the vehicle emission system. The DTI shall likewise prescribe regulations requiring the disclosure of odometer readings and the use of tamper-resistant odometers for all motor vehicles including tamperresistant fuel management systems for the effective implementation of the inspection and maintenance program. SEC. 22. Regulation of All Motor Vehicles and Engines.Any imported new or locally-assembled new motor vehicle shall not be registered unless it complies with the emission standards set pursuant to this Act, as evidenced by a Certificate of Conformity (COC) issued by the Department. Any imported new motor vehicle engine shall not be introduced into commerce, sold or used unless it complies with emission standards set pursuant to this Act. Any imported used motor vehicle or rebuilt motor vehicle using new or used engines, major parts or components shall not be registered unless it complies with the emission standards. In case of non-compliance, the importer or consignee may be allowed to modify or rebuild the vehicular engine so it will be in compliance with applicable emission standards. No motor vehicle registration (MVR) shall be issued unless such motor vehicle passes the emission testing requirement promulgated in accordance with this Act. Such testing shall be conducted by the DOTC or its authorized inspection centers within sixty (60) days prior to date of registration. The DTI shall promulgate the necessary regulations prescribing the useful life of vehicles and engines including devices in order to ensure that such vehicles will conform to the emissions which they were certified to meet. These regulations shall include provisions for ensuring the durability of emission devices. SEC. 23. Second-Hand Motor Vehicle Engines.- Any imported second-hand motor vehicle engine shall not be introduced into commerce, sold or used unless it complies with emission standards set pursuant to this Act. Article Five Pollution from Other Sources SEC. 24. Pollution from smoking.- Smoking inside a public building or an enclosed public place including public vehicles and other means of transport or in any enclosed area outside of one’s private residence, private place of work or any duly designated smoking area is hereby prohibited under this Act. This provision shall be implemented by the LGUs. SEC. 25. Pollution from other mobile sources.- The

Department, in coordination with appropriate agencies, shall formulate and establish the necessary standards for all mobile sources other than those referred to in Sec. 21 of this Act. The imposition of the appropriate fines and penalties from these sources for any violation of emission standards shall be under the jurisdiction of the DOTC.

Chapter 3 Fuels, Additives, Substances and Pollutants Article One Fuels, Additives and Substances SEC. 26. Fuels and Additives.- Pursuant to the Air Quality Framework to be established under Section 7 of this Act, the Department of Energy (DOE), co-chaired by the Department of Environment and Natural Resources (DENR), in consultation with the Bureau of Product Standards (BPS) of the DTI, the DOST, the representatives of the fuel and automotive industries, academe and the consumers shall set the specifications for all types of fuel and fuel-related products, to improve fuel composition for increased efficiency and reduced emissions: Provided, however, that the specifications for all types of fuel and fuel-related products set-forth pursuant to this section shall be adopted by the BPS as Philippine National Standards (PNS). The DOE shall also specify the allowable content of additives in all types of fuels and fuel-related products. Such standards shall be based primarily on threshold levels of health and research studies. On the basis of such specifications, the DOE shall likewise limit the content or begin that phase-out of additives in all types of fuels and fuel-related products as it may deem necessary. Other agencies involved in the performance of this function shall be required to coordinate with the DOE and transfer all documents and information necessary for the implementation of this provision. Consistent with the provisions of the preceding paragraphs under this section, it is declared that: a) not later than eighteen (18) months after the effectivity of this Act, no person shall manufacture, import, sell, supply, offer for sale, dispense, transport or introduce into commerce unleaded premium gasoline fuel which has an anti-knock index (AKI) of not less that 87.5 and Reid vapor pressure of not more than 9 psi. Within six (6) months after the effectivity of this Act, unleaded gasoline fuel shall contain aromatics not to exceed fortyfive percent (45%) by volume and benzene not to exceed four percent (4%) by volume; Provided, that by year 2003, unleaded gasoline fuel should contain aromatics not to exceed thirty-five percent (35%) by volume and benzene not to exceed two percent (2%) by volume; b) not later than eighteen (18) months after the effectivity of this Act, no person shall manufacture, import, sell,

