S£l'lntr 
(~tft;f'; t.1f HF :~,;t"l. rt:1fU 
SIXTEENTH CONGRESS m'THE REPUBLIC) 
OFTHEPHfl,IPPINES 
) 
First Regular Session 
) 
'13 
JUL 24 P 4 :27 
SENATE 
Senate Bill No. 1093 
By Senatol' Teofisto "TG" L. Guingona III 
EXPLANATORY NOTE 
The Forest Resources Bill ultimately aims to ensure the efficient, sustainable and reasonable 
utilization of the country's forest resources. The protection, conservation, utilization, development 
and sustainable management of forest resources are in line with the Constitutional mandate that "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 right to a balanced and healthful ecology carries with 
it the correlative duty to refrain from impairing the environment1 This Constitutional policy 
declaration is further enhanced by Sectionl, Book Iv, Title XIV of Executive Order No. 292, or the 
Administrative Code of the Philippines which states: 
Section 1. Declaration of Policy. The State shall ensure, for the benefit 
of the Filipino people, the full exploration and development as well as 
the judicious 'disposition, utilization, management, renewal and 
conservation of the country's forest, mineral, land, waters, fisheries, 
wildlife, off-shore areas and other natural resources, consistent with the 
necessity of maintaining a sound ecological balance and protecting and 
enhancing the quality of the environment and the objective of making the 
exploration, development and utilization of such uatural resources 
equitably accessible to the different segments of the present as well as 
future geueratious? 
Biodiversity in the Philippines is one of the rh:;hest in the world; we are part of the 17 "mega-
diverse" countries which collectively claim two thirds of all global species. But two-thirds of our 
forests have vanished from the 1930s to 1988, and with the loss of the forests came the loss of many 
species, some probably forever3 
We have to conserve our forests because healthy forests mean a steady supply of food, 
medicine, and shelter for wildlife. They also mean income from timber, crops, fruit trees, firewood 
and other non-timber products for people. Forests are also indispensable in this era of climate 
change, because they are effective in trapping carbon dioxide, regulating climate, protection from 
heavy rains and storms, and minimizing flash floods and landslides. They are also our main source 
1 Oposa vs. Factol'an (G.R. No. 10]083 July 30, 1993) 
1 Section 1, Book IV, Title XIV of Executive Order No. 292, or the Administrative Code of the Philippines. 
3 "The Forest Resources Bill," Haribon Policy Paper No 5, CY 2010. 


of clean air and water, Lastly, forests have many other intangible values: historical, educational, 
social and cultural/aesthetic' 
The main features of this hill include the following: (1) the functional definition of "forest" is 
used; (h) all remaining natural forests are protected; (c) forest restoration is prioritized; (d) the 
watershed continuum is recognized as the basic forestland management unit; (e) Indigenous people 
and other forest communities can harvest forest products from protection forestlands for suhsistence; 
and (f) Local government communities have important roles in forest management. 
Ours is a finite earth. Ultimately, we have to prioritize a competent, steadfast and 
comprehensive'management of our forest resources for our present and future generations, 
In view of the foregoing, the passage ofthis bill is earnestly sought. 
..,...?J;"" 
Senator 
4 Ibid 


SC1111tr 
11,j\f,,:, "f 1~' ,:il"l'l,bf~ 
SIXTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
) 
'13 Jill 24 P 4 :27 
First Regular Session 
) 
SENATE 
Senate Bill No, 1093 
By Senatol' Teofisto "TG" L. Guingona III 
AN ACT TO PROTECT, CONSERVE, UTILIZE, DEVELOP AND SUSTAINABLY 
MANAGE FOREST RESOURCES AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines in Congress 
assembled: 
1 
SECTION 1. Short Title. This Act shall be known as the "Forest Resources Act of2013", 
2 
3 
SECTION 2. Scope and Coverage. The provisions of this Act shall apply to all lands of the public 
4' 
domain classified as needed for forestry purposes, all forestlands, all forest resources found in 
5 
untitled agricultural lands and in private lands: Provided. That all forests and forest resources found 
6 
in protected areas established under the National Integrated Protected Areas System (NIPAS) shall 
7 
be sustainably managed and developed following the provisions of Republic Act No, 7586 or the 
8 
NIPAS Act of 1992; Provided forther, That the rights of indigenous cultural communities or 
9 
indigenous peoples to their ancestral domains shall be respected, 
10 
11 
All forestlands and forest resources therein under the administrative jurisdiction of the Autonomous 
12 
Region of Muslim Mindanao (ARMM) shall be managed, developed and conserved in accordance 
13 
with the Regional Sustainable' Forest :Management Act of2003 of the ARMM. 
14 
15 
SECTION 3. Ba.sic Policies. 
16 
a. Pursuant to the provisions of the Constitution to promote the general welfare and social 
17 
justice in all phases of national development, to protect and advance the right of the 
18 
Filipino people to a balanced and healthful ecology in accord with the rhythm and 
19 
harmony of nature, and to conserve and develop the patrimony of the nation, the State 
20 
hereby adopts the following policies relative to the management, development and 
21 
conservation of forests and the resources therein: 
22 
1. Within five (5) years from the passage of this Act, the specific limits of 
23 
forestlands shall be fixed and demarcated and thereafter, shall not be altered 
24' 
except through an Act of Congress; The Congress shal~ as soon as possible, also 
25 
determine, by law, the specific limits of forestlands and national parks, marking 
26 
clearly their boundaries on the grOlmd, Thereafter, such forestlands and national 
27 
parks shaH be conserved and may not be increased nor diminished, except by law. 
I 


I 
The Congress shall provIde for such period as it may determine, measures to 
2 
prohibit logging in endangered forests and watershed areas; 
3 
ll. The use and conservation of forest resources shall bear a social, ecological 
4 
biological and economic functions, responsibility, and accountability to promote 
5 
the common good of the present and future generations; 
6 
lll. The guiding principle in the sustainable and integrated management, 
7 
development, and conservation of forest resources shall be focusing on these 
. 8 
resources and on the people who manage, conserve, and benefit from them; 
9 
iv. Biodiversity protection and conservation of wildlife resources and their habitats, 
10 
consistent with Republic Act No. 9147 shall be a paramount consideration in 
11 
forest management. 
12 
v. Genetically Engineered (GE) and transgenic trees pose the gravest of dangers to 
13. 
forest ecosystems and violate the Convention on Biological Diversity. 
14 
15 
b. The state shall protect the rights of indigenous cultural communities/indigenous peoples 
16 
to their ancestral domains to ensure their economic and social and cultural well-being and 
17 
shall recognize the applicability of customary laws in governing property rights or 
18 
relations in determining the ownership and extent of ancestral domains; 
19 
c. The State shall promote social justice in all phases of national development; 
20 
d. The State shall encourage non-governmental, community-based, or sectoral organizations 
21 
that promote the welfare of the nation; 
22 
e. The State shall ensure the autonomy of local governments; and, 
23 
f. 
The State shall pursue an independent foreign policy. In its relations with other states, the 
24 
paramount consideration shall be national sovereignty, territorial integrity, national 
25 
interest, and the right to self-determination. 
26 
27 
In carrying out the above policies, the following strategies shall be pursued: 
28 
1. The watershed continuum as the basic forestland management unit-
29 
Forestlands shall be managed, developed and conserved utilizing 
30 
watershed continuum as the basic management unit and under the 
31 
principles of sustainable and multiple-use management, including 
32 
conservation of biological diversity; 
33 
2. Multi-sectoral participation- The participation of all direct and indirect, 
34 
especially local, stakeholders in sustainable forestland conservation, 
35 
management, and development shall be mandatory. Equitable sharing of 
36 
the benefits derived from forestlands and the resources therein shall be 
37 
ensured at all times; 
38 
3. Community-based forest management (CBFM) as a principal strategy-
39 
Vesting access rights and responsibilities to forest resident or forest-
40 
dependent families, local communities, and indigenous peoples to 
41 
undertake the management and development of appropriate forestland 
42 
resources on a sustainable basis shall have precedence over other 
43 
strategies; 
44 
4. Protection of forests and natural resources as a priority concern- The 
45 
protection of forests and the natural resources therein shall be given 
46 
priority concern in order to ensure environmental stability, conserve 
47 
biological diversity, improve ecosystem functions and services, and 
2 


1 
provide long-term ecological and economic benefits; 
2 
5. Reforestation as a priority measure- Reforestation shall be undertaken as a 
3 
priority measure to restore the ecosystem functions and services of forests 
4 
as well as improve the economic and ecological benefits of local 
5 
communities concerned; 
6 
6. Security of tenure of stakeholders-
Pursuant to the principles of 
7 
sustainable and 
multi-use forest management and equitable access to 
8 
forest resources, a secured 
tenure 
shall 
be 
guaranteed 
to 
9 
stakeholders concerned; and 
10 
7. Professionalism in forest service - A dynamic, professional and people-
11 
oriented forest service strongly adhering to conservation princip les shall 
12 
be established and fully supported by the State. 
13 
14 
SECTION 4. Definition of Terms. As used in this Act, the following terms shall be defined as 
15 
follows: 
16 
17 
a. "Agroforestry" refers to a strategy for the sustainable management of land which 
18 
increases their overall productivity by properly combining agricultural crops and/or 
19 
livestock with forest crops simultaneously or sequentially through the application of 
20 
management practices which are compatible with the local climate, topography, slope, 
21 
soil, as well as the cultural patterns or customary laws oftbe local communities; 
22 
b. "Agricultural lands" refers to Alienable and Disposable (A&D) lands of the public 
23 
domain which have been delimited, classified and declared as such, pursuant to the 
24 
provisions of Commonwealth Act No. 141, as amended, otherwise known as tbe Public 
25 
Land Act; 
26 
c. "Ancestral Domains" refers to all areas generally beJollging to indigenous cultural 
27 
communitieslindigenous peoples (ICCsllPs) comprising lands, inland waters, coastal 
28 
areas, and natural resources therein, held under a claim of ownership, occupied or 
29 
possessed by ICCsllPs, by themselves or through their ancestors, communally or 
30 
individually since time immemorial, continuously to the present except when interrupted 
31 
by war, force majeure or displacement by force, deceit, stealth or as a consequence of 
32 
government projects or any other voluntary dealings entered into by government and 
33 
private individuals/corporations, and which are necessary to ensure their economic, social 
34 
and cultural welfare. It shall include ancestral lands, forests, pasture, residential, 
35 
agricultural, and other lands individually owned whether alienable and disposable or 
36 
otherwise, hunting grounds, burial grounds, worship areas, bodies of water, mineral and 
37 
other natural resources, and lands which may no longer be exclusively occupied by 
38 
ICCsllPs but from which they traditionally had access to for their subsistence and 
39 
traditional activities, particularly the home ranges of ICCslIPs who are still nomadic 
40 
and/or shifting cultivators; 
41 
d. "Ancestral Lands" refers to land occupied, possessed and utilized by individuals, families 
42 
and clans who are members of the ICCsflPs since time irnmemorja~ by themselves or 
43 . 
through their predecessors-in-interest, under claims of individual or traditional group 
44 
ownership, continuously, to the present except when interrupted by war, force majeure or 
45 
displacement by force, deceit, stealth, or as a consequence of government projects and 
46 
other voluntary dealings entered into by government and private individuals/corporations, 
47 
including, but not limited to, residential lots, rice terraces or paddies, private forests, 
3 


