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Republic Act No. 8749 June 23, 1999

AN ACT PROVIDING FOR A COMPREHENSIVE AIR POLLUTION CONTROL

POLICY AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in

Congress assembled::

Chapter 1General Provisions

Article One

Basic Air Quality Policies

Section 1.Short Title. - This Act shall be known as the "Philippine Clean Air

Act of 1999."

Section 2. Declaration of Principles. - The State shall protect and advance the

right of the people to a balanced and healthful ecology in accord with the

rhythm and harmony of nature.

The State shall promote and protect the global environment to attain

sustainable development while recognizing the primary responsibility of local

government units to deal with environmental problems.

The State recognizes that the responsibility of cleaning the habitat and

environment is primarily area-based.

The State also recognizes the principle that "polluters must pay".

Finally, the State recognizes that a clean and healthy environment is for the

good of all and should, therefore, be the concern of all.

Section 3. Declaration of Policies. - The State shall pursue a policy of

balancing development and environmental protection. To achieve this end, the

frame work for sustainable development shall be pursued. It shall be the policy

of the State to:

(a) Formulate a holistic national program of air pollution management

that shall be implemented by the government through proper

delegation and effective coordination of functions and activities;

(b) Encourage cooperation and self-regulation among citizens andindustries through the application of market-based instruments;

(c) Focus primarily on pollution prevention rather than on control and

provide for a comprehensive management program for air pollution;

(d) Promote public information and education and to encourage theparticipation of an informed and active public in air quality planning

and monitoring; and

(e) Formulate and enforce a system of accountability for short and

long-term adverse environmental impact of a project, program or

activity. This shall include the setting up of a funding or guarantee

mechanism for clean-up and environmental rehabilitation and

compensation for personal damages.

Section 4. Recognition of Rights. - Pursuant to the above-declared principles,

the following rights of citizens are hereby sought to be recognized and the State

shall seek to guarantee their enjoyment:

(a) The right to breathe clean air;

(b) The right to utilize and enjoy all natural resources according to the

principles of sustainable development;

(c) The right to participate in the formulation, planning,

implementation and monitoring of environmental policies and

programs and in the decision-making process;

(d) The right to participate in the decision-making process concerning

development policies, plans and programs projects or activities that

may have adverse impact on the environment and public health;

(e) The right to be informed of the nature and extent of the potential

hazard of any activity, undertaking or project and to be served timely

notice of any significant rise in the level of pollution and the accidental

or deliberate release into the atmosphere of harmful or hazardoussubstances;

(f) The right of access to public records which a citizen may need to

exercise his or her rights effectively under this Act;

(g) The right to bring action in court or quasi-judicial bodies to enjoinall activities in violation of environmental laws and regulations, to

compel the rehabilitation and cleanup of affected area, and to seek the

imposition of penal sanctions against violators of environmental laws;

and

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(h) The right to bring action in court for compensation of personal

damages resulting from the adverse environmental and public health

impact of a project or activity.

Article Two

Definition of Terms

Section 5. Definitions. - As used in this Act:

a) "Air pollutant" means any matter found in the atmosphere other

than oxygen, nitrogen, water vapor, carbon dioxide, and the inert

gases in their natural or normal concentrations, that is detrimental to

health or the environment, which includes but not limited to smoke,

dust, soot, cinders, fly ash, solid particles of any kind, gases, fumes,

chemical mists, steam and radio-active substances;

b) "Air pollution" means any alteration of the physical, chemical and

biological properties of the atmospheric air, or any discharge thereto

of any liquid, gaseous or solid substances that will or is likely to create

or to render the air resources of the country harmful, detrimental, or

injurious to public health, safety or welfare or which will adversely

affect their utilization for domestic, commercial, industrial,agricultural, recreational, or other legitimate purposes;

c) "Ambient air quality guideline values" mean the concentration of air

over specified periods classified as short-term and long-term which

are intended to serve as goals or objectives for the protection of

health and/or public welfare. These values shall be used for air quality

management purposes such as determining time trends, evaluating

stages of deterioration or enhancement of the air quality, and in

general, used as basis for taking positive action in preventing,controlling, or abating air pollution;

d) "Ambient air quality" means the general amount of pollution

present in a broad area; and refers to the atmosphere's average purity

as distinguished from discharge measurements taken at the source of

pollution;

e) "Certificate of Conformity" means a certificate issued by the

Department of Environment and Natural Resources to a vehicle

manufacturer/assembler or importer certifying that a particular new

vehicle or vehicle type meets the requirements provided under this

Act and its rules and regulations;

f) "Department" means the Department of Environment and Natural

Resources;

g) "Eco-profile" means the geographic-based instrument for planners

and decision-makers which present an evaluation of the

environmental quality and carrying capacity of an area. It is the result

of the integration of primary and secondary data and information on

natural resources and anthropogenic activities on the land which are

evaluated by various environmental risk assessment and forecasting

methodologies that enable the Department to anticipate the type of

development control necessary in the planning area;

h) "Emission" means any air contaminant, pollutant, gas stream orunwanted sound from a known source which is passed into the

atmosphere;

i) "Greenhouse gases" mean those gases that can potentially or can

reasonably be expected to induce global warming, which include

carbon dioxide, methane, oxides of nitrogen, chlorofluorocarbons, and

the like;

j) "Hazardous substances" mean those substances which present

either: (1) short-term acute hazards such as acute toxicity by

ingestion, inhalation, or skin absorption, corrosivity or other skin or

eye contact hazard or the risk of fire explosion; or (2) longtermtoxicity upon repeated exposure, carcinogenicity (which in some cases

result in acute exposure but with a long latent period), resistance todetoxification process such as biodegradation, the potential to pollute

underground or surface waters;

k) "Infectious waste" means that portion of medical waste that could

transmit an infectious disease;

l) "Medical waste" means the materials generated as a result of patientdiagnosis, treatment, or immunization of human beings or animals;

m) "Mobile source" means any vehicle propelled by or through

combustion of carbon-based or other fuel, constructed and operated

principally for the conveyance of persons or the transportation of

property goods;

n) "Motor vehicle" means any vehicle propelled by a gasoline or diesel

engine or by any means other than human or animal power,

constructed and operated principally for the conveyance of persons or

the transportation of property or goods in a public highway or street

open to public use;

o) "Municipal waste" means the waste materials generated from

communities within a specific locality;

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p) "New vehicle" means a vehicle constructed entirely from new parts

that has never been sold or registered with the DOTC or with the

appropriate agency or authority, and operated on the highways of the

Philippines, any foreign state or country;

q) "Octane Rating or the Anti-Knock Index(AKI)" means the rating of

the anti-knock characteristics of a grade or type of automotive

gasoline as determined by dividing by two (2) the sum of the Research

Octane Number (RON), plus the Motor Octane Number (MON); the

octane requirement, with respect to automotive gasoline for use in amotor vehicle or a class thereof, whether imported, manufactured, or

assembled by a manufacturer, shall refer to the minimum octane

rating of such automotive gasoline which such manufacturer

recommends for the efficient operation of such motor vehicle, or a

substantial portion of such class, without knocking;

r) "Ozone Depleting Substances (ODS)" means those substances that

significantly deplete or otherwise modify the ozone layer in a manner

that is likely to result in adverse effects of human health and the

environment such as, but not limited to, chloroflourocarbons, halons

and the like;

s) "Persistent Organic Pollutants (POPs)" means the organic

compounds that persist in the environment, bioaccumulate throughthe food web, and pose a risk of causing adverse effects to human

health and the environment. These compounds resist photolytic,

chemical and biological degradation, which shall include but not be

limited to dioxin, furan, Polychlorinated Biphenyls (PCBs),

organochlorine pesticides, such as aldrin, dieldrin, DDT,

hexachlorobenzene, lindane, toxaphere and chlordane;

t) "Poisonous and toxic fumes" means any emissions and fumes which

are beyond internationally - accepted standards, including but not

limited to the World Health Organization (WHO) guideline values;

u) "Pollution control device" means any device or apparatus used to

prevent, control or abate the pollution of air caused by emissions from

identified pollution sources at levels within the air pollution control

standards established by the Department;

v) "Pollution control technology" means the pollution control devices,

production process, fuel combustion processes or other means that

effectively prevent or reduce emissions or effluent;

w) "Standard of performance" means a standard for emissions of air

pollutant which reflects the degree of emission limitation achievable

through the application of the best system of emission reduction,

taking into account the cost of achieving such reduction and any non-

air quality health and environmental impact and energy requirement

which the Department determines, and adequately demonstrates; and

x) "Stationary source" means any building or immobile structure,facility or installation which emits or may emit any air pollutant.