supply, offer for sale, dispense, transport or introduce into commerce automotive diesel fuel which contains a concentration of sulfur in excess of 0.20% by weight with a cetane number of index of not less than forty-eight (48): Provided, That by year 2004, content of said sulfur shall be 0.05% by weight; and c) not later than eighteen (18) months after the effectivity of this Act, no Person shall manufacture, import, sell, supply, offer for sale, dispense, transport or introduce into commerce industrial diesel fuel which contains a concentration of sulfur in excess of 0.30% (by weight). Every two (2) years thereafter or as the need arises, the specifications of unleaded gasoline and of automotive and industrial diesel fuels shall be reviewed and revised for further improvement in formulation and in accordance with the provisions of this Act. The fuels characterized above shall be commercially available. Likewise, the same shall be the reference fuels for emission and testing procedures to be established in accordance with the provisions of this Act. Any proposed additive shall not in any way increase emissions of any of the regulated gases which shall include, but not limited to carbon monoxide, hydrocarbons, and oxides of nitrogen and particulate matter, in order to be approved and certified by the Department. SEC. 27. Regulation of Fuels and Fuel Additives.- The DOE, in coordination with the Department and the BPS, shall regulate the use of any fuel or fuel additive. No manufacturer, processor or trader of any fuel or additive may import, sell, offer for sale, or introduce into commerce such fuel for additive unless the same has been registered with the DOE. Prior to registration, the manufacturer, processor or trader shall provide the DOE with the following relevant information: a) Product identity and composition to determine the potential health effects of such fuel additives; b) Description of the analytical technique that can be used to detect and measure the additive in any fuel; c) Recommended range of concentration; and d) Purpose in the use of the fuel and additive. SEC. 28.Misfueling.- In order to prevent the disabling of any emission control device by lead contamination, no person shall introduce or cause or allow the introduction of leaded gasoline into any motor vehicle equipped with a gasoline tank filler inlet and labeled “unleaded gasoline only“. This prohibition shall also apply to any person who knows or should know that such vehicle is designed solely for the use of unleaded gasoline. SEC. 29. Prohibition on Manufacture, Import and Sale of leaded Gasoline and of Engines and/or Components Requiring Leaded Gasoline.- Effective not later than eighteen (18) months after the enactment of this Act, no person shall manufacture, import, sell, offer for sale, introduce into commerce, convey or otherwise dispose of, in any manner, leaded gasoline and engines and

components requiring the use of leaded gasoline. For existing vehicles, the DTI shall formulate standards and procedures that will allow non-conforming engines to comply with the use of unleaded fuel within five(5) years after the effectivity of this Act. Article Two Other Pollutants SEC. 30. Ozone-Depleting Substances.- Consistent with the terms and conditions of the Montreal Protocol on Substances that Deplete the Ozone Layer and other international agreements and protocols to which the Philippines is a signatory, the Department shall phase out ozone-depleting substances. Within sixty (60) days after the enactment of this Act, the Department shall publish a list of substances which are known to cause harmful effects on the stratospheric ozone layer. SEC. 31. Greenhouse Gases.- The Philippine Atmospheric, Geophysical and Astronomical Service Administration (PAGASA) shall regularly monitor meteorological factors affecting environmental conditions including ozone depletion and greenhouse gases and coordinate with the Department in order to effectively guide air pollution monitoring and standard-setting activities. The Department, together with concerned agencies and local government units, shall prepare and fully implement a national plan consistent with the United Nations Framework Convention on Climate Change and other international agreements, conventions and protocols on the reduction of greenhouse gas emissions in the country. SEC. 32. Persistent Organic Pollutants.- The Department shall, within a period of two (2) years after the enactment of this Act, establish an inventory list of all sources of Persistent Organic Pollutants (POPs) in the country. The Department shall develop short-term and long-term national government programs on the reduction and elimination of POPs such as dioxins and furans. Such programs shall be formulated within a year after the establishment of the inventory list. SEC. 33. Radioactive Emissions.- All projects which will involve the use of atomic and/or nuclear energy, and will entail release and emission of radioactive substances into the environment, incident to the establishment or possession of nuclear energy facilities and radioactive materials, handling, transport, production, storage, and use of radioactive materials, shall be regulated in the interest of public health and welfare by the Philippine Nuclear Research Institute (PNRI), in coordination with Department and other appropriate government agencies.