I 
sWldden farms and tree lots; 
2 
e. "Assisted Natural Regeneration" or" ANR" covers any set of activities that enhance the 
3 
natural processes of forest regeneration. These include promoting the natural 
4 
establishment and subsequent growth of indigenous forest trees, whilst preventing any 
5 
factors that might harm them, e.g. competition from weeds, browsing by cattle, fire etc. 
6 
ANR relies on existing natural processes; it requires less labor input than tree planting 
7 
and is therefore a very cheap way to restore forest ecosystems. ANR is appropriate 
8 
wherever the natural processes of forest regeneration are, to some extent, already 
9 
happening. At least few seed trees/ mature seed-bearing rainforest trees should exist 
10 
nearby to provide seed rain in the area. Seed-dispersing arumals should remain common 
11 
in the vicinity. Sites which already support a high density of tree saplings and sprouting 
12 . 
tree stumps are particularly suited to ANR. 
13 
f. 
"Biological diversity or biodiverstty" refers to the variability and variety among living 
14 
organisms including, inter alia, terrestria~ marine and other aquatic ecosystems and the 
15 
ecological complexes of which they are part. This includes diversity within the species 
16 
(genetic diversity), between species (species diversity), and among ecosystems 
17 
(ecosystem diversity); 
18 
g. "Climate change" refers to a change in climate that can be identified by changes in the 
19 
mean and/or variability of its properties and that persists for an extended period typically 
20 
decades or longer, whether due to natural variability or as a result of human activity; 
21 
h. "Commercial logging" refers to the cutting or felling of trees for the purpose of disposing 
22 
the cut or 'felled logs fot monetary profits beyond 'survival and subsistence; 
23 
i. 
"Communal forest" refers to a tract of forestland set aside and established for and under 
24 
the protection, administration, and management of a city, municipality, or barangay as a 
25 
source of wood material for fue~ shelter, and manufactured products; as source of water 
26 
for the community; and as an !\rea for ecotourism and/or environmental protection or 
27 
socio-economic projects of local government units consistent with the policies and 
28 
objectives of this Act and principles of sustainable development; 
29 
J. 
"Community-Based Forest Management Strategy" refers to the strategy to improve the 
30 
well-being of forest dependent communities, and at the same time ensure sustainable 
31 
management, rehabilitation and protection of forestlands and the resources therein, 
32 . 
through the active participation of various stakeholders; 
33 
k. "Conservation" refers to the planned protection and management of forests, wildlife and 
34 
other forest resources so as to prevent waste and ensure future use; 
35 
I. 
"Conveyance" refers to any vehicle, vesse~ device or animal used in gathering and/or 
36 
transporting forest products; 
37m. "Cq-rnanagement agreement" refers to an agreement entered into by the DENR and a 
38 
local government unit/s to protect, restore, develop or manage forestlands, including 
39 
mangroves and its forest resources, within the geographic jurisdiction of such local 
40 
government unitls consistent with the provisions of this Act; 
41 
n. "Co-production agreement" refers to an agreement entered into by and between a 
42 
qualified person and the government, in accord with the 1987 Constitution, for the former 
43 
to develop, utilize, and manage, consistent with the principles of sustainable 
44 
development, land or a portion of a forestland wherein both parties agree to provide 
45 
inputs and share the products or their equivalent cash value; 
46 
o. "Critical habitat" refers to a place or environment where species or subspecies naturally 
47 
occur or has naturally established its population that are crucial to the survival of a 
4 


1 . 
species and essential for its conservation; 
2 
p. "Critical watershed" refers to areas designated by the Secretary pursuant to the Wildlife 
3 
Resources Conservation and Protection Act and for their ability to supply water for 
4 
domestic, agriculture and/or industrial use; 
5 
q. "Degraded forests" refers to forests with varying degrees of disturbance Or loss of 
6 
structure, function, species composition and productivity of less than 60% forest cover; 
7 
r. "Delimitation" refers to the establishment of permanent boundaries between forestlands, 
8 
national parks/protected areas and agricultural lands as a result of demarcation; 
9 
s. "Delineation" refers to the establishment of boundaries between forestlands, national 
10 
parks/protected areas and agricultural lands as a result of a conduct of site investigation, 
11 
reconnaissance and field verification in accordance with the criteria set by the 
12 
Department; 
13 
t. 
"Demarcation" refers to the establishment of boundaries using visible markers, 
14 
monuments or known natural features/landmarks, among others, as result of the actual 
15 
ground delineation; 
16 
u. "Denuded forestlands" refers to forestlands that are devoid of forest tree cover; 
17 
v. "Department" refers to the Department of Environment and Natural Resources (DENR); 
18 
w. "Environmental Impact Assessment" or "ElA" refers to the process of predicting the 
19 
likely environmental consequences of implementing a project or undertaking and 
20 
designing the appropriate preventive, mitigating, or enhancement measures; 
21 . 
x. "Environmental Compliance Certificate" or "ECC" refers to the document issued by the 
22 
Department certifying that a proposed project or undertaking will not cause a significant 
23 
negative impact on the environment; that the proponent has complied with all the 
24 
requirements of the Environmental Impact Assessment System; and that the proponent is 
25 
committed to implement its approved Environment Management Plan found in the 
26 
Environmental Impact Statement (ElS) or mitigation measures identified in the Initial 
27 
Environmental Examination (fEE); 
28 
y. "Environmental Impact Statement System" or "EIS System" refers to the organization, 
29 
administration, and procedures that have been institutionalized pursuant to Presidential 
30 
Decree No. 1586 for purposes of assessing the significance of the effects of any project or 
31 
undertaking on the quality of the physical, biological, and social-economic environment 
32 
and designing the appropriate mitigating and enhancement measures; 
33 
z. "Environmentally Critical Project" refers to project or program that has high potential for 
34 
significant negative environmental impact; 
35 
aa. "Forest" refers to an ecosystem or an assemhlage of ecosystems dominated by trees and 
36 
other woody vegetation; a community of plants and animals interacting with one another 
37 
and its physical environment. It shall consist of trees with overlapping crown of 60-
38 
100% forest cover; 
39 
bb. "Forest guard" refers to any public officer who by the nature of his appointment or the 
40 
functions of the position to which he is appointed is delegated by law and regulations or 
41 . 
commissioned by competent authorities to execute, implement or enforce the provisions 
42 
of this Act and other related laws and regulations; 
43 
cc. "Forest products" refers to goods and services derived from forest such as, but not limited 
44 
to, timber, lumber, veneer, plywood, fiberboard, pulpwood, bark, tree top, resin, gums, 
45 
wood oil, honey, bees wax, nipa, rattan, or other forest growth such as grass, shrub and 
46 
flowering plants, the associated water, fish, game, as well as its scenic, historica~ 
47 
educational, social and ecological value; 
5 


1 
dd. "Forest resources" refers to all resources, whether biomass such as plants and animals 
2 
including its by-products and derivatives, which can be a raw material, or non-biomass 
3 
such as soil, water, scenery, as well as the intangible services and values present in 
4 
forestlands or in other lands devoted for forest purposes; 
5 
ee. "ForestfForest-Dependent Community" refers to a group of people residing inside or 
6 
immediately adjacent to a particular forestland who are largely or partly dependent on the 
7 
forest resources found therein for their livelihood; 
8 
ff. "Forestlands" refers to lands of the public domain classified as needed for forest 
9 
purposes. They shall include all forest reserves, forest reservations and all remaining 
10 . 
unclassified lands of the public domain; 
11 
gg. "Genetic engineering" refers to genetic modification, or a special form of bioteclmology 
12 
in which a section of DNA from one organism is introduced into another, in which it does 
13 
not naturally occur, in order to produce a genetically modified organism (GMO) with 
14 
favorable properties based on the new combination of genes. The new genes in the 
15 
transgenic organism may be from an entirely different type of organism, or from a closely 
16 
related lineage. 
17 
hh. "Genetically modified organisms" or "GMOs" refers to organisms in which the genetic 
18 
material has been altered in a way that does not occur naturally. GMOs can be bacteria, 
19 
fungi, viruses, plants or animals, with the exception of human beings; 
20 
11. "Grazing land" refers to a portion ofthe public domain which has been set aside, in view 
21 
of its topography and vegetation, for the raising of livestock; 
22 
J). "Greenhouse gas" refers to any gas that absorbs infrared radiation in the atmosphere. 
23 
Greenhouse gases include water vapor, carbon dioxide (C02), Methane (CH4), nitrous 
24 
oxide (N20), halogenated fluorocarbons (HCFCs), ozone (03), perfluorinated carbons 
25 
(PFCs) and hydrofluorocarbons (HFCs); 
26 
kk. "Indigenous Cultural CommunitieslIndigenous Peoples" or "ICCsIIPs" refers to a group 
27 
of people or homogenous societies identified by self-ascription and ascription by others, 
28 
who' have continuously lived as organized coriununity on communally bounded and 
29 
defined territory, and who have, under claims of ownership since time immemorial, 
30 . 
occupied, possessed and utilized such territories, sharing common bonds of language, 
31 
customs, traditions and other distinctive cultural traits, or who have, through resistance to 
32 
political, social and cultural inroads of colonization, non-indigenous religions and 
33 
cultures, hecame historically differentiated from the majority of the Filipinos. ICCs/IPs 
34 
shall likewise include people who are regarded as indigenous on account of their descent 
35 
from the populations which inhabited the country, at the time of conquest or colonization, 
36 
or at the time of inroads of non-indigenous religions and cultures, or the establishment of 
37 
present state boundaries, who retain some or all of their own social, economic, cultural 
38 
and po litical institutions, but who may have been displaced from their traditional domains 
39 
or who may have resettled outside their ancestral domains; 
40 
II. "Industrial Forest Management Agreement" or "IFMA" refers to a production-sharing 
41 
contract entered into by and between the Department and a qualified person, whether 
42 
natural or juridical, wherein the former grants to the latter the exclusive right and 
43 
responsibility to invest in, develop, manage, and protect a defmed area of the production 
44 
forestland, including the establishment, management and utilization of industrial timber 
45 
forest plantation, consistent with the principle of sustainable development, primarily to 
46 
supply the raw material requirements of wood-based processing and energy-related 
47 
industries and wherein both parties share in the beneftts therefrom; 
6 