Chapter 2

Air Quality Management System

Article One

General Provisions

Section 6.Air Quality Monitoring and Information Network. -

Section 7. Integrated Air Quality Improvement Framework. -

Section 8.Air Quality Control Action Plan. -

Section 9.Airsheds. - Pursuant to Sec. 8 of this Act, the designation of airsheds

shall be on the basis of, but not limited to, areas with similar climate,

meteorology and topology which affect the interchange and diffusion ofpollutants in the atmosphere, or areas which share common interest or face

similar development programs, prospects or problems.

For a more effective air quality management, a system of planning and

coordination shall be established and a common action plan shall be formulated

for each airshed.

To effectively carry out the formulated action plans, a Governing Board is

hereby created, hereinafter referred to as the Board.

The Board shall be headed by the Secretary of the Department of Environment

and Natural Resources as chairman. The members shall be as follows:

a) Provincial Governors from areas belonging to the airshed;

b) City/Municipal Mayors from areas belonging to the airshed;

c) A representative from each concerned government agency;

d) Representatives from peoples organizations;

e) Representatives from non-government organizations; and

f) Representatives from the private sector.

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The Board shall perform the following functions:

a) Formulation of policies;

b) Preparation of a common action plan;

c) Coordination of functions among its members; and

d) Submission and publication of an annual Air Quality Status Reportfor each airshed.

Upon consultation with appropriate local government authorities, the

Department shall, from time to time, revise the designation of airsheds utilizing

eco-profiling techniques and undertaking scientific studies.

Emissions trading may be allowed among pollution sources within an airshed.

Section 10. Management of Non-attainment Areas. - The Department shall

designate areas where specific pollutants have already exceeded ambient

standards as non-attainment areas. The Department shall prepare and

implement a program that will prohibit new sources of exceeded air pollutantwithout a corresponding reduction in existing resources.

In coordination with other appropriate government agencies, the LGUs shal l

prepare and implement a program and other measures including relocation,

whenever necessary, to protect the health and welfare of residents in the area.

For those designated as nonattainment areas, the Department, after

consultation with local government authorities, nongovernment organizations

(NGOs), peoples organizations (POs) and concerned sectors may revise the

designation of such areas and expand its coverage to cover larger areas

depending on the condition of the areas.

Section 11.Air Quality Control Techniques. - Simultaneous with the issuance

of the guideline values and standards, the Department, through the research

and development program contained in this Act and upon consultation with

appropriate advisory committees, government agencies and LGUs, shall issue,

and from time to time, revise information on air pollution control techniques.

Such information shall include:

(a) Best available technology and alternative methods of prevention,

management and control of air pollution;

(b) Best available technology economically achievable which shall

refer to the technological basis/standards for emission limits

applicable to existing, direct industrial emitters of nonconventionaland toxic pollutants; and

(c) Alternative fuels, processes and operating methods which will

result in the eliminator or significant reduction of emissions.

Such information may also include data relating to the cost of installation andoperation, energy requirements, emission reduction benefits, and

environmental impact or the emission control technology.

The issuance of air quality guideline values, standards and information on air

quality control techniques shall be made available to the general

public: Provided, That the issuance of information on air quality control

techniques shall not be construed as requiring the purchase of certain pollution

control devices by the public.

Section 12.Ambient Air Quality Guideline Values and Standards. -

.

Section 13. Emission Charge System. - The Department, in case of industrial

dischargers, and the Department of Transportation and Communication

(DOTC), in case of motor vehicle dischargers, shall, based on environmental

techniques, design, impose on and collect regular emission fees from said

dischargers as part of the emission permitting system or vehicle registrationrenewal system, as the case may be. The system shall encourage the industries

and motor vehicles to abate, reduce, or prevent pollution. The basis of the fees

include, but is not limited to, the volume and toxicity of any emitted pollutant.

Industries, which shall install pollution control devices or retrofit their existing

facilities with mechanisms that reduce pollution shall be entitled to tax

incentives such as but not limited total credits and/or accelerated depreciation

deductions.

Section 14.Air Quality Management Fund. - An Air Quality Management Fund

to be administered by the Department as a special account in the National

Treasury is hereby established to finance containment, removal, and clean-up

operations of the Government in air pollution cases, guarantee restoration of

ecosystems and rehabilitate areas affected by the acts of violators of this Act, to

support research, enforcement and monitoring activities and capabilities of the

relevant agencies, as well as to provide technical assistance to the relevant

agencies. Such fund may likewise be allocated per airshed for the undertakings

herein stated.

The Fund shall be sourced from the fines imposed and damages awarded to the

Republic of the Philippines by the Pollution Adjudication Board (PAB),

proceeds of licenses and permits issued by the Department under this Act,

emission fees and from donations, endowments and grants in the forms of

contributions. Contributions to the Fund shall be exempted from donor taxes

and all other taxes, charges or fees imposed by the Government.

Section 15.Air Pollution Research and Development Program. -

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Article Two

Air Pollution Clearances and Permits for Stationary Sources

Section 16. Permits. - Consistent with the provisions of this Act, theDepartment shall have the authority to issue permits as i t may determine

necessary for the prevention and abatement of air pollution.

Said permits shall cover emission limitations for the regulated air pollutants to

help attain and maintain the ambient air quality standards. These permits shall

serve as management tools for the LGUs in the development of their action

plan.

Section 17. Emission Quotas. - The Department may allow each regional

industrial center that is designated as special airshed to allocate emission

quotas to pollution sources within its jurisdiction that qualify under an

environmental impact assessment system programmatic compliance program

pursuant to the implementing rules and regulations of Presidential Decree No.

1586.

Section 18. Financial Liability for Environmental Rehabilitation. - As part of

the environmental management plan attached to the environmental compliance

certificate pursuant to Presidential Decree No. 1586 and rules and regulationsset therefor, the Department shall require program and project proponents to

put up financial guarantee mechanisms to finance the needs for emergency

response, clean-up rehabilitation of areas that may be damaged during the

program or projects actual implementation. Liability for damages shall

continue even after the termination of a program or project, where such

damages are clearly attributable to that program or project and for a definite

period to be determined by the Department and incorporated into the

environmental compliance certificate.

Financial liability instruments may be in the form a trust fund, environmental

insurance, surety bonds, letters of credit, as well as self-insurance. The choice of

the guarantee instruments shall furnish the Department with evidence of

availment of such instruments.

Article Three

Pollution from Stationary Sources

Section 19. Pollution From Stationary Sources.

Section 20. Ban on Incineration. - Incineration, hereby defined as the burning

of municipal, biomedical and hazardous waste, which process emits poisonous

and toxic fumes is hereby prohibited; Provided, however, That the prohibition

shall not apply to traditional small-scale method of community/neighborhood

sanitation "siga", traditional, agricultural, cultural, health, and food preparation

and crematoria; Provided, Further, That existing incinerators dealing with abiomedical wastes shall be out within three (3) years after the effectivity of this

Act;Provided, Finally, that in the interim, such units shall be limited to the

burning of pathological and infectious wastes, and subject to close monitoring

by the Department.