Chapter 4 Institutional Mechanism

SEC. 34. Lead Agency.- The Department, unless otherwise provided herein, shall be the primary government agency responsible for the implementation and enforcement of this Act. To be more effective in this regard, The Department’s Environmental Management Bureau (EMB) shall be converted from a staff bureau to a line bureau for a period of no more than two (2) years, unless a separate, comprehensive environmental management agency is created. SEC. 35. Linkage Mechanism.- The Department shall consult, participate, cooperate and enter into agreement with other government agencies, or with affected nongovernmental (NGOs) or people’s organizations (POs),or private enterprises in the furtherance of the objectives of this Act. SEC. 36. Role of Local Government Units.- Local Government Units (LGUs) shall share the responsibility in the management and maintenance of air quality within their territorial jurisdiction. Consistent with Sections 7, 8 and 9 of this Act, LGUs shall implement air quality standards set by the Board in areas within their jurisdiction; Provided, however, That in case where the board has not been duly constituted and has not promulgated its standards, the standards set forth in this Act shall apply. The Department shall provide the LGUs with technical assistance, trainings and a continuing capability-building program to prepare them to undertake full administration of the air quality management and regulation within their territorial jurisdiction. SEC. 37. Environmental and Natural Resources Office.There may be established an Environment and Natural Resources Office in every province, city, or municipality which shall be headed by the environment and natural resources officer and shall be appointed by the Chief Executive of every province, city or municipality in accordance with the provisions of Section 484 of Republic Act No. 7160. Its powers and duties, among others, are: a) To prepare comprehensive air quality management programs, plans and strategies within the limits set forth in Republic act. No. 7160 and this Act which shall be implemented within its territorial jurisdiction upon the approval of the sanggunian; b) To provide technical assistance and support to the governor or mayor, as the case may be, in carrying out measures to ensure the delivery of basic services and the provision of adequate facilities relative to air quality; c) To take the lead in all efforts concerning air quality protection and rehabilitation; d) To recommend to the Board air quality standards which shall not exceed the maximum permissible standards set by rational laws; e) To coordinate with other government agencies and non-governmental organizations in the implementation of measures to prevent and control air pollution; and

f) Exercise such other powers and perform such duties and functions as may be prescribed by law or ordinance: Provided, however, That in provinces/cities/municipalities where there are no environment and natural resources officers, the local executive concerned may designate any of his official and/or chief of office preferably the provincial, city or municipal agriculturist, or any of his employee: Provided, finally, That in case an employee is designated as such, he must have sufficient experience in environmental and natural resources management, conservation and utilization. SEC. 38. Record-keeping, Inspection, Monitoring and Entry by the Department.- The Department or its duly accredited entity shall, after proper consultation and notice, require any person who owns or operates any emissions source or who is subject to any requirement of this Act to: (a) establish and maintain relevant records; (b) make relevant reports; (c) install, use and maintain monitoring equipment or methods; (d) sample emission, in accordance with the methods, locations, intervals and manner prescribed by the Department; (e) keep records on control equipment parameters, production variables or other indirect data when direct monitoring of emissions is impractical; and (f) provide such other information as the Department may reasonably require. Pursuant to this Act, the Department, through its authorized representatives, shall have the right of: (a) entry or access to any premises including documents and relevant materials as referred to in the herein preceding paragraph; (b) inspect any pollution or waste source, control device, monitoring equipment or method required; and (c) test any emission. Any record, report or information obtained under this section shall be made available to the public, except upon a satisfactory showing to the Department by the entity concerned that the record, report or information, or parts thereof, if made public, would divulge secret methods or processes entitled to protection as intellectual property. Such record, report or information shall likewise be incorporated in the Department’s industrial rating system. SEC. 39. Public Education and Information Campaign.A continuing air quality information and education campaign shall promoted by the Department, the Department of Education, Culture and Sports (DECS), the Department of the Interior and Local Government (DILG), the Department of Agriculture (DA) and the Philippine Information Agency (PIA). Consistent with Sec. 7 of this Act, such campaign shall encourage the participation of other government agencies and the