1 
mm. 
"Industrial Tree Plantation" or TIP" refers to any tract of land planted mainly to 
2 
timber producing species, including rubber and/or non-timber species primarily to supply 
3 
the raw material requirements of forest-hased industries, energy-generating plants, and 
4 
related industries.; 
5 
nn. "Joint venture agreement" refers to an agreement where a joint-venture company is 
6 
organized by the State and another person for protection, restoration and utilization, 
7 
development and management of forestlands consistent with the prescribed activities 
8 
allowed nnder this Act, with both parties having equity shares. Aside from earnings in 
9 
equity, the State shall he entitled to a share in the gross output; 
10 
00. ~'Kaingin'~ refers to a .portion of tbe forest land, whether occupied or not, which is 
11 
subjected to shifting andlor permanent slash-and-burn cultivation having little or no 
12 
provision to prevent soil erosion; 
13 
pp. "Kaingin making" refers to a process employed to establish a kaingin; 
14 
qq. "Key Biodiversity Areas" refers to places of international importance for the conservation 
15 
of biodiversity; 
16 
rr. "Master Plan for Forestry Development" refers to the twenty-five (25) year strategic 
17 
program of the Forestry Sector envisioned to guide its long term development. This 
18 
program includes: (a) policy and institutional development; (h) restoration and 
19 . 
rehabilitation c) watershed and forestry development; (d) livelihood and poverty 
20 
reduction; and (e) timber/non-timber industry development; 
21 
ss. "National Park" refers to the land of public domain classified as such in the 1987 
22 
Philippine Constitution which includes all areas under the National Integrated Protected 
23 
Areas System (NIPAS) pursuant to RA 7586, primarily set aside and designated for the 
24 
conservation of native plants and animals, their associated habitats and cultural diversity; 
25 
tt. "Non-government organization" or "NGO" refers to a non-stock, non-profit, and 
26 
voluntary organization; 
27 
uu. "Non-timber based industries" refers to various industries that are dependent on raw 
28 
materials or products derived from forests such as, but not limited to, rattan, bamboo, 
29 
vines, latex, resins, saps, essences, fruits, flowers or wild flora and fauna; 
30 
vv. "Non-timber charges" refers to the levy imposed and collected by government on various 
31 
industries that are dependent on raw materials or products derived from forests such as, 
32 
but are not limited to, rattan, bamboo, vines, latex, resins, saps, essences, fruits, flowers 
33 
or wild flora and fauna, as well ecological and aesthetic services; 
34 
ww. "Non-timber forest products" refers to all products gathered from the forest that are not 
35 
timber, which include, but are not limited to, rattan, bamboo, vine, herb, exudates, gmn, 
36 
resin, beeswax, gutapercha, and almaciga resin; 
37 
xx. "Permit" refers to a sholt-term privilege or authority granted by the State to a person to 
38 
utilize any limited forest resource or undertake a limited activity within any forest land 
39 
without any right of occupation, possession, and ownership therein; 
40 
yy. "Person" refers to a natural or juridical person, including local forest communities and/or 
41 
indigenous peoples organized in accordance with law or custom; 
42 
zz. "Plantation forestry" refers to the planting of one or two species for the sole purpose of 
43 
harvesting; 
44 
aaa. 
"Primary forest" refers to forest which have never been subject to human disturbance 
45 
or has been so little affected by hunting, gathering and tree cutting that its natural 
46 
structme, function and dynamics have not undergone any changes that exceed the elastic 
47 
capacity of the ecosystem; 
7 


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bbb. "Processmg plant" Or "Processing mill" refers to any mechanical set-up, device, 
machine or combination of machines used for the conversion of logs and other forest raw 
materials into lumber, fiberboard, pulp, paper or other finished wood products; 
ccc. 
"Production forestlands" refers to the forestlands defined under Sec. 8(b) of this Act; 
ddd. "Production sharing agreement" refers to an agreement wherein the State grants a 
personls, who provides all the necessary financing, technology, management and 
personnel, the exclusive right to conduct forestry development activities within but not 
title over, the contract area and shares in the production whether in kind or in value as 
owner of forest product therein; 
eee. 
"Protected Areas" refers to identified portions of land and water set aside by reason of 
their unique physical and biological significance, managed to enhance biological 
diversity and protected against destructive human exploitation They shall constitute the 
areas established under the National Integrated Protected Areas System (NIPAS) pursuant 
to RA 7586 and shall fall under the National Park classification of public domain; 
fff. "Protection forestlands" refers to the forestlands defined under Sec. 8 (a) of this Act; 
ggg. "Reforestation" refers to all land use activities directed towards restoration, 
establishment and sustained management using native species of diversified vegetation 
on denuded, degraded andlor marginal lands, including but not limited to the planting and 
tending of timber, orchard and multi-use trees; 
hhh. "Reservation" refers to an area of the public domain reserved by law for a specific 
purpose; 
iii. "Restoration" refers to the bringing back of the forestland to its original state in terms of 
species composition, structure, function and productivity; 
jij. "Restoration zones" refers to the area where restoration activities are conducted and 
where the original vegetation shall be restored; 
kkk. "Road" refers to bulldozed land which is accessible by at least a two-wheel motorized 
vehicle; 
llI. "Rotation" refers to the number of years between the initial establishment of a plantation 
and the time when it is considered ready for harvesting; 
mmm. "Secondary forest" refers to a former forest that was logged over and is characterized 
by residuals; 
nnn. 
"Secretary" refers to the Secretary of the DENR; 
000. "Semi-finished .wood products" refers to wood products reqwnng final stages of 
manufacture andlor assembly such as, but not limited to, window components, table tops, 
veneer, tongue and groove planks, steps for stairs, and other similar products; 
ppp. "Silvicultural practices" refers to any action by man to further improve or enhance the 
stand growth as a whole or the single tree for future harvest including assisted natural 
regeneration and tree surgery, among others; 
qqq. "Subdivision" refers to a tract or parcel of land partitioned into individual lots, with or 
without improvements thereon, primarily for residential purposes; 
rrr. "Sustainable development" refers to development that meets the needs of the present 
without compromiSing the ability of the future generations to meet their own needs; 
sss. "Sustainable forest management" or "SFM" refers to the process of managing a forest to 
achieve one or more clearly specified objectives of management with regard to 
production of continuous flow of desired forest products and services without undue 
reduction of its inherent values and future productivity and without undesirable effects on 
the physical and social environment; 
8 


1 
ttl. "Tenure" refers to the guaranteed peaceful possession and use of specific forest land area 
2 
and specific resources found therein, covered by an agreement, contract, or grant which 
3 
cannot be altered or abrogated without due process; 
4 
uuu. "Timber-based industries" refers to industries that are dependent on wood as the 
5 
principal raw material including but not limited to sawmilling, pulp and paper making, 
6 
and plywood and veneer manufacturing or the upstream wood-based industries, as well as 
7 
the secondary and tertiary wood processing or downstream industry such as moldings and 
8 
furniture manufacturing; 
9 
vvv. "Timber charges" refers to the levy imposed and collected by the government on 
10 
timber products cut, harvested, or gathered from production forestlands and from 
11 
alienable and disposable (A&D) lands in accordance with Republic Act No. 7161; 
12 
www. "Timber License Agreement" or "TLA" refers to a privilege granted by the State to a 
13 
person to utilize forest resources within an area with the right of possession and 
14 
occupation thereof to the exclusion of others except the government, but with the 
15 
corresponding obligation to develop, protect, and rehabilitate the same in accordance 
16 
with the terms and conditions set forth in the said agreement; 
17 
xxx. ''Timber plantation" refers to a tree stand established by planting and/or seeding. The 
18 . 
stand is either of introduced species (all planted stands), or an intensively managed stand 
19 
of any indigenous species, which meets all the following criteria: one or two species at 
20 
plantation, even-aged class, and regular spacing for the primary purpose of harvesting 
21 
timber or any of its by-product; 
22 
yyy. "Transgenic" refers to a genetically modified organism (GMO) or genetically 
23 
engineered organism (GEO) whose genetic material has been altered using genetic 
24 
engineering techniques. It is the process of introducing an exogenous gene into a living 
25 
organism so that the organism will exhibit a new property and transmit that property to its 
26 
offspring; 
27 
zzz. 
"Watershed Continuum" refers to an area consisting of the watershed and its divide 
28 
including its connection from the headwaters to the reef; 
29 
aaaa. "Watershed Continuum Management" or "WCM" refers to a management system that 
30 
will provide the optimum socia~ cultura~ economic and environmental benefits to the 
31 
greatest number of people, particularly those living in, adjacent to, or downstream of, 
32 
individual watershed areas, while maintaining the biological and cultural heritage of the 
33 
country. It is the holistic multiple use and sustainahle management of all the resources 
34 
within a spatial unit known as the watershed. The Watershed Continuum Management is 
35 
based on the following guiding principles: (1) Ecological sustainability; (2) Social and 
36 
cultural sustainability; (3) Economic sustainabiJity; and (4) Institutional sustainability; 
37 
bbbb. "Watershed Reservation" refers to a forestland reservation established to protect or 
38 . 
improve the conditions of water yield thereof or reduce sedimentation; 
39 
cccc. "Wildlife" refers to wild forms and varieties of flora and fauna, in all developmental 
40 
stages; and 
41 
dddd. "Woodlots" refers to a track or plot of land planted with fast growing tree species 
42 
basically for fuelwood purposes. Woodlot is the major component in Rotational Woodlot 
43 
Agroforestry Systems which aim to satisfy house and regional fuelwood demand while 
44 
reducing harvesting pressure on local forests. Rotational Woodlot Agroforestry Systems 
45 
include the following components: (1) Establishment, which includes tree and crop 
46 
intercropping; (2) Fallow, which pertains to build up of wood and soil fertility; and (3) 
47 
Post-fallow, which pertains to wood harvesting and sequential cropping. 
9 