Local government units are hereby mandated to promote, encourage and

implement in their respective jurisdiction a comprehensive ecological waste

management that includes waste segregation, recycling and composting.

With due concern on the effects of climate change, the Department shall

promote the use of state-of-the-art, environmentally-sound and safe non-burn

technologies for the handling, treatment, thermal destruction, utilization, and

disposal of sorted, unrecycled, uncomposted, biomedical and hazardous wastes.

Article Four

Pollution from Motor Vehicles

Section 21. Pollution from Motor Vehicles.

Section 22. Regulation of All Motor Vehicles and Engines. - Any imported

new or locally-assembled new motor vehicle shall not be registered unless it

complies with the emission standards set pursuant to this Act, as evidenced by

a Certificate of Conformity (COC) issued by the Department.

Any imported new motor vehicle engine shall not be introduced into commerce,

sold or used unless it complies with emission standards set pursuant to this Act.

Any imported used motor vehicle or rebuilt motor vehicle using new or usedengines, major parts or components shall not be registered unless it complies

with the emission standards.

In case of non-compliance, the importer or consignee may be allowed to modify

or rebuild the vehicular engine so it will be in compliance with applicable

emission standards.

No motor vehicle registration (MVR) shall be issued unless such motor vehicle

passes the emission testing requirement promulgated in accordance with this

Act. Such testing shall be conducted by the DOTC or its authorized inspection

centers within sixty (60) days prior to date of registration.

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The DTI shall promulgate the necessary regulations prescribing the useful life

of vehicles and engines including devices in order to ensure that such vehicles

will conform to the emissions which they were certified to meet. These

regulations shall include provisions for ensuring the durability of emission

devices.

Section 23.Second-Hand Motor Vehicle Engines. - Any imported second-hand

motor vehicle engine shall not be introduced into commerce, sold or used

unless it complies with emission standards set pursuant to this Act.

Article Five

Pollution from Other Sources

Section 24. Pollution from smoking. - Smoking inside a public building or an

enclosed public place including public vehicles and other means of transport or

in any enclosed area outside of one's private residence, private place of work or

any duly designated smoking area is hereby prohibited under this Act. This

provision shall be implemented by the LGUs.

Section 25. Pollution from other mobile sources. - The Department, in

coordination with appropriate agencies, shall formulate and establish the

necessary standards for all mobile sources other than those referred to in Sec.21 of this Act. The imposition of the appropriate fines and penalties from these

sources for any violation of emission standards shall be under the jurisdiction

of the DOTC.

Chapter 3

Fuels, Additives, Substances and Pollutants

Article One

Fuels, Additives and Substances

Section 26. Fuels and Additives. - Pursuant to the Air Quality Framework to be

established under Section 7 of this Act, the Department of Energy (DOE), co-chaired by the Department of Environment and Natural Resources (DENR), in

consultation with the Bureau of Product Standards (BPS) of the DTI, the DOST,

the representatives of the fuel and automotive industries, academe and theconsumers shall set the specifications for all types of fuel and fuel-related

products, to improve fuel composition for increased efficiency and reduced

emissions: Provided, however, that the specifications for all types of fuel and

fuel-related products set-forth pursuant to this section shall be adopted by the

BPS as Philippine National Standards (PNS).

The DOE shall also specify the allowable content of additives in all types of fuels

and fuel-related products. Such standards shall be based primarily on threshold

levels of health and research studies. On the basis of such specifications, the

DOE shall likewise limit the content or begin that phase-out of additives in alltypes of fuels and fuel-related products as it may deem necessary. Other

agencies involved in the performance of this function shall be required to

coordinate with the DOE and transfer all documents and information necessary

for the implementation of this provision.

Consistent with the provisions of the preceding paragraphs under this section,

it is declared that:

a) not later than eighteen (18) months after the effectivity of this Act,

no person shall manufacture, import, sell, supply, offer for sale,

dispense, transport or introduce into commerce unleaded premium

gasoline fuel which has an anti-knock index (AKI) of not less that 87.5

and Reid vapor pressure of not more than 9 psi. Within six (6) months

after the effectivity of this Act, unleaded gasoline fuel shall contain

aromatics not to exceed forty-five percent (45%) by volume and

benzene not to exceed four percent (4%) by volume;Provided, that by

year 2003, unleaded gasoline fuel should contain aromatics not to

exceed thirty-five percent (35%) by volume and benzene not to

exceed two percent (2%) by volume;

b) not later than eighteen (18) months after the effectivity of this Act,

no person shall manufacture, import, sell, supply, offer for sale,

dispense, transport or introduce into commerce automotive diesel

fuel which contains a concentration of sulfur in excess of 0.20% by

weight with a cetane number of index of not less than forty-eight(48): Provided, That by year 2004, content of said sulfur shall be

0.05% by weight; and

c) not later than eighteen (18) months after the effectivity of this Act,

no Person shall manufacture, import, sell, supply, offer for sale,

dispense, transport or introduce into commerce industrial diesel fuel

which contains a concentration of sulfur in excess of 0.30% (by

weight).

Every two (2) years thereafter or as the need arises, the specifications of

unleaded gasoline and of automotive and industrial diesel fuels shall bereviewed and revised for further improvement in formulation and in

accordance with the provisions of this Act.

The fuels characterized above shall be commercially available. Likewise, the

same shall be the reference fuels for emission and testing procedures to be

established in accordance with the provisions of this Act.

Any proposed additive shall not in any way increase emissions of any of the

regulated gases which shall include, but not limited to carbon monoxide,

hydrocarbons, and oxides of nitrogen and particulate matter, in order to be

approved and certified by the Department.

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Section 27. Regulation of Fuels and Fuel Additives. - The DOE, in coordination

with the Department and the BPS, shall regulate the use of any fuel or fuel

additive. No manufacturer, processor or trader of any fuel or additive may

import, sell, offer for sale, or introduce into commerce such fuel for additive

unless the same has been registered with the DOE. Prior to registration, the

manufacturer, processor or trader shall provide the DOE with the following

relevant information:

a) Product identity and composition to determine the potential health

effects of such fuel additives;

b) Description of the analytical technique that can be used to detect

and measure the additive in any fuel;

c) Recommended range of concentration; and

d) Purpose in the use of the fuel and additive.

Section 28. Misfueling . - In order to prevent the disabling of any emission

control device by lead contamination, no person shall introduce or cause or

allow the introduction of leaded gasoline into any motor vehicle equipped with

a gasoline tank filler inlet and labeled "unleaded gasoline only". Thisprohibition shall also apply to any person who knows or should know that such

vehicle is designed solely for the use of unleaded gasoline.

Section 29. Prohibition on Manufacture, Import and Sale of leaded Gasoline

and of Engines and/or Components Requiring Leaded Gasoline. - Effectivenot later than eighteen (18) months after the enactment of this Act, no person

shall manufacture, import, sell, offer for sale, introduce into commerce, convey

or otherwise dispose of, in any manner, leaded gasoline and engines and

components requiring the use of leaded gasoline.

For existing vehicles, the DTI shall formulate standards and procedures that

will allow non-conforming engines to comply with the use of unleaded fuelwithin five(5) years after the effectivity of this Act.

Article Two

Other Pollutants

Section 30. Ozone-Depleting Substances. - Consistent with the terms and

conditions of the Montreal Protocol on Substances that Deplete the Ozone Layer

and other international agreements and protocols to which the Philippines is a

signatory, the Department shall phase out ozone-depleting substances.

Within sixty (60) days after the enactment of this Act, the Department shall

publish a list of substances which are known to cause harmful effects on the

stratospheric ozone layer.

