Ra 8550 Fisheries Code Of 1998.pdf

CHAPTER IV: WATERS The Sea

Boracay Island, Philippines

“The sea does not reward those who are too anxious, too greedy, or too impatient. One should lie empty, open, choiceless as a beach - waiting for a gift from the sea.” --Anne Morrow Lindbergh

“Dear Water, clear water, playful in all your streams, Next to Air, water is the important element of all life. They are found in the surface – on the sea and on lakes and rivers, and underground, in underground lakes and water wells called aquifers. Man is a strange animal. He is the only animal that dirties the very water he drinks. Not even snakes, wild boar, monkeys, and other wild animals do that. For all of his pretensions to being civilized notwithstanding, much needs to be done for the human habits of good manners and right conduct to at least make it as good as, if not better, than that of snakes, wild boar, and monkeys. The sight of water is also a wonder to behold. Great cities of the world always have some body of water to be identified with, and be proud of. There is the San Francisco Bay, the Sydney Harbor, the River Thames of London, the Charles River of Boston, etc.

A body of water is also food for the spirit. It is in the splendor in the sight of water, and to be beside it, that touches every heart and spirit like no other. “….. in the arms of his Mother” Encroachments on the Easement Zones One of the raging issues in the management of lands on coastal zone lands It is unfortunate that countries that have bodies of water galore, countries like India (with its Ganges), Metro Manila with its Pasig and other rivers, have managed Waterways and Seashores The movement of water follows certain patterns. During the rainy seasons, flooding occurs along the rivers, filling up riverbanks and other waterways. In the seashore, high tide reaches certain levels along the beach. The average levels of flooding (for rivers) and tides (for the sea) are called the ‘mean flood level’ and ‘mean high tide.’ Because the activities of man must follow the Laws of Nature, the Water Code directs that there must be nothing constructed along the margins of the rivers, waterways and seashores. This margin of land is called the easement zone of recreation, salvage, and navigation. If the surrounding land use is urban, the margin is 3 meters, if agricultural, it is 20 meters, and if forested/protected area, it is 40 meters. No one must stay in this place longer than necessary, and no construction is allowed on this ‘salvage and recreation zone.’ Illegal occupation and construction on this area is penalized with a fine and imprisonment of up to 6 years. The reason for the law is quite obvious. This is a ‘protection zone.’ It seeks to keep the space open to allow for water to flow unobstructed during a flood (in the case of rivers) or during high tide. If anyone insisted on building any structure on this area runs the constant risk of flooding (in the case of rivers) and being hit by storm surges (in the case of seashores). Flooding is not water in the wrong place. Water will always seek its own level. Rather, flooding in man in the wrong place. What is the similarity between the cities of Manila and New Orleans? They are both in the flood-prone delta of the Pasig River and the Mississippi Rivers, respectively. The same is true for the City of Iloilo. It is built on the river’s delta and right on the mangrove areas – a natural wetland. Is it the mistake of the river’s waters that it floods naturally flood-prone areas? Or is it the mistake of the man who builds his home in a flood-prone area?

Easement Zones The zone is reserved to allow the public proper access to the beach, a source of physical sustenance and spiritual recreation. It is also reserved for boats which may need to dock on the shore. Thus it is called the ‘salvage zone’. The 3-20-40 meter margins are minimum national standards. There is nothing that prevents a local government from mandating a wider margin as its zone of recreation based on the circumstances and conditions prevailing in the locality. The basic idea is that the seashore or riverbank must be kept open and free for everyone to have access to – for navigation, recreation, leisure, or simply be in silent reflection and meditation. This rule is absolute. Thus, even lands that are already titled to private individuals must respect this ‘easement zone of recreation’ or ‘salvage zone’ and keep it open and free of constructions. In the first place, it was error to issue a private title to this area, since it is technically classified as ‘forest (or public) land.’ To encourage people to keep it open, the local government can issue a tax rebate on the real property tax due on the property along the riverbank. Similarity to Road Nuisance The law on easement zones is one of the worst-violated laws. Riverbanks and seashores have been illegally built on by private individuals or corporations – to the exclusion of the public who are meant to be benefited by the law. Oftentimes, the construction of buildings and other structures extend all the way to the adjoining water body itself. Sometimes, even entire streams are filled up and turned into ‘land’. And then we complain of floods, and spend tens and tens of millions for ‘flood control projects.’ Who was it who said that man is wise? The situation of illegal structures on the easement zones of riverbanks and seashores is no different from illegal structures located on the road – space reserved for public use. If one were to build a structure (e.g., a shanty) tonight in the middle of the road, that structure is a nuisance per accidens. It is a nuisance not because of what it is but because of where it is located. If that were to happen, there is nothing that will stop the local government from demolishing it right away – an act to abate a nuisance. The situation is exactly the same with the seashores and riverbanks which are reserved by law for public use. Any illegal structure located on the area is subject to immediate demolition by the local government.

Note that under the law, (Pres. Decree 1067), it is the Department of Public Works and Highways (DPWH) that is given the power to do that. However, this power is now inherently passed on to the local governments’ municipal engineer or building official, along with the authority to issue or withhold building permits. Further, it is in the police powers of a Mayor of a city or municipality to abate a nuisance, especially those that encroach on land reserved for public use. It is therefore not the absence of the law that empowers a local official to demolish illegal structures in riverbanks and seashores. If the City of Marikina was able to clear their riverbanks and turn it into patches of open spaces and parks, there is no reason why it cannot be done in any other city or town. It is, therefore, not the absence of law but the absence of, as usual, the political will.

Territorial Baselines of the Philippine Archipelago (Republic Act 3046)1 Whereas, the Constitution of the Philippines describes the national territory as comprising all the territory ceded to the United States by the Treaty of Paris concluded between the United States and Spain on December 10, 1898, the limits of which are set forth in Article III of said treaty, together with all the islands embraced in the treaty concluded at Washington, between the United Stated and Spain on November 7, 1900, and in the treaty concluded between the United States and Great Britain on January 2, 1930, and all the territory over which the Government of the Philippine Islands exercised jurisdiction at the time of the adoption of the Constitution; Whereas, all the waters within the limits set forth in the above-mentioned treaties have always been regarded as part of the territory of the Philippine Islands; Whereas, all the waters around, between and connecting the various islands of the Philippines archipelago, irrespective of their width or dimension, have always been considered as necessary appurtenances of the land territory, forming part of the inland or internal waters of the Philippines; Whereas, all the waters beyond the outermost islands of the archipelago but within the limits of the boundaries set forth in the aforementioned treaties comprise the territorial sea of the Philippines; Whereas, the baselines from which the territorial sea of the Philippines is determined consist of straight lines joining appropriate points of the outermost islands of the archipelago; and 1

As amended by R.A. No. 5446.

Whereas, the said baselines should be clarified and specifically defined and described for the information of all concerned; Now, therefore, SECTION 1. The baselines for the territorial sea of the Philippines are hereby defined and described specifically as follows:

N. Latitude Y’ami Island (E) Tumaruk Rk. Balintang Island Didicas Rk. Iligan Pt. Ditolong Pt.

Diviuisa Pt. Dijohan Pt. Bulubalik Pt. Tinaga I.

Horadaba Rks.

Matulin Rk. Atalaya Pt. Finch Rk.

SE Manjud pt.

E. Longitude

Asimuth

21º07’03" Line 1 (Yami I. (E.) - Tumaruk Rk.) 20º28’28" Line 2 (Tumaruk Rk.- Balintang Is.) 19º57’45" Line 3 (Balingtang Is- Didicas Rk.) 19º04’50" Line 4 (Didicas Rk.- Iligan Pt.) 18º18’45" Line 5 (Iligan Pt.- Ditolong Pt.) 17º05’50" Line 6 (Ditolong Pt.- Diviuisa Pt.)

121º57’24" 353º27' 122º02’06" 347º13' 122º09’28" 375º05' 122º12’18" 350º39' 122º20’15" 351º23' 122º31’44" 16º56'

16º48’00" Line 7 (Diviuisa Pt.- Dijohan Pt.) 16º18’45" Line 7a (Dijohan Pt.- Bulubalik Pt.) 15º02’56" Line 8 (Bulubalik Pt.- Tinaga I.) 14º29’45" Line 9 (Tinaga I. — Horadaba Rks.) 14º06’41" Line 10 (Horadaba Rks. - Matulin Rk.) 14º06’20" Line 11 (Matulin Rk.- Atalaya Pt.) 12º40’59" Line 11a (Atalaya Pt.- Finch Rk.) 12º32’40" Line 12 (Finch Rk.- SE of Manjud Pt.) 12º27’54"

122º26’06" 21º01' 122º14’28" 10º52' 121º59’30" 300º15' 122º57’40"

Distance in Meters 71,656 58,105 97,755 86,155 136,030 34,378

57,781 142,360 120,986

286º27' 124º16’54"

148,690

306º34' 124º17’23" 331º46' 125º04’02" 313º30' 125º12’57"

1,083

313º56' 125º17’59"

178,480 22,268

12,665

N. Latitude

Sora Cay Bunga Pt. Tubabao I. Tugnug Pt. Suluan Island

E. Longitude Line 12a (SE of Manjud Pt. — Sora Cay) 12º21’47" Line 13 (Sora Cay - Bunga Pt.) 12º12’10" Line 13a (Bunga Pt.-Tubabao I.) 23º06’06" Line 14 (Tubabao I.- Tugnug Pt.) 11º21’06" Line 15 (Tugnug Pt.- Suluan I.) 10º45’20" Line 16 (Suluan I.- Tuason Pt.)

Tuason Pt.

9º48’33" Line 17 (Tuason Pt.- Cauit Pt.) Cauit Pt. 9º18’35" Line 18 (Cauit Pt.-Arangasa Is.) Arangasa Is. 8º52’50" Line 19 Arangasa Is.Quinablangan I.) Quinablangan I. 7º42’58" Line 19a (Quinablangan I. — Above Languyan R.) Above Languyan 7º29’10" R. Line 20 (Above Languyan R. Pusan Pt.) Pusan Pt. 7º16’59" Line 21 (Pusan Pt.- Tuguban Pt.) Tuguban Pt. 6º59’24" Line 22 (Tuguban Pt. — Cape S. Agustin N.) Cape San Agustin 6º17’03" (N) Line 22a (Cape S. Agustin (N) — Cape San Agustin (S) Cape San Agustin 6º16’15" (S) Line 23 (Cape S. Agustin (S) — Panguil Bato Pt.) Panguil Bato Pt. 5º23’45" Line 23a (Panguil Bato Pt. — Tapundo Pt.) Tapudo Pt. 5º22’08"

Asimuth

322º27' 125º22’46" 321º03' 125º30’40" 331º50' 125º33’58" 355º22' 125º37’40" 331º03' 125º57’40"

Distance in Meters 14,225 22,793 12,686 83,235 75,326

347º51' 126º10’00" 355º25' 126º12’25" 342º44' 126º20’28"

107,070

348º40' 126º34’30"

131,330

353º08' 126º36’10"

25,619

356º52' 126º36’50" 26º39' 126º28’00"

22,489

55,415 49,703

36,259

20º33' 126º12’08"

83,350

30º16'

1,707

126º11’40"

39º23' 125º28’42"

125,100

66º32' 125º24’59"

7,484

N. Latitude

E. Longitude

Line 24 (Tapundo Pt. — Manamil I.) Manamil I. 5º22’05" Line 24a (Manamil I.- Balut I. (W) Balut I. (W) 5º23’20" Line 25 (Balut I. (W) — Middle of 3 Rk. Awash) Middle of 3 Rk. 6º09’39" Awash Line 26 (Middle of 3 Rk.Awash Tongquil I.) Tongquil I. 6º00’15" Line 27 (Tongquil I.- Sumbasumba I.) Sumbasumba I. 5º30’10" Line 28 (Sumbasumba I.Kinapusan Is.) Kinapusan Is. 5º12’37" Line 29 (Kinapusan Is.-Manuk Manka I.) Manuk Manka I. 4º47’50" Line 30 (Manuk Manka I.- Frances Reef) Frances Reef 4º24’54" Line 31 (Frances Reef- Bajapa Reef) Bajapa Reef 4º36’04" Line 32 (Bajapa Reef)- Panguan I.) Panguan I. 4º43’06" Line 33 (Panguan I.- Omapoy I.) Omapoy I. 4º55’02" Line 34 (Omapoy I.- Sanga-Sanga I.) Sanga-Sanga I. 5º06’12" Line 35 (Sanga-Sanga I.- Pearl Bank) Pearl Bank 5º49’04" Line 36 (Pearl Bank — Baguan I.) Baguan I. 6º06’00" Line 36a (Banguan I.- Taganak I.) Taganak I.

6º04’05"

Asimuth

Distance in Meters

89º19' 125º20’50" 139º01' 125º19’45"

7,667

124º47' 124º13’02"

149,840

86º18' 121º52’45"

259,400

61º29' 120º57’35"

115,950

43º19' 120º41’05"

44,445

63º14' 119º52’10"

101,290

58º30' 119º14’54"

80,847

134º34' 119º03’36" 164º05' 119º01’36" 238º48' 119º21’15" 246º11'

29,330

3,051

13,480 42,470 51,005

119º46’30" 170º05' 119º39’01"

80,200

103º13' 118º26’42"

137,050

76º52' 118º18’30"

15,535

N. Latitude

E. Longitude

Line 37 (Taganak I.Gt. Bakkungaan O Gt. Bakkungaan 6º10’32" Line 37a (Gt. Bakkungaan Sibaung I.) Sibaung I. 6º17’45" Line 38 (Sibaung - I. Muligi I. Mulugi I. 6º53’00" Line 39 (Mulugi I.-— Mangsee Is.) Mangsee Is. 7º30’10" Line 39a (Mangsee Is.-Cape Melville) Cape Melville 7º48’50" Line 40 (Cape Melville- Ligas Pt.) Ligas Pt. 7º56’28" Line 41 (Ligas Pt.- Cay) Cay 7º59’30" Line 41a (Cay-Secam I.) Secam I. 8º10’47" Line 42 (Secam I.- N. of Canipan Bay) N. of Canipan Bay 8º36’50" Line 43 (N. of Canipan Bay -Tatub Pt.) Tatub Pt. 8º44’40" Line 44 (Tatub Pt.- Punta Baja) Punta Baja 9º02’50" Line 45 (Punta Baja- Malapackun I.) Malapackun I. 9º15’30" Line 46 (Malapackun I.- Piedras Pt.) Piedras Pt. 10º11’28" Line 47 (Piedras Pt.- Tapuitan I.) Tapuitan I. 11º13’40" Line 48 (Tapuitan I.- Pinnacle Rk.) Pinnacle Rk. 12º18’34" Line 49 (Pinnacle Rk.- Cape Calavite Cape Calavite 13º26’40" Line 50 (Cape Calavite- Cabra I.) Cabra I. 13º53’30" Line 51 (Cabra I.- Capones Is.) Capones Is. 14º55’00"

Asimuth

Distance in Meters

118º39' 118º06’42"

24,805

136º04' 117º59’45" 215º36' 118º25’00" 119º14' 117º18’20"

18,470

134º50 116º59’30" 153º54' 116º55’45" 170º40' 116º55’15" 204º52' 117º00’30"

79,915 140,541

48,815 15,665 5,666 22,925

209º09' 117º15’06"

54,900

218º57' 117º21’28" 222º04' 117º37’58" 223º30' 117º50’04" 225º50' 118º48’18" 203º19' 119º15’28" 208º47' 119º51’45"

18,570

200º40' 120º18’00" 148º12' 120º00’58" 179º26' 120º00’20"

45,125 32,194 148,260 124,900 136,590

134,230 58,235 113,400

N. Latitude

E. Longitude

Asimuth

Distance in Meters

Line 52 (Capones Is.- Pa-Lauig Pt.) Palauig Pt.

Hermana Mayor I.

Tambobo Pt. Rena Pt. Cape Bolinao

Darigayos Pt. Dile Pt. Pinget I. Badoc I. Cape Bojeador Dalupiri I. Catanapan Pt. Dequey I. Raile Y’ami I.(W) Y’ami I. (M) Y’ami I. (E)

15º25’50" Line 53 (Palauig.-Hermana Mayor I.) 15º47’10" Line 53a (Hermana Mayor Tambobo Pt.) 15º58’00" Line 54 (Tambobo Pt.- Rena Pt.) 16º10’25" Line 54a (Rena Pt.- Cape Bolinao 16º20’20" Line 55 (Cape Bolinao-Darigayos Pt.) 16º50’15" Line 56 (Darigayos Pt.- Dile Pt.) 17º34’30" Line 56a (Disle Pt.- Pinget I.) 17º40’58" Line 56b (Pinget I.- Badoc I.) 17º55’20" Line 57 (Badoc I.- Cape Bojeador) 18º29’30" Line 58 (Cape Bojeador- Dalupiri I.) 19º10’15" Line 59 (Dalupiri I.- Catanapan Pt.) 19º21’35" Line 60 (Catanapan Pt.- Dequey I.) 29º20’06" Line 61 (Dequey I.— Raile) 20º43’00" Line 62 (Raile — Y’ami I. (W) 21º07’26" Line 63 (Y’ami I. (W) — Y’ami I. (M) 21º07’30" Line 64 (Y’ami I.(M) — Y’ami I. (E) 21º07’03"

168º09' 119º53’40"

58,100

164º17' 119º47’28"

40,870

167º10' 119º44’55" 181º43' 119º45’18" 191º39' 119º47’25" 226º20'

20,490

120º20’00" 179º58' 120º19’58" 188º27' 120º20’58" 192º46' 120º24’22" 195º03' 120º34’00" 222º16' 121º13’02" 213º29' 121º20’56" 202º27' 121º46’35" 180º47' 121º46’55" 200º30' 121º56’39" 238º40' 121º56’46" 307º08' 121º57’24"

22,910 18,675 80,016

81,616 12,060 27,170 65,270 101,740 25,075 116,870 42,255 48,140 237 1,376

SEC. 2. All waters within the baselines provided for in Section one hereof are considered inland or internal waters of the Philippines.

SEC. 3. This Act shall take effect upon its approval. Approved: June 17, 1961.

Exclusive Economic Zones (Presidential Decree 1599) Whereas, an exclusive economic zone extending to a distance of two hundred nautical miles from the baselines from which the territorial sea is measured is vital to the economic survival and development of the Republic of the Philippines; Whereas, such a zone is now a recognized principle of international law; Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby decree and order: SECTION 1. There is hereby established a zone to be known as the exclusive economic zone "God is the great mysterious motivator of what we call nature, and it has of the Philippines. The exclusive often been said by philosophers, that nature is the will of God. And I prefer economic zone shall extend to a to say that nature is the only body of God that we shall ever see." --Frank distance of two hundred nautical Lloyd Wright miles beyond and from the baselines from which the territorial sea is measured: Provided, That, where the outer limits of the zone as thus determined overlap the exclusive economic zone of an adjacent or neighboring state, the common boundaries shall be determined by agreement with the state concerned or in accordance with pertinent generally recognized principles of international law on delimitation. SEC. 2. Without prejudice to the rights of the Republic of the Philippines over its territorial sea and continental shelf, it shall have and exercise in the exclusive economic zone established herein the following: a.

Sovereignty rights for the purpose of exploration and exploitation, conservation and management of the natural resources, whether living or nonliving, both renewable and nonrenewable, of the seabed, including the

b.

c.

subsoil and the superjacent waters, and with regard to other activities for the economic exploitation and exploration of the resources of the zone, such as the production of energy from the water, currents and winds; Exclusive rights and jurisdiction with respect to the establishment and utilization of artificial islands, offshore terminals, installations and structures, the preservation of the marine environment, including the prevention and control of pollution, and scientific research; Such other rights as are recognized by international law or state practice.

SEC. 3. Except in accordance with the terms of any agreement entered into with the Republic of the Philippines or of any license granted by it or under authority by the Republic of the Philippines, no person shall, in relation to the exclusive economic zone: a. b. c. d. e.

explore or exploit any resources; carry out any search, excavation or drilling operations; conduct any research; construct, maintain or operate any artificial island, offshore terminal, installation or other structure or device; or perform any act or engage in any activity which is contrary to, or in derogation of, the sovereign rights and jurisdiction herein provided.

Nothing herein shall be deemed a prohibition on a citizen of the Philippines, whether natural or juridical, against the performance of any of the foregoing acts, if allowed under existing laws. SEC. 4. Other states shall enjoy in the exclusive economic zone freedoms with respect to navigation and overflight, the laying of submarine cables and pipelines, and other internationally lawful uses of the sea relating to navigation and communications. SEC. 5. a. The President may authorize the appropriate government office/agency to make and promulgate such rules and regulations which may be deemed proper and necessary for carrying out the purposes of this degree. b. Any person who shall violate any provision of this decree or of any rule or regulation promulgated hereunder and approved by the President shall be subject to a fine which shall not be less than two thousand pesos (P2,000.00) nor be more than one hundred thousand pesos (P100,000.00) or imprisonment ranging from six (6) months to ten (10) years, or both such fine and imprisonment, in the discretion of the court. Vessels and other equipment or articles used in connection therewith shall be subject to seizure and forfeiture. SEC. 6. This Decree shall take effect thirty (30) days after publication in the Official Gazette. Done in the City of Manila, this 11th day of June, 1978.

Fisheries Code ( Republic Act 8550) SECTION 1. Title - This Act shall be known as “The Philippine Fisheries Code of 1998.”

Chapter 1 Declaration of Policy And Definitions SEC. 2. Declaration of policy -- It is hereby declared the policy of the State: a.

b.

c.

d.

to achieve food security as the overriding consideration in the utilization, management, development, conservation and protection of fishery resources in order to provide the food needs of the population. A flexible policy towards the attainment of food security shall be adopted in response to changes in demographic trends for fish, emerging trends in the trade of fish and other aquatic products in domestic and international markets, and the law of supply and demand; to limit access to the fishery and aquatic resources of the "Man is the only animal that can remain on friendly terms with the victims he Philippines for the intends to eat until he eats them." --Samuel Butler exclusive use and enjoyment of Filipino citizens; to ensure the rational and sustainable development, management and conservation of the fishery and aquatic resources in Philippine waters including the Exclusive Economic Zone (EEZ) and in the adjacent high seas, consistent with the primordial objective of maintaining a sound ecological balance, protecting and enhancing the quality of the environment; to protect the rights of fisherfolk, especially of the local communities with priority to municipal fisherfolk in the preferential use of the municipal

e.

f.

g.

waters. Such preferential use, shall be based on, but not limited to, Maximum Sustainable Yield (MSY) or Total Allowable Catch (TAC) on the basis of resources and ecological conditions, and shall be consistent with our commitments under international treaties and agreements; to provide support to the fishery sector, primarily to the municipal fisherfolk, including women and youth sectors, through appropriate technology and research, and adequate financial, production, construction of post-harvest facilities, marketing assistance, and other services. The protection of municipal fisherfolk against foreign intrusion shall extend to offshore fishing grounds. Fishworkers shall receive a just share for their labor in the utilization of marine and fishery resources; to manage fishery and aquatic resources in a manner consistent with the concept of an integrated coastal area management in specific natural fishery management areas, appropriately supported by research, technical services and guidance provided by the State; and to grant the private sector the privilege to utilize fishery resources under the basic concept that the grantee, licensee or permittee thereof shall not only be a privileged beneficiary of the State but also an active participant and partner of the Government in the sustainable development, management, conservation and protection of the fishery and aquatic resources of the country.

The State shall ensure the attainment of the following objectives of the fishery sector: 1. 2. 3. 4. 5.

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 limits; Optimal utilization of offshore and deep-sea resources; and Upgrading of post-harvest technology.

SEC. 3. Application of its provisions - The provisions of this Code shall be enforced in: a.

b. c.

all Philippine waters including other waters over which the Philippines has sovereignty and jurisdiction, and the country’s 200-nautical mile Exclusive Economic Zone (EEZ) and continental shelf; all aquatic and fishery resources whether inland, coastal or offshore fishing areas, including but not limited to fishponds, fish pens and cages; and all lands devoted to aquaculture, or businesses and activities relating to fishery, whether private or public lands.

SEC. 4. Definition of terms -- As used in this Code, the following terms and phrases shall mean as follows:

1.

2.

3. 4.

5.

6.

7.

8.

9.

Ancillary industries -- firms or companies related to the supply, construction and maintenance of fishing vessels, gears, nets and other fishing paraphernalia; fishery machine shops; and other facilities such as hatcheries, nurseries, feed plants, cold storage and refrigeration, processing plants and other pre-harvest and post-harvest facilities. Appropriate fishing technology -- adaptable technology, both in fishing and ancillary industries that is ecologically sound, locally source-based and labor intensive. Aquaculture -- fishery operations involving all forms of raising and culturing fish and other fishery species in fresh, brackish and marine water areas. Aquatic pollution -- the introduction by human or machine directly or indirectly, of substances or energy to the aquatic environment which results or is likely to result in such deleterious effects as to harm living and nonliving aquatic resources, pose potential and/or real hazard to human health, hindrance to aquatic activities such as fishing and navigation, including dumping/disposal of waste and other marine litters, discharge of petroleum or residual products of petroleum carbonaceous materials/substances, and other radioactive, noxious or harmful liquid, gaseous or solid substances, from any water, land or air transport or other human-made structure. Deforestation, unsound agricultural practices such as the use of banned chemicals and excessive use of chemicals, intensive use of artificial fish feed, and wetland conversion, which cause similar hazards and deleterious effects shall also constitute aquatic pollution. 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. Artificial reefs -- any structure of natural or man-made materials placed on a body of water to serve as shelter and habitat, source of food, breeding areas for fishery species and shoreline protection. Catch ceilings -- refer to the annual catch limits allowed to be taken, gathered or harvested from any fishing area in consideration of the need to prevent overfishing and harmful depletion of breeding stocks of aquatic organisms. 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 Philippine waters. Coastal area/zone -- is a band of dry land and adjacent ocean space (water and submerged land) in which terrestrial processes and uses directly affect oceanic processes and uses, and vice versa; its geographic extent may include areas within a landmark limit of one (1) kilometer from the shoreline at high tide to include mangrove swamps, brackish water ponds, nipa swamps, estuarine rivers, sandy beaches and other areas within a seaward limit of 200 meters isobath to include coral reefs, algal flats, seagrass beds and other soft-bottom areas.

10.

11.

Commercial Fishing -- the taking of fishery species by passive or active gear for trade, business or profit beyond subsistence or sports fishing, to be further classified as: 1. Small-scale commercial fishing æ fishing with passive or active gear utilizing fishing vessels of 3.1 gross tons (GT) up to twenty (20) GT; 2. Medium scale commercial fishing æ fishing utilizing active gears and vessels of 20.1 GT up to one hundred fifty (150) GT; and 3. Large scale commercial fishing æ fishing utilizing active gears and vessels of more than one hundred fifty (150) GT. Commercial Scale -- a scheme of producing a minimum harvest per hectare per year of milkfish or other species including those raised in pens, cages, and tanks to be determined by the Department in consultation with the concerned sectors; 12. Coral -- the hard calcareous substance made up of the skeleton of marine coelenterate polyps which include reefs, shelves and atolls or any of the marine coelenterate animals living in colonies where their skeletons form a stony mass. They include:

a. skeletons of anthozoan coalenterates characterized as having a "We who revel in nature's diversity and feel instructed by every animal tend to rigid axis of compact brand Homo sapiens as the greatest catastrophe since the Cretaceous extinction." calcareous or horny spicules, --Stephen Jay Gould belonging to the genus corallium as represented by the red, pink, and white corals which are considered precious corals; b. skeletons of anthozoan coelenterates characterized by thorny, honry axis such as the antiphatharians represented by the black corals which are considered semi-precious corals; and (c) ordinary corals which are any kind of corals that are not precious nor semi-precious. 13. 14.

Coral reef - a natural aggregation of coral skeleton, with or without living coral polyps, occurring in intertidal and subtidal marine waters. Demarcated areas - boundaries defined by markers and assigned exclusively to specific individuals or organizations for certain specified and limited uses such as:

a. b. c. d. 15. 16.

17.

18.

19. 20.

21.

22.

23.

24.

Aquaculture, sea ranching and sea farming; Fish aggregating devices; Fixed and passive fishing gears; and Fry and fingerlings gathering.

Department - shall mean the Department of Agriculture. Electrofishing - the use of electricity generated by batteries, electric generators and other source of electric power to kill, stupefy, disable or render unconscious fishery species, whether or not the same are subsequently recovered. Endangered, rare and/or threatened species - aquatic plants, animals, including some varieties of corals and sea shells in danger of extinction as provided for in existing fishery laws, rules and regulations or in the Protected Areas and Wildlife Bureau of the Department of Environment and Natural Resources (DENR) and in the Convention on the International Trade of Endangered Species of Flora and Fauna (CITES). Exclusive Economic Zone (EEZ) - an area beyond and adjacent to the territorial sea which shall not extend beyond 200 nautical miles from the baselines as defined under existing laws. FARMCs - the Fisheries and Aquatic Resources Management Councils. Farm-to-market roads - shall include roads linking the production sites, coastal landing points and other post-harvest facilities to major market and arterial roads and highways. Fine mesh net - with mesh size of less than three centimeters (3 cm.) measured between two (2) opposite knots of a full mesh when stretched or as otherwise determined by the appropriate government agency. Fish and fishery/aquatic products - include not only finfish but also mollusks, crustaceans, echinoderms, marine mammals, and all other species of aquatic flora and fauna and all other products of aquatic living resources in any form. Fish cage - refers to an enclosure which is either stationary or floating made up of nets or screens sewn or fastened together and installed in the water with opening at the surface or covered and held in place by wooden/bamboo posts or various types of anchors and floats. Fish corral or “baklad” -- a stationary weir or trap devised to intercept and capture fish consisting of rows of bamboo stakes, plastic nets and other materials fenced with split bamboo mattings or wire mattings with one or more enclosures, usually with easy entrance but difficult exit, and with or without leaders to direct the fish to the catching chambers, purse or bags.

25.

26.

27.

28.

29.

30.

31.

32. 33.

34. 35.

Fish fingerlings -- a stage in the life cycle of the fish measuring to about 6-13 cm. depending on the species. Fish fry - a stage at which a fish has just been hatched usually with sizes from 1–2.5 cm. Fish pen - an artificial enclosure constructed within a body of water for culturing fish and fishery/aquatic resources made up of poles closely arranged in an enclosure with wooden materials, screen or nylon netting to prevent escape of fish. Fisherfolk - people directly or personally and physically engaged in taking and/or culturing and processing fishery and/or aquatic resources. Fisherfolk cooperative - a duly registered association of fisherfolk a man wantonly destroys one of the works of man we with a common bond of interest, "When call him a vandal. When he destroys one of the works of God who have voluntarily joined together we call him a sportsman." --Joseph Wood Krutch to achieve a lawful common social or economic end, making equitable contribution to the capital requirement and accepting a fair share of the risks and benefits of the undertaking is accordance with universally accepted cooperative principles. Fisherfolk organization - an organized group, association, federation, alliance or an institution of fisherfolk which has at least fifteen (15) members, a set of officers, a constitution and by-laws, and organizational structure and a program of action. Fisheries - refers to all activities relating to the act or business of fishing, culturing, preserving, processing, marketing, developing, conserving and managing aquatic resources and the fishery areas, including the privilege to fish or take aquatic resources thereof. Fish pond - a land-based facility enclosed with earthen or stone material to impound water for growing fish. Fishing boat/gear License - a permit to operate specific types of fishing boat/gear for specific duration in areas beyond municipal waters for demersal or pelagic fishery resources. Fishery management areas - a bay, gulf, lake or any other fishery area which may be delineated for fishery resource management purposes. Fishery operator - one who owns and provides the means including land, labor, capital, fishing gears and vessels, but does not personally engage in fishery.

36.

37. 38.

39. 40.

41.

42.

43.

44.

Fishery refuge and sanctuaries - a designated area where fishing or other forms of activities which may damage the ecosystem of the area is prohibited and human access may be restricted. Fishery reserve - a designated area where activities are regulated and set aside for educational and research purposes. Fishery species - all aquatic flora and fauna including but not restricted to: fish, algae, coelenterates, mollusks, crustaceans, echinoderms and cetaceans. Fishing -the taking of fishery species from their wild state or habitat, with or without the use of fishing vessels. Fishing gear - any instrument or device and its accessories utilized in taking fish and other fishery species. a. Active fishing gear - is a fishing device characterized by gear movements, and/or the pursuit of the target species by towing, lifting, and pushing the gears, surrounding, covering, dredging, pumping and scaring the target species to impoundments; such as, but not limited to, trawl, purse seines, Danish seines, bag nets, paaling, drift gill net and tuna longline. b. Passive fishing gear - is characterized by the absence of gear movements and/or the pursuit of the target species, such as, but not limited to, hook and line, fishpots, traps and gill nets across the path of the fish. Fishing vessel - any boat, ship or other watercraft equipped to be used for taking of fishery species or aiding or assisting one (1) or more vessels in the performance of any activity relating to fishing, including, but not limited to, preservation, supply, storage, refrigeration, transportation and/or processing. Fishing with explosives - the use of dynamite, other explosives or other chemical compounds that contain combustible elements or ingredients which upon ignition by friction, concussion, percussion or detonation of all or parts of the compound, will kill, stupefy, disable or render unconscious any fishery species. It also refers to the use of any other substance and/or device which causes an explosion that is capable of producing the said harmful effects on any fishery species and aquatic resources and capable of damaging and altering the natural habitat. Fishing with noxious or poisonous substances - the use of any substance, plant extracts or juice thereof, sodium cyanide and/or cyanide compounds or other chemicals either in a raw or processed form, harmful or harmless to human beings, which will kill, stupefy, disable or render unconscious any fishery species and aquatic resources and capable of damaging and altering the natural habitat. Fishworker - a person regularly or not regularly employed in commercial fishing and related industries, whose income is either in wage, profitsharing or stratified sharing basis, including those working in fish pens, fish cages, fish corrals/traps, fishponds, prawn farms, sea farms, salt beds, fish ports, fishing boat or trawlers, or fish processing and/or packing plants.

45.

46.

47.

48.

49. 50.

51.

52. 53.

54.

Excluded from this category are administrators, security guards and overseers. Food security - refers to any plan, policy or strategy aimed at ensuring adequate supplies of appropriate food at affordable prices. Food security may be achieved through self-sufficiency (i.e. ensuring adequate food supplies from domestic production), through self-reliance (i.e. ensuring adequate food supplies through combination of domestic production and importation), or through pure importation. Foreshore land - a string of land margining a body of water; the part of a seashore between the low-water line usually at the seaward margin of a low tide terrace and the upper limit of wave wash at high tide usually marked by a beach scarp or berm. Fully-developed fishpond area - a clean leveled area enclosed by dikes, at least one foot higher than the highest floodwater level in the locality and strong enough to resist pressure at the highest flood tide; consists of at least a nursery pond, a transition pond, a rearing pond or a combination of any or all said classes of ponds, and a functional water control system and producing in a commercial scale. Gross tonnage - includes the underdeck tonnage, permanentlly enclosed spaces above the tonnage deck, except for certain exemptions. In broad terms, all the vessel’s ‘closed-in’ spaces expressed in volume terms on the bases of one hundred cubic feet (that equals one gross ton). Inland fishery - the freshwater fishery and brackishwater fishponds. Lake - an inland body of water, an expanded part of a river, a reservoir formed by a dam, or a lake basin intermittently or formerly covered by water. Limited access - a fishery policy by which a system of equitable resource use and allocation is established by law through fishery rights granting and licensing procedure as provided by this Code. Mangroves - a community of intertidal plants including all species of trees, shrubs, vines and herbs found on coasts, swamps, or border of swamps. Maximum Sustainable Yield (MSY) - is the largest average quantity of fish that can be harvested from a fish stocks/resource within a period of time (e.g. one year) on a sustainable basis under existing environmental conditions. Migratory species - refers to any fishery species which in the course of their life could travel from freshwater to marine water or vice versa, or any marine species which travel over great distances in waters of the ocean as part of their behavioral adaptation for survival and speciation: a. b.

55.

Anadromous species - marine fishes which migrate to freshwater areas to spawn; Catadromous species - freshwater fishes which migrate to marine areas to spawn.

Monitoring, control and surveillance –

a. Monitoring - the requirement of continuously observing: 1.

b.

c.

56. 57.

58.

59.

60.

61. 62.

63.

fishing effort which can be expressed by the number of days or hours of fishing, number of fishing gears, and number of fisherfolk; 2. characteristics of fishery resources, and 3. resource yields (catch); Control - the regulatory conditions (legal framework) under which the exploitation, utilization and disposition of the resources may be conducted; and Surveillance - the degree and types of observations required to maintain compliance with regulations.

Municipal fisherfolk - persons who are directly or indirectly engaged in municipal fishing and other related fishing activities. Municipal fishing- refers to fishing within municipal waters using fishing vessels of three (3) gross tons or less, or fishing not requiring the use of fishing vessels. Municipal waters - include not only streams, lakes, inland bodies of water and tidal waters within the municipality which are not included within the protected areas as defined under Republic Act No. 7586 (The NIPAS Law), public forest, timber lands, forest reserves or fishery reserves, but also marine waters included between two (2) lines drawn perpendicular to the general coastline from points where the boundary lines of the municipality touch the sea at low tide and a third line parallel with the general coastline including offshore islands and fifteen (15) kilometers from such coastline. Where two (2) municipalities are so situated on opposite shores that there is less than thirty (30) kilometers of marine waters between them, the third line shall be equally distant from opposite shore of the respective municipalities. Non-governmental organization (NGO) - an agency, institution, a foundation or a group of persons whose purpose is to assist peoples organizations/associations in various ways including, but not limited to, organizing, education, training, research and/or resource accessing. Payao - a fish aggregating device consisting of a floating raft, anchored by a weighted line with suspended materials such as palm fronds to attract pelagic and schooling species common in deep waters. Pearl farm lease - public waters leased for the purpose of producing cultured pearls. People’s organization - a bonafide association of citizens with demonstrated capacity to promote the public interest and with identifiable leadership, membership and structure. Its members belong to a sector/s who voluntarily band themselves together to work for and by themselves for their own upliftment, development and greater good. Person - natural or juridical entities such as individuals, associations, partnership, cooperatives or corporations.

64.

65.

66.

67.

68.

69.

70. 71.

72.

73.

Philippine waters - include all bodies of water within the Philippine territory such as lakes, rivers, streams, creeks, brooks, ponds, swamps, lagoons, gulfs, bays and seas and other bodies of water now existing or which may hereafter exist in the provinces, cities, municipalities, and barangays and the waters around, between and connecting the islands of the archipelago regardless of their breadth and dimensions, the territorial sea, the sea beds, the insular shelves, and all other waters over which the Philippines has sovereignty and jurisdiction including the 200-nautical miles Exclusive Economic Zone and the continental shelf. Post-harvest facilities - these facilities include, but are not limited to, fishport, fishlanding, ice plants and cold storages, and fish processing plants. Purse seine - a form of encircling net having a line at the bottom passing through rings attached to the net, which can be drawn or pursed. In general, the net is set from a boat or pair of boats around the school of fish. The bottom of the net is pulled closed with the purse line. The net is then pulled aboard the fishing boat or boats until the fish are concentrated in the bunt or fish bag. Resource rent - the difference between the value of the products produced from harvesting a publicly owned resource less the cost of producing it, where cost includes the normal return to capital and normal return to labor. Sea farming - the stocking of natural or hatchery-produced marine plants or animals, under controlled conditions, for purposes of rearing and harvesting, but not limited to commercially important fishes, mollusks (such as pearl and giant clam culture), including seaweeds and seagrasses. Sea ranching - the release of the young of fishery species reared in hatcheries and nurseries into natural bodies of water for subsequent harvest at maturity or the manipulation of fishery habitat to encourage the growth of the wild stocks. Secretary - the Secretary of the Department of Agriculture. Superlight - also called magic light, is a type of light using halogen or metal halide bulb which may be located above the sea surface or submerged in the water. It consists of a ballast, regular, electric cable and socket. The source of energy comes from a generator, battery or dynamo coupled with the main engine. Total allowable catch (TAC) - the maximum harvest allowed to be taken during a given period of time from any fishery area, or from any fishery species or group of fishery species, or a combination of area and species and normally would not exceed the MSY. Trawl - an active fishing gear consisting of a bag shaped net with or without other boards to open its opening which is dragged or towed along the bottom or through the water column to take fishery species by straining them from the water, including all variations and modifications of trawls (bottom, mid-water, and baby trawls) and tow nets.

Chapter II Utilization, Management, Development, Conservation And Allocation System Of Fisheries And Aquatic Resources SEC. 5. Use of Philippine Waters - The use and exploitation of the fishery and aquatic resources in Philippine waters shall be reserved exclusively to Filipinos: Provided, however, That research and survey activities may be allowed under strict regulations, for purely research, scientific, technological and educational purposes that would also benefit Filipino citizens. SEC. 6. Fees and Other Fishery Charges - The rentals for fishpond areas covered by the Fishpond Lease Agreement (FLA) and license fees for Commercial Fishing Boat Licenses (CFBL) shall be set at levels that reflect resource rent accruing from the utilization of resources and shall be determined by the Department: Provided, That the Department shall also prescribe fees and other fishery charges and issue fees and other fishery charges and issue the corresponding license or permit for fishing gear, fishing accessories and other fishery activities beyond the municipal waters: Provided, further, That the license fees of fishery activity in municipal waters shall be determined by the Local Government Units (LGUs) in consultation with the FARMCs. The FARMCs may also recommend the appropriate license fees that will be imposed. SEC. 7. Access to Fishery Resources The Department shall issue such number of licenses and permits for the conduct of fishery activities subject to the limits of the MSY of the resource 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. SEC. 8. Catch Ceiling Limitations - The Secretary "Nature is a collective idea, and, though its essence exist in each individual of the may prescribe limitations or species, can never in its perfection inhabit a single object." --Henry Fuseli quota on the total quantity of fish captured, for a specified period of time and specified area based on the best available evidence. Such a catch ceiling may be imposed per species of fish whenever necessary and practicable: Provided, however, That in municipal waters and fishery

management areas, and waters under the jurisdiction of special agencies, catch ceilings may be established upon the concurrence and approval or recommendation of such special agency and the concerned LGU in consultation with the FARMC for conservation or ecological purposes. SEC. 9. Establishment of Closed Season - The Secretary may declare, through public notice in at least two (2) newspapers of general circulation, or in public service announcements, whichever is applicable, at least five (5) days before the declaration, 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 areas reserved for the use of the municipal fisherfolk in the area to be covered by the closed season: Provided, however, That this shall be done only upon the concurrence and approval or recommendation of such special agency and the concerned LGU and FARMC: Provided, further, That in municipal waters, fishery management areas and other areas reserved for the use of the municipal fisherfolk, closed season may be established by the concerned LGU in consultation with the FARMC for conservation or ecological purposes. The FARMCs may also recommend the establishment of closed seasons in municipal waters, fisheries management and other areas reserved for the use of the municipal fisherfolk. SEC. 10. Introduction of foreign aquatic species - No foreign finfish, mollusk, crustacean or aquatic plants shall be introduced in Philippine waters without a sound ecological, biological and environmental justification based on scientific studies subject to the bio-safety standards as provided for by existing laws: Provided, however, That the Department may approve the introduction of foreign aquatic species for scientific/research purposes. SEC. 11. Protection of rare, threatened and endangered species - The Department shall declare closed seasons and take conservation and rehabilitation measures for rare, threatened and endangered species, as it may determine, and shall ban the fishing and/or taking of rare, threatened and/or endangered species, including their eggs/offspring as identified by existing laws in concurrence with concerned government agencies. SEC. 12. Environmental Impact Statement (EIS) - All government agencies as well as private corporations, firms and entities who intend to undertake activities or projects which will affect the quality of the environment shall be required to prepare a detailed Environmental Impact Statement (EIS) prior to undertaking such development activity. The preparation of the EIS shall form an integral part of the entire planning process pursuant to the provisions of Presidential Decree No. 1586 as well as its implementing rules and regulations. SEC. 13. Environmental Compliance Certificate (ECC) - All Environmental Impact Statements (EIS) shall be submitted to the Department of Environment and

Natural Resources (DENR) for review and evaluation. No person, natural or juridical, shall undertake any development project without first securing an Environmental Compliance Certificate (ECC) from the Secretary of the DENR. SEC. 14. Monitoring, control and surveillance of Philippine waters - A monitoring, control and surveillance system shall be established by the Department in coordination with LGUs, FARMCs, the private sector and other agencies concerned to ensure that the fisheries and aquatic resources in Philippine waters are judiciously and wisely utilized and managed on a sustainable basis and conserved for the benefit and enjoyment exclusively of Filipino citizens. SEC. 15. Auxiliary invoices - All fish and fishery products must have an auxiliary invoice to be issued by the LGUs or their duly authorized representatives prior to their transport from their point of origin to their point of destination in the Philippines and/or export purposes upon payment of a fee to be determined by the LGUs to defray administrative costs therefor.

ARTICLE I MUNICIPAL FISHERIES SEC. 16. Jurisdiction of municipality/city government - The municipal/city government shall have jurisdiction over municipal waters as defined in this Code. The municipal/city government, in consultation with the FARMC shall be responsible for the management, conservation, development, protection, utilization, and disposition of all fish and fishery/aquatic resources within their respective municipal waters. The municipal/city government may, in consultation with the FARMC, enact appropriate ordinances for this purpose and in accordance with the National Fisheries Policy. The ordinances enacted by the municipality and component city shall be reviewed pursuant to Republic Act No. 7160 by the sanggunian of the province which has jurisdiction over the same. The LGUs shall also enforce all fishery laws, rules and regulations as well as valid fishery ordinances enacted by the municipality/city council. The management of contiguous fishery resources such as bays which straddle several municipalities, cities or provinces, shall be done in an integrated manner, and shall not be based on political subdivisions of municipal waters in order to facilitate their management as single-resource systems. The LGUs which share or border such resources may group themselves and coordinate with each other to achieve the objectives of integrated fishery resource management. The Integrated Fisheries and Aquatic Resources Management Councils (IFARMCs) established under Section 76 of this Code shall serve as the venues for close collaboration among LGUs in the management of contiguous resources.

SEC. 17. 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 pursuant to Section 149 of the Local Government Code: Provided, That in areas where there are special agencies or offices vested with jurisdiction over municipal waters by virtue of special laws creating these agencies such as, but not limited to, the Laguna Lake Development Authority and the Palawan Council for Sustainable Development, said offices and agencies shall continue to grant permits for proper management and implementation of the aforementioned structures. SEC. 18. Users of municipal waters - All fishery related activities in municipal waters, as defined in this Code, shall be utilized by municipal fisherfolk and their cooperatives/ organizations who are listed as such in the registry of municipal fisherfolk. The municipal or city government, however, may, through its local chief executive and acting pursuant to an appropriate ordinance, authorize or permit small and medium commercial fishing vessels to operate within the ten point one (10.1) to fifteen (15) kilometer area from the shoreline in municipal waters as defined herein, Provided, That all the following are met: a. b. c. d.

no commercial fishing in municipal waters with depth less than seven (7) fathoms as certified by the appropriate agency; fishing activities utilizing methods and gears that are determined to be consistent with national policies set by the Department; prior consultation, through public hearing, 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 this Code, environmental laws and related laws.

In no case shall the authorization or permit mentioned above be granted for fishing in bays as determined by the “Nature is the glass reflecting God, as by the sea reflected is the sun, too glorious to be gazed on in his sphere.” --Brigham Young

Department to be in an environmentally critical condition and during closed season as provided for in Section 9 of this Code. SEC. 19. Registry of municipal fisherfolk - The LGU shall maintain a registry of municipal fisherfolk, who are fishing or may desire to fish in municipal waters for the purpose of determining priorities among them, of limiting entry into the municipal waters, and of monitoring fishing activities and/or other related purposes: Provided, That the FARMC shall submit to the LGU the list of priorities for its consideration. Such list or registry shall be updated annually or as may be necessary, and shall be posted in barangay halls or other strategic locations where it shall be open to public inspection, for the purpose of validating the correctness and completeness of the list. The LGU, in consultation with the FARMCs, shall formulate the necessary mechanisms for inclusion or exclusion procedures that shall be most beneficial to the resident municipal fisherfolk. The FARMCs may likewise recommend such mechanisms. The LGUs shall also maintain a registry of municipal fishing vessels by type of gear and other boat particulars with the assistance of the FARMC. SEC. 20. Fisherfolk organizations and/or cooperatives - Fisherfolk organizations/ cooperatives whose members are listed in the registry of municipal fisherfolk, may be granted use of demarcated fishery areas to engage in fish capture, marine culture and/or fish farming: Provided, however, That an organization/cooperative other than for fish capture cannot enjoy the fishing rights granted to the organization or cooperative. SEC. 21. Priority of resident municipal fisherfolk - 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. SEC. 22. Demarcated fishery right - The LGU concerned shall grant demarcated fishery rights to fishery organizations/cooperatives for marine culture operation in specific areas identified by the Department. SEC. 23. Limited entry into overfished areas - Whenever it is determined by the LGUs and the Department that a municipal water is overfished based on available data or information or in danger of being overfished, and that there is a need to regenerate the fishery resources in that water, the LGU shall prohibit or limit fishery activities in the said waters. SEC. 24. Support to municipal fisherfolk - The Department and the LGUs shall provide support to municipal fisherfolk through appropriate technology and research, credit production and marketing assistance and other services such as, but not limited to training for additional/supplementary livelihood.

SEC. 25. Rights and privileges of fishworkers - The fishworkers shall be entitled to the privileges accorded to other workers under the Labor Code, Social Security System and other benefits under other laws or social legislation for workers: Provided, That fishworkers on board any fishing vessels engaged in fishing operations are hereby covered by the Philippine Labor Code, as amended.

ARTICLE II COMMERCIAL FISHERIES SEC. 26. Commercial fishing vessel license and other licenses - No person shall operate a commercial fishing vessel, pearl fishing vessel or fishing vessel for scientific, research or educational purposes, or engage in any fishery activity, or seek employment as a fishworker or pearl diver without first securing a license from the Department, the period of which shall be prescribed by the Department: Provided, That no such license shall be required of a fishing vessel engaged in scientific, research or educational purposes within the Philippine waters pursuant to an international agreement of which the Philippines is a signatory and which agreement defines the status, privileges and obligations of said vessel and its crew and the non-Filipino officials of the international agency under which said vessel operates: Provided, further, That members of the crew of a fishing vessel used for commercial fishing except the duly licensed and/or authorized patrons, marine engineers, radio operators and cooks shall be considered as fisherfolk: Provided, furthermore, That all skippers/master fishers shall be required to undertake an orientation training on detection of fish caught by illegal means before they can be issued their fishworker licenses: Provided, finally, That the large commercial fishing vessel license herein authorized to be granted shall allow the licensee to operate only in the Philippine waters seven (7) fathoms deep, the depth to be certified by the NAMRIA, and subject to the conditions that may be stated therein and the rules and regulations that may be promulgated by the Department. SEC. 27. Persons eligible for commercial fishing vessel license - No commercial fishing vessel license shall be issued except to citizens of the Philippines, partnerships or to associations, cooperatives or corporations duly registered in the Philippines at least sixty percent (60%) of the 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. Any such transfer, sale or assignment shall be null and void and shall not be registered in the books of the association, cooperative or corporation. For purposes of commercial fishing, fishing vessels owned by citizens of the Philippines, partnerships, corporations, cooperatives or associations qualified under this Section shall secure Certificates of Philippine Registry and such other documents as are necessary for fishing operations from the concerned agencies:

Provided, That the commercial fishing vessel license shall be valid for a period to be determined by the Department. SEC. 28. Commercial fishing vessel registration - The registration, documentation, inspection and manning of the operation of all types of fishing vessels plying Philippine waters shall be in accordance with existing laws, rules and regulations. SEC. 29. Registration and licensing of fishing gears used in commercial fishing Before a commercial fishing vessel holding a commercial fishing vessel license may begin fishing operations in Philippine waters, the fishing gear it will utilize in fishing shall be registered and a license granted therefore. The Department shall promulgate guidelines to implement this provision within sixty (60) days from approval of this Code. SEC. 30. Renewal of commercial boat license - The commercial fishing boat license shall be renewed every three (3) years. The owner/operator of a fishing vessel has a period of sixty (60) days prior to the expiration of the license within which to renew the same. SEC. 31. Report of transfer of ownership - The owner/operator of a registered fishing vessel shall notify the Department in writing of the transfer of the ownership of the vessel with a copy of such document within ten (10) days after its transfer to another person. SEC. 32. Fishing by Philippine commercial fishing fleet in international waters Fishing vessels of Philippine registry may operate in international waters or waters of other countries which allow such fishing operations: Provided, That they comply with the safety, manning and other requirements of the Philippine Coast Guard, Maritime Industry Authority and other agencies concerned: Provided, however, That they secure an international fishing permit and certificate of clearance from the Department: Provided, further, That the fish caught by such vessels shall be considered as caught in Philippine waters and therefore not subject to all import duties and taxes only when the same is landed in duly designated fish landings and fish ports in the Philippines: Provided, furthermore, That landing ports established by canneries, seafood processors and all fish landing sites established prior to the effectivity of this Code shall be considered authorized landing sites: Provided, finally, That fishworkers on board Philippine registered fishing vessels conducting fishing activities beyond the Philippine Exclusive Economic Zone are not considered as overseas Filipino workers. SEC. 33. Importation of fishing vessels or construction of new fishing boats Prior to the importation of fishing vessels and the construction of new fishing vessels, the approval/clearance of the Department must first be obtained.

SEC. 34. Incentives for municipal and small-scale commercial fisherfolk Municipal and small-scale commercial fisherfolk shall be granted incentives which shall include, but are not limited to, the following: a.

b.

at least ten percent (10%) of the credit and the guarantee funds of a government financing institutions shall be made available for post-harvest and marketing projects for the purpose of enhancing our fisherfolk competitiveness by reducing post-harvest losses. Qualified projects shall include, but shall not be limited to, ice plants, cold storage, canning, warehouse, transport and other related infrastructure projects and facilities; and the Department shall undertake the following programs: 1.

2.

a capability-building program for targeted parties shall be developed by the Department to promote greater bankability and credit worthiness of municipal and small-scale commercial fishers. Such program shall include organizing activities, technology transfer, and skills training related to commercial fishing as well as credit management. Groups and cooperatives under the program shall have priority access over credit and guarantee funds established under this Code; and an information campaign shall be conducted to promote the capability-building and credit programs. The campaign shall ensure greater information dissemination and accessibility to targeted fisherfolk.

SEC. 35. Incentives for commercial fishers to fish farther into the Exclusive Economic Zone (EEZ) - In order to encourage fishing vessel operators to fish farther in the EEZ and beyond, new incentives for improvement of fishing vessels and acquisition of fishing equipment shall be granted in addition to incentives already available from the Board of Investments (BOI). Such incentives shall be granted subject to exhaustive evaluation of resource and exploitation conditions in the specified areas of fishing operations. The incentive shall include, but not limited to: a. b.

c.

long term loans supported by guarantee facilities to finance the building and acquisition and/or improvement of fishing vessels and equipment; commercial fishing vessel operators of Philippine registry shall enjoy a limited period and duty exemptions on the importation of fishing vessels not more than five (5) years old, equipment and paraphernalia, the period of exemption and guidelines shall be fixed by the Department within ninety (90) days from the effectivity of this Code; commercial fishing operator of Philippine registry engaged in fisheries in the high seas shall be entitled to duty and tax rebates on fuel consumption for commercial fisheries operations. Guidelines shall be promulgated

d.

within ninety (90) days from the effectivity of this Code by the Department; and all applicable incentives available under the Omnibus Investment Code of 1987; Provided, That the fishing operation project is qualified for registration and is duly registered with the BOI.

SEC. 36. Complement of fishing vessels - Every commercial fishing vessel of Philippine registry when actually operated, shall be manned in accordance with the requirements of the Philippine Merchant Marine rules and regulations. SEC. 37. Medical supplies and life-saving devices - All fishing vessels shall be provided with adequate medical supplies and life-saving devices to be determined by the Occupational Safety and Health Center: Provided, That a fishing vessel of twenty (20)GT or more shall have as a member of its crew a person qualified as a first aider duly certified by the Philippine National Red Cross. SEC. 38. Reportorial requirements - Each commercial fishing vessel shall keep a daily record of fish catch and spoilage, landing points, and quantity and value of fish caught, and off-loaded for transshipment, sale and/or other disposal. Detailed information shall be duly certified by the vessel’s captain and transmitted monthly to the officer or representative of the Department, at the nearest designated landing point. SEC. 39. Report of meteorological and other data - All vessels and crafts passing navigational lanes or engaged in fisheries activity shall be required to contribute to meteorological and other data, and shall assist the Department in documentation or reporting of information vital to navigation and the fishing industry. SEC. 40. Color code and radio frequency - For administrative efficiency and enforcement of regulations, registered fishing vessels shall bear a color code as may be determined by the Department, and may be assigned a radio frequency specific and distinct to its area of operation. SEC. 41. Passage - Commercial and other passage not in the regular conduct of fisheries activity shall be made at designated navigational lanes. SEC. 42. Transshipment - Foreign fishing vessels wishing to avail of land, air and sea facilities available in the Philippines to transport fishery products which are caught outside Philippine territorial waters to its final destination shall call only at duly designated government owned or-controlled regional fishport complexes after securing clearance from the Department. SEC. 43. Operation of radio communication facilities on board fishing vessels The Department shall promulgate guidelines in the operation of radio communication facilities on board fishing vessels and the assignment of radio

"When a man wantonly destroys one of the works of man we call him a vandal. When he destroys one of the works of God we call him a sportsman." -- Joseph Wood Krutch

frequencies specific and distinct to area of operation in coordination with the National Telecommunications Commission. SEC. 44. Use of superlight -- The number of wattage of superlights used in commercial fishing vessels shall be regulated by the Department: Provided, That the use of superlights is banned within municipal waters and bays.