private sector including NGOs, POs, the academe, environmental groups and other private entities in a multi-sectoral information campaign.

Chapter 5 Actions SEC. 40. Administrative Action.- Without prejudice to the right of any affected person to file an administrative action, the Department shall, on its own instance or upon verified complaint by any person, institute administrative proceedings against any person who violates: (a) Standards or limitation provided under this Act; or (b) Any order, rule or regulation issued by the Department with respect to such standard or limitation. SEC. 41. Citizen Suits.- For purposes of enforcing the provisions of this Act or its implementing rules and regulations, any citizen may file an appropriate civil, criminal or administrative action in the proper courts against: (a) Any person who violates or fails to comply with the provisions of this Act or its implementing rules and regulations; or (b) The Department or other implementing agencies with respect to orders, rules and regulations issued inconsistent with this Act; and/or (c) Any public officer who willfully or grossly neglects the performance of an act specifically enjoined as a duty by this Act or its implementing rules and regulations; or abuses his authority in the performance of his duty; or, in any manner, improperly performs his duties under this Act or its implementing rules and regulations: Provided, however, That no suit can be filed until thirty-day (30) notice has been taken thereon. The court shall exempt such action from the payment of filing fees, except fees for actions not capable of pecuniary estimations, and shall likewise, upon prima facie showing of the non-enforcement or violation complained of, exempt the plaintiff from the filing of an injunction bond for the issuance of a preliminary injunction. Within thirty (30) days, the court shall make a determination if the compliant herein is malicious and/or baseless and shall accordingly dismiss the action and award attorney’s fees and damages. SEC. 42. Independence of Action.- The filing of an administrative suit against such person/entity does not preclude the right of any other person to file any criminal or civil action. Such civil action shall proceed independently. SEC. 43. Suits and Strategic Legal Actions Against Public Participation and the Enforcement of This Act.Where a suit is brought against a person who filed an action as provided in Sec. 41 of this Act, or against any person, institution or government agency that implements this Act, it shall be the duty of the

investigating prosecutor or the court, as the case may be, to immediately make a determination not exceeding thirty (30) days whether said legal action has been filed to harass, vex, exert undue pressure or stifle such legal recourses of the person complaining of or enforcing the provisions of this Act. Upon determination thereof, evidence warranting the same, the court shall dismiss the case and award attorney’s fees and double damages. This provision shall also apply and benefit public officers who are sued for acts committed in their official capacity, their being no grave abuse of authority, and done in the course of enforcing this Act. SEC. 44. Lien Upon Personal and Immovable Properties of Violators.- Fines and penalties imposed pursuant to this Act shall be liens upon personal or immovable properties of the violator. Such lien shall, in case of insolvency of the respondent violator, enjoy preference to laborer’s wages under Articles 2241 and 2242 of Republic Act No. 386, otherwise known as the New Civil Code of the Philippines.