Section 31. Greenhouse Gases. - The Philippine Atmospheric, Geophysical and

Astronomical Service

Administration (PAGASA) shall regularly monitor meteorological factorsaffecting environmental conditions including ozone depletion and greenhouse

gases and coordinate with the Department in order to effectively guide air

pollution monitoring and standard-setting activities.

The Department, together with concerned agencies and local government units,

shall prepare and fully implement a national plan consistent with the United

Nations Framework Convention on Climate Change and other international

agreements, conventions and protocols on the reduction of greenhouse gas

emissions in the country.

Section 32. Persistent Organic Pollutants. - The Department shall, within a

period of two (2) years after the enactment of this Act, establish an inventory

list of all sources of Persistent Organic Pollutants (POPs) in the country. The

Department shall develop short-term and long-term national government

programs on the reduction and elimination of POPs such as dioxins and furans.

Such programs shall be formulated within a year after the establishment of the

inventory list.

Section 33. Radioactive Emissions. - All projects which will involve the use of

atomic and/or nuclear energy, and will entail release and emission of

radioactive substances into the environment, incident to the establishment or

possession of nuclear energy facilities and radioactive materials, handling,

transport, production, storage, and use of radioactive materials, shall be

regulated in the interest of public health and welfare by the Philippine

Nuclear Research Institute (PNRI), in coordination with Department and other

appropriate government agencies.

Chapter 4

Institutional Mechanism

Section 34. Lead Agency.

Section 35. Linkage Mechanism.

Section 36. Role of Local Government Units. - Local Government Units (LGUs)

shall share the responsibility in the management and maintenance of air quality

within their territorial jurisdiction. Consistent with Sections 7, 8 and 9 of this

Act, LGUs shall implement air quality standards set by the Board in areas within

their jurisdiction;Provided, however, That in case where the board has not been

duly constituted and has not promulgated its standards, the standards set forth

in this Act shall apply.

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The Department shall provide the LGUs with technical assistance, trainings and

a continuing capability-building program to prepare them to undertake full

administration of the air quality management and regulation within their

territorial jurisdiction.

Section 37. Environmental and Natural Resources Office. - There may be

established an Environment and Natural Resources Office in every province,

city, or municipality which shall be headed by the environment and natural

resources officer and shall be appointed by the Chief Executive of every

province, city or municipality in accordance with the provisions of Section 484of Republic Act No. 7160. Its powers and duties, among others, are:

a) To prepare comprehensive air quality management programs,

plans and strategies within the limits set forth in Republic act. No.

7160 and this Act which shall be implemented within its territorial

jurisdiction upon the approval of the sanggunian;

b) To provide technical assistance and support to the governor or

mayor, as the case may be, in carrying out measures to ensure the

delivery of basic services and the provision of adequate facilities

relative to air quality;

c) To take the lead in all efforts concerning air quality protection and

rehabilitation;

d) To recommend to the Board air quality standards which shall not

exceed the maximum permissible standards set by rational laws;

e) To coordinate with other government agencies and non-

governmental organizations in the implementation of measures to

prevent and control air pollution; and

f) Exercise such other powers and perform such duties and functions

as may be prescribed by law or ordinance: Provided, however, That inprovinces/cities/municipalities where there are no environment and

natural resources officers, the local executive concerned may

designate any of his official and/or chief of office preferably theprovincial, 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.

Section 38. Record-keeping, Inspection, Monitoring and Entry by the

Department. -

Section 39. Public Education and Information Campaign. -

Chapter 5

Actions

Section 40.Administrative Action. - Without prejudice to the right of anyaffected person to file an administrative action, the Department shall, on its

own instance or upon verified complaint by any person, institute

administrative proceedings against any person who violates:

(a) Standards or limitation provided under this Act; or

(b) Any order, rule or regulation issued by the Department with

respect to such standard or limitation.

Section 41. Citizen Suits. - For purposes of enforcing the provisions of this Act

or its implementing rules and regulations, any citizen may file an appropriate

civil, criminal or administrative action in the proper courts against:

(a) Any person who violates or fails to comply with the provisions of

this Act or its implementing rules and regulations; or

(b) The Department or other implementing agencies with respect to

orders, rules and regulations issued inconsistent with this Act; and/or

(c) Any public officer who willfully or grossly neglects the

performance of an act specifically enjoined as a duty by this Act or its

implementing rules and regulations; or abuses his authority in the

performance of his duty; or, in any manner, improperly performs his

duties under this Act or its implementing rules and

regulations: Provided, however, That no suit can be filed until thirty-

day (30) notice has been taken thereon.

The court shall exempt such action from the payment of filing fees, except fees

for actions not capable of pecuniary estimations, and shall likewise, upon prima

facie showing of the non-enforcement or violation complained of, exempt theplaintiff from the filing of an injunction bond for the issuance of a preliminary

injunction.

Within thirty (30) days, the court shall make a determination if the compliant

herein is malicious and/or baseless and shall accordingly dismiss the action

and award attorney's fees and damages.

Section 42. Independence of Action. - The filing of an administrative suit

against such person/entity does not preclude the right of any other person to

file any criminal or civil action. Such civil action shall proceed independently.

Section 43.Suits and Strategic Legal Actions Against Public Participationand the Enforcement of This Act. - Where a suit is brought against a person

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who filed an action as provided in Sec. 41 of this Act, or against any person,

institution or government agency that implements this Act, it shall be the duty

of the investigating prosecutor or the court, as the case may be, to immediately

make a determination not exceeding thirty (30) days whether said legal action

has been filed to harass, vex, exert undue pressure or stifle such legal recourses

of the person complaining of or enforcing the provisions of this Act. Upon

determination thereof, evidence warranting the same, the court shall dismiss

the case and award attorney's fees and double damages.

This provision shall also apply and benefit public officers who are sued for actscommitted in their official capacity, their being no grave abuse of authority, and

done in the course of enforcing this Act.

Section 44. Lien Upon Personal and Immovable Properties of Violators . -

Fines and penalties imposed pursuant to this Act shall be liens upon personal or

immovable properties of the violator. Such lien shall, in case of insolvency of

the respondent violator, enjoy preference to laborer's wages under Articles

2241 and 2242 of Republic Act No. 386, otherwise known as the New Civil Code

of the Philippines.

Chapter 6

Fines and Penalties

Section 45. Violation of Standards for Stationary Sources. - For actual

exceedance of any pollution or air quality standards under this Act or its rules

and regulations, the Department, through the Pollution Adjudication Board

(PAB), shall impose a fine of not more than One hundred thousand pesos

(P100,000.00) for every day of violation against the owner or operator of a

stationary source until such time that the standards have been complied with.

For purposes of the application of the fines, the PAB shall prepare a fine ratingsystem to adjust the maximum fine based on the violator's ability to pay, degree

of willfulness, degree of negligence, history of non-compliance and degree of

recalcitrance: Provided, That in case of negligence, the first time offender's

ability to pay may likewise be considered by the Pollution AdjudicationBoard: Provided, Further, That in the absence of any extenuating or aggravating

circumstances, the amount of fine for negligence shall be equivalent to one- half

of the fine for willful violation.

The fines herein prescribed shall be increased by at least ten percent (10%),

every three (3) years to compensate for inflation and to maintain the deterrent

function of such fines.

In addition to the fines, the PAB shall order closure, suspension of development,

construction, or operations of the stationary sources until such time that

proper environmental safeguards are put in place: Provided, That an

establishment liable for a third offense shall suffer permanent closure

immediately. This paragraph shall be without prejudice to the immediate

issuance of an ex parte order for such closure, suspension of development or

construction, or cessation of operations during the pendency of the case upon

prima facie evidence that their is imminent threat to life, public health, safety or

general welfare, or to plant or animal life, or whenever there is an exceedance

of the emission standards set by the Department and/or the Board and/or the

appropriate LGU.

Section 46. Violation of Standards for Motor Vehicles. - No motor vehicle

shall be registered with the DOTC unless it meets the emission standards set by

the Department as provided in Sec. 21 hereof.