ARTICLE III AQUACULTURE SEC. 45. 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. Upon effectivity of this Code, FLA2 may be issued for public lands that may be declared available for fishpond development primarily to qualified fisherfolk cooperatives/associations: Provided, however, That upon the expiration of existing FLAs the current lessees shall be given priority and be entitled to an extension of twenty-five (25) years in the utilization of their respective leased areas. Thereafter, such FLAs shall be granted to any Filipino citizen with preference, primarily to qualified fisherfolk 2

Fishpond Lease Agreement.

cooperatives/associations as well as small and medium enterprises as defined under Republic Act No. 8289: Provided, further, That the Department shall declare as reservation, portions of available public lands certified as suitable for fishpond purposes for fish sanctuary, conservation, and ecological purposes: Provided, finally, That two (2) years after the approval of this Act, no fish pens or fish cages or fish traps shall be allowed in lakes. SEC. 46. Lease of fishpond -- Fishponds leased to qualified persons and fisherfolk organizations/cooperatives shall be subject to the following conditions: a. b.

c.

d.

e. f. g.

h.

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 twenty-five (25) years and renewable for another twenty-five (25) years; Provided, That in case of the death of the lessee, his spouse and/or children, as his heirs, shall have preemptive rights to the unexpired term of his Fishpond Lease Agreement subject to the same terms and conditions provided herein Provided, That the said heirs are qualified. Lease rates for fishpond areas shall be determined by the Department: Provided, That all fees collected shall be remitted to the National Fisheries Research and Development Institute and other qualified research institutions to be used for aquaculture research development. The area leased shall be developed and producing on a commercial scale within three (3) years from the approval of the lease contract: Provided, however, That all areas not full producing within five (5) years from the date of approval of the lease contract shall automatically revert to the public domain for reforestation; The fishpond shall not be subleased, in whole or in part, and failure to comply with this provision shall mean cancellation of FLA; The transfer or assignment of rights to FLA shall be allowed only upon prior written approval of the Department; The lessee shall undertake reforestation for river banks, bays, streams and seashore fronting the dike of his fishpond subject to the rules and regulations to be promulgated thereon; and The lessee shall provide facilities that will minimize environmental pollution, i.e., settling ponds, reservoirs, etc.: Provided, That failure to comply with this provision shall mean cancellation of FLA.

SEC. 47. Code of practice for aquaculture -- The Department shall establish a code of practice for aquaculture that will outline general principles and guidelines for environmentally-sound design and operation to promote the sustainable development of the industry. Such Code shall be developed through a consultative process with the DENR, the fishworkers, FLA holders, fishpond owners, fisherfolk cooperatives, small-scale operators, research institutions and the academe, and other potential stakeholders. The Department may consult with specialized international organizations in the formulation of the code of practice.

SEC. 48. Incentives and disincentives for sustainable aquaculture practices -The Department shall formulate incentives and disincentives such as, but not limited to, effluent charges, user fees and negotiable permits, to encourage compliance with the environmental standards and to promote sustainable management practices. SEC. 49. Reversion of all abandoned, underdeveloped or underutilized fishponds -- The DENR, in coordination with the Department, LGUs, other concerned agencies and FARMCs shall determine which abandoned, undeveloped or underutilized fishponds covered by FLAs can be reverted to their original mangrove state and after having made such determination shall take all steps necessary to restore such areas in their original mangrove state. SEC. 50. Absentee fishpond lease agreement holders -- Holders of fishpond lease agreements who have acquired citizenship in another country during the existence of the FLA shall have their lease automatically cancelled and the improvements thereon to be forfeited in favor of the government and disposed of in accordance with the rules and regulations promulgated thereon. SEC. 51. License to operate fish pens, fish cages, fish traps, and other structures for the culture of fish and other fishery products -- Fish dens, 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 the FARMCs concerned consistent with national fisheries policies after the corresponding licenses thereof have been secured. The area to be utilized for this purpose for individual persons shall be determined by the LGUs in consultation with the concerned FARMC: Provided, however, That not over ten percent (10%) of the suitable water surface area of all lakes and rivers shall be allotted for aquaculture purposes like fish pens, fish cages and fish traps; and the stocking density and feeding requirement which shall be controlled and determined by its carrying capacity; Provided, further, That fish pens and fish cages located outside municipal waters shall be constructed and operated only within fish pen and fish cage belts designated by the Department and after corresponding licenses therefor have been secured and the fees thereof paid. SEC. 52. Pearl farm leases -- The foregoing provisions, notwithstanding, existing pearl farm leases shall be respected and allowed to operate under the terms thereof. New leases may be granted to qualified persons who possess the necessary capital and technology, by the LGUs having jurisdiction over the area. SEC. 53. Grant of privileges for operations of fish pens, cages, corrals/traps and similar structures -- No new concessions, licenses, permits, leases and similar privileges for the establishment or operation of fish pens, fish cages, fish corrals/traps and other similar structures in municipal areas shall be granted except to municipal fisherfolk and their organizations.

SEC. 54. Insurance for fishponds, fish cages and fish pens -- Inland fishponds, fish cages and fish pens shall be covered under the insurance program of the Philippine Crop Insurance Corporation for losses caused by force majeure and fortuitous events. SEC. 55. Non-obstruction to navigation -- Nothing in the foregoing sections shall be construed as permitting the lessee, licensee, or permittee to undertake any construction which will obstruct the free navigation in any stream, river, lakes, or bays flowing through or adjoining the fish pens, fish cages, fish traps and fishponds, or impede the flow of the tide to and from the area. Any construction made in violation hereof shall be removed upon the order of the Department in coordination with the other government agencies concerned at the expense of the lessee, licensee, or occupants thereof, whenever applicable. The Department shall within thirty (30) days after the effectivity of this Code formulate and implement rules and regulations for the immediate dismantling of existing obstruction to navigation. SEC. 56. Non-obstruction to defined migration paths -- Nothing in the foregoing sections shall be construed as permitting the lessee, permittee, or licensee to undertake any construction which will obstruct any defined migration path of migratory fish species such as river mouths and estuaries within a distance determined by the concerned LGUs in consultation with and upon the recommendation of the FARMCs. SEC. 57. Registration of fish hatcheries and private fishponds, etc. -- All fish hatcheries, fish breeding facilities and private fishponds must be registered with the LGUs which shall prescribe minimum standards for such facilities in consultation with the Department: Provided, That the Department shall conduct a yearly inventory of all fishponds, fish pens and fish cages whether in public or private lands; Provided, further, That all fishpond, fish pen and fish cage operators shall annually report to the Department the type of species and volume of production in areas devoted to aquaculture.

ARTICLE IV POST-HARVEST FACILITIES, ACTIVITIES AND TRADES SEC. 58. Comprehensive post-harvest and ancillary industries plan -- The Department shall conduct a regular study of fisheries post-harvest operations and ancillary industries, in the formulation of a comprehensive plan for post-harvest and ancillary industries. It shall take into account, among others, the following: a. b.

detailed and clear guidelines on the distribution, construction, maintenance and use of post-harvest infrastructure facilities; extension of credit and incentives for post-harvest operations;

c. d. e. f.

g. h.

promotion and strengthening of semi-processing, processing and handling; development of domestic fishmeal industry; development of fisheries ship-building and repair as a viable industry; development and strengthening of marketing facilities and activities, including the pricing system, with emphasis on collective marketing and the elimination of middlemen; increased participation of cooperatives and non-governmental organizations in post-harvest operations and ancillary industries; and integration of fisheries post-harvest operations into the national fisheries plan.

SEC. 59. Establishment of post-harvest facilities for fishing communities -- The LGUs shall coordinate with the private sector and other concerned agencies and FARMCs in the establishment of post-harvest facilities for fishing communities such as, but not limited to, municipal fish landing sites, fish ports, ice plants and cold storage and other fish processing establishments to serve primarily the needs of municipal fisherfolk: Provided, That such post-harvest facilities shall be consistent with the Comprehensive Post-Harvest and Ancillary Industries Plan. SEC. 60. Registration and licensing of all post-harvest facilities -- All post-harvest facilities such as fish processing plants, ice plants and cold storages, fish ports/landings and other fishery business establishments must register with and be licensed by the LGUs which shall prescribe minimum standards for such facilities in consultation with the Department. SEC. 61. Importation and exportation of fishery products – a.

b.

c.

d.

Export of fishery products shall be regulated whenever such exportation affects domestic food security and production: Provided, That exportation of live fish shall be prohibited except those which are hatched or propagated in accredited hatcheries and ponds; To protect and maintain the local biodiversity or ensure the sufficiency of domestic supply, spawners, breeders, eggs and fry of bangus, prawn and other endemic species, as may be determined by the Department, shall not be exported or caused to be exported by any person; Fishery products may be imported only when the importation has been certified as necessary by the Department, in consultation with the FARMC, and all the requirements of this Code, as well as all existing rules and regulations have been complied with: Provided, That fish imports for canning/ processing purposes only may be allowed without the necessary certification, but within the provisions of Section 61 (d) of this Code; and No person, shall import and/or export fishery products of whatever size, stage or for any purpose without securing a permit from the Department.

The Department in consultation with the FARMC shall promulgate rules and regulations on importation and exportation of fish and fishery/aquatic resources with the Government’s export/import simplification procedures. SEC. 62. Instruments of weights and measures, and quality grades/standards -Standards for weights, volume and other measurements for all fishery transactions shall be set by the Department. All fish and fishery products for export, import and domestic consumption shall meet the quality grades/standards as determined by the Department. The LGU concerned shall, by appropriate ordinance, penalize fraudulent practices and unlawful possession or use of instruments of weights and measures.

Chapter III Reconstitution of the Bureau of Fisheries and Aquatic Resources and Creation of Fisheries and Aquatic Resources Management Councils

ARTICLE I Reconstitution of the Bureau of Fisheries and Aquatic Resources SEC. 63. Creation of the position of Undersecretary for Fisheries and Aquatic Resources -- There is hereby created in the Department of Agriculture the position of Undersecretary for Fisheries and Aquatic Resources, solely for the purpose of attending to the needs of the fishing industry, to be appointed by the President. Such Undersecretary shall have the following functions: a.

b.

c.

d.

set policies and formulate standards for the effective, efficient and economical operations of the fishing industry in accordance with the programs of the government; exercise overall supervision over all functions and activities of all offices and instrumentalities and other offices related to fisheries including its officers; establish with the assistance of the director, such regional, provincial and other fishery offices as may be necessary and appropriate and organize the internal structure of BFAR in such manner as is necessary for the efficient and effective attainment of its objectives and purposes; and perform such other functions as may be necessary or proper to attain the objectives of this Code.

SEC. 64. Reconstitution of the BFAR - The Bureau of Fisheries and Aquatic Resources (BFAR) is hereby reconstituted as a line bureau under the Department of Agriculture.

SEC. 65. Functions of the Bureau of Fisheries and Aquatic Resources -- As a line bureau, the BFAR shall have the following functions: a. b. c. d.

e.

f. g. h.

i. j.

k.

l. m.

n.

prepare and implement a Comprehensive National Fisheries Industry Development Plan; issue licenses for the operation of commercial fishing vessels; issue identification cards free of charge to fishworkers engaged in commercial fishing; monitor and review joint fishing agreements between Filipino citizens and foreigners who conduct fishing activities in international waters, and ensure that such agreements are not contrary to Philippine commitment under international treaties and convention on fishing in the high seas; formulate and implement a Comprehensive Fishery Research and Development Program, such as, but not limited to, sea farming, sea ranching, tropical/ornamental fish and seaweed culture, aimed at increasing resource productivity, improving resource use efficiency, and ensuring the long-term sustainability of the country’s fishery and aquatic resources; establish and maintain a Comprehensive Fishery Information system; provide extensive development support services in all aspects of fisheries production, processing and marketing; provide advisory services and technical assistance on the improvement of quality of fish from the time it is caught (i.e., on board fishing vessel, at landing areas, fish markets, to the processing plants and to the distribution and marketing chain); 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 the Department of National Defense, Department of the Interior and Local Government, Department of Foreign Affairs for the efficient monitoring, control and surveillance of fishing activities within Philippine territorial waters and provide the necessary facilities, equipment and training therefor; implement an inspection system for import and export of fishery/aquatic products and fish processing establishments consistent with international standards to ensure product quality and safety; coordinate efforts relating to fishery production undertaken by the primary fishery producers, LGUs, FARMCs, fishery and organizations/cooperatives; coordinate with LGUs and other concerned agencies for the establishment of productivity enhancing and market development programs in fishing communities to enable women to engage in other fisheries/economic activities and contribute significantly to development efforts; enforce all laws, formulate and enforce all rules and regulations governing the conservation and management of fishery resources, except in municipal waters and to settle conflicts of resource use and allocation in consultation with the NFARMC, LGUs and local FARMCs;

o. p. q.

r. s.

develop value-added fishery-products for domestic consumption and export; recommend measures for the protection/enhancement of the fishery industries; assist the 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.

SEC. 66. Composition of BFAR -- As a line bureau, the BFAR shall be headed by a Director and assisted by two (2) Assistant Directors who shall supervise the administrative and technical services of the bureau respectively. It shall establish regional, provincial and municipal offices as may be appropriate and necessary to carry out effectively and efficiency the provisions of this Code. SEC. 67. Fisheries inspection and quarantine service -- For purposes of monitoring and regulating the importation and exportation of fish and fishery/aquatic resources, the Fisheries Inspection and Quarantine Service in the BFAR is hereby strengthened and shall have the following functions: a.

b.

c.

d.

e.

conduct fisheries quarantine and quality inspection of all fish and fishery/aquatic products coming into and going out of the country by air or water transport, to detect the presence of fish pest and diseases and if found to harbor fish pests or diseases shall be confiscated and disposed of in accordance with environmental standards and practices; implement international agreements/commitments on bio-safety and biodiversity as well as prevent the movement or trade of endemic fishery and aquatic resources to ensure that the same are not taken out of the country; quarantine such aquatic animals and other fishery products determined or suspected to be with fishery pests and diseases and prevent the movement or trade from and/or into the country of these products so prohibited or regulated under existing laws, rules and regulations as well as international agreements of which the Philippines is a State Party; examine all fish and fishery products coming into or going out of the country which may be a source or medium of fish pests or diseases and/or regulated by existing fishery regulations and ensure that the quality of fish import and export meet international standards; and document and authorize the movement or trade of fish and fishery products when found free of fish pests or diseases and collect necessary fees prescribed by law and regulations.

ARTICLE II THE FISHERIES AND AQUATIC RESOURCES MANAGEMENT COUNCILS (FARMCs) SEC. 68. Development of fisheries and aquatic resources in municipal waters and bays -- Fisherfolk and their organizations residing within the geographical jurisdiction of the barangays, municipalities or cities with the concerned LGUs shall develop the fishery/aquatic resources in municipal waters and bays. SEC. 69. Creation of Fisheries and Aquatic Resources Management Councils (FARMCs) -- FARMCs shall be established in the national level and in all municipalities/cities abutting municipal waters as defined by this Code. The FARMCs shall be formed by fisherfolk organizations/ cooperatives and NGOs in the locality and be assisted by the LGUs and other government entities. Before organizing FARMCs, the LGUs, NGOs, fisherfolk, and other concerned POs3 shall undergo consultation and orientation on the formation of FARMCs. SEC. 70. Creation and Composition of the National "How strange that nature does not knock, and yet does not intrude!" --Emily Fisheries and Aquatic Dickinson Resources Management Council (NFARMC) -- There is hereby created a National Fisheries and Aquatic Resources Management Council hereinafter referred to as NFARMC as an advisory/ recommendatory body to the Department. The NFARMC shall be composed of fifteen (15) members consisting of: a. b. c. d. e. f.

3

the Undersecretary of Agriculture, as Chairman; the Undersecretary of the Interior and Local Government; five (5) members representing the fisherfolk and fishworkers; five (5) members representing commercial fishing and aquaculture operators and the processing sectors; two (2) members from the academe; and one (1) representative of NGOs involved in fisheries.

People’s Organization.

The members of the NFARMC, except for the Undersecretary of Agriculture and the Undersecretary of the Interior and Local Government shall be appointed by the President upon the nomination of their respective organizations. SEC. 71. Terms of office -- The members of NFARMC, except the Undersecretary of Agriculture and the Undersecretary of the Interior and Local Government, shall serve for a term of three (3) years without reappointment. SEC. 72. Functions of the NFARMC -- The NFARMC shall have the following functions: a.

b. c.

assist in the formulation of national policies for the protection, sustainable development and management of fishery and aquatic resources for the approval of the Secretary; assist the Department in the preparation of the National Fisheries and Industry Development Plan; and perform such other functions as may be provided by law.

SEC. 73. The Municipal/City Fisheries and Aquatic Resources Management Councils (M/CFARMCs) -- The M/CFARMCs shall be created in each of the municipalities and cities abutting municipal waters. However, the LGU may create the Barangay Fisheries and Aquatic Resources Management Councils (BFARMCs) and the Lakewide Fisheries and Aquatic Resources Management Councils (LFARMCs) whenever necessary. Such BFARMCs and LFARMCs shall serve in an advisory capacity to the LGUs. SEC. 74. Functions of the M/CFARMCs -- The M/CFARMCs shall exercise the following functions: a. b.

c. d. e.

assist in the preparation of the Municipal Fishery Development Plan and submit such plan to the Municipal Development Council; recommend the enactment of municipal fishery ordinances to the sangguniang bayan/sangguniang panlungsod through its Committee on Fisheries; assist in the enforcement of fishery laws, rules and regulations in municipal waters; advise the sangguniang bayan/panlungsod on fishery matters through its Committee on Fisheries, if such has been organized; and perform such other functions which may be assigned by the sangguniang bayan/panlungsod.

SEC. 75. Composition of the M/CFARMC -- The regular member of the M/CFARMCs shall be composed of: a. b.

Municipal/City Planning Development Office; Chairperson, Agriculture/Fishery Committee of the Sangguniang

c. d. e. f. g.

Bayan/Panlungsod; representative from the accredited non-government organization; representative from the Municipal/City Development Council; representative from the private sector; representative from the Department of Agriculture; and at least eleven (11) fisherfolk representatives (seven (7) municipal fisherfolk, one (1) fishworker and three (3) commercial fishers) in each municipality/city which include representatives from youth and women sector.

The Council shall adopt rules and regulations necessary to govern its proceedings and election. SEC. 76. The Integrated Fisheries and Aquatic Resources Management Councils (IFARMCs) -- The IFARMCs shall be created in bays, gulfs, lakes and rivers and dams bounded by two (2) or more municipalities/cities. SEC. 77. Functions of the IFARMCs -- The IFARCs shall have the following functions: a. b.

c. d. e.

assist in the preparation of the Integrated Fishery Development Plan and submit such plan to the concerned Municipal Development Council; recommend the enactment of integrated fishery, ordinances to the concerned sangguniang bayan/panlungsod through its Committee on Fisheries, if such has been organized; assist in the enforcement of fishery laws, rules and regulations in concerned municipal waters; advise the concerned sangguniang bayan/panlungsod on fishery matters through its Committee on Fisheries, if such as has been organized; and perform such other functions which may be assigned by the concerned sangguniang bayan/panlungsod.

SEC. 78. Composition of the IFARMCs -- The regular members of the IFARMCs shall be composed of the following: a. b. c. d. e. f.

the chairperson of the Committee on Agriculture/Fisheries of the concerned sangguniang bayan/panlungsod; the Municipality/City Fisheries Officers of the concerned municipalities/cities; the Municipal/City Development Officers of the concerned municipalities/cities; one (1) representative from NGO; one (1) representative from private sector; and at least nine (9) representatives from the fisherfolk sector which will include representatives from the youth and women sector.

The Council shall adopt rules and regulations necessary to govern its proceedings and election. SEC. 79. Source of funds of the FARMCs -- A separate fund for the NFARMC, IFARMCs and MCFARMCs shall be established and administered by the Department from the regular annual budgetary appropriations.

Chapter IV Fishery Reserves, Refuge And Sanctuaries SEC. 80. Fishing areas reserves for exclusive use of government -- The Department may designate an area or areas in Philippine waters beyond fifteen (15) kilometers from shoreline as fishery reservation for the exclusive use of the government or any of its political subdivisions, agencies or instrumentalities, for propagation, educational research and scientific purposes: Provided, That in municipalities or cities, the concerned LGUs in consultation with the FARMCs may recommend to the Department that portions of the municipal waters be declared as fishery reserves for special or limited use, for educational research, and/or special management purposes. The FARMCs may recommend to the Department portions of the municipal waters which can be declared as fisheries reserves for special or limited use for educational, research and special management purposes. SEC. 81. Fish refuge and sanctuaries -- The Department may establish fish refuge and sanctuaries to be administered in the manner to be prescribed by the BFAR at least twenty-five percent (25%) but not more than forty percent (40%) of bays, foreshore lands, continental shelf or any fishing ground shall be set aside for the cultivation of mangroves to strengthen the habitat and the spawning grounds of fish. Within these areas no commercial fishing shall be allowed. All marine fishery reserves, fish sanctuaries and mangrove swamp reservations already declared or proclaimed by the President or legislated by the Congress of the Philippines shall be continuously administered and supervised by the concerned agency: Provided, however, That in municipal waters, the concerned LGU in consultation with the FARMCs may establish fishery refuge and sanctuaries. The FARMCs may also recommend fishery refuge and sanctuaries: Provided, further, That at least fifteen percent (15%) where applicable of the total coastal areas in each municipality shall be identified, based on the best available scientific data and in consultation with the Department and automatically designated as fish sanctuaries by the LGUs in consultation with the concerned FARMCs.

Chapter V Fisheries Research and Development

SEC. 82. Creation of a National Fisheries Research and Development Institute (NFRDI) -- In recognition of the important role of fisheries research in the development, management, conservation and protection of the country’s fisheries and aquatic resources, there is hereby created a National Fisheries Research and Development Institute (NFRDI). The Institute shall form part of the National Research and Development Network of the Department of Science and Technology (DOST). The Institute, which shall be attached to the Department, shall serve as the primary research arm of the BFAR. The overall governance of the Institute shall be vested in the Governing Board which shall formulate policy guidelines for its operation. The plans, programs and operational budget shall be passed by the Board. The Board may create such committees as it may deem necessary for the proper and effective performance of its functions. The composition of the Governing Board shall be as follows: a. b. c. d. e. f.

Undersecretary for Fisheries – Chairman BFAR Director – Vice-Chairman NFRDI Executive Director – Member PCAMRD Executive Director – Member Representative from the academe – Member four (4) representatives from the private sector who shall come from the following subsectors: - Members (1) Municipal Fisherfolk (2) Commercial Fishing Operator (3) Aquaculture Operator (4) Post-Harvest/Processor

The NFRDI shall have a separate budget specific to its manpower requirements and operations to ensure the independent and objective implementation of its research activities. SEC. 83. Qualification standard -- The Institute shall be headed by an Executive Director to be appointed by the President of the Philippines upon the recommendation of the governing board. The Executive Director shall hold a Doctorate degree in fisheries and/or other related disciplines. The organizational structure and staffing pattern shall be approved by the Department: Provided, however, That the staffing pattern and remunerations for scientific and technical staff shall be based on the qualification standards for science and technology personnel. SEC. 84. Research and development objectives -- Researches to be done by the NFRDI are expected to result in the following: a.

To raise the income of the fisherfolk and to elevate the Philippines among the top five (5) in the world ranking in the fish productions;

b. c. d.

to make the country’s fishing industry in the high seas competitive; to conduct social research on fisherfolk families for a better understanding of their conditions and needs; and to coordinate with the fisheries schools, LGUs and private sectors regarding the maximum utilization of available technology, including the transfer of such technology to the industry particularly the fisherfolk.

SEC. 85. Functions of the NFRDI -- As a national institute, the NFRDI shall have the following functions: a.

b.

c. d.

e.

establish a national infrastructure unit complete with technologicallyadvanced features and modern scientific equipment which shall facilitate, monitor, and implement various research needs and activities of the fisheries sector; provide a venue for intensive training and development of human resources in the field of fisheries, a repository of all fisheries researches and scientific information; provide intensive training and development of human resources in the field of fisheries for the maximum utilization of available technology; hasten the realization of the economic potential of the fisheries sector by maximizing developmental research efforts in accordance with the requirements of the national fisheries conservations and development programs, also possibly through collaborative effort with international institutions; and formally establish, strengthen and expand the network of fisheriesresearching communities through effective communication linkages nationwide.

Chapter VI Prohibitions and Penalties SEC. 86. Unauthorized fishing or engaging in other unauthorized fisheries activities -- No person shall exploit, occupy, produce, breed, culture, capture or gather fish, fry or fingerlings of any fishery species or fishery products, or engage in any fishery activity in Philippine waters without a license, lease or permit. Discovery of any person in an area where he has no permit or registration papers for a fishing vessel shall constitute prima facie presumption that the person and/or vessel is engaged in unauthorized fishing: Provided¸ That fishing for daily food sustenance or for leisure which is not for commercial, occupation or livelihood purposes may be allowed. It shall be unlawful for any commercial fishing vessel to fish in bays and in such other fishery management areas which may hereinafter be declared as overexploited.

Any commercial fishing boat captain or the three (3) highest officers of the boat who commit any of the above prohibited acts upon conviction shall be punished by a fine equivalent to the value of catch or Ten thousand pesos (P10,000.00) whichever is higher, and imprisonment of six (6) months, confiscation of catch and fishing gears, and automatic revocation of license. It shall be unlawful for any person not listed in the registry of municipal fisherfolk to engage in any commercial fishing activity in municipal waters. Any municipal fisherfolk who commit such violation shall be punished by confiscation of catch and a fine of Five hundred pesos (P500.00). SEC. 87. 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. The entry of any foreign fishing vessel in Philippine waters shall constitute prima facie evidence that the vessel is engaged in fishing in Philippine waters. Violation of the above shall be punished by a fine of One hundred thousand U.S. Dollars (US$100,000.00), in addition to the confiscation of its catch, fishing equipment and fishing vessel: Provided, That the Department is empowered to impose an administrative fine of not less than Fifty thousand U.S. Dollars (US$50,000.00) or not more than Two hundred thousand (US$200,000.00) or its equivalent in Philippine Currency. SEC. 88. Fishing through explosives, noxious or poisonous substance, and/or electricity 1. It shall be unlawful for any person to catch, take or gather or cause to be caught, taken or gathered, fish or any fishery species in Philippine waters with the use of electricity, explosives, noxious or poisonous substance such as sodium cyanide in the Philippine fishery areas, which will kill, stupefy, disable or render unconscious fish or fishery species: Provided, That the Department, subject to such safeguards and conditions deemed necessary and endorsement from the concerned LGUs, may allow, for research, educational or scientific purposes only, the use of electricity, poisonous or noxious substances to catch, take or gather fish or fishery species: Provided, further, That the use of poisonous or noxious substances to eradicate predators in fishponds in accordance with accepted scientific practices and without causing adverse environmental impact in neighboring waters and grounds shall not be construed as illegal fishing. It will likewise be unlawful for any person, corporation or entity to possess, deal in, sell or in any manner dispose of, any fish or fishery species which have been illegally caught, taken or gathered.

2.

3.

4.

5.

The discovery of dynamite, other explosives and chemical compounds which contain combustible elements, or noxious or poisonous substances, or equipment or device for electro-fishing in any fishing vessel or in the possession of any fisherfolk, operator, fishing boat official or fishworker shall constitute prima facie evidence, that the same was used for fishing in violation of this Code. The discovery in any fishing vessel of fish caught or killed with the use of explosive, noxious or poisonous substances or by electricity shall constitute prima facie evidence that the fisherfolk, operator, boat official or fishworker is fishing with the use thereof. Mere possession of explosive, noxious or poisonous substances or electrofishing devices for illegal fishing shall be punishable by imprisonment ranging from six (6) months to two (2) years. Actual use of explosives, noxious or poisonous substances or electrofishing devices for illegal fishing shall be punishable by imprisonment ranging from five (5) years to ten (10) years without prejudice to the filing of separate criminal cases when the use of the same results to physical injury or loss of human life. Dealing in, selling, or in any manner disposing of, for profit, illegally caught/gathered fisheries species shall be punished by imprisonment ranging from six (6) months to two (2) years. In all cases enumerated above, the explosives, noxious or poisonous substances and/or electrical devices, as well as the fishing vessels, fishing equipment and catch shall be forfeited.

SEC. 89. Use of fine mesh net -- It shall be unlawful to engage in fishing using nets with mesh smaller than that which may be fixed by the Department: Provided, That the prohibition of the use of fine mesh net shall not apply to the gathering of fry, glass eels, elvers, tabios, and alamang and such species which by their nature are small but already mature to be identified in the implementing rules and regulations by the Department. Violation of the above shall subject the offender to a fine from Two thousand pesos (P2,000.00) to Twenty thousand pesos (P20,000.00) or imprisonment from six (6) months to two (2) years or both such fine and imprisonment at the discretion of the court: Provided, That if the offense is committed by a commercial fishing vessel, the boat captain and the master fisherman shall also be subject to the penalties provided herein: Provided, further, That the owner/operator of the commercial fishing vessel who violates this provision shall be subjected to the same penalties provided herein: Provided, finally, That the Department is hereby empowered to impose upon the offender an administrative fine and/or cancel his permit or license or both. SEC. 90. Use of active gear in the municipal waters and bays and other fishery management areas -- It shall be unlawful to engage in fishing in municipal waters and in all bays as well as other fishery management areas using active fishing gears as defined in this Code.

Violators of the above prohibitions shall suffer the following penalties: 1.

2.

3.

The boat captain and master fisherman of the vessels who participated in the violation shall suffer the penalty of imprisonment from two (2) years to six (6) years; The owner/operator of the vessel shall be fined from Two thousand pesos (P2,000.00) to Twenty thousand pesos (P20,000.00) upon the discretion of the court. If the owner/operator is a corporation, the penalty shall be imposed on the chief executive officer of the Corporation. The catch shall be confiscated and forfeited.

SEC. 91. Ban on coral exploitation and exportation -- It shall be unlawful for any person or corporation to gather, possess, sell or export ordinary, precious and semi-precious corals, whether raw or in processed form, except for scientific or research purposes. Violations of this provision shall be punished by imprisonment from six (6) months to two (2) years and a fine from Two thousand pesos (P2,000.00) to Twenty thousand pesos (P2,000.00), or both such fine and imprisonment, at the discretion of the court, and forfeiture of the subject corals, including the vessel and its proper disposition. The confiscated corals shall either be returned to the sea or donated to schools and museums for educational or scientific purposes or disposed through other means. SEC. 92. Ban on Muro-Ami, other methods and gear destructive to coral reefs and other marine habitat -- It shall be unlawful for any person, natural or juridical, to fish with gear method that destroys coral reefs, seagrass beds, and other fishery marine life habitat as may be determined by the Department. “Muro-ami” and any of its variation, and such similar gear and methods that require diving, other physical or mechanical acts to pound the coral reefs and other habitat to entrap, gather or catch fish and other fishery species are also prohibited. The operator, boat captain, master fisherman, and recruiter or organizer of fishworkers who violate this provisions shall suffer a penalty of two (2) years to ten (10) years imprisonment and a fine of not less than One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) or both fine and imprisonment, at the discretion of the court. The catch and gear used shall be confiscated.

It shall likewise be unlawful for any person or corporation to gather, sell or export white sand, silica, pebbles and any other substances which make up any marine habitat. The person or corporation who violates this provision shall suffer a penalty of two (2) years to ten (10) years imprisonment and a fine of not less than One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) or both such fine and imprisonment, at the discretion of the court. The substance taken from its marine habitat shall be confiscated. SEC. 93. Illegal use of superlights -- It shall be unlawful to engage in fishing with the use of superlights in municipal waters or in violation of the rules and regulations which may be promulgated by the Department on the use of superlights outside municipal waters. Violations of this provision shall be punished by imprisonment from six (6) months to two (2) years and a fine of Five thousand pesos (P5,000.00) per superlight, or both such fine and imprisonment, at the discretion of the court. The superlight, fishing gears and vessel shall be confiscated. SEC. 94. Conversion of mangroves -- It shall be unlawful for any person to convert mangroves into fishponds or for any other purposes. Violation of the provision of this section shall be punished by imprisonment of six (6) years and one (1) day to twelve (12) years and/or a fine of Eighty thousand pesos (P80,000.00): Provided, That if the area requires rehabilitation or restoration as determined by the court, the offender should also be required to restore or compensate for the restoration of the damage. SEC. 95. Fishing in overfished area and during closed season -- It shall be unlawful to fish in overfished area and during closed season. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one day (1) day to six (6) years and/or fine of Six thousand pesos (P6,000.00) and by forfeiture of the catch and cancellation of fishing permit or license. SEC. 96. Fishing in fishery reserves, refuge and sanctuaries -- It shall be unlawful to fish in fishery areas declared by the Department as fishery reserves, refuge and sanctuaries. Violation of the provision of this section shall be punished by imprisonment of two (2) years to six (6) years and/or fine of Two thousand pesos (P2,000.00) and by forfeiture of the catch and cancellation of fishing permit or license.

SEC. 97. Fishing or taking of rare, threatened or endangered species -- It shall be unlawful to fish or take rare, threatened or endangered species as listed in the CITES and as determined by the Department.

Violation of the provision of this section shall be punished by imprisonment of twelve (12) years to twenty (20) years and/or a fine of One hundred and twenty thousand pesos (P120,000.00) and forfeiture of the catch, and the cancellation of fishing permit. SEC. 98. Capture of sabalo and other breeders/spawners -- It shall be unlawful for any person to catch, gather, capture or possess mature milkfish or “sabalo” and such other breeders or spawners of other fishery species as may be determined by the Department: Provided That catching of “sabalo” and other breeders/spawners for local breeding purposes or scientific or research purposes may be allowed subject to guidelines to be promulgated by the Department. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one (1) day to eight (8) years and/or a fine of Eighty thousand pesos (P80,000.00) and forfeiture of the catch, and fishing equipment used and revocation of license. SEC. 99. Exportation of breeders, spawners, eggs or fry -- Exportation of breeders, spawners, eggs or fry as prohibited in this Code shall be punished by imprisonment of eight (8) years, confiscation of the same or a fine equivalent to double the value of the same, and revocation of the fishing and/or export license permit.

"For I have learned to look on nature, not as in the hour of thoughtless youth, but hearing oftentimes the still, sad music of humanity." -- William Wordsworth

SEC. 100. Importation or exportation of breeders, fish or fishery species -Any importation or exportation of fish or fisheries species in violation of this Code shall be punished by eight (8) years of imprisonment, a fine of Eighty thousand pesos (P80,000.00) and destruction of live fishery species or forfeiture of

non-live fishery species in favor of the Department for its proper disposition: Provided, That violator of this provision shall be banned from being members or stock holders of companies currently engaged in fisheries or companies to be created in the future, the guidelines for which shall be promulgated by the Department. SEC. 101. Violation of catch ceilings -- It shall be unlawful for any person to fish in violation of catch ceilings as determined by the Department. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one day (1) day to six (6) years and/or fine of Fifty thousand pesos (P50,000.00) and by forfeiture of the catch, and fishing equipment used and revocation of license. SEC. 102. Aquatic pollution -- Aquatic pollution, as defined in this Code shall be unlawful. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one day (1) day to twelve (12) years and/or fine of Eighty thousand pesos (P80,000.00) plus an additional fine of Eight thousand pesos (P8,000.00) per day until such violation ceases and the fines paid. SEC. 103. Other violations -- The following fisheries activities shall also be considered as a violation of this Code: a.

b.

Failure to Comply with Minimum Safety Standards -- The owner and captain of a commercial fishing vessel engaged in fishing who, upon demand by proper authorities, fails to exhibit or show proof of compliance with the safety standards provided in this Code, shall be immediately prevented from continuing with his fishing activity and escorted to the nearest port or landing point. The license to operate the commercial fishing vessel shall be suspended until the safety standard has been complied with. Failure to Conduct a Yearly Report on all Fishponds, Fish Pens and Fish Cages -- The FLA of the holder who fails to render a yearly report shall be immediately cancelled: Provided, That if the offender be the owner of the fishpond, fish pen or fish cage, he shall be subjected to the following penalties: 1. 2.

c.

first offense, a fine of Five hundred pesos (P500.00) per unreported hectare; subsequent offenses, a fine of One thousand pesos (P1,000.00) per unreported hectare.

Gathering and Marketing of Shell Fishes -- It shall be unlawful for any person to take, sell, transfer, or have in possession for any purpose any

d.

e.

shell fish which is sexually mature or below the minimum size or above the maximum quantities prescribed for the particular species. Obstruction to Navigation or Flow and Ebb of Tide in any Stream, River, Lake or Bay -- It shall be unlawful for any person who causes obstruction to navigation or flow or ebb of tide. Construction and Operation of Fish Corrals/Traps, Fish Pens and Fish Cages -- It shall be unlawful to construct and operate fish, corrals/traps, fish pens and fish cages without a license/ permit.

Subject to the provision of subparagraph (b) of this section, violation of the above-enumerated prohibited acts shall subject the offender to a fine ranging from Two thousand pesos (P2,000.00) to Ten thousand pesos (P10,000.00) or imprisonment from one (1) month and one (1) day to six (6) months, or both such fine and imprisonment, upon the discretion of the court: Provided, That the Secretary is hereby empowered to impose upon the offender an administrative fine of not more than Ten thousand pesos (P10,000.00) or to cancel his permit or license, or to impose such fine and to cancel his permit and license, in the discretion of the Secretary: Provided, further, That the Secretary, or his duly authorized representative, and law enforcement agents are hereby empowered to impound with the assistance of the Philippine Coast Guard, PNP-Maritime Command: Provided, finally, That any person who unlawfully obstructs or delays the inspection and/or movement of fish and fishery/aquatic products when such inspection and/or movement is authorized under this Code, shall be subject to a fine of not more than Ten thousand pesos (P10,000.00) or imprisonment of not more than two (2) years, or both such fine and imprisonment, upon the discretion of the court. Every penalty imposed for the commission of an offense shall carry with it the forfeiture of the proceeds of such offense and the instruments or tools with which it was committed. Such proceeds and instruments or tools shall be confiscated and forfeited in favor of the Government, unless they be the property of a third person not liable for the offense, but those articles which are not subject of lawful commerce shall be destroyed. SEC. 104. Commercial fishing vessel operators employing unlicensed fisherfolk or fishworker or crew -- The owner/operator of a commercial fishing vessel employing unlicensed fisherfolk or fishworker shall be fined Five hundred pesos (P500.00) each for every month that the same has been employed and/or One thousand pesos (P1,000.00) for every month for each unlicensed crew member who has been employed. SEC. 105. Obstruction of defined migration paths -- Obstruction of any defined migration paths of anadromous, catadromous and other migratory species in areas including, but not limited to river mouths and estuaries within a distance determined by the concerned FARMCs shall be punished by imprisonment of

seven (7) years to twelve (12) years or a fine from Fifty thousand pesos (P50,000.00) to One hundred thousand pesos (P100,000.00) or both imprisonment and fine at the discretion of the court, and cancellation of permits/license, if any, and dismantling of obstruction shall be at his own expense and confiscation of same. SEC. 106. Obstruction to fishery law enforcement officer -- The boat, owner, master or operator or any person acting on his behalf of any fishing vessel who evades, obstructs or hinders any fishery law enforcement officer of the Department to perform his duty, shall be fined Ten thousand pesos (P10,000.00). In addition, the registration, permit and/or license of the vessel including the license of the master fisherman shall be canceled. SEC. 107. Promulgation of administrative orders -- For purposes of fishery regulation or other fishery adjustments, the Department in consultation with the LGUs and local FARMCs shall issue Fishery Administrative Orders or regulations for the conservation, preservation, management and sustainable development of fishery and aquatic resources.

Chapter VII General Provisions SEC. 108. Fisherfolk settlement areas -- The Department shall establish and create fisherfolk settlement areas in coordination with concerned agencies of the government, where certain areas of the public domain, specifically near the fishing grounds, shall be reserved for the settlement of the municipal fisherfolk. Nothing in this section shall be construed to vest ownership of any resettlement area to a municipal fisherfolk for whom said areas may have been reserved for or had been actually granted to. SEC. 109. Municipal fisheries grant fund - For the development, management and conservation of the municipal resources, there is hereby created a Fishery Grand Fund to finance fishery projects of the LGUs primarily for the upliftment of the municipal fisherfolk. The amount of One hundred million pesos (P100,000,000.00) is hereby appropriated out of the Department’s allocation in the General Appropriations Act (GAA) to support the Grand Fund. For this purpose, the Department may seek financial assistance from any source and may receive any donation therefor. SEC. 110. Fishery loan and guarantee fund -- Pursuant to Section 7, Article XIII of the Constitution, there is hereby created a Fishery Loan and Guarantee Fund with an initial of One hundred million pesos (P100,000,000.00), which shall be administered by the Land Bank of the Philippines. The fund shall be made

available for lending to qualified borrowers to finance the development of the fishery industry under a program to be prescribed by the Department. For the same purpose, the Department may seek financial assistance from any source and may receive any donation therefrom. SEC. 111. Fishing vessels development fund -- There is hereby created a Fishing Vessel’s Development Fund to enhance the building and/or acquisition of fishing vessels. This shall be a long-term loan facility that shall be administered by the Development Bank of the Philippines. The amount of Two hundred and fifty million pesos (P250,000,000.00) per year for five (5) years is hereby appropriated out of the Department’s allocation in the GAA to support this Development Fund. SEC. 112. Special fisheries science and approfishtech fund -- The Department shall provide subsidy for full technical and financial support to the development of appropriate technology, both in fishery and ancillary industries, that are ecologically sound, locally source-based and labor intensive, based on the requirement and needs of the FARMCs. An initial amount of One hundred million pesos (P100,000,000.00) shall be authorized for the purpose of a Special Fisheries Science and Approfishtech Fund, and thereafter shall be included in the GAA. SEC. 113. Aquaculture investment fund -- An aquaculture Investment Fund in the minimum amount of Fifty million pesos (P50,000,000.00) shall be established for soft loans which shall be extended to municipal fisherfolk and their organization who will engage in aquaculture, and for the development of underdeveloped or underutilized inland fishponds. SEC. 114. Other fisheries financing facilities -- In addition to fisheries credit guarantee, grant and other similar facilities granted under this Code, qualified Filipino fisherfolk and fisheries enterprises shall enjoy such other facilities granted them under existing and/or new laws, especially as to rural credit, with preference being given to fisheries cooperatives. SEC. 115. Professionalization of fisheries graduates -- There is hereby created a Fisheries Board of Examiners in the Professional Regulation Commission to upgrade the Fisheries Profession: Provided, however, That those who have passed the Civil Service Examination for Fisheries shall automatically be granted eligibility by the Fisheries Board of Examiners: Provided, further, That they have served the industry in either public or private capacity for not less than five (5) years: Provided, finally, That the first Board Examination for B.S. Fisheries Graduates shall be conducted within one (1) year from the approval of this Code. SEC. 116. Upgrading of state fisheries school/colleges -- The Department, in coordination with the Commission on Higher Education (CHED), Department of Education, Culture and Sports (DECS), and Technical Education and Skills Development Authority (TESDA), shall upgrade State Fisheries Schools/Colleges

which provide both formal and non-formal education: Provided, however, that the CHED shall incorporate Approfishtech in the curricula of fisheries schools/colleges. The Department and the CHED shall jointly formulate standards to upgrade all fisheries schools/colleges. Fisheries schools/colleges that do not meet minimum standards shall be closed. SEC. 117. Inclusion of fisheries conservation subjects in school curriculum -Fisheries conservation subjects shall be incorporated in the curricula of elementary and secondary schools both private and public. SEC. 118. Educational campaign at all levels -- The Department, the CHED, the DECS and the Philippine Information Agency shall launch and pursue a nationwide educational campaign to: a. b. c. d.

help realize the policies and implement the provisions of this Code; promote the development, management, conservation and proper use of the environment; promote the principle of sustainable development; and promote the development of truly Filipino-oriented fishing and ancillary industries

SEC. 119. Infrastructure support -- The Department in cooperation with concerned agencies shall: a. b.

c.

d.

e. f. g.

prepare and implement a nationwide plan for the development of municipal fishing ports and markets; prioritize the construction of farm-to-market roads linking the fisheries production sites, coastal landing points and other post-harvest facilities to major markets and arterial roads/highways; identify community infrastructure facilities such as fish landing ports, ice plant and cold storage facilities in consultation with fishery cooperatives/associations and prepare plans and designs for their construction that would be consistent with international environmental standards and occupational safety in sanitation and environmental impact; establish and maintain quality laboratories in major fish ports and prescribe the highest standards for the operation and maintenance of such postharvest facilities; arrange and make representations with appropriate funding institutions to finance such facilities for the use of the fishery cooperatives/associations; develop and strengthen marketing facilities and promote cooperative marketing systems; and promote and strengthen local fisheries ship-building and repair industry.

SEC. 120. Extension services -- The Department shall develop cost-effective, practical and efficient extension services on a sustained basis, in addition to those provided by state educational institutions, especially to municipal fisherfolk in undeveloped areas, utilizing practicable and indigenous resources and government agencies available, and based upon a system of self-reliance and self-help. SEC. 121. Protection of sensitive technical information -- The Department shall take such measures as may be necessary in order to protect trade, industrial and policy information of Filipino fisherfolk fisheries owners/operators, entrepreneurs, manufacturers and researchers, when disclosure of such information will injure the competitiveness or viability of domestic fisheries. SEC. 122. Assistance in collective information -- The Department, in coordination with other government entities concerned, may require Filipino representatives abroad and foreign-based personnel to assist in the collection of fisheries data and information. SEC. 123. Charting of navigational lanes and delineation of municipal waters – The Department shall authorize the National Mapping and Resource Information Authority (NAMRIA) for the designation and charting of navigational lanes in fishery areas and delineation of municipal waters. The Philippine Coast Guard shall exercise control and supervision over such designated navigational lanes. SEC. 124. Persons and deputies authorized to enforce this code and other fishery laws, rules and regulations -- The law enforcement officers of the Department, the Philippine Navy, Philippine Coast Guard, Philippine National Police (PNP), PNP-Maritime Command, law enforcement officers of the LGUs and other government enforcement agencies, are hereby authorized to enforce this Code and other fishery laws, rules and regulations. Other competent government officials and employees, punong barangays and officers and members of fisherfolk associations who have undergone training on law enforcement may be designated in writing by the Department as deputy fish wardens in the enforcement of this Code and other fishery laws, rules and regulations. SEC. 125. Strengthening prosecution and conviction of violators of fishery laws - The Department of Justice (DOJ) shall embark on a program to strengthen the prosecution and conviction aspects of fishery law enforcement through augmentation of the current complement of state prosecutors and through their continuous training and reorientation on fishery laws, rules and regulations. SEC. 126. Foreign grants and aids -- All foreign grants, aids, exchange programs, loans, researches and the like shall be evaluated and regulated by the Department to ensure that such are consistent with the Filipinization, democratization and industrialization of fishing industry and the development of the entire country.

SEC. 127. Mandatory review -- The Congress of the Philippines shall undertake a mandatory review of this Code at least once every five (5) years and as often as it may deem necessary, to ensure that fisheries policies and guidelines remain responsive to changing circumstances.

Chapter VIII Transitory Provisions SEC. 128. Moratoria -- The Department shall, upon the recommendation of the Bureau, have the power to declare a moratorium on the issuance of licenses for commercial fishing vessels to operate in specified area or areas in Philippine waters for a limited period of time if there are indications of overfishing brought about by a decrease in the volume and sizes of fish caught therein or for, conservation or ecological purposes. No new licenses and similar privileges on exploitation of specific fisheries areas in Philippine waters and aquaculture production areas shall be issued in accordance with this Code. Such moratoria shall not exceed five (5) years from the effectivity of this Code. SEC. 129. Formulation of implementing rules and regulations -- An Inter-Agency Committee is hereby created to formulate rules and regulations for the full implementation of this Code within ninety (90) days of its effectivity: Provided, however, That the formulated rules and regulations shall be submitted to both Houses of Congress for information and guidance. Such rules and regulations shall take effect upon publication in a newspaper of general circulation. The Inter-Agency Committee shall be composed of the following: a. b. c. d. e. f. g. h. i. j. k. l. m.

Secretary of Agriculture as Chairman; Secretary of the Interior and Local Government; Secretary of Environment and Natural Resources; Secretary of Justice; Secretary of Finance; Secretary of Budget and Management; Secretary of Labor and Employment Secretary of National Defense; Commissioner of Civil Service Commission; Director of BFAR; Executive Director of PCAMRD; General Manager of PFDA; One (1) representative from each of the following:

a.1.

The League of Provinces;

a.2. a.3. a.4.

The League of Cities The League of Municipalities; The Liga ng mga Barangay;

n. o. p.

Representative of the municipal fisherfolk; Representative of the commercial fishers; Representative of the non-government organizations involved in fishing concerns; and A representative from the academe coming from the specialized fisheries institution.

q.

Chapter IX Final Provisions SEC. 130. Appropriation -- The sum necessary to effectively carry out the provisions of this Act during the first year of implementation shall be sourced from the budget of the DA/BFAR and other agencies performing fisheries-related functions: Provided, however, That such amount as may be necessary to carry out the provisions of Sections 79, 109, 110, 111, 112, 113 are hereby appropriated out of the unappropriated funds of the National Treasury. The Congress of the Philippines shall provide for the appropriations of the Department, the BFRDI and the Fisheries Scholarship Program for the succeeding years to be included in the annual GAA. SEC. 131. Repealing Clause -- Presidential Decree No. 704 amended by Presidential Decree No. 1015 and 1058, Presidential Decree No. 977, as amended, Executive Order No. 967, series of 1984, Executive Order No. 116, Series of 1987, Executive Order No. 292, Series of 1987, Executive Order No. 473, Series of 1991, and other existing laws except Republic Act No. 7611, decrees, executive orders, and rules and regulations or parts thereof, which are inconsistent with this Code, are hereby repealed or modified accordingly. SEC. 132. Separability clause -- If any portion or provision of this Code is declared unconstitutional or invalid, the other portions of provisions hereof, which are not affected thereby, shall continue to be in full force and effect. SEC. 133. Effectivity -- This Code shall take effect fifteen (15) days after its publication in the Official Gazette or in two (2) newspapers of general publication. Approved: February 19, 1998.

Protected Species

Dolphins (FAO No. 185, 1992) Pursuant to Sections 4 and 7 of P. D. No. 704, as amended, and the Convention on International Trade of Endangered Species (CITES) the following rules and regulations for the protection and conservation of dolphins in Philippine waters are hereby promulgated: SECTION 1. Definition.4 - As used in this Order, the following terms are defined, as follows: a.

b. c. d. e. f. g.

Dolphins. -. Any of certain small- "All animals except man know that the ultimate of life is to toothed marine mammals of the enjoy it" --Samuel Butler Order Cetacea having beaklike snouts, the neck vertebrae of which is partially fused. Take or catch - includes the killing, capturing, trapping, snaring and netting of dolphins. Sell - includes barter, exchange, or offering or exposing for sale. Purchase - means to buy and includes agreeing or offering to buy. Possess - means to have actual or constructive possession or control thereof. Transport - means to carry or move or cause to be carried or moved. Export - means to send or ship out of the country.

SEC. 2. Prohibition.5 - It shall be unlawful to take or catch dolphins in Philippine waters or to sell, purchase, possess, transport, or export the same whether dead or alive, in any state or form whether raw or processed: Provided, That the Secretary of Agriculture, upon the recommendation of the Director of Fisheries and Aquatic Resources, may issue a special permit in favor of any government or private agency or institution engaged in research work on dolphins, including those to be used for exhibition or show purposes subject to such terms and conditions as the said Secretary may deem wise to impose. It shall, likewise, be unlawful to wound or kill dolphins in the course of catching other species of fish. Dolphins, which are accidentally included in the catch by any gear shall immediately be released unharmed in the sea; otherwise, the liability shall be deemed to still exist. Dead dolphins that are washed to the 4 5

As amended by Sec. 1, FAO Admin. Order No. 185-1, July 25, 1997. As amended by Sec. 2, FAO Admin. Order No. 185-1, July 25, 1997.

seashore shall be surrendered to nearest Department of Agriculture Office for proper disposition. SEC. 3. Penalty. - Violation of this Order shall subject the offender to a fine of not less than five hundred (P500.00) pesos to not more than five thousand (P5,000.00) pesos or imprisonment from six (6) months to four (4) years, or both such fine and imprisonment in the discretion of the Court: Provided, That the Director of Fisheries and Aquatic Resources is hereby empowered to impose upon the offender an administrative fine of not more than five thousand (P5,000.00) pesos or to cancel his permit or license or to impose such fine and to cancel his permit or license at his discretion including the confiscation of the dolphins for proper disposition of the government. SEC. 4. Effectivity. - This Order shall take effect fifteen (15) days after its publication in the Official Gazette and/or in two (2) newspapers of general circulation. Issued on this 16th day of December, 1992.

Whale Sharks and Manta Rays (FAO No. 193, 1998) Pursuant to Sections 65 and 107 of RA No. 8550 otherwise known as the Philippine Fisheries Code of 1998, the following rules and regulations for the protection and conservation of whale sharks and manta rays in Philippine waters are hereby promulgated: SECTION 1. Definition – The terms used herein shall be construed as follows: a.

Whale shark – a large elasmobranch of the family Rhincodontidae, of the species Rhincodon typus characterized externally by a broad, flattened head, a "Butanding" are regular visitors of Donsol from November to May. very large and nearly terminal mouth, very large gill slits, three prominent longitudinal ridges on its upper flanks, a large first dorsal fin, a semi-lunate caudal fin and a unique “checkerboard” pattern of light spots and stripes on a dark background

b. c. d. e. f. g.

Manta Rays – a large elasmobranch of the family Mobulidae, synonymous with the giant Atlantic manta (Manta birostris). Take or catch – includes the killing, capturing, trapping, snaring and netting of whale shark and manta rays. Sell – includes barter, exchange, or offering or exposing for sale. Possess – means to have actual or constructive possession or control thereof. Transport – means to carry or move or cause to be carried or moved. Export – means to send or ship out of the country.

SEC. 2. Prohibition – It shall be unlawful to take or catch whale shark and manta rays in Philippine waters or to sell, purchase, possess, transport, or export the same whether dead or alive, in any state or form whether raw or processed. It shall likewise, be unlawful to wound or to kill whale shark and manta rays in the course of catching other species of fish. Whale shark and manta rays which are accidentally included in the catch by any gear shall immediately be released unharmed in the sea; otherwise the liability shall be deemed to still exist. Dead whale shark and manta rays which are drifted to the seashore shall be surrendered to the nearest Department of Agriculture (DA) Regional Field Unit or Bureau of Fisheries Regional or Provincial Fishery Office, as the case may be for proper disposition. SEC. 3. Issuance of Permit to Conduct Research and/or Collect Specimens for Research/Scientific Purposes - The Secretary or his duly appointed representative, upon the recommendation of the Director of the Bureau of Fisheries and Aquatic Resources (BFAR), may issue a Special Permit in favor of any government or private institution engaged in purely research work on whale shark and manta rays, subject to such terms and conditions as the DA Secretary may deem wise to impose. SEC. 4. Penalty – Violation of this Order shall subject the offender to a fine of not less than five hundred (P500.00) pesos to not more than five thousand (P5,000) pesos or imprisonment from six (6) months to four (4) years, or both such fine and imprisonment depending on the discretion of the court: Provided, That the Director of Fisheries and Aquatic Resources is hereby empowered to impose upon the offender an administrative fine not more than five thousand (P5,000.00) pesos or to cancel his permit or license or to impose such fine and to cancel his permit or license at his discretion including the confiscation of the whale shark and/or manta rays for proper disposition/documentation of the government. SEC. 5. Repealing Clause – All existing administrative orders, rules and regulations which are inconsistent with the provisions of this Order are hereby repealed.

SEC. 6. Effectivity –This Order shall take effect fifteen (15) days after its publication in the Official Gazette and/or in two (2) newspaper of general circulation.

Sea Cows (DENR Admin. Order No. 55-91) Pursuant to Executive Order 192, and in cognizance of the intents and purposes of Section 1 of ACT VIII of the Convention on International Trade of Endangered Species (CITES) agreement and in the interest of protecting and preserving endangered species, the following are hereby promulgated with regard to Dugong or Sea Cow (Dugong dugon): SECTION 1. Basic Policy - It is hereby declared that Dugong or Sea Cow (Dugong dugon) is a protected marine mammal of the Philippines. As such, the killing or taking of such species for whatever purpose, except for scientific research, and the destruction or disturbance of its habitat, is hereby prohibited.

Dugongs dependence on seagrass habitat community makes it vulnerable to anthropogenic impacts such as pollution and coastal development.

SEC. 2. Illegal Acts - Any person who shall hunt, kill, wound or take away, possess, transport and/or dispose of Dugong or Sea Cow, dead or alive, its meat or any of its by-products in violation of the provisions of this Order shall he punished by imprisonment from six (6) months to four (4) years or a fine from Five Hundred Pesos (P500.00) to Five Thousand Pesos (P5,000.00) or both upon sound discretion of the Court, pursuant to Section 38 (d) of PD 704 or the Philippine Fisheries Code. Furthermore, the vessels/carrier, gears, tools, equipment and other paraphernalia used in the commission of the prohibited acts and offenses including the catch thereof, as instrument and proceeds of the offense, shall be confiscated in favor of the government pursuant to the pertinent provisions of DENR Administrative Order No. 36, series of 1991, entitled "Guidelines Governing the Confiscation, Seizure and Disposition of Wild Flora and Fauna Illegally Collected, Gathered, Acquired, Transported, and Imported Including Paraphernalia", and the Revised Penal Code.

SEC. 3. Disposition of Confiscated Species - Confiscated species of Dugong or Sea Cow, or any of its by-products shall be forfeited in favor of the DENR for disposition to any research institution as determined by the DENR pursuant to Section 9 of DENR Administrative Order No. 36, series of 1991. SEC. 4. Implementing DENR Unit - The Protected Areas and Wildlife Bureau (PAWB) through the Pawikan Conservation Project (PCP) shall lead the implementation of this Order. It shall generate funds and implement a national program for the conservation and protection of the country's remaining Dugong or Sea Cow population and shall also coordinate With other concerned agencies likewise involved in the conservation and management of the country's marine resources. The Offices of the Undersecretary for Environment and Research and the Undersecretary for Field Operations through their respective bureaus and regional offices shall assist PAWB in the enforcement of the provisions of this Order. SEC. 5. Effectivity - This Order shall take effect fifteen (15) days after publication in newspapers of general circulation.