1 
2 
3 
CHAPTERU 
4 
CLASSIFICATION OF PERMANENT FORESTLANDS 
5 
6 
SECTION 5. Pemument Forestkmds. All forestlands currently classified as such. 
7' 
8 
SECTION 6. Instruments within Pernument Forestfalllis. Titles, settlements, permits, lease, 
9 
andlor agreements within critical habitats, critical watershed areas, protected areas, important 
10 
biodiversity areas (IDAs), and key biodiversity areas (KBAs), shall be reviewed, and its legality 
11 
be determined. All erroneous titles, settlements, permits, leases andlor agreements or non-
12 
compliance to and in violation of provisions of agreements shall duly be cancelled or revoked; 
13 
Provided, That the applicable provisions of the Indigenous Peoples Rights Act of 1997 (IPRA) 
14 
shall be respected. The LGU, upon endorsement from the Forest Management Board or motu 
15 
proprio, shall recommend to the Secretary revocation of these instruments. The Secretary, upon 
16 
recommendation or motu proprio revokes such instrument. 
17 
18 
SECTION 7. Additional Areas to be Included as Permanent Forestlands The following lands are 
19 
needed for environmental protection and forestry purposes and shall not therefore be classified as 
20 
agricultural lands or for other land use: 
21 
22 
a. Isolated patches of forest, regardless of size of area, with rocky terrain or which protect a 
23 
spring for communal use; 
24 
b. All mangroves and swamplands including twenty-meter wide strips thereof facing 
25 
oceans, lakes and other bodies of water not yet classified as alienable and disposable 
26 
lands; 
27 ' 
c. Ridge tops and plateaus regardless of size found within or surrounded wholly or partially 
28 
by forestlands where headwaters emanate; 
29 
d. Twenty-meter wide strips of land from the edge of the nOlmal high waterline of rivers 
30 
and streams with channels of at least five (5) meters wide which are not yet classified as 
31 
alienable and disposable; 
32 
e. 
Areas needed for other purposes of public interest such as research or experimental 
33 
purposes and others; and 
34 
f 
Areas considered environmentally critical because of their vulnerability to damage from 
35 
landslides, volcanic eruptions, and other natural causes. 
36 
37 
Owners who have acquired vested rights over lands enumerated above are required to 
38 
implement soil and water conservation measures, in coordination with the Department and the 
39 
appropriate local government unit. 
An Environmental Compliance Certificate (ECG) shall be 
40 
required in these environmentally critical areas in accordance with existing law: Provided, That the 
41 
Department, in coordination with the concerned local government unit, shall immediately take the 
42 
necessary steps to expropriate the property concerned, to impose the necessary fines, penalties and 
43 
costs of rehabilitation and implementation of the required soil and water conservation measures, and 
44 
to cancel andlor amend any title used thereon or impose fines or will be subject to cancellation or 
45 
revocation under any of the following conditions: 
46 
a. Failure of the owner, after due notice, to implement appropriate soil and water 
47 . 
conservation; 
10 


I 
b. Failure of the ownerls to comply with ECC requirements when required; 
2 
c. lbe issuance of titles over such areas was accomphshed through fraud, deceit, 
3 
misrepresentations or other anomalies; or 
4 
d. When public interest so requires. 
5 
6 
Provided fitrther, That the concerned LGUs may recommend to the DENR to file expropriation 
7 
proceedings given the conditions enumerated in this provision. 
8 
9 
SECTION 8. Sub-Classification of tlte Permanent Forestlands. The permanent forestlands shall 
10 
be sub-classified into the following categories according to primary use: 
11 
a. Protection forestlands shall consist of all natural and restored forests including areas 
12 
identified as key biodiversity areas, critical habitats, freshwater, swamps, and marshes, all 
13 
areas along the bank of rivers and streams, and the shores of the seas and lakes 
14 
throughout their entire length and within a zone of three (3) meters in urban areas, twenty 
15 
(20) meters in agricultural areas, and forty (40) meters in forest areas, along their margins 
16 . 
which are subject to the easement of public use in the interest of recreation, navigation, 
17 
floatage, fishing and salvage shall also be sub-classified as protection forestlands. All 
18 
extractive industries such as, but not limited to, logging and mining are banned in these 
19 
protection forestlands; Provided, That the provisions of the IPRA shall be respected; 
20 
b. Pl'Oduction forestlands shall be all forestlands not sub-classified as protection 
21 
forestlands defined in this Section, and shall be devoted to the production of timber 
22 
and/or non-forest products or the establishment of industrial tree plantations, tree farms, 
23 
communal forests, agroforestry, grazing, or as multiple-use forests including water-hased 
24 
energy areas such as but not limited to hydro and geothermal reservations: Provided, That 
25 
they shall be managed, developed, and utilized in accordance with a LGU-approved 
26 
management plan consistent with the prescribed Forestry Master Plan and based on 
27 
sustainable forest management principles: Provided, fUrther, Tbat the department may 
28 
change the sub-classification of specific areas of production forestlands into protection 
29 
areas and recommend to Congress their establishment as part of the integrated protected 
30 
area systems in accordance with the NIPAS Act, or as critical habitat under the Wildlife 
31 
Resources Conservation and Protection Act: Provided finally, That ancestral domains 
32 
located within protection and production forests shall be governed by customary laws; 
33 
c. RestOl'ation areas are areas to be designated in the management plan as such. 
34 
Designation of a restoration area is compulsory in all forest management plans. 
35 
36. SECTION 9. Demarcation and delimitation. Upon approval of this Act, the Congress shall 
37 
provide funds for the Department to demarcate on the ground the actual land classification lines: 
38 
Provided, That the Secretary, upon completion of the actual assessment of the demarcated land 
39 
classification lines, shall recommend to Congress the delimitation of the forestlands found to be 
40 
still suitable and capable for its purpose, Providedfimher, That the Department shall submit an 
41 
annual accomplishment report and that within five (5) years, has caused the complete 
42 
demarcation and delimitation of land classification lines. 
43 
44 
SECTION 10. Availability of records. Records pertaining to the specific limits of forestlands shall 
45 
be made available to the public upon request. Moreover, the Department shall furnish all 
46 
provincial, municipal and city government copies of the maps of permanent forestlands located 
47 
within their respective territorial jurisdictions. 
11 


I 
2 
CHAPTER III 
3 
ADMINISTRATION AND MANAGEMENT OF FORESTLANDS AND ITS RESOURCES 
4 
5. 
6 
SECTION 11. Jurisdiction and control offorestlands. The Department shall be the primary agency 
7 
responsible for the conservation, restoration and the sustainable utilization of forestlands and the 
8 
unclassified lands of the public domain It shall formulate a national forestry master plan and the 
9 
policies promulgated in this Act. In coordination with LGU s and other government agencies, it 
10 
shall ensure that forestlands and unclassified lands ofthe public domain are managed, conserved, 
II 
developed, utilized and protected consistent with the policies promulgated in this Act; PrOVided, 
12 
that the management plan for protected areas shall be prepared in accordance with the provisions 
13 
of the NIPAS Act, the Wildlife Resources Act, the Local Government Code, and the IPRA, and 
14 
other relevant laws and international covenants, as well as other pertinent laws; Providedfurther, 
15 
That certain functions and powers of the Department may be devolved to the local government 
16 
units. 
17 
18 
SECTION 12. Co-Management Agreement for tlte Devolution of Functions. The Department, the 
19 
Department of Interior and Local Government, and the concerned LGUs shall execute a co-
20 
management agreement, which shall contain the program and schedule by which functions shall 
21 
be strategically devolved, providing for capacity-building and empowerment mechanisms. 
22 
23 
SECTION 13. Powers and Responsibilities of the LGUs. Pursuant to the pertinent provisions of 
24 
Republic Act. No. 7160 or the Local Government Code, LGUs shall share the responsibility in 
25 . 
the sustainable management and utilization of forest resources within their territorial jurisdiction 
26 
including those assigned by law to other government agencies. The LGU and the Department 
27 
shall jointly undertake the preparation and implementation of forestland use and watershed 
28 
continuum management plans, consistent with the Ancestral Domain Sustainable Development 
29 
and Protection Plan (ADSDPP) and in consultation with other government agencies, local 
30 
communities, non- government organizations and other sectors. Partnerships with LGUs and 
31 
local communities are highly encouraged. Such plans shall 00 fully funded and made an integral 
32 
component of the LGU's Comprehensive Land Use Plan (CLUP). 
33 
The devolved functions include, but are not limited to, the following: 
34 
a) Implementation of community-based forestry projects, e.g. Community-based Forest 
35 
Management Agreements; 
36 
b) Establishment of reforestation projects except in protected areas and critical watersheds; 
37 
c) Completed family and contract reforestation projects; 
38 
d) Forest Land Management Agreements; 
39 
e) Community Forestry Projects; 
40 
f) Management and control of forests located in the LGU's jurisdiction; 
41 
g) Management, protection, rehabilitation and maintenance of small watershed areas which 
42 
are sources of local water supply as identified or to be identified by the DENR; 
43 
h) Enforcement offorestry laws; and 
44 
i) Prevention of forest ftres, integrated pest management and protection against forest 
45 
invasive species. 
46 
47 
SECTION 14. Multisectoral participation. In formulating conservation and management plans and 
12 


I 
programs, multisectoral participation shall be required. 
2 
3 
SECTION 15. Local Government Unit Consent anti Consultation. ,- Proponents of all forestry 
4 
projects to be implemented in the LGUs' territorial jurisdiction shall strictly comply with 
5 
Sections 26 and 27 of the Local Government Code, 
6 
7 
SECTION 16. Forest Board. A forest board (Board) shaH be created at the Municipal level which 
8 
shall be composed of a representative from the LGU and representatives of different sectors 
9 
including but not limited to, women, farmers, fisherfolks, and indigenous peoples, shall set the 
10 
policy direction for the management, utilization and development of forestlands and resources 
11 
found within their respective jurisdictions in accordance with the watershed continuum plan. 
12 
13 
SECTION 17. 
Functions of the Forest Board. The Board shall be responsible for the over-
14 
all policy direction for the management of the forestlands and forest resources found within their 
15 
respective jurisdictions in accordance with the provisions of this Act. It shall review and 
16 
recommend implementation of programs and projects and perform oversight functions on 
17 
matters pertaining to environment and natural resources. It shall also participate in the review 
18 
and recommend relevant policies for the protection, conservation and restoration efforts within 
19 
the continuum and ensure the contribution of the forestry sector to national economy, ecological 
20 
sustainability and sustainable development closely adhering to the principles and action plans set 
21 
under Philippine Agenda 21 and its revised versions. It shall moreover fucilitate the initiation of 
22 
the LGU's participation in the devolution program and shall monitor the transfer and 
23 
implementation of devolved functions at the LGD. 
24 
25 
SECTION 18. Creation of /l Municip/ll Environment and Natural Resources Office. A Municipal 
26 
Environment and Natural Resources Office (MENRO) is hereby created, including the position 
27 
for the Municipal Environment and Natural Resources Officer. The LGU shall ensure that funds 
28 
are available' for the operations and salaries of personnel for this Office. 
29 
30 
SECTION 19. 
Qualifications of /l Municip/ll Environment and N/ltur/l/ Resources Officer. 
31 
The Municipal Environment and Natural Resources Officer should have a background in 
32 
planning, natural and environmental science, and should be civil service eligible. 
33 
34 
SECTION 20. Functions of the MENRO. The MENRO shall facilitate the preparation of 
35 
management plans. It shall recommend to the Board relevant policies for the protection, 
36 
conservation and restoration efforts within the continuum. It shall evaluate applications for forest 
37 
management agreements; monitor the performance of holders of all tenurial instruments issued 
38 
by the LGU and Department. The MENRO may recommend to DENR appropriate action with 
39 
regard to the implementation of pertinent laws, rules and regulations. The MENRO shall exercise 
40 
visitorial powers over the forestlands. 
41 
42 
SECTION 21. Forest Manage!1U!nt Committee within a w/lters/led continuum A forest 
43 
management committee shall be created under the Municipal Development CounciL 
44 
Municipalities/cities falling within the same watershed continuum shall form a forest 
45 
management committee within the Provincial Development Council. Provided further, That 
46 
provinces falling under the same watershed continuum will create a committee within the 
47 
Regional Development Council. These committees shall be responsible for the preparation of the 
13 