Any vehicle suspected of violation of emission standards through visual signs,

such as, but not limited to smoke-belching, shall be subjected to an emission

test by a duly authorized emission testing center. For this purpose, the DOTC or

its authorized testing center shall establish a roadside inspection system.

Should it be shown that there was no violation of emission standards, the

vehicle shall be immediately released. Otherwise, a testing result indicating an

exceedance of the emission standards would warrant the continuing custody of

the impounded vehicle unless the appropriate penalties are fully paid, and the

license plate is surrendered to the DOTC pending the fulfillment of the

undertaking by the owner/operator of the motor vehicle to make the necessary

repairs so as to comply with the standards. A pass shall herein be issued by the

DOTC to authorize the use of the motor vehicle within a specified period thatshall not exceed seven (7) days for the sole purpose of making the necessary

repairs on the said vehicle. The owner/operator of the vehicle shall be required

to correct its defects and show proof of compliance to the appropriate pollution

control office before the vehicle can be allowed to be driven on any public or

subdivision roads.

In addition, the driver and operator of the apprehended vehicle shall undergo a

seminar on pollution control management conducted by the DOTC and shall

also suffer the following penalties:

a) First Offense - a fine not to exceed Two Thousand Pesos

(P2,000.00);

b) Second Offense - a fine not less than Two Thousand Pesos

(P2,000.00) and not to exceed Four Thousand Pesos (P4,000.00); and

c) Third offense - one (1) year suspension of the Motor Vehicle

Registration (MVR) and a fine of not less than Four Thousand Pesos

(P4,000.00) and not more than Six thousand pesos (P6,000.00).

Any violation of the provisions of Sec. 21 paragraph (d) with regard to national

inspection and maintenance program, including technicians and facility

compliance shall penalized with a fine of not less than Thirty Thousand Pesos

(P30,000.00) or cancellation of license of both the technician and the center, or

both, as determined by the DTI.

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All law enforcement officials and deputized agents accredited to conduct

vehicle emissions testing and apprehensions shall undergo a mandatory

training on emission standards and regulations. For this purpose, the

Department, together with the DOTC, DTI, DOST, Philippine National Police

(PNP) and other concerned agencies and private entities shall design a training

program.

Section 47. Fines and Penalties for Violations of Other Provisions in the

Act.

Section 48. Gross Violations. - In case of gross violation of this Act or its

implementing rules and regulations, the PAB shall recommend to the proper

government agencies to file the appropriate criminal charges against the

violators. The PAB shall assist the public prosecutor in the litigation of t he case.

Gross violation shall mean:

(a) three (3) or more specific offenses within a period of one (1) year;

(b) three (3) or more specific offenses with three (3) consecutive

years;

(c) blatant disregard of the orders of the PAB, such s but not limited tothe breaking of seal, padlocks and other similar devices, or operation

despite the existence of an order for closure, discontinuance or

cessation of operation; and

(d) irreparable or grave damage to the environment as a consequenceof any violation of the provisions of this Act.

Offenders shall be punished with imprisonment of not less than six (6) years

but not more than ten (10) years at the discretion of the court. If the offender is

a juridical person, the president, manager, directors, trustees, the pollution

control officer or the officials directly in charge of the operations shall suffer

the penalty herein provided.

Chapter 7

Final Provisions

Section 49. Potential Loss or Shifts of Employment.

Section 50.Appropriations. -

Section 51. Implementing Rules and Regulations. -

Section 52. Report to Congress.

Section 53.Joint Congressional Oversight Committee. -

Section 54.Separability of Provisions.

Section 55. Repealing Clause.

Section 56. Effectivity. -

Approved, June 23, 1999.

PROCEDURAL MANUAL FOR THE ENVIRONMENTAL IMPACT STATEMENT

SYSTEM

DENR basic policy

- to attain balance between socio-economic growth and environmental

protection

through sustainable use, development, management, renewal and conservation

of

natural resources (for present and future generations)

Objectives:

1- ensure environmental considerations at earliest stage of projectdevelopment;

2- streamline procedures in EIA to improve its e ffectiveness as planning,

regulatory and management tool;

3- enhance maximum public participation to validate social acceptability

Environmental Compliance Certificate (ECC)

a. Scope and delineation of the project or program and sites;

b. Pre-operational and construction activities

c. Implementation of Environmental Management and Monitoring Plan;

d. Multi-sectoral monitoring of ECC general conditionalities;

e. Discharge permits f. MOA for MMT and EMF

g. Financial liability/responsibility where warranted by public risk

h. Relocation plan, including compensation packages

i. construction of infrastructure facilities;

j. use of economic incentives, pollution management appraisals and

compliance audits necessary

Features

1- Scoping : Proponent, DENR and stakeholders define issues, actions,

alternatives and impacts included in EIS;

Scoping defining the range of issues, actions, alternatives and impacts that

should be included in the EIS;

2- Environmental Impact Statements (EIS) and Initial Environmental

Examinations (IEEs)

Projects within ECAs, submit IEE to regional office ECP Projects, required to submit EIS with EMB

-EIS- for Critical Projects-IEES for projects that are located within an Environmental Critical Area

(ECA);

EIA and EIS to include chapter on socio-economic impact assessment on

indigenous

cultural communities and on women

1- Timetable for review of EIS/IEE

4- Accreditation of preparers

Accreditation of Preparers- to prevent graft, professional individuals or groups

who do EIA (called EIS/IEE preparers) will be accredited by DENR and only

their

EIA or IEE will be accepted for review.

DENR personnel will not be allowed to be EIA/IEE preparers (since DENR

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regulates

and oversees EIS system. They would violate Anti-graft law)

5- Accountability of proponents and preparers (accountability statements to

be

attached)

Accountability Statement of Proponent and EIS Preparers (binding themselves

jointly and solidarily liable for misrepresentation or failure to state material

info in the EIS or IEES)

Public Participation and social acceptability (special focus given for impacts

on women, indigenous people and population issues)

Public Participation and Social Acceptability give importance to meaningful

public participation and transparency of the EIS process as gauge to fully

determine the acceptability of the proposed project. (Sec. 3, 1.3; 1.39)

Environmental Monitoring (EMF) and Guarantee (EDF) Funds

EMF- used to monitor operation of project

EGF used to rehabilitate and compensate for damages; may include research

work, environmental education, social equity programs, etc.

Environmental Monitoring and Guarantee Fund used primarily to monitorthe

operation of the project after ECC issuance. It will also be used for

rehabilitation and compensation for damage caused by the projects that pose

significant public risk;

Review cost- proponent to shoulder additional review cost

Review Cost to provide EMB with resources to implement the project review

process, payment is required to shoulder the additional review cost.

Notes:

a. Programmatic compliance (DAO 5, s 2000, Art. II, Sec. 1.0,

2.1.2

b. Protected Areas (DAO 5, s 2000 Art. III, Sec. 1, 3.1.3

c. Public Information (DAO 5, s 2000 Art. V, Sec.1.0) (DAO 5 , S 2000 , Art III,

Sec. 4, 3.4.4

Procedure:

Determine if activity is a `project' (by EMB or RO);

Criteria used to determine if activity is project' or undertaking':

A. location criteria- (conforms with land use plan)

B. technology criteria- (technology that will not use toxic/hazardous

materials; will not produce wastes)

C. size criteria (not more than 1,000 sq.m; or one hectare or 3-storey

building)

D. emission and effluent criteria (must conform with emission and effluent

stds)

E. community acceptable criteria (no serious complaints)

F. Nature of activity (shall not pose environmental impact

Activity that passes all criteria is outside EIS system and issued Certificateof Non-Coverage)

Activity that does not satisfy any of the criteria, considered Projects' or

`Undertakings'

If project, determine whether it is ECP or located within an ECA

ECP [Environmentally Critical Project]

Proponent shall submit EIS to EMB which is basis for review and

issuance/denial of ECC

ECA [Environmentally Critical Area]

Projects within ECAs are required to submit IEE to Environmental

Management

and Protected Areas Sector (EMPAS) of the Regional Office. IEE- document describing the environmental impact of, and mitigation and

enhancement measures for, projects or undertakings located in an ECA.