Seashores and Beach Protection (Batas Pambansa Blg. 265) SECTION 1. Any provision of law, presidential decree, rule or regulation to the contrary notwithstanding, the extraction of gravel and sand and such other activities as would erode or diminish the natural beauty of beaches are prohibited: Provided, however, That the extraction of silica sand may be allowed under such rules as may be promulgated by the Ministry of Natural Resources consistent with the objectives of this Act. SEC. 2. Any person who violates the provision of this Act shall be punished with imprisonment of not less than six months or fine of not less six months or fine of not less than One thousand pesos (P1,000.00) or both such imprisonment and fine at the discretion of the court. SEC. 3. This Act shall take effect upon its approval. Approved, November 13, 1982.

Front yard of the Bantayan Sea Camp.

Accretion by the Action of Waves Riparian owner refers to the owner of the land that adjoins a river. The soil deposited on the riparian land automatically becomes the property of the riparian owner. However, owners of land that adjoins the sea are, strictly speaking, called littoral owners. The accretion thereto is land of public domain, i.e., public land. The littoral owner has preferential right to register the property in case said land is not needed for public use. Facts: The ownership of a tract of alluvial land in Sibocon, Balanga, Bataan is being disputed in this case. This land is in the northern tip of a triangular tract of land facing Manila Bay. It is bounded on the east by the Talisay River, on the west by the Bulacan River, and on the north by Manila Bay. On October 3, 1946, Sinforoso Pascual, owner of the adjacent property in between the two rivers, south of the alluvial land, sought to register said land claiming that it is an accretion on his property. Pascual claimed the accretion as the Riparian owner basing his demand on Article 457 of the Civil Code. The Director of Lands opposed saying that the land is foreshore, thus a part of the public domain and owned by the State. During the pendency of the Land Registration case, Navarro and his privies built a provisional dike thereon. For this reason, Pascual filed a complaint of ejectment against Navarro. He lost and later appealed to the CFI of Balanga, Bataan. The Court consolidated the two cases of land registration and ejectment and rendered judgment finding the subject property to be foreshore land and, being a part of the public domain, cannot be subject of land registration proceedings. Pascual appealed to the CA which reversed the findings of the lower court and granted the petition for registration. The CA found that the land in question is an accretion formed by the action of two rivers which bounded Pascual's property. Thus, being the Riparian owner, he is entitled to the accretion. The heirs of Navarro appealed the case to the Supreme Court. Issue: May the land sought to be registered be deemed an accretion in the sense that it naturally accrues in favor of the Riparian owner or should the land be considered as foreshore land?

Held: Land is foreshore. Accretion as a mode of acquiring property under said Article 457 of the Civil Code, requires the concurrence of the following requisites: 1. 2. 3.

that the accumulation of solid or sediment be gradual and imperceptible; that it be the result of the action of the waters of the river; and that the land where the accretion takes place is adjacent to the bank of the river.

Accretion is the process whereby the soil deposited on the land fronts the river bank. In this case, the owner of such estate is called the Riparian owner. Riparian owners are, strictly speaking, distinct from the littoral owners, the latter being owners of lands bordering the shore of the sea or lake or other tidal waters. The alluvium, by mandate of Article 457 of the Civil Code, is automatically owned by the Riparian owner from the moment the soil deposit can be seen. The location of the area in dispute is undisputed. The disputed area is adjacent to the Manila Bay, and not to either rivers. Clearly lacking, therefore, is the third requisite of accretion: that the alluvium is deposited on the portion of the claimant's land adjacent to a riverbank. Moreover, Manila Bay was adjacent to it on the north. It was only after the planting of trees in said area in 1948 that the land in question began to rise or get higher in elevation. In other words, the combined and interactive effect of the planting of palapat and bakawan trees and the receding waters of Manila Bay eventually resulted in the drying up of its former foreshore. The controversy, however, (as distinguished from the Laguna de Bay which is considered a lake) brings a situation calling for the application of Article 4 of the Spanish Law of Waters of 1866 which states: "Lands added to the foreshores by accretions and alluvial deposits caused by the action of the sea form part of the public domain. When they are no longer washed by the waters of the sea and are not necessary for purposes of public utility, or for the establishment of special industries, or for the coastguard service, the government shall declare them to be the property of the owners of the estates adjacent thereto and as increment thereof." In the light of the aforecited vintage but still valid law, the land created by the action of the waves of the sea is public land. As part of the public domain, the disputed land is intended for public use, and "so long as the land in litigation belongs to the national domain and is reserved for public uses, it is not capable of being appropriated by any private person, except (in certain specific instances, e.g. when it is no longer needed for public purposes, etc.)." Heirs of Emiliano Navarro v. JAC, Heirs of Pascual G.R. No. 68166, February 12, 1997

Accretion Land Belongs to the Littoral Owner "The law recognizes the preferential right of the littoral owner to the foreshore land formed by accretions or alluvial deposits due to the action of the sea. "The reason for that preferential right is the same as the justification for giving accretions to the riparian owner, which is that accretion compensates the riparian owner for the diminution which his land suffers by reason of the destructive force of the waters. So, in the case of littoral lands, he who loses by the encroachments of the sea should gain by its recession." Santulan v. Executive Secretary G.R. No. L-2802 1, December 15, 1977

Table of Offenses and Penalties∗ For Violations on Marine Resources Laws Destructive/Illegal Fishing Practice

Penalty

Blast or dynamite fishing (Sec. 88) • Mere possession of dynamite, other explosives, and chemical compounds which contain combustible elements

• Fishing with explosives

• Imprisonment ranging from 6 months to 2 years • Prision mayor maximum (10 yrs. and 1 day to 12 years) to reclusion temporal (12 years and 1 day to 20 years) (Sec. 3, P.D. No. 1866, as amended for illegal possession of explosives • Imprisonment ranging from 5 to 10 years in addition to a separate criminal case when the use of explosives results to physical injury or loss of human life

• Dealing in, selling, or in any manner • Imprisonment ranging from 6 months disposing of illegally caught/gathered to 2 years • Forfeiture of the fishing vessels, and fisheries for profit fishing equipment

∗

Unless otherwise indicated, sections refer to provisions contained in R.A. 8550, (The Fisheries Code) The contributions of Suzanne Babb and the Coastal Resource Management Project in the preparation of this table are gratefully acknowledged.

Destructive/Illegal Fishing Practice

Penalty

Electrofishing (Sec. 88) • Mere possession of equipment or • Imprisonment ranging from 6 months device for electrofishing to 2 years • The use results in physical injury or • Imprisonment ranging from 5 to 10 loss of human life years without prejudice to the filing of separate criminal cases • Dealing in selling or in any manner • Imprisonment ranging from 6 months disposing of, for profit illegally to 2 years caught/gathered fisheries • Forfeiture of the fishing vessels, fishing equipment, and catch Use of fine mesh nets (Sec. 89) • Fine mesh nets are those with meshsize of less than 3 cms. measured between two opposite knots of a full mesh when stretched or as otherwise determined by the appropriate government agency

• A fine from P2,000.00 to P20,000.00 or imprisonment from 6 months to 2 years or both such fine and imprisonment at the discretion of the court • If the offense is committed by a commercial fishing vessel, the boat captain and the master fisherman shall also be subjected to the penalties provided herein • The owner/operator of the commercial fishing vessel shall be subjected to the same penalties • The Department of AgricultureBureau of Fisheries and Aquatic Resources (BFAR) is empowered to impose upon the offender an administrative fine and/or cancel his permit or license or both

Use of active gear in municipal waters and bays and other fishery management areas (Sec. 90)

• Imprisonment from 2 to 6 years for the boat captain • Fine of P2,000.00 to P20,000.00 for the owner/operator, chief executive officer if the owner is a corporation or managing partner • Confiscation of the catch and gear

Destructive/Illegal Fishing Practice Exportation of breeders, spawners, eggs, or fry (Sec. 99)

Penalty • Imprisonment of 8 years, confiscation of the breeders, spawners, eggs or fry or a fine equivalent to double the value of the same, and revocation of the fishing and/or export license/permit

Taking or catching, selling, • A fine of P80,000.00 and/or possessing, transporting of Sabalo imprisonment of 6 months and 1 day to or Chanos chanos (Sec. 98) 8 years • Forfeiture of the catch and fishing N.B. Aside from sabalo or Chanos equipment used and revocation of chanos, it is also unlawful for any license person to catch, gather, capture of breeders or spawners of other fishery species as may be determined by the DA

Exportation or importation of fish and fishery products from point of origin to another place without permit (Sec. 100)

• Imprisonment of 7 years and a fine of P80,000.00 • Forfeiture of non-live fishery species or destruction of live fishery species • Violators banned from being members or stockholders of companies currently engaged in fisheries or companies to be created in the future

Importation of live shrimp and prawns at all stages except those without special permit (FAO 189, Series of 1993)

• Imprisonment of 6 months to 4 years or a fine of P500.00 to P5,000.00 or both

Foreign boat illegally fishing in Philippine waters (Sec. 87)

• Confiscation of its catch, fishing equipment, and fishing vessel • A fine of US$100,000.00 • An administrative fine ranging from US$50,000.00 to US$200,000.00

Discharging in Philippine waters • Imprisonment of 6 years and 1 day

Destructive/Illegal Fishing Practice Penalty substances of materials deleterious to 12 years and/or a fine of P80,000.00 to fishery aquatic life (Sec. 102) • An additional fine of P8,000.00 per day until such violation ceases and the fines paid These are substances that can kill, stupefy, disable or render unconsciously any fishery species and aquatic resources and are capable of damaging and altering the natural habitat

Construction and operation of fish corrals/traps, fish pens, and fish cages without permit (Sec. 103, par. e)

• Imprisonment from 1 month and 1 day to 6 months at the court’s discretion • A fine ranging from P2,000.00 to P10,000.00 at the court’s discretion • A discretionary administrative fine of P10,000.00 and/or cancellation of permit

Obstructing fishery law enforcement officer in the performance of his duty (Sec. 106)

• A fine of P10,000.00 and cancellation of registration, permit and/or license • Cancellation of the master fisherman’s license

Unlawful obstruction or delay in the inspection and/or movement of fish and fishery products when such inspection and movement are authorized (Sec. 103)

• A fine of P10,000.00 and cancellation of registration, permit and/or license • Cancellation of the master fisherman’s license

Fishing in fishery reserves, refuge, and sanctuaries (Sec. 96)

• Imprisonment from 2 to 6 years and/or a fine from P2,000.00 to P20,000.00 • Forfeiture of catch and the cancellation of fishing permit and license

Exploiting and exporting corals

• Imprisonment from 6 months to 2

Destructive/Illegal Fishing Practice (Sec. 91) • Gathering, possessing, selling or exporting ordinary, precious or semiprecious raw or processed corals N.B. This amends P.D. No. 1219 Illegal use of superlights (Sec. 93) •

Use of superlight in municipal waters or in violation of the rules and regulations on the use of superlights outside municipal waters

•

Obstruction to navigation or the flow and ebb of tide in any stream, river, lake, or bay (Sec. 103, par. d)

Penalty years and a fine from P2,000.00 to P20,000.00 or both • Forfeiture and proper disposition of the subject corals and the vessels used

• Imprisonment from 6 months to 2 years and/or a fine of P5,000.00 per superlight • Confiscation of superlight, fishing gears, and the vessel

• Imprisonment of 1 month and 1 day to 6 months and/or a fine of P2,000.00 to P10,000.00, and impoundment of the vessel and cancellation of fishing permit or license

Commercial fishing vessel operators employing unlicensed fisherfolk, fishworker or crew (Sec. 104) •

Commercial fishing is defined as the taking of fishery species by passive or active gear for trade, business, or profit beyond subsistence or sports fishing

•

A fishery operator is one who owns and provides the means including land, labor, capital, fishing gears and vessels, but does not personally engage in fishery

Catching, taking, selling, purchasing, possessing, and transporting dolphins, whales, and porpoises and other rare, threatened, or endangered species

• A fine for the owner/operator of P500.00 for every month of employment of an unlicensed crew member and/or P1,000.00 for every month for each unlicensed crew member employed

• Imprisonment of 12 to 20 years and/or a fine of P120,000.00

Destructive/Illegal Fishing Practice (Sec. 2, FAO No. 185, Series of 1992) Taking or catching, selling, purchasing and possessing, transporting and exporting of whale sharks and manta rays (Sec. 2, FAO No. 193, Series of 1998)

Penalty

• Imprisonment of 6 months to 4 years

Collecting, gathering, utilizing, possessing, transporting, removing, exporting and/or disposing of marine turtles, turtle eggs, or any of its products, except in Regions 9 and 12 (MNR Administrative Order No. 12, Series of 1979)

• Fine of not more than P600.00 or imprisonment of not more than 6 months or both ƒ Automatic cancellation of permit

Gathering, catching, taking, removing marine tropical or aquarium fish without permit (FAO 124, as amended by FAO 148)

• Imprisonment of 8 to 10 years

Gathering and farming seaweed without license or permit (FAO 108, as amended by FAO 146)

• Imprisonment of 6 months to 4 years or a fine of P500.00 to P5,000.00 or both

Conversion of mangroves into fishponds or for any other purposes (Sec. 94)

• Imprisonment from 6 years and 1 day to 12 years and/or a fine of P80,000.00 • Compensation for restoration or rehabilitation

Fishing in overfished area (Sec. 95) N.B. There has to be an official proclamation that a certain area is overfished and therefore not open for fishing

• Imprisonment of 6 months and 1 day to 6 years and/or a fine of P6,000.00 • Forfeiture of the catch and cancellation of fishing permit or license

Fishing during closed season (Sec. 95)

• Imprisonment of 6 months and 1 day to 6 years and/or a fine of P6,000.00 • Forfeiture of the catch and cancellation of fishing permit or license

• Closed season is the period during

Destructive/Illegal Fishing Practice which the taking of specified fishery species by a specified fishing gear is prohibited in a specified area or areas in Philippine waters

Penalty

Gathering and marketing of shellfishes without proper permit (Sec. 103, par. c)

• Imprisonment of 1 month and 1 day to 6 months and/or a fine of P2,000.00 to P10,000.00 and impoundment of the vessel and cancellation of fishing permit or license

Obstruction of defined migration paths (Sec. 105)

• Imprisonment of 7 to 12 years and/or a fine of P50,000.00 to P100,000.00, cancellation of permit/license if any, and dismantling of obstruction

Fishing beyond catch ceiling (Sec. 101)

• Imprisonment of 6 months and 1 day to 6 years and/or a fine of P50,000.00 • Forfeiture of the catch and fishing equipment used and revocation of license

• Catch ceilings refer to the annual catch limits allowed to be taken, gathered or harvested from any fishing area in consideration of the need to prevent overfishing and harmful depletion of breeding stocks of aquatic organisms

Failure to comply with minimum safety standards (Sec. 103, par. a)

• Imprisonment of 1 month and 1 day to 6 months and/or a fine of P2,000.00 to P10,000.00, and impoundment of the vessel and cancellation of fishing permit or license

Failure to conduct a yearly report on all fishponds, fish pens, and fish cages (Sec. 103, par. b)

• Imprisonment of 1 month and 1 day to 6 months and/or a fine of P2,000.00 to P10,000.00 and impoundment of the vessel and cancellation of fishing permit or license

Fishing in Philippine waters with the

• Imprisonment of 2 to 10 years or a

Destructive/Illegal Fishing Practice use of muro-ami (drive-in-net), kayakas, scareline (Serosca) (Sec. 92)

Penalty fine of P100,000.00 to P500,000.00 or both such fine and imprisonment at the discretion of the court to the operator, boat captain, master fisherman • Confiscation of catch and gear

Cases for Violations of Fishery/Marine Resources Laws Jurisdiction over Illegal Fishing Where a case for illegal fishing with dynamite is brought to the Municipal Court and it finds that the same is beyond its jurisdiction, the Court should conduct a preliminary investigation and elevate the case to the proper court (the RTC) if it finds probable cause. The Court cannot simply consider the case as a lower offense and decide it then and there. Facts: The two accused were apprehended in the seawaters of Cebu aboard a banca and in the possession of dynamites and other fishing implements. An Information (indictment/charge sheet) was filed against them for violation of Presidential Decree No. 1058 or for illegal fishing. They were brought to respondent Municipal Circuit Judge, but the latter, instead of conducting preliminary investigation, treated the complaint as a violation of Act 3023 which prohibits the manufacture, possession aw sale of dynamite without a special permit. He proceeded to arraign the accused, who pleaded guilty, and sentenced them to four months imprisonment and a fine. Petitioner De Guzman, provincial commander of the police at Cebu City, opposed the action taken by the judge. He alleged that the proper offense charged should have been a violation of Presidential Decree No. 704, as amended by Presidential Decree No. 1058, which penalizes illegal fishing with the use of explosives. Thus, respondent could only have conducted the preliminary investigation since the penalty provided for in these laws are outside of his jurisdiction and falls within the exclusive original jurisdiction of the CFI (now Regional Trial Court). Issue: What is the offense committed in this case? Who should have jurisdiction to try the offense?

Held: The acts committed by the two accused properly falls within the letter of Presidential Decree No. 704, as amended by Presidential Decree No. 1058 which penalizes the possession of explosives intended for use in illegal fishing. The Judge erred in disregarding the charge in the Information. The proper action for a municipal judge where the offense charged does not fall within the jurisdiction of the Municipal Court is either to elevate the case to the proper court with the results of the preliminary investigation or in the absence of probable cause, to dismiss the case. He has no jurisdiction to decide the cast on the merits. De Guzman v. Escalona 97 SCRA 619, May 16,1980

Blast Fishing and Illegal Possession of Explosives Note that Presidential Decree No. 704 has since been revised as Republic No. 8550 (Fisheries Code of 1998) and the offenses of blast/dynamite fishing and possession of explosives for fishing have since been consolidated into this law. However, it must be pointed out that the act of possessing explosives without a permit is also a violation of Presidential Decree No. 1866.

Arrest Without Warrant Possession of illegally-caught fish (e.g., from dynamite or cyanide fishing) is an offense in itself and its possessor may be immediately be arrested even without a warrant. Facts: This is an appeal from the decision granting the petition for replevin instituted by Magdayo Ramirez, owner of the sea vessel Tony Lex I, to recover 85 tubs of fish seized by the Philippine Navy from the said vessel. Ramirez based his petition on law which stated in part that "not more than one kilo" of fish or aquatic animals should be taken as samples for examination by the authorities to determine whether the said specimens were killed or stupefied using illegal equipment or chemicals. The lower court held that the seizure of the 85 tubs of fish was illegal. Issue: Was the seizure illegal? Held:

No. The seizure was made by the Philippine Navy after a finding was made by the fishery product examiner of the Bureau of Fisheries from samples taken earlier that the fish in question had been killed or caught with the use of dynamite. The law provides that the mere possession of these fish is a crime. Thus, the above-quoted provision is inapplicable to the case instead, it should be "governed by the rule to the effect that the subject of the offense and the proceeds thereof are proper objects of seizure. This is particularly so when-as it is in the present case-the mere possession of the objects seized constitutes a crime, for the holder of said objects is then committing a crime in the presence of the officer effecting the seizure. Thus, despite the absence of a search warrant, the seizure is valid and legal." "Furthermore, respondent Judge erred in requiring the posting of a redelivery bond as a condition precedent to the dissolution of the warrant of seizure issued by said officer, for petitioner is the Republic of the Philippines and the same is exempt from the obligation to post such bond." Republic v. Cansino 5 SCRA 103, May 26, 1962

Legal Pressure Points Mere Possession of Illegally-Caught Fish is an Offense The possession of illegally-caught fish is an offense in like manner as the possession of illegally-cut/illegally sourced forest products. The mere possession is, in itself, a crime and the possessor may be arrested without a warrant as he would then be “in the act of committing a crime” (in flagrante delicto). This is also known as being “caught in the act.” Any person, whether a private citizen or an enforcement officer, may proceed to effect the arrest. Fencing If someone buys fish knowing, actually or presumptively, that it was illegally caught, the buyer may also be charged with violation of anti-fencing law. Availability of a Replevin Suit to Recover Fishing Gear and Boat One must also look at the similarity between this case and that of Paat v. Court of Appeals on the non-availability of a replevin suit where an administrative proceeding is in progress pursuant to the principle of exhaustion of administrative remedies.

Warrantless Search of a Fishing Vessel Warrantless search of a fishing vessel is allowed because of the inherent mobility of said craft and the likelihood of escape before a warrant can be secured. The presumption of guilt in case a person is apprehended with explosives or fish caught with explosives is constitutionally allowed because the presumption arises only when a fact has been proved. Facts: The accused crew members of F/B Robinson were apprehended by members of the PNP Maritime Command off the coast of Puerto Princesa, Palawan. They were brought to the city and charged with fishing with the use of sodium cyanide. The trial court found them guilty and the CA affirmed. Two issues were presented before this Court: Issues: 1. Is the warrantless search and seizure of the boat valid? 2. Is the statutory presumption of guilt under Sec. 33 of Presidential Decree No. 704 valid? Held: 1. Yes. "Search and seizure of vessels and aircrafts without a search warrant for violations of customs law, have been the traditional exceptions to the constitutional requirement of a search warrant. It is rooted on the recognition that a vessel and an aircraft, like motor vehicles, can be quickly moved out of the locality a or jurisdiction in which the search warrant must be sought and secured." 'The same exception ought w apply to seizures of fishing vessels and boats breaching our fishery laws." 2. Yes. The third paragraph of Sec. 33 of Presidential Decree No. 704 (now R.A. No. 8550) creates a presumption of guilt whenever: (a) explosives, obnoxious or poisonous substances or equipment or device for electric fishing are found in a fishing boat or in the possession of a fisherman; or (b) when fish caught or killed with the use of explosives, obnoxious or poisonous substances or by electricity are found in a fishing boat. The presumption is "based on facts proved and hence is not constitutionally impermissible." "The fact presumed is a natural inference from the fact proved." Hizon v. CA 265 SCRA 517, December 13,1996

Evidence of Blast-Fishing Apprehension and evidence of possession of explosives paraphernalia and fish caught with explosives is sufficient proof to convict a person for fishing with explosives. Facts: Renerio Vergara together with three co-accused were fishing in the waters of Palo, Leyte using bottled explosives (badil) to catch, take and gather fish locally known as bolinao. They were seen and apprehended by the Bantay Dagat team patrolling the area and their various illegal fishing paraphernalia including the fish caught were confiscated. They were charged and found guilty by the RTC of Tacloban City for violating Sections 33 and 38 of Presidential Decree No. 704, as amended by Presidential Decree No. 1508, pertaining to illegal fishing. Vergara appeals to this Court alleging that the trial court erred in convicting him. Issue: Was the conviction by the trial court correct? Held: Yes. Aside from the illegal fishing paraphernalia taken from Vergara, other evidence point to the commission of the crime alleged. According to an agricultural technologist and fish examiner working with the Bantay Dagat team, the fish samples taken from the accused showed signs of ruptured capillaries, ruptured and blooded abdominal portion, and crushed internal organs indicating that explosives were indeed used. People v. Vergara 270 SCRA 624, April 2,1997

Non-Interference by Another Court When a court already acquires jurisdiction over a vessel apprehended while fishing with the use of explosives, a co-equal court cannot issue orders directing the release of said vessel. Arrest and detention of the crew and the seizure of the vessel incidental to the arrest are all valid even without a warrant. Facts: Two fishing vessels, Tony Lex VI and Tony Lex III, repeatedly violated fishing laws. On August 5 or 6, 1965. the two fishing boats were seized for illegal fishing with dynamite off the coast of Palawan. Fish caught with dynamite and sticks of dynamite were found aboard. Two Informations were filed against each set of crew members of the vessels for violation of Act No. 4003, as amended, for illegal fishing with dynamite. Subsequently. the CFI of Palawan ordered the Philippine Navy to take custody of the boats. That same day, the respondent

owners of the vessels filed a petition for preliminary mandatory injunction with CFI of Manila against herein petitioners. They alleged, among others, that the boats were in the act of legitimate fishing operations when they were seized and that whatever violations committed by the crew members of the vessels were already settled by virtue of a compromise agreement with the Secretary of Agriculture and Natural Resources dated September 1, 1965. Despite opposition by Roldan, then the Commissioner of the Philippine Fisheries Commission, the injunction was issued upon filing of a minimal bond. Hence this petition. Issue:

Was the issued preliminary mandatory injunction valid?

Held: No. When the challenged order was issued, the fishing vessels were already under the jurisdiction of the CFI Palawan by virtue of its orders directing the Philippine Navy to detain said vessels, It is immaterial that the vessels were then docked in the Philippine Navy basin in Manila. The vessels are subject to forfeiture as instrument:, of the crime. Jurisdiction of the vessels acquired by the Palawan court cannot be interfered with by another CFI. Only the Palawan court can order the release of the vessels. Since January 28, 1964, both vessels were cited for violation of fishing laws and were either ordered impounded or forfeited. When they were apprehended in August 5 or 6, both vessels were without any permit or license to fish. Moreover, they were caught in flagrante, unlawfully fishing with explosives. Thus, the detention of crew without a warrant of arrest is lawful and the seizure of the vessels, its equipment and the dynamite used equally valid as an incident to a lawful arrest.” Roldan v. Arca 65 SCRA 336, July 25, 1975

Fishery Privileges Municipalities and cities have jurisdiction over their municipal waters and may grant fishery privileges to certain persons. The principle embodied in this decision has actually been reaffirmed and made more explicit in the Local Government Code of 1991. Facts: Ten defendants were caught off the coast of Batangas fishing with a torchlight in a portion of the sea marked off as No. 106. That place was intended for a fish weir and leased for that purpose to Lino Mendoza. There was yet no wire installed and the fishing was done without the consent or knowledge of the

lessee. The defendants were charged with violation of Municipal Ordinance No. 4, regulating fishing privileges in the municipality of Batangas. The defendants filed a demurrer alleging that the Ordinance is unconstitutional, and even admitting its validity, their acts were not penalized under said Ordinance. The CH agreed and dismissed the complaint. Issue: Is the ordinance unconstitutional? Held: The right to engage in fishing is a common and general one, but it can be regulated by a municipal corporation under a provision of law or authority granted by the Legislature, being in this case, a delegation of the State's authority to the municipality. By virtue of such authority, a municipality may also grant to the inhabitants the exclusive right to fish in the sea within the municipal boundaries. US v. Hernandez 31 Phil. 343, August 26, 1915

Marine Protection Administration Marine Pollution (Presidential Decree 979) Whereas, the marine environment and the living organisms, which it supports are of vital importance to humanity, and all people have an interest in assuring that it is managed and protected, and its quality is not impaired; Whereas, recognizing that the capacity of the sea to assimilate wastes and render them harmless, and its ability to regenerate natural resources is limited; Whereas, knowing that marine pollution originates from many sources, such as dumping and discharging through the rivers, estuaries, brooks or springs; Whereas, it is our responsibility to control public and private activities that cause damage to the marine environment by using the best practicable means and by developing improved disposal processes to minimize harmful wastes;

"There is a rapture on the lonely shore, There is society, where none intrudes, By the deep sea, and music in its roar." --Lord Byron, (George Gordon)

Whereas, there is an urgent need to prevent, mitigate or eliminate the increasing damages to marine resources as a result of pollution; Now, Therefore, I, Ferdinand E. Marcos, President of the Republic of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby decree and order the following: SECTION 1. Title — This Decree shall be known as the Marine Pollution Decree of 1976. SEC. 2. Statement of Policy — It is hereby declared a national policy to prevent and control the pollution of seas by the dumping of wastes and other matter which create hazards to human health, harm living resources and marine life, damage amenities, or interfere with the legitimate uses of the sea within the territorial jurisdiction of the Philippines. SEC. 3. Definition of Terms — For the purposes of this Decree: a.

b.

c.

d.

e. f.

Discharge includes, but is not limited to, any spilling, leaking, pumping, pouring, emitting, emptying or dumping but does not include discharge of effluents from industrial or manufacturing establishments, or mill of any kind. Dumping means any deliberate disposal at sea and into navigable waters of wastes or other matter from vessels, aircraft, platforms or other manmade structures at sea, including the disposal of wastes or other matter directly arising from or related to the exploration, exploitation and associated off-shore processing of sea bed mineral resources unless the same is permitted and/or regulated under this decree: Provided, That it does not mean a disposition of any effluent from any outfall structure to the extent that such disposition is regulated under the provisions of Republic Act Numbered Three Thousand Nine Hundred Thirty-One, nor does it mean a routine discharge of effluent or other matter incidental to the propulsion of, or derived from the normal operations of vessels, aircraft, platforms or other man-made structures at sea and their equipment. Oil means oil of any kind or in any form including, but not limited to, petroleum, fuel oil, sludge, oil refuse, and oil mixed with wastes other than dredge spoil. Navigable Waters means the waters of the Philippines, including the territorial sea and inland waters which are presently, or be in the future susceptible for use by watercraft. Vessel means every description of watercraft, or other artificial contrivance used, or capable of being used, as a means of transportation on water. Person includes any being, natural or juridical, susceptible of rights and obligations or of being the subject of legal relations.

g.

Refuse means garbage, waste, wood residues, sand, lime cinders ashes, offal, nightsoil, tar, dye staffs, acids, chemicals and substances other than sewage and industrial wastes that may cause pollution.

SEC. 4. Prohibited Acts — Except in cases of emergency imperilling life or property, or unavoidable accident, collision, or stranding or in any cases which constitute danger to human life or property or a real threat to vessels, aircraft, platforms, or other man-made structure, or if dumping appears to be the only way of averting the threat and if there is probability that the damage consequent upon such dumping will be less than would otherwise occur, and except as otherwise permitted by regulations prescribed by the National Pollution Control Commission or the Philippine Coast Guard, it shall be unlawful for any person to: a.

discharge, dump, or suffer, permit the discharge of oil, noxious gaseous and liquid substances and other harmful substances from or out of any ship, vessel, barge, or any other floating craft, or other man-made structures at sea, by any method, means or manner, into or upon the territorial and inland navigable waters of the Philippines;

b.

throw, discharge or deposit, dump, or cause to suffer or procure to be thrown, discharged, or deposited either from or out of any ship, barge, or other floating craft or vessel of any kind, or from the shore, wharf, manufacturing establishment, or mill of any kind, any refuse matter of any kind or description whatever other than that flowing from streets and sewers and passing therefrom in a liquid state into the tributary of any navigable water from which the same shall float or be washed into such navigable water; and

c.

deposit or cause, suffer or procure to be deposited material of any kind in any place on the bank of any navigable water or on the bank of any tributary of any navigable water, where the same shall be liable to be washed into such navigable water, either by ordinary or high tides, or by storms or floods, or otherwise, whereby navigation shall or may be impeded or obstructed or increase the level of pollution of such water.

SEC. 5. It shall be the primary responsibility of the National Pollution Control Commission to promulgate national rules and policies governing marine pollution, including but not limited to the discharge of effluents from any outfall structure, industrial and manufacturing establishments or mill of any kind to the extent that it is regulated under the provisions of Republic Act Numbered Three Thousand Nine Hundred Thirty-One, and to issue the appropriate rules and regulations upon consultation with the Philippine Coast Guard. The Philippine Coast Guard shall promulgate its own rules and regulations in accordance with the national rules and policies set by the National Pollution Control Commission upon consultation with the latter, for the effective

implementation and enforcement of this decree and other applicable laws, rules and regulations promulgated by the government. The rules and regulations issued by the National Pollution Control Commission or the Philippine Coast Guard shall not include deposit of oyster, shells, or other materials when such deposit is made for the purpose of developing, maintaining or harvesting fisheries resources and is otherwise regulated by law or occurs pursuant to an authorized government program: Provided, That the Philippine Coast Guard, whenever in its judgment navigation will not be injured thereby and upon consultation with and concurrence of the National Pollution Control Commission, may permit the deposit of any of the materials above-mentioned in navigable waters, and whenever any permit is so granted, the conditions thereof shall be strictly complied with. SEC. 6. Enforcement and Implementation — The Philippine Coast Guard shall have the primary responsibility of enforcing the laws, rules and regulations governing marine pollution. However, it shall be the joint responsibility of the Philippine Coast Guard and the National Pollution Control Commission to coordinate and cooperate with each other in the enforcement of the provisions of this decree and its implementing rules and regulations, and may call upon any other government office, instrumentality or agency to extend every assistance in this respect. SEC. 7. Penalties for Violations — Any person who violates Section 4 of this Decree or any regulations prescribed in pursuance thereof, shall be liable for a fine of not less than Two Hundred Pesos (P200.00) nor more than Ten Thousand Pesos (P10,000.00) or by imprisonment of not less than thirty (30) days nor more than one year or both such fine and imprisonment, for each offense, without prejudice to the civil liability of the offender in accordance with existing laws. Any vessel from which oil or other harmful substances are discharged in violation of Section 4 or any regulation prescribed in pursuance thereof, shall be liable for the penalty of fine specified in this section, and clearance of such vessel from the port of the Philippines may be withheld until the fine is paid. In addition to the penalties above prescribed, the Philippine Coast Guard shall provide in its rules and regulations such reasonable administrative penalties as may be necessary for the effective implementation of this decree. SEC. 8. Containment and Recovery System — The Philippine Coast Guard shall develop an adequate capability for containment and recovery of spilled oil for inland waters and high seas use. An initial amount of five million pesos (P5M) is hereby appropriated for the procurement of necessary equipment for this purpose. For the succeeding fiscal years, the appropriation for the development of such capability shall be included in the Philippine Coast Guard portion of the General Appropriation Decree.

SEC. 9. Repealing Clause — All laws, rules and regulations inconsistent with this decree are hereby repealed or modified accordingly. SEC. 10. Effectivity — This Decree shall take effect immediately. Done in the City of Manila, this 18th day of August, 1976.

… Rising and gliding out I wandered off by myself Into the mystical moist night air And from time to time Looked up In the perfect silence of stars.*

Creation of the Philippine Coast Guard (Republic Act 5173) SECTION 1. Coast Guards Objectives - There is hereby created in the Philippine Navy a major unit to be known as Philippine Coast Guard which shall have the following general objectives: a.

b.

c.

To enforce or assist in the enforcement of all applicable laws upon the high seas and waters subject to the jurisdiction of the Republic of the Philippines; To enforce laws, promulgate and administer regulations for the promotion of safety of life and property within the maritime jurisdiction of the Philippines; and To develop, establish, maintain and operate, with due regard to the requirements of national defense, aids to maritime navigation and rescue facilities for the promotion of safety on and over the high seas and waters, subject to the jurisdiction of the Philippines.

"Nature encourages no looseness, pardons no errors." --Ralph Waldo Emerson

SEC. 2. Board of Visitors - A Board of Visitors is created which shall have visitorial and policy-making powers to be *

Walt Whitman

composed of the Flag Officer-in-Command of the Philippine Navy, the Commissioner of the Bureau of Customs, the Secretary of the Department of Foreign Affairs, the Commissioner of the Bureau of Immigration, the President of the Filipino Ship-owners Association, and the Commandant of the Philippine Coast Guard who will act as ex-officio member. SEC. 3. Specific Functions - The Philippine Coast Guard shall perform the following functions: a.

b.

c.

d.

e.

f.

g.

h. i. j.

To prevent and suppress illegal entry, smuggling, other customs frauds and violations of other maritime laws that may be committed within the waters subject to the jurisdiction of the Republic of the Philippines, and for the purpose surveillance by the Philippine Coast Guard may be made on vessels entering and/or leaving the Philippine territory; To assist in the suppression of fishing by means of dynamite, explosives or toxic substances or other methods as may be declared destructive by proper authorities; To promulgate and enforce rules for lights, signals, speed, steering, sailing, passing, anchorage, movement and towlines of vessels and lights and signals on bridges; To approve plans for the construction, repair, or alteration of vessels; approve materials, equipment and appliances of vessels; approved the classification of vessels; inspect vessels and their equipment and appliances; register all types of motorized watercraft plying in Philippine waters; issue certificates of inspection and of permits indicating the approval of vessels for operation; issue certificates of Philippine registry of vessels; administer load line requirements; promulgate and enforce other provisions for the safety of life and property on vessels; and determine the numbering of undocumented vessels: Provided, That certification and approval of any plans, equipment and any vessel by internationally known classification societies which are recognized by the Philippine Government shall be deemed to have complied with this section; To issue licenses and certificates to officers, pilots, major and minor patrons and seamen, as well as suspend and revoke such licenses and certificates; To investigate marine casualties and disasters including those arising from marine protests filed with the Bureau of Customs relative to the liability of ship-owners and officers; To enforce laws, rules and regulations governing manning, citizenship and mustering and drilling of crews requirements, control of logbooks, shipment, discharge, protection, and welfare merchant seamen; To enforce laws requiring the performance of duties of ship-owners and officers after accidents; To prescribe and enforce regulations for outfitting and operation of motorboats and the licensing of motorboat operators; To regulate regattas and marine parades;

k.

l.

m.

n. o.

To render aid to distressed persons or vessels on the high seas and on waters subject to the jurisdiction of the Philippines, and, in this connection, the Philippine Coast Guard may perform any and all acts necessary to rescue and aid persons; furnish clothing, food, lodging, medicine and other necessary supplies and services to persons succored; protect, save, and take charge of all property saved from marine disasters until such property is delivered to persons authorized to receive it or is otherwise disposed of in accordance with law or applicable regulations; and collect and take charge of bodies of those who may perish in such disasters; To develop, establish, maintain, and operate aids to maritime navigation. In the performance of these functions, the Philippine Coast Guard is authorized to destroy or tow in port sunken of floating dangers to navigation; To supervise nautical schools with reference to activities relative to navigation, seamanship, marine engineering and other allied matters, in coordination with the Department of Education; To perform functions pertaining to maritime communications which are not specifically delegated to some other office or department; and To assist, within its capabilities and upon request of the appropriate authorities, other Government agencies in the performance of their functions, within the waters subject to the jurisdiction of the Philippines, relating to matters and activities not specifically mentioned in this section: Provided, That in the exercise of these functions, personnel of the Philippine Coast Guard shall be deemed to be acting as agents of the particular departments, bureau, office, agency or instrumentality charged with the enforcement and administration of the particular law. Members of the Philippine Coast Guard are peace officers for all purposes of this Act and shall be, and shall act, as law enforcement agents of the Bureau of Customs, and the Bureau of Immigration, the Bureau of Internal Revenue, the Fisheries Commission, and such other departments, bureaus or offices in the enforcement of pertinent laws, rules and regulations.

SEC. 4. Organization Administration - The Philippine Coast Guard shall be headed by a Commandant who shall be a Flag Officer. Subject to the approval of the Secretary of National Defense, the Flag Officer-in-Command, Philippine Navy, shall organize the Philippine Coast Guard into operational units or subordinate commands and equip the same as may be necessary for effective exercise of the functions and duties vested upon it by law, and shall promulgate rules and regulations necessary for its administration. The Philippine Coast Guard shall be administered and maintained as a separate unit of the Philippine Navy and it shall be specially trained and equipped for the effective discharge of police and duties at sea. The Marine Safety Division, including the Naval Architecture and Engineering Section, the Maritime Safety Inspection Section, the Registration and Licensing Section and the functions of the Hulls and Boilers Division, the Marine

Board of Inquiry as existing in the Bureau of Customs, and all other agencies or instrumentalities of the Government presently performing any of the function provided for in subparagraphs (c) to (n), inclusive of Section three of this Act, are hereby transferred with their personnel, records, files, supplies, equipment, furnitures, funds and other properties to the Philippine Coast Guard: Provided, That no person shall be deprived of his office employment or rank, or suffer any diminution of his salary by operation of this Act. The Lighthouse Service of the Philippine Navy is, likewise, transferred to the Philippine Coast Guard. Personnel transferred to the Philippine Coast Guard shall continue to be governed by the Civil Service Law and other existing laws relating to their individual status, rights, emoluments and benefits. SEC. 5. Unauthorized Aids to Maritime Navigation - The person, association or corporation shall establish, erect, or maintain any aid to maritime navigation without first obtaining authorization from the Philippine Coast Guard in accordance with applicable regulations. SEC. 6. Interference with Aids to Navigation - It shall be unlawful for any person, association or corporation, to remove, change the location of, obstruct, willfully damage, make fast to, or interfere with any aid to maritime navigation. SEC. 7. Penal Provisions - Any person, association or corporation who violate any provision of this Act, or the rules and regulations made thereunder, shall upon conviction, be punished with a fine of not less than one hundred pesos nor more than five hundred pesos or by imprisonment of not less than thirty days nor more than six months or both: Provided, finally, That, in case the violation is committed by an association or corporation, the penalty herein prescribed shall be imposed on the responsible officers or directors thereof: Provided, finally, That, nothing in this Act shall prevent the Philippine Coast Guard from providing administrative penalties for violation of any regulation that it promulgates. SEC. 8. To carry out the purposes of this Act, there is hereby appropriated, out of any funds in the National Treasury not otherwise appropriated, the sum of fifteen million three hundred twenty-seven thousand five hundred pesos for the purchase of watercraft, personnel services, requirement for maintenance and other operating expenses: Provided, That sixty thousand pesos shall be used exclusively for the updating of the Philippine merchant maritime regulations. To enable the Philippine Coast Guard to acquire the necessary vessel-requirement to accomplish effectively its mission, the sum of nine million pesos each year for the first two years after the passage of this Act and thirteen million pesos each for the succeeding three years shall be included in the annual General Appropriations Act. SEC. 9. All laws, executive orders, rules and regulations and parts thereof inconsistent with this Act are hereby repealed.

SEC. 10. This Act shall take effect upon its approval. Approved: August 4, 1967

Coast Guard Law (Presidential Decree 601) Whereas, there is a need to organizationally modify the Philippine Coast Guard to enable it to discharge its functions more efficiently and effectively; Whereas, there is a need to consolidate functionally related activities into an integrated system to best promote safety of life and property at sea;

“To see a world in a grain of sand and heaven in a wild flower Hold infinity in the palms of your hand and eternity in an hour” -- William Blake

Whereas, it is urgently necessary to maintain the present role of the Coast Guard as the guardian of sea safety, and afford a total approach in its supervision over the Philippine merchant ships with the end in view of promoting a progressive, reliable and safe merchant marine; Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers in me vested by the Constitution, in order to effect the desired changes and reforms in the social, economic and political structure of our society,

do hereby decree and order that the following be adopted and made part of the laws of the land: SECTION 1. Title — This Decree shall be known as the Revised Coast Guard Law of 1974. SEC. 2. Coast Guard objectives — The Philippine Coast Guard created pursuant to Republic Act No. 5173 shall have the following general objectives: a.

b.

c.

d.

e. f.

To enforce or assist in the enforcement of all applicable laws upon the high seas and territorial waters of the Philippines including all ports, customs zones, waterways and other inland waters; To enforce laws, promulgate and administer regulations for the promotion of safety of life and property within the maritime jurisdiction of the Philippines; To develop, establish, maintain and operate with due regard to the requirements of national defense aids to maritime navigation for the promotion of safety on and over high seas and territorial waters of the Philippines; To promulgate, administer and enforce rules and regulations, operate rescue facilities and participate in behalf of the Philippine government in international conferences for regional cooperation relative to the promotion of safety of life and property at sea; To provide necessary assistance to government agencies promoting the economic development of the maritime industry in the Philippines; and To enforce laws, promulgate and administer regulations for marine environmental protection of the territorial waters of the Philippines.

SEC. 3. Abolition of Board of Visitors — The Board of Visitors provided under Section 2 of RA 5173 is abolished. SEC. 4. Administration and operation — The Philippine Coast Guard shall be placed under the direct supervision and control of the Secretary of National Defense. SEC. 5. Specific functions — The Philippine Coast Guard shall perform the following functions: a.

To prevent and suppress illegal entry, illegal fishing, illegal gathering of corals and other marine products, smuggling, other customs frauds and violations of other maritime and fishery laws that may be committed within the waters of the Philippines and, for this purpose, surveillance and inspection by the Philippine Coast Guard may be made on vessels entering and/or leaving Philippine territory; Provided, That any other law enforcement agency may be called upon by the Philippine Coast Guard to render assistance in the discharge of this function;

b.

c.

d. e.

f.

g.

h.

i.

j.

k.

To approve plans for the construction, repair or alteration of vessels; approve materials, equipment and appliances of vessels; approve the classification of vessels; inspect vessels and their equipment and appliances; register all types of motorized watercraft plying in Philippine waters; issue certificates of inspection and/or permits indicating the approval of vessels for operation; issue certificates of Philippine registry of vessels; administer load line requirements; promulgate and enforce other provisions for the safety of life and property of vessels; determine the numbering of undocumented vessels; Provided, That certification and approval of any plans, equipment and any vessels by internationally known classification societies which are recognized by the Philippine government shall be deemed to have complied with this Section; To promulgate and enforce rules for lights, signals, speed, steering, sailing, passing, anchorage, movement and towlines of vessels and lights and signals on bridges; supervise, control and regulate vessels engaged in the carriage of passengers and dangerous cargo; and, regulate the length, method and speed of tow in bays and rivers of the Philippines; To prescribe and enforce regulations for outfitting and operation of motorboats and the licensing of motorboats; To destroy or tow in port sunken or floating dangers to navigation, including fish traps at or close to sea lanes, and to issue permits for the salvage of vessels and to supervise all marine salvage operations as well as prescribe and enforce rules and regulations governing the same; To establish, develop, operate and maintain aids to navigation and facilities for search and rescue operations as well as prescribe rules and regulations relative thereto; To promulgate, administer and enforce rules and regulations giving effect to the provisions of international conventions for the safety of life and property at sea and to represent the Philippine government in such conventions in the interest of promoting regional cooperation; To supervise nautical schools and maritime training programs and prescribe minimum requirements in the conduct of courses in navigation, seamanship, marine engineering and other allied matters in coordination with the Department of Education and Culture; To establish, maintain and operate a Seaman’s Training Center for the training of seafarers for employment aboard inter-island and ocean-going vessels, and in this connection, to establish, maintain and operate a registration and placement unit or office for the administration or seaman’s affairs; To enforce laws and promulgate rules and regulations governing manning of merchant vessels and fishing boats as well as those governing citizenship and mustering and drilling of crews requirements, control of logbooks, shipment, discharge, protection, and welfare of merchant seamen; To quality officers, pilots, major and minor patrons and seamen through proper examinations and issue licenses and certificates as proof of their

l.

m.

n.

o. p.

q.

r.

s. t. u.

qualification, as well as suspend and revoke such licenses and certificates in accordance with the rules and regulations prescribed by the Commandant of the Philippine Coast Guard; To prescribe rules and regulations for the training and certification of unlicensed merchant marine personnel and selected skills in the shipbuilding industry; To enforce laws and promulgate rules and regulations requiring performance of duties of ship-owners and officers after accidents and investigate marine casualties and disasters including those arising from marine protests relative to the liability of ship-owners and officers; To render aid to distressed persons or vessels on the high seas and on waters subject to the jurisdiction of the Philippines, and, in this connection, the Philippine Coast Guard may perform any and all acts necessary to rescue and aid persons; furnish clothing, food, lodging, medicine and other necessary supplies and services to persons succored; protect, save, and take charge of all property saved from marine disasters until such property is delivered to persons authorized to receive it or is otherwise disposed of in accordance with law or applicable regulations; and, collect and take charge of bodies of those who may perish in such disasters; To regulate regattas and marine parades; To enforce laws, promulgate and administer rules and regulations for the prevention of marine pollution within the territorial waters of the Philippines in coordination with the National Pollution Control Commission; To perform functions pertaining to maritime communications in coordination with the Radio Control Office and other cognizant agencies, particularly the requirements of international conventions on Safety of Life at Sea (SOLAS) as regards maritime communications; To control, operate and manage all privately owned ships, barges and other watercraft of Philippine registry relative to the movement of strategic materials as the national security and economic interest of the country may warrant or as ordered by the President of the Philippines or his duly designated representative; To enforce laws and prescribe rules and regulations relative to vessels engaged in the barter trade as provided in Presidential Decree No. 93; To exercise exclusive jurisdiction over seizure proceedings against vessels apprehended for violations of the Coast Guard Law, rules and regulations; To assist within its capabilities and upon request of the appropriate authorities, other government agencies in the performance of their functions, within the waters subject to the jurisdiction of the Philippines, relating to matters and activities not specifically mentioned in this section; Provided, That in the exercise of these functions, personnel of the Philippine Coast Guard shall be deemed to be acting as agents of the particular department, bureau, office, agency or instrumentality charged with the enforcement and administration of the particular law. Members of the Philippine Coast Guard are peace officers for all purposes of this Decree and shall be, and shall act, as law enforcement agents of the

Bureau of Customs, the Bureau of Fisheries and Aquatic Resources, the Commission on Immigration and Deportation, the Bureau of Internal Revenue, the National Pollution Control Commission, the Radio Control Office and such other departments, bureaus or offices in the enforcement of pertinent laws, rules and regulations. SEC. 6. Organization — The Philippine Coast Guard shall continue to be headed by a Commandant who shall be a Flag Officer. The Philippine Coast Guard shall be organized into operational units or subordinate commands for the effective exercise of the functions and duties vested upon it under this Decree and shall modify or revise such organization to suit the requirements of its functions. The Marine Safety Division, including the Naval Architecture and Engineering Section, the Maritime Safety Inspection Section, the Registration and Licensing Section, and the functions of the Hulls and Boilers Division, the Board of Marine Inquiry as then existing in the Bureau of Customs, and all other agencies or instrumentalities of the Government, and pertaining any of the functions provided for in sub-paragraphs (c) to (n). inclusive, of Section 3 of RA 5173, which were transferred to the Philippine Coast Guard, together with their personnel, records, files, supplies, equipment, furniture, funds and other properties, pursuant to the said Act, shall remain so transferred, including the Lighthouse Service of the Philippine Navy; Provided, That the Commandant of the Philippine Coast Guard shall have the power to reorganize these divisions and sections to be responsive to the needs of the Philippine Coast Guard. SEC. 7. Composition of the Board of Marine Inquiry — The Board of Marine Inquiry shall be composed of five (5) members to be appointed by the Secretary of National Defense upon the recommendation of the Commandant, Philippine Coast Guard. Unless otherwise directed by the Secretary of National Defense, the Board of Marine Inquiry shall be constituted as follows: One Coast Guard line of officer of Captain’s rank as Chairman, two Master Mariners, and one Chief Engineer of the Philippine merchant marine, and one other who shall be a member of the Philippine Bar. The Commandant, Philippine Coast Guard shall prescribe the rules of procedure for proceedings before the Board of Marine Inquiry. The members of the Board shall receive a per diem of forty pesos for each day of not less than seven hours of service rendered in connection with marine investigations. SEC. 8. Organization of the Philippine Merchant Marine Academy — The Philippine Merchant Academy created pursuant to RA 3680, to include its personnel, funds, records, equipment and other assets, is hereby placed under the administrative and operational control of the Philippine Coast Guard. The Academy shall be headed by a Superintendent who shall be appointed by the Secretary of National Defense upon the recommendation of the Commandant, Philippine Coast Guard.

SEC. 9. Unauthorized aids to maritime navigation — No person, association or corporation shall establish, erect, or maintain any aid to maritime navigation without first obtaining authorization from the Philippine Coast Guard in accordance with applicable regulations. SEC. 10. Interference with aids to navigation — It shall be unlawful for any person, association, or corporation, to remove, change the location of, obstruct, willfully damage, make fast to, or interfere with any aid to maritime navigation. SEC. 11. Penal provision — Any person, association, or corporation that violates any provision of this Decree, or the rules and regulations promulgated thereunder, shall, upon conviction, be punished with a fine of not less than two hundred pesos nor more than one thousand pesos or by imprisonment of not less than thirty days nor more than six months, or both; Provided, That, in case the violation is committed by an association or corporation, the penalty herein prescribed shall be imposed on the responsible officers or directors thereof; Provided, finally, That nothing in this Decree shall prevent the Philippine Coast Guard from providing administrative penalties for violation of any regulation that it promulgates. SEC. 12. Appropriation — Such sums as may be needed to carry out the provisions of this Decree which are now appropriated for the Philippine Coast Guard shall continue to be carried in the annual General Appropriations Decree and increase correspondingly until the Coast Guard shall have attained fully its growth and shall be authorized a separate Project under Program II of the Program and Budget System of the Armed Forces of the Philippines to be denominated Coast Guard Operations, with the Commandant, Philippine Coast Guard as the Project Coordinator/Administrator. Notwithstanding the amount specifically provided in the appropriations for the Philippine Coast Guard, any revenue collected and/or donations received by it shall be automatically appropriated for the Philippine Coast Guard. SEC. 13. All laws, decrees, orders, instructions, rules and regulations and parts thereof inconsistent with this Decree are hereby repealed and/or modified accordingly. SEC. 14. This Decree shall take effect immediately. Done in the City of Manila, this 9th day of December, 1974.

Coast Guard Jurisdiction Coast Guard is now under the administrative supervision of the Department of Transportation and Communications (DOTC) by virtue of Exec. Order No. 477 (1998). Its functions are now limited to safety of life at sea (SOLAS) and antimarine pollution activities. The enforcement of criminal laws in coastal waters, including illegal fishing activities, is now the principal responsibility of the Maritime Group of the Philippine National Police (PNP).

Prevention and Control of Marine Pollution (Presidential Decree 600 as amended by PD 979) WHEREAS, the marine environment and the living organisms which it supports are of vital importance to humanity, and all people have an interest in assuring that it is managed and protected, and its quality is not impaired; WHEREAS, recognizing that the capacity of the sea to assimilate wastes and render them harmless, and its ability to regenerate natural resources is limited; "Look deep into nature, and then you will understand everything better." --Albert WHEREAS, knowing that marine Einstein pollution originates from many sources, such as dumping and discharging through the rivers, estuaries, brooks or springs;

WHEREAS, it is our responsibility to control public and private activities that cause damage to the marine environment by using the best practicable means and by developing improved disposal processes to minimize harmful wastes;

WHEREAS, there is an urgent need to prevent, mitigate or eliminate the increasing damages to marine resources as a result of pollution; NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Republic of the Philippines, by virtue of the powers vested in me by the Constitution do hereby decree and order the following: SECTION 1. Title - This Decree shall be known as the Marine Pollution Decree of 1974. SEC. 2. Statement of Policy - It is hereby declared a national policy to prevent and control the pollution of seas by the dumping of wastes and other matter which create hazards to human health, harm living resources and marine life, damage amenities, or interfere with the legitimate uses of the sea within the territorial jurisdiction of the Philippines. SEC. 3. Definition of Terms - As used in this Decree: a. b.

c.

d. e.

f. g. h.

i.

"Discharge" includes, but is not limited to, any spilling, leaking, pumping, pouring, emitting, emptying or dumping. "Dumping" means any deliberate disposal at sea of wastes or other matter from vessels, aircraft, platforms or other man-made structures at sea, but does not include (1) the disposal at sea of wastes or other matter incidental to or derived from the normal operations of vessels, aircraft, platforms or other man-made structures at sea and their equipment, nor (2) the disposal of wastes or other matter directly arising from or related to the exploitation and associated off-shore processing of seabed mineral resources. "Oil" means oil of any kind or in any form including, but not limited to, petroleum, fuel oil, sludge, oil refuse, and oil mixed with wastes other than dredge spoil. "Ocean Waters" means all marine waters other than the territorial sea and inland waters of the Philippines and other states. "Public Vessel" means a vessel owned or bareboat chartered and operated by the Republic of the Philippines, and political subdivision thereof, or by a foreign nation, except when such a vessel is engaged in commerce. "Tank vessel" means any vessel especially constructed or converted to carry liquid bulk cargo in tanks. "Tank barge" means any tank vessel not equipped with a means of self propulsion. "Vessel" means every description of watercraft, or other artificial contrivance used, or capable of being used, as a means of transportation on water. "Person" means an individual, partnership, corporation, or association any owner, master, officer or employee of the Republic of the Philippines.

SEC. 4. Deposit of Refuse in Navigable Water - It shall be unlawful to throw, discharge, or deposit, or cause, suffer, or procure to be thrown, discharged, or deposited either from or out of any ship, barge, or other floating craft of any kind, or from the shore, wharf, manufacturing establishment, or mill of any kind, any refuse matter of any kind or description whatever other than that flowing from streets and sewers and passing therefrom in a liquid state, into any navigable water of the Philippines, or into any tributary of any navigable water from which the same shall float or be washed into such navigable water; and it shall be unlawful to deposit, or cause, suffer or procure to be deposited material of any kind in any place on the bank of any navigable water or on the bank of any tributary of any navigable water, where the same shall be liable to be washed into such navigable water, either by ordinary or high tides, or by storms or floods, or otherwise, whereby navigation shall or may be impeded or obstructed or increase the level of pollution of such waters: Provided, that nothing herein contained shall extend to, apply to, or prohibit the operations in connection with the improvement of navigable waters or construction of public works; Provided, further, That the Commandant, Philippine Coast Guard, whenever in his judgment navigation will not be injured thereby, may permit the deposit of any material above mentioned in navigable waters, within limits to be defined and under conditions to be prescribed by him, provided application is made to him prior to depositing such material; and whenever any permit is so granted the conditions thereof shall be strictly complied with and any violation thereof shall be unlawful. SEC. 5. Prohibition Against Discharge of Oil and Other Harmful Substances Except in case of emergency imperiling life or property, or unavoidable accident, collision, or stranding, and except as otherwise permitted by regulations prescribed by the Commandant, Philippine Coast Guard, it shall be unlawful for any person to discharge, or suffer, or permit the discharge of oil, noxious liquid substances and other harmful substances, by any method, means or manner into or upon the territorial and inland waters of the Philippines. SEC. 6. Penalties for Violations - Any person who violates Sections 4 or 5 of this Decree or any regulation prescribed in pursuance thereof, shall be liable to a fine of not less than P5,000, or by imprisonment not exceeding one year nor less than thirty days, or both such fine and imprisonment, for each offense. Any vessel from which oil or other harmful substances are discharged in violation of Sections 4 or 5 or any regulation prescribed in pursuance thereof, shall be liable for the pecuniary penalty specified in this section, and clearance of such vessel from a port of the Philippines may be withheld until the penalty is paid, and said penalty shall constitute a lien on such vessel, which may be recovered in proceedings by libel in rem in a court of first instance within which the vessel may be. SEC. 7. Responsibility and Liability on Oil Spills - Any ship, tank vessel, tank barge or any other watercraft which accidentally or otherwise discharged oil or oily mixture on waters subject to the jurisdiction of the Philippines, the person in charge of the vessel shall immediately notify the Philippine Coast Guard, giving

particulars of the name of the ship and company, location of spill, type of oil spilled, and quantity. In addition, the weather, tide, sea conditions and cause of spill shall be reported. Any person in charge of a vessel who fails to notify the Coast Guard of any oil or oily mixture discharged from his vessel is liable to a fine of P10,000 or imprisonment of not more than six months but not less than 30 days. The owner or operator of a vessel or facility which discharged the oil or oily mixture may be liable to pay for any clean-up costs. SEC. 8. Rules and Regulations - The Commandant, Philippine Coast Guard is authorized and empowered to prescribe rules and regulations in pursuance of the purposes of this Decree, to include but not limited to, vessel design and equipment, oil transfer procedures, oil transfer operations, communications requirement, supervision of operations, equipment test and inspection. SEC. 9. Containment Recovery System - The Philippine Coast Guard shall develop an adequate capability for containment and recovery of spilled oil for inland waters and high seas use. An initial amount of two (2) million pesos is hereby appropriated out of any funds in the National Treasury not otherwise appropriated for the procurement of necessary equipment for this purpose. For the succeeding fiscal years, the appropriation for the development of such capability shall be included in the Philippine Coast Guard portion of the General Appropriation Decree. SEC. 10. Repealing Clause - Any law, rules and regulations inconsistent with this Decree is hereby repealed or modified accordingly. SEC. 11. Effectivity - This Decree shall take effect immediately. DONE in the City of Manila, this 9th day of December, 1974.