1 
required overall management plans, in relation to the direction set by their respective Forest 
2 
Boards. 
3 
4 
SECTION 22. 
Forestlands under Other GOI'ernment Agencies. Forestlands andlor portions 
5 
thereof which have been assigned by law to the administration and management of other 
6 
government agencies for a specific purpose prior to the passage of this Act shall remain under the 
7 
administration and management of these government agencies which shall be responsible for 
8 
their conservation, protection, and restoration. 
The Secretary and the concerned local chief 
9 
executive or their respective duly authorized representative shall exercise visitorial powers over 
10 
these forestlands .. Moreov!lr, these forestlands shall be administered in accordance with a forest 
11 
management plan embodied in tbe comprehensive forest management and land use plan of the 
12 
LGU, which sball be prepared by the concerned management committee of the watershed 
13 
continuum level within one (I) year from the effectivity ofthis Act. Said multisectoral body shall 
14 
periodically review, monitor, and evaluate the implementation of the said management plan. 
15 
Provided, That the harvesting of forest resources and building of roads and other infrastructure 
16 
therein shall be undertaken only with the prior approval ofthe LGU upon the endorsement of the 
17 
local forestry boards, and after compliance with EIS and ECC requirements: Provided forther, 
18 
That the LGU shall endorse to the Secretary who shall recommend to Congress or the President 
19 
of the Philippines the reversion to the LGU of the jurisdiction and control over forestlands that 
20 
are no longer needed nor used for the purpose by which they have been constituted or in case the 
21 
agency concerned fails to rehabilitate, protect, and conserve the forestland resources in 
22 
accordance with the approved management plan. The LGU, in coordination with its forestry 
23 
board and consistent with the watershed continuum plan, shall determine the use of the reverted 
24 . 
forestlands. 
25 
26 
SECTION 23. Forest Resources within Alientlble and Disposable Lands. All forest resources 
27 
planted or raised within alienable and disposable lands belong to the holder of the instrument 
28 
giving rights to the claimant, who shall have the right to sel~ contract, conveyor dispose of the 
29 
same subject to a certification process to be developed by the Department. The Department shall 
30 
prepare the guidelines in coordination and cooperation with LGUs and multisectoral 
31 
consultations. Holders of said instruments who register their forests lands for forestry purposes 
32 
with the LGU shall be assisted in the preparation of a management plan consistent with the 
33 
watershed continuum management plan, and shall be entitled to appropriate incentives provided 
34 
under Section 44 herein, on reforestation in private lands: Provided, That alienable and 
35 
disposable lands devoted to the planting and harvesting of forest resources shall remain subject to 
36 
the provisions of Republic Act No. 6657 or the Comprehensive Agrarian Reform Law or any 
37 
other similar law that may be enacted. 
38 
39 
SECTION 24. Forest Resources within Production Forestlands. Resources, including non-timber 
40 
forest products, its by-products and its derivatives, whether naturally growing, planted or raised, 
41 
which have been taken or have been applied with some silvicultural practices, within production 
42 
forestlands shall be issued the appropriate permit, agreement or clearance. Any declaration of 
43 
forest resources as threatened shall be in accordance with the Wildlife Act and other relevant 
44' 
laws. 
45 
46 
SECTION 25. Logging in Production Forestlands. To ensure the conservation and sustainable use 
47 
of forest resources in production forestlands, holders of timber licenses, permits and/or 
14 


1 
agreements shall submit to the LGU an Integrated Operations Plan (lOP) contalOlIlg strict 
2 
environmental guidelines such as ECC compliance. All forest development activities such as 
3 
logging, reforestation, timber stand improvement, forest protection, and delivery of community 
4 
service within an area covered by timber concessions shall be consolidated under the lOp, which 
5 
shall be prepared by or under the supervision of an accredited private registered forester whose 
6 
signature and dlY seal shall appear in the plan and the supporting documents submitted for this 
7 
purpose. 
8 
9 
SECTION 26. Forest Resources within Protection Forestlands. Only non-timber forest products 
10 
shall be allowed to be extracted from protection forestlands and shall be issued the appropriate 
11 
permit, agreement or license, Provided, that harvesting or gathering of timber for subsistence use 
12 
of indigenous communities and forest communities shall be allowed but only in woodlots 
13 . 
established by the communities. Any declaration of forest resources as threatene, and other 
14 
restrictions shall be in accordance to the Wildlife Act. 
15 
16 
SECTION 27. Absolutely Prohibited Activities in Protection Forestlands. Commercial logging, 
17 
mining and other similar extractive activities such as but not limited to treasure hunting shall be 
18 
absolutely prohibited in protection forestlands. 
19 
20 
SECTION 28. Review of Reservations within Protection Forestlands. 
All reservations made 
21 
within protection forestlands shall be reviewed. Reservations which are contrary to the 
22 
provisions of this Act, including, among others, mineral or settlement reservations, shall be 
23 
withdrawn. 
24 
25 
SECTION 29. Commercial Logging Ban in Protectionforestlands. There shall be a permanent ban 
26 
on commercial logging activities in all protection forests defined, categorized, and sub-classified 
27 
in Section 8(a) herein. No licenses, permits, or agreements to cut any timber therein shall be 
28 
issued. 
29 
30 
SECTION 30. Protection Forestlands covered by .&isting Permits, Licenses and/or Agreements. 
31 
All existing permits, licenses and agreements shall be reviewed, and, if protection forestlands are 
32 
found within an agreement or licensed area, such protection forestlands shall be immediately 
33 . 
excised from said permit, license and/or agreement, and the holder of the agreement or license 
34 
shall establish a 'buffer zone imd delineate their boundaries with the production forestlands, 
35 
marking the same with concrete monuments, road, or infrastructure, or any other visible, 
36 
permanent, and practicable signs. 
37 
38 
SECTION 31. Duty of tlte License Permit-hoMer. In coordination with the concerned LGU, the 
39 
agreement- or license-holders shall protect and conserve such protection area following a plan 
40 
consistent with the prescribed management plan for key biodiversity areas or similar strategies 
41 
by the Department. The agreement- or license-holder concerned shall be accountable for the 
42 
destruction of such protection forestlands that did not result from force majeure, and such 
43 
destruction shall serve as basis, in addition to the other violations enumerated in this Act hereof, 
44 
for the termination or revocation of the agreement, license, or permit, and the filing of proper 
45 
charges under the NIPAS Act and pertinent forestry laws, rules and regulations. In the absence of 
46 
a contractor or agreement holder over such production forestlands, the delineation of said 
47 
boundary shall be undertaken and prioritized by the Department. 
15 


I 
2 
SECTlON 32. Non-Extension a/Timber License Agreements. No extensions shall be made on any 
3 
existing TLA, and the area covered by the agreement shall automatically be sub-classified as 
4 
protection forestland after the representatives of the Department, the LGU s concerned, the 
5 
Department of Agrarian Reform, NGOs, peoples' organizations, and other stakeholders had 
6 
excluded degraded areas that may be subject of a reforestation project. 
7 
8 
SECTION 33. Forest Resources witltin Ancestral Domains/Ancestral Lands. 
When forest 
9 
resources are within ancestral domains/ancestral lands which are otherwise production or 
10 
protection forestlands, aside from the necessary permit, license or agreement, the genuine free, 
11 
prior and informed consent of the indigenous cominunities shall also be secured, Provided, That 
12 
if the indigenous commnnities will themselves harvest these resources fur their subsistence or 
13 
survival use, the provisions of IPRA shall apply and no permits shall be required as owners of 
14 
such resources, Provided finally, That, if the indigenous peoples will themselves harvest such 
15 
resources for commercial purposes, they shall be subject to the same limitations and conditions 
16 
as provi(ied by this Act. 
17 
18 
The National Commission on Indigenous Peoples (NCIP) shall coordinate and consult the 
19 
Department in providing assistance to the indigenous peoples in the sustainable management and 
20 
development of forest resources within ancestral lands and domains. 
21 
22· SECTION 34. Mandatory EIA. Any permit, license, agreement or any other instrument to develop 
23 
or use forestlands or resources therein, including those found within ancestral domainsllands that 
24 
would result in severe soil erosion Of environmental degradation shall be subject to the 
25 
provisions of Environmental Impact Assessment (EIA) in accordance with Presidential Decree 
26 
No. 1151 or the Philippine Environmental Policy, Presidential Decree No. 1586, Establishing an 
27 
Environmental Impact Statement System, and this Act. 
28 
29 
CHAPTER IV 
30 
FOREST MANAGEMENT PLANNING, MONITORING AND ASSESSMENT 
31 
32 
SECTION 35. Forestry Master Plan. The Department shall periodically prepare the map, revisit or 
33 
review the Forestry Master Plan in consultation with local stakeholders, and shall revise the said 
34 
plan according to the provisions of this bill, taking also into consideration biodiversity 
35 
conservation, carbon sequestration and other matters of the same import. The Forestry Master 
36 
Plan shall be presented to all LGUs, and other stakeholders upon completion and shall be posted 
37 
in conspicuous areas and made accessible to tbe public. 
38 
39 
SECTION 36. Sustainable Forest Management Planning. Subject to vested or prior rights, the 
40 
Department, in consultation and coordination with LGUs, other government agencies, local 
41 
communities, non-government organizations, individual and corporate entities, private sectors, 
42 . 
academic and research institutions, and other concerned sectors shall within one (I) year from 
43 
the effectivity of this Act, develop and adopt a sustainable forest management strategy for each 
44 
well-defined watershed or other appropriate forest management unit based on criteria, indicators, 
45 
and standards for sustainable forest management which, at their minimum, address the following 
46 
requirements: 
47 
16 