EIS documents studies of environmental impacts of a project;

includes discussion on direct/indirect consequences upon human welfare and

ecological/environmental integrity.

Includes appropriate mitigating and enhancement measures.

EIS may be required instead of IEE under certain circumstances:

-Environmental impacts not adequately addressed by proposed mitigation and

enhancement measures;

I. Strong public opposition or low social acceptability

II. High risk to public safety, welfare and healthIII. Use of highly pollutive substances

IV. Production of toxic or hazardous wastes

V. Significant socio-cultural impacts

Projects requiring EIS instead of IEE:

VI. Heavy industries

VII. Transport of oil, gas

VIII. Petrochemical or oil depots

IX. Infrastructure projects

X. Major ports and harbors

XI. Reclamation projects

XII. Waste management projects

XIII. Major flood control projects

XIV. Industrial estates, large commercial buildings and real estate protects Environmentally Critical Projects [ECP] project that has high potential for

significant impact and is listed under Proc. 2146 and Proc.803, s 1996 i. Heavy Industries

ii. Resource Extractive Industries

1. major mining and quarrying

2. forestry projects

3. fishery projects

-iii. Infrastructure projects

-iv. Golf course projects

Environmentally Critical Areas (ECA)- (see Proc. 2146 and Proc. 803, s. 1996)

i. national parks, watersheds, wildlife preserves and sanctuaries;

ii. Areas set aside as aesthetic potential tourist spots;

- iii. Habitat for any endangered or threatened species of indigenous Phil.

wildlife- iv. Unique historic, archaeological or scientific interest

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v. indigenous cultural communities

vi. Areas frequently visited by natural calamities (geological hazards,

floods, typhoons, tsunami, earthquakes, fault lines, volcanic activity,

drought-prone)

vii. Areas with critical slopes (50% slope)

viii. Areas classified as prime agricultural lands

ix. Recharged areas of aquifers

x. water bodies,

For domestic purposes

Within controlled or protected areas Which support wildlife and fishery activities

Xi. Mangrove areas

- xii. Coral reefs

SCOPING.

Scoping is first and most critical step in the EIS process.

Most of key issues/concerns are identified, discussed, clarified and agreed

upon

Assess social acceptability of project

Address issues on capacity of environment

Identify legal constraints Public participation is important in scoping

Participation:

XV. Identifies valid concerns

XVI. Focus planning on valid concerns

XVII. Provides alternatives for planning

XVIII. Provides further sources of expertise

XIX. Reduces misinformation/distrust

XX. Defines methods for conflict resolution

XXI. Improves decision making

XXII. Promotes social acceptability

Phases of scoping:

Pre-scoping

Formal Scoping

Post-scoping

Scoping shall determine whether project requires an environmental riskassessment (ERA)

Environmental Risk Assessment

ERA is process of analyzing and describing risks associated with project to

ecosystems, human health and welfare.

ERA deals with further analysis of hazards identified in EIA.

Criteria to determine risks: 1) presence of materials/chemicals that are

toxic, flammable, explosive and hazardous ; 2)structures that could endanger

life, property or environment

Environmental Compliance Certificate

Environmental Compliance Certificate (ECC) document issued by DENR Sec

orthe Regional Executive Director

Certifies that project will not cause a significant negative environmental

impact; that proponent has complied with EIS system; that proponent is

committed

to implement its approved Environmental Management Plan in the EIS or

mitigation

measures in the IEE.

Compliance Monitoring

Multi-partite monitoring team (MMT) to be formed after issuance of ECC

MMT principally tasked to monitor compliance with ECC, the EnvironmentalManagement Plan (EMP) and laws, rules

Environmental Monitoring Fund (EMF) shall constitute the initial monitoring

fund

Environmental Guarantee Fund

Environmental Guarantee Fund (EGF), established for projects that pose

significant public risk or where project requires rehabilitation

EGF has two components:

A) Trust Fund

B) Environmental Guarantee Cash Fund

Purposes of EGFXXIII. Immediate rehabilitation of areas damaged

XXIV. Just compensation of parties and communities

XXV. Conduct of studies that will aid in prevention or rehabilitation of

accidents and/or environmental damage

DENR may presume significant public risk under following conditions:

A) presence of toxic chemicals and hazardous wastes

B) extraction of natural resources that requires rehabilitation or restoration

C) presence of structures that could endanger life, property and the

environment

in case of failure; or

D) presence of processes that may cause pollution.

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PRESIDENTIAL DECREE No. 979 August 18, 1976

PROVIDING FOR THE REVISION OF PRESIDENTIAL DECREE NO. 600

GOVERNING MARINE POLLUTION

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;

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 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.

Section 3.Definition of Terms. For the purposes of this Decree:

(a) "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.

(b) "Dumping" means any deliberate disposal at sea and into

navigable waters of wastes or other matter from vessels, aircraft,

platforms or other man-made 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 ofany 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.

Section 4.Prohibited Acts. Except in cases of emergency imperiling 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 damping appears to be the only

way of averting the threat and if there is probability that the damage

consequent upon such dumping will be lees 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 suffer or procure to bethrown, discharged, or deposited either from or out of any ship, barge,

or other floating craft of 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 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 increased the level of pollution of such

water.

Section 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 nor more than Ten Thousand Pesos or

by imprisonment of not less than thirty days nor more than one year or bothsuch 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 inviolation of Section 4 or any regulation prescribed in pursuance thereof, shall

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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 shallprovide in its rules and regulations such reasonable administrative penalties as

may be necessary for the effective implementation of this decree.

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Republic Act No. 9483 June 02, 2007

AN ACT PROVIDING FOR THE IMPLEMENTATION OF THE PROVISIONS OF

THE 1992 INTERNATIONAL CONVENTI0N ON CIVIL LIABILITY FOR OILPOLLUTION DAMAGE AND THE 1992 INTERNATIONAL CONVENTION ON

THE ESTABLISHMENT OF AN INTERNATIONAL FUND FOR COMPENSATION

FOR OIL POLLUTION DAMAGE, PROVIDING PENALTIES FOR VIOLATIONS

THEREOF, AND FOR OTHER PURPOSES

Be it enacted by the Senate and the House of Representatives of the Philippines inCongress assembled:

CHAPTER I

GENERAL PROVISIONS

SECTION 1.Short Title. - This Act shall be known as the "Oil Pollution

Compensation Act of 2007".

SEC. 2. Declaration of Policy. - The State, in the protection of its marine wealth

in its archipelagic waters, territorial sea and exclusive economic zone, adopts

internationally accepted measures which impose strict liabi lity for Oil Pollution

Damage and ensure prompt and adequate compensation for persons who suffer

such damage. This Act adopts and implements the provisions of the 1992

International Convention on Civil Liabi lity for Oil Pollution Damage and the

1992 International Convention on the Establishment of an International Fund

for Compensation for Oil Pollution Damage.