Maritime Group (Republic Act 6975) SECTION 1. Title of the Act — This Act shall be known as the “Department of the Interior and Local Government Act of 1990.” SEC. 2. Declaration of Policy — It is hereby declared to be the policy of the State to promote peace and order, ensure public safety and further strengthen local government capability aimed towards the effective delivery of the basic services to the citizenry through the establishment of a highly efficient and competent police force that is national in scope and civilian in character. Towards this end, the State shall bolster a system of coordination and cooperation among the citizenry, local executives and the integrated law enforcement and public safety agencies created under this Act. The police force shall be organized, trained and equipped primarily for the performance of police functions. Its national scope and civilian character shall be paramount. No element of the police force shall be military nor shall any position thereof be occupied by active members of the Armed Forces of the Philippines.

"The voice of the sea speaks to the soul. The touch of the sea is sensuous, enfolding the body in its soft, close embrace." --Kate Chopin

SEC. 35. Support units — The PNP shall be supported by administrative and operational support units. The administrative support units shall consist of the Crime Laboratory, Logistic Unit, Communications Unit, Computer Center, Finance Center and Civil Security Unit. The operational support units shall be composed of the Maritime Police Unit, Police Intelligence Unit, Police Security Unit, Criminal Investigation Unit, Special Action Force, Narcotics units, Aviation Security Unit, Traffic Management Unit, the Medical and Dental Centers and the Civil Relations Unit. To enhance police operational efficiency and effectiveness, the Chief of the PNP may constitute such other support units as may be necessary subject to the approval of the

Commission: Provided, That no support unit headed by a chief superintendent or a higher rank can be created unless provided by law. b. Operational support units — (1) Maritime Police Unit. Headed by a Director with the rank of chief superintendent, the Maritime Police Unit shall perform all police functions over Philippine territorial waters and rivers. SEC. 86. Assumption of the PNP of Police Functions – The PNP shall absorb the functions of the PC, the INP, and the Narcotics Command upon the effectivity of this Act. All the function of the PAFSECOM and the police function of the Coast Guard shall be taken over by the PNP when it acquires the capability to perform such functions after the transition period of eighteen (18) months. The personnel of the PAFSECOM or the Coast Guard shall, within the transition period, have the option to join the PNP or remain with the PAFSECOM or the Coast Guard as the case may be. Approved: December 13, 1990

Unity of Functions While the Maritime group has greatly expanded police powers, it is sorely under-funded and ill-equipped. On the other hand, the Coast Guard has more floating assets and resources, despite more limited functions. It is necessary to consider a memorandum of cooperation whereby the Maritime Group is given access to the resources (especially the boats) of the Coast Guard while the latter may have access to the additional manpower of the PNP Maritime Group. After all, it is the same sea both seek to protect.

Maritime Industry Authority (Presidential Decree 474) Whereas, the efficient sea transport of raw materials, products, commodities and people is vital to the growth of the Philippine economy; Whereas, the functions pertaining to the development and regulation of shipping enterprises are fragmented among various government agencies, resulting in inadequate and inefficient shipping facilities, dependence on external shipping interests, maldistribution of commodities, and piece-meal solutions; Whereas, there is imperative need to modernize and expand the Philippine merchant fleet, and to rationalize and improve their operations in order to "We may brave human laws, but we cannot resist natural make them effective instruments in ones." --Jules Verne promoting domestic production, inter-island and overseas trade, price stabilization, and employment generation; Whereas, it is urgently necessary to provide a strong organizational framework to effect the accelerated and integrated development and effective regulation of shipping enterprises; Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers vested in me by the Constitution, in order to effect the desired changes and reforms in the social, economic and political structure of our society, do hereby decree and order that the following be adopted and made part of the laws of the land: SECTION 1.Title — This Decree shall be known as the Maritime Industry Decree of 1974. SEC. 2. Declaration of Policies and Objectives — It is hereby declared the policy of the State to accelerate the integrated development of the maritime industry of the Philippines to attain the following objectives: a. To increase production and productivity in the various islands and regions of the archipelago through the provision of effective sea linkage; b. To provide for the economical, safe, adequate and efficient shipment of raw materials, products, commodities and people; c. To enhance the competitive position of Philippine flag vessels in the

carriage of foreign trade; d. To strengthen the balance of payments position by minimizing the outflow of foreign exchange and increasing dollar earnings; (e) To generate new and more job opportunities. For the attainment of these objectives, the Government through the Maritime Industry Authority hereinafter created shall: a.

b.

c.

Adopt and implement a practicable and coordinated Maritime Industry Development Program which shall include, among others, the early replacement of obsolescent and uneconomic vessels; modernization and expansion of the Philippine merchant fleet, enhancement of domestic capability for shipbuilding, repair and maintenance; and the development of reservoir of trained manpower; Provide and help provide the necessary; (i) financial assistance to the industry through public and private financing institutions and instrumentalities; (ii) technological assistance; and (iii) in general, a favorable climate for expansion of domestic and foreign investments in shipping enterprises; and Provide for the effective supervision, regulation and rationalization of the organizational management, ownership and operations of all water transport utilities, and other maritime enterprises.

Sea – Fever I must go down to the seas again, to the lonely sea and sky, And all I ask is a tall ship and a star to steer her by, And the wheel’s kick and the wind’s song and the white sail’s shaking, And a grey mist on the sea’s face, and a grey dawn breaking. I must go down to the seas again, for the call of the running tide Is a wild call and a clear call that may not be denied; And all I ask is a windy day with the white clouds flying, And the flung spray and the blown spume, and the sea-gulls crying. I must go down to the seas again to the vagrant and gypsy life. To the gull’s way and the whale’s way where the wind’s like a whetted knife; And all ask is a merry yarn from a laughing fellow-rover, Quiet sleep and a sweet dream when the long trick is over.*

*

John Masefield

"We ourselves feel that what we are doing is just a drop in the ocean. But the ocean would be less because of that missing drop." --Mother Teresa of Calcutta

Fresh Water The second most important element of life after air is water. It is also the most abused. Water comes in two kinds – sea water and fresh water. Water in its entirety makes up about ¾ of the surface area of the Earth. The rest is land. If we likened all the water in the world to 100 drops of water in the world, 97 drops are made up of salty water, and the remaining three drops is made of fresh water. Of the remaining three drops of freshwater, there are two that are found locked in glaciers and underneath the ground, the so-called aquifers, and only one drop is what we find on the surface, circulating in the atmosphere as rain or snow (precipitation) and flowing through the rivers and streams. The whole point of this discussion on how much freshwater there is in the atmosphere is that it is very limited. As we know, it is the source of life. Without food, we can last for weeks, but without water, after 72 hours, the organs, especially the kidneys, begin to falter and fail. Yet, because we are either not aware of how limited are the sources of fresh water we tend to misuse, and often abuse it. Note for example: We use potable fresh water to not only to wash things (like our motor vehicles), in the 20th century, we even used potable fresh water to flush down human wastes. Worse,

we even dirty the very water that we drink with our human-generated wastes – from our houses (in the form of domestic sewage) and from our factories (in the form of industrial pollution). Truly, this is a very unusual trait of humankind. Among all the animals in the animal kingdom, we, supposedly wise creatures, are the only animals that dirty the very water that we drink. And then there is our treatment of our waterways and seashores. It is said that ‘water seeks its own level.’ What does that mean? It only means that water will find a way to penetrate spaces where it can. If a space that was once filled up with water will be filled up with land, the water displaced will seek some space elsewhere. This is a basic law of nature, a law of physics. Why is this important to understand? Because if we violate it, there is no right or wrong, there are no rewards nor punishments … there are only consequences. If we displace water from a certain place, like a river bank, by filling it up, it will seek other places to fill up. And if we fill up low lying areas, so-called ‘flood prone’ areas, let us not complain that there is flooding. It is simple the Law of Nature! The movement of water is also very dynamic. The movement of water follows more or less a regular pattern, the ‘mean’ flood (for rivers and waterways) and the mean tide (for seashores). But there are times of unusual movement of water. In the waterways, there are times when there is an unusually heavy downpour of rain (or snow) which then causes the flooding of riverbanks and the tributaries and the mouth of the waterways. When structures are erected by mindless humans right on the riverbanks too close to the water, the risk of flooding is ever present. That is why these are called ‘flood-prone areas’. These places should never be built up with human settlements and structures. If such flood-prone areas are built up with structures by humans, and they experience flooding, is it the fault of water? In the case of the seashore, there must be a wide margin of the beach that must be kept open and free at all times. The reasons are many. One is for safety. If humans build there homes too close to the sea, they risk destruction and death during sudden storm surges or typhoons when large waves hit the shore. Second is for recreation. The seashore is a primary place of recreation for everyone – for the public in general. It is on the beach and beside that sea where man seeks to return and communes with Mother Nature. After all, hundreds of millions of years ago, did all life not come from the womb of Mother Sea? Thus, the law reserves the seashore and the beaches as ‘land of public domain’ for everyone to enjoy. Besides, there is nothing more beautiful to behold than the sight of an open beach and the grand vista of the Sea. As such, therefore, it should never be the subject of any private land title. For special public uses (such as ports), the State, as trustee of the people, may

grant a temporary permit. This comes in the form of ‘foreshore lease agreement’ or some such instrument of tenure or occupation. Incidentally, one must understand the difference between seashore and foreshore. Seashore is the generally dry land -- the beach, so to speak – starting from the edge of the water landward. On the other hand, ‘foreshore’ refers to the land underneath the sea that is submerged (or covered with water) during high tide and exposed (and becomes relatively dry land) during low tide. They are also sometimes known as tidal flats. And then there is a third reason for keeping the beaches open: It is reserved to people to have access to when go fishing. Especially in such bountiful seas as the Philippines, one can just go fishing from the seashore. In an island in theVisayan Sea, people still talk of the time when the sea was so rich, they would just go down to the seashore, cast their nets into the sea and catch enough for a family to eat for the day, with some more to dry and save for the rainy days. They still talk of the time for example, only about 30 years ago, when they would go to the foreshore areas not with hook and line, nor with nets, but with a BASKET to simply scoop out dozens of fish (especially the delicious danggit), from the tidal pools. And then there is a fourth reason: This margin of land along the seashore is reserved for navigational use. There are times when a boat may be in distress and must seek immediate shelter on land. And even if a boat is not in distress, there small boats cannot be placed on water the whole year round and must be kept dry (temporary dry-docked) especially when it is not in use or when the waves are strong and it is unsafe to leave the boat in the water. In Law is this called ‘land of public domain.’ It means that this land is not capable of being owned by any private person for exclusive private use. In a large sense, it is like the road – it is for use by everyone and not just by any private individual. It cannot be titled to any private individual. And even if it is so titled, this area must be kept open and free for the use by everyone. That is why the Law reserves this area as an easement zone. And then there is the consideration of sanitation, health and hygiene. When human settlements are built too closely to the waters of the sea or river, the human waste water (sewage) and other human-generated refuse are likely to seep or be thrown into the body of water. Septic tanks of houses, wherever there are any, eventually leak out through the ground and seep into the sea. In the mid1990s, the world-famous beaches of Boracay was discovered to contain the coliform bacteria. In a recently-concluded study (2005) by the University of the Philippines, this pollution still goes on in some parts the island. The environmental experience of Boracay is a perfect example of rampant, uncontrolled, and mindless development very close to the shore without the

proper environmental safeguards. The lack of proper sewage and solid waste disposal systems, the absence of land use and zoning controls, and an unhealthy obsession for money by both the local government and the private sector have resulted in the present sad state of Boracay – a typical scenario of mindless overdevelopment and crass commercialism. Eventually, all these factors result in degrading or totally destroying the very qualities (and reason) why people come to visit the island. After all, who would want to go to crowded beaches only to swim in waters with e.coli bacteria. Yet, other local governments (such as those in Bantayan Island, Moalboal, Anilao, Puerto Galera, and almost everywhere else), places which also have nice beaches and bountiful seas are falling or have fallen into the same abyss of unplanned and dim-witted development. Sad. We go through a lengthy discussion of the reasons for the Law to set the stage for everyone to understand why this area, this margin of land on the riverbank and on the seashore, must be kept open and free at all times – for recreation, navigation, salvage and ‘floatage’. It also makes us understand the reason behind the law (in Latin, it is called the ratio legis) why the Law provides that: “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 (or protected) areas, along their margins are subject to the easement zone of public use in the interest of recreation, navigation, floatage, fishing and salvage. No person shall stay in this zone longer than what is necessary for recreation, navigation, floatage, fishing, or salvage or to build structures of any kind.” (Section 51, Pres. Decree 1067, The Water Code; See also Section 16 of Pres. Decree 705, The Forestry Code, for the definition of ‘forest land’ which cannot be the subject of occupation and unlawful construction). The Law is so protective of this margin of land, this ‘easement zone of recreation and navigation’ that the act of building structures of any kind and “occupancy of a riverbank or seashore without permission” is penalized with a fine and/or 3 to 6 years of imprisonment (Section 91-B, Water Code). Sadly, however, for a beautiful island nation like the Philippines, surrounded by the richest body of marine waters on Earth -- with a coastal zone twice longer than that of the United States – this Law languishes in the sickbed

of non-compliance. Private structures are built right on the seashore by ignorant or unscrupulous or downright greedy individuals depriving the public access to the easement zone specially reserved by Law to recreation, navigation, etc. Some, no many, individuals are even so brazen as to construct right on the water itself, filling up the riverbed or the tidal flat or foreshore itself, and blocking the passage of people through the beach or even through the sea. To ‘walk’ along the seashore and get from one point to another, one would have to swim. And pray tell: Who do Government Officials, especially Local Government Officials, especially the Mayors, allow this? Is it out of sheer and gross ignorance of the Law? Is it out of apathy to the benefit and welfare of the general public? Is it out of inexcusable negligence and unlawful tolerance of a criminal conduct? Or it is also because of confusion of who (or which government agency) has jurisdiction over riverbanks and seashores? The answer is: All of the above. There are a few things that need to be recalled for better clarity: 1. 2.

3.

4.

5.

The seashore/riverbank is land of public domain and is not subject to private use. Even if the land has been erroneously titled, it is subject to the easement of public recreation, navigation, fishing, floatage and salvage and must therefore be kept open and free for public access. This area is like a road – it is for public use. Any structure built on this area is a public nuisance for being an obstruction of the passageway of the human public to the sea (or to the river) or an obstruction of the way of the water. To recall, any interference in the waterway results in the undesirable consequence of flooding. As a public nuisance, the primary responsibility for its abatement, removal, or demolition rests with the local government unit. It is similar in character to an obstruction of the road. If the Mayor wakes up tomorrow morning and sees a shanty built in the middle of the road, he would have no second thoughts about ordering its immediate removal. So too must seashores and riverbanks be treated and cleared when there are obstructions and structures are built on these areas reserved for public use. Marikina City was able to clear its riverbanks, cleared its seashores. There is no reason why other local government should not. The Water Code sets the minimum standards – 3 meters for urban, 20 meters for agricultural areas, and 40 meters for forest or protected areas. Local governments, taking into consideration its local conditions and circumstances are free to expand the areas. In Metro Manila, for example, while urban in character (the minimum easement of which is only 3 meters), the former Metro Manila Commission enacted a local ordinance establishing an easement zone of 10 meters along the Pasig River. Not only is this legally correct, it is also highly commendable. Unfortunately,

6. 7.

However, riparian local government units have not had the political will to implement this ordinance. As local chief executive -- the Punong Barangay (also called the Bgy. Chairman or Captain) and the Mayor – have all the legal power and to remove and demolish the structures on the beaches. He/She can draw authority from the following legal provisions: a.

General Provisions for the LGU: - “Local government units shall share with the national government the responsibility (for) the maintenance of ecological balance within their territorial jurisdiction” [Sec. 3 (i)] - General Welfare Clause: “Every local government shall exercise powers expressly granted, necessarily implied, and those essential to the promotion of the general welfare” (Section 16). b. For the Barangay Captain, and as the local chief executive, he is empowered to execute all laws; particularly to “enforce laws and regulations (on) environmental protection” [Section 389 (b)(9)]. c. For the City and Municipal Mayor: - General police powers of the LGU and the chief executive to implement and enforce all national and local laws and “exercise such duties and functions provided by the (Local Government) Code and other laws.” [Sec. 444 (a)]. - Adopt adequate measures to safeguard and conserve land … marine … and forest resources [Sec. 444 (3)(vii). Similar provisions are also found in the appropriate section on the powers of the City Mayor]. d. For the Sangguniang Bayan (SB): - “Approve ordinances and pass resolutions necessary (to) … “Protect the environment … and impose appropriate penalties for acts which endanger the environment and activities which result in … ecological imbalance.” [Sec. 447 (a)(1)(vi)]. - “Prescribe reasonable limits and restraints on the use of property” [Sec. 447 (a)(2)(vi)] - “Adopt a comprehensive land use plan for the municipality and enact integrated zoning ordinances …” ([Sec. 447 (a)(2)(ix)] - Incidentally, the local government, particularly the SB (or Sangguniang Panlungsod) is also mandated to “provide for the establishment of communal forests, watershed, tree parks, greenbelts, mangroves, and other similar forest development projects” [Sec. 447 (a)(5)(i)]. It is also duty-bound to “protect the purity and quantity of the water supply of the municipality… and extend the coverage of the appropriate ordinances over all territory within the drainage area of said water supply and within one hundred meters … of the watershed” [Sec. 447 (a)(2)(vii)].

We again go through great lengths to explain the reason behind the law and the legal provisions in the LGUs arsenal of authority if only for the hope that this law is understood by all concerned, especially by the local officials. For an island nation like the Philippines, the beaches, marine waters, and coastal zones are our greatest wealth. Unless we understand that, appreciate it, and give it the value that it deserved, we will continue to despoil the priceless wealth that we hold in our hands. When we continue to build human settlements in wetlands and ‘flood-prone areas’ -- like in Manila, Malabon, Navotas, Iloilo, etc. – we will always have floods. One does not need to know rocket science to understand that. Flooding is not water in the wrong place. Water was there long before men came along. Flooding is man in the wrong place.

Clean Water Act (Republic Act 9275)

Chapter 1 General Provisions Article 1 Declaration of Principles and Policies SECTION 1. Short Title. - This Act shall be known as the "Philippine Clean Water Act of 2004." SEC. 2. Declaration of Policy. - The State shall pursue a policy of economic growth in a manner consistent with the protection, preservation and revival of the quality of our fresh, brackish and marine waters. To achieve this end, the framework for sustainable development shall be pursued. As such, it shall be the policy of the State: a.

b.

c.

d.

To streamline processes and procedures in "Nature's law affirm instead of prohibit. If you the prevention, control and abatement of violate her laws, you are your own prosecuting pollution of the country's water resources; attorney, judge, jury, and hangman." --Luther To promote environmental strategies, use of Burbank appropriate economic instruments and of control mechanisms for the protection of water resources; To formulate a holistic national program of water quality management that recognizes that water quality management issues cannot be separated from concerns about water sources and ecological protection, water supply, public health and quality of life; To formulate an integrated water quality management framework through proper delegation and effective coordination of functions and activities;

e. f.

g. h.

i. j.

promote commercial and industrial processes and products that are environment friendly and energy efficient; To encourage cooperation and self-regulation among citizens and industries through the application of incentives and market-based instruments and to promote the role of private industrial enterprises in shaping its regulatory profile within the acceptable boundaries of public health and environment; To provide for a comprehensive management program for water pollution focusing on pollution prevention; To promote public information and education and to encourage the participation of an informed and active public in water quality management and monitoring; To formulate and enforce a system of accountability for short and long-term adverse environmental impact of a project, program or activity; and To encourage civil society and other sectors, particularly labor, the academe and business undertaking environment-related activities in their efforts to organize, educate and motivate the people in addressing pertinent environmental issues and problems at the local and national levels.

SEC.3. Coverage of the Act. - This Act shall apply to water quality management in all water bodies: Provided, That it shall primarily apply to the abatement and control of pollution from land based sources: Provided, further, That the water quality standards and regulations and the civil liability and penal provisions under this Act shall be enforced irrespective of sources of pollution.

Article 2 Definition of Terms SEC. 4. Definition of Terms. - As used in this Act: a.

b. c.

Aquifer - means a layer of water-bearing rock located underground that transmits water in sufficient quantity to supply pumping wells or natural springs. Aquatic life - means all organisms living in freshwater, brackish and marine environment. Beneficial use - means the use of the environment or any element or segment thereof conducive to public or private welfare, safety and health; and shall include, but not be limited to, the use of water for domestic, municipal, irrigation, power generation, fisheries, livestock raising, industrial, recreational and other purposes. 1. Use of water for domestic purposes - means the utilization of water for drinking, washing, bathing, cooking or other household needs, home gardens and watering of lawns or domestic animals;

2.

d.

e. f.

g.

h.

i. j.

Use of water for municipal purposes - means the utilization of water for supplying water requirements of the community; 3. Use of water for irrigation - means the utilization of water for producing agricultural crops; 4. Use of water for power generation - means the utilization of water for producing electrical or mechanical power; 5. Use of water for fisheries - means the utilization of water for the propagation of culture of fish as a commercial enterprise; 6. Use of water for livestock raising - means the utilization of water for large herds or flocks of animals raised as a commercial enterprise; 7. Use of water for industrial purposes - means the utilization of water in factories, industrial plants and mines, including the use of water as an ingredient of a finished product; and 8. Use of water for recreational purposes - means the utilization of water for swimming pools, bath houses, boating, water skiing, golf courses and other similar facilities in resorts and other places of recreation. Classification/Reclassification of Philippine Waters - means the categorization of all water bodies taking into account, among others, the following: (1) existing quality of the body of water; (2) size, depth, surface area covered, volume, direction, rate of flow and gradient of stream; (3) most beneficial existing and future use of said bodies of water and lands bordering them, such as for residential, agricultural, aquacultural, commercial, industrial, navigational, recreational, wildlife conservation and aesthetic purposes; and (4) vulnerability of surface and groundwater to contamination from pollutive and hazardous wastes, agricultural chemicals and underground storage tanks of petroleum products. Civil Society - means non-government organizations (NGOs) and people's organizations (POs). Cleaner Production - means the application of an integrated, preventive environmental strategy to processes, products, services to increase efficiency and reduce risk to humans and the environment; Clean-up operations - means activities involving the removal of pollutants discharged or spilled into a water body and its surrounding areas, and the restoration of the affected areas to their former physical, chemical and biological state or conditions. Contamination - means the production of substances not found in the natural composition of water that make the water less desirable or unfit desirable or unfit for intended use. Department - means the Department of Environment and Natural Resources. Discharge includes, but is not limited to, the act of spilling, leaking, pumping, pouring, emitting, emptying, releasing or dumping of any material into a water body or onto land from which it might flow or drain into said water.

k. l.

m.

n.

o.

p.

q.

r. s. t.

u.

v.

Drinking water- means water intended for human consumption or for use in food preparation. Dumping - means any unauthorized or illegal disposal into any body of water or land of wastes or toxic or hazardous material: Provided, That it does not mean a release of effluent coming from commercial, industrial, and domestic sources which are within the effluent standards. Effluent - means discharge from known sources which is passed into a body of water or land, or wastewater flowing out of a manufacturing plant, industrial plant including domestic, commercial and recreational facilities. Effluent standard - means any legal restriction or limitation on quantities, rates, and/or concentrations or any combination thereof, of physical, chemical or biological parameters of effluent which a person or point source is allowed to discharge into a body of water or land. Environmental management - means the entire system which includes, but is not limited to, conservation, regulation and minimization of pollution, clean production, waste management, environmental law and policy, environmental education and information, study and mitigation of the environmental impacts of human activity, and environmental research. Environmental management system - means the part of the overall management system that includes organizational structure, planning activities, responsibilities, practices, procedures, processes and resources for developing, implementing, achieving, reviewing and maintaining the environment policy. Freshwater - means water containing less than 500 ppm dissolved common salt, sodium chloride, such as that in groundwater, rivers, ponds and lakes. Groundwater - means a subsurface water that occurs beneath a water table in soils and rocks, or in geological formations. Groundwater vulnerability - means relative ease with which a contaminant located at or near the land surface can migrate to the aquifer or deep well. Groundwater vulnerability map - means the identified areas of the land surface where groundwater quality is most at risk from human activities and shall reflect the different degrees of groundwater vulnerability based on a range of soil properties and hydro geological criteria to serve as guide in the protection of the groundwater from contamination. Hazardous waste - means any waste or combination of wastes of solid liquid, contained gaseous, or semi-solid form which cause, of contribute to, an increase in mortality or an increase in serious irreversible, or incapacitating reversible illness, taking into account toxicity of such waste, its persistence and degradability in nature, its potential for accumulation or concentration in tissue, and other factors that may otherwise cause or contribute to adverse acute or chronic effects on the health of persons or organism. Industrial waste - means any solid, semi-solid or liquid waste material with no commercial value released by a manufacturing or processing plant other than excluded material.

w.

x.

y.

z.

aa. bb.

cc.

dd.

ee. ff. gg.

Integrated Water Quality Management Framework - means the policy guideline integrating all the existing frameworks prepared by all government agencies contain the following; water quality goals and targets; (b) period of compliance; (c) water pollution control strategies and techniques; (d) water quality information and education program; (e) human resources development program. Margin - means a landward and outer limiting edge adjacent to the border of any water bodies or a limit beyond where beyond where saturation zone ceases to exist. National Water Quality Status Report - means a report to be prepared by the Department indicating: a) the location of water bodies, their quality, taking into account seasonal, tidal and others variations, existing and potential uses and sources of pollution per specific pollutant and pollution load assessment; b) water quality management areas pursuant to Section 5 of this Act; c) and water classification. Non-point source - means any source of pollution not identifiable as point source to include, but not be limited to, runoff from irrigation or rainwater, which picks up pollutants from farms and urban areas. Point source - means any identifiable source of pollution with specific point of discharge into a particular water body. Pollutant- shall refer to any substance, whether solid, liquid, gaseous or radioactive, which directly or indirectly: (i) alters the quality of any segment of the receiving water body to affect or tend to affect adversely any beneficial use thereof; (ii) is hazardous or potential hazardous to health; (iii) imparts objectionable odor, temperature change, or physical, chemical or biological change to any segment of the water body; or (iv) is in excess of the allowable limits, concentrations, or quality standards specified, or in contravention of the condition, limitation or restriction prescribed in this Act. Pollution control technology- means pollution control devices or apparatus, processes, or other means that effectively prevent control or reduce pollution of water caused by effluents and other discharges, from any point source at levels within the water pollution standards. Potentially infectious medical waste- include isolation wastes, infectious agents, human blood and blood products, pathological wastes, sharps, body parts, contaminated bedding, surgical wastes, and other disposable medical equipment and material that may pose a risk to the public health, welfare or the marine environment. Secretary - means the Secretary of the Department of Environmental and Natural Resources (DENR). Septage - means the sludge produced on individual onsite wastewater disposal systems, principally septic tanks and cesspools. Sewage - means water-borne human or animal wastes, excluding oil or oil wastes, removed from residences, building, institutions, industrial and commercial establishments together with such groundwater, surface water

hh.

ii.

jj. kk.

ll.

mm.

nn. oo.

pp.

qq.

rr.

and storm water as maybe present including such waste from vessels, offshore structures, other receptacles intended to receive or retain waste or other places or the combination thereof. Sewerage - includes, but is not limited to, any system or network of pipelines, ditches, channels, or conduits including pumping stations, lift stations and force mains, service connections including other constructions, devices, and appliances appurtenant thereto, which includes the collection, transport, pumping and treatment of sewage to a point of disposal. Sludge - means any solid, semi-solid or liquid waste or residue generated from a wastewater treatment plant, water supply treatment plant, or water control pollution facility, or any other such waste having similar characteristics and effects. Surface water - means all water, which is open to the atmosphere and subject to surface runoff. Treatment - means any method, technique, or process designed to alter the physical, chemical or biological and radiological character or composition of any waste or wastewater to reduce or prevent pollution. Toxic amount - means the lowest amount of concentration of toxic pollutants, which may cause chronic or long-term acute or lethal conditions or effects to the aquatic life, or health of persons or which may adversely affect designated water uses. Waste - means any material either solid, liquid, semisolid, contained gas or other forms resulting industrial, commercial, mining or agricultural operations, or from community and household activities that is devoid of usage and discarded. Wastewater - means waste in liquid state containing pollutants. Water body - means both natural and man-made bodies of fresh, brackish, and saline waters, and includes, but is not limited to, aquifers, groundwater, springs, creeks, streams, rivers, ponds, lagoons, water reservoirs, lakes, bays, estuarine, coastal and marine waters. Water bodies do not refer to those constructed, developed and used purposely as water treatment facilities and / or water storage for recycling and re-use which are integral to process industry or manufacturing. Water Pollution - means any alteration of the physical, chemical, biological, or radiological properties of a water body resulting in the impairment of its purity or quality. Water Quality - means the characteristics of water, which define its use in characteristics by terms of physical, chemical, biological, bacteriological or radiological characteristics by which the acceptability of water is evaluated. Water quality guidelines - means the level for a water constituent or numerical values of physical, chemical, biological and bacteriological or radiological parameters which are used to classify water resources and their use, which does not result in significant health risk and which are not intended for direct enforcement but only for water quality management purposes, such as determining time trends, evaluating stages of

ss.

deterioration or enhancement of the water quality, and as basis for taking positive action in preventing, controlling or abating water pollution. Water Quality Management Area Action Plan - includes, but not be limited to, the following: (a) goals and targets including sewerage or septage program, (b) schedule of compliance to meet the applicable requirements of this Act; (c) water pollution control strategies or techniques; (d) water quality information and education program; e) resource requirement and possible sources; f) enforcement procedures of the plan and (g) rewards and incentives under Chapter 4 of this Act.

Chapter 2 Water Quality Management System Article 1 General Provisions SEC. 5. Water Quality Management Area. - The Department, in coordination with National Water Resources Board (NWRB), shall designate certain areas as water quality management areas using appropriate physiographic units such as watershed, river basins or water resources regions. Said management areas shall have similar hydrological, hydrogeological, meteorological or geographic conditions which affect the physicochemical, biological and bacteriological reactions and diffusions of pollutants in the water bodies, or otherwise share common interest or face similar development programs, prospects or problems. Said management area shall be governed by a governing board composed of representatives of mayors and governors of member local government units (LGUs), and representatives of relevant national government agencies, duly registered non-governmental organization, water utility sector, and business sector. The Department representative shall chair the governing board. In the case of the LGUs with memberships on more than one (1) management board, the LGU shall designate only one (1) single representative for all the management areas wherein is a member. The governing board shall formulate strategies to coordinate policies necessary for the effective implementation of this Act in accordance with those established in the framework and monitor the compliance with the action plan. Each management area shall create a multi-sectoral group to establish and affect water quality surveillance and monitoring network including sampling schedules and other similar activities. The group shall submit its report and recommendation to the chairman of the governing board. A technical secretariat for each management area is hereby created which shall be part of the department and shall provide technical support to the

governing board. They shall be composed of at least four (4) members who shall have the following minimum qualifications: a. b.

c.

d.

One (1) member shall be a member of the Philippines Bar; One (1) member shall be a Chemical Engineer, Chemist, Sanitary Engineer, Environmental Engineer or Ecologist or significant training and experience in chemistry; One (1) member shall be a Civil Engineer or Hydrologist or Significant training and experience in closely related fields and experience on ground water, respectively; and One (1) member shall be a Geologist, Biologist, or significant training and experience in closely related fields.

The areas within the jurisdiction of the Laguna Lake Development Authority (LLDA) shall be designated as one management area under the administration of LLDA in accordance with R.A. No. 4850, as amended: Provided, However, That the standards promulgated pursuant to this Act and wastewater charge system established pursuant hereof shall be enforced in said area. SEC. 6. Management of Non-attainment Areas. - The Department shall designate water bodies, or portions thereof, where specific pollutants from either natural or man-made source have already exceeded water quality guidelines as nonattainment areas for the exceeded pollutants. It shall prepare and implement a program that will not allow new sources of exceeded water pollutant in nonattainment areas without a corresponding reduction in discharges from existing sources; Provided, That if the pollutant is naturally occurring, e.g. naturally high boron and other elements in geothermal areas, discharge of such pollutant may be allowed: Provided, further, That the effluent concentration of discharge shall not exceed the naturally occurring level of such pollutant in the area: Provided, Finally, That the effluent concentration and volume of discharge shall not adversely affect water supply, public health and ecological protection. The Department shall, in coordination with NWRB, Department of Health (DOH), Department of Agriculture (DA), governing board and other concerned government agencies and private sectors shall take such measures as may be necessary to upgrade the quality of such water in non-attainment areas to meet the standards under which it has been classified. Upgrading of water quality shall likewise include undertakings, which shall improve the water quality of a water body to a classification that will meet its projected or potential use. The LGUs shall prepare and implement contingency plans and other measures including relocation, whenever necessary, for the protection of health and welfare of the residents within potentially affected areas.

SEC. 7. National Sewerage and Septage Management Program. - The Department of Public Works and Highways (DPWH), through its relevant attached agencies, in coordination with the Department, local government units (LGUs) and other concerned agencies, shall, as soon as possible, but in no case exceeding a period of twelve (12) months from the affectivity of this Act, prepare a national program on sewerage and septage management in connection with Section 8 hereof. Such program shall include a priority listing of sewerage, septage and combined sewerage-septage projects for LGUs based on population density and growth, degradation of water resources, topography, geology, vegetation, program/projects for the rehabilitation of existing facilities and such other factors that the Secretary may deem relevant to the protection of water quality. On the basis of such national listing, the national government may allot, on an annual basis, funds for the construction and rehabilitation of required facilities. Each LGU shall appropriate the necessary land, including the required rights-of-way/road access to the land for the construction of the sewage and/or septage treatment facilities. ` Each LGU may raise funds to subsidize necessary expenses for the operation and maintenance of sewerage treatment or septage facility servicing their area of jurisdiction through local property taxes and enforcement of a service fee system. SEC. 8. Domestic Sewage Collection, Treatment and Disposal. - Within five (5) years following the effectivity of this Act, the Agency vested to provide water supply and sewerage facilities and/or concessionaires in Metro Manila and other highly urbanized cities (HUCs) as defined in Republic Act No. 7160, in coordination with LGUs, shall be required to connect the existing sewage "And this, our life, exempt from public haunt, finds tongues in trees, line found in all subdivisions, books in the running brooks, sermons in stones, and good in condominiums, commercial everything." --William Shakespeare centers, hotels, sports and recreational facilities, hospitals, market places, public buildings, industrial complex and other similar establishments including households to available sewerage system. Provided, That the said connection

shall be subject to sewerage services charge/fees in accordance with existing laws, rules or regulations unless the sources had already utilized their own sewerage system: Provided, further, That all sources of sewage and septage shall comply with the requirements herein. In areas not considered as HUCs, the DPWH in coordination with the Department, DOH and other concerned agencies, shall employ septage or combined sewerage-septage management system. For the purpose of this section, the DOH, coordination with other government agencies, shall formulate guidelines and standards for the collection, treatment and disposal of sewage including guidelines for the establishment and operation of centralized sewage treatment system. SEC. 9. National Water Quality Management Fund. - A water quality management fund, to be administered by the Department, in coordination with other concerned agencies, as a special account in the National Treasury is hereby established. The fund shall be used to finance the following: a. b. c. d. e. f. g.

Finance containment and clean-up operations of the government in water pollution cases; Guarantee restoration of ecosystems and rehabilitation of affected areas; Support research, enforcement and monitoring activities; Provide technical assistance to the implementing agencies; Grant rewards and incentives; Support information and educational campaign; and Such other disbursements made solely for the prevention, control or abatement of water pollution and management and administration of the management areas in the amounts authorized by the Department.

The fines imposed and damages awarded to the government by the Pollution Adjudication Board (PAB), proceeds of permits issued by the Department under this Act, donations, endowments and grants in the form of contributions to the national government under this Act shall form part of the fund. Such donations, endowments and grants shall be exempt from donor's taxes and all other taxes, charges or fees imposed by the government and shall be deductible from the gross income of the donor for income tax purposes. Disbursements from the fund shall be subject to the usual accounting and budgeting rules and regulations. SEC. 10. The Area Water Quality Management Fund. - The area water quality management fund is hereby established for the maintenance and upkeep of the water bodies in a water quality management area. The fund shall be utilized for the grant of rewards and incentives for entities whose effluent discharges are better than the water quality criteria of the target classification of the receiving

body of water, loans for acquisitions and repairs of facilities to reduce quantity and improve quality of wastewater discharges, and regular maintenance of the water bodies within the management area. An amount of not more than ten percent (10%) of the total amount accruing to the funds annually shall be allocated for the operational expenses of the governing board, its secretariat and multi-sectoral water quality surveillance and monitoring network. This fund shall initially be sourced from the fines incurred by the establishments located in rural areas before the effectivity of this Act. Thereafter, the fees collected under the wastewater charge system established under Section 13 of this Act, donations, endowments and grants for water quality management of the area shall accrue to the fund. Disbursements from the fund shall be subject to the usual accounting and budgeting rules and regulations. This fund shall be managed by the Board of the corresponding management area. SEC. 11. Water Quality Variance for Geothermal and Oil and Gas Exploration. The Department may provide variance in water quality criteria and standards for geothermal exploration that encounters re-injection constraints: Provided, That there shall be provision for adequate protection of beneficial use of water bodies, downstream of the geothermal project: Provided, further, That this provision may be applied to oil and gas exploration as determined by the Department. SEC. 12. Categories of Industry Sector. - Within twenty-four (24) months from the effectivity of this Act, and every two (2) years thereafter, the Department shall, through due public consultation, revise and publish a list of categories of industry sector for which effluent standards will be provided for each significant wastewater parameter per industry sector. The Department shall provide additional classification based on other parameters specifically associated to discharge of a particular industry which shall be included in the listing of categories prescribed in the preceding paragraph.

Article 2 Water Pollution Permits and Charges SEC. 13. Wastewater Charge System. - The Department shall implement a wastewater charge system in all management areas including the Laguna Lake Region and Regional Industrial Centers through the collection of wastewater charges/fees. The system shall be established on the basis of payment to the the grant of rewards and incentives for entities whose effluent discharges are better than the water quality criteria of the target classification of the receiving body of

water, loans for acquisitions and repairs of facilities to reduce quantity and improve quality of wastewater discharges, and regular maintenance of the water bodies within the management area. An amount of not more than ten percent (10%) of the total amount accruing to the funds annually shall be allocated for the operational expenses of the governing board, its secretariat and multi-sectoral water quality surveillance and monitoring network. This fund shall initially be sourced from the fines incurred by the establishments located in rural areas before the effectivity of this Act. Thereafter, the fees collected under the wastewater charge system established under Section 13 of this Act, donations, endowments and grants for water quality management of the area shall accrue to the fund. Disbursements from the fund shall be subject to the usual accounting and budgeting rules and regulations. This fund shall be managed by the Board of the corresponding management area. SEC. 11. Water Quality Variance for Geothermal and Oil and Gas Exploration. The Department may provide variance in water quality criteria and standards for geothermal exploration that encounters re-injection constraints: Provided, That there shall be provision for adequate protection of beneficial use of water bodies, downstream of the geothermal project: Provided, further, That this provision may be applied to oil and gas exploration as determined by the Department. SEC. 12. Categories of Industry Sector. - Within twenty-four (24) months from the effectivity of this Act, and every two (2) years thereafter, the Department shall, through due public consultation, revise and publish a list of categories of industry sector for which effluent standards will be provided for each significant wastewater parameter per industry sector. The Department shall provide additional classification based on other parameters specifically associated to discharge of a particular industry which shall be included in the listing of categories prescribed in the preceding paragraph.

Article 2 Water Pollution Permits and Charges SEC. 13. Wastewater Charge System. - The Department shall implement a wastewater charge system in all management areas including the Laguna Lake Region and Regional Industrial Centers through the collection of wastewater charges/fees. The system shall be established on the basis of payment to the government for discharging wastewater into the water bodies. Wastewater charges shall be established taking into consideration the following:

a.

b.

To provide strong economic inducement for polluters to modify their production or management processes or to invest in pollution control technology in order to reduce the amount of water pollutants generated; To cover the cost of administering water quality management or improvement programs; c. Reflect damages caused by water pollution on the surrounding environment, including the cost of rehabilitation; d. Type of pollutant; e. Classification of the receiving water body; and f. Other special attributes of the water body.

The fee shall be based on the net waste load depending on the wastewater, charge formula which shall be established with due public consultation within six (6) months from the effectivity of this Act: Provided, That net “Follow the river and you will find the sea” --French Proverb waste load shall refer to the difference of the initial waste load of the abstracted water and the waste load of the final effluent discharge of an industry: Provided, further, That no net waste load shall be lower than the initial waste load: Provided, finally, That wastewater charge system shall not apply to wastewater from geothermal exploration. Industries whose water effluent are within standards promulgated pursuant to this Act, shall only be charged with minimal reasonable amount which shall be determined by the Department after due public consultation, giving account to volumetric rate of discharge and effluent concentration. SEC. 14. Discharge Permits. - The Department shall require owners or operators of facilities that discharge regulated effluents pursuant to this Act to secure a permit to discharge. The discharge permit shall be the legal authorization granted by the Department to discharge wastewater: Provided, That the discharge permit shall specify among others, the quantity and quality of effluent that said facilities are allowed to discharge into a particular water body, compliance schedule and monitoring requirement.

As part of the permitting procedure, the Department shall encourage the adoption of waste minimization and waste treatment technologies when such technologies are deemed cost effective. The Department shall also develop procedures to relate the current water quality guideline or the projected water quality guideline of the receiving water body/ies with total pollution loadings from various sources, so that effluent quotas can be properly allocated in the discharge permits. For industries without any discharge permit, they may be given a period of twelve {12) months after the effectivity of the implementing rules and regulations promulgated pursuant to this Act, to secure a discharge permit. Effluent trading may be allowed per management area.

Article 3 Financial Liability Mechanism SEC. 15. Financial Liability for Environmental Rehabilitation. - The Department shall require program and project proponents to put up environmental guarantee fund {EGF) as part of the environmental management plan attached to the environmental compliance certificate pursuant to Presidential Decree No.1586 and its implementing rules and regulations. The EGF shall finance the maintenance of the health of the ecosystems and specially the conservation of watersheds and aquifers affected by the development, and the needs of emergency response, clean-up or rehabilitation of areas that may be damaged during the program's or project's actual implementation. Liability for damages shall continue even after the termination of a program or project and, until the lapse of a given period indicated in the environmental compliance certificate, as determined by the Department. The EGF may be in the form of a trust fund, environmental insurance, surety bonds, letters of credit, self-insurance and any other instruments which may be identified by the Department. The choice of the guarantee instrument or combinations thereof shall depend, among others, on the assessment of the risks involved and financial test mechanisms devised by the Department. Proponents required to put up guarantee instruments shall furnish the Department with evidence of availment of such instruments from accredited financial instrument providers. SEC. 16. Clean-Up Operations. - Notwithstanding the provisions of Sections 15 and 26 hereof, any person who causes pollution in or pollutes water bodies in excess of the applicable and prevailing standards shall be responsible to contain, remove and clean-up any pollution incident at his own expense to the extent that the same water bodies have been rendered unfit for utilization and beneficial use: Provided, That in the event emergency clean-up operations are necessary and the polluter fails to immediately undertake the same, the Department, in coordination with other government agencies concerned, shall conduct containment, removal and clean-up operations. Expenses incurred in said operations shall be reimbursed by the persons found to have caused such

pollution upon proper administrative determination in accordance with this Act. Reimbursements of the cost incurred shall be made to the Water Quality Management Fund or to such other funds where said disbursements were sourced. SEC. 17. Programmatic Environmental Impact Assessment. - The Department shall implement programmatic compliance with the environmental impact assessment system, as in the following types of development: a.

b.

development consisting of a series of similar projects, or a project subdivided into several phases and/or stages whether situated in a contiguous area or geographically dispersed; and development consisting of several components or a cluster of projects colocated in an area such as an industrial estate, an export processing zone, or a development zone identified in a local land use plan.

Programmatic compliance with the environmental impact assessment system shall be guided by carrying capacity assessments determined from ecological profiles. Ecological profiles shall Identify environmental constraints and opportunities in programmatic areas. Programmatic assessment shall also take into account cumulative impacts and risks. Consistent with the provisions of the Local Government Code, the Department may enter into agreement with LGUs to incorporate programmatic environmental impact assessment into the preparation, updating or revision of local land use plans and area development plans. SEC 18. Environmental Impact Assessment System Programmatic Compliance with Water Quality Standards. - The. Department may allow each regional industrial center established pursuant to Republic Act No.7916 (PEZA law) to allocate effluent quotas to pollution sources within its jurisdiction that qualify under an environmental impact assessment system programmatic compliance program in accordance with Presidential Decree No. 15867 and its implementing rules and regulations.

Chapter 3 Institutional Mechanism SEC. 19. Lead Agency. - The Department shall be the primary government agency responsible for the implementation and enforcement of this Act unless otherwise provided herein. As such, it shall have the following functions, powers and responsibilities: a.

Prepare a National Water Quality Status Report within twenty-four (24) months from the effectivity of this Act: Provided, That the Department shall

b. c.

d.

e.

f.

g.

h.

i. j.

thereafter review or revise and publish annually, or as the need arises, said report; Prepare an Integrated Water Quality Management Framework within twelve (12) months following the completion of the status report; Prepare a ten (10) year Water Quality Management Area Action Plan within twelve (12) months following the completion of the framework for each designated water management area. Such action plan shall be reviewed by the water quality management area governing board every five (5) years or as need arises; Prepare and publish a national a national groundwater vulnerability map incorporating the prevailing standards and methodologies, within twenty four (24) months after the effectivity of this Act; Enforce, review and revise within twelve (12) months from the effectivity of this Act water quality guidelines after due consultation with the concerned stakeholder sectors: Provided, That the Department, in coordination with appropriate agencies shall review said guidelines every five (5) years or as need arises; Review and set effluent standards every five (5) years from the effectivity of this Act or sooner as determined by the Department: Provided, That in the interim, the provisions of DENR Administrative Order No. 35 of the Department shall apply: Provided, further, That when new and more stringent standards are set in accordance with this section, the Department may establish a grace period with a maximum of five (5) years: Provided, finally, That such grace period shall be limited to the moratorium on the issuance of cease and desist and/or closure order against the industry's operations except in the event such operation poses serious and grave threat to the environment, or the industry fails to institute retooling, upgrading or establishing an environmental management system (EMS). Establish within twelve (12) months from the effectivity of this Act, internationally-accepted procedures for sampling and analysis of pollutants and in coordination with other concerned agencies, formulate testing procedures and establish an accreditation system for laboratories; Within eighteen (18) months from the effectivity of this Act and every two (2) years thereafter, categorize point and non-point sources of water pollution; Classify groundwater sources within twelve (12) months from the effectivity of this Act; Classify or reclassify all water bodies according to their beneficial usages: Provided, that in the interim, the provisions of DENR Administrative Order No.34 shall apply: Provided, further, that such classification or reclassification shall take into consideration the operation of businesses or facilities that are existing prior to the effectivity of the Act: Provided, furthermore, that the Department may authorize the use of the water for other purposes that are more restrictive in classification: Provided, finally, That discharges resulting from such use shall meet the effluent standards set by the Department;

k.

l. m.

n.

o.

p.

q. r.

s. t. u.

Exercise jurisdiction over all aspects of water pollution, determine its location, magnitude, extent, severity, causes, effects and other pertinent information on pollution, and to take measures, using available methods and technologies to prevent and abate such pollution; Exercise supervision and control over all aspects of water quality management; Establish a cooperative effort in partnership with the government, LGUs, academic institutions, civil society and the private sector to attain the objectives of this Act; Disseminate information and conduct educational awareness and value formation programs and campaigns on the effects of water pollution on health and environment, water quality management, and resource conservation and recovery to encourage an environmentally actionoriented society in coordination with government agencies identified in Section 22 (f); Promote. and encourage private and business sectors especially manufacturing and processing plants the use of water quality management systems equipment, including but not limited to, industrial wastewater treatment collection and treatment facilities; Report, on an annual basis, to Congress the, quality status of water bodies and other pertinent information and recommend possible legislation, policies and programs for environmental management and water pollution control; Issue rules and regulations for the effective implementation of the provisions of this Act; Issue orders against any person or entity and impose fines, penalties and other administrative sanctions to compel compliance with water quality the provisions of this Act; Undertake appropriate protocol with other concerned agencies for immediate coordinated responses to water related emergency incidents; Issue permits, clearances and similar instruments pursuant to this Act; and Exercise such powers and perform such other functions as may be necessary to carry out the objectives of this Act

The Department shall gradually devolve to the LGUs, and to the governing boards the authority to administer some aspects of water quality management and regulation, including, but not to be limited to, permit issuance, monitoring and imposition of administrative penalties, when, upon the Department's determination, the LGU or the governing board has demonstrated readiness and technical capability to undertake such functions. SEC. 20. Role of Local Government Units. - Local government units shall share the responsibility in the management and improvement of water quality within their territorial jurisdictions.

Each local government unit shall within six (6) months after the establishment of the water quality management area action plan prepare a compliance scheme in, accordance thereof, subject to review and approval of the governing board. Each local government unit shall, through its Environment and Natural Resources Office (ENRO) established in Republic Act No.7160, have the following powers and functions: a. b. c. d. e.

Monitoring of water quality; Emergency response; Compliance with the framework of the Water Quality Management Action Plan; To take active participation in all efforts concerning water quality protection and rehabilitation; and To coordinate with other government agencies and civil society and the concerned sectors in the implementation of measures to prevent and control water pollution: Provided, however, That in provinces/cities/municipalities where there are no environment and natural resources officers, the local executive concerned may, with the approval of the Secretary of the DENR 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. 21. Business and Industry Role in Environmental Management. - The Department and the LGUs, in coordination with the appropriate government agencies. and in consultation with the business and industrial sectors including commerce, shall formulate appropriate incentives for the adoption procedures that will preserve and protect our water bodies through the introduction of innovative equipment and processes that reduce if totally eliminate discharge of pollutants into our water bodies. SEC. 22. Linkage Mechanism. - The Department and its concerned attached agencies including LLDA shall coordinate and enter into agreement with other government agencies, industrial sector and other concerned sectors in the furtherance of the objectives of this Act- The following agencies shall perform tile functions specified hereunder: a.

b.

Philippine Coast Guard in coordination with DA and the Department shall enforce for the enforcement of water quality standards in marine waters, set pursuant to this Act, specifically from offshore sources; DPWH through its attached agencies, such as the MWSS, LWUA, and including other urban water utilities for the provision or sewerage and

c.

d. e.

f.

sanitation facilities and the efficient and safe collection, treatment and disposal of sewage within their area of jurisdiction; DA, shall coordinate with the Department, in the formulation of guidelines for the re-use of wastewater for irrigation and other agricultural uses and for the prevention, control and abatement of pollution from agricultural and aquaculture activities: Provided, That discharges coming from non-point sources be categorized and further defined pursuant to this Act: Provided, further, That the Bureau of Fisheries and Aquatic Resources (BFAR) of the DA shall be primarily responsible for the prevention and control of water pollution for the development, management and conservation of the fisheries and aquatic resources; DOH shall be primarily responsible for the promulgation, revision and enforcement of drinking water quality standards; DOST, in coordination with the Department and other concerned agencies, shall prepare a program for the evaluation, verification, development and public dissemination of pollution prevention and cleaner production technologies; and Department of Education (DepEd), Commission Higher Education (CHED), Department of the Interior and Local Government (DILG) and Philippine Information Agency (PIA) shall assist and coordinate with the Department in, the preparation and implementation of a comprehensive program pursuant to the objectives of this Act.

SEC. 23. Requirement of Record-keeping, Authority for Entry to Premises and Access to Documents. - The Department or its duly authorized representative shall, after proper consultation and notice, require any person who owns or operates any pollution source or who is subject to. any requirement of this Act to submit reports and other written information as may be required by the department. 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. Pursuant to this Act, the Department, through its authorized representatives, shall have the right to: a. b. c.

enter any premises or to have access to documents and relevant materials as referred to in the herein preceding paragraph; inspect any pollution or waste source, control device, monitoring equipment or method required; and test any discharge.

In cases of fish kill incidence, the Bureau of Fisheries of the DA, in the course of its investigation, may enter the premises of an establishment reported to have caused said incident. SEC. 24. Pollution Research and Development Programs. - The Department, in coordination with the Department of Science and Technology (DOST), other concerned agencies and academic research institutions, shall establish a national research and development program for the prevention and control of water pollution. As part of said program, the DOST shall conduct and promote the coordination and acceleration of research, investigation, experiments, training, survey and studies relating to the causes, extent, prevention and control of pollution among concerned government agencies and research institutions. Chapter 4 Incentives and Rewards SEC. 25. Rewards. - Rewards, monetary or otherwise, shall be provided to individuals, private organization and entities, including civil society, that have undertaken outstanding and innovative projects, technologies, processes and techniques or activities in water quality management. Said rewards shall be sourced from the Water Quality Management Fund herein created. SEC. 26. Incentives Scheme. - An incentive scheme is hereby provided for the purpose of encouraging LGUs, water districts (WDs), enterprises, or private entities, and individuals, to develop or undertake an effective water quality management, or actively participate in any program geared towards the promotion thereof as provided in this Act. A. Non-fiscal incentive 1.

Inclusion in the Investments Priority Plan (IPP). - Subject to the rules and regulations of the Board of Investments (BOI), industrial wastewater treatment and/or adoption of water pollution control technology, cleaner production and waste minimization technology shall be classified as preferred areas of investment under its annual priority plan and shall enjoy the applicable fiscal and non-fiscal incentives as may be provided for under the Omnibus Investment Code, as amended.

Fiscal Incentives 1.

Tax and Duty Exemption on Imported Capital Equipment. - Within ten 10) years upon the effectivity of this Act, LGUs, WDs, enterprises or private entities shall enjoy tax-and-duty-free importation of machinery, equipment and spare parts used for industrial wastewater treatment/collection and treatment facilities: Provided, That the importation of such machinery, equipment and spare parts shall comply with the following conditions:

a. They are not manufactured domestically in sufficient quantity, of comparable quality and at reasonable prices; b. They are reasonably needed and will be used actually, directly and exclusively for the above mentioned activities; and c. Written endorsement by the Department that the importation of such machinery, equipment and spare parts would be beneficial to environmental protection and management: Provided, further, That the sale, transfer or disposition of such machinery, equipment and spare parts without prior approval of the BOI within five (5) years from the date of acquisition shall be prohibited, otherwise the LGU concerned, WD, enterprise or private entity and the concerned vendee, transferee or assignee shall be solidarity liable to pay twice the amount of tax and duty exemption given it. 2.

Tax Credit on Domestic Capital Equipment. - Within ten (10) years from the effectivity of this Act, a tax credit equivalent to one hundred percent (100%) of the value of the national internal revenue taxes and customs duties that would have been waived on the machinery, equipment, and spare parts, had these items been imported shall be given to enterprises or private entities and individuals, subject to the same conditions and prohibition cited in the preceding paragraph.

3.

Tax and Duty Exemption of Donations, Legacies and Gifts. - All legacies, gifts and donations to LGUs, WDs, enterprises, or private entities and individuals, for the support and maintenance of the program for effective water quality management shall be exempt from donor's tax and shall be deductible from the gross income of the donor for income tax purposes. Imported articles donated to, or for the account of any LGUs, WDs, local water utilities, enterprises, or private entities and individuals to be exclusively used for water quality management programs shall be exempted from the payment of customs duties and applicable internal revenue taxes. Industrial wastewater treatment and/or installation of water pollution control devices shall be classified as pioneer and preferred areas of investment under the BOI's annual priority plan and shall enjoy- the applicable fiscal and non-fiscal incentives as may be provided for under the Omnibus Investment Code, as amended.

B. Financial Assistance Program Government financial institutions such as the Development Bank of the Philippines, Land Bank of the Philippines, Government Service Insurance System, and such other government institutions providing

financial services shall, in accordance with and to the extent allowed by the enabling provisions of their respective charters or applicable laws, accord high priority to extend financial services to LGUs, WDs, enterprises, or private entities engaged in sewage collection and treatment facilities. C. Extension or Grants to LGUs Cities and municipalities which shall establish or operate sewerage facilities may be entitled to receive grants for the purpose of developing technical capabilities.

Chapter 5 Civil Liability/Penal Provisions SEC. 27. Prohibited Acts. - The following acts are hereby prohibited: a.

b.

c.

d.

e. f. g.

h.