1 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11. 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
27 
28 
29 
30 
31 
32 
33 
34 
35 
36 
37 
38 
39 
40 
41 
42 
43 
44 
45 
46 
47 
a. Rational allocation of forestland uses and promotion of land use practices that increase 
productivity and conserve soil, water, and other forestland resources; 
b. Protection of existing forest resources and conservation of biodiversity; 
c. Restoration of denuded areas, making use of indigenous tree species for biodiversity 
conservation in protection forests and buffer strips of water channels and bodies; 
d. Establishment of tree plantations in production forest lands, private lands, and alienable 
and disposable lands; 
e. Enhancement of the socio-economic well-being of local communities including 
indigenous peoples who are largely dependent on the forest for their livelihood; 
f 
Promotion of closer coordination between and among the Department, LGUs, other 
national agencies, non-government organizations, local communities, the private sector, 
academic and research institutions and other entities in the sustainable management of 
forestlands; 
g. Adoption of community-based forest management as a principal strategy in the 
management offorestlands and resources; and, 
h. Harmonization and integration of the forest management plan of forestlands and 
resources with other plans, such as the forest management plan and the land use plans of 
the LGUs, protected areas management plans in areas covered by the same, critical 
habitat management plan, barangay development plan, CLUP of cities and municipalities 
and physical framework plans of the provinces and the regional development plans, and 
be consistent with the ancestral domain management plans and protected area 
management plans areas covered. 
The Department shall continue to adopt the Master Plan for Forestry Development subject to 
periodic review every five (5) years. 
SECTION 37. 
Waters/ted Continuum Management Strategy. The Watershed Continuum 
Planning and Management Framework in Environment and Natural Resources shall be adopted. 
The strategy for improved watershed resources management shall be demand-driven, 
community-based, and multiple- and sustainable-use considering national priorities and concerns 
of local stakeholders. Watershed continuum management programs initiated by the government 
shall be guided by ecological, socio-cultural, economic, and institutional sustainability 
principles. A National Watershed Information System shall be developed to guide policy 
formulation, program development, and implementation of watershed continuum management 
initiatives. 
The Department in consultation with the LGUs 
shall identify the watershed 
continuum in the country and provide the maps for each. 
SECTION 38. 
Prioritization of watersheds. A system of prioritization of watersheds shall be 
.pursue~ con~idering the foUowj.ng: 
a. Biodiversity and environmental enhancement; 
b. Cultural and historical value; 
c. Water supply for domestic, irrigation, power, industrial, and commercial use; 
d. Contribution to the economy; and 
e. Effect on downstream areas. 
SECTION 39. 
Forest Resource Database anti Monitoriflg System. Areas identified by the 
17 