SEC. 3. Definition of Terms. - For the purpose of this Act:

(a) "1992 Civil Liability Convention" means the 1992 International

Convention on Civil Liability for Oil Pollution Damage;

(b) "1992 Fund Convention" means the 1992 InternationalConvention on the Establishment of an International Fund for

Compensation for Oil Pollution Damage;

(c) "MARINA" means Maritime Industry Authority;

(d) "PCG means Philippine Coast Guard;

(e) "PPA" means Philippine Ports Authority;

(f) "Affiliate Corporation" means a corporation that is owned or

subject to common corporate control by another corporation and

operated as part of the latters business;

(g) "Contributing Oil" means crude Oil and fuel Oil as herein defined:

(1) "Crude Oil" means any liquid hydrocarbon mixture

occurring naturally in the earth whether or not treated torender it suitable for transportation. It also includes crude

Oils from which certain distillate fractions have been

removed (which sometimes referred to as "topped crudes")

or to which certain distillate fractions have been added

(sometimes referred to as "spiked" or "reconstituted"

crudes); and

(2) "Fuel Oil" means heavy distillates or residues from crude

Oil or blends of such materials intended for use as fuel for

the production of heat or power of a quality equivalent to the

"American Society for Testing and Materials Specification for

Number Four Fuel Oil (Designation D 396-69)" or heavier;

(h) "Incident" means any occurrence or series of occurrences having

the same origin which causes Pollution Damage or creates a grave and

imminent threat of causing such damage: ProvidedThat a series of

occurrences shall be treated as having occurred on the date of the first

such occurrence;

(i) "Oil" means any persistent hydrocarbon mineral Oil such as crude

Oil, fuel Oil, heavy diesel Oil and lubricating Oil, whether carried on

board a Ship as cargo or in bunkers of such a Ship;

(j) "Owner" means the person registered as the Owner of the Ship or,

in the absence of registration, the person or persons owning the Ship.

However, in case of a Ship owned by a State and operated by a

company which in that State is registered as the Ships operator,"Owner" shall mean such company;

(k) "Person" means any individual or partnership or any public or

private body, whether corporate or not, including a State orGovernment or its constituent subdivisions;

(l) "Pollution Damage" means:

(1) Loss or damage caused outside the Ship by

contamination resulting from the escape or discharge of Oil

from the Ship, wherever such escape or discharge may

occur: Provided, That compensation for impairment of the

environment other than loss of profit from such impairment

shall be limited to costs of reasonable measures of

reinstatement actually undertaken or to be undertaken; and

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(d) Any person performing salvage operations with the consent of the

Owner or on the instructions of a competent public authority;

(e) Any person taking Preventive Measures; and

(f) All servants or agents of persons mentioned in paragraphs (c), (d)

and (e) hereof, unless the damage resulted from their personal act or

omission, committed with the intent to cause such damage, or

committed recklessly and with knowledge that such damage would

probably result: Provided, That nothing in this Act shall prejudice anyright of recourse of the Owner against third parties.

SEC. 9.Joint and Several Liability. - When an Incident involving two or more

Ships occurs and Pollution Damage results therefrom, the Owners of all the

Ships concerned, unless exonerated under Section 7 hereof, shall be jointly and

severally liable for all such damage which is not reasonably separable, without

prejudice, however, to the right of recourse of any of such Owners to proceed

against each other or third parties.

CHAPTER III

SYSTEM OF LIMITATION OF LIABILITY

SEC. 10. Limitation of Liability. - The Owner shall be entitled to limit his

liability under this Act with respect to a particular Incident to a total amount

calculated as follows:

(a) Three million (3,000,000) units of account for a Ship not exceeding

five thousand (5,000) units of tonnage;

(b) For a Ship with a tonnage in excess thereof, for each unit of

tonnage, four hundred twenty (420) units of account for each unit in

addition to the amount mentioned in paragraph (a): Provided,

however, That this aggregate amount shall not, in any event, exceeds59.7 million units of account:

Provided, further, That the limit of liability of the Owner as aforementioned

shall be subject to adjustment according to subsequent amendments to the

1992 Civil Liability Convention.

The limited liability, under this Section may not be availed of by the Owner if it

has been established that such Pollution Damage resulted from his personal act

or omission, committed with intent to cause such damage, or committed

recklessly and with knowledge that such damage would probably result.

The "unit of account" referred to in this Section is the Special Drawing Right(SDR) as defined by the International Monetary Fund as set forth in the 1992

Civil Liability Convention. The said amount shall be converted into national

currency on the basis of the value of the currency by reference to the SDR on

the date that the fund is constituted under Section 11 of this Act.

The SDR is an international reserve asset, created by the IMF in 1969 to

supplement the existing official reserves of member countries. SDRs are

allocated to member countries in proportion to their IMF quotas. The SDR also

serves as the unit of account of the IMF and some other international

organizations. Its value is based on a basket of key international currencies.

SEC. 11. Constitution of a fund. - For the purpose of availing himself of the

benefit of limitationprovidedfor under Section 10 of this Act following the

occurrence of a particular Incident, the Owner shall be required to constitute a

fund for the total sum representing the limit of his liability with the Maritime

Industry Authority (MARINA) to cover Incidents causing Pollution

Damage: ProvidedThat any claim for compensation from Pollution Damage

shall be brought directly to the Regional Trial Courts (RTC).

The fund can be constituted by depositing the sum or by producing a bank

guarantee or other financial guarantee acceptable under existing laws and

considered to be adequate by the Department of Transportation and

Communications (DOTC).

CHAPTER IV

SYSTEM OF COMPULSORY INSURANCE AND CERTIFICATION

SEC. 12. Maintenance of Compulsory Insurance or Other Financial

Security. - AU Owners shall be required annually by the MARINA to maintain

insurance or other financial security for Pollution Damage in the sums fixed by

applying the limits of liability under Section 10 of this Act.

SEC. 13. Issuance of a Certificate. - A certificate attesting that an insurance or

any other financial security is in force in accordance with the provisions of this

Act shall be issued to each Ship carrying more than two thousand (2,000) tons

of Oil in bulk as cargo by the MARINA. With respect to a Ship not registered in a

convention-member State, such certificate may be issued or certified by theMARINA. This certificate shall be in the form established by the 1992 Civil

Liability Convention and shall contain the following particulars:

(a) Name of Ship and port of registration;

(b) Name and principal place of business of the Owner;

(c) Type of security;

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(d) Name and principal place of business of the insurer or other

person giving security and, where appropriate, place of business

where the insurance or security is established; and

(e) Validity period of the certificate which shall not be longer than the

period of validity of the insurance or other financial security.

SEC. 14. Enforcement. - Ship carrying more than two thousand (2,000) tons of

Oil in bulk as cargo shall not be allowed entry into Philippine territory or its

exclusive economic zone without a valid certificate of insurance or financialsecurity for Pollution Damage required by this Act.

For this purpose, the PPA or any other port authorities shall deny port services

to said Ship without such certificate.

If any such Ship is found within the said territory or zone without such

certificate, said Ship shall be prevented from loading or unloading its cargo

until it is able to produce the appropriate insurance or financial security duly

certified by the State of its registry if such country is a convention- member

State, otherwise, issued or certified by the MARINA or any convention-member

State.

The Owner and master of the Ship referred to in the immediately preceding

paragraph shall be jointly and severally liable to the fines set forth in this Act.

Such Ship shall be prevented from leaving unless the appropriate fines shall

have been paid to the full satisfaction of the MARINA.

The PCG shall conduct inspections of certificates of Ships entering the territory

of the Philippines, or, in the case of Ships registered in the Philippines voyaging

within the said territory: ProvidedThat such inspections shall not cause undue

delay to the Ships.

CHAPTER V

CONTRIBUTION TO THE INTERNATIONAL OIL POLLUTION

COMPENSATION FUND

SEC. 15. Contributions to the International Oil Pollution Compensation

(IOPC) Fund.- Any person who has received more than one hundred fifty

thousand (150,000) tons of contributing Oil in a calendar year in all ports or

terminal installations in the Philippines through carriage by sea, shall pay

contributions to the International Oil Pollution Compensation (IOPC) Fund in

accordance with the provisions of the 1992 Fund Convention.

A person shall be deemed to have received contributing Oil, for contribution

purposes, if he received the same:

(a) From another country; or

(b) From another port or terminal installation within the Philippines,

notwithstanding that it had already been previously received by him.