Discharging, depositing or causing to be deposited material of any kind directly or indirectly into the water bodies or along the margins of any surface water, where, the same shall be liable to be washed into such surface water, either by tide action or by storm, floods or otherwise, which could cause water pollution or impede natural flow in the water body; Discharging, injecting or allowing to seep into the soil or sub-soil any substance in any form that would pollute groundwater. In the case of geothermal projects, and subject to the approval of the Department, regulated discharge for short- term activities (e.g. well testing, flushing, commissioning, venting) and deep re-injection of geothermal liquids may be allowed: Provided, That safety measures are adopted to prevent the contamination of the groundwater; Operating facilities that discharge regulated water pollutants without the valid required permits or after the permit was revoked for any violation of any condition therein; Disposal of potentially infectious medical waste into sea water by vessels unless the health or safety of individuals on board the vessel is threatened by a great and imminent peril; Unauthorized transport or dumping into sea waters of sewage sludge or solid waste as defined under Republic Act No.9003; Transport, dumping or discharge of prohibited chemicals, substances or pollutants listed under Republic Act No.6969; Operate facilities that discharge or allow to seep, willfully or through gross negligence, prohibited chemicals, substances or pollutants listed under R. A. No. 6969 into water bodies or wherein the same shall be liable to be washed into such surface, ground, coastal, and marine water; Undertaking activities or development and expansion of projects, or operating wastewater/sewerage facilities in violation of Presidential Decree. No.1586 and its implementing rules, and regulations;

i.

j.

k. l. m. n. o.

Discharging regulated water pollutants without the valid required discharge permit pursuant to this Act or after the permit was revoked for any violation of condition therein; Non-compliance of the LGU with the Water Quality Framework and Management Area Action Plan. In such a case, sanctions shall be imposed on the local government officials concerned; Refusal to allow entry, inspection and monitoring by the Department in accordance with this Act; Refusal to allow access by the Department to relevant reports and records in accordance with this Act; Refusal or failure to submit reports whenever required by the Department in accordance with this Act; Refusal or failure to designate pollution control officers whenever required by, the Department in accordance with this Act; and Directly using booster pumps in the distribution system or tampering with the water supply in such a way as to alter or impair the water quality.

SEC. 28. Fines, Damages and Penalties. - Unless otherwise provided herein, any person who commits any of the prohibited acts provided in the immediately preceding section or violates any of the provision of this Act or its implementing rules and regulations, shall be fined by the Secretary, upon the recommendation of the PAB in the amount of not less than Ten thousand pesos (P10,000.00) nor more than Two hundred thousand pesos (P200,000.00) for every day of violation. The fines herein prescribed shall be increased by ten percent (10%) every two (2) years to compensate for inflation and to maintain the deterrent function of such fines: Provided, That the Secretary, upon recommendation of the PAB may order the closure, suspension of development or construction, or cessation of operations or, where appropriate disconnection of water supply, until such time that proper environmental safeguards are put in place and/or compliance with this Act or its rules and regulations are undertaken. This paragraph shall be without prejudice to the issuance of an ex parte order for such closure, suspension of development or construction, or cessation of operations during the pendency of the case. Failure to undertake clean-up operations, willfully, or through gross negligence, shall be punished by imprisonment of not less than two (2) years and not more than four (4) years and a fine not less than Fifty thousand pesos (P50,000.00) and not more than One hundred thousand pesos (P100,000.00) per day for each day of violation. Such failure or refusal which results in serious injury or loss of life and/or irreversible water contamination of surface, ground, coastal and marine water shall be punished with imprisonment of not less than six (6) years and one day and not more than twelve (12) years, and a fine of Five Hundred Thousand Pesos (P500,000.00) per day for each day during which the omission and/or contamination continues.

In case of gross violation of this Act, the PAB shall issue a resolution recommending that the proper government agencies file criminal charges against the violators. Gross violation shall mean any of the following: a. b. c.

deliberate discharge of toxic pollutants identified pursuant to Republic Act No.6969 in toxic amounts; five {5) or more violations within a period of two (2) years; or blatant disregard of the orders of the PAB, such as the non-payment of fines, breaking of seals or operating despite the existence of an order for closure, discontinuance or cessation of operation.

In which case, offenders shall be punished with a fine of not less than Five hundred thousand pesos (P500,000.00) but not more than Three million pesos (P3,000,000.00} per day for each day of violation or imprisonment of not less than six {6) years but not more than ten {10) years, or both, at the discretion of the court. If the offender is a juridical person, the president, manager and the pollution control officer or the official in charge of the operation shall suffer the penalty herein provided. For violations falling under Section 4 of Presidential Decree No.979 or any regulations prescribed in pursuance thereof, such person shall be liable for a fine of no1 less than Fifty thousand pesos {P50,000.00) nor more than One million pesos (P1,000,000.00) or by imprisonment of not less than one {1) year nor more than six (6) years or both, for each offense, without prejudice to the civil liability of the offender in accordance with existing laws. If the offender is a juridical entity, then its officers, directors, agents or any person primarily responsible shall be held liable: Provided, That any vessel from which oil or other harmful substances are discharged in violation of Section 4 of Presidential Decree No.979 shall be liable for penalty of fine specified in the immediately preceding paragraph and clearance of such vessel from the port of the Philippines may be withheld until the fine is paid and such penalty shall constitute a lien on such vessel which may be recovered in proceedings by libel in rem in the proper court which the vessel may be. The owner or operator of a vessel or facility which discharged the oil or other harmful substances will be liable to pay for any clean-up costs. Provided, finally, That water pollution cases involving acts or omissions --committed within the Laguna Lake Region shall be dealt with in accordance with the procedure under R. A. No.4850 as amended. SEC. 29. Administrative Sanctions Against Non-compliance with the Water Quality Management Area Action Plan. - Local government officials concerned shall be subject to Administrative sanctions incase of failure to comply with their action plan accordance with the relevant provisions of R.A. No. 7160.

Chapter 6 Actions SEC. 30. 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 in the proper forum against any person who violates: a) Standards or limitations provided by this Act; or b) By any such order, rule or regulation issued by the Department with respect to such standard or limitation.

Chapter 7 Final Provisions SEC. 31. Appropriations.- An amount of One hundred million pesos (P100,000,000.00) shall be appropriated from the savings of the National Government to the Department for the initial implementation of this Act. Thereafter, the amount necessary to effectively carry out the provision of this Act shall be included in the General Appropriations Act of the year following its enactment into law and thereafter. SEC. 32. Implementing Rules and Regulations. - The Department, in coordination with the Committees on Environment and Ecology of the Senate and the House of Representatives, respectively and other concerned 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 water pollution not inconsistent with this Act shall supplement the rules and regulations issued by the Department, pursuant to the provisions of this Act. The draft of the implementing rules and regulations shall be published and be the subject of public consultations with affected sectors. There shall be a mandatory review of the implementing rules and regulations and standards set pursuant to the provisions of this Act. SEC. 33. Joint Congressional Oversight Committee. - There is hereby created a Joint Congressional Oversight Committee to monitor the implementation of this Act and to review the implementing rules and regulations promulgated by the Department. 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 cochaired by the Chairpersons of the Committee on Environment of the Senate and the Committee on Ecology of the House of Representatives.

SEC. 34. Repealing Clause. - Presidential Decree No.984 is hereby repealed. Republic Act Nos. 6969 and 4850 as amended, Presidential Decree Nos. 1586, 1152, 979 and 856 are hereby amended and modified accordingly. All other laws, orders, issuance, rules and regulations inconsistent herewith are hereby repealed or modified accordingly. SEC. 35. Separability Clause. - If any provision of this Act or the application 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. 36. 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. Approved: March 22, 2004

Water Code (Presidential Decree 1067) Whereas, Article 14, Section 8 of the New Constitution of the Philippines provides, inter alia, that all waters of the Philippines belong to the State; Whereas, existing water legislations are piecemeal and inadequate to cope with increasing scarcity of water and changing patterns of water use; Whereas, there is a need for a Water Code based on rational concepts or integrated and multi-purpose management of water resources and sufficiently flexible to adequately meet future developments; Whereas, water is vital to national development and it has become increasingly necessary for government to intervene actively in improving the management of water resources;

"Water is the mother of the vine, The nurse and fountain of fecundity, The adorner and refresher of the world." --Charles Mackay

Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers in me vested by the Constitution, do hereby order and decree the enactment of the Water Code of the Philippines of 1976, as follows: Chapter I

Declaration of Objectives and Principles Article 1. This Code shall be known as “The Water Code of the Philippines.” Art. 2. The objectives of this Code are: a.

b. c.

d.

To establish the basic principles and framework relating to the appropriation, control, and conservation of water resources to achieve the optimum development and rational utilization of these resources; To define the extent of the rights and obligations of water users and owners including the protection and regulation of such rights; To adopt a basic law governing the ownership, appropriation, utilization, exploitation, development, conservation, and protection of water resources and rights to land related thereto; and To identify the administrative agencies which will enforce this Code.

Art. 3. The underlying principles of this Code are: a. b. c. d.

e.

All waters belong to the State. All waters that belong to the State cannot be the subject to acquisitive prescription. The State may allow the use or development of waters by administrative concession. The utilization, exploitation, development, conservation, and protection of water resources shall be subject to the control and regulation of the government through the National Water Resources Council, hereinafter referred to as the Council. Preference in the use and development of waters shall consider current usages and be responsive to the changing needs of the country.

Art. 4. Waters, as used in this Code, refer to water under the ground, water above the ground, water in the atmosphere, and the waters of the sea within the territorial jurisdiction of the Philippines.

Chapter II Ownership of Waters Art. 5. a. b. c.

The following belong to the State: Rivers and their natural beds; Continuous or intermittent waters of springs and brooks running in their natural beds and the beds themselves; Natural lakes and lagoons;

d.

e. f. g.

All other categories of surface waters such as water flowing over lands, water from rainfall whether natural or artificial, and water from agriculture run-off, seepage, and drainage; Atmospheric water; Subterranean or ground waters; and Seawater.

Art. 6. The following waters found on private lands belong to the State: a. b. c. c. e.

Continuous or intermittent waters rising on such lands; Lakes and lagoons naturally occurring on such lands; Rain water falling on such lands; Subterranean or ground waters; and Water in swamps and marshes.

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. The Council, however, may regulate such when there is wastage, or in times of emergency. Art. 7. Subject to the provisions of this Code, 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 of the same. Art. 8. 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 and, thereafter, so long as it is being beneficially used for the purposes for which it was appropriated.

Chapter III Appropriation of Waters Art. 9. Waters may be appropriated and used in accordance with the provisions of this Code. Appropriation of water, as used in this Code, is the acquisition of rights over the use of waters or the taking or diverting of waters from a natural source in the manner and for any purpose allowed by law. Art. 10. Water may be appropriated for the following purposes: a. b. c. d.

Domestic Municipal Irrigation Power generation

e. f. g. h. i.

Fisheries Livestock raising Industrial Recreational Other purposes

Use of water for domestic purposes is the utilization of water for drinking, washing, bathing, cooking, or other household needs, home gardens, and watering of lawns or domestic animals. Use of water for municipal purposes is the utilization of water for supplying the water requirements of the community. Use of water for irrigation is the utilization of water for producing agricultural crops. Use of water for power generation is the utilization of water for producing electrical or mechanical power. Use of water for fisheries is the utilization of water for the propagation and culture of fish as a commercial enterprise. Use of water for livestock raising is the utilization of water for large herds or flocks of animals raised as a commercial enterprise. Use of water for industrial purposes is the utilization of water in factories, industrial plants, and mines, including the use of water as an ingredient of a finished product. Use of water for recreational purposes is the utilization of water for swimming pools, bath houses, boating, water skiing, golf courses, and other similar facilities in resorts and other places of recreation. Art. 11. The State, for reasons of public policy, may declare waters not previously appropriated, in whole or in part, exempt from appropriation for any or all purposes and, thereupon, such waters may not be appropriated for those purposes. Art. 12. Waters appropriated for a particular purpose may be applied for another purpose only upon prior approval of the Council and on condition that the new use does not unduly prejudice the rights of other permittees, or require an increase in the volume of water. Art. 13. Except as otherwise herein provided, no person, including government instrumentalities or government-owned or controlled corporations, shall

appropriate water without a water right, which shall be evidenced by a document known as a water permit. Water right is the privilege granted by the government to appropriate and use water. Art. 14. Subject to the provisions of this Code concerning the control, protection, conservation, and regulation of the appropriation and use of waters, any person may appropriate or use natural bodies of water without securing a water permit for any of the following: a. b.

Appropriation of water by means of handcarried receptacles; and Bathing or washing, watering or dipping of domestic or farm animals, and navigation of watercrafts or transportation of logs and other objects by flotation.

Art. 15. 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. Art. 16. Any person who desires to obtain a water permit shall file an application with the Council who shall make known said application to the public for any protests. In determining whether to grant or deny an application, the Council shall consider the following: protests filed, if any; prior permits granted; the availability of water; the water supply needed for beneficial use; possible adverse effects; land use economics; and other relevant factors. Upon approval of an application, a water permit shall be issued and recorded. Art. 17. The right to the use of water is deemed acquired as of the date of filing of the application for a water permit in case of approved permits, or as of the date of actual use in a case where no permit is required. Art. 18. All water permits granted shall be subject to conditions of beneficial use, adequate standards of design and construction, and such other terms and conditions as may be imposed by the Council. Such permits shall specify the maximum amount of water which may be diverted or withdrawn, the maximum rate of diversion or withdrawal, the time or times during the year when water may be diverted or withdrawn, the point or points of diversion or location of wells, the place of use, the purposes of which water may be used, and such other requirements the Council deems desirable. Art. 19. Water rights may be leased or transferred in whole or in part to another person with prior approval of the Council, after due notice and hearing. Art. 20. The measure and limit of appropriation of water shall be beneficial use.

Beneficial use of water is the utilization of water in the right amount during the period that the water is needed for producing the benefits for which the water is appropriated. Art. 21. Standards of beneficial use shall be prescribed by the Council for the appropriator of water for different purposes and conditions, and the use of waters which are appropriated shall be measured and controlled in accordance therewith. Excepting for domestic use, every appropriator of water shall maintain water control and measuring devices, and keep records of water withdrawal. When required by the Council, all appropriators of water shall furnish information on water use. Art. 22. Between two or more appropriators of water from the same sources of supply, priority in time of appropriation shall give the better right, except that in times of emergency the use of water for domestic and municipal purposes shall have a better right over all other uses; Provided, That where water shortage is recurrent and the appropriator for municipal use has a lower priority in time of appropriation, then it shall be his duty to find an alternative source of supply in accordance with conditions prescribed by the Council. Art. 23. Priorities may be altered on grounds of greater beneficial use, multipurpose use, and other similar grounds after due notice and hearing, subject to payment of compensation in proper cases. Art. 24. A water right shall be exercised in such a manner that the rights of third persons or of other appropriators are not prejudiced thereby. Art. 25. A holder of a 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 the waters to be appropriated subject to the requirements of just compensation and to the following conditions: a. b.

That he is the owner, lessee, mortgagee, or one having real right over the land upon which he proposes to use water; and That the proposed easement is the most convenient and the least onerous to the servient estate.

Easements relating to the appropriation and use of waters may be modified by agreement of the contracting parties provided the same is not contrary to law or prejudicial to third persons. Art. 26. Where water shortage is recurrent, the use of the water pursuant to a permit may, in the interest of equitable distribution of the benefits among legal appropriators, reduce after due notice and hearing.

Art. 27. Water users shall bear the diminution of any water supply due to natural causes or force majeure. Art. 28. Water permits shall continue to be valid as long as water is beneficially used; however, they may be suspended on the grounds of non-compliance with approved plans and specifications or schedules of water distribution; use of water for a purpose other than that for which it was granted; non-payment of water charges; wastage; failure to keep records of water diversion, when required; and violation of any term or condition of any permit or rules and regulations promulgated by the Council. Temporary permits may be issued for the appropriation and use of water for short periods under special circumstances. Art. 29. Water permits may be revoked after due notice and hearing on grounds of 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 Philippines; when, in the case, of irrigation, the land is converted to nonagricultural purposes; and other similar grounds. Art. 30. All water permits are subject to modification or cancellation by the Council after due notice and hearing, in favor of a project of greater beneficial use or for multipurpose development, and a water permittee who suffers thereby shall be duly compensated by the entity or person in whose favor the cancellation was made.

Chapter IV Utilization of Waters Art. 31. Preference in the development of water resources shall consider security of the State, multiple use, beneficial effects, adverse effects, and costs of development. Art. 32. The utilization of subterranean or ground water shall be coordinated with that of surface waters such as rivers, streams, springs, "We never know the worth of water till the well is dry." -and lakes, so that a superior right in one is not Thomas Fuller adversely affected by an inferior right in the other. For this purpose the Council shall promulgate rules and regulations and declare the existence of control areas for the coordinated development, protection, and utilization of subterranean or ground water and surface waters.

Control area is an area of land where subterranean or ground water and surface water are so interrelated that withdrawal and use in one similarly affects the other. The boundary of a control area may be altered from time to time, as circumstances warrant. Art. 33. Water contained in open canals, aqueducts, or reservoirs of private persons may be used by any person for domestic purpose or for watering plants as long as the water is withdrawn by manual methods without checking the stream or damaging the canal, aqueduct or reservoir; Provided, That this right may be restricted by the owner should it result in loss or injury to him. Art. 34. A water permittee or appropriator may use any watercourse to convey water to another point in the watercourse for the purpose stated in a permit and such water may be diverted or recaptured at that point by said permittee in the same amount less allowance for normal losses in transit. Art. 35. Works for the storage, diversion, distribution, and utilization of water resources shall contain adequate provision for the prevention and control of diseases that may be induced or spread by such works when required by the Council. Art. 36. When the reuse of waste water is feasible, it shall be limited, as much as possible, to such uses other than direct human consumption. No person or agency shall distribute such water for public consumption until it is demonstrated that such consumption will not adversely affect the health and safety of the public. Art. 37. In the construction and operation of hydraulic works, due consideration shall be given to the preservation of scenic places and historical relics and, in addition to the provisions of existing laws, no works that would require the destruction or removal of such places or relics shall be undertaken without showing that the distribution or removal is necessary and unavoidable. Art. 38. Authority for the construction of dams, bridges, and other structures across of which may interfere with the flow of navigable or floatable waterways shall first be secured from the Department of Public Works, Transportation and Communications.6 Art. 39. Except in cases of emergency to save life or property, the construction or repair of the following works shall be undertaken only after the plans and specifications therefore, as may be required by the Council, are approved by the proper government agency: dams for the diversion or storage of water, structures for the use of water power, installations for the utilization of subterranean or ground water and other structures for utilization of water resources.

6

Now Department of Public Works and Highways (DPWH).

Art. 40. No excavation for the purpose of emission of a hot spring or for the enlargement of the existing opening thereof shall be made without prior permit. Any person or agency who intends to develop a hot spring for human consumption must first obtain a permit from the Department of Health. Art. 41. No person shall develop a stream, lake, or spring for recreational purposes without first securing a permit from the Council. Art. 42. Unless otherwise ordered by the President of the Philippines and only in time of national calamity or emergency, no person shall induce or restrain rainfall by any method such as cloud seeding without a permit from the proper government agency. Art. 43. No person shall raise or lower the water level of a river stream, lake, lagoon, or marsh nor drain the same without a permit. Art. 44. Drainage systems shall be so constructed that their outlets are rivers, lakes, the sea, natural bodies of water, or such other watercourse as may be approved by the proper government agency. Art. 45. When a drainage channel is constructed by a number of persons for their common benefit, the cost of construction and maintenance of the channel shall be borne by each in proportion to the benefits derived. Art. 46. 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. Art. 47. When the use, conveyance, or storage of waters results in damage to another, the person responsible for the damage shall pay compensation. Art 48. When a water resources project interferes with the access of a landowner to a portion of his property or with the conveyance of irrigation or drainage water, the person or agency constructing the project shall bear the cost of construction and maintenance of the bridges, flumes, and other structures necessary for maintaining access, irrigation, or drainage, in addition to paying compensation for land and incidental damages. Art. 49. 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 obstructions therefrom. Art. 50. 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 stones or earth which they carry with them.

The owner of the lower estate cannot construct works which will impede this natural flow, unless he provides an alternative method of drainage; neither can the owner of the higher estate make works which will increase this natural flow. Art. 51. The banks of rivers and streams and the shores of the seas and lakes throughout their entire length and within a zone of three (3) meters in urban areas, twenty (20) meters in agricultural areas, and forty (40) meters in forest areas, along their margins are subject to the easement of public use in the interest of recreation, navigation, floatage, fishing, and salvage. No person shall be allowed to stay in this zone longer than what is necessary for recreation, navigation, floatage, fishing, or salvage or to build structures of any kind. Art. 52. The establishment, extent, form, and conditions of easements of water not expressly determined by the provisions of this Code shall be governed by the provisions of the Civil Code.

Chapter V Control of Waters Art. 53. To promote the best interest and the coordinated protection of flood plain lands, the Secretary of Public Works, Transportation and Communications7 may declare flood control areas and promulgate guidelines for governing flood plain management plans in these areas. Art. 54. In declared flood control areas, rules, and regulations may be promulgated to prohibit or control activities that may damage or cause deterioration of lakes and dikes, obstruct the flow of water, change the natural flow of the river, increase flood losses, or aggravate flood problems. Art. 55. The government may construct necessary flood control structures in declared flood control areas, and for this purpose it shall have a legal easement as wide as may be needed along and adjacent to the river bank and outside of the bed or channel of the river. Art. 56. River beds, sand bars, and tidal flats may not be cultivated except upon prior permission from the Secretary of the Department of Public Works, Transportation and Communications8 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. Art. 57. 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 constructions does not cause damage to the property of another. 7 8

Now Secretary of Public Works and Highways. Id.

Art. 58. 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 land thus affected are not entitled to compensation for any damage sustained thereby. However, the former owners of the new bed shall be the owners of the abandoned bed in proportion to the area lost by each. The owners of the affected lands may undertake to return the river or stream to its old bed at their own expense; Provided, That a permit therefore is secured from the Secretary of Public Works, Transportation and Communication and work pertaining thereto is commenced within two years (2) from the change in the course of the river or stream. Art. 59. Rivers, lakes, and lagoons may, upon the recommendation of the Philippine Coast Guard, be declared navigable either in whole or in part. Art. 60. The rafting of logs and other objects on rivers and lakes which are floatable may be controlled or prohibited during designated seasons of the year with due regard to the needs of irrigation and domestic water supply and other uses of water. Art. 61. The impounding of water in ponds or reservoirs may be prohibited by the Council upon consultation with the Department of Health if it is dangerous to public health, or it may order that such pond or reservoir be drained if such is necessary for the protection of public health. Art. 62. 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. Whoever operates the reservoir shall, when required, release water for minimum stream flow. All reservoir operations shall be subject to rules and regulations issued by the Council or any proper government agency. Art. 63. The operator of a dam for the storage of water may be required to employ an engineer possessing qualifications prescribed for the proper operation, maintenance, and administration of the dam. Art. 64. The Council shall approve the manner, location, depth, and spacing in which borings for subterranean or ground water may be made, determine the requirements for the registration of every boring or alteration to existing borings, as well as other control measures for the exploitation of subterranean or ground water resources, and, in coordination with the Professional Regulation Commission, prescribe the qualifications of those who would drill such borings. No person shall drill a well without prior permission from the Council.

Art. 65. Water from one river basin may be transferred to another river basin only with approval of the Council. In considering any request for such transfer, the Council shall take into account the full costs of the transfer, the benefits that would accrue to the basin of origin without the transfer, the benefits that would accrue to the receiving basin on account of the transfer, alternative schemes for supplying water to the receiving basin, and other relevant factors.

Chapter VI Conservation and Protection of Waters and Watersheds and Related Land Resources Art. 66. After due notice and hearing when warranted by circumstances, minimum stream flows for rivers and streams and minimum water levels for lakes may be established by the Council under such conditions as may be necessary for the protection of the environment, control of pollution, navigation, prevention of salt damage, and general public use. Art. 67. Any watershed or any area of land adjacent to any surface water or overlying any ground water may be declared by the Department of Natural as Resources9 protected area. Rules and regulations may "In an age when man has forgotten his origins and is blind even to his most essential needs be promulgated by for survival, water along with other resources has become the victim of his indifference." -such Department to Rachel Carson prohibit or control such activities by the owners or occupants thereof within the protected area which may damage or cause the deterioration of the surface water or ground water or interfere with the investigation, use, control, protection, management, or administration of such waters. 9

Now Department of Environment and Natural Resources.

Art. 68. It shall be the duty of any person in control of a well to prevent the water from flowing on the surface of the land, or into any surface water, or any porous stratum underneath the surface without being beneficially used. Art. 69. It shall be the duty of any person in control of a well containing water with minerals or other substances injurious to man, animals, agriculture, and vegetation to prevent such waters from flowing on the surface of the land or into any surface water or into any other aquifer or porous stratum. Art. 70. No person shall utilize an existing well, or pond, or spread waters for recharging subterranean or ground water supplies without prior permission of the Council. Art. 71. To promote better water conservation and usage for irrigation purposes, the merger of irrigation associations and the appropriation of waters by associations instead of by individuals shall be encouraged. No water permit shall be granted to an individual when his water requirement can be supplied through an irrigation association. Art. 72. In the consideration of a proposed water resource project, due regard shall be given to ecological changes resulting from the construction of the project in order to balance the needs of development and the protection of the environment. Art. 73. The conservation of fish and wildlife shall receive proper consideration and shall be coordinated with other features of water resources development programs to ensure that fish and wildlife values receive equal attention with other project purposes. Art. 74. Swamps and marshes which are owned by the State and which have primary value for waterfowl propagation or other wildlife purposes may be reserved and protected from drainage operation and development. Art. 75. No person shall, without prior permission from the National Pollution Control Commission, build any works that may produce dangerous or noxious substances or perform any act which may result in the introduction of sewage, industrial waste, or any pollutant into any source of water supply. Water pollution is the impairment of the quality of water beyond a certain standard. This standard may vary according to the use of the water and shall be set by the National Pollution Control Commission. Art. 76. The establishment of cemeteries and waste disposal areas that may affect the source of a water supply or a reservoir for domestic or municipal use

shall be subject to the rules and regulations promulgated by the Department of Health. Art. 77. Tailings from mining operations and sediments from placer mining shall not be dumped into rivers and waterways without prior permission from the Council upon recommendation by the National Pollution Control Commission. Art. 78. The application of agricultural fertilizers and pesticides may be prohibited or regulated by the National Pollution Control Commission in the areas where such application may cause pollution of a source of water supply.

Chapter VII Administration of Waters and Enforcement of the Provisions of This Code Art. 79. The administration and enforcement of the provisions of this Code, including the granting of permits and the imposition of penalties for administrative violations hereof, are hereby vested in the Council, and except in regard to those functions which under this Code are specifically conferred upon other agencies of the government, the Council is hereby empowered to make all decisions and determinations provided for in this Code. Art. 80. The Council may deputize any official or agency of the government to perform any of its specific functions or activities. Art. 81. The Council shall provide a continuing program for data collection, research, and manpower development needed for the appropriation, utilization, exploitation, conservation, and protection of the water resources of the country. Art. 82. In the implementation of the provisions of this Code, the Council shall promulgate the necessary rules and regulations which may provide for penalties consisting of a fine not exceeding one thousand pesos (P1,000.00) and/or suspension or revocation of the water permit or other right to the use of water. Violations of such rules and regulations may be administratively dealt with by the Council. Such rules and regulations prescribed by any government agency that pertain to the utilization, exploitation, development, control, conservation, or protection of water resources shall, if the Council so requires, be subject to its approval. Art. 83. The Council is hereby authorized to impose and collect reasonable fees or charges for water resources development from water appropriators, except when it is for purely domestic purposes.

Art. 84. The Council and other agencies authorized to enforce this Code are empowered to enter upon private lands, with previous notice to the owner, for the purpose of conducting surveys and hydrologic investigations, and to perform such other acts as are necessary in carrying out their functions including the power to exercise the right of eminent domain. Art. 85. No program or project involving the appropriation, utilization, exploitation, development, control, conservation, or protection of water resources may be undertaken without prior approval of the Council, except those which the Council may, in its discretion, exempt. The Council may require consultation with the public prior to the implementation of certain water resources development projects. Art 86. When plans and specifications of a hydraulic structure are submitted for approval, the government agency whose functions embrace the type of project for which the structure is intended, shall review the plans and specifications and recommend to the Council proper action thereon and the latter shall approve the same only when they are in conformity with the requirements of this Code and the rules and regulations promulgated by the Council. Notwithstanding such approval, neither the engineer who drew up the "Civilization has been a permanent dialogue between human beings and water." -Paolo Lugari plans and specifications of the hydraulic structure, nor the constructor who built it, shall be relieved of his liability for damages in case of failure thereof by reason of defect in plans and specifications, or failure due to defect in construction, within ten (10) years from the completion of the structure. Any action to recover such damages must be brought within five (5) years following such failure. Art. 87. The Council or its duly authorized representatives, in the exercise of its power to investigate and decide cases brought to its cognizance, shall have the

power to administer oaths, compel the attendance of witnesses by subpoena and the production of relevant documents by subpoena duces tecum. Non-compliance or violation of such orders or subpoena and subpoena duces tecum shall be punished in the same manner as indirect contempt of an inferior court upon application by the aggrieved party with the proper Court of First Instance10 in accordance with the provisions of Rule 71 of the Rules of the Court. Art. 88. The Council shall have original jurisdiction over all disputes relating to appropriation, utilization, exploitation, development, control, conservation, and protection of waters within the meaning and context of the provisions of this Code. The decisions of the Council on water rights controversies shall be immediately executory and the enforcement thereof may be suspended only when a bond, in an amount fixed by the Council to answer for damages occasioned by the suspension or stay of execution, shall have been filed by the appealing party, unless the suspension is by virtue of an order of a competent court. All disputes shall be decided within sixty (60) days after the parties submit the same for decision or resolution. The Council shall have the power to issue writs of execution and enforce its decisions with the assistance of local or national police agencies. Art. 89. The decisions of the Council on water rights controversies may be appealed to the Court of First Instance11 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, on any of the following grounds; (1) grave abuse of discretion; (2) question of law; and (3) questions of fact and law.

Chapter VIII Penal Provisions Art. 90. The following acts shall be penalized by suspension or revocation of the violator’s water permit or other right to the use of water and/or a fine not exceeding one thousand pesos (P1,000.00), in the discretion of the Council: a. b. c. d.

10 11

Appropriation of subterranean or ground water for domestic use by an overlying landowner without registration required by the Council. Nonobservance of any standard of beneficial use of water. Failure of the appropriator to keep a record of water withdrawal, when required. Failure to comply with any of the terms or conditions in a water permit or a water rights grant.

Now Regional Trial Court. Now Regional trial Court.

e. f. g. h. i.

j. k.

l. m. n.

Unauthorized use of water for a purpose other than that for which a right or permit was granted. Construction or repair of any hydraulic work or structure without duly approved plans and specifications, when required. Failure to install a regulating and measuring device for the control of the volume of water appropriated, when required. Unauthorized sale, lease, or transfer of water and/or water rights. Failure to provide adequate facilities to prevent or control diseases when required by the Council in the construction of any work for the storage, diversion, distribution and utilization of water. Drilling of a well without permission of the Council. Utilization of an existing well or ponding or spreading of water for recharging subterranean or ground water supplies without permission of the Council. Violation of or non-compliance with any order, rules, or regulations of the Council. Illegal taking or diversion of water in an open canal, aqueduct, or reservoir. Malicious destruction of hydraulic works or structure valued at not exceeding five thousand pesos (P5,000.00).

Art. 91-A. A fine of not exceeding Three thousand pesos (P3,000.00) or imprisonment for not more than three (3) years, or both such fine and imprisonment, in the discretion of the Court, shall be imposed upon any person who commits any of the following acts: 1. 2. 3. 4.

Appropriation of water without a water permit, unless such person is expressly exempted from securing a permit by the provisions of this Code. Unauthorized obstruction of an irrigation canal. Cultivation of a river bed, sand bar, or tidal flat without permission. Malicious destruction of hydraulic works or structure valued at not exceeding twenty-five thousand pesos (P25,000.00).

Art. 91-B. A fine exceeding Three Thousand Pesos (P3,000.00) but not more than Six thousand pesos (P6,000.00) or imprisonment exceeding three (3) years but not more than six (6) years, or both such fine and imprisonment in the discretion of the Court, shall be imposed on any person who commits any of the following acts: 1. 2. 3. 4.

Distribution for public consumption of water which adversely affects the health and safety of the public. Excavation or enlargement of the opening of a hot spring without permission. Unauthorized obstruction of a river or waterway, or occupancy of a river bank or seashore without permission. Establishment of a cemetery or a waste disposal area near a source of water supply or reservoir for domestic municipal use without permission.

5.

6. 7.

Constructing, without prior permission of the government agency concerned, works that produce dangerous or noxious substances, or performing acts that result in the introduction of sewage, industrial waste, or any substance that pollutes a source of water supply. Dumping mine tailings and sediments into rivers of waterways without permission. Malicious destruction of hydraulic works or structure valued more than twenty five thousand pesos (P25,000.00) but not exceeding one hundred thousand pesos (P100,000.00).

Art. 91-C. A fine exceeding Six thousand pesos (P6,000.00) but not more than Ten thousand pesos (P10,000.00) or imprisonment exceeding six (6) years but not more than twelve (12) years, or both such fine and imprisonment, in the discretion of the Court, shall be imposed upon any person who commits any of the following acts: 1. 2.

Misrepresentation of citizenship in order to qualify for water permit. Malicious destruction of a hydraulic works or structure, valued at more than one hundred thousand pesos (P100,000.00).

Art. 92. If the offense is committed by a corporation, trust, firm, partnership, association, or any other juridical person, the penalty shall be imposed upon the president, general manager, and other guilty officer or officers of such corporation, trust firm, partnership, association, or entity, without prejudice to the filing of a civil action against said juridical person. If the offender is an alien, he shall be deported after serving his sentence, without further proceedings. After final judgment of conviction, the Court, upon petition of the prosecution attorney in the same proceedings and after due hearing, may, when the public interest so requires, order suspension of or dissolution of such corporation, trust, firm, partnership, association, or juridical person. Art. 93. All actions for offenses punishable under Article 91 of this Code shall be brought before the proper court. Art. 94. Actions for offenses punishable under this Code by a fine of not more than Three thousand pesos (P3,000.00) or by an imprisonment of not more than three (3) years, or both such fine and imprisonment, shall prescribe in five (5) years; those punishable by a fine exceeding Three thousand pesos (P3,000.00) but not more than Six thousand pesos (P6,000.00) or an imprisonment exceeding three (3) years but not more than six (6) years, or both such fine and imprisonment, shall prescribe in seven (7) years; and those punishable by a fine exceeding six thousand pesos (P6,000.00) but not more than Ten thousand pesos (P10,000.00) or an imprisonment exceeding six (6) years but not more than twelve (12) years, or both such fine and imprisonment, shall prescribe in ten (10) years.

Chapter IX Transitory and Final Provisions Art. 95. Within two (2) years from the promulgation of this Code, all claims for a right to use water existing on or before December 31, 1974 shall be registered with the Council which shall confirm said rights in accordance with the provisions of this Code, and shall set their respective priorities. When priority in time of appropriation from a certain source of supply cannot be determined, the order of preference in the use of the waters shall be as follows: a. b. c. d. e. f. g.

Domestic and municipal use Irrigation Power generation Fisheries Livestock raising Industrial use Other uses

Any claim not registered within said period shall be considered waived and the use of the water deemed abandoned, and the water shall thereupon be available for disposition as unappropriated waters in accordance with the provisions of this Code. Art. 96. No vested or acquired right to the use of water can arise from acts or omissions which are against the law or which infringe upon the rights of others. Art. 97. Acts and contracts under the regime of old laws, if they are valid in accordance therewith, shall be respected, subject to the limitations established in this Code. Any modification or extension of these acts and contracts after the promulgation of this Code shall be subject to the provisions hereof. Art. 98. Interim rules and regulations promulgated by the Council shall continue to have binding force and effect, when not in conflict with the provisions of this Code. Art. 99. If any provision or part of this Code, or the application thereof to any person or circumstance, is declared unconstitutional or invalid for any reason, the other provisions or parts therein shall not be affected. Art 100. The following laws, parts, and/or provisions of laws are hereby repealed: a.

The provisions of the Spanish Law on Waters of August 3, 1866, the Civil Code of Spain of 1889, and the Civil Code of the Philippines (Republic Act No. 386) on ownership of waters, easements relating to waters, use of

b.

c.

d.

public waters, and acquisitive prescription on the use of waters, which are inconsistent with the provisions of this Code; The provisions of Republic Act No. 6395, otherwise known as the Revised Charter of National Power Corporation, particularly Section 3, paragraph (f), and Section 12, insofar as they relate to the appropriation of waters and the grant thereof; The provisions of Act No. 2152, as amended, otherwise known as the Irrigation Act; section 3, paragraphs (k) and (m) of Presidential Decree No. 813; Republic Act No. 2056; Section 90, Commonwealth Act No. 137; and, All decrees, laws, acts, parts of acts, Rules of Court, executive orders, and administrative regulations which are contrary to or inconsistent with the provisions of this Code.

Art. 101. This Code shall take effect upon its promulgation. Done in the City of Manila, this 31st day of December, 1976.

Dear Water, clear water Playful in all your streams, As you dash and loiter through life, Who does not love to sit beside you, Hear you, feel you, Perfect in music and movement*

*

William H. Auden

MMDA Easement Provision Along Pasig River The Metropolitan Manila Development Authority (MMDA) passed a resolution (MMDA Resolution No. 3, Series of 1996) adopting a uniform easement of 10 meters along the riverbanks and esteros (estuarine waterways). This is without prejudice to other local governments imposing a wider easement zones. Beautiful as it may sound, only one local government (the City of Marikina) has been implementing this provision. Most of the others, not just in Metro Manila but also elsewhere in the country) have local officials who are either (1) ignorant of the provision of law mandating an easement zone; (2) too scared of the squatters/informal settlers of the riverbanks and seashores and therefore lack the political will and cojones to enforce the law or (3) simply do not give a damn. Many of them prefer constructing roads and buildings which, to put it gently, are more visibly profitable -- politically and financially. "Water helped ancient man learn those first lessons about the rights of others and responsibility to a larger society.... It became part of the moral and mental legacy parents passed on to their children." -M. Meyer, "Water in the Hispanic Southwest"

Metro Manila Council, MMDA Resolution No. 3, Series of 1996 ADOPTING A UNIFORM "EASEMENT PROVISION" ALONG THE PASIG RIVER SYSTEM INCLUDING ITS TRIBUTARIES, MAINTAINING A LINEAR PARK AT THE MINIMUM SETBACK OF TEN (10) METERS FROM EXISTINGSHORELINE, BANKS OR STREAMS AND THREE (3) METERS FROM EXISTING ESTEROS AND CANALS AS PROVIDED FOR IN THE MMC ZONING ORDINANCE NO. 81-01 AND SECTION 51 OF THE PHILIPPINE WATER CODE RESPECTIVELY WHEREAS, Republic Act 7924 mandates the Metropolitan Manila Development Authority to formulate and implement policies, standards, programs and projects with respect to flood control, drainage and sewerage, urban renewal, and environmental enhancement; WHEREAS, the uncontrolled encroachments on esteros, creeks, and rivers by illegally-constructed private structures, including squatter shanties along river banks, have continually clogged the waterways of the Pasig River and its tributaries resulting to constant flooding of the streets of Metro Manila; WHEREAS, there are different “easement” provisions along waterways found in both the national and local laws and ordinances, i.e. Sec. 51 Philippine Water Code, Urban-3 meters; Agricultural – 20 meters; Art. IX MMC Ordinance No. 81-01 – 10 meters; DPWH – 3-6.6 meters, has hampered the flood control and sewerage activities of the DENR, DPWH, Presidential Task Force on Pasig River Rehabilitation, among others; WHEREAS, there is a need to clarify which easement provisions should be imposed in Metro Manila; WHEREAS, in line with the foregoing premises and in consonance with the President’s directives to rehabilitate the worsening water quality of the Pasig River and to relocate the mushrooming squatters along the river banks, in the interest of flood control, urban renewal and environmental management and enhancement, the Metro Manila Council (Council), in session assembled, agreed and resolved to adopt a uniform easement provision along the Pasig River System, including its tributaries; NOW THEREFORE, be it resolved as it is hereby resolved by the Council pursuant to Sec. 6 of RA 7924, that the Council hereby adopt a uniform “easement provision” along the Pasig river system including its tributaries, maintaining a lining park or service road at the minimum setback of ten (10) meters from the existing esteros and canals as provided for the MMC Ordinance No. 81-01 and Sec. 51 of the Philippine Water Code respectively, without prejudice to the LGUs prerogative to impose more stringent easement provisions.

This Resolution shall take effect upon approval. APPROVED.

Civil Code Provisions on Waters (Republic Act 386)

SEC. 2. The Use of Public Waters Art. 504. The use of public waters is acquired: 1. 2.

By administrative concession; By prescription for ten years."12

The extent of the rights and obligations of the use shall be that established, in the first case, by the terms of the concession, and, in the second case, by the manner and form in which the waters have been used. Art. 505. Every concession for the use of waters is understood to be without prejudice to third persons. Art. 506. The right to make use of public waters is extinguished by the lapse of the concession and by non-user for five years. SEC. 3. The Use of Waters of Private Ownership Art. 507. The owner of a piece of land on which a spring or brook rises, be it continuous or intermittent, may use its waters while they run through the same, but after the waters leave the land they shall become public, and their use shall be governed by the Special Law of Waters of August 3, 1866, and by the Irrigation Law. Art. 508. The private ownership of the beds of rainwater does not give a right to make works or constructions which may change their course to the damage of third persons, or whose destruction, by the force of floods, may cause such damage.

12

But note that under the Water Code, waters cannot be acquired by prescription. Because the Water Code (P.D. 1067) is a later law than the Civil Code (R.A. 386), the Civil Code provisions on waters are deemed modified by the Water Code.

Art. 509. No one may enter private property to search waters or make use of them without permission from the owners, except as provided by the Mining Law.

"A waster of water is a waster of better." --Old Irish Adage

Art. 510. The ownership which the proprietor of a piece of land has over the waters rising thereon does not prejudice the rights which the owners of lower estates may have legally acquired to the use thereof.

Art. 511. Every owner of a piece of land has the right to construct within his property reservoirs for rainwater, provided he causes no damage to the public or to third persons. SEC. 4. Subterranean Waters Art. 512. Only the owner of a piece of land, or another person with his permission, may make explorations thereon for subterranean waters, except as provided by the Mining Law. Explorations for subterranean waters on lands of public dominion may be made only with the permission of the administrative authorities. Art. 513. Waters artificially brought forth in accordance with the Special Law of Waters of August 3, 1866, belong to the person who brought them up. Art. 514. When the owner of waters artificially brought to the surface abandons them to their natural course, they shall become of public dominion. SEC. 5. General Provisions Art. 515. The owner of a piece of land on which there are defensive works to check waters, or on which, due to a change of their course, it may be necessary to reconstruct such works, shall be obliged, at his election, either to make the necessary repairs or construction himself, or to permit them to be done, without damage to him, by the owners of the lands which suffer or are clearly exposed to suffer injury. Art. 516. The provisions of the preceding article are applicable to the case in which it may be necessary to clear a piece of land of matter, whose accumulation

or fall may obstruct the course of the waters, to the damage or peril of third persons. Art 517. All the owners who participate in the benefits arising from the works referred to in the two preceding articles, shall be obliged to contribute to the expenses of construction in proportion to their respective interests. Those who by their fault may have caused the damage shall be liable for the expenses. Art. 518. All matters not expressly determined by the provisions of this Chapter shall be governed by the Special Law of Waters of August 3, 1866, and by the Irrigation Law. Art. 637. Lower estates are obliged to receive the waters which naturally and without the intervention of man descend from the higher estates, as well as the stones or earth which they carry with them. The owner of the lower estate cannot construct works which will impede this casement; neither can the owner of the higher estate make works which will increase the burden. Art. 638. The banks of rivers and streams, even in case they are Of private ownership, are subject throughout their entire length and within a zone of three (3) meters along their margins, to the easement of public use in the general interest of navigation, floatage, fishing and salvage. 13 Estates adjoining the banks of navigable or floatable rivers are, furthermore subject to the easement of towpath for the exclusive service of river navigation and floatage. If it be necessary for such purpose to occupy lands of private ownership, the proper indemnity shall first be paid. Art. 639. Whenever for the diversion or taking of water from a river or brook, or for the use of any other continuous or discontinuous stream, it should be necessary to build a dam, and the person who is to construct it is not the owner of the banks, or lands which must support it, he may establish the easement of abutment of a dam, after payment of the proper indemnity. Art. 640. Compulsory easements for drawing water or for watering animals can be imposed only for reasons of public use in favor of a town or village, after payment of the proper indemnity. Art. 641. Easements for drawing water and for watering animals carry with them the obligation of the owners of the servient estates to allow passage to persons 13

Note that the easement provided here is deemed modified by the Water Code. The easement requirement is now 3 meters for urban areas, 20 meters for agricultural areas, and 40 meters for forest/protected areas.

and animals to the place where such easements are to be used, and the indemnity shall include this service. Art. 642. 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 indemnify their owners, as well as the owners of the lower estates upon which the waters may filter or descend. Art. 643. One desiring to make use of the right granted in the preceding article is obliged: 1. 2. 3.

To prove that he can dispose of the water and that it is sufficient for the use for which it is intended; To show that the proposed right of way is the most convenient and the least onerous to third persons; To indemnify the owner of the servient estate in the manner determined by the laws and regulations.

Art. 644. The easement of aqueduct for private interest cannot be imposed on buildings, courtyards, annexes, or outhouses, or on orchards or gardens already existing. Art. 645. The easement of aqueduct does not prevent the owner of the servient estate from closing or fencing it, or from dominant estate, or upon a schedule of alternate days or hours. Art. 646. For legal purposes, the easement of aqueduct shall be considered as continuous and apparent, even though the flow of the water may not be continuous, or its use depends upon the needs of the dominant estate, or upon a schedule of alternate days or hours. Art. 647. One who, for the purposes of irrigating or improving his estate, has to construct a stop lock or sluice gate in the bed of the stream from which the water is to be taken may demand that the owners of the banks permit its construction, after payment of damages, including those caused by the new easement to such owners and to the other irrigators. Art. 648. The establishment, extent, form, and conditions of the servitudes of waters, to which this section refers, shall be governed by the special laws relating thereto insofar as no provision therefore is made in this Code.

The Spanish Law on Waters of 1866 Although this law is more than 100 years old, the principles and provisions, in so far as they are not inconsistent with the Civil Code, and provisions of the Water Code, continue to be valid and effective. In a 1977 case, the Supreme Court of the Philippines had occasion to use the Spanish Law of Waters in determining the ownership of a piece of land that formed along the coast of Manila Bay. In this case the court ruled that a piece of land that formed along the coastal zone by the action of the waves and the accretion of sand is public land and not owned by the littoral owner. (Littoral refers to the land adjoining the seashore. For rivers, the term used is “riparian”.) A full copy of the Spanish Law of Waters of 1866, an antiquated law but whose rules and principles continue to be valid and effective, may be found in the electronic version of the book or upon request.

Laguna Lake Development Authority (Republic Act 4850)

Chapter I Declaration of Policy and Creation of Authority SECTION 1.14 Declaration of Policy — It is hereby declared to be the national policy to promote and accelerate the development and balanced growth of the Laguna Lake area and the surrounding provinces, cities, and towns hereinafter referred to as the region, within the context of the national and regional plans and policies for social and economic development and to carry out the development of the Laguna Lake region with due regard and adequate provisions for environmental management and control, preservation of the quality of human life and ecological systems, and the prevention of undue ecological disturbances, deterioration, and pollution. SEC. 2. Laguna Lake Development Authority Created — For the purpose of 14

As amended by Sec. 1, P.D. No. 813, 17 October 1975.

"If there is magic on this planet, it is contained in water" -Loran Eisley

carrying out and effecting the declared policy, as provided for in Section 1 hereof, there is hereby created a body corporate to be known as the Laguna Lake Development Authority, hereinafter referred to as the Authority, which shall be organized within one hundred twenty (120) days after the approval of this Act. The Authority shall execute the powers and functions herein vested and conferred upon it in such a manner as will, in its judgment, aid to the fullest possible extent in carrying out the aims and purposes set forth below. This Act may be known as the Laguna Lake Development Authority Act of 1966. SEC. 3. Location of Principal Office — The Authority shall maintain its principal office at a convenient place within the region, but it may have branch offices in such other places as are necessary for the proper conduct of its business. SEC. 4. Special Powers and Functions15 — The Authority shall exercise and perform the following powers and functions: a.

b.

c.

d.

15

To make a comprehensive survey of the physical and natural resources and potentialities of the Laguna Lake region particularly its social and economic conditions, hydrologic characteristics, power potentials, scenic and tourist spots, regional problems, and on the basis thereof, to draft a comprehensive and detailed plan designed to conserve and utilize optimally the resources within the region particularly Laguna de Bay to promote the region’s rapid social and economic development and upon approval by the National Economic and Development Authority (NEDA) Board of such plan, to implement the same including projects in line with said plan: Provided, That implementation of all fisheries plans and programs of the authority shall require prior consensus of the Bureau of Fisheries and Aquatic Resources to ensure that such plans and programs are consistent with the national fisheries plans and programs. For the purpose of said survey, public agencies shall submit and private entities shall provide necessary data except such data which under existing laws are deemed inviolable. To provide the machinery for extending the necessary planning, management, and technical assistance to prospective and existing investors in the region; To make recommendation to the proper agencies on the peso or dollar financing, technical support, physical assistance, and, generally, the level of priority to be accorded agricultural, industrial, and commercial projects, soliciting or requiring direct help from or through the government or any of its instrumentalities; To pass upon and approve or disapprove all plans, programs, and projects proposed by local government offices/agencies within the region, public corporations, and private persons or enterprises where such plans, programs, and/or projects are related to those of the Authority for the development of the region as envisioned in this Act. The Authority shall

As amended by Sec. 2, P.D. No. 813, 17 October 1975.

issue the necessary clearance for approved proposed plans, programs, and projects within thirty (30) days from submission thereof unless the proposals are not in consonance with those of the Authority or that those will contribute to the unmanageable pollution of the Laguna Lake waters or will bring about the ecological imbalance of the region: Provided, further, That the Authority is hereby empowered to institute necessary legal proceeding against any person who shall commence to implement or continue implementation of any project, plan or program within the Laguna de Bay region without previous clearance from the Authority: Provided, furthermore, That any local government office, agency, public corporation, private person, or enterprise whose plans, programs, and/or projects have been disapproved by the Authority may appeal the decision of the Authority to the NEDA within fifteen (15) days from receipt of such disapproval whose decision on the matter shall be final. Reasonable processing fees as may be fixed by the Authority’s Board of Directors shall be collected by the Authority for the processing of such plans, programs and/or projects: Provided, finally, That expansion plans shall be considered as new plans subject to review of the Authority and to payment of the processing fees.

e.

f.

The Authority and national and local government offices, agencies, and public corporations shall coordinate their plans, programs, projects, and licensing procedures with respect to the Laguna Lake region for the purpose of drawing up a Laguna Lake development plan which shall be binding upon all parties concerned upon approval of the NEDA Board. To engage in agriculture, industry, commerce, or other activities within the region which may be necessary or directly contributory to the socioeconomic development of the region, and, for this purpose, whether by itself or in cooperation with private persons or entities, to organize, finance, invest in, and operate subsidiary corporations: Provided, That the Authority shall engage only, unless public interest requires otherwise, in those activities as are in the nature of new ventures or are clearly beyond the scope, capacity, or interest of private enterprises due to consideration of geography, technical or capital requirements, returns on investment, and risk; To plan, program, finance, and/or undertake infrastructure projects such as river, flood, and tidal control works, wastewater and sewerage works, water supply, roads, portworks, irrigation, housing and related works, when so required within the context of its development plans and programs including the readjustment, relocation or settlement of population within the region as may be necessary and beneficial by the Authority: Provided, That should any project be financed wholly or in part by the Authority, it is hereby authorized to collect reasonable fees and tolls as may be fixed by its Board of Directors subject to the approval of the NEDA Board from users and/or beneficiaries thereof to recover costs of construction, operation and maintenance of the projects: Provided, further, That if the Authority should find it necessary to undertake such infrastructure projects

g.

h.

i.

j.

k.

16

which are classified, as social overhead capital projects as determined by the NEDA, the Authority shall be authorized to receive financial assistance from the government in such amount as may be necessary to carry out the said projects subject to such terms and condition that may be imposed by the government, upon recommendation of the NEDA Board: Provided, finally, That such amount as may be necessary for the purpose is hereby authorized to be appropriated out of the funds of the National Treasury not otherwise appropriated. To make an annual report to the stockholders regarding the operation of the Authority more particularly a statement of its financial conditions, activities undertaken, progress of projects and programs and plans of actions for the incoming years: Provided, however, That a majority of the stockholders may require the Authority to submit a report or reports other than the annual report herein required, which report must be submitted within a period of thirty (30) days from notice thereof; To lend or facilitate the extension of financial assistance and/or act as surety or guarantor to worthwhile agricultural, industrial and commercial enterprises; To reclaim or cause to be reclaimed portions of the lake or undertake reclamation projects and/or acquire such bodies of land from the lake which may be necessary to accomplish the aims and purposes of the Authority subject to the approval of the NEDA Board: Provided, That the land so reclaimed shall be the property of the Authority and title thereto shall be vested in the Authority: Provided, further, That the resulting lake shore shall continue to be owned by the national government. The provisions of existing laws to the contrary notwithstanding, to engage in fish production and other aquaculture projects in Laguna de Bay and other bodies of water within its jurisdiction and in pursuance thereof to conduct studies and make experiments, whenever necessary, with the collaboration and assistance of the Bureau of Fisheries and Aquatic Resources, with the end in view of improving present techniques and practice. Provided, That until modified, altered or amended by the procedure provided in the following subparagraph, the present laws, rules and permits or authorizations remain in force;16 For the purpose of effectively regulating and monitoring activities in Laguna de Bay, the Authority shall have exclusive jurisdiction to issue new permits for the use of the lake waters for any projects or activities in or affecting the said lake including navigation, construction, and operation of fishpens, fish enclosures, fish corrals, and the like, and to impose necessary safeguards for lake quality control and management and to collect necessary fees for said activities and projects: Provided, That the fees collected for fisheries may be shared between the Authority and other government agencies and political subdivisions in such proportion as may be determined by the President of the Philippines upon recommendation of the Authority’s Board: Provided, further, That the Authority’s Board may determine new areas of

New subsection introduced by Sec. 3, P.D. No. 813, 17 October 1975.

l.

m.

n.

o.

p.

17

Ibid. Ibid. 19 Ibid. 20 Ibid. 21 Ibid. 22 Ibid. 18

fisheries development or activities which it may place under the supervision of the Bureau of Fisheries and Aquatic Resources taking into account the overall development plans and programs for Laguna de Bay and related bodies of water: Provided, finally, That the Authority shall, subject to the approval of the President of the Philippines, promulgate such rules and regulations which shall govern fisheries development activities in Laguna de Bay which shall take into consideration among others the following: socioeconomic amelioration of bona fide resident fisherman whether individually or collectively in the form of cooperatives, lakeshore town development, a master plan for fishpen construction and operation, communal fishing ground for lakeshore town residents, and preference to lakeshore town residents in hiring laborers for fishery projects.17 To require the cities and municipalities embraced within the region to pass appropriate zoning ordinances and other regulatory measures necessary to carry out the objectives of the Authority and enforce the same with the assistance of the Authority.1918 The provisions of existing laws to the contrary notwithstanding, to exercise water rights over public waters within the Laguna de Bay region whenever necessary to carry out the Authority’s projects;19 To act in coordination with existing governmental agencies in establishing water quality standards for industrial, agricultural and municipal waste discharges into the lake and to cooperate with said existing agencies of the government of the Philippines in enforcing such standards, or to separately pursue enforcement and penalty actions as provided for in Section 4 (d) and Section 39A of this Act: Provided, That in case of conflict on the appropriate water quality standard to be enforced, such conflict shall be resolved through the NEDA Board;20 To develop water supply from ground and/or lake water resources for municipal, agricultural, and industrial usages, in coordination with the National Water Resources Council created by Presidential Decree No. 424 dated March 28, 1974 or its successors in interests, and to enter into agreements with municipalities, governmental agencies, and corporations and the private sector to supply, distribute, and market such water;21 Undertake studies on the improvement and maintenance of the desirable lake water quality of Laguna de Bay, and in pursuance thereof, prepare a water quality management program on a continuing basis, subject to the approval of the NEDA, which the Authority shall carry out with the assistance and support of all national and local government units involved in water quality management.22

SEC. 4A. Compensation for damages to the water and aquatic resources of Laguna de Bay and its tributaries resulting from failure to meet established water and effluent quality standards or from such other wrongful act or omission of a person, private or public, juridical or otherwise, punishable under the law shall be awarded to the Authority to be earmarked for water quality control and management.23 SEC. 4B. The Authority is hereby empowered to collect annual fees as provided for in Section 4 (j) herein, for the use of the lake waters and its tributaries for all beneficial purposes including recreation, municipal, industrial, agricultural, fisheries, navigation, and waste disposal purposes. All the fees so collected shall be used for the management and development of the lake and its watershed areas: Provided, That the rates of the fees to be collected shall be subject to the approval of the President of the Philippines.24

Chapter II Corporate Powers SEC. 5.25 The Powers of the Authority — The Authority shall have the following powers and functions: a. b. c. d. e. f.

g.

h.

i.