1 
Department as forests as defined under this Act shall be verified and validated by the Forest 
2 
Development Center, inclnding those within ancestral domains and lands, A centralized 
3 
for~st1and resource database shall be made available to the public at all times, online if possible, 
4 
whIch shall consIst of comprehensive updated information on the physica~ social, economic 
5 
biological, environmental and cultural components of the country's forestlands and shall inc1ud~ 
6 
a log control monitoring or tinaber identification system to enable the Department and its field 
7 
offices to track the movement or transfer of timber and other forest products from a forestland 
8 
source to their end users. The Department shall conduct and/or update forest resource inventory 
9 
at least once every five (5) years to ensure effective management. 
10 
II 
SECTION 40. 
Environmentlll Impact Assessment, Resource Accounting and Valuation. 
12 
All new environmentally critical projects to be implemented in forestlands, such as harvesting, 
13 
grazing and other special uses, mineral prospecting and exploration, and road, infrastructure, and 
14 
mill construction, shall be subject to Environmental Impact Assessment (EIA) in accordance 
15 
with Presidential Decree No, 1151 or the Philippine Environmental Policy, and Presidential 
16 
Decree No, 1586, Establishing an Environmental Impact Statement System. A scientific resource 
17 
valuation of impacts of affected biophysical arid environmental elements, and an extended 
18 
benefit cost analysis shall be nsed in the BlSS, The Department shall design and inaplement a 
19 
system of regular periodic monitoring and assessment using the Criteria and Indicators as 
20 
framework and shall formulate appropriate standards as basis for assessing progress towards 
21 
sustainable forest management. Furthermore, the Department shall design and implement an 
22 
. appropriate. natural reSOUIces accounting and valuation system for various forestry initiatives, 
23 
The Department shall establish the total value of forestlands based on multiple uses, including 
24 
their environmental services, 
25 
26 
CHAPTER V 
27 
REFORESTATION AND RESTORATION 
28 
29 
SECTION 41. Restoration in Protection Forestlands. The restoration of all critical watersheds and 
30 
critical, denuded, and degraded forests within protection areas shall be prioritized, Only the use 
31 
of indigenous or native species in the restoration and rehabilitation of protection areas shall be 
32 
adopted to enhance biological diversity therein, The LGDs in coordination with the Department, 
33 
other government agencies, NGOs, local residents and c01l11l1unities, and other sectors 
34 
concerned, shall identify and prioritize forestlands to be reforested, The LGD, consistent with the 
35 
watershed continuum plan and the corresponding municipal forest land use plan may enter into 
36 
agreements with qualified persons, including forest C01l11l1unity organizations, in the restoration 
37 
of protection forestlands, 
38 
39 
SECTION 42. 
Identification of Restoration Forestlands. LGDs, in cooperation with the 
40 
DENR and other government agencies, NGOs, local residents and communities shall identify 
41 
and prioritize forestlands to be restored, Provided, priority restoration shall be a band of 200 
42 
meters from the boundary of protection areas and protected areas, ahandoned mines and 
43 
abandoned and idle fishponds for mangrove restoration. For mangrove forests, the LGD shall 
44 
prepare a rehabilitation plan to restore mangroves in their area, Provided forther, That an 
45 
accelerated restoration program in such identified priority protection forestlands shall be 
46 
undertaken to raise the forest cover therein at least fIfty percent (50%) of the prioritized area 
47 
within five (5) years and eighty percent (8oo/.) of the area within ten (10) years from effectivity 
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of this Act. The LGU shall allot funds to effectively accomplish restoration either by its own or 
through permit, license and/or agreement in protection forestlands. 
The Department or other 
agencies responsible for restoration shall give priority to local communities in the granting of 
technical and financial assistance for restoration activities, Provided finally, That assisted natural 
regeneration'(ANR) shall be encouraged in protection forestlands. 
SECTION 43. 
Reforestation or Tree Plantation Development in Production Forestlands. 
In accordance with Section 50 herem, the LGU may enter into joint venture, co-production, or 
production-sharing agreement with qualified persons to reforest or to develop tree plantations in 
production forestlands, Provided, that palm plantations and the like shall not be allowed in 
production forestlands. 
SECTION 44. 
Reforestation in Forestlands under the Jurisdiction of Other Government 
Agencies. Government agencies and institutions having management control over forestlands 
pursuant to a law or grant shall be responsible for the reforestation of denuded and degraded 
portions of such forestlands. The reforestation program of these agencies shall aim to increase 
the vegetation of the degraded areas using native species, to be identified jointly by the 
Department and agency concerned and multisectoral stakeholders. The concerned agency in 
coordination with the LGU shall prepare the reforestation plan, consistent with the watershed 
continuum plan and determine the ratio of forested areas at any given time. Failure to reforest 
denuded and/or degraded forestland identified in the reforestation plan within the period herein 
prescribed shall be sufficient ground to request for reversion of the said forestlands to the 
jurisdiction and control of the LGU: Provided, however, That in areas where Community-based 
Forest Management Strategy (CBFMS) shall be implemented or where there are existing 
facilities for basic services such as water and power as allowed by the Department pursuant to 
the provisions of this Act, the completion of the reforestation program shall be subject to the 
conditions provided in the instrument to be awarded by the Department and the agency 
concerned to the participating local community or individual or in the Forest Management 
Agreement of contractors operating such facilities for basic services, as approved by the 
Department. Provided finally, tbat whenever applicable, the use of ANR shall be preferred and 
community-based forest management encouraged. 
SECTION 45. 
Reforestation in Alienable and Disposable Lands and/or Private Lands. 
Reforestation or the establishment of tree farms or tree plantations in private lands guided by the 
watershed continuum Plan shall be encouraged: PrOVided, That such private lands and other 
alienable and disposable lands are not prime agricultural lands as determined or certified by the 
Department of Agriculture (DA). The private landowner(s) sball also be entitled to the incentives 
provided for under Section 44 herein: Provided, That such private tree plantations are duly 
registered with the Department. Whenever applicable, use of ANR shall be preferred and 
community-based forest management encouraged. 
SECTION 46. 
Incentives of Reforestation or Restoration within PrOliuction Forestlands. 
To encourage qualified persons to engage in restoration or reforestation activities, the following 
.incentiv.es s4all be granted:. 
a. Upon the premature termination of the agreement at no fault of the holder, all depreciable 
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permanent and semi-permanent improvements such as roads, buildings, and nurseries 
2 
including the planted and standing trees and other forest crops introduced and to be 
3 
retained in the area shall be property evaluated and the holder shall be entitled to a mir 
4 
compensation thereo( the amount of which shall be mutually agreed upon by both the 
5 
LOU and the agreement holder, and in case of disagreement between them, by arbitration 
6 
through a mutually acceptable and impartial third party adjudicator; 
7 
b. The agreement holder has the right to transfer, contract, sell, or convey his rights to any 
. 8 
qualified person following the guidelines to be issued by the Secretary, Provided, that if 
9 
such restoration or reforestation were conducted within ancestral domains/ancestral lands, 
10 
the transferee shall secure the free, prior and informed consent of the indigenous 
11 
communities of such ancestral domains/ancestral lands prior to such transfer; and, 
12 
c. In the event that the area restored has provided ecological services to the community, 
13 
user fees shall be allowed as incentives. 
14 
15 
The Secretary may provide or recommend to the President or to Congress other incentives in 
16 
addition to those granted herein and in existing laws in order to promote reforestation and the 
17 
establishment of tree plantations, PrOVided, That in no case shall the Secretary provide incentives 
18 
that shall put the State at a gross disadvantage, nor shall the Secretary provide incentives of non-
19' payment of taxes or other rightful fees due to 1he State as provided by other laws. 
20 
21 
SECTION 47. 
Reforestation in Ancestral Domains/Ancestral Lands. Reforestation in 
22 
ancestral domains/ancestral lands, if not undertaken by the ICCs/IPs themselves, shall require the 
23 
free, prior and informed consent of the ICCsIlPs. 
24 
25 
SECTION 48. 
Reforestation in Protection Forestlands. The Department may contract out 
26 
the reforestation andlor management of protection forestlands to any person, Provided, that such 
27 
persons should meet the qualifications enumerated in Section 54. The Department shall 
28 
reasonably compensate such persons for such reforestation and/or management activities and 
29 
extend the necessary assistance in 1he reforestation andl or management of such protection 
30 
forestlands. 
31 
32 
SECTION 49. 
Voluntary Offer to Reforest. Private landowners, whether natural or juridical 
33 
persons, may participate in reforestation and plantation development or similar programs of the 
34 
LOU or the Department, with the landowner contributing his land and the LOU or Department 
35 
furnishing funds to reforest the area on a co-production agreement: Provided, That the property 
36 
sl;1all be exclusively devoted to the planting of forest species for at least one (1) rotation, which 
37 
undertaking shall be annotated at the back of the title of the property: Provided, further, That 
38 
pl'ime agricultural lands as determined or certified by the DA shall not be the subject of a 
39 . 
voluntary offer to reforest. 
40 
41 
CHAPTER VI 
42 
COMMUNITY-BASED FOREST MANAGEMENT STRATEGY 
43 
44 
SECTION 50. 
Community-Based Forest Management Strategy (CBFMS). Whenever they 
45 
are present, forest resident mmilies, communities, indigenous peoples and other communities 
46 
whose lives, culture and general well-being are intimately linked with the forests, shall be 
47 
entrusted with the responsibility to protect, manage, develop and utilize resources limited to 
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woodlots and non-timber forest products (NTFP) under the principle of stewardship. Timber 
2 
harvesting shall only be allowed in production forestlands designated in the Community 
3 
Resource Management Plans (CRMP). The Department together with the LOUs, and in 
4 
consultation with affected stakeholders and sectors, shall develop policies, criteria, guidelines 
5 
and tenurial instruments that will simplify and allow access of forest resilient families, and local 
6 
communities to forestland resources. The LOUs Will review all CBFMAs in their jurisdiction to 
7 
assess performance and determine membership status of the CBFMA-holder. The Department 
8· 
together with the LOUs, in consultation witb affected stakeholders and sectors, shall furthermore 
9 
develop policies, and guidelines that promote partnership between the private sector and forest-
10 
based communities in pursuit of sustainable .community forest management activities. 
11 
12 
SECTION 51. 
Areas Available for c"BFMS. Subject to prior or vested rights, tbe CBFMS 
13 
may be implemented on all appropriate forestlands excluding the ancestral domains/ancestral 
14 
lands ofICCslIPs. Priority will be given to degraded and denuded forestlands. 
15 
16 
The LOU may only allow the implementation of CBFMS in watershed reservations if it shall 
17 
promote their protection and rehabilitation; Provided, however that land-use practices and activities 
18 
therein are in accordance with a management plan duly approved by the Secretary and shall not 
19 
induce severe soil erosion and surface run-off: Provided, forthel; That no timber harvesting shall be 
20 
allowed in forests; Provided also, That no CBFM agreements shall be issued to non-ICCslIPs within 
21 
ancestral domains/ancestral lands, Provided finally, CBFMAs shall not cover Certificate of Land 
22 
Ownership Awards (CLOAs) and other tenurial instruments. 
23 
24 
SECTION 52. 
Community Resource Management in CBFM Areas. The management of 
25 
forestland resources in CBFM areas shall be embodied in a community resource management 
26 
plan, which shall contain the community'S vision, aspirations, and strategies in the management 
27 
of forestland resources, which shall be consistent with the forestland use plan (FLUP). Qualified 
28. 
communities shall be provided with appropriate long-term security of tenure, technical, 
29 
managerial and financial assistance, training; and other assistance, as the case may be, to 
30 
empower them to manage and benefit from the forestland resources on a sustainable basis. 
31 
32 
SECTION 53. 
Qualified Participants. Organized forest communities shall he given priority 
33 
to participate in the CBFM .program. Organizations eligible to participate in CBFM shall have 
34 
the following qualifications: 
35 
a. Members shall be Filipino citizens; and 
36 
b. Members shall be any of the following: 
37 
1. 
Traditionally utilizing the resource for their livelihood; 
38 
II. Actually residing within the area for at least five (5) years; and 
39 
III. Residing adjacent and actually tilling portions of the area to be awarded. 
40 
41 
SECTION 54. Modes of Management Agreements. The conservation, protection, development, 
42 
utilization, and management of forestlands and/or forest resources shall be undertaken under the 
43 
supervision of the State through the LOUs. The State may directly undertake such activities or it 
44 
may enter into co-production, joint venture or production sharing agreement with qualified 
45 
Filipino citizens or corporations or associations over the management of production forestlands, 
46 
subject to relevant laws, rules and regulations, PrOVided, That interested local communities 
47 
through their organized and duly recognized associations shall be given priority in the grant of 
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appropriate instruments implementing the said agreements. Such instruments and/or agreements 
shall have a duration of twenty-five (25) years, renewable for another twenty-five (25) years, 
under such terms and conditions as may be provided by the Secretary, after observing the 
qualification of the succeeding sections; Providedfurther, That management agreements shall not 
be issued in fuvor of any person covering ancestral domains/ancestral lands without the free, 
prior and informed consent of the concerned ICCsllPs and the recognition and protection of 
ICCs/IPs rights under pertinent laws; 
Current valid and subsisting licenses, contracts, or agreements granted by the government for the 
development, management, and utilization of forest resources within protection forestlands sball be 
allowed to continue under the same terms and conditions until their expiry; Provided, That no 
cutting or felling of trees shaH be al10wed within the said protection forestlands, Provided forthe1; 
That such agreements issued within ancestral domains should have had the free, prior, and informed 
consent of the ICCsllPs involved, otherwise, such license, contracts or agreements shall be cancelled 
and revoked for violating the rights of said ICCslIPs. 
All agreements entered into pursuant to this section shall be subject to the approval of and 
monitoring by the LGU, Provided forthel; That all applications and approved agreements shall be 
posted in public places. 
SECTION 55. Terms and Conditions of Agreements. The Department, in coordination with the 
LGUs, and, having undergone multi-stakebolder consultations shall formulate rules and 
regulations covering the relevant terms and conditions thereof. 
SECTION 56. Minimum Conditions for tlte Issuance of Co-Production, Joint J-enture and 
Pro{iuction Sharing Agreement. The following provisions shaH be the minimum conditions for 
the issuance of co-production, joint venture and production sharing agreement: 
a. The holder is a Filipino citizen; 
b. The agreement holder shal1 furnish the necessary management, technology and financial 
services when required, as determined by the Secretary; 
c. Provisionls for government share of revenues and the manner of payment thereof; 
d. Provisionls on consultation and arbitration with respect to the interpretation of the 
.. 
. 
agreement; 
e. Provisionls for anti-pollution and environmental protection measures; 
f. 
Provisionls prescribing the preferential use of indigenous tree species for tree plantations: 
Provided, that in case of protections forestlands, only indigenous tree species shall be 
used; 
g. Provisionls for an effective monitoring scheme to be implemented by the LGU, which 
shall include, but shall not be limited to periodic inspection of all records and books of 
account of the agreement holder$; 
h. Commitment to community development including capacity building of local 
stakeholders; 
1. 
The submission of a management and development plan to be approved by the LOU; and 
J. 
Other provisions that the LGU shall impose, upon the recommendation of the Director of 
the FMB, that will improve and sustain the development and management of the 
forestlands and its resources, which shall include, among others, a projection of annual 
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income and revenues generated, to be used as hasis in the deternunation of government 
2 
shares. 
3 
4 
SECTION 57. Transfer. No holder of a co-production, joint venture, or production sharing 
5 
agreement or contract shall sub-contract, transfer, exchange, sell or convey the same or any of his 
6· 
right or interests therein without a written authority from the LGU Moreover, no transfer shall be 
7 
authorized unless the agreement or contract has been in existence and active for at least three 
8 
consecutive years from issuance thereof Provided, That the transferor bas faithfully complied 
9 
with the terms and conditions of the said agreement or contract; the transferee has all the 
10 
qualifications and none of the disqualific&tions to ho ld the same; and the transferee shall assume 
II 
the obligations ofthe transferor. Failure to comply witb these conditions shall be sufficient cause 
12 
for the cancellation of the agreement or contra<-'!; ProVldedforther, That if such agreement cover 
13 
ancestral domains/ancestrallands, the free, prior and informed consent of the ICCs/lPs involved 
14 
with regard to such transfer shall be secured, otherwise, said agreement shall be cancelled. 
15 
16 
SECTION 58. Non~Timber Forest Products. Rattan, bamboos, vines, herbs, exudates and other 
17 
non-timber forest products are integral parts of the forest ecosystem. The planting and 
18 
sustainable management of non-timber producing species shall be encouraged and supported, 
19 
Provided, That they are indigenous species. The development, management and utilization of 
20 
non-timber forest products shall be allowed in accordance with the FLUP, and corresponding 
21 
laws and regulations enforced by the LGU and consistent with guidelines to be promulgated by 
22 
the Department in compliance with national and international policy or agreements. 
23 
24 
SECTION 59. Priority to Harvest, Utilize, Gather or Collect NTFP. In granting permits to harvest, 
25 
utilize, gather or collect non-timber forest products, in their natural or original state from 
26. 
forestlands, priority shall be given to forest resident families, local communities, and indigenous 
27 
peoples living nearest the subject forestlands; Provided, That the wildlings collected from the 
28 
forests shall be utilized for nursery establishments, research and development and shall be 
29 
subject to guidelines form)llated in the establishment of nurseries 
30 
31 
SECTION 60. Silvieultural and Harvesting System. The Department shall formulate the 
32 
appropriatll silvicultural and harvesting system and all measures shall be taken to achieve an 
33 
approximate balance between growth and harvest that is consistent with the NBSAP. The )lse of 
34 
forest prod)lcts from production forestlands shall be promoted and practiced. 
35 
36 
SECTION 61. Mangrove forest. Cutting in mangrove forests shall be prohibited. The Department 
37 
shall formulate a program for the restoration of mangrove forests and shall promote strategies 
38 
that are consistent with biodiversity conservation or enhance biodiversity. 
39 
40 
SECTION 62. Grazing. Land for grazing purposes shall only be limited to production forestlands. 
41 
The Department shall identify and delimit areas suitable for grazing purposes: Provided, That no 
42 
forestland fifty percent (50%) in slope or over may be utilized for grazing purposes: Provided 
43 
also, That vegetation should be sufficient for livestock prior to the grant of such permits, 
44 
Provided, forther, That existing pasture lease agreements or forestland grazing lease agreements 
45 
shall be allowed to continue under the same terms and conditions until their expiry: Provided 
46. 
a/so, That burning of grass for the purpose of grazing shall be prohibited; Provided, finally, That 
47 
ahandoned or idle, expired, or cancelled grazing or pasture lands shall be subject to land use 
23 