Chapter 6 Fines and Penalties SEC. 45. Violation of Standards for Stationary Sources.For actual exceedance of any pollution or air quality standards under this Act or its rules and regulations, the Department, through the Pollution Adjudication Board (PAB), shall impose a fine of not more than One hundred thousand pesos (P100,000.00) for every day of violation against the owner or operator of a stationary source until such time that the standards have been complied with. For purposes of the application of the fines, the PAB shall prepare a fine rating system to adjust the maximum fine based on the violator’s ability to pay, degree of willfulness, degree of negligence, history of noncompliance and degree of recalcitrance: Provided, That in case of negligence, the first time offender’s ability to pay may likewise be considered by the Pollution Adjudication Board: Provided, further, That in the absence of any extenuating or aggravating circumstances, the amount of fine for negligence shall be equivalent to one-half of the fine for willful violation. The fines herein prescribed shall be increased by at least ten percent (10%), every three (3) years to compensate for inflation and to maintain the deterrent function of such fines. In addition to the fines, the PAB shall order closure, suspension of development, construction, or operations of the stationary sources until such time that proper environmental safeguards are put in place: Provided, That an establishment liable for a third offense shall suffer permanent closure immediately. This paragraph shall be without prejudice to the immediate issuance of an ex parte order for such closure, suspension of

development or construction, or cessation of operations during the pendency of the case upon prima facie evidence that their is imminent threat to life, public health, safety or general welfare, or to plant or animal life, or whenever there is an exceedance of the emission standards set by the Department and/or the Board and/or the appropriate LGU. SEC. 46. Violation of Standards for Motor Vehicles.- No motor vehicle shall be registered with the DOTC unless it meets the emission standards set by the Department as provided in Sec. 21 hereof. Any vehicle suspected of violation of emission standards through visual signs, such as, but not limited to smokebelching, shall be subjected to an emission test by a duly authorized emission testing center. For this purpose, the DOTC or its authorized testing center shall establish a roadside inspection system. Should it be shown that there was no violation of emission standards, the vehicle shall be immediately released. Otherwise, a testing result indicating an exceedance of the emission standards would warrant the continuing custody of the impounded vehicle unless the appropriate penalties are fully paid, and the license plate is surrendered to the DOTC pending the fulfillment of the undertaking by the owner/operator of the motor vehicle to make the necessary repairs so as to comply with the standards. A pass shall herein be issued by the DOTC to authorize the use of the motor vehicle within a specified period that shall not exceed seven (7) days for the sole purpose of making the necessary repairs on the said vehicle. The owner/operator of the vehicle shall be required to correct its defects and show proof of compliance to the appropriate pollution control office before the vehicle can be allowed to be driven on any public or subdivision roads. In addition, the driver and operator of the apprehended vehicle shall undergo a seminar on pollution control management conducted by the DOTC and shall also suffer the following penalties: a) First Offense - a fine not to exceed Two Thousand Pesos (P2,000.00); b) Second Offense - a fine not less than Two Thousand Pesos (P2,000.00) and not to exceed Four Thousand Pesos (P4,000.00); and c) Third offense - one (1) year suspension of the Motor Vehicle Registration (MVR) and a fine of not less than Four Thousand Pesos (P4,000.00) and not more than Six thousand pesos (P6,000.00). Any violation of the provisions of Sec. 21 paragraph (d) with regard to national inspection and maintenance program, including technicians and facility compliance shall penalized with a fine of not less than Thirty Thousand Pesos (P30,000.00) or cancellation of license of both the technician and the center, or both, as determined by the DTI. All law enforcement officials and deputized agents