23

To succeed on its corporate name; To sue and be sued in such corporate name; To adopt, alter, and use a corporate seal; To adopt, amend, and repeal its by-laws; To enter into contracts of any kind and description, to enable it to carry out its purposes and functions under this Act; To acquire, buy, purchase, hold, or lease such personal and real property as it deems necessary or convenient in the transaction of its business and/or in relation with carrying out its purposes under this Act; and to lease, mortgage, sell, alienate, or otherwise encumber, utilize, exploit or dispose any such personal and real property held by it, subject to prior or existing individual or communal right of private parties or of the government or any agency or enterprise thereof. To exercise the right of eminent domain whenever the Authority deems it necessary for the attainment of the objectives of the Authority under this Act; To borrow funds from any local or foreign financial institutions independent of the bonds it may issue or may continue to issue, to carry out the purposes of this Authority under this Act; To purchase, hold, alienate, mortgage, pledge, or otherwise dispose of the shares of the capital stock of, or any bond, securities, or other evidence of

Inserted by Sec. 4, P.D. No. 813, 17 October 1975. Ibid. 25 As amended by Secs. 5 and 6, P.D. No. 813, 17 October 1975. 24

j.

k.

indebtedness created by any other corporation, co-partnership, or government agencies or instrumentalities; and while the owner of said stock to exercise all the rights or ownership, including the right to vote thereon; Provided, That the Authority shall not invest its funds in any highly risky debt instruments issued without recourse to commercial banks or investment houses as well as in any highly speculative stocks. For carrying on its business, or for the purpose of attaining or furthering any of its objectives, to perform any and all acts which a corporation, copartnership, or natural person is authorized to perform under the laws now existing or which may be enacted hereafter. To issue such rules and regulations as may be necessary to effectively carry out the powers and purposes herein provided including the plans, programs and projects of the Authority, subject to the approval of the NEDA, the same to take effect thirty (30) days after publication thereof, in a newspaper of general circulation.

SEC. 6.26 Capitalization and Financing — The Authority shall have an authorized capital of one hundred million pesos (P100,000,000) of which the amount of fiftyone million pesos (P51,000,000) shall be subscribed by the national government and forty-nine million pesos (P49,000,000) shall be subscribed by cities, provinces, municipalities, government corporations, and private investors; Provided, That at least twenty-five percent (25%) of the national government’s subscription shall be fully paid: Provided, further, That the authorized capital stock may be increased upon the recommendation of NEDA. The authorized capital stock of one hundred million pesos (P100M) shall be divided into one million (1,000,000) shares of stock with a par value of one hundred pesos (P100) per share. The shares of stock of the Authority shall be divided into (1) 700,000 common shares (voting) and (2) 300,000 preferred shares (nonvoting) with such fixed rates of return as shall be determined by the Board. Of the common shares of 700,000 a minimum of 400,000 shares shall be subscribed by the national government and at least sixty percent (60%) of the balance shall be subscribed by the provinces of Laguna and Rizal in such proportion as may be agreed upon by both provincial governments in accordance with their respective capacities. The remaining balance of the common shares shall be open for subscription to cities, provinces, municipalities, and private investors. Of the preferred shares of stock of 300,000, a minimum of 110,000 shares shall be subscribed by the national government. The balance of the preferred shares shall be available for subscription to cities, provinces, municipalities, government corporations, and private investors; Provided, however, That preferred shares shall enjoy preference with respect to distribution of dividends and assets in case of dissolution. 26

As amended by Sec. 7, P.D. No. 813, 17 October 1975.

SEC. 7. Powers of Municipal Corporations to Subscribe — For purposes of attaining the purposes of this Authority, municipalities, cities and provinces are hereby authorized to subscribe, own, buy and hold shares of stock of this Authority. SEC. 8.27 Operating Expenses—For the operating expenses of the Authority, the sum of one million pesos (P1,000,000) is hereby appropriated annually for five (5) years from the general fund of the national government not otherwise appropriated from the date of approval of this Decree. The Board of Directors may appropriate out of the funds of the Authority such as may be needed or necessary for its operating expenses. SEC. 9.28 Power to Incur Debts and Issue Bonds — Whenever the Board of Directors may deem it necessary for the Authority to incur indebtedness or to issue bonds to carry out the provisions of this Act, it shall by resolution so declare and state the purpose for which the proposed debt is to be incurred. The resolution shall be confirmed by the affirmative vote of the stockholders representing a majority of the subscribed capital stock outstanding and entitled to vote. The Authority shall submit to the NEDA Board and the Monetary Board of the Central Bank for approval its proposal to incur indebtedness or to issue bonds. This shall be considered authorized upon approval of the President of the Philippines. SEC. 10. Bond Limit —The bonds shall be issued in such amounts as will be needed at any one time, taking into account the rate at which said bonds may be absorbed by the buying public and the fund requirements of projects ready for execution, and considering further a proper balanced productive and nonproductive projects so that inflation shall be held to the minimum. SEC. 11. Form, Rates of Interest, etc. of Bonds — The Board of Directors shall prescribe the form, rates of interest, denominations, maturities, negotiability, convertibility, call and redemption features, and all other terms and conditions of issuance, placement, sale, servicing, redemption, and payment of all bonds issued by the Authority under this Act. The bonds issued by virtue of this Act may be made payable both as to principal and interest in Philippine currency or any readily convertible foreign currency; said bonds shall be receivable as security in any transaction with the government in which such security is required. SEC. 12. Exemption from Tax — The Authority shall be exempt from all taxes, licenses, fees, and duties, incidental to its operations. This exemption shall extend 27 28

As amended by Sec. 8, P.D. No. 813, 17 October 1975. As amended by Sec. 9, P.D. No. 813, 17 October 1975.

to its subsidiary corporation: Provided, That its subsidiary corporations shall be subject to all said taxes, licenses, fees, and duties five (5) years after their establishment under a graduated scale as follows: twenty percent (20%) of all said taxes during the sixth year, forty percent (40%) of all said taxes during the seventh year, sixty percent (60%) of all said taxes during the eighth year, eighty percent (80%) of all said taxes during the ninth year, and one hundred percent (100%) of all taxes during the tenth year, after said establishment. Such examination shall include any tax or fee imposed by the government on the sale, purchase or transfer of foreign exchange. All notes, bonds, debentures, and other obligations issued by the Authority shall be exempt from all taxes both as to principal and interest, except inheritance and gift taxes. SEC. 13. Sinking Fund — A sinking fund shall be established in such manner that the total annual contribution thereto accrued at such rate of interest as may be determined by the Board of Directors as confirmed by the stockholders representing a majority of the subscribed capital stock outstanding and entitled to vote, shall be sufficient to redeem at maturity the bonds issued under this Act. Such funds shall be under the custody of the treasurer of the Authority who shall invest the same in such manner as the Board of Directors may direct; charge all expenses of investment to said sinking fund, and credit the same with the interest on investment and other income belonging to it. SEC. 14. Guarantee by the Government — The Republic of the Philippines hereby guarantees the payment by the Authority of both the principal and the interest of the bonds, debentures, collaterals, notes or such other obligations issued by the Authority by virtue of this Act, and shall pay such principal and interest in the event that the Authority fails to do so. In case the Authority shall be unable to pay the said principal and interest, the Secretary of Finance shall pay the amount thereof which is hereby appropriated out of any funds in the National Treasury not otherwise appropriated, and thereupon, to the extent of the amounts so paid, the government of the Republic of the Philippines shall succeed to all rights of the holders of such bonds, debentures, collaterals, notes or other obligations, unless the sum so paid by the Republic of the Philippines shall be refunded by the Authority within a reasonable time.

Chapter III Management and Personnel SEC. 15.29 Incorporation — The members of the first Board of Directors shall be elected by the stockholders and the incorporation shall be held to have been effected from the date of the first meeting of such Board. SEC. 16.30 Board of Directors: Composition — The corporate powers shall be vested in and exercised by a Board of Directors, hereinafter referred to as the Board, which shall be composed of eight (8) members, to wit: the Executive Secretary, the Secretary of Economic Planning, the Secretary of Natural Resources, the Secretary of Industry, a representative of Laguna Province, who shall be designated by the Provincial Board of Laguna; a representative of Rizal Province to be designated by its Provincial Board; the General Manager of the Authority to be appointed by the President of the Philippines, and a representative of the private investors, likewise to be appointed by the President of the Philippines from among a list of recommendees to be submitted by the private investors: Provided, That the incumbent representative of the private investors shall continue as member until the President appoints his successor. The Board of Directors shall elect annually from among their members a chairman and a vice chairman. There shall be a Corporate Secretary who shall be appointed by the Board. The officials next in rank to the abovementioned member shall serve as permanent alternate members and shall attend meetings of the Board in the absence of their principals and receive the corresponding per diems. SEC. 17. Acting Chairman — In case of vacancy in the position of chairman, or in the absence of or temporary incapacity of the chairman, the vice chairman shall act as such until a new chairman is duly elected by the Board. (Sections 18 and 19 were repealed by Presidential Decree No. 813, Section 19, promulgated on October 17, 1975.) SEC. 18. Election and tenure - The first members of the Board shall be elected in accordance with the provisions of Section fifteen of this Act, whose terms of office shall be as follows: two at the end of the first year; two at the end of the second year; two at the end of the third year; one at the end of the fourth year. Thereafter, the succeeding members of the Board of Directors shall serve the term of four (4) years from the date of the election. SEC. 19. Vacancy before expiration of terms - Any member elected to fill any vacancy in the Board occurring prior to the expiration of the term for which his predecessor was elected shall serve only for the unexpired period.

29 30

As amended by Sec. 10, P.D. No. 813, 17 October 1975. As amended by Sec. 11, P.D. No. 813, 17 October 1975.

SEC. 20. Effect of Vacancies; Quorum — Vacancies in the Board, as long as there shall be four members in office, shall not impair the powers of the Board to execute the functions of the Authority. The affirmative vote of four (4) members of the Board shall be necessary at all times to pass or approve any act or resolution. SEC. 21.31 Qualifications of Directors — All members of the Board shall be citizens and residents of the Philippines. They shall have demonstrated executive competence and experience in the field of public administration, economic planning, resource management, or in the establishment and management of large agricultural, industrial or commercial enterprises. No person shall be nominated as member of the Board unless he be of unquestioned integrity and competence. SEC. 22. Prohibition Against “Conflict of Interest” — No member of the Board shall be financially interested, directly or indirectly, in any contract entered into by the Authority or in any special privileges granted by the Authority during his term of office. All contracts entered into in violation of this provision shall automatically be null and void. Any member of the Board found violating the provisions of this section by two-thirds (2/3) vote of the Board shall automatically be disqualified from serving his unexpired term, and he shall furthermore be perpetually disqualified for membership in the said Board. SEC. 23. Removal, Courtesy Resignation — A member of the Board may be removed from office by a vote of the stockholders holding or representing threefourths (3/4) of the subscribed capital stock outstanding and entitled to vote. No member of the Board shall be required to submit a courtesy resignation at any time during his term of office. SEC. 24.32 Board Meetings — The Board shall meet at least once a month. The Board shall be convoked by the chairman or upon written request signed by a majority of the members. SEC. 25.33 Per Diems and Allowances — The members of the Board shall receive for every meeting attended a per diem to be determined by the Board: Provided, That in no case will the total amount received by each exceed the sum of one thousand pesos (P1,000.00) for any one month. Members of the Board shall be entitled to commutable transportation and representation allowances in the performance of official functions for the Authority as authorized by the Board the aggregate amount of which shall not exceed one thousand pesos (P1,000.00) for any one month.

31

As amended by Sec. 13, P.D. No. 813, 17 October 1975. As amended by Sec. 14, P.D. No. 813, 17 October 1975. 33 As amended by Sec. 15, P.D. No. 813, 17 October 1975. 32

SEC. 25A.34 Powers and Functions of the Board of Directors — a. b.

c. d. e.

To formulate, prescribe, amend, and repeal rules and regulations to govern the conduct of business of the Authority; To appoint and fix the compensation of all officials from division heads and above, and others of comparable rank including the assistant general manager upon the recommendation of the general manager; By a majority vote of all members of the Board, to suspend, remove, or otherwise discipline for just cause all officials appointed by the Board; To approve the annual and/or supplemental budgets of the Authority; and To do such other acts and perform such other functions as may be necessary to carry out the provisions of this charter.

SEC. 26.35 Powers and Functions of the General Manager — The General Manager shall be the chief executive of the Authority. As such, he shall have the following powers and duties: a.

b. c.

d.

e. f.

g.

Submit for consideration of the Board the policies and measures which he believes to be necessary to carry out the purposes and provisions of this Act; Execute and administer the policies, plans, programs, and projects approved by the Board; Direct and supervise the operation and internal administration of the Authority. The General Manager may delegate certain of his administrative responsibilities to other officers of the Authority subject to the rules and regulations of the Board. Appoint officials and employees below the rank of division heads to positions in the approved budget upon written recommendation of the division head concerned using as guide the standard set forth in the Authority’s merit system; Submit quarterly reports to the Board on personnel selection, placement, and training; Submit to the NEDA an annual report and such other reports as may be required, including the details of the annual and supplemental budgets of the Authority, and Perform such other functions as may be provided by law.

(Sections 27 and 28 were repealed by Presidential Decree No. 813, Section 18, promulgated on October 17, 1975.) SEC. 29.36 Compensation — The General Manager shall receive a compensation of at least thirty-six thousand pesos (P36,000.00) per annum which shall be 34

Inserted by Sec. 16, P.D. No. 813, 17 October 1975. As amended by Sec. 17, P.D. No. 813, 17 October 1975. 36 As amended by Sec. 20, P.D. No. 813, 17 October 1975. 35

charged against the annual appropriation of the Authority for operating expenses. The Board of Directors may provide per diems and allowances for the General Manager. SEC. 30. Residence — The General Manager shall establish his residence within the region. The General Manager shall not, during his term of office, engage in any business or profession or calling other than those connected in the performance of his official duties as General Manager of the Authority. SEC. 31.37 Activities of the Authority: Key Officials — In carrying out the activities of the Authority, the General Manager shall be assisted by an Assistant General Manager who shall have such powers, duties, and functions that may be delegated to him by the General Manager, and shall act as General Manager in the absence of or during the temporary incapacity of and/or until such time as a new General Manager is duly appointed. The Authority shall have the following divisions under the direct supervision and control of the General Manager: a.

b.

c.

d.

e.

f.

An administrative division which shall be responsible for providing services relating to personnel, training, information, records, supplies, general services, equipment, and security; A legal division, to be headed by a legal counsel who shall represent the Authority in legal actions and proceedings. This division shall be responsible for providing staff advice and assistance on legal matters; A finance division which shall be responsible for providing staff advice and assistance on budgetary and financial matters, and safekeeping of corporate assets; A project management division which shall be responsible for the operation of approved projects, project evaluation, and management improvement matters; A planning and project development division which shall be responsible for providing services relating to planning, programming, statistics, and project development; and An engineering and construction division which shall be responsible for providing services relating to detailed engineering plans and the construction and maintenance of project facilities.

The business and activities of each of these divisions shall be directed by an officer to be known as its Division Head. The Board may create such other divisions and positions as may be deemed necessary for the efficient, economical, and effective conduct of the activities of the Authority.

37

As amended by Sec. 21, P.D. No. 813, 17 October 1975.

SEC. 32.38 Merit and Compensation System — All officials, agents, and employees of the Authority shall be selected and appointed on the basis of merit and fitness in accordance with a comprehensive and progressive merit system to be established by the Authority. The recruitment, transfer, promotion, and dismissal of all personnel of the authority, including temporary workers, shall be governed by such merit system: Provided, That the regular professional and technical personnel of the Authority shall be exempt from the coverage of the classification and compensation plans of the WAPCO and Civil Service rules and regulations: Provided, however, That such personnel shall be permanent in status and shall be entitled to the benefits and privileges normally accorded to government employees, such as retirement, GSIS insurance, leave, and similar matters: Provided, further, That the Director General of the NEDA shall review and recommend the approval of the staffing pattern for professional and technical personnel of the Authority including modifications thereof as may be necessary for five years from the date of approval of this Decree.

(Sections 33 and 34 were repealed by Presidential Decree No. 813, Section 23, promulgated on October 17, 1975.) SEC. 34A.39 Supervision by the NEDA — The Authority shall be directly under the NEDA for policy and program integration. SEC. 34B.40 Submission of Financial Statement to NEDA — The Authority shall submit audited financial statements to NEDA within sixty (60) days after the close of the fiscal year, and it shall continue to operate on the basis of not more than the preceding year’s budget until the said financial statements shall have been submitted. SEC. 34C.41 Management Audit by the NEDA — The NEDA, may, at its own instance, initiate a management audit of the Authority when there is a reasonable ground to believe that the affairs of the Authority have been mismanaged. Should such audit indicate mismanagement, the NEDA shall take such appropriate measures as may be required by circumstances. SEC. 35. Minimum Wage — All contracts entered into by the Authority which require the employment of persons shall contain provision that not less than the minimum wage fixed by law shall be paid to such persons so employed.

38

As amended by Sec. 22, P.D. No. 813, 17 October 1975. Inserted by Sec. 25, P.D. No. 813, 17 October 1975 suspended by E.O. No. 149, s. 1993 with transfer of LLDA to DENR. 40 Inserted by Sec. 25, P.D. No. 813, 17 October 1975. 41 Inserted by Sec. 25, P.D. No. 813, 17 October 1975. 39

SEC. 36. Plans to Be Formulated Within One Year — Upon its organization, the Board of Directors shall formulate and report to the stockholders with the utmost expeditious manner, but in no case longer than one (1) year, its plans and recommendations for the accelerated and balanced development of the region in accordance with the aims and purposes of this Act. SEC. 37. Supplies and Services Other than Personnel — All purchases of supplies or contracts for services, except for personnel services, entered into by the Authority shall be done only after the proper bidding is held. Bidding shall not be required when: (1) the amount involved is five thousand pesos (P5,000.00) or less; (2) an emergency, as certified to by the General Manager, requires immediate delivery of the supplies or performance of the services: Provided, That in comparing bids and making awards, the Authority shall consider such factors as the cost and relative quality and adaptability of supplies or services; the bidders’ financial responsibility, skill, experience, integrity, and ability to furnish repairs and maintenance services; the time of delivery or performance offered; and the compliance with the specifications desired. SEC. 38. Auditing — The Board of Directors shall provide and appoint an auditor who shall formulate an auditing system for the Authority. The Auditor shall make a semestral and/or annual report covering the financial conditions and operation of the Authority to the Board. These auditing reports shall contain a statement of the resources and liabilities, including earnings and expenses, the amount of paid-up capital stock, surplus, reserves, and profits, as well as losses, bad debts and such other facts which, under auditing rules and regulations, are considered necessary to accurately described the financial conditions and operation of the Authority. The Auditor shall report and be directly responsible to the Board. SEC. 39. (This provision was repealed by Presidential Decree No. 813, Section 26, promulgated on October 17, 1975.) SEC. 39A.42 Penal and Civil Liability Clause — Any person, natural or juridical, who shall violate any of the provisions of this Act or any rules or regulations promulgated by the Authority pursuant thereto shall be liable to imprisonment of not exceeding three years or to a fine not exceeding five thousand pesos (P5,000.00) or both at the discretion of the Court. If the violator be a corporation, partnership or association, the officer or officers of the organization concerned shall be liable therefore. The authority is hereby authorized to pursue separate civil actions for damages resulting from infractions of the provisions of this Act, rules or regulations issued pursuant thereto and/or conditions embodied in the clearances or permits issued by the Authority. 42

Inserted by Sec. 27, P.D. No. 813, 17 October 1975.

SEC. 40. Separability Clause — The provisions of this Act are hereby declared to be separable, and in the event any one or more such provisions are held unconstitutional, they shall not affect the validity of other provisions. SEC. 40A.43 Transitory Provision — When the Regional Development Council for the region becomes operational, the socioeconomic planning functions as envisioned under this Charter shall be assumed by the aforementioned Regional Development Council in accordance with the provisions of the Integrated Reorganization Plan, as amended. All incumbent officials and employees shall continue in office and those qualified shall have preference in filling up new positions that may be created as consequence of this Decree. SEC. 41.44 Definition of Terms — 1. 2. 3. 4.

5.

6.

7. 8. 9.

10.

43 44

Act — Whenever used in this Act, shall refer to the enabling Act creating the Laguna Lake Development Authority; Authority — Whenever cited in this Act shall mean the Laguna Lake Development Authority; Board — The word Board shall always refer to the Board of Directors of the Laguna Lake Development Authority; Region — The word region in this connection means the Laguna Lake area proper comprising the provinces of Rizal and Laguna and the cities of San Pablo, Manila, Pasay, Quezon, and Caloocan; Government instrumentalities, agencies, or entities — Whenever used in this Act shall mean instruments of the national or local governments vested with powers to accomplish a definite government aim or purpose; Municipal corporation — Whenever used in this Act shall mean one that is organized for political purposes with political powers exercised for the good of the public, subject to legislative control and with officers of the government as its members to administer or discharge public duties; Government corporation — Whenever used shall refer to corporations engaged in performing functions impressed with public interest; Investors — With regards to this Act, investors shall include public and private investors whether foreign or local; External auditor — Shall mean a firm or a person hired outside the Authority or agency to audit the books of accounts of another corporation or agency, examine financial records, prepare audit reports on findings in the operation of the agency, review the statement on the performance report of the Authority. Subsidiary corporation — A corporation that is organized or a corporation already in existence wherein at least fifty-one percent (51%) of its shares of stock are owned or controlled by the organizing or subscribing Authority, in this case, the Laguna Lake Development Authority, to carry out or accomplish its purposes.

Inserted by Sec. 28, P.D. No. 813, 17 October 1975. Amended by Sec. 29, P.D. No. 813, 17 October 1975.

11.

Laguna Lake or lake — Whenever used in this Act, the same shall refer to Laguna de Bay which is that area covered by the lake water when it is at the average annual maximum lake level of elevation 12.50 meters, as referred to a datum 10.00 meters below mean lower low water (MLLW). Lands located at and below such elevation are public lands which form part of the bed of said lake.

SEC. 42. Laws repealed — All acts, charters, executive orders, administrative orders, proclamations, rules and regulations, or parts thereof in conflict with this Act are hereby repealed or modified accordingly. SEC. 43. Effectivity — This Act shall take effect upon its approval. Approved: July 18, 1966. Additional Powers of LLDA (Executive Order No. 927) Whereas, the land and the waters of the Laguna Lake Region are limited natural resources requiring judicious management for their optimal utilization to insure renewability and to preserve the ecological balance; Whereas, the increasing pressure of urban growth and development dictate the need for a more rational allocation of the limited land and lake resources of the region responsive to the demands of the various beneficial users thereof; Whereas, the competing options for the use of such resources and "Irrigation of the land with seawater desalinated by fusion power is ancient. It's conflicting jurisdictions over called rain. " --Michael McClary such uses are creating undue constraints on the institutional capabilities of LLDA in the light of the limited powers vested in it by its charter;

Whereas, for LLDA to effectively perform its role, a thorough corporate reorganization aimed at: regrouping its various units for better administrative control and direction; expansion of its field offices; strengthening of the linkages with other government and private institutions; broadening of its financial base and revenue generations; and, enlarging its prerogatives of monitoring, licensing and enforcement, would be necessary. Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers vested in me by the Constitution and the authority vested in me by the Presidential Decree No. 1416, do hereby order and ordain: SECTION 1. Reclassification — The Authority is hereby classified among the industrial/area development group (Class A) of corporations under Letter of Implementation No. 97 and for this purpose the Authority is hereby granted authority to modify its organization, providing for the creation of the position of deputy general manager, upgrading the existing divisions into departments to be headed by directors and regrouping of these departments into offices coordinated by assistant general managers, and creating other offices its Board may deem necessary and appropriate to achieve its objectives and aims. SEC. 2. Water Rights over Laguna de Bay and Other Bodies of Water within the Lake Region — To effectively regulate and monitor activities in the Laguna de Bay region, the Authority shall have exclusive jurisdiction to issue permit for the use of all surface water for any projects or activities in or affecting the said region including navigation, construction, and operation of fishpens, fish enclosures, fish corrals and the like. For the purpose of this executive order, the term Laguna de Bay Region shall refer to the provinces of Rizal and Laguna; the cities of San Pablo, Pasay, Caloocan, Quezon, Manila and Tagaytay; the towns of Tanauan, Sto. Tomas and Malvar in Batangas province; the towns of Silang and Carmona in Cavite province; the town of Lucban in Quezon province; and the towns of Marikina, Pasig, Taguig, Muntinlupa, and Pateros in Metro Manila. SEC. 3. Collection of Fees — The Authority is hereby empowered to collect fees for the use of the lake waters and its tributaries for all beneficial purposes including but not limited to fisheries, recreation, municipal, industrial, agricultural, navigation, irrigation, and waste disposal purpose; Provided, That the rates of the fees to be collected, and the sharing with other government agencies and political subdivisions, if necessary, shall be subject to the approval of the President of the Philippines upon recommendation of the Authority’s Board, except fishpen fee, which will be shared in the following manner: twenty percent (20%) of the fee shall go to the lakeshore local governments, five percent (5%) shall go to the Project Development Fund which shall be administered by a Council and the remaining seventy-five percent (75%) shall constitute the share of LLDA. However, after the implementation within the three-year period of the Laguna Lake Fishery Zoning

and Management Plan, the sharing will be modified as follows: thirty-five percent (35%) of the fishpen fee goes to the lakeshore local governments, five percent (5%) goes to the Project Development Fund and the remaining sixty percent (60%) shall be retained by LLDA; Provided, however, That the share of LLDA shall form part of its corporate funds and shall not be remitted to the National Treasury as an exception to the provisions of Presidential Decree No. 1234.46 SEC. 4. Additional Powers and Functions — The Authority shall have the following powers and functions: a.

b.

c.

d

e.

f.

g.

Issue standards, rules and regulations to govern the approval of plans and specifications for sewage works and industrial waste disposal system and the issuance of permits in accordance with the provisions of this Executive Order; inspect the construction and maintenance of sewage works and industrial waste disposal systems for compliance to plans. Adopt, prescribe, and promulgate rules and regulations governing the Procedures of the Authority with respect to hearings, plans, specifications, designs, and other data for sewage works and industrial waste disposal system, the filing of reports, the issuance of permits, and other rules and regulations for the proper implementation and enforcement of this Executive Order. Issue orders or decisions to compel compliance with the provisions of this Executive Order and its implementing rules and regulations only after proper notice and hearing. Make, alter, or modify orders requiring the discontinuance of population specifying the conditions and time within which such discontinuance must be accomplished. Issue, renew, or deny permits, under such conditions as it may determine to be reasonable, for the prevention and abatement of pollution, for the discharge of sewage, industrial waste, or for the installation or operation of sewage works and industrial disposal system or parts thereof: Provided, however, That the Authority, by rules and regulations, may require subdivisions, condominiums, hospitals, public buildings, and other similar human settlements to put up appropriate central sewerage system and sewage treatment works, except that no permits shall be required of any new sewage works or changes to or extensions of existing works that discharge only domestic or sanitary wastes from a single residential building provided with septic tanks or their equivalent. The Authority may impose reasonable fees and charges for the issuance or renewal of all permits herein required. After due notice and hearing, the Authority may also revoke, suspend, modify any permit issued under this Order whenever the same is necessary to prevent or abate pollution. Deputize in writing or request assistance of appropriate government agencies or instrumentalities for the purpose of enforcing this Executive

h.

i.

Order and its implementing rules and regulations and the orders and decisions of the Authority. Authorize its representative to enter at all reasonable times any property of the public dominion and private property devoted to industrial, manufacturing, processing or commercial use without doing damage, for the purpose of inspecting and investigating conditions relating to pollution or possible or imminent pollution. Exercise such powers and perform such other functions as may be necessary to carry out its duties and responsibilities under this executive order.

SEC. 5. Board of Directors Composition — The corporate powers shall be vested in and exercised by the Board of Directors, hereinafter referred to as the Board which shall be composed of ten (10) members, to wit: Representative of the Office of the President; Minister of Economic Planning; Minister of Natural Resources; Minister of Trade and Industry; Representative of Laguna Province who shall be designated by the Provincial Board of Laguna; Representative of Rizal Province who shall be designated by the Provincial Board of Rizal; Representative of the Office of the Governor of the Metro Manila Commission; President of Laguna Lake Federation of Mayors, Inc.; General Manager of the Laguna Lake Development Authority to be appointed by the President of the Philippines; Representative of Private Investors; Provided, That incumbent representative of the private investors shall continue as members until the President appoints his successor. The Board of Directors shall elect annually from among their members, a chairman and a vice chairman. There shall be a Corporate Secretary who shall be appointed by the Board with a rank equivalent to a Department Director. The officials next in rank to the abovementioned members shall serve as permanent alternate members and shall attend meetings of the Board in the absence of their principal and receive the corresponding per diems. SEC. 6. Capitalization and Financing — The Authority shall have an authorized capital of seven hundred million pesos (P700,000,000) of which the amount of three hundred fifty-one million pesos (P351,000,000) shall be subscribed by the national government and three hundred forty-nine million pesos (P349,000,000) shall be subscribed by the cities, provinces, municipalities, government corporations, and private investors; Provided, That at least twenty five percent (25%) of the national government’s subscription shall be fully paid; Provided, further, that the authorized capital stock may be increased upon recommendation of the NEDA and shall come from the fishpen fees. The authorized capital stock of seven hundred million pesos (P700,000,000) shall be divided into seven million (7,000,000) shares of stock with a par value of one hundred pesos (P100) per share.

The shares of stock of the Authority shall be divided into: (1) 4,900,000 common shares (voting) and (2) 2,100,000 preferred shares (nonvoting) with such fixed rates of return as shall be determined by the Board. Of the common shares of 4,900, a minimum of 2,800,000 shares shall be subscribed by the national government and at least sixty percent (60%) of the balance shall be subscribed by the provinces of Laguna and Rizal in such proportion as may be agreed upon by both provincial governments in accordance with their respective financial capacities. The remaining balance of the common shares shall be open for subscription to cities, provinces, municipalities and private investors. Of the preferred shares of stock of 2,100,000, a minimum of 770,000 shares shall be subscribed by the national government. The balance of the preferred shares shall be available for subscription to cities, provinces, municipalities, government corporations and private investors. Provided, however, That preferred shares shall enjoy preference with respect to distribution of dividends and assets in case of dissolution. SEC. 7. Repealing Clause — All laws, decrees, orders, proclamations, rules and regulations, and issuances or parts thereof, which are inconsistent with any of the provisions of this Executive Order are hereby repealed or modified accordingly. SEC. 8. Separability Clause — Any portion or provision of this executive order that may be declared unconstitutional shall not have the effect of nullifying the other provisions thereof; Provided, That such remaining portions can still stand and be given effect on their entirety to accomplish the objectives of this executive order. SEC. 9. Effectivity Clause — This executive order shall take effect immediately. Done in the City of Manila, this 16th day of December, 1983. I will arise and go now, For always, night and day I hear lake water lapping With low sounds by the shore; While I stand on the roadway And on the pavements grey I hear it in the Deep heart’s core.*

*

William Butter Yeats, Lake Isle of Innisfree

Primary Jurisdiction of the LLDA for the Management of the Laguna de Bay LLDA, as a special agency created by law to manage the Laguna Lake and its watershed, has jurisdiction over and can require the component local governments to secure a clearance for projects undertaken within the area. It is also authorized to issue cease and desist orders (CDOs) for projects or activities undertaken without complying with this requirement. Facts: A group of residents calling themselves the Task Force Camarin Dumpsite of Our Lady of Lourdes Parish, Camarin, Caloocan City, filed a complaint with the Laguna Lake Development Authority seeking to stop the operation of the 8.6hectare open garbage dumpsite in the Tala Estate of Barangay Camarin. They alleged that the dumpsite would pose hazards to the health of the residents and pollute the waters of the surrounding area. The LLDA conducted an on-site investigation and found that the city government of Caloocan was maintaining an open dumpsite at the Camarin, area without first securing an Environmental Compliance Certificate (ECC) from the Environmental Management Bureau (EMB) of the Department of Environment and Natural Resources. After a public hearing, the LLDA issued a Cease and Desist Order (CDO) ordering the city government of Caloocan, Metropolitan Manila Authority, their contractors, and other entities, to completely stop and desist from dumping any form or kind of garbage and other waste matter at the Camarin dumpsite. The dumping operation was stopped by the city government of Caloocan. However, sometime in August 1992, the dumping operation was resumed after a meeting held in July 1992 among the city government of Caloocan, the representatives of Task Force Camarin Dumpsite and LLDA at the Office of EMB Director Rodrigo U. Fuentes failed to settle the problem. The city government claims that it is within its power, as a local government unit and pursuant to the general welfare provision of the Local Government Code, to determine the effects of the operation of the dumpsite on the ecological balance and to see that such balance is maintained. On the basis of said contention, it questioned the power and authority of the LLDA to issue a cease and desist order enjoining the dumping of garbage in the Barangay Camarin over which the city government of Caloocan has territorial jurisdiction.

Issue No. 1: Does the LLDA have the authority to entertain the complaint against the dumping of garbage in the open dump site which is allegedly endangering the health, safety, and welfare of the residents? Held: Yes. The LLDA, as a specialized administrative agency, is specifically mandated under Republic Act No. 4850 “to carry out and make effective the declared national policy of promoting and accelerating the development and balanced growth of the Laguna Lake area and the surrounding provinces of Rizal and Laguna and the cities of… Caloocan with due regard and adequate provisions for environmental management and control, preservation of the quality of human life and ecological systems, and the prevention of undue ecological disturbances, deterioration and pollution. Under such a broad grant of power and authority, the LLDA, by virtue of its special charter, obviously has the responsibility to protect the inhabitants of the Laguna Lake region from the deleterious effects of pollutants emanating from the discharge of wastes from the surrounding areas. In carrying out the aforementioned declared policy, the LLDA is mandated, among others, to pass upon and approve or disapprove all plans, programs, and projects proposed by local government offices/agencies within the region, public corporations, and private persons or enterprises where such plans, programs and/or projects are related to those of the LLDA for the development of the region.” In this case, when the complainant Task Force Camarin Dumpsite of Our Lady of Lourdes Parish, Barangay Camarin, Caloocan City filed its lettercomplaint before the LLDA, the latter’s jurisdiction under its charter was validly invoked. The basis of this allegation is that the open dumpsite project of the city government of Caloocan in Barangay Camarin was undertaken without a clearance from the LLDA, as required under Section 4, paragraph (d), of the LLDA Law (Republic Act No. 4850, as amended). While there is also an allegation that the said project was without an Environmental Compliance Certificate from the Environmental Management Bureau (EMB) of the DENR, the primary jurisdiction of the LLDA over this case was recognized by the Environmental Management Bureau of the DENR. This was evident when the EMB acted as intermediary at the meeting among the representatives of the city government of Caloocan, Task Force Camarin Dumpsite and LLDA sometime in July 1992 to discuss the possibility of reopening the open dumpsite.

Issue No. 2: Does the LLDA have the power and authority to issue a cease and desist order, enjoining the dumping of garbage in Tala Estate, Barangay Camarin, Caloocan City? Held: Yes. The cease and desist order issued by the LLDA requiring the city government of Caloocan to stop dumping its garbage in the Camarin open dumpsite found by the LLDA to have been done in violation of Republic Act No. 4850, cannot be stamped as an unauthorized exercise by the LLDA of injunctive powers. By its express terms, Republic Act No. 4850, authorizes the LLDA to “make, alter or modify orders requiring the discontinuance or pollution.” Section 4, paragraph (d) explicitly authorizes the LLDA to make whatever order may be necessary in the exercise of its jurisdiction. “In the exercise of its express powers under its charter as a regulatory and quasi-judicial body with respect to pollution cases in the Laguna Lake region, the authority of the LLDA to issue a cease and desist order is, perforce, implied. Otherwise, it may well be reduced to a “toothless” paper agency. Had the cease and desist order issued by the LLDA been complied with by the City Government of Caloocan as it did in the first instance, no further legal steps would have been necessary.” Laguna Lake Development Authority v CA G. R. No. 110120, 231 SCRA 292, March 16,1994.

The Ecosystem Approach in Lake Management Facts: With the passage of the Local Government Code of 1991 (Republic Act No. 7160), the municipalities in the Laguna Lake Region interpreted the provisions of this law to mean that it gave the municipal governments the exclusive jurisdiction to issue fishing privileges within their municipal waters. The law, after all, states that: “Sec. 149. Fishery Rentals; Fees and Charges—(a) Municipalities shall have the exclusive authority to grant fishery privileges in the municipal waters and impose rental fees or charges therefor in accordance with the provisions of this Section. The Sangguniang Bayan may: (1)

(2)

Grant fishing privileges to erect fish corrals oyster, mussel or other aquatic beds or bangus fry areas within a definite zone of the municipal waters, as determined by it; . . . Grant privilege to gather, take or catch bangus fry, prawn fry or kawagkawag or fry of other species and fish from the municipal waters by nets,

traps or other fishing gears to marginal fishermen free from any rental fee, charges or any other imposition whatsoever. Sec. 447. Power, Duties, Functions, and Compensation. (XI)

Subject to the provisions of Book 2 of this Code, grant exclusive privileges of constructing fish corrals or fishpens, or the taking or catching of bangus fry, prawn fry or kawag-kawag or fry of any species or fish within the municipal waters.

Thereupon, riparian municipal governments assumed the authority to issue fishing privileges and fishpen permits. Big fishpen operators took advantage of the occasion to establish fishpens and fishcages to the consternation of the Laguna Lake Development Authority. As of July 1995, unregulated fishpens and fishcages occupied almost one third of the entire lake water surface area, increasing the occupation drastically from 7,000 hectares in 1990 to almost 21,000 hectares in 1995. The mayor’s permit to construct fishpens and fishcages were all undertaken in violation of the policies adopted by the LLDA on fishpen zoning and the Laguna Lake’s carrying capacity, thereby aggravating the environmental problems and ecological stress on Laguna Lake. LLDA served notice to the owners of illegally constructed fishpens advising them to dismantle their respective structures, or face demolition. The owners responded by filing civil cases for prohibition, injunction and damages against the LLDA in various trial courts. Consequently, temporary restraining orders and writs of preliminary mandatory injunction were issued against the LLDA in several cases enjoining it from demolishing the fishpens and other structures in question. After losing both at the level of the Regional Trial Court and at the Court of Appeals, LLDA presented a petition in the Supreme Court. Issue: Who has the authority to issue fishpen permits for the waters of the riparian municipal governments or the LLDA? Held: The Supreme Court, speaking through the pen of Justice Regino Hermosisima Jr., opened the decision by posing an age-old question on the ostensible dilemma between economics and ecology:

“It is difficult for a man, scavenging on the garbage dump created by the affluence, profligate consumption, and extravagance of the rich or fishing in the murky water of the Pasig River and the Laguna Lake or making a clearing in the forest so he can produce food for his family, to understand why protecting birds, fish, and trees is more important than protecting him and keeping his family alive.” Ruling in favor of the LLDA, the Court said that the provisions of the Local Government Code of 1991 (Republic Act No. 7160) do not necessarily repeal the law creating the Laguna Lake Development Authority which granted it water rights authority over Laguna de Bay and the lake region. “The Local Government Code of 1991 does not contain any express provision which categorically expressly repeals the law creating the LLDA (Republic Act No. 4850, as amended).” Thus, there appears to be no intent on the part of the legislature to repeal Republic Act 4850 and its amendments. The repeal of laws should be made clear and expressed. The charter of the Laguna Lake Development Authority is a special law. Republic Act No. 7160, the Local Government Code of 1991, is a general law. A basic rule in statutory construction is that the enactment of a later law which is a general law cannot be interpreted to have repealed a special law. It is a wellsettled rule that “a special statute, provided for a particular case or class of cases, is not repealed by a subsequent statute, general in its terms, provisions and application, unless the intent to repeal or alter is manifest, although the terms of the general law are broad enough to include the cases embraced in the special law.” “Where there is a conflict between a general law and a special statute, the special statute should prevail since the legislative intent is more clear than the general statute. The special law is to be taken as an exception to the general law in the absence of special circumstances forcing a contrary conclusion. This is because implied repeals are not favored. A special law cannot be repealed, amended or altered by a subsequent general law by mere implication.” “Thus, it has to be concluded that the charter of the Authority should prevail over the Local Government Code of 1991.” “The power of the (LLDA) to grant permits for fishpens, fish cages, and other aquaculture structures is for the purpose of effectively regulating and monitoring activities in the Laguna de Bay region (Section 2, Executive Order No. 927) and for lake quality control and management. It does partake of the nature of police power which is the most pervasive, the least limitable and the most demanding of all State powers including the power of taxation. Accordingly, the charter of the Authority which embodies a valid exercise of police power should

prevail over the Local Government Code of 1991 on matters affecting Laguna de Bay.” Applying the ecosystem approach, the Court ruled that: (“Laguna Lake and its watersheds) constitute one integrated, delicate natural ecosystem that needs to be protected with uniform set of policies, if we are to be serious in our aims of attaining sustainable development. This is an exhaustible natural resource—a very limited one—which requires judicious management and optimal utilization to ensure renewability and preserve its ecological integrity and balance.” “Managing the lake resources would mean implementation of a national policy, geared towards the protection, conservation, balanced growth and sustainable development of the region with due regard to the inter-generational use of its resources by the inhabitants.” “Laguna de Bay therefore cannot be subjected to fragmented concepts of management policies where lakeshore local government units exercise exclusive dominion over specific portions of the lake water. The garbage thrown or sewage discharged into the lake, abstraction of water therefrom or construction of fishpen by enclosing (a) certain area, affect not only that specific portion but the entire 900 square kilometers of lake water. The implementation of a cohesive and integrated lake water resource management policy, therefore, is necessary to conserve, protect, and sustainably develop Laguna de Bay.” Laguna Lake Development Authority v. CA G. R. No. 120865-71, December 7, 1995

"Nothing on earth is so weak and yielding as water, but for breaking down the firm and strong it has no equal." --Lao-Tsze

Relevant Sections of the Pollution Control Law (Presidential Decree No. 984) SEC. 8. Prohibitions—No person shall throw, run, drain, or otherwise dispose into any of the water, air and/or land resources of the Philippines, or cause, permit, suffer to be thrown, run, drain, allow to seep, or otherwise dispose thereto any organic or inorganic matter or any substance in gaseous or liquid form that shall cause pollution thereof. No person shall perform any of the following activities without first securing a permit from the Board for the discharge of all industrial wastes and other wastes which could cause pollution: 1. 2. 3.

the construction, installation, modification, or operation of any sewage works or any extension or addition thereto; the increase in volume or strength of any wastes in excess of the permissive discharge specified under any existing permit; the construction, installation, or operation of any industrial or commercial establishments or any extension or modification thereof or addition thereto, the operation of which would cause an increase in the discharge of waste directly into the water, air and/or land resources of the Philippines or would otherwise alter their physical, chemical, or biological properties in any manner not already lawfully authorized.

Water Classification (DENR Admin. Order No. 34-90) SEC. 68. Water Usage and Classification—The quality of Philippine waters shall be maintained in a safe and satisfactory condition according to their best usages. For this purpose, all waters shall be classified according to the following beneficial usages: C. 1.

2.

3.

4.

5.

6.

General Provisions on Water Classification Classification of a water body according to a particular designated use or uses does not preclude use of the water for other purposes that are lower in classification provided that such use does not prejudice the quality required for such waters. Water classifications are arranged in the order of the degree of protection required, with Class AA and SA having generally the most stringent water quality, respectively, for fresh surface waters and marine/coastal waters; and Class D and SD waters have the least stringent water quality for fresh surface waters and marine waters, respectively. The main objective of the water quality criteria is to maintain the minimum conditions necessary to assure the suitability of water for its designated use or classification. Any person regulated under these rules or having a substantial interest in this Chapter may seek reclassification of waters by filing a petition with the DENR giving all necessary information to support the petition. All reclassifications of water shall be adopted, only after public notice and hearing and upon affirmative findings by the DENR Regional Office concerned that: i) The proposed reclassification will establish the present and future most beneficial use of the waters; ii) Such a reclassification is clearly in the public interest, and iii) The proposed designated use is attainable, upon consideration of environmental, technological, social, economic, and institutional factors. For purposes of classification or reclassification the following minimum water quality parameters are to be considered: i) ii) iii) iv)

Dissolved oxygen (DO) pH Biochemical Oxygen Demand (BOD) Total Coliform Organisms

SEC. 69. Water Quality Criteria— (a) Minimum criteria for surface waters—All surface waters of the country shall be free from:

1.

Domestic, industrial, agricultural, or other man-induced non-thermal components of discharges which, alone or in combination with other substances or in combination with other components of discharges (whether thermal or non-thermal) i) That settle to form putrescent deposits or otherwise create a nuisance; or ii) That float as debris, scum, oil, or other matter in such amounts as to form nuisances; or iii) That produce color, odor, taste, turbidity, or other conditions in such degree as to create a nuisance; or iv) That are acutely toxic; or v) That are present in concentrations which are carcinogenic, mutagenic, or teratogenic to human beings or to significant, locally occurring wildlife or aquatic species; or vi) That pose a serious danger to the public health, safety or welfare.

2.

Thermal components of discharges which alone, or in combination with other discharges or components of discharges (whether thermal or nonthermal): i) That produce conditions so as to create nuisance; or ii) That increase the temperature of the receiving body of water (RBW) so as to cause substantial damage or harm to the aquatic life or vegetation therein or interfere with the beneficial uses assigned to the RBW.

A. Fresh Surface Waters (rivers, lakes, reservoirs, etc.) Classification Class AA

Class A

Class B

45

Beneficial Use45 Public Water Supply Class I. This class is intended primarily for waters having watersheds which are uninhabited and otherwise protected and which require only approved disinfection in order to meet the National Standards for Drinking Water (NSDW) of the Philippines. Public Water Supply Class II (For sources of water supply that will require complete treatment— coagulation, sedimentation, filtration and disinfection— in order to meet the NSDW. Recreational Water Class I (For primary contact recreation such as bathing, swimming, skin diving, etc., particularly those designated for tourism

In general, this refers to current best beneficial use that is expected to last, for the next 10 to 20 years. In special cases when dictated by political, economic, social, public health, environmental, and other considerations, certain waters may be classified according to the intended or future beneficial use (Pasig River, Tullahan-Tenejeros, etc.).

Classification Class C

Class D

Beneficial Use45 purposes). 1. Fishery Water for the propagation and growth of fish and other aquatic resources; 2. Recreational Water Class II (For boating, etc.); 3. Industrial Water Supply Class I (For manufacturing processes after treatment). 1. For agriculture, irrigation, livestock watering, etc.; 2. Industrial Water Supply Class II (e.g. cooling, etc.); 3. Other inland waters, by their quality, belong to this classification.

"Children of a culture born in a water-rich environment, we have never really learned how important water is to us. We understand it, but we do not respect it." --William Ashworth, Nor Any Drop to Drink, 1982

B. Coastal and Marine Waters Classification Class SA

Class SB

Class SC

Class SD

Beneficial Use 1. Waters suitable for the propagation, survival, and harvesting of shellfish for commercial purposes; 2.Tourist zones and national marine parks and reserves established under Presidential Proclamation No. 1801; existing laws and/or declared as such by appropriate government agency. 3. Coral reef parks and reserves designated by law and concerned authorities. 1. Recreational Water Class I (Areas regularly used by the public for bathing, swimming, skin diving, etc.); 2. Fishery Water Class I (Spawning areas for chanos or chanos Bangus and similar species). 1. Recreational Water Class II (e.g. boating, etc.); 2.Fishery Water Class II (Commercial and sustenance fishing); 3. Marshy and/or Mangrove Areas declared as fish and wildlife sanctuaries; 1. Industrial Water Supply Class II (e.g. cooling, etc.); 2. Other coastal and marine waters, by their quality, belong to this classification.

B.

Water Quality Criteria for Fresh Waters 1.

Conventional and Other Pollutants Affecting Aesthetics and Oxygen Demand—Please refer to Table 1 for the parameters and limits or specifications according to classification and use of the receiving body of water (RBW).

Table 1. Water Quality Criteria for Conventional and other Pollutants Contributing to Aesthetics and Oxygen Demand for Fresh Waters

Color PCU Temperatured ºC rise (max. rise in deg. Celsius) 3 pH (range) 6.5-8.5 Dissolved oxygen % satn (Minimum) mg/L 5-Day 20ºC BOD mg/L Total suspended solids mg/L Total dissolved solids mg/L Surfactants (MBAS) mg/L Oil/Grease mg/L (Petroleum Ether Extracts) Nitrate as nitrogen mg/L Phosphate as phosphorus mg/L Phenolic substances as phenols mg/L Total coliforms MPN/ 100 mL or fecal coliforms MPN/ 100mL Chloride as Cl mg/L Copper mg/L

Class AA

Class A

Class B

Class C

Class Db

15

50

c

c

c

3 6.5-8.5

3 6.5-8.5

3 6.5-8.5

6.0-9.0

70 5.0 1

70 5.0 5

70 5.0 5

60 5.0 7 (10)

40 3.0 10 (15)

25

50

f

g

h

500i nil nil

1,000i 0.2 (0.5) 1

0.3 (0.5) 1

0.5 2

1,000 i 5

1.0

10

nr

10j

-

nil

0.1k

0.2k

0.4 k

-

nil 50m

0.002 1,000m

0.005l 1,000 m

0.02l 5,000m

-

20m

100m

200m

-

-

250 1.0

250 1.0

-

350 0.05n

-

2.

Toxic and Other Deleterious Substances—The maximum limits for these types of pollutants according to classifications or use of the receiving body of water are found in Table 2.

Table 2. Water Quality Criteria for Toxic and Other Deleterious Substances for Fresh Waters (For the Protection of Public Health)

Class AA Arsenic(i) Cadmium(i) Chromium(i) (hexavalent) Cyanide Lead(i) Total mercury(i) Organophosphate Aldrin DDT Dieldrin Heptachlor Lindane Toxaphane Methoxychlor Chlordane Endrin PCB

Class A

Class B

Class C

Class D(b)

mg/L mg/L

0.05 0.01

0.05 0.01

0.05 0.01

0.05 0.01

0.01 0.05

mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L

0.05 0.05 0.05 0.002 nil 0.001 0.05 0.001 nil 0.004 0.005 0.10 0.003 nil 0.001

0.05 0.05 0.05 0.002 nil 0.001 0.05 0.001 nil 0.004 0.005 0.10 0.003 nil 0.001

0.05 0.05 0.05 0.002 nil -

0.05 0.05 0.05 0.002 nil -

0.002 nil -

Note: 1. Limiting values of organophosphates and organochlorines may in the meantime serve as guidelines in the interim period pending the procurement and availability of necessary laboratory equipment. For barium, cobalt, fluoride, iron, lithium, manganese, nickel, selenium, silver, and vanadium, the 1978 NPCC Rules and Regulations, Section 69 may be considered. 2. For footnotes please refer to Table 1.

C.

Coastal and Marine Waters Criteria 1.

Conventional and Other Pollutants Affecting Aesthetics and Oxygen Demand — The criteria for Class SA, SB, SC and SD are found in Table 3.

Table 3. Water Quality Criteria for Conventional and Other Pollutants Affecting Aesthetics and Exerting Oxygen Demand for Coastal and Marine Waters(A)

Color PCU Temperature (max. rise in deg. Celsius) pH (range) Dissolved oxygen (e) % satn (Minimum) mg/L 5-Day 20ºC BOD mg/L Total suspended solids mg/L Surfactants (MBAS) mg/L Oil/Grease mg/L (Petroleum Ether Extract) Phenolic substances as phenols mg/L Total coliforms MPN/ 100 mL Fecal coliforms MPN/ 100mL Copper mg/L

Note:

Class SA

Class SB

Class SC

Class SD

(c) ºC rise

(c) 3

(c) 3

(c) 33

6.5-8.5 70 5.0

6.5-8.5 70 5.0

6.5-8.5 70 5.0

6.0-9.0 50 2.0

3 (f) 0.2 1

5 (g) 0.3 2

7 (10) (g) 0.5 3

(h) 5

nil 70 (m)

0.01 1,000 (m)

(l) 5,000

-

nil

200 (m)

-

-

-

0.02 (n)(o)

0.05 (o)

-

For footnotes please refer to Table 1.

2.

Toxic and Other Deleterious Substances — The maximum limits for toxic and other deleterious substances for waters classified as Class SA, SB, SC and SD waters are found in Table 4.

Table 4. Water Quality Criteria for Toxic and Other Deleterious Substances for Coastal and Marine Waters (For the Protection of Public Health)

Arsenic (i) Cadmium (i) Chromium(i) (hexavalent) Cyanide Lead (i) Total mercury(i) Organophosphate Aldrin DDT Dieldrin Heptachlor Lindane Toxaphane Methoxychlor Chlordane Endrin PCB

Class SA

Class SB

Class SC

Class SD

mg/L mg/L

0.05 0.01

0.05 0.01

0.05 0.01

-

mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L mg/L

0.05 0.05 0.05 0.002 nil 0.001 0.05 0.001 nil 0.004 0.005 0.10 0.003 nil 0.001

0.1 0.05 0.05 0.002 nil -

0.1 0.05 0.05 0.002 nil -

-

Note: 1. Limiting values of organophosphates and organochlorines may in the meantime serve as guidelines in the interim period pending the procurement and availability of necessary laboratory equipment. For Barium, Cobalt, Fluoride, Iron, Lithium, Manganese, Nickel, Selenium, Silver and Vanadium, the 1978 NPCC Rules and Regulations, Section 69 may be considered. 2. For footnotes please refer to Table 1.

D. Methods of Analysis — For purposes of these regulations, any water sample taken for the purpose of classification or for determining compliance with the water quality criteria shall be analyzed in accordance with the methods enumerated in Table 5. The Table also applies to determine compliance to effluent regulations.

Table 5. Approved Method of Analysis Parameter Arsenic BOD 5 Boron Cadmium Chlorinated hydrocarbons Chromium (Hexavalent) Color Cyanide Dissolved oxygen Fecal coliforms

Method of Analysis Silver DiethyldithioCarbamate Method (Colorimetric) Azine Modification (Dilution Technique) Carmine Method (Colorimetric Method) Atomic Absorption Spectrophotometry (West Ashing with Concentration HNO 3, + HCI) Gas Chromatography (ECD) Diphenyl Carbazide Colorimetric Method Visual Comparison Method (Platinum Cobalt Scale) Specific Ion Electrode Method Azide Modification (Winkler Method), Membrane Electrode (DO Meter) Multiple-Tube Fermentation Technique or Membrane Filter Atomic Absorption Spectrophotometry Bruccine Method for Saline Waters Specific Ion Electrode Meter for Fresh Water Gravimetric Method (Petroleum Ether Extraction) Gas Chromatography (FPD)

Lead Nitrate AS Nitrogen Oil and grease Organo phosphorus compounds Polychlorinated Gas Chromatography (ECD) biphenyl (PCB) pH Glass Electrode Method Phenolic substances Chloroform Extraction Method Phosphate as Stannous Chloride Method phosphorus Settleable solids Imhoff Cone Method Surfactants (MBAS) Methylene Blue Method (Colorimetric) Temperature Use of Mercury-Filled Thermometer Total coliforms Multiple-Tube Fermentation Technique or Membrane Filter Total mercury Cold Vapor Technique (Mercury Analyzer, AAS) Total suspended solids Gravimetric Method

Note: Other methods found in the Philippine Standard Methods for Air and Water Analysis, the “Standard Methods for the Examination of Water and Waste Waters,” published jointly by American Public Health Association (APHA), the American Waterworks Association, and the Water Pollution Control Federation of the U. S. or in accordance with such other method of analyses as the DENR may prescribe.

E. Significant Parameters — As a guide to dischargers and regulatory agencies the significant parameters to be considered for monitoring purposes are indicated in Table 6. Table 6. Significant Parameters for Selected Types of Industries Type of Industry a. Beverage industry

Significant Wastewater Parameters

BOD 5, pH, Suspended Solids, Settleable Solids, Oil and Grease b. Cement, concrete, pH, Suspended Solids, Dissolved Solids, lime and gypsum Temperature c. Dairy Product processing BOD 5, COD, pH, Suspended Solids, Dissolved Solids Settleable Solids d. Ferro Alloy Suspended Solids, Chromium Manufacturing (electric furnace with wet (hexavalent) Oil and Grease, air pollution control) Phenols, Phosphates e. Fertilizer industry Chloride, Chromium, Dissolved Nitrogen Fertilizer Solids, Nitrate, Suspended Solids Industry pH, Phosphorus, Suspended Solids, Phosphate Fertilizer Temperature, Cadmium, Arsenic Industry f. Grain milling industry BOD 5, Suspended Solids, Temperature g. Inorganic chemicals, pH, Total Suspended Solids, Total Dissolved alkalies and chlorine Solids, Chlorides, Sulfates, COD, Temperature industry h. Leather tanning and BOD 5, COD, Chromium, Oil and Grease, pH, finishing Industry Suspended Solids, Color, Dissolved Solids i. Livestock industry BOD 5, COD, Total Suspended Solids, pH, Color, Total Coliforms j. Meat, fish and fruit BOD 5, COD, Suspended Solids, pH, Oil and canning Grease, Dissolved Solids k. Meat product industry BOD 5, pH, Suspended Solids, Settleable Solids, Oil and Grease, Total Coliforms, Toxic Materials l. Metal finishing industry Oil and Grease, Heavy Metals (Cr, Cd, etc.), Suspended Solids, Cyanide m. Mineral ore processing Suspended Solids, Heavy Metals (Hg, Cn, Cd, etc.) (Mining Industry) Arsenic

Type of Industry n. Organic chemicals industry (Free-Floating) o. Petroleum refining industry

Significant Wastewater Parameters BOD 5, COD, pH, Total Suspended Solids Total Dissolved Solids, Oil BOD 5, Heavy Metals, COD, Oil (Total) pH, Phenols, Suspended Solids, Temperature, Total Dissolved Solids p. Plastic materials and BOD 5, COD, pH, Total Suspended Solids, synthetic industry Oil and Grease, Phenols q. Pulp and paper industry BOD 5, COD, pH, Total Susp. Solid, E. Coli, Color, Heavy Metals, Dissolved Solids, Oil & Grease, Phenols r. Steel industry Oil and Grease, pH, Cyanide, Phenol, Susp. Solids, Temperature, Chromium s. Sugarcane processing BOD5, pH, Suspended Solids, Oil and Grease industry t. Textile mill industry BOD 5, COD, pH, Suspended Solids, Chromium, Phenols, Color, Oil and Grease u. Thermal power BOD 5, Color, Chromium, Oil and Grease, pH, generation Phosphate, Suspended Solids, Temperature This Order shall take effect thirty (30) days after publication in the Official Gazette or any newspaper of general circulation. APPROVED.