Where the quantity of contributing Oil received by any person in the

Philippines in a calendar year, when aggregated with the quantity of

contributing Oil received in the Philippines in that year by its subsidiary or

affiliate corporation, exceeds one hundred fifty thousand (150,000) tons, said

person, including its subsidiaries, shall pay contributions in respect of theactual quantity received by each, notwithstanding that the actual quantity

received by each did not exceed one hundred f a y thousand (150,000) tons.

SEC. 16. Reporting of Contributing Oil. - Any person who, in a calendar year,

has received in the territory of the Philippines contributing Oil, as defined in

this Act, shall, not later than February 1 of the following year, report to the

Department of Energy (DOE) the quantity of such Oil received. The DOE,

through the Department of Foreign Affairs, shall communicate the data at a

time and in the manner prescribed by the 1992 Fund Convention.

CHAPTER VI

ACTION FOR COMPENSATION

SEC. 17.Action for Compensation. - An action for compensation on account of

Pollution Damage resulting from the Incident which occurred in the territory

may be brought before the RTC against the following persons:

(a) Owner of the polluting Ship; or

(b) Insurer or other person providing financial security of the said

Owners liability for pollution.

For this purpose, foreign corporation, partnership, association or individual,whether or not licensed to transact business in the Philippines by any

appropriate government agencies, providing such insurance or financial

security for Pollution Damage shall be considered transacting or doing business

in the Philippines and shall be subject to the jurisdiction of the regular judicial

courts of the country.

Such action shall be filed within three years of the date on which the damage

occurred, but not later than six years of the date of the Incident.

The PCG shall investigate, motu proprio or through compensation or violation of

this Act, and shall forthwith file appropriate action with the RTC.

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It shall likewise provide the complainant necessary technical evidence or any

assistance, whether or not testimonial or documentary, insofar as the claim for

compensation or violation of this Act is concerned.

Filing of the action under this section shall only require payment of filing fees

equivalent to tenpercentum (10%) of the regular rates established therefore by

the Supreme Court of the Philippines. However, indigent plaintiff shall be

exempt from payment of docket and other lawful fees, and of transcripts of

stenographic notes which the court may order to be furnished him. The amount

of the docket and other lawful fees which the indigent was exempted frompaying shall be a lien on any judgment rendered in the case favorable to the

indigent, unless the court otherwise provides.

SEC. 18.Adjudication or Settlement of Claims. - The RTC shall decide claims

for compensation or certify the compromise agreement by the parties within a

reasonable period.

Where compensation was not obtained or satisfied under the 1992 Civil

Liability Convention, the claimant may seek compensation under the 1992

Fund Convention. The RTC shall furnish the IOPC Fund with its certified

decision, together with pertinent documents, on a claim for Pollution Damages.

Where the fund under the 1992 Civil Liability C onvention is insufficient to

satisfy the claims of those who are entitled to compensation, the amount of

compensation of each claimant shall be distributedpro rata.

SEC. 19. Intervention by the IOPC Fund- The IOPC Fund may intervene as a

party to any legal proceedings instituted against the Owner of a Ship or his

guarantor under Article IX of the 1992 Civil Liability Convention.

CHAPTER VII

PENALTY PROVISIONS

SEC. 20. Violation of the Act. - The following acts shall be considered violations

of the Act and the persons responsible shall suffer the corresponding fines:

(a) Any person who fails to institute or maintain insurance or other

financial security required under Section 12 of this Act;

(1) Ships of 500 gross tons (GRT) and below - not less than

One hundred thousand pesos (P100,000.00) but not more

than Two hundred-fifty thousand pesos (P250,000.00);

(2) Ships of above 500 to 1,000 GRT - not less than Two

hundred fifty thousand pesos (P250,000.00) but not morethan Five hundred thousand pesos (P500,000.00);

(3) Ships of above 1,000 to 5,000 GRT - not less than Five

hundred thousand pesos (P500,000.00) but not more than

One million pesos (P1,000,000.00);

(4) Ships of above 5,000 to 10,000 GRT - not less than One

million pesos (P1,000,000.00) but not more than Five

million pesos (P5,000,000.00);

(5) Ships of above 10,000 to 20,000 GRT - not less than Five

million pesos (P5,000,000.00) but not more than Ten millionpesos (P10,0000,000.00); and

(6) Ships of above 20,000 GRT - not less than Ten million

pesos (P10,000,000.00) but not more than Fifteen million

pesos (P15,000,000.00).

(b) The Owner and the master of a Ship who operate a Ship without

maintaining on board a certificate of insurance required under Section

13 of this Act:

(1) First violation - Five hundred thousand pesos

(P500,000.00);

(2) Second violation - One million pesos (P1,000,000.00);

and

(3) Third violation - One million five hundred thousand

pesos (P1,500,000.00).

(c) Any person required under Section 15 of this Act to contribute to

the IOPC Fund but nevertheless fails to comply therewith after due

notice by the MARINA

(1) First violation - Three million pesos (P3,000,000.00);

(2) Second violation - Four million pesos (P4,000,000.00);

and

(3) Third violation - Five million pesos (P5,000,000.00).

(d) Failure to Submit Report of Contributing Oil. - Any person

required under Section 16 of this Act to submit report of contributing

Oil and notwithstanding l0.day notice thereto, fails to comply

therewith:

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(1) First violation - Five hundred thousand pesos

(P500,000.00);

(2) Second violation - One million pesos (P 1,000,000.00);and

(3) Third violation - One million five hundred thousand

pesos (P1,500,000.00).

(e) Any person who shall refuse, obstruct, or hamper the entry of the

duly authorized representatives of the Department or any person

authorized under this Act aboard any Ship or establishment pursuant

to this Act shall be liable to pay a fine not exceeding One hundred

thousand pesos (P100,000.00); and

(f) Any Ship apprehended for violation of this Act may be subjected to

detention.

The fines prescribed in this Section and other sections of this Chapter shall be

increased by at least ten percent (10%) every three years to compensate for

inflation and to maintain the deterrent function of such fines.

SEC. 21. Institutional Mechanism. - The DOTC shall be the lead implementing

agency unless otherwise provided in this Act.

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PRESIDENTIAL DECREE No. 1067 December 31, 1976

A DECREE INSTITUTING A WATER CODE, THEREBY REVISING AND

CONSOLIDATING THE LAWS GOVERNING THE OWNERSHIP,APPROPRIATION, UTILIZATION, EXPLOITATION, DEVELOPMENT,

CONSERVATION AND PROTECTION OF WATER RESOURCES

WHEREAS, Article XIV, 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 piece-meal 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 multipurpose 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;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, byvirtue 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.

Article 2. The objectives of this Code are:

(a) 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;

(b) To define the extent of the rights and obligations of water usersand owners including the protection and regulation of such rights;

(c) 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

(d) To identify the administrative agencies which will enforce this

Code.

Article 3. The underlying principles of this code are:

(a) All waters belong to the State.

(b) All waters that belong to the State can not be the subject to

acquisitive prescription.

(c) The State may allow the use or development of waters by

administrative concession.

(d) The utilization, exploitation, development, conservation andprotection 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.

(e) Preference in the use and development of waters shall consider

current usages and be responsive to the changing needs of thecountry.

Article 4. Waters, as used in this Code, refers to water under the grounds,

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

Article 7. Subject to the provisions of this Code, any person who captures orcollects water by means of cisterns, tanks, or pools shall have exclusive control

over such water and the right to dispose of the same.

CHAPTER III

APPROPRIATION OF WATERS

Article 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.

Article 10. Water may be appropriated for the following purposes:(a) Domestic

(b) Municipal

(c) Irrigation

(d) Power generation

(e) Fisheries

(f) Livestock raising

(g) Industrial

(h) Recreational, and

(i) 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.

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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 agriculturalcrops.

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 wat