accredited to conduct vehicle emissions testing and apprehensions shall undergo a mandatory training on emission standards and regulations. For this purpose, the Department, together with the DOTC, DTI, DOST, Philippine National Police (PNP) and other concerned agencies and private entities shall design a training program. SEC. 47. Fines and Penalties for Violations of Other Provisions in the Act.- For violations of all other provisions provided in this Act and of the rules and regulations thereof, a fine of not less than Ten thousand pesos (P10,000) but not more than One Hundred thousand Pesos (P100,000) or six (6) months to six (6) years imprisonment or both shall be imposed. If the offender is a juridical person, the president, manager, directors, trustees, the pollution control officer or the officials directly in charge of the operations shall suffer the penalty herein provided. SEC. 48. Gross Violations.- In case of gross violation of this Act or its implementing rules and regulations, the PAB shall recommend to the proper government agencies to file the appropriate criminal charges against the violators. The PAB shall assist the public prosecutor in the litigation of the case. Gross violation shall mean: [a] three (3) or more specific offenses within a period of one (1) year; [b] three (3) or more specific offenses with three (3) consecutive years; [c] blatant disregard of the orders of the PAB, such s but not limited to the breaking of seal, padlocks and other similar devices, or operation despite the existence of an order for closure, discontinuance or cessation of operation; and [d] irreparable or grave damage to the environment as a consequence of any violation of the provisions of this Act. Offenders shall be punished with imprisonment of not less than six (6) years but not more than ten (10) years at the discretion of the court. If the offender is a juridical person, the president, manager, directors, trustees, the pollution control officer or the officials directly in charge of the operations shall suffer the penalty herein provided.

Chapter 7 Final Provisions SEC. 49. Potential Loss or Shifts of Employment.- The Secretary of Labor is hereby authorized to establish a compensation, retraining and relocation program to assist workers laid off due to a company’s compliance with the provisions of this Act. SEC. 50. Appropriations.- An amount of Seven Hundred Fifty Million Pesos (P750,000,000.00) shall be

appropriated for the initial implementation of this Act, of which, the amount of Three Hundred Million Pesos (P300,000,000.00) shall be appropriated to the Department; Two Hundred Million Pesos (P200,000,000.00) to the DTI; One Hundred Fifty Million Pesos (P150,000,000.00) to the DOTC; and One Hundred Million Pesos (P100,000,000.00) to the DOE. Thereafter, the amount necessary to effectively carry out the provisions of this Act shall be included in the General Appropriations Act. SEC. 51. Implementing Rules and Regulations.- The Department, in coordination with the Committees on Environment and Ecology of the Senate and House of Representatives, respectively and other agencies, shall promulgate the implementing rules and regulations for this Act, within one (1) year after the enactment of this Act: Provided, That rules and regulations issued by other government agencies and instrumentalities for the prevention and/or abatement of pollution not inconsistent with this Act shall supplement the rules and regulations issued by the Department pursuant to the provisions of this Act. SEC. 52. Report to Congress.- The Department shall report to Congress, not later than March 30 of every year following the approval of this Act, the progress of the pollution control efforts and make the necessary recommendations in areas where there is need for legislative action. SEC. 53. Joint Congressional Oversight Committee.There is hereby created a joint congressional oversight committee to monitor the implementation of this Act. The committee shall be composed of five (5) senators and five (5) representatives to be appointed by the Senate President and the Speaker of the House of Representatives, respectively, the oversight committee shall be co-chaired by a senator and a representative designated by the Senate President and the Speaker of the House of Representatives, respectively. The mandate given to the joint congressional oversight committee under this Act shall be without prejudice to the performance of the duties and functions by the respective existing oversight committees of the Senate and the House of Representatives. SEC. 54.Separability of Provisions.- If any provision of this Act or the application of such provision to any person or circumstances is declared unconstitutional, the remainder of the Act or the application of such provision to other person or circumstances shall not be affected by such declaration. SEC. 55. Repealing Clause.- Presidential Decree No. 1181 is hereby repealed. Presidential Decrees Nos. 1152, 1586 and Presidential Decree No. 984 are partly modified. All other laws, orders, issuance, rules and regulations inconsistent herewith are hereby repealed or modified accordingly. SEC. 56.Effectivity.- This Act shall take effect fifteen (15)

days from the date of its publication in the Official Gazette or in at least two (2) newspapers of general circulation.