Effluent Regulations (Administrative Order No. 35, 1990) SUBJECT: REVISED EFFLUENT REGU-LATIONS OF 1990, REVISING AND AMENDING THE EFFLUENT REGULATIONS OF 1982 Pursuant to the provisions of SEC. 6(i) of President Decree No. 984, otherwise known as the “Pollution Control Decree of 1976”, and by virtue of Executive Order No. 192, Series of 1987, the Department of Environment and Natural Resources hereby adopts and promulgates the following rules and regulations: SECTION 1. Title — These rules and regulations shall be known as the “Revised Effluent Regulations of 1990”. SEC. 2. Scope — These rules and regulations shall apply to all industrial and municipal wastewater effluents. "When you drink the water, remember the spring" --Chinese Proverb

SEC. 3. Definitions — The following words and phrases, as used in these rules and regulations, shall have the following meanings unless the context clearly indicates otherwise: a.

b.

c. d.

e.

f.

g. h. i.

j.

k.

“BOD” means a measure of the approximate quantity of dissolved oxygen that will be required by bacteria to stabilize organic matter in wastewater or surface water. It is a semiquantitative measure of the wastewater organics that are oxidizable by bacteria. It is also a standard test in assessing wastewater strength. “Coastal Water” means an open body of water along the country’s coastline starting from the shoreline (MLLW) and extending outward up to the 200-meter isobath or threekilometer distance, whichever is farther. “Department” refers to the Department of Environment and Natural Resources. “Effluent” is a general term denoting any wastewater, partially or completely treated, or in its natural state, flowing out a manufacturing plant, industrial plant or treatment plant. “Inland Water” means an interior body of water or watercourse such as lakes, reservoirs, rivers, streams, creeks, etc., that has beneficial usage other than public water supply or primary contact recreation. Tidal affected rivers or streams are considered inland waters for purposes of these regulations. “Mixing Zone” is the place where the effluent discharge from a point source mixes with a receiving body of water. The area or extent of the zone shall determined by the discharger and approved by the Department on a case-to-case basis. “NPI” means New/Proposed Industry or wastewater treatment plants to be constructed. “OEI” means Old or Existing Industry. “Primary Contact Recreation” means any form of recreation where there is intimate contact of the human body with the water, such as swimming, water skiing, or skin diving. “Protected Water” means a watercourse or a body of water, or any segment thereof, that is classified as a source of public water supply, propagation and harvesting of shellfish for commercial purposes, or spawning areas for Chanos chanos and similar species, or primary contact recreation, or that which is designated by competent government authority or by legislation as tourist zone, national marine park and reserve, including coral reef park and reserve. “Strong Waste” refers to wastewater whose initial BOD value before treatment is equal to or greater than 3,000 mg/L.

SEC. 4. Heavy Metals and Toxic Substances — Industrial and other effluents when discharged into bodies of water classified as Class A, B, C, D, SA, SB, SC and SD in accordance with Section 68, as amended, of the 1978 NPCC Rules and Regulations shall not contain toxic substances in levels greater than those indicated in Table 1. TABLE 1 EFFLUENT STANDARDS: TOXIC AND OTHER DELETERIOUS SUBSTANCE (Maximum Limits for the Protection of Public) (a)Health Parameter

Unit

Arsenic mg/L Cadmium mg/L Chromium mg/L (hexavalent) Cyanide mg/L Lead mg/L Mercury (Tot.) mg/L PCB mg/L Formaldehyde mg/L

Inland Waters Category II (Class A,B, & SB) OEI NPI 0.2 0.1 0.05 0.02 0.1 0.05

(b) (b) (b) (b) (b)

0.2 0.1 0.3 0.2 0.5 0.2 0.2 0.1 0.5 0.3 1.0 0.5 0.005 0.005 0.005 0.005 0.005 0.005 0.05 0.01 0.003 0.003 0.003 0.003 0.003 0.003 2.0 1.0 2.0 1.0 2.0 1.0 -

(b) (b) (b) (b) (b)

Marine Waters Class C

OEI 0.5 0.1 0.2

NPI 0.2 0.05 0.1

Marine Waters Class SC & SD OEI 1.0 0.2 0.5

NPI 0.5 0.1 0.2

NOTE: (a)

(b)

Waters Class

Protected Waters Category I (Class AA & SC) OEI NPI (b) (b) (b) (b) (b) (b)

Except as otherwise indicated, all limiting values in Table 1 (Section 4) are maximum and therefore shall not be exceeded. Discharge of sewage and/or trade effluents are prohibited or not allowed.

SEC. 5. Conventional and Other Pollutants Affecting Aesthetics and Oxygen Demand — Affluents from domestic sewage and industrial wastewater treatment plants not covered under Section 6 of these Regulations, when discharged into receiving waters classified as Class A, B, C, D, SA, SB, SC and SD in accordance with Section 68, as amended, of the 1978 NPCC Rules and Regulations shall not contain the following pollutants in concentrations greater than those indicated in Tables 2A and 2B.

OEI 1.0 0.5 1.0

NPI 0.5 0.2 0.5

Today, at least 400 million people live in regions with severe water shortages. By the year 2025, it will be 4 billion.*

TABLE 2A EFFLUENTS STANDARDS: Conventional and Other Pollutants in Protected Waters Category I & II and in Inland Waters Class CA Parameter

Color Temperature (max. rise in degree Celsius in RBW)

Unit

PCU °C rise

Protected Waters Category I (Class AA & SA) OEI NPI (b) (b)

Inland Waters Category II (Class A,B, & SB)

Waters Class C

OEI 150

NPI 100

OEI 200(c)

NPI 150 (d)

3

3

3

(b)

(b)

3

(b)

(b)

6.09.0

6.0-9.0 6.0-9.0

6.5-9.0

pH (range) COD

mg/L

(b)

(b)

100

60

150

100

Settleable Solids (1-hour)

mL/L

(b)

(b)

0.3

0.3

0.5

0.5

mg/L

(b)

(b)

50

30

80

50

mg/L

(b)

(b)

70

50

90

Total Dissolved Solids

mg/L

(b)

(b)

1,200

1,000

-

Surfactants (MBAS)

mg/L

(b)

(b)

5.0

2.0

7.0

5-Day 20°C BOD Total Suspended Solids

70

-

5.0

Parameter

Oil/Grease (Petroleum Ether Extract) Phenolic Substances as Phenols Total Coliforms

Unit

Protected Waters Category I (Class AA & SA)

Inland Waters Category II (Class A,B, & SB)

Waters Class C

mg/L

(b)

(b)

5.0

5.0

10.0

5.0

mg/L MPN/100mL

(b) (b)

(b) (b)

0.1 5,000

0.05 3,000

0.5 15,000

0.1 10,000

TABLE 2B EFFLUENT STANDARDS: Conventional and Other Pollutants in Inland Waters Class D, Coastal Waters Class SC and SD and Other Coastal Waters not yet Classified Parameter

Color Temperature (max. rise in degree Celsius in RBW)

Unit

Coastal Waters (Class SC) OEI NPI

Class Sd & Other Waters Not Classified OEI NPI

OEI

NPI

PCU

-

-

(c)

(c)

(c)

(c)

°C rise

3

3

3

3

3

3

5.0-9.0

6.0-9.0

6.09.0

5.09.0

5.09.0

250

200

200

300

200

pH (range)

COD

mg/L

Settleable Solids (1-hour)

mL/L

5-Day 20°C

Inland Waters (Class D)

6.09.0 250

Parameter

Unit

Inland Waters (Class D)

BOD

mg/L

150 (d)

120

Total Suspended Solids

mg/L

200

150

Coastal Waters (Class SC) 120 100 (d)

Class Sd & Other Waters Not Classified 150 120 (d)

200

150

(g)

-

-

-

-

-

(f)

Total Dissolved Solids

mg/L

Surfactants (MBAS)

mg/L

-

-

15

10

-

Oil/Grease (Petroleum Ether Extract)

mg/L

-

-

15

10

15

15

mg/L

-

-

1.0(i)

0.5(i)

5.0

1.0

MPN/100mL

(j)

(j)

-

-

-

Phenolic Substances as Phenols Total Coliforms

2,000(h) 1,500(h)

-

NOTES for Table 2A and Table 2B: 1.

2.

3.

In cases where the background level of Total Dissolved Solids (TDS) in freshwater rivers, lakers, reservoirs and similar bodies of water is higher than the Water Quality Criteria, the discharge should not increase the level of TDS in the receiving body of water by more than ten percent of the background level. The COD limits in Tables 2A and 2B generally apply to domestic wastewater treatment plant effluent. For industrial discharges, the effluent standards for COD should be on a case to case basis considering the COD-BOD ratio after treatment. In the interim period that this ratio is not yet established by each discharger, the BOD requirement shall be enforced. There are no effluent standards for chloride except for industries using brine and discharging into inland waters, in which case the chloride content should not exceed 500 mg/L.

4. The effluent standards apply to industrial manufacturing plants and municipal treatment plants discharging more than thirty (30) cubic meters per day. LEGEND for Tables 2A & 2B: a.

b. c. d.

e.

f. g. h.

i. j.

Except as otherwise indicated, all limiting values in Tables 2A and 2B are 90th percentile values. This is applicable only when the discharger undertakes daily monitoring of its effluent quality, otherwise, the numerical values in the tables represent maximum values not to be exceeded once a year. Discharge of sewage and/or trade effluents is prohibited or not allowed. Discharge shall not cause abnormal discoloration in the receiving waters outside of the mixing zone. For wastewaters with initial BOD concentration over 1,000 mg/L but less than 3,000 mg/L, the limit may be exceeded up to a maximum of 200 mg/L or a treatment reduction of ninety (90) percent, whichever is more strict. Applicable to both old and new industries. The parameters Total Suspended Solids (TSS) should not increase the TSS of the receiving water by more than thirty (30) percent during the dry season. Not more than 30 mg/L increase (dry season) Not more than 60 mg/L increase (dry season) If effluent is the sole source of supply for irrigation, the maximum limits are 1,500 mg/L and 1,000 ,g/L, respectively, for old industries and new industries. Not present in concentration to affect fish flavor or taste tainting If effluent is used to irrigate vegetable and fruit crops which may be eaten raw, Fecal Coliforms should be less than 500 MPN/100 mL.

SEC. 6. Effluent Standards for BOD for Strong Industrial Wastes. a.

Interim Requirements for Old or Existing Industries.- For strong industrial wastewaters with high BOD and where the receiving body of water is Class C, D, SC and SC in accordance with Section 68, as amended, of the 1978 NPCC Rules and Regulations, the interim effluent requirements for old industries which will be applicable within a period is indicated in Table 3A.

TABLE 3A Interim Effluent Standards for BOD Applicable to Old or Existing Industries Producing Strong Industrial Wastes, (1990-1994) Industry Classification on BOD of Raw Wastewaters Produced

Maximum Allowable Limits in mg/L*, according to Time Period and of Water Receiving Body Based Effectivity date-Dec. 31 1991 Jan. 1, 1992-Dec. 31, 1994 Inland Waters Coastal waters Inland Waters Coastal waters (Class C & D) (CI. SC & SD) (Class C&D) (CI. SC & SD)

1. Industries producing BOD within 3,000 to 10,000 mg/L

320 or 95% removal

650 or 90% removal

200 or 97% removal

320 or 95% removal

2. Industries producing BOD within 10,000 to 30,000 mg/L

1,000 or 95% removal

2,000 or 90% removal

600 or 97% removal

1,000 or 95% removal

3. Industries producing more than 30,000 mg/L

1,500 or 95% removal

3,000 or 90% removal

900 or 97% removal

500 or 95% removal

NOTE: 1. 2. 3.

b.

Use either the numerical limit or percentage removal whichever is lower (or whichever is stricter). Starting January 1, 1995, the applicable effluent requirements for old or existing industries are indicated in Table 3B. For parameters other than BOD, Table 2A and Table 2B both under Section 5 shall apply.

Requirement for New Industries — Upon the effectivity of these regulations, new / proposed industries, or those old / existing industries that are yet to construct their wastewater treatment facilities, which are producing or treating strong wastewaters shall comply with the requirements in Table 3B below. By January 1995, this Table shall be applicable to all industries producing strong wastes.

TABLE 3B - Effluent Standards for New* Industries Producing Strong Wastes upon Effectivity of these Regulations, and for all Industries Producing Strong Wastes starting January 1, 1995. Industry Classification Bases on BOD of Raw Wastewater

1. Industries producing within 3,000 to 10,000 mg BOD/L 2. Industries producing within 10,000 to 30,000 mg BOD/L 3. Industries producing more than removal more than 30,000 mg BOD/L

Maximum Allowable Limits in mg/L Based on Receiving Body of Water Inland Waters (Class C & D)

Coastal Waters (Class SC & SD)

130 or 98% removal

200 or 97% removal

200 or 99% removal

600 or 97% removal

300 or 99% removal

900 or 97% removal

Note: Including old or existing industries producing strong waste wastewater treatment plants are still to be constructed.. Use either numerical limits or percentage removal whichever is lower (or whichever is more strict). 2. For parameters other than BOD, Tables 2A and 2B shall apply. SEC. 7. Mixing Zone Requirements — The following general conditions shall govern the location and extent of the mixing zone: a.

b.

c. d.

e.

No mixing zone or combination of mixing zones shall be allowed to significantly impair any of the designated uses of the receiving body of water. A mixing zone shall not include an existing drinking water supply intake if such mixing zone would significantly impair the purposes for which the supply is utilized. A mixing zone for rivers, streams, etc., shall not create a barrier to the free migration of fish and aquatic life. A mixing zone shall not include a nursery area of indigenous aquatic life nor include any area designated by the Department of Environment and Natural Resources for shellfish harvesting, tourist zones and national marine parks and reserves, coral reef parks and reserves and declared as such by the appropriate government agency. In general, the length of the mixing zone or plum in rivers or similar waterways shall be as short as possible and its width shall be preferably not more than one-half of the width of the waterway.

f.

g.

In discharging hot effluents from power plants, mineral ore milling and similar generators of large volume of liquid wastes the permissible size of the mixing zone shall be determined through modelling taking into consideration the size, hydraulic and hydrological data of the receiving body of water and the design and siting of the wastewater outfall. For the protection of aquatic life resources, the mixing zone must not be used for, or be considered as, a substitute for wastewater treatment facility.

SEC. 8. Additional Requirements a.

b.

c.

d.

e. f.

g.

In addition to fulfilling the above-stated requirements in Sections 4 to 6, no effluent shall cause the quality of the receiving body of water to fall below the prescribed quality in accordance with its classification or best usage. Where the combined effect of a number of individual effluent discharges causes one or more water quality parameters to exceed the prescribed limits, the maximum permissible concentrations of such parameters shall be reduced proportionately so as to maintain the desired quality. When discharging effluents into coastal waters, the location and design of the submarine outfall shall be based on prevailing oceanographic and wind conditions so that discharged materials shall be find their say back to the shore and that there shall be minimum deposition of sediments near and around the outfall. Effluents discharged into protected inland and coastal waters Category II, such as Class A B and SB, shall meet the requirements of Sections 4 and 5 above. Starting January 1, 1995 old or existing industries shall comply with the standards set for new industries in these regulations. For a period to be determined by the Department Secretary and provided that the resulting effect on receiving waters does not pose an immediate threat to life, public health, safety or welfare or to animal or plant life or property, any existing industry that produces strong wastes which cannot meet the limits for BOD in Tables 3A and 3B, maybe allowed to operate and be issued a temporary permit to operate on condition that it pays first a penalty fee for polluting a receiving body of water in the amount equivalent to five pesos (P5.00) per kilogram of BOD discharged per day in exceedance of the allowable effluent limit provided further that the calculated fine shall not exceed P5,000 per day in accordance with PD 984 and its implementing rules and regulations. (Conversion Factor: 1 mg/L = 1 g/cu.m.) Each discharger covered under these regulations shall monitor its effluent and its effect on the receiving body of water regularly in order to ensure compliance with Sections 4, 5 and 6 hereof and Section 69, as amended, of the 1978 NPCC Rules and Regulations.

SEC. 9. Prohibitions — a. b.

c.

d.

No industrial or domestic sewage effluent shall be discharged into Class AA and SA waters. In order to avoid deterioration of the quality of the receiving body of water, no new industrial plant with high waste load potential shall discharge into a body of water where the dilution or assimilative capacity of said water body during dry weather condition is insufficient to maintain its prescribed water quality according to its usage or classification. No person shall discharge, wholly or partially, untreated or inadequately treated industrial effluents directly into bodies of water or through the use of by-pass canals and/or pumps and other unauthorized means except upon prior approval of the Department Secretary. Other Restrictions: 1.

2.

3.

4.

All water pollution control facilities/installations shall be properly and consistently maintained and correctly and continuously operated in order to maintain an effluent quality that complies with Sections 4 to 6 of these regulations. No industrial or manufacturing plant shall be operated without the control facilities or wastewater treatment system in good order or in proper operation except with the permission of the Department Secretary when special circumstances arise. No industrial or manufacturing plant or source of pollution shall be operated at capacities beyond the limits of operation or capability of the wastewater treatment facility in order to maintain the effluent quality within the standards or pertinent conditions required by law and/or stipulated in the permit to operate. No person shall build, erect, install or use any equipment, contrievance or any means the use of which will conceal and/or dilute an effluent discharge and which otherwise constitute a violation of any provisions of these regulations or the 1978 NPCC Rules and Regulations, as amended.

SEC. 10. Methods of Analysis for Effluents — For purposes of these Regulations, any domestic or industrial effluent discharged into any body of water or watercourse shall be analyzed in accordance with the latest edition of the “Philippine Standard Methods for Air and Water Analyses”, the “Standard Method for the Examination of Water and Wastewater” published jointly by the American Public Health Association, the American Waterworks Association and the Water Pollution Control Federation of the United States, or in accordance with such other methods of analysis as the Department may prescribe. The approved methods of analysis are given in Table 4.

TABLE 4 - Approved Methods of Analysis PARAMETER ARSENIC BOD BORON CADMIUM CHLORINATED HYDROCARBONS CHROMIUM(Hexavalent) COLOR Visual CYANIDE DISSOLVED OXYGEN FECAL COLIFORMS LEAD NITRATE AS NITROGEN OIL AND GREASE ORGANO PHOSPORUS COMPOUNDS PCB PHENOLIC SUBSTANCES PHOSPHATE AS PHOSPOROUS SETTLEABLE SOLIDS SURFACTANT (MBAS) TEMPERATURE TOTAL COLIFORMS TOTAL MERCURY Cold TOTAL SUSPENDED

METHOD OF ANALYSIS Silver Diethyldithiocarbamate Method (Colorimetric) Azide Modification (Dilution Technique) Carmine Method (Colorimetric Method) Atomic Absorption Spectrophotometry (Wet ashing with concentration HNO3 + HCI) Gas Chromatography (ECD) Diphenyl Carbazide Colorimetric Method Comparison Method Platinum Cobalt Scale Specific Ion Electrode Method Azide Modification (Winkler Method), Membrane Electrode (DO meter) Multiple-Tube Fermentation Technique or Membrane Filter Atomic Absorption Spectrophotometry Bruccine Method for Saline Waters, specific Ion Electrode Meter for Fresh Water Gravimetric Method (Petroleum Ether Extraction) Gas Chromatography (FPD) Gas Chromatography (ECD) pH Glass Electrode Method Chloroform Extraction Method Stannous Chloride Method Imhoff Cone Method Methylene Blue Method (Colorimetric) Use of Mercury-Filled Thermometer Multiple-Tube Fermentation Technique or Membrane Filter Vapor Technique, (Mercury Analyzer, AAS) Gravimetric Method

NOTE: Other methods found in the Philippine Standard Methods for Air and Water Analysis, the “Standard Methods for the Examination of Water and Waste Waters,”, published jointly by American Public Health Association, the American Waterworks Association and the Water Pollution Control Federation of the U.S. or in accordance with such other method of analyses as the DENR may prescribe.

SEC. 11. Maximum Quantity to be Discharged — For the protection of public health and the aquatic resources of the country and in cases where the volume, strength and nature of one or more pollutants, enumerated in, or not otherwise covered in the preceding Sections, are expected to cause a serious deterioration of a receiving body of water or cause harm or injury to aquatic life and resources, the Department Secretary shall promulgate guidelines for the use of the concerned line agencies, providing for the maximum quantity of any pollutant or contaminant that maybe allowed to be discharged into the said body of water or watercourse, including the maximum rate at which the contaminant may be so discharged. This section particularly applies, but is not limited to industrial effluents covered under Section 6 of these regulations, specifying in kilograms per day the BOD that may be discharged considering the classification and dry weather flow of the receiving body of water. SEC. 12. Penalties — Any person or group of persons found violating or failing to comply with any Order or Decision of the Department and/or the Pollution Adjudication Board or any provision of these Regulations, shall be liable under Section 9 of the Pollution Control Law (PD No. 984) and/or Section 106 of the 1978 NPCC Rules and Regulations, as amended. SEC. 13. Separability Clause — Any Section or provision of these regulations declared to be unconstitutional or invalid by a competent court, the other Sections or provisions hereof shall remain to be in force. SEC. 14. Repealing Clause — Any provision of the 1978 Rules and Regulations, as amended, the Effluent Regulations of 1982, and other existing rules and regulations of the Department which are inconsistent herewith are hereby repealed. SEC. 15. Amendments — This Regulations may be amended and/or modified from time to time by the Department. SEC. 16. Effectivity — This Regulations shall take effect thirty (30) days after publication in the official gazette or any newspaper of general circulation. APPROVED: 1990

Local Water Utilities (Presidential Decree No. 198) Whereas, one of the prerequisites to the orderly and well-balanced growth of urban areas is an effective system of local utilities, the absence of which is recognized as a deterrent to economic growth, a hazard to public health and an irritant to the spirit and well-being of the citizenry; Whereas, domestic water systems and sanitary sewers are two of the most basic and essential elements of local utility system, which, with a few exceptions, do not exist in provincial areas in the Philippines; Whereas, existing domestic water utilities are not meeting the needs of the communities they serve; water quality is unsatisfactory; pressure is inadequate; and reliability of service is poor; in fact, many persons receive no piped water service whatsoever; Whereas, conditions of service continue to worsen for "Water is life's mater and matrix, mother and medium. There is no life two apparent reasons, without water." --Albert Szent-Gyorgyi, Hungarian biochemist and Nobel Prize Winner for Medicine. namely: (1) that key element of existing systems are deteriorating faster than they are being maintained or replaced, and (2) that they are not being expanded at a rate sufficient to match population growth; and Whereas, local water utilities should be locally-controlled and managed, as well as have support on the national level in the area of technical advisory services and financing; Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers vested in my by the Constitution, as Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to Proclamation No. 1081 dated September 21, 1972 and General Order No. 1 dated September 22, 1972, as amended, do hereby decree, order, and make as part of the law of the land the following measure:

Title I — Preliminary Provisions SECTION 1. Title—This Decree shall be known and referred to as the “Provincial Water Utilities Act of 1973.” SEC. 2. Declaration of Policy — The creation, operation, maintenance, and expansion of reliable and economically viable and sound water supply and wastewater disposal system for population centers of the Philippines is hereby declared to be an objective of national policy of high priority. For purpose of achieving said objective, the formulation and operation of independent, locally controlled public water districts is found and declared to be the most feasible and favored institutional structure. To this end, it is hereby declared to be in the national interest that said districts be formed and that local water supply and wastewater disposal systems be operated by and through such districts to the greatest extent practicable. To encourage the formulation of such local water districts and the transfer thereto to existing water supply and wastewater disposal facilities, this Decree provides the general act the authority for the formation thereof, on a local option basis. It is likewise declared appropriate, necessary and advisable that all funding requirements for such local water systems, other than those provided by local revenues, should be channeled through and administered by an institution on the national level, which institution shall be responsible for and have authority to promulgate and enforce certain rules and regulations to achieve national goals and the objective of providing public waterworks services to the greatest number at least cost, to effect system integration or joint investments and operations whenever economically warranted and to assure the maintenance of uniform standards, training of personnel and the adoption of sound operating and accounting procedures. SEC. 3. Definitions — As used in this Decree, the following words and terms shall have the meanings herein set forth, unless a different meaning clearly appears from the context. The definition of a word or term applies to any of its variants. a. b.

Act — This Provincial Water Utilities Act of 1973. Appointing authority — The person empowered to appoint the members of the board of directors of a local water district, depending upon the geographic coverage and population make-up of the particular district. In the event that more than seventy-five percent of the total active water service connections of a local water district are within the boundary of any city or municipality, the appointing authority shall be the mayor of that city or municipality, as the case may be; otherwise, the appointing authority shall be the governor of the province within which the district is located. Provided, That if the existing waterworks system in the city or municipality established as a water district under this Decree is operated and managed by the province, initial appointment shall be extended by the governor of the province. Subsequent appointments shall be as specified herein.

c. d. e. f. g. h.

i. j. k. l.

If portions of more than one province are included within the boundary of the district, and the appointing authority is to be the governors then the power to appoint shall rotate between the governors involved with the initial appointments made by the governor in whose province the greatest number of service connections exists.48 Administration — The Local Waters Utilities Administration chartered in Title III of this Decree. NEDA — The National Economic and Development Authority. Board or Board of Directors — The board of directors of a district. Contracts — All agreements, including leases, conveyances, and obligations. District — A local water district formed pursuant to Title II of this Act. Local Water Utility — Any district, city, municipality, province, investorowned public utility or cooperative corporation which owns or operates a water system serving an urban center in the Philippines, except that said term shall not include the Metropolitan Waterworks and Sewerage System (MWSS) or any system operated by the Bureau of Public Work as successor to the Wells and Springs Department of the National Waterworks and Sewerage Authority. Person — A natural person, corporation, cooperative, partnership, association, city, municipality, or other juridical entity. Property — All real and personal property, including but not limited to water, water rights, works, easements, rights of way. Street — Includes road, valley, avenue, highway, or other public way. Trustee or Board of Trustees — The board of trustees of the administration. Title II — Local Water District Law Chapter I Title

SEC. 4. Title — The provisions of this Title shall be known and referred to as the “Local Water District Law.” Chapter II Purpose and Formation SEC. 5. Purpose — Local water districts may be formed pursuant to this Title for the purposes of (a) acquiring, installing, improving, maintaining and operating water supply and distribution systems for domestic, industrial, municipal and agricultural uses for residents and lands within the boundaries of such districts, (b) providing, maintaining and operating water collection, treatment and disposal facilities, and (c) conducting such other functions and operations incidental to water resource development, utilization and disposal within such districts, as are necessary or incidental to said purpose.

SEC. 6. Formation of District — This Act is the source of authorization and power to form and maintain a district. For purposes of this Act, a district shall be considered as a quasi-public corporation performing public service and supplying public wants. As such, a district shall exercise the powers, rights and privileges given to private corporations under existing laws, in addition to the powers granted in, and subject to such restrictions imposed, under this Act.46 Once formed, a district is subject to the provisions of this Act and not under the jurisdiction of any political subdivision. To form a district, the legislative body of any city, municipality, or province shall enact a resolution containing the following: a.

b.

c.

d. e.

f. g.

The name of the local water district, which shall include the name of the city, municipality, or province, or region thereof, served by said system, followed by the words water district. A description of the boundary of the district. In the case of a city or municipality, such boundary may include all lands within the city or municipality. A district may include one or more municipalities, cities or provinces, or portions thereof. Provided, That such municipalities, cities and provinces or portions thereof, cover a contiguous area.47 A statement completely transferring any and all waterworks and/or sewerage facilities operated by or under the control of such city, municipality or province to such district upon the filing of resolution forming the district.48 A statement identifying the purpose for which the district is formed, which shall include those purposes outlined in Section 5 above. The names of the initial directors of the district with the date of expiration of term of office for each which shall be on the 31st day of December of first, second, or third even-numbered year after assuming office, as set forth in Section 11 hereof.49 A statement that the district may only be dissolved on the grounds and under the conditions set forth in Section 44 of this Title. A statement acknowledging the powers, rights and obligations as set forth in Section 36 of this Title.

Nothing in the resolution of formation shall state or infer that the local legislative body has the power to dissolve, alter or affect the district beyond that specifically provided for in this Act. If two or more cities, municipalities or provinces, or any combination thereof, desire to form a single district, a similar resolution shall be adopted in each city, municipality and province; or the city, municipality or province which seventy-five percent (75%) of the total active service connection are situated shall

46

As amended by Sec. 1, P.D. No. 1479, 11 June 1978. As amended by Sec. 2, P.D. No. 768, 15 August 1975. 48 As amended by Sec. 1, P.D. No. 1479, 11 June 1978. 49 As amended by Sec. 2, P.D. No. 768, 15 August 1975. 47

pass an initial resolution to be concurred in by the other cities, municipalities, or provinces.50 SEC. 7. Filing of Resolution — A certified copy of the resolution or resolution forming a district shall be forwarded to the Office of the Secretary of the administration. If found by the administration to conform to the requirements of Section 6 and the policy objectives in Section 2, the resolution shall be duly filed. The district shall be deemed duly formed and existing upon the date of such filing. A certified copy of said resolution showing the filing stamp of the administration shall be maintained in the office of the district. Upon such filing, the local government or governments concerned shall lose ownership, supervision and control or any right whatsoever over the district except as provided herein.51

Chapter III Directors SEC. 8. Number and Qualifications — The Board of Directors of a district shall be composed of five citizens of the Philippines who are of voting age and residents within the district. One member shall be a representative of civic-oriented service clubs, one member a representative of business, commercial, or financial organizations, one member a representative of educational or religious institutions and one member a representative of women’s organizations. No public officials shall serve as director.52 Provided, however, That if the district has availed of the financial assistance of the administration, the administration may appoint any of its personnel to sit in the board of directors with all the rights and privileges appertaining to a regular member, for such period as the indebtedness remains unpaid, in which case the board shall be composed of six members.53 SEC. 9. Appointment — Board members shall be appointed by the appointing authority. Said appointments shall be made from a list of nominees, if any, submitted pursuant to Section 10. If no nominations are submitted, the appointing authority shall appoint any qualified person of the category to the vacant position. SEC. 10. Nominations — On or before October 1 of each even-numbered year, the secretary of the district shall conduct each known organization, association, or institution being represented by the director whose term will expire on December 31 and solicit nominations from these organizations to fill the position for the ensuring term. One nomination may be submitted in writing by each such organization to the Secretary of the district on or before November 1 of such year: This list of nominees shall be transmitted by the Secretary of the district to the office of the appointing authority on or before November 15 of such year and he 50

As amended by Sec. 2, P.D. No. 768, 15 August 1975. As amended by Sec. 3, P.D. No. 768, 15 August 1975. 52 As amended by Sec. 4, P.D. No. 768, 15 August 1975.. 53 Provision was added by Sec. 2, P.D. No. 1479, 11 June 1978. 51

shall make his appointment from the list submitted on or before December 15. In the event the appointing authority fails to make his appointments on or before December 15, selection shall be made from said list of nominees by majority vote of the seated directors of the district constituting a quorum. Initial nominations for all five seats of the board shall be solicited by the legislative body or bodies at the time of adoption of the resolution forming the district. Thirty days thereafter, a list of nominees shall be submitted to the provincial governor in the event the resolution forming the district is by a provincial board,54 or the mayor of the city or municipality in the event the resolution forming the adoption of the district is by the city or municipal board55 of councilors, who shall select the initial directors therefrom within15 days after receipt of such nominations. SEC. 11. Term of Office — Of the five initial directors of each newly formed district, two shall be appointed for a maximum term of two years, two for a maximum term of four years, and one for a maximum term of six years. Terms of office of all directors in a given district shall be such that the term of at least one director, but not more than two directors, shall expire on December 31 of each even-numbered year. Regular terms of office "The cure for anything is salt water - sweat, tears, or the sea." --Tagore - a after the initial terms shall be Bengali poet and novelist for six years commencing on January 1 of odd-numbered years. Directors may be removed for cause only, subject to review and approval of the administration.56 SEC. 12. Vacancies — In the event of a vacancy in the board of directors occurring more than six months before expiration of any director’s term, the remaining directors shall, within 30 days, serve notice or request the secretary of the district for nominations and within 30 days thereafter a list of nominees shall be submitted to the appointing authority for his appointment of a replacement director from the list of nominees. In the absence of any such nominations, the appointing authority shall make such appointment. If within 30 days after submission to him of a list of nominees the appointing authority fails to make an appointment, the vacancy shall be filled from such list by a majority vote of the 54

Now Sangguniang Panlalawigan. Now Sangguniang Panlalawigan. 56 As amended by Sec. 5, P.D. No. 768, 15 August 1975. 55

remaining members of the Board of Directors constituting a quorum. Vacancies occurring within the last six months of an unexpired term may be filled by a vote of a majority of the remaining members of the Board of Directors constituting a quorum. The director thus appointed shall serve the unexpired term only.57 SEC. 13. Compensation — Each director shall receive a per diem, to be determined by the Board, for each meeting of the Board actually attended by him, but no director shall receive per diems in any given month in excess of the equivalent of the total per diem in four meetings in any given month. No director shall receive other compensation for services to the district. Any per diem in excess of P50 shall be subject to approval of the administration.58 SEC. 14. Personal Liability — No director may be held to be personally liable for any action of the district.

Chapter IV The Board SEC. 15. Organizational Meeting — The board shall hold its first meeting as soon as practicable after appointment of the first directors, and not later than 45 days after formation of the district. At said first meeting of each odd-numbered year, the Board shall elect a chairman, vice-chairman, secretary, and treasurer. Such secretary and treasurer may, but need not be members of the Board, and the offices of secretary and treasurer may be held by the same person. SEC. 16. Quorum — A majority of the Board present in person shall constitute a quorum for the transaction of business: Provided, however, That no resolution or motion shall be adopted or become effective without the affirmative vote of a majority of the authorized number of members of the board.

Chapter V Powers and Duties of the Board SEC. 17. Performance of District Powers — All powers, privileges, and duties of the district shall be exercised and performed by and through the board: Provided, however, That any executive, administrative, or ministerial power shall be delegated and redelegated by the board to officers or agents designated for such purpose by the board.

57 58

As amended by Sec. 6, P.D. No. 768, 15 August 1975. As amended by Sec. 7, P.D. No. 768, 15 August 1975.

SEC. 18. Functions Limited to Policy-Making — The function of the board shall be to establish policy. The board shall not engage in the derailed management of the district. SEC. 19. By-laws — At first meeting, the board shall adopt, and may thereafter from time to time amend by-laws for the operation of business and affairs of the board and the district. By-laws may not be amended without 30 days public notice to that effect, and a public hearing held. SEC. 20. System of Business Administration — The Board shall, as soon as practicable, prescribe, and define by the resolution a system of business administration and accounting for the district, which shall be patterned upon and conform to the standard established by the administration. Auditing shall be performed by a certified public accountant not in the government office. The administration may, however, conduct annual audits of the fiscal operations of the district to be performed by an auditor retained by the administration. Expenses incurred in connection therewith shall be borne equally by the water district concerned and the administration.59 SEC. 21. Depository — The district’s depository shall be the Philippine National Bank, unless use of such bank is impractical: Provided, however, That any and all reserves accumulated for capital improvements may be deposited with the administration. SEC. 22. Contracts — All contracts of the district shall be entered into by or pursuant to authority of the Board: Provided, however, That the Board may by resolution delegate and redelegate to officers or agents of the district, under such conditions and restrictions as shall be affixed by the Board, the power to bind the district by contract.

Chapter VI Officers and Employees SEC. 23. The General Manager — At the first meeting of the Board, or as soon thereafter as practicable, the Board shall appoint, by a majority vote, a general manager, an auditor, and an attorney, and shall define their duties and fix their compensation. Said officers shall service at the pleasure of the Board.60 SEC. 24. Duties — The duties of the general manager and other officers shall be determined and specified from time to time by the Board. The General Manager, who shall not be a director, shall, subject to approval of the Board, have full supervision and control of the maintenance and operation of water district facilities, with power and authority to appoint all personnel of the district, Provided, 59 60

As amended by Sec. 8, P.D. No. 768, 15 August 1975. As amended by Sec. 9, P.D. No. 768, 15 August 1975.

That the appointment of personnel in the supervisory level shall be subject to the approval of the Board.61

Chapter VII Powers of District SEC. 25. Authorization —The district may exercise all the powers which are expressly granted by this Title or which are necessary implied from, or incidental to the powers and purposes herein stated. For the purpose of carrying out the objectives of this Act, a district is hereby granted the power of eminent domain, the exercise thereof shall, however, be subject to review by the administration.62 SEC. 26.63 Acquisition of Waterworks —A district may purchase, construct, or otherwise acquire works, water, water rights, land, rights, and privileges useful or necessary to convey, supply, store, collect, treat, dispose of, or make other use of water for any purpose authorized by this Title. In the acquisition of water or water or water rights the district shall cooperate with existing agencies of the government of the Philippines. SEC. 27.64 Sale of Water — The district shall have the power to sell water, pursuant to generally applicable rules and regulations, to any person for use within the district. As a condition of such sale, the district may require the filing of a written application for service, payment of established charges or deposits and execution of water service contract. A district may provide service to public faucets or hydrants provided that it shall first have executed an application and service contract with the government entity to establish or maintain such faucets or hydrants within the district. The district will be paid for such service in the same manner as regular domestic service and pursuant to the adopted rules and regulations of the district. Any district holding a valid Certificate of Conformance or a Conditional Certificate of Conformance from the administration shall be exempt from regulation by the Public Service Commission65 or its successors. SEC. 28.66 Sewerage — A district may require, construct, operate, and furnish facilities and services, within or without the district, for the collection, treatment, and disposal of sewerage, waste, and storm water. The district may only furnish such services outside the district by means of facilities designed primarily to serve inside the district. Upon providing a sewer system in any area of the district, the 61

As amended by Sec. 10, P.D. No. 768, 15 August 1975. The original provisions of Sec. 25 were repealed by Sec. 3, P.D. 1479, Sec. 26 was renumbered and amended by Sec. 4, P.D. No. 1479. 63 Originally Sec. 27, renumbered by Sec. 5, P.D. No. 1479, 11 June 1978. 64 Originally Sec. 28, renumbered by Sec. 5, P.D. No. 1479, 11 June 1978. 65 Now National Water Resources Council 66 Originally Sec. 29, renumbered by Sec. 5, P.D. No. 1479, 11 June 1978. 62

district may require all buildings used by human beings to be connected to the sewer system within such reasonable time as may be prescribed by the district, provided that the property upon which such building to be connected stands is located within 35 meters of an existing main of the district’s sewer system, the district may declare the further maintenance or use of cesspools, septic tanks, or other local means of sewerage disposal in such area to be a public nuisance and, after notice in writing of at least 10 days, deprive said property owner of any and all services provided by the district, which sanction may be co-extensive with the period during which the property owner persists in refusing to connect with the district’s sewer system. SEC. 29.67 Rights of Way — The right is hereby granted to locate, construct, and maintain works of the district on any land which is now, or hereafter may be, owned by the government of the Philippines or by any of its political subdivisions, and/or instrumentalities. A district may construct any works along, under or across any street, watercourse, railway, or conduit in a manner which will afford security for life and property: Provided, That in planning any such works, the environmental aspects shall also be considered. SEC. 30.68 Contracts — A district shall have the power to enter into contracts with any person for the purpose of performing any functions of the district: Provided, That the board of directors may not by contract delegate any of the discretionary powers vested in the board by this Title. Specifically, but without limiting said general power, a district may enter into the following contracts: a.

b.

c.

67

Cooperation — Agreement with the government of the Philippines or any of its agencies or political subdivisions for the cooperative or joint performance of any function of the district. In-Lieu Share — As an incident to the acquisition of the existing water system of a city, municipality, or province, a district may enter into a contract to pay in lieu share for such utility plant, an annual amount not exceeding three percent (3%) of the district’s gross receipts from water sales in any year: Provided, however, That no contract of this nature shall be executed during the first five years of the existence of the district; and Provided, further, That the board of directors shall determine that such contract will not adversely affect or impair the fiscal position and operations of the district as verified by the administration.69 MWSS Agreement — In the event the city, municipality, or province has not reached agreement with the Metropolitan Waterworks and Sewerage System pursuant to Sections 15 and 17 of Republic Act No. 6234, a district may, with the consent of the local government, act for and in behalf of the local interests in negotiating and executing such contract for final

Originally Sec. 30, renumbered by Sec. 5, P.D. No. 1479, 11 June 1978. Originally Sec. 31 renumbered by Sec. 5, P.D. No. 1479, 11 June 1978. 69 As amended by Sec. 11, P.D. No. 768, 15 August 1975. 68

settlement of the consequences of MWSS involvement in the operation of the water system. SEC. 31. a.

b.

c.

d.

70

Protection of Waters of District — A district shall have the right to:

Commence, maintain, intervene in, defend and compromise actions, and proceedings to prevent interference with or deterioration of water quality or the natural flow of any surface, stream or ground water supply which may be used or useful for any purpose of the district or be a common benefit to the lands or its inhabitants. The ground water within a district is necessary to the performance of the district’s powers and such district is hereby authorized to adopt rules and regulations subject to the approval of the National Water Resources Council governing the drilling, maintenance and operation of wells within its boundaries for purposes other than single family domestic use on overlying land. Any well operated in violation of such regulations shall be deemed an interference with the waters of the district. Require a developer or builder of any structure within the service areas of the district to extend or connect its pipeline facilities to the district facilities whenever such development or structure is within one hundred meters of existing district facilities or whenever the district is willing to extend its facilities within one hundred meters of said development or structure. For the purpose of this section, development shall include the subdivision of land for any purpose other than agricultural purpose, and structure shall mean any building or facility to be used for residential, commercial or industrial purposes. Prohibit any person, firm, or corporation from vending, selling, or otherwise disposing of water for public purposes within the service area of the district where district facilities are available to provide such service, or fix terms and conditions by permit for such sale or disposition of water. Safeguard and protect the use of its waters. For this purpose, any person who installs any water connection without the previous authority from the water district established under this Decree; tampers water meters or uses jumpers or other devices hereby water is stolen; steals or pilfers water or water meters; knowingly possesses stolen or pilfered water or water meters shall, upon conviction, be punished by prision correcional in its minimum period or a fine ranging from Two Thousand Pesos to Six Thousand Pesos, or both. If the violation is committed with the connivance or permission of an employee or officer of the water district, an employee or officer shall, upon conviction, be punished by a penalty one degree lower than prision correcional in its minimum period and forthwith be dismissed and perpetually disqualified from employment in any utility or service company owned or controlled by the government.70

Originally Sec. 32, renumbered by Sec. 6, P.D. No. 1479, 11 June 1978. As amended by Sec. 12, P.D. No. 768, 15 August 1975.

e.

Take over the management, administration, operation and maintenance of all watersheds within its territorial boundaries.71

SEC. 32.72 Fire Protection Capacity — The district may install and maintain pipeline capacity and additional hydrants for fire protection purposes: Provided, That prior agreement has been executed with the public entity having principal fire protection responsibility within the district whereby the district will be reimbursed over the reasonable life of said facilities for the cost of installation and operation of such fire protection capacity and facilities.

Chapter VIII Financial Provisions SEC. 33. Receipt, Deposit, and Payment of District Funds — The treasurer shall receive, to the credit of the district and in trust for its use and benefit, all monies belonging to the district. All monies belonging to the district shall, where practicable, be deposited by the treasurer in the Philippines National Bank.73 SEC. 34. Bonds or Other Evidence of Indebtedness — A district may borrow money to raise funds to pay all costs of any public improvements authorized by this Title and may issue negotiable or non-negotiable bonds, promissory notes or other evidence of indebtedness to support such borrowings. These obligations may be secured by a mortgage, pledge, deed of trust of or any other encumbrance upon any of its then owned or after-required real or personal property, assets or revenues and the same shall constitute a lien as to the principal and interest thereon, on all such property, assets or revenues. The interests on such bonds or notes are exempt from all taxes, duties, fees, imposts, or other charges of the national or local governments.74 SEC. 35. Authority for Subsequent Borrowings — Where a water district has borrowed money from the administration, the district shall not borrow money or incur further obligations from other sources without the prior written consent of the administration.75 SEC. 36. Default — In the event of default by the district in the payment of principal or interest on its outstanding revenue bonds, any bondholder shall have the power to bring an action in any court of competent jurisdiction to compel the payment of such obligation. If the bondholder or creditor concerned is the administration, it may, without the necessity of judicial process, take over and 71

Paragraph (e) was inserted by Sec. 6, P.D. No. 1479, 11 June 1978. Originally Sec. 33, renumbered by Sec. 7, P.D. No. 1479, 11 June 1978. 73 Originally Sec. 34, renumbered by Sec. 7, P.D. No. 1479, 11 June 1978. As amended by P.D. No. 768, Sec. 13, 15 August 1975. 74 The original provisions of Sec. 35 were repealed by Sec. 13, P.D. No. 768, 15 August 1975. 75 Inserted by Sec. 16, P.D. No. 768, 15 August 1975 as Sec. 36. The same section was renumbered again by Sec. 7, P.D. No. 1479, 11 June 1978. 72

operate the entire facilities, systems or properties of the district. For this purpose, the administration may designate its employees or any person or organization to assume all powers of policy-decision and the powers of management and administration, including but not limited to the establishment of water rates and charges, the dismissal and hiring of personnel, the purchase of supplies, equipment and materials and such other actions as may be necessary to operate the utility efficiently.76

Chapter IX Revenues SEC. 37. Rates and Charges-Water — A district may sell water under its control, without preference, under uniform schedules of rates and charges as may be determined by the board, to any and all water users within the district. Said schedule may provide for differential rates for different categories of use and different quantity blocks. The district, so far as practicable, shall fix such rates and charges for water as will result in revenues which will: a. Provide for reimbursement from all new water customers for the cost of installing new services and meters; b. Provide for revenue from all water deliveries and services performed by the district; c. Pay the operating expenses of the district; d. Provide for the maintenance and repairs of the works; e. Provide a reasonable surplus for replacement extension and "By means of water, we give life to everything." --Koran, improvements; and f. Pay the interest and principal and 21:30 provide a sinking or other fund for the payment of debts of the district as they become due and establish fund for reasonable reserves.77 SEC. 38. Service and Standby Charges—Sewer78 — A district may prescribe and collect rates and other charges for sewer services furnished. A district may also fix, levy and collect a sewerage and wastewater service standby or availability charge in the event sewer service is available and no connection is 76

Inserted by Sec. 16, P.D. No. 768, 15 August 1975 as Sec. 37. The same section was renumbered again by Sec. 7, P.D. No. 1479, 11 June 1978. 77 Originally Sec. 37, renumbered and amended by Sec.17, P.D. No. 1479, 11 June 1978. Renumbered again by Sec. 7, P.D. No. 1479, Sec. 13, 11 June 1978. 78 Originally Sec. 38, renumbered as Sec. 39 by Sec. 18, P.D. No. 768, Renumbered again as Sec. 38 by Sec. 7, P.D. No. 1479, 11 June 1978.

made. Such rates and charges may be collected with the water charges of the district. In the event of failure to pay the whole or any part thereof, district may discontinue any and all services for which such bill is rendered, including water, shall not be construed to prohibit the district from collecting rates and other charges in any other lawful manner. SEC. 39. Production Assessment79 — In the event the board of a district finds, after notice and hearing, that production of ground water by other entities within the district for commercial or industrial uses in injuring or reducing the district’s financial condition, the board may adopt and levy a ground water production assessment to compensate for such loss. In connection therewith, the district may require necessary reports by the operator of any commercial or industrial well. Failure to pay said assessment shall constitute an invasion of the waters of the district and shall entitle this district to an injunction and damages pursuant to Section 3280 of this Title. SEC. 40. Assessment and Standby Charges81 — In order to obtain capital to finance installation of sanitary sewerage, a district shall have the power to establish by resolution of the board of directors the area to be benefited from such facilities. After a hearing and upon notice to all parties affected, the district may levy and collect assessment, or standby charges based upon available capacities or upon selected characteristics of property benefited by said improvements, as determined by the board. Said characteristics may include, but not limited to, the effective length of property fronting upon the proposed improvement or in terms of the area contained within the boundary of said property. Said assessment, if unpaid, shall be and constitute a lien on the land assessed. SEC. 41. Disposition of Income — The income of the district shall be disposed of according to the following priorities: First, to pay its contractual and statutory obligations and to meet its essential current operating expenses. Second, to allocate at least fifty percent (50%) of the balance exclusively as a reserve for debt service and operating and maintenance, to be used for such purposes only during periods of calamities, force majeure or unforeseen events. Third, to allocate the residue as a reserve exclusively for expansion and improvement of its physical facilities.82

Chapter X Changes in Organization

79

Originally Sec. 39, renumbered as Sec. 40 by Sec. 18, P.D. No. 768, Renumbered again as Sec. 39 by Sec. 7, P.D. No. 1479, 11 June 1978. 80 Now Sec 31. 81 Originally Sec. 40, renumbered as Sec. 41 by Sec. 18, P.D. No. 768, Renumbered again as Sec. 40 by Sec. 7, P.D. No. 1479, 11 June 1978. 82 Inserted by Sec. 8, P.D. No. 1479, 11 June 1978.

SEC. 42. Exclusion of a Territory83 — Any territory within the boundary of a district may be excluded by resolution of the board of directors after notice to land owners within the territory proposed to be excluded, and upon a finding that said lands do not and will not benefit by reason of their inclusion within the district. A certified copy of said resolution of exclusion shall be filed in the same manner and become effective in accordance with the provisions applicable to the resolution forming the district. SEC. 43. Annexations and Deannexation84 — The administration may, after notice to property owners within the territory proposed for annexation or deannexation and following a hearing, make finding of benefit or potential benefit, and thereafter, require (annexation or deannexation shall be accomplished by adoption and)85 filing of an appropriate resolution in the same manner as the filing of the resolution forming a district or of exclusion, as the case may be. SEC. 44. Consolidation and Joint Operation86 — The administration may require the merger or consolidation of the facilities or operations of two or more districts formed pursuant to the levy, in the event that the administration shall have determined, following a hearing, that such merger or consolidation is in the best interest of the residents in the districts involved. SEC. 45. Dissolution — A district may be dissolved by resolution of its board of directors filed in the manner of filing the resolution forming the district: Provided, however, That prior to the adoption of any such resolution: 1) another public entity has acquired the assets of the district and has assumed all obligations and liabilities attached thereto; 2) all bondholders have been notified and they consent to said transfer and dissolution; and 3) a court of competent jurisdiction has found that said transfer and dissolution are in the best interest of the public.87

Chapter XI Protection to Districts SEC. 46. Exemption from Taxes88 — A district shall: 1) be exempt from paying income taxes, and 2) be exempt from the payment of (a) all national government, local government, and municipal taxes and fees, including any franchise, filing, recordation, license or permit fees or taxes and fees, charges or costs involved in any court of administrative proceeding in which it may be a party 83

Originally Sec. 41, renumbered by Sec. 18, P.D. No. 768, 15 August 1975. Originally Sec. 42, renumbered by Sec. 18, P.D. No. 768, 15 August 1975. 85 Words enclosed in parenthesis appear on the text as published in the Official Gazette, Vol. 69, No. 24, P. 5873. 86 Originally Sec. 43, renumbered by Sec. 18, P.D. No. 768, 15 August 1975. 87 Originally Sec. 44, renumbered by Sec. 19, P.D. No. 768, 15 August 1975. 88 Originally Sec. 45, renumbered by Sec. 20, P.D. No. 768, 15 August 1975. 84

and (b) all duties or imposts on imported machinery, equipment and materials required for its operations. SEC. 47. Exclusive Franchise—No franchise shall be granted to any other person or agency for domestic, industrial or commercial water service within the district or any portion thereof unless and except to the extent that the board of directors of said district consents thereto by resolution duly adopted, such resolution, however, shall be subject to review by the administration.89

Title III—Local Water Utilities Administration Law

Chapter I—Title SEC. 48. Title90 — The Title of the Provincial Water Utilities Act of 1973 shall be known and referred to as the “Local Water Utilities Administration Law.”

Chapter II Charter and Purpose SEC. 49. Charter — There is hereby chartered, created, and formed a national government corporation to be known as the “Local Water Utilities Administration” which is hereby attached to the Office of the President. The provisions of this Title shall be and constitute the charter of the administration.91 SEC. 50. Purposes — The administration shall primarily be a specialized lending institution for the promotion, development and financing of local water utilities. In the implementation of its functions, the administration shall, among others: 1.

2.

89

prescribe minimum standards and regulations in order to assure acceptable standards of construction materials and supplies, maintenance, operation, personnel, training, accounting and fiscal practices for local water utilities; furnish technical assistance and personnel training programs for local water utilities;

Originally Sec. 46, renumbered by Sec. 20, P.D. No. 768, 15 August 1975. As amended by Sec. 9, P.D. No. 1479, 11 June 1978. 90 Originally Sec. 47, renumbered and amended by Sec. 20, P.D. No. 768, 15 August 1975. 91 Originally Sec. 48, renumbered and amended by Sec. 21, P.D. No. 768, 15 August 1975.

3.

monitor and evaluate local water standards; 4) effect system integration, joint investment and operations district annexation and deannexation whenever economically warranted.92

Chapter III Board of Trustees SEC. 51. Composition—The Board of Trustees of the administration shall be composed of a chairman and four other members all of whom shall be citizens of the Philippines. One trustee at any time shall each have at least ten years experience in banking or finance or business. One trustee at any time shall possess sufficient background in the field of economics; one trustee at any time shall have experience in management or systems operations. Two trustees at any time shall be civil or sanitary engineers with experience related to water supply or wastewater operations. Not more than one trustee may represent a private investor-owned utility. No elected official shall be entitled to act as a trustee. At least three of the trustees must be employees of the national government. The general manager shall be ex-officio member of the board.93 SEC. 52. Appointment and Term of Office — The trustees, with exception of the ex-officio member, shall be appointed by the President of the Philippines. They shall serve a term of five years each: Provided, That of the first five appointed, one shall serve a term of five years, another for four years, the third for three years, the fourth for two years. Trustees may be removed for cause only. The incumbent trustees holding offices as such upon the effectivity of this amendment shall continue to hold such office until the expiration of their original terms as defined in their appointments.94 SEC. 53. Vacancies95 — Vacancies in the board of trustees for any reason whatsoever shall be filled by the President of the Philippines in like manner as in the case of new appointments, but the trustees so appointed shall serve only the unexpired portion of the term of the trustee substituted for. SEC. 54. Powers96 — All of the business and affairs of the administration shall be carried on and its powers shall be exercised by and through the board of

92

Originally Sec. 49, renumbered and amended by Sec. 22, P.D. No. 768, 15 August 1975. Originally Sec. 50, renumbered and amended by Sec. 23, P.D. No. 768, 15 August 1975. 94 Originally Sec. 51, renumbered and amended by Sec. 24, P.D. No. 768, 15 August 1975. 95 Originally Sec. 52, renumbered by Sec. 25, P.D. No. 768, 15 August 1975. 96 Originally Sec. 53, renumbered by Sec. 25, P.D. No. 768, 15 August 1975. 93

trustees. The function of the trustees, however, shall be to establish policy, not to engage in the detailed management of the administration. SEC. 55. Compensation — The trustees shall each receive a per diem as may be fixed by the Board for each meeting actually attended by them: Provided, That the total of such per diem in any one month for each Trustee, shall not exceed the equivalent of the per diems for four meetings; Provided, further, That per diems in excess of three hundred pesos per meeting shall be subject to approval of the Office of the President; and Provided, finally, That in addition, each Trustee shall be reimbursed his expenses incurred in connection with the performance of his functions in such amount as may be determined by the Board of Trustees.97

Chapter IV By-laws SEC. 56. By-laws — The Board of Trustees shall adopt a code of by-laws for the conduct of the affairs of the administration, which may be amended from time to time by the affirmative vote of four trustees. Except as otherwise provided herein, the organizational structure and staffing pattern of the administration, the qualification of the appointive officers and employees, the powers and responsibilities of the officers, the internal procedure of the administration, and such other matters relative to the organization, management and conduct of the affairs of the administration shall be as provided in by the by laws; Provided, That, the appointment and disciplinary action against officers and employees of the administration shall be done and effected pursuant to guidelines established by the Board of Trustees.98

Chapter V Officers and Employees SEC. 57. Officers — The Board shall elect a chairman and a vice-chairman, each of whom shall be a trustee. In addition there shall be selected by the Board, a secretary, treasurer, an auditor and a general counsel, each of whom shall not be a trustee.99 SEC. 58. The General Manager and Other Employees — The trustees shall select a General Manager, who shall not come from the appointed trustees. The General Manager shall receive compensation in an amount as may be fixed by the board, subject to the approval of the President of the Philippines, but in no case less than fifty-four thousand pesos per annum. The General Manager shall

97

Originally Sec. 54, renumbered by Sec. 26, P.D. No. 768, 15 August 1975. Originally Secs. 55 and 56, renumbered and amended by Sec. 26, P.D. No. 768, 15 August 1975. 99 As amended by Sec. 28, P.D. No. 768, 17 August 1975. 98

employ and appoint all additional personnel; Provided, That the appointment of personnel in the supervisory level shall be subject to confirmation by the board. The incumbent manager holding office as such upon the effectivity of this amendment shall continue to hold such office unless sooner terminated by competent authority.100 The regular professional and technical personnel of the administration shall be exempt from WAPCO and Civil Service rules and regulations:101 Provided, That the personnel shall be entitled to the benefits and privileges normally accorded to government employees, such as retirement, GSIS insurance, leave and similar matters.

Chapter VI Powers SEC. 59. General Corporate Powers — The administration shall have all the powers which are expressly granted to it under this Title, or which are necessary, implied from or incidental to the powers and purposes herein stated. SEC. 60. Borrowing and Security Therefore — Administration may borrow funds as authorized in Section 72102 of this Title, and issue as security therefore debentures constituting a lien on any and all securities, covenants and obligations of local water utilities held by administration as security for loans made to such local water utilities.103 SEC. 61. Loans — Administration may make loans from its revolving loan fund to qualified local water utilities, upon the following conditions and pursuant to the following procedures: a.