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capability assessment and or land use sUitability assessment tp determine their best use or 
2 
combination of uses. No new grazing or pasture permit, lease, or contract shall be issued, nor 
3 
existing ones allowed to continue unless covered by existing rules and regulations governing the 
4 
Philippine EIS System and subject to provisions in this Act. 
5 
6 
Existing pasture lease agreements or forestland grazing lease agreements shall be subject to review 
7 
and monitoring by the LGU. Recommendations resulting from the review shall be given primary 
8 
hasis for actions. 
9 
10 
Applications for new pasture lease agreements or forestland grazing lease agreements shall be 
11 
reviewed and approved by the LGU and he covered by existing rules and regulations governing the 
12 
Philippine EIS System and subject to provisions ofthis Act 
13 
14 
SECTION 63. Mining and Power Generation Operations in Forestlands. Forest resources inside 
15. 
mineral reservations and permitted areas and their management and utilization are subject to the 
16 
provisions of this Act. Power generation and small-scale mining operations in forestlands, except 
17 
in protection forestlands may be allowed only after the issuance of an ECC and in compliance 
18 
with other relevant laws. Mining and power generation shall not be allowed in protection and 
19 
restoration areas, Provided, That micro-hydro or other renewable energy device may be allowed 
20 
subject to the provisions of this Act. 
21 
22 
SECTION 64. Roads and Otlter Infrastructures. Roads and other infrastructure, including the 
23 
development of mineral reservations and energy resources inside forestlan<js, shall be constructed 
24 
with the least impairment to the resource values and with the least impact and disturbance to 
25 
biodiversity of the area found in such forestlands. Government agencies and their contractors 
26 
undertaking the construction of roads, bridges, communication and other infrastructure facilities 
27 
and installations inside forestlands shall seek prior authority from the Department and shall 
28 
comply with existing rules and regulations governing the Philippine EIS System, Provided, That 
29 
no roads or other infrastructure shall be constructed in protection forestlands. 
30 
31 
32 
CHAPTER VllI 
33 
WOOD-BASED INDUSTRIES 
34 
35 
36 
SECTION 65. 
Establishment and Operations of Timber-Based Industries. The State, 
37 
through the Department, may promote the establishment, operation, and development of timber-
38 
based industries only in production forestlands. 
39 
40 
SECTION 66. 
Incentives for Timber-Based Industries. All agreements pertaining to timber-
41 
hased industries shall also be subject to review by the Department under procedures to be 
42 
formulated by the Department with mandatory consultation with stakeholders. The following 
43 
incentives are hereby granted in addition to those already provided by law: 
44 
45 
a. All processing plants or mills shall be assured of their supply of raw materials, preferably 
46 
but not exclusively from local sources; 
47 
b. All processing plants or mills shall be granted operating permits for five (5) years 
24 


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renewable for another five (5) years: Provided, That permits for processing plants owned 
2 
or operated by holders of timber plantation agreements or contracts shall be co-terminus 
3 
with said agreements or contracts. 
4. 
5 
Warranties to and agreements with existing integrated forest-based plants to ensure the availability of 
6 
raw materials shall be subject to the process for as long as such integrated plants are operating. 
7 
Agreements or licenses over production forestlands granted to timber-based plants shall not be 
8 
automatically converted into any mode authorized in this Act. Holders of expired agreements may 
9 
apply for a new permit, license or agreement subject to the provisions ofthis Act. Permit holders are 
10 
allowed a period of twenty-five (25) years, renewable for another twenty-five (25) years, for a 
11 
maximum of fifty (50) years. Expansion in capacity of timber-based plants shall be encouraged and 
12 
the same shall be given priority access to production forestlands and other areas available for 
13 
development as source of raw materials. 
14 
15 
SECTION 67. 
Export and Sale of Locally Produced Wood Products. No natural grown 
16 
trees shall be cut, gathered, harvested or removed from forests. Logs, lumber and other finished 
17 
products from tree plantations shall be exported only under such guidelines as the Secretary may 
18 
promulgate and certified as coming from the production forestlands by LGUs. A certification 
19 
process shall be formulated by the Department in consultation with key stakeholders. 
20 
21 
SECTION 68. 
Compliance of Grading Rules. No person shall sell or offer for sale any log, 
22 
. lumber, veneer, plywood or other manufactured wood products in the international or domestic 
23 
market without complying with the grading rules established by the government. Failure to 
24. 
adhere to the established grading rules and standards, or any act of fulsification on the volume of 
25 
logs, lumber, veneer, plywood or other wood products sold in the international or domestic 
26 
market shall be sufficient cause for the cancellation of export license, wooci processing permit, or 
27 
other license or permit authorizing the manufacture or sale of such products. 
28 
29 
SECTION 69. 
Importation and Sale of Logs and Other Forest and Wood Products. Logs, 
30 
lumber, and other forest- and wood-hased products may be imported to the country subject to the 
31 
authorization of the Secretary and to the tariff and duties under Presidential Decree No. 1464 as 
32 
well as quarantine regulations. Any product manufactured or re-manufactured out of imported 
33 
forest and wood materials shall be allowed to be sold in the domestic or international market: 
34 
Provided, That the grading rules and standards therefore are complied with, otherwise the 
35 
sanctions in Section 69 hereof shall be imposed. 
36 
37 
38 
CHAPTER IX 
39 
CHARGES, FEES AND GOVERNMENT SHARE 
40 
41 
42 
SECTION 70. 
Fees and Government Shares for the Utilization, Exploitation, Occupation, 
43 
Possession of and Activities within Forestlands. The Department shall prescribe appropriate 
44 
government shares, including and rentals for the different kinds of utilization, exploitation, 
45 
occupation, possession, or activities within forestlands: Provided, That payment of or collection 
46 
of such fees and rentals shall be waived for parties/industries mandated by law to manage, 
47 
conserve, develop and protect forestlands and forest resources found therein, except 
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administrative fees for the filing and processing of applications for the issuance and renewal of 
licenses, permits, and agreements: Provided, fitrther, That watershed administrators and/or 
service contractors that have forest management agreements with the Department as provided for 
under Section 84 of this Act shall also be entitled to the waiver of fees, except administrative 
fees. 
. 
The State shall collect government shares from income, rentals or other fees, as owner of the 
resource and for its regulatory function. 
The guidelines to be formulated should ensure equitable 
sharing between the national government and LGUs. 
In order for the Department to prescribe appropriate and equitable fees for the use of water and other 
forest resources by parties/industries concerned for power generation, domestic and industrial 
irrigation, carbon sequestration and biodiversity benefits respectively, by parties/industries 
concerned taking into consideration natural resource valuation in the assignment of fees and 
ensuring equitable sharing of benefits between concerned national government agency and LGU, the 
Department Shall initiate the creation of an inter-agency task force for this purpose. 
SECTION 71. 
Timber Charges. There shall be collected charges on each cubic meter of 
timber cut in forestlands, using direct and indirect values, whether belonging to the first, second, 
third or fourth group, twenty-five percent (25%) of the actual freight of board (FOB) market 
price based on species and grading: Provided, however, That, in the case of pulpwood and 
matchwood cut in production forestland, forest charges on each cubic meter shall be ten percent 
(10%) ofthe actual FOB market price. 
SECTION 72. 
Charges on Firewood, Branches and Other Recoverable Wood Wastes of 
Timber. There shall be collected timber charges of one percent (1 %) of the market price on each 
cubic meter of firewood cut in production forestlands, branches and other recoverable wood 
wastes of timber, such as timber ends, tops and stumps, when used as raw materials for the 
manufacture of finished products, Provided, That the cutting of all mangrove species shall be 
prohibited, Provided forther, That only third of fourth group wood may be taken for firewood, 
Provided finally, That, if jointly authorized by the Secretaries of both the Department and the 
DA, first and second group woods may be removed from land which is more valuable for 
agriculture than for forest purposes, subject to the charges in the preceding section 
SECTION 73. 
Charges on Non-Timber Forest Products. All other forest products of 
forestlands which are not covered by the preceding section shall be exempted from any or all 
forest charges, except rattans, gums resins, beeswax, guttapercha, almaciga, resin, bamboo, 
vines, herbs, exudates and other species with commercial value, which shall be charged at ten 
percent (10%) ofthe actual FOB market price. 
SECTION 74. 
Determination of Market Price of Timber and Non-timber Products. The 
actual FOB market price of timber products shall be justly determined once a year by the 
Secretary: Provided, that the Secretary shall cause the creation of a committee to be composed of 
representatives of the Department, the National Economic and Development Authority, the 
. Department of Trade and .Industry, the Bureau of Internal Revenue and the wood and furniture 
industry and consumers, LGUs, academe, NGOs and other concerned sectoral representatives 
which shall formulate the criteria and/or guidelines in the determination of the actual FOB 
26 


1 
market price taking into consideration direct and indirect values to be used as tbe basis for tbe 
2 
assessment of the ad valorem tax, taking into consideration production cost (developing cost, 
3' 
contingencies, and miscellaneous cost), species and grade of timber, government share, 
4 
reforestation, tariff duties, taxes, risk involved, and a reasonable margin of profit for domestic 
5 
and export market prices for timber and timber products. 
6 
7 
Timber charges shall also be applied to naturally growing timber and timber products gathered from 
8 
aliena ble and disposable lands and private lands. Timber charges collected shall be in lieu of the 
9 
administrative charge on environment and other fees and charges imposed thereon: Provided, That 
10 
planted trees and other timber products harvested from industrial timber plantations and private 
11 
lands covered by existing tiller or by approved land application are exempted from payment of 
12 
timber charges. 
13 
14 
The duties incident to the measuring of timber products and the invoicing and collection of the 
15 
charges thereon shall be discharged by the LOU who shall likewise provide for the time, manner, 
16 
and place of payment of such charges under regulations of tbe Department. 
17 
18 
SECTION 75. 
Fees for Administrative Sen'ices Rendered by tlte Department. Reasonahle 
19 
fees shall be collected for various services rendered by personnel of tbe Department in 
20 
connection with their duties and responsibilities as may be requested by interested parties, 
21 
including but not limited, to surveying, mapping and other similar service activities: Provided, 
22 
That administrative fees shall be waived for services rendered to local communities or 
23' 
indigenous peoples in the preparation of their management plans, Provided jUrther, That a 
24 
percentage of the fees collected shall support the furtherance offormal forestry education. 
25 
26 
SECTION 76. 
Forest Conservation 
and Development Fund (FCDF). 
A Forest 
27 
Conservation and Development Fund (FCDF) to be administered by the LGU is hereby 
28 
established to provide sustainable funds for forest protection, restoration and management, 
29 
including the operations of the municipal forest management boards, rehabilitation and 
30 
preservation of watershed areas, CBFM program, information and educational campaign as well 
31 
as scholarship programs, policy research and development. At least seventy percent (70%) of the 
32 
forest charges and government share in all products removed from tbe forestlands, rentals, 
33 
proceeds from sales of confiscated forest products including conveyances, fines and penalties, 
34 
and administrative fees collected shall be set aside for the buildup of the FCDF. The fund may be 
35 
augmented by grants, donations, endowment