Qualification of Borrower — Before any loan may be granted, the local water utility shall 1) hold a valid certificate of Conformance or a Condition Certificate of Compliance from the administration, and 2) meet such other and further loan qualification requirements as the trustees may establish;

b.

Feasibility Study — A feasibility study which may be required by the administration for any proposed project for which loan funds are sought may be undertaken by the water district, the administration or by a consultant prequalified by the administration;

100

As amended by Sec. 29, P.D. No. 768, 17 August 1975. See P.D. No. 1597, 11 June 1978, which repeals all provisions that exempt agencies from the Civil Service Law and Rules. 102 Now Sec. 73, infra. 103 As amended by Sec. 30, P.D. No. 768, 15 August 1975. 101

c.

Security — The administration may take as security for such loans the authorized revenue bonds or other evidence of debt by the local water district and a mortgage on its properties;

d.

Loan Document and Procedures — The trustees shall adopt uniform rules, loan documents and procedures to be used in the granting of loans. Such rules shall include provisions for security, payment and default, and shall authorize the administration to act as receiver in the event of Court proceedings for enforcement.

e.

Default — In the event of default by the local water district in the payment of principal or interest on its outstanding bonds or other obligations to the administration, the latter may, without the necessity of judicial process, take over and operate the facilities or properties of the district. For this purpose, the administration may designate its employees or any person or organization to assume both the policy-making authority and the powers of management, including but not limited to the establishment of water rates and service charges, the dismissal and hiring of personnel, the purchase of equipment, supplies or materials and such other actions as may be necessary to operate the water district efficiently. Such policy-making and management prerogatives may be returned to the board of directors and the general manager of the water district, respectively, when all of its overdue accounts have been paid, all its reserve requirements have been satisfied and all the causes of default have been met.104

f.

Funding of Loan — When a loan is made to a local water utility, the necessary amount of such loan shall be programmed to assure completion of the project for which such loan was granted.105

SEC. 62. Regulations — Administration shall have the power and duty to establish standards for local water utilities, and adopt rules and regulations for the enforcement thereof. The administration shall vigorously consult and coordinate its actions with all governmental agencies active in the areas of public works and all other concerned agencies in the promulgation of these standards. Said standards and regulations shall include the following: a.

b.

104 105

Water Quality — Minimum drinking water standards including a uniform testing and reporting system. Said Standards shall include bacteriological, chemical and physical parameters; Design and Construction — Minimum criteria for the design and construction of new or additional facilities for water supply, treatment, transmission and distribution, and for wastewater collection, treatment and disposal;

As amended by Sec. 31, P.D. No. 768, 15 August 1975. Paragraph (f) was inserted by Sec. 10, P.D. No. 1479, 11 June 1978.

c.

d. e.

f. g.

Equipment, Materials, and Supplies — Standards for the optimum selection and effective utilization of equipment, materials and supplies by local water and sewer utilities; Operations and Maintenance — Standardized procedures for operating and maintaining equipment and facilities; Personnel — The training of personnel who operate or manage local water utilities. For this purpose, at least a majority of the personnel of a local water district must have satisfactorily completed appropriate training courses, programs and seminars conducted by the administration, and must be holders of a certificate of completion or competence, as the case may be, before a certificate of conformance is issued to the water district. For certain positions which the administration may specify, only those persons possessing, or in the case of subsequent appointments, only persons who will undergo training and shall have obtained within six months, a certificate of completion or competence, as the case may be, shall be appointed.106 Organization — Organizational and institutional criteria to assure independent operation and funding of local water utilities; Accounting — A uniform accounting system with uniform chart of accounts. Said standards and regulations also shall include stipulated levels of internal reporting to local water utility management.

SEC. 63. Rate Review — Any publicly owned local utility holding a Certificate of Conformance or a Conditional Certificate of Conformance from the Administration is hereby declared exempt from the jurisdiction of the Public Service Commission107 or its successor. Any rates or charges established by such a local water utility shall be adequate to provide for: a. b. c. d. e. f.

Reimbursement from all new water customers for the cost of installing new services and meters; Revenue from all water deliveries and services performed by the district; Annual operating expense of the district; The maintenance and repairs of the works; A reasonable surplus for replacement, extension and improvements; and Payment of the interest and principal and provide a sinking or other fund for the payment of debts of the district as they become due and establish a fund for reasonable reserves.108

The rates or charges established by such local district, after hearing shall have been conducted for the purpose, shall be subject to review by the administration to establish compliance with the above-stated provisions. Said review of rates or any charges shall be executory and enforceable after the lapse of seven calendar days from posting thereof in a public place in the locality of the 106

As amended by Sec. 32, P.D. No. 768, 17 August 1975. Now National Water Resource Council. 108 As amended by Sec. 33, P.D. No. 768, 15 August 1975. 107

water district, without prejudice to an appeal being taken therefrom by a water concessionaire to the National Water Resources Council whose decision thereon shall be appealable to the Office of the President. An appeal to the Council shall be perfected within thirty days after the expiration of the seven-day period of posting. The Council shall decide on appeal within thirty days from perfection.109 SEC. 64. Technical Assistance — Administration shall provide technical assistance to local water utilities; their boards, management and operating personnel, to aid in meeting the standards and criteria established by the administration, and to encourage the upgrading of the operations and management of such local water utilities. Said technical assistance should consist of those matters which are practical to finance or develop on a national basis but are beyond the capability of the individual local water utility, as such. SEC. 65. Training Programs — Administration shall establish training programs and seminars for personnel of local water utilities. Programs shall include the areas of utility management, operations, maintenance and customer service. Administration shall have the power to issue Certificate of Completion for the satisfactory completion of a specified course of instruction. In the case of operational personnel, administration may conduct appropriate examinations and issue corresponding Certificates of Competence to assist local water utilities to meet the personnel standards set pursuant to Section 63 (d)110 of this Title. SEC. 66. Certificate of Conformance — Administration may require reports from all water utilities, conduct field investigations, and review all available information to determine whether there has been conformance to its standards and procedures established pursuant to Section 6396 of this Title. Upon a finding that said standards are met, the administration shall issue a Certificate of Conformance to any such local water utility. Said Certificate may be revoked after due notice and hearing as to any local water utility which thereafter fails to continue conformance with such standards. A Conditional Certificate of Conformance may be issued where procedures and practices have been adopted to assure conformances and a reasonable time schedule has been adopted. Failure to reach conformance as contemplated shall be cause for revocation of such conditional certificate, without hearing or other cause. SEC. 67. Capital Stock — The authorized capital of the Local Water Utilities Administration is two billion, five hundred million pesos divided into twelve million five hundred thousand shares of stocks with a par value of two hundred pesos per share which shall be subscribed by the national government and opened to subscription by private investors or government financial institutions.111

109

As amended by Sec. 11, P.D. No. 1479, 11 June 1978. Now Sec. 62. 111 The original provisions of Sec. 67 were repealed by Sec. 34, P.D. No. 768, and in lieu thereof, the above provisions were substituted therefore. 110

SEC. 68. Payment of National Government Shares — All amounts previously released by the national government to the revolving fund of the administration shall be credited as payment for subscriptions to shares of stock at par value. Whatever balance remaining of said subscription shall be paid from a continuing appropriation which is hereby made out of any funds in the National Treasury not otherwise appropriated, such annual appropriation to be programmed and released in accordance with pertinent budget laws: Provided, That this continuing appropriation shall remain in force until the balance of the unpaid subscription of the government to the capital stock of the administration have been paid in full.112 SEC. 69. Operational Expenses113 — The Board of Trustees is hereby authorized to appropriate out of any funds of the administration, such amounts as it may deem necessary for the operational and other expenses of the administration including the purchase of necessary equipment. SEC. 70. Charges114 — To the extent that the administration performs services for the benefit and at the request of a local water district or utility or a number of water districts, utilities organizations, it may levy fees or charges for such service rendered. Charges may include an assessment against water districts or utilities to finance those functions of the Administration which are of general benefit to water districts or utilities including, but not limited to, general administration and supervision. SEC. 71. Receipt and Investment of Funds115 — Whenever the administration receives money whether as payment for subscriptions to shares of stock, principal repayments, interest income, payment for services rendered or for any purpose whatsoever, it shall issue its own receipts and provide for their safe keeping and investment under policy guidelines as may be established by the Board of Trustees in accordance with Department of Finance regulations. SEC. 72. Domestic Borrowing Authority116 — The administration shall have the authority to borrow money from all domestic loan sources whether government or private; Provided, That its loans outstanding from domestic sources at any one time shall not exceed one billion pesos. SEC. 73. Authority to Contract Foreign Loan — The administration is hereby authorized to contract loans, credits, in any convertible foreign currency or capital goods, and to incur indebtedness from time to time with foreign governments, or 112

The original provisions of Sec. 68 were repealed by Sec. 34, P.D. No. 768, and in lieu thereof, the above provisions were substituted therefore. 113 The original provisions of Sec. 69 were repealed by Sec. 34, P.D. No. 768, and in lieu thereof, the above provisions were substituted therefore. 114 The original provisions of Sec.70 were repealed by Sec. 35, P.D. No. 768, and in lieu thereof, the above provisions were substituted therefore. 115 As amended by Sec. 34, P.D. No. 768, 15 August 1975. 116 Originally Sec. 71, renumbered and amended by Sec. 36, P.D. No. 768, 15 August 1975.

any international financial institutions or fund sources, including suppliers credits or deferred payment arrangements, the total outstanding amount of which, excluding interests, shall not exceed five hundred million United States dollars or the equivalent thereof in other currencies, on term and conditions promulgated by the Secretary of Finance and the Monetary Board for the accomplishment of its objectives; and to enter into and execute contracts and other documents specifying such terms and conditions. The President of the Philippines, by himself, or through his duly authorized representative, is hereby authorized to negotiate and contract with foreign governments or any international financial institution or fund sources in the name and on behalf of the administration, one or several loans, for the purpose of implementing the administration’s program for the promotion and development of local water utilities through the administration’s financing or lending operations. The President of the Philippines, by himself or through his duly authorized representative, is hereby further authorized to guarantee, absolutely and unconditionally, as primary obligor and not as mere surety, in the name and on behalf of the Republic of the Philippines, the payment of the loans, credits and indebtedness up to the amount therein authorized, over and above the amounts which the President of the Philippines pursuant to loan agreements entered into with foreign governments or any international financial institution or fund sources. The loans, credit and indebtedness contracted under this Section shall be in accord with the provisions of the Foreign Borrowing Act as amended.117 SEC. 74. Depository for Reserves — Any local water utility which is accumulating reserves for capital improvements may make specified time deposits of the same to the administration in the manner authorized for banks in handling trust funds. Such funds shall not become a part of the revolving loan fund, nor shall they be used for operating purposes by the administration.118 SEC. 75. Control and Supervision over All Releases of Appropriations for waterworks and Sewerage Systems — Since the administration is charged with the development of local water utilities, funds from prior ad future appropriations of the national government for waterworks and sewerage systems in cities, municipalities, and provinces that are covered by duly formed water districts shall be released directly to the administration for the account of the water districts concerned. The administration may, however, draw from such account fees and charges for services rendered to the water district concerned as specified in Section 70 of this Title.119

117

Originally a part of Sec. 71, renumbered and amended by Sec. 36, P.D. No. 768, 15 August 1975. As amended by Sec. 37, P.D. No. 768. 119 Section inserted by Sec. 38, P.D. No. 768, 15 August 1975. 118

SEC. 76. Government Assistance to Non-Viable Districts — There shall be included in the General Appropriations Act an outlay in the form of national government aid or subsidy to meet the financial requirements in the development of water supply systems of water districts which are determined by the administration to be financially non-viable in such amount as "Water is the one substance from which the earth can conceal nothing; it sucks the administration may out its innermost secrets and brings them to our very lips." --Jean Giraudoux recommend, but not exceeding the cost of source development and main transmission line. Releases of such funds shall be made directly to the administration. In the development of such water supply systems, the administration shall exert all efforts to bring the levels of service within the cost repayment capacity of the beneficiaries.120 SEC. 77. Special Projects — Whenever required by the national government to provide funding requirements for the development of waterworks and sewerage systems in municipalities, cities or provinces, or portions thereof not yet covered by a duly formed water district, an outlay shall be provided in the General Appropriations Act, upon the request of the administration, separate from its capitalization, for the purposes of meeting the financial requirements of the project; Provided, however, That in the event that funds for the project have already been appropriated by the national government, such funds shall be released directly to the Administration. Expenses incurred by the administration for the service rendered may be drawn from such accounts as provided in Section 70 of this Title.121 SEC. 78. Exemption from All Taxes, Duties, Fees, Imposts, and Other Charges by the Government — To enable the administration to pay its indebtedness and obligations, and in furtherance and effective implementation of the policies and objectives of this Decree, the administration is hereby declared exempt: a.

120 121

From the payment of all taxes, fees, imposts, charges, costs, and restrictions by the government of the Republic of the Philippines, its provinces, cities, municipalities, and other government agencies and instrumentalities, and filing and service fees and other charges of courts in any court administrative proceedings in which it may be a party; Section was inserted by Sec. 14, P.D. No. 1479, 11 June 1978. Id.

b.

c.

From all income taxes, franchise taxes and realty taxes to be paid to the national government, its provinces, cities, municipalities and other government agencies and instrumentalities; and From all import duties, compensating taxes, wharfage fees on import of foreign goods and equipment required for its operations and projects.122

General Provisions SEC. 79. Separability of Provisions123 — If any provision of this Decree, or the application of such provision to any person or circumstances, is declared invalid, the remainder of the Decree or the application of such provision to other persons or circumstances shall not be affected by such declaration. SEC. 80. Effect on Other Acts124 — All acts or parts of acts, decrees, general orders, executive orders, proclamations, or rules and regulations inconsistent herewith are repealed or modified accordingly. SEC. 81.

Effectivity125 — This Decree shall take effect immediately.

Done in the City of Manila, this 25th day of May, 1973.

Metropolitan Waterworks and Sewerage System (Republic Act 6234)∗ SECTION 1. Declaration of Policy — The proper operation and maintenance of waterworks systems to ensure an uninterrupted and adequate supply and distribution of potable water for domestic and other purposes and the proper operation and maintenance of sewerage systems are essential public services because they are vital to public health and safety. It is therefore declared a policy of the state that the establishment, operation and maintenance of such systems must be supervised and controlled by the state. SEC. 2. Creation, Name, Domicile, and Jurisdiction —

122

Section was inserted by Sec. 38, P.D. No. 768, 15 August 1975. Originally Sec. 73, renumbered by Sec. 39, P.D. No. 768, 15 August 1975, and further renumbered by Sec. 15, P.D. No. 1479, 11 June 1978. 124 Originally Sec. 74, renumbered by Sec. 39, P.D. No. 768, 15 August 1975, and further renumbered by Sec. 15, P.D. No. 1479, 11 June 1978. 125 Originally Sec. 73, renumbered by P.D. No. 1479, 11 June 1978. ∗ Although the regulatory function remains with MWSS, the distribution function has been privatized. In like manner, water servicing and distribution in towns and cities throughout the Philippines are now slowly privatizing as well, but under the regulatory authority of the local water district. 123

a.

b.

c.

d.

There is hereby created a government corporation to be known as the Metropolitan Waterworks and Sewerage System, hereinafter referred to as the System, which shall be organized within thirty (30) days after the approval of this Act. The domicile and principal place of business of the System shall be in the City of Manila. The System shall have such branches and agencies as may be necessary for the proper conduct of its affairs. The System shall own and/or have jurisdiction, supervision and control over all waterworks and sewerage systems in the territory comprising the cities of Manila, Pasay, Quezon, Cavite and Caloocan, and the municipalities of Antipolo, Cainta, Las Piñas, Makati, Malabon, Mandaluyong, Marikina, Montalban, Navotas, Parañaque, Pasig, Pateros, San Juan, San Mateo, Taguig, Taytay, all of Rizal Province, the municipalities of Bacoor, Imus, Kawit, Noveleta, Rosario, all of Cavite province and Valenzuela, Bulacan. All other waterworks and sewerage systems now under the supervision and control of National Waterworks and Sewerage Authority (NWSA), shall remain with the System unless the provinces, cities and municipalities concerned shall elect to separate from the System, in which case, they shall communicate their decision to the System and the separation shall take effect upon agreement of the System and the local government not later than thirty (30) days from the time the System receives the notice of the decision. The Wells and Springs Department of the National Waterworks and Sewerage Authority shall be ceded, transferred and conveyed to the Bureau of Public Works. Any provision of law to the contrary notwithstanding, all existing waterworks systems or any system that may hereafter be established by cities and municipalities shall have exclusive control and supervision over all sources of water supply, such as rivers and streams for waterworks purposes in their respective jurisdictions, and any water right now enjoyed by he National Waterworks and Sewerage Authority in the different cities and municipalities concerned: Provided, however, That in case of provincial waterworks systems now existing, the said water rights shall be transferred to that provincial system.

SEC. 3. Attributes, Powers, and Functions — The System shall have the following attributes, powers and functions: a.

b. c.

To exist and have continuous succession under its corporate name for a term of fifty (50) years from and after the date of the approval of this Act, notwithstanding any provision of law to the contrary: Provided, however, That at the end of the said period, the System shall automatically continue to exist for another fifty (50) years, unless otherwise provided by law; To prescribe its by-law; To adopt and use a seal and alter it at its pleasure;

d. e. f.

g.

h.

i. j.

k.

l. m.

To sue and be sued; To establish the basic and broad policies and goals of the System; To construct, maintain, and operate dams, reservoirs, conduits, aqueducts, tunnels, purification plants, water mains, pipes, fire hydrants, pumping stations, machineries and other waterworks for the purpose of supplying water to the inhabitants of its territory, for domestic and other purposes; and to purify, regulate and control the use, as well as prevent the wastage of water; To construct, maintain, and operate such sanitary sewerages as may be necessary for the proper sanitation and other uses of the cities and towns comprising the System; To fix periodically water rates and sewerage service fees as the System may deem just and equitable in accordance with the standards outlined in Section 12 of this Act; To construct, develop, maintain and operate such artesian wells and springs as may be needed in its operation within its territory; To acquire, purchase, hold, transfer, sell, lease, rent, mortgage, encumber, and otherwise dispose of real and personal property, including rights and franchises, consistent with the purpose for which the System is created and reasonably required for the transaction of the lawful business of the same; To construct works across, over, through and/or alongside, any stream, water-course, canal, ditch, flume, street, avenue, highway or railway, whether public or private, as the location of said works may require: Provided, That, such works be constructed in such manner as to afford security to life and property and so as not to obstruct traffic: Provided, further, That the stream, watercourse, canal, ditch, flume, street, avenue, highway or railway so crossed or intersected be restored without unnecessary delay to its former state. Any person or entity whose right may be prejudiced by said works shall not obstruct the same; however, he shall be given reasonable notice before the construction and shall be paid just compensation. The System shall likewise have the right to locate, construct and maintain such works on, over and/or through any street, avenue, or highway and land and/or real rights of the Republic of the Philippines or any of its branches, agencies and political subdivisions upon due notice to the office, or entity concerned, subject solely to the condition that the street, avenue, or highway in which said works are constructed be restored without unnecessary delay to its former state unless otherwise agreed upon by the System and the office or entity concerned; To exercise the right of eminent domain for the purpose for which the System is created; To contract indebtedness in any currency and issue bonds to finance projects now authorized for the National Waterworks and Sewerage Authority under existing laws and as may hereafter be expressly authorized by law with the approval of the President of the Philippines upon the recommendation of the Secretary of the Finance;

n.

o. p.

q. r..

To approve, regulate, and supervise the establishment, operation and maintenance of waterworks and deepwells within its jurisdiction operated for commercial, industrial and governmental purposes and to fix just and equitable rates or fees that may be charged to customers thereof; To assist in the establishment, operation and maintenance of waterworks and sewerage systems within its jurisdiction under cooperative basis; To approve and regulate the establishment and construction of waterworks and sewerage systems in privately owned subdivisions within its jurisdiction; To have exclusive and sole right to test, mount, dismount and remount water meters within its jurisdiction; To render annual reports to the President of the Philippines and the presiding officers of the two Houses of Congress not later than January thirty-first of every year.

SEC. 4. The Board of Trustees: Composition, Qualification, Appointment, Tenure — The corporate powers and functions of the System shall be vested in and exercised by a Board of Trustees composed of a chairman, the general manager as ex officio vice-chairman and three members, one of whom shall be nominated by the Labor Union representing the majority of the rank-and-file of the employees in the System. They shall possess any one or a combination of the following qualifications: duly licensed professional of recognized competence in civil engineering and/or sanitary engineering, business management and finance, and law, or recognized labor leader within the ranks with sufficient training, particularly in the field of labor-management relations or corporate practice, all of good moral character with at least five (5) years of actual and distinguished experience in their respective fields of expertise. The chairman and the three members of the board shall be appointed by the President of the Philippines with the consent of the Commission on Appointments. The chairman and the three members of the board shall hold office for a period of three years, except that the members initially appointed shall serve, as designated in their appointments, one for one year, one for two years and one for three years: Provided, That, any person chosen to fill a vacancy shall serve only for the unexpired term of the member whom he succeeds: Provided, further, That the term of the member nominated by labor may be terminated sooner than as above provided if so requested by the nominating union in which case the President of the Philippines shall appoint a replacement who shall similarly be nominated by said union. SEC. 5. The Suspension and Removal of Trustees — Any member of the Board of Trustees may for cause be suspended or removed by the President of the Philippines upon the recommendation of the Secretary of Justice after due notice and hearing.

SEC. 6. Meetings of the Board; Quorum, Required Votes; Per Diems —The Board of Trustees shall, immediately after its organization, adopt rules and procedures in the conduct of its meetings. A majority of the Board shall constitute a quorum for the transaction of business and the affirmative vote of three shall be required for the adoption of any action. For actual attendance at meetings, the chairman and the three members, shall each receive a per diem of one hundred pesos (P100.00) but in no case shall any one receive more than four hundred pesos (P400.00) a month. SEC. 7. Other Officers and Employees; Their Appointment; Qualifications; Compensations and Tenure — The management of the System shall be vested in the general manager. He shall be assisted by four assistant general managers— one for Engineering, one for Operation, one for Finance and Administration, one for Commercial and Customers Service — and the heads of departments. Said officials shall perform managerial and/or confidential functions. The general manager shall be appointed by the President of the Philippines with the consent of the Commission on Appointments. He shall receive an annual compensation of thirty-six thousand pesos (P36,000.00) and hold office for a period of six years unless sooner terminated for incapacity or other causes. The President may for cause, suspend or remove the general manager after due notice and hearing. In case of temporary disability or absence of the general manager, the chairman of the Board shall designate any assistant general manager to act as general manager. The assistant general managers shall be appointed by the Board with the approval of the President. Each shall receive an annual compensation of twentyeight thousand pesos (P28,000.00) and shall hold office until retirement age as determined by law, unless sooner terminated for incapacity or other causes. In case of temporary disability or absence of any assistant general manager, the chairman of the Board shall designate any assistant general manager to act as general manager. The assistant general managers shall be persons of integrity, competence and experience in the technical and executive fields related to the purposes of this Act. Their other qualifications as well as powers and duties shall be determined by the Board. The department heads, division and section chiefs, and other officers of equivalent rank shall be appointed or promoted by the general manager upon recommendation of the assistant general manager concerned, with the approval of the Board. The powers, duties, qualifications and compensation of said officers and of the other personnel shall be determined by the Board.

All other personnel shall be appointed or promoted by the general manager upon recommendation of the assistant general manager concerned. The general manager shall submit to the Board a monthly report on such appointments and non-disciplinary transfer made in the month immediately preceding. SEC. 8. Other Powers and Duties of the General Manager — a. b. c.

d.

e.

f.

g.

h.

To direct and manage the System in accordance with and to carry out the policies of the Board; To control, direct and supervise all the officers and employees under him; To remove, suspend or otherwise discipline for cause, or terminate by reason of incapacity the term of office of, Department Heads, Division and Section Chiefs, and other officers of equivalent rank, subject to the approval of the Board. The decision of the Board may be appealed within thirty days from receipt thereof to the proper Court of First Instance,∗ but shall be immediately enforceable notwithstanding said appeal; To remove, suspend or otherwise discipline for cause, or terminate by reason of incapacity the term of office of, all other personnel, without prejudice to an appeal within thirty days from receipt of the decision to the Board, the decision of which shall be immediately final and enforceable; To detail any officer or employee when required by the exigencies of the service, for a period not exceeding six months, without reduction in salary, and his decision shall be final; To submit to the Board an annual budget and plantilla of personnel not later than sixty days prior to the beginning of a fiscal year, and thereafter such supplemental budgets as may be necessary; To submit to the Board, not later than the twentieth of every month, a financial and an operational report for the month preceding, and not later than ninety days after the close of each fiscal year an annual report, and from time to time such partial reports as he may see fit to render or as may be required by the Board; and To perform such other powers and duties as may be assigned by the Board or prescribed either by law or by the by-laws of the System.

SEC. 9. Appointment and Promotion; Terms and Conditions of Employment — Officers and employees of the Metropolitan and Local Systems shall not be subject to the Civil Service Law, rules and regulations. The System is hereby empowered to conduct such appropriate examination it deems necessary as additional basis for appointment and promotion. The terms and conditions of employment in the System are governed by law, except that the WAPCO rules and regulations shall not apply, without prejudice to the right of collective bargaining. SEC. 10. Employees ∗

Administrative Jurisdiction for Disciplining Other Officers and — The general manager may, for dishonesty, oppression,

Now Regional Trial Court.

misconduct, neglect of duty, conviction of a crime involving moral turpitude, notoriously disgraceful or immoral conduct, improper or unauthorized solicitation of contributions from subordinate employees, lobbying for personal interest or gain in legislative halls and offices without authority from the Board, directly or indirectly obstructing, defeating or violating the civil rights and liberties of an individual, promoting the sale of tickets in behalf of private enterprises that are not intended for charitable or public welfare purposes and even in the latter cases if there is no prior authority willful violation of reasonable office regulations, or in the interest of the service, remove after due notice and hearing, any subordinate officer or employee from the service, demote him in rank, suspend him for not more than one year without pay or fine in an amount not exceeding six month’s salary. A transfer from one position to another without reduction in rank and salary shall not be considered disciplinary when made in the interest of public service and the action of the general manager shall not be final until approved by the Board of Trustees. SEC. 11. Audit — The Auditor General shall appoint a representative known as the Auditor and the necessary personnel to assist said Auditor in the performance of his duties. The Auditor General shall also fix the salaries and the number of personnel to assist said Auditor. Once fixed by the Auditor General, such salaries and number of auditing personnel shall not be thereafter increased, diminished or altered unless initiated by him. The auditing personnel under this section shall be subject to the provisions of the Civil Service law. The budget and plantilla for salaries, maintenance and operating expenses of the auditing office as fixed by the Auditor General shall be subject to confirmation by the governing board of the corporation. The financial transactions of the System shall be audited in accordance with law, administrative regulations, and the generally accepted principles of accounting and standards of auditing. The Auditor General shall submit to the President of the Philippines, the Presiding Officers of the two Houses of Congress and the Board of Trustees an Audit Report for each fiscal year, within ninety days after the close thereof. SEC. 12. Review of Rates by the Public Service Commission — The rates and fees fixed by the Board of Trustees for the System and by the local governments for the local systems shall be of such magnitude that the System’s rate of net return shall not exceed twelve percent (12%), on a rate base composed of the sum of its assets in operation as revalued from time to time plus two months’ operating capital. Such rates and fees shall be effective and enforceable fifteen (15) days after publication in a newspaper of general circulation within the territory defined in Section 2 (c) of this Act. The Public Service Commission shall have exclusive original jurisdiction over all cases contesting said rates or fees. Any complaint against such rates or fees shall be filed with the Public Service

Commission within thirty (30) days after the effectivity of such rates, but the filing of such complaint or action shall not stay the effectivity of said rates or fees. The Public Service Commission shall verify the rate base, and the rate of return computed therefrom, in accordance with the standards above outlined. The Public Service Commission shall finish, within sixty (60) calendar days, any and all proceedings necessary and/or incidental to the case, and shall render its findings or decisions thereon within thirty (30) calendar days after said case is submitted for decision. In cases where the decision is against the fixed rates or fees, excess payments shall be reimbursed and/or credited to future payments, in the discretion of the Commission. SEC. 13. Disposition of Income — The income of the System shall be disposed of according to the following priorities: First, to pay its contractual and statutory obligations and to meet its essential current operating expenses; Second, to serve at least fifty percent (50%) of the balance exclusively for the expansion, development and improvement of the System; and Third, to allocate the residue enhancing the efficient operation and maintenance of the System which include increases of administrative expenses or increases or adjustment of salaries and other benefits of the employees. SEC. 14. Assistance to Local Systems — The System may provide technical and management assistance to the various local waterworks and sewerage systems upon their request; and for this service the System may charge actual expenses incurred plus ten percent (10%) thereof as overhead expenses. SEC. 15. Abolition of NWSA; Transfer of Assets, Liabilities, and Personnel — The Corporation known as the National Waterworks and Sewerage Authority shall be abolished upon the organization of the Metropolitan Waterworks and Sewerage System as provided for in Section 2 (a) of this Act. Its records, properties, equipment, assets, rights, choses in action, obligations and liabilities are hereby transferred to, vested in, and assumed by the System: Provided, That an inventory and valuation of the properties, equipment, assets, rights, choses in action, obligations, liabilities of NWSA shall be made by the Auditor General, and the accountable officers of NWSA shall continue to be fully accountable therefor, until issued a certificate of clearance by the Auditor General. Employees and laborers, including the personnel of the planning and coordinating office and the provincial, city and municipal departments in the places enumerated in Section 2 (c) of this Act are hereby transferred to and absorbed by the System: Provided, That the Board of Trustees is hereby

authorized to make personnel movement on the basis of merit and fitness in accordance with the comprehensive and progressive merit system to be established by the Metropolitan Waterworks and Sewerage System immediately upon its organization: Provided, further, That the salary of any employee shall in no case be reduced as a consequence of said personnel movement: Provided, finally, That in no case shall the expense in any fiscal year for salaries, wages, allowances, emoluments, and other fringe benefits exceed thirty-five percent (35%) of the gross income of the System in the immediately preceding fiscal year. SEC. 16. Gratuity — Any personnel of the National Waterworks and Sewerage Authority not so appointed or who refuses such appointment shall be paid the money value of his accumulated vacation and sick leave, and such retirement gratuity as may be due him under existing retirement laws. Any of the employees and laborers who does not qualify under any existing retirement law shall be paid one month salary for every year of service, payable in lump sum. For this purpose, there is hereby appropriated out of any funds in the national treasury not otherwise appropriated the sum of fifteen million pesos (P15M) to provide for their separation gratuities, accumulated vacation and sick leaves and/or retirement, when and if, payable and due to them, subject to reimbursement by the system to the national treasury out of its earnings within three fiscal years from the date of availment of the appropriated amount. The personnel of the Wells and Springs Department whose salaries are paid from Congressional Appropriations and who cannot be absorbed by the Bureau of Public Works, shall be paid their terminal pay and retirement gratuity from Congressional Appropriations. However, in case an officer or employee is subsequently reinstated in the government, its branches and instrumentalities, including government corporations, he shall refund to the paying agency the value of the gratuity which he would not have received had he been paid in monthly installments. SEC. 17. Transfer of Local Systems — Whenever the local government exercises the right mentioned in Section 2 (c) hereof, the local systems now under the control and supervision of the NWSA together with all the employees and laborers including the personnel of the district offices, records, properties, equipment, assets, chooses in action, obligations and liabilities shall be ceded, transferred and conveyed to their respective provinces, cities, and/or municipalities which owned and/or operated them before the NWSA operated the same: Provided, That in case of disagreement between the system and the local governments on liabilities or obligations being charged by the National Waterworks and Sewerage Authority to the local government, the same shall be passed upon and decided by an arbitration committee to be composed of a representative of the local government, a representative of the System, and a third member to be chosen by both. Any of the employees and laborers not so appointed in the local system or who refuse such appointment shall be paid from the amount of fifteen million

pesos appropriated under this Act, the money value of his accumulated vacation and sick leaves and such retirement gratuities as may be due him under existing retirement laws: Provided, That any of the employees and laborers who do not qualify under any existing retirement laws, shall be paid one month salary for every year of service payable in lump sum. Similarly, all employees and laborers, records, property and equipment of the Wells and Springs Department shall be ceded, transferred and conveyed to the Bureau of Public Works. The accounts and liabilities corresponding to said Department shall be adjusted accordingly by the Auditor General. Those systems initially constructed and operated by the NWSA, shall be ceded, transferred and conveyed to the provinces, cities or municipalities which they serve: Provided, however, That where the System serves two or more municipalities, the same shall be ceded, transferred and conveyed to the provincial government: Provided, further, That where the System serves a city, or a city and municipalities, the system shall be transferred, ceded or conveyed to the city: Provided, furthermore, That the outstanding obligations incurred by the NWSA, including interest, in the construction, operation and maintenance of such systems, shall be assumed by the local government concerned: Provided, still further, That in the case of outstanding bond indebtedness in the construction, operation and maintenance of such systems, the national government shall continue to guarantee the obligation until the same shall have been fully paid: Provided, finally, That the Auditor General shall determine the accounts and liabilities of the respective local governments. In case the liabilities exceed the value of the assets transferred to the local governments, the excess shall be assumed by the national government. Conflicts between local governments served by one system shall be decided by a board to be composed of their respective mayors, and treasurers as members, and the representative of the Auditor General as chairman. SEC. 18. Tax Exemption — All articles imported by the Metropolitan Waterworks and Sewerage System or the local governments for the exclusive use of their waterworks and sewerage systems particularly machineries, equipment, pipes, fire hydrants, and those related to, or connected with, the construction, maintenance, and operation of dams, reservoirs, conduits, aqueducts, tunnels, purification plants, water mains, pumping stations; or of artesian wells and springs within their territorial jurisdictions, shall be exempt from the imposition of import duties and other taxes. SEC. 19. Repeal or Modification — All acts, executive orders, administrative orders, and proclamations or parts thereof inconsistent with any of the provisions of this Act, are hereby repealed or modified accordingly. SEC. 20. Separability Clause — In the event that any provision of this Act or the application of such provisions to any person or circumstances is declared

unconstitutional, the remainder of this Act or the application of said provision to other persons or circumstances shall not be affected thereby. SEC. 21. Effectivity — This Act shall take effect upon its approval. Approved: June 19, 1971.

See how the rivers run Through the woods and meadows, In shade and in Sun. Sometimes swift, sometimes slow, Wave succeeding wave, they go A various journey to the deep Like human life to endless sleep -- John Dyer, Grangar Hill

Waterways Structures in Navigable Waterways (Republic Act 2056) SECTION 1. Any provision or provisions of law of the contrary notwithstanding, the construction or building of dams, dikes or any other works which encroaches into any public navigable river, stream, coastal, waters and any other navigable public waters or waterways as well as the construction or building of dams, dikes or any other works in areas declared as communal fishing grounds, shall be ordered removed as public nuisances or as prohibited construction as herein provided: Provided, however, That the "Water links us to our neighbor in a way more profound and complex than any Secretary of Public Works other." --John Thorson and Communications may authorize the construction of any such works when public interests or safety so requires, or when it is absolutely necessary for the protection of private property.

SEC. 2. When it is found by the Secretary of Public Works and Communications, after due notice and hearing, that any dam, dike or any other works now existing or may hereinafter be constructed encroaches into any public navigable river, stream, coastal waters and any other public navigable waters, or waterways, or that they are constructed in areas declared as communal fishing grounds, he shall have the authority to order the removal of any such works and shall give the party concerned a period not to exceed thirty days for the removal of the same: Provided, That fishpond constructions or works on communal fishing grounds introduced in good faith before the areas were proclaimed as fishing grounds shall be exempted from the provisions of this Act, provided such constructions or works do not obstruct or impede the free passage of any navigable river, stream, or would not cause inundations of agricultural areas: Provided, further, That should the party concerned fail to comply with the order of the Secretary of Public Works and Communications within the period so stated in the order, such removal shall be effected by the Secretary of Public Works and Communications at the expense of the said party within ten days following the expiration of the period given the party concerned: Provided, furthermore, That the investigation and hearing to be conducted by the Secretary of Public Works and Communication under this section shall be terminated and decided by him within a period which shall both exceed ninety days from the time he shall have been notified in writing or a written complaint shall have been filed with him by any interested party apprising him of the existence of a dam, dike or any other works that encroaches into any public navigable river, stream, coastal waters or any other public navigable waters or waterways, and in areas declared as communal fishing grounds: Provided, still furthermore, That the failure on the part of the Secretary of Public Works and Communications without justifiable or valid reason to terminate and decide a case or effect the removal; of any such works, as provided for in this section, shall constitute an offense punishable under section three of this Act: And provided, finally, That the removal of any of such works shall not impair fishponds completed or about to be completed which do not encroach or obstruct any public navigable river or stream and/or which would not cause inundations of agricultural areas and which have been constructed in good faith before the area was declared communal fishing grounds. SEC. 3. Any person who shall violate the provisions of this Act or who shall fail to comply with a lawful order of the Secretary of Public Works and Communications within the period given him in the said order for the removal of any works, shall be punished by imprisonment of not less than six months or more than six years and a fine of not less than five hundred pesos or more than six thousand pesos. In the case of any Secretary of Public Works and Communications, in addition to the fine and imprisonment herein provided, he shall suffer the penalty of perpetual absolute disqualification to hold any public office. SEC. 4. All Acts or parts of Acts, executive orders, rules and regulations which are inconsistent with the provisions of this Act are hereby repealed.

SEC. 5. This Act shall take effect upon its approval. Approved: June 13, 1958.

Directing Persons to Renounce Possession of Riverbanks (Presidential Decree No. 296) Whereas, floods are among the most destructive of natural calamities, in the wake of chain reactions invariably lead to misery, pestilence, privation, hunger and want; Whereas, the everworsening floods in the country today are to a great extent caused by unabated illegal encroachments on rivers, creeks, esteros, and other drainage channels, resulting in the constriction and partial or complete closure thereof and the corresponding reduction of drainage capacity; Whereas, such illegal encroachments have been prevalent in the past by enlarging the areas covered by titles or certificates of ownership brought about by consolidation and subdivision surveys and resurveys; Whereas, in the interest of the general public it is imperative that such portions of the public domain illegally acquired must be returned to the State for the purpose which nature has intended for them; and Whereas, experiences show

past that

The rain is plenteous but, by God's decree, Only a third is meant for you and me; Two-thirds are taken by the growing things Or vanish Heavenward on vapour's wings: Nature is blamed for failings that are Man's, And well-run rivers have to change their plans." --Sir Alan Herbert

reacquisition or expropriation proceedings have been slow and tedious, dragging on for years to the detriment of the general welfare; Now, Therefore, I, Ferdinand E. Marcos, President of the Philippines, by virtue of the powers vested in me by the Constitution as Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to Proclamation No. 1081 dated September 21, 1972, and General Order No. 1 dated September 22, 1972, do hereby order and decree the following: SECTION 1. Any person, whether natural or juridical, who, prior to the promulgation of this decree, may have introduced improvements on or reclaimed and occupied portions of rivers, creeks, esteros or drainage channels, is hereby directed to report to the Secretary of Public Works, Transportation and Communications, through the Director of Public Works, any and all such improvements, reclamation or encroachments and to renounce possession thereof, or demolish structures or improvements which at the promulgation of this decree, may tend to obstruct the flow of water through rivers, creeks, esteros and drainage channels, within ninety (90) days from the effectivity of this Decree. SEC. 2. Noncompliance with the provisions of this Decree shall be punished by a fine of not less than five thousand pesos nor more than ten thousand pesos or imprisonment for not less than two years nor more than ten years, or both such fine and imprisonment, in the discretion of the court: Provided, That if the offender is a corporation, firm, partnership, or association, the penalty shall be imposed upon the guilty officer or officers, as the case may be, of the corporation, firm, partnership or association, and if such guilty officer or officers are aliens, in addition to the penalty herein prescribed, he or they shall be deported without further proceedings on the part of the Commission of Immigration and Deportation. SEC. 3. Any provision of existing laws, decrees, rules and regulations inconsistent with this Decree are hereby repealed or modified accordingly. SEC. 4. This Decree shall take effect immediately after publication in the Official Gazette or in a newspaper of general circulation in the country. Done in the City of Manila, this 18th day of September, 1973.

Other Water Laws Dumping of Wastes that Cause Rising of Riverbeds (Commonwealth Act No. 383) SECTION 1. The dumping into any river of refuse, waste matter, or substances of any kind whatsoever that may cause an elevation in the level of river beds, or block the course of a stream, is prohibited. SEC. 2. To cause alluvial formations by whatever means or device that may give rise for riverbanks to expand or by any similar process to reclaim a strip of land through accession, except with the authority of the Secretary of Public Works and Communications, which shall be granted if and when any such works are absolutely necessary for the protection of private property against the destructive action of water, and not otherwise harmful to other parties, is likewise prohibited. SEC. 3. Any person who shall be found transgressing the provisions hereof shall be punished by imprisonment of not more than six months, or by a fine not to exceed two hundred pesos, or by both such fine and imprisonment, at the discretion of the court. SEC. 4. approval.

This Act shall take effect on its

Approved: September 5, 1938.

"Water is tragical, water is comical, Water is far from Pure Economical." --Kenneth Boulding

National Water Crisis Act (Republic Act 8041) SECTION 1. Short Title — This Act shall be known as the “National Water Crisis Act of 1995.” SEC. 2. Declaration of Policy — It is hereby declared the policy of the State to adopt urgent and effective measures to address the nationwide water crisis which adversely affects the health and well-being of the population, food production and industrialization process. Pursuant thereto the government shall address the issues relevant to the water crisis including, but not limited to, supply, distribution, finance, privatization of state-run water facilities, the protection and conservation of watersheds and the waste and pilferage of water, including the serious matter of graft and corruption in all the water agencies. "In an age when man has forgotten his origins and is blind even to his most essential needs for survival, water along with other resources has become the victim of his indifference." --Rachel Carson

SEC. 3. Organization of Joint ExecutiveLegislative Water Crisis Commission — Within thirty (30) days after the effectivity of this Act, there shall be organized a Joint Executive-Legislative Water Crisis Commission. The Commission shall be chaired by the Executive Secretary, with the Secretaries of the Department of Public Works and Highways and the Department of Environment and Natural Resources, and the Chairmen of the appropriate Senate and House committees, as designated by the leaders of both Houses of Congress, as well as a representative of the minority from each House, as members. There shall be a technical staff constituted by representatives of the National Water Resources Board (NWRB), the Metropolitan Waterworks and Sewerage System (MWSS), the Local Water Utilities Administration (LWUA), the appropriate committees of the Senate and the House, and the certified workers’ union in the affected water institutions. SEC. 4. Purpose and Objectives — The Commission shall have the following purposes and objectives:

a.

b.

c.

d.

To undertake nationwide consultations on the water crisis and in-depth and detailed study and review of the entire water supply and distribution structure; To enhance and facilitate cooperation and coordination between Congress and the executive department in formulating and implementing the government’s water crisis management policy and strategy; To recommend measures that will ensure continuous and effective monitoring of the entire water supply and distribution system of the country; and To conduct continuing studies and researches on policy options, strategies and approaches to the water crisis including experiences of other countries similarly situated, and to recommend such remedial and legislative measures as may be required to address the problem.

SEC. 5. Powers and Functions — To carry out the aforementioned purposes and objectives, the Commission is hereby authorized: a.

b. c.

To secure from any department, bureau, office, agency or instrumentality of the government such assistance as may be needed, such as technical information, the preparation and production of reports, and the submission of recommendations or plans, as it may require; To designate by resolution the watershed areas in which development undertakings are to be suspended; and Generally, to exercise all the powers necessary, relevant and incidental to attain the purposes and objectives for which it is organized.

SEC. 6. Negotiated Contracts — For projects to be implemented under BuildOperate-Transfer (BOT) and/or related schemes, the President of the Republic may, for a period of one (1) year after the effectivity of this Act, enter into negotiated contracts for the financing, construction, repair, rehabilitation, improvement and operation of water facilities and projects related to increasing water supply, its treatment and its distribution to industrial and household consumers: Provided, That there is no government financing or financing guarantee for the contracts, except for the acquisition of right of way. The contracts shall be awarded only to contractors with proven competence and experience in similar projects, competent key personnel, efficient and reliable equipment, and sound financial capacity. SEC. 7. Reorganization of the Metropolitan Waterworks and Sewerage System (MWSS) and the Local Waterworks and Utilities Administration (LWUA) —Within six (6) months from the approval of this Act, the President of the Republic is hereby empowered to revamp the executive leadership and reorganize the MWSS and the LWUA, including the privatization of any or all segments of these agencies, operations or facilities if necessary, to make them more effective and innovative to address the looming water crisis. For this purpose, the President

may abolish or create offices, transfer functions, equipment, properties, records and personnel; institute drastic cost-cutting and other related measures to carry out the said objectives. Moreover, in the implementation of this provision, the prescriptions of Republic Act No. 7430, otherwise known as the “Attrition Law,” shall not apply. Nothing in this section shall result in the diminution of the present salaries and benefits of the personnel of the MWSS and the LWUA: Provided, That any official or employee of the said agencies who may be phased out by reason of the reorganization authorized herein shall be entitled to such benefits as may be determined by existing laws. The President may upgrade the compensation of the personnel of the MWSS and the LWUA at rates commensurate to the improved and efficient revenue collection of the two agencies as determined by the Board of Trustees and the same shall be exempted from the provisions of Republic Act No. 6750, otherwise known as the “Salary Standardization Law,” to take effect upon a reduction of non-revenue water to forty percent (40%) and upon approval by the respective board of trustees of the MWSS and the LWUA of their budgets. SEC. 8. Anti-Pilferage — It is hereby declared unlawful for any person to: a.

b.

c.

d. e.

f.

g. h.

Destroy, damage, or interfere with any canal, raceway, ditch, lock, pier, inlet, crib, bulkhead, dam, gate, service, reservoir, aqueduct, water mains, water distribution pipes, conduit pipes, wire benchmark, monument, or other works, appliance, machinery buildings, or property of any water utility entity, whether public or private; Do any malicious act which shall injuriously affect the quantity or quality of the water or sewage flow of any waterworks and/or sewerage system, or the supply, conveyance, measurement, or regulation thereof, including the prevention of, or interference with any authorized person engaged in the discharge of duties connected therewith; Prevent, obstruct, and interfere with the survey, works, and construction of access road and water mains and distribution network and any related works of the utility entity. Tap, make, or cause to be made any connection with water lines without prior authority or consent from the water utility concerned; Tamper, install, or use tampered water meters, sticks, magnets, reversing water meters, shortening of vane wheels and other devices to steal water or interfere with accurate registry or metering of water usage, or otherwise result in its diversion in a manner whereby water is stolen or wasted; Use or receive the direct benefit of water service with knowledge that diversion, tampering, or illegal connection existed at the time of that use, or that the use or receipt was otherwise without the authorization of the water utility; Steal or pilfer water meters, main lines, pipes and related or ancillary facilities; Steal water for profit or resale;

i. j.

Knowingly possess stolen or tampered water meters; and Knowingly or wilfully allow the occurrence of any of the above.

SEC. 9. Prima Facie Evidence — The presence of any of the following circumstances shall constitute prima facie evidence of theft, pilferage, or of any unlawful acts enumerated in Section 8 hereof: a. b.

c. d.

e.

f. g.

The existence of illegal or unauthorized tapping to the water main or distribution pipe; The existence of any illegal connection such as a reversed meter, shortened vane wheel, bypass or other connections which adversely affect the registration of the water meter; The presence of a bored hole in the glass cover of the water meter, or at the back of or any part of the meter including the vertical vane; The presence of tampered, or fake, seals on the meters. Inspection of tampered water meters shall be done in the presence of the registered water consumer; The presence of a reversed meter in the premises, insertion of rod wire, or stick in the meter, filed or shortened vane wheel, removal or altering of any part of the meter mechanism, use of magnet and any similar illegal devices which interfere with the meter registration; Destruction of the meter protection and other metering accessories; or Abnormal imprints, traces, or marks found in the meter assembly.

The prima facie shall not apply to tenants who have occupied the house or dwelling for ninety (90) days or less. SEC. 10. Special Aggravating Circumstances — The following shall be considered as aggravating: a. b.

c.

When the violation is committed in conspiracy with at least another person, both of whom shall be considered as principals; When the offense is committed by, or in connivance with a private plumber, officer or employee of the water utility concerned, who shall be considered as principals; or When the violation is coupled with the sale from a source which is illegal, or unregistered, or unauthorized, or a source with a tampered meter.

SEC. 11. Penalties — The water utility concerned shall have the right and authority to disconnect the water services, five (5) days after service of written notice to that effect, except on Sundays and holidays, without need of a court or administrative order, and deny restoration of the same, when a prima facie evidence, of theft or pilferage shall have been established in accordance with Section 8 hereof: Provided, That a notice shall have been issued even upon discovery for the first time of the presence of any of the circumstances herein enumerated: Provided, further, That the water service shall not be disconnected

or shall be immediately restored upon deposit, by the person concerned, of the difference in the billing made by the water utility concerned: Provided, finally, That the deposit shall be credited against future billings, with legal interest thereon where the alleged theft, pilferage or current diversion has not been committed, without prejudice to being indemnified for damages in accordance with the Civil Code and other existing laws. A written notice of seventy-two (72) hours is necessary to effect water service disconnection upon the discovery for the second time of any of the circumstances enumerated in Section 8 hereof. Any person who shall violate Section 8 hereof shall be punished by imprisonment of six (6) months to two (2) years and a fine not exceeding double the amount of the value of the water stolen or the value of the damaged facilities: Provided, however, That if the offender is assisted in the commission of the crime by a plumber, officer, or employee of the water utility concerned, the said employee, officer, or plumber shall be punished by imprisonment of two (2) years to six (6) years: Provided, further, That if the water is stolen for profit or resale, the offender shall be punished with imprisonment from six (6) to twelve (12) years. If the offender is a juridical person, the penalty shall be imposed on the chairman, president, general manager, administrator, and the officers thereof who shall have knowingly permitted, or are otherwise responsible for the commission of the offense. SEC. 12. Issuance of Guidelines, Implementing Rules and Regulations —Within one (1) month from its organization, the Commission shall cause the issuance of guidelines, implementing rules and regulations necessary to carry out the provisions of this Act. SEC. 13. Commission’s Report — The Commission shall submit a quarterly report to the President and to Congress on the implementation of this Act. SEC. 14. Sunset Clause — The Joint Executive-Legislative Water Crisis Commission shall complete its report and submit its recommendation to the President and to Congress within a period of six (6) months after its formal organization. After such period, it shall cease functus officio. SEC. 15. Separability Clause — If, for any reason, any provision of this Act is declared unconstitutional or invalid, other parts or provisions hereof which are not affected thereby shall continue to be in full force and effect. SEC. 16. Repealing Clause — All laws, decrees, orders, rules and regulations, or portions thereof, inconsistent with this Act are hereby repealed or modified accordingly.

SEC. 17. Effectivity Clause — This Act shall take effect fifteen (15) days following its publication in at least two (2) national newspapers of general circulation or in the Official Gazette. Approved: June 7, 1995.

Rainwater Collection and Springs Protection (Republic Act 6716) SECTION 1. Declaration of Policy — It is hereby declared to be the national policy to promote the quality of life of every Filipino through the provision of adequate social service including, but not limited to, the provision of adequate potable water supply made conveniently available to every barangay in the country. SEC. 2. Water Wells, Rainwater Collectors, and Spring Development —The Department of Public Works and Highways (DPWH) shall, within thirty (30) days after the approval of this Act, undertake construction of water wells, rainwater collectors, development of springs and rehabilitation of existing water wells in all barangays in the Philippines in such number as may be "Man - despite his artistic pretensions, his sophistication, and his many accomplishments his existence to a six inch layer of topsoil and the fact that it rains." --Unknown needed and feasible, owes author taking into consideration the population, hydrologic conditions, costs of project development and operations, financial and economic factors and institutional arrangements: Provided, however, That the DPWH shall deduct not more than five percent (5%) for supervision, engineering, technical and other overhead expenses or fees: Provided, further, That each barangay in the country shall have at least one additional potable water source. SEC. 3. Operation and Maintenance — In order to ensure the proper use of the water facilities herein provided, a Barangay Waterworks and Sanitation

Association, herein referred to as BWSA, shall be formed and organized for the purpose of maintaining the water facilities: Provided, That pending the organization of the BWSA, the water facilities shall be operated and maintained by the barangay council. The BWSA shall be composed of the member-consumers who shall administer, operate and maintain the completed water facility and shall be registered with the corresponding municipal or city council. The BWSA may impose such minimal charges as may be necessary for the maintenance and normal repairs of said facility. Nothing herein shall prevent any resident of the locality from using the water facility under the same terms and conditions as the member-consumers of the BWSA. Organizing and training the recipient communities in the operation and maintenance of water systems shall be conducted by the DPWH prior to the turnover of such facilities to the BWSA subject to the guidelines to be formulated by the Department. SEC. 4. Submission of Report—The Department of Public Works and Highways shall, within ninety (90) days after the approval of this Act and every one hundred eighty (180) days thereafter, submit periodic reports to the respective Committees on Public Works and Highways of both Houses of the Congress of the Philippines for evaluation and consideration. SEC. 5. Funding — The sum needed for the implementation of the construction, rehabilitation and repair program shall be taken from any available appropriations for the Department of Public Works and Highways in the General Appropriations Act for 1989: Provided, That funds for this purpose shall also be included in the General Appropriations Act for 1990 and 1991: Provided, further, That the total program shall be completed not later than June 30, 1991, and Provided, finally, That there shall be equitable and proportionate appropriations of funds annually for this purpose for all provinces, cities and municipalities. In addition, a portion of financial grants and concessional loans extended to the Philippines by foreign governments and multilateral agencies every year, the amount to be determined by the President, shall be allocated by the Department of Budget and Management to augment the appropriations of the Department of Public Works and Highways until one hundred thousand (100,000) water wells, rainwater collectors, and springs are completed as envisioned in this Act. SEC. 6. Effectivity — This Act shall take effect upon its publication in at least two (2) newspapers of general circulation. Approved: March 17, 1989.

Irrigation (Republic Act 6978) SECTION 1. It is hereby declared to be a national policy to promote the quality of living of every Filipino through the provision of adequate social services including, but not limited to, the provision of adequate irrigation projects facilities to increase agricultural production. SEC. 2. The National Irrigation Administration shall undertake a ten-year program for the construction of irrigation projects in the remaining one million five hundred thousand (1,500,000) hectares of un-irrigated but irrigable lands, whether in the lowlands or in the uplands, including other related project components nationwide. The program shall give priority to areas with social and economic problems, taking into consideration population, area served, "Water is the most basic of all resources. Civilizations grew or withered depending on its availability." --Dr. Nathan W. Snyder, Ralph M. Parsons project cost and other Engineering economic and environmental factors as may be deemed necessary in undertaking the program within the context of the national development plans. The National Irrigation Administration, in consultation with the provincial and municipal development councils, shall determine the areas which shall be given priority. SEC. 3. The National Irrigation Administration shall observe the following priorities and guidelines in the planning, construction and management of irrigation projects: a. b.

c.

Funds provided for in this Act shall be used only for the construction of new irrigation projects; Priority shall be given to the construction of communal irrigation projects. At least fifty percent (50%) of the funds shall be used for communal irrigation projects; Priority shall be given to the following: 1.

Beneficiaries of the Comprehensive Agrarian Reform Program;

2. 3. 4. d.

e.

f.

g.

h.

Members of the indigenous cultural communities; Beneficiaries in areas where there are farmer-irrigators associations; and Beneficiaries in fifth and sixth class municipalities;

The irrigation projects must be equitably distributed among the provinces and municipalities, giving priority to those provinces and municipalities without any irrigation system; The farmer-beneficiaries of communal irrigation projects shall participate in all stages of the project. The beneficiaries shall participate in the project planning, identification, design, management of the project funds, construction and monitoring; The beneficiaries of communal irrigation projects shall pay fifty percent (50%) of the project cost without interest for a period of fifty (50) years: Provided, That, in case the beneficiary dies, his legal heirs or whoever may own the land or benefitted by the project at any given time during the term of payment shall shoulder the remaining obligation of the land; The communal irrigation system shall be managed and maintained by the irrigators association or cooperative. The National Irrigation Administration shall help organize the irrigators association or cooperative and shall assist in the conduct of orientation seminars and training to the members of the said association or cooperative; and The provincial offices of the National Irrigation Administration shall be responsible in the preparation of the feasibility studies and design of communal irrigation projects.

SEC. 4. Such sums as may be necessary for the implementation of this Act shall be taken from any available appropriations of the National Irrigation Administration under the current General Appropriations Act. Thereafter, the succeeding appropriations for its continued implementation shall be included in the annual General Appropriations Act until the program shall have been completed by year 2000. In addition, the portion of financial grants and concessional loans extended to the Philippines by foreign governments and multilateral agencies including, but not limited to the Philippine Aid Plan, the amount to be determined by the President, shall be allocated by the Department of Budget and Management to augment the appropriations of the National Irrigation Administration until the program is completed as envisioned in this Act. SEC. 5. Whenever practicable, the construction of irrigation projects under this Act shall consider any or a combination of the following related or complementary purposes: a. b. c. d.

Prevention of flooding; Ensuring water supply for drinking purposes; Erosion control; Watershed management;

e. f. g.

Fish culture; Power generation; and Tourism development

SEC. 6. If any part or provision of this Act is held unconstitutional, other parts or provisions hereof which are not affected thereby shall be in full force and effect. SEC. 7. All laws, presidential decrees, executive orders, rules and regulations inconsistent with this Act are hereby repealed. SEC. 8. This Act shall take effect fifteen (15) days after its publication in the Official Gazette or in a newspaper of general circulation. Approved: January 24, 1991.

The Sumerians were the first settlers of the plains of Mesopotamia along the Tigris and Euphrates Rivers. In their new homeland, crops would sprout and grow. But then, the plants would wither from dryness before harvest time. To remedy this problem, the Sumerians devised a simple solution: they dug a ditch and diverted some water to their fields from the Euphrates river. Thus, the practice of irrigation was born.*

*

Sandra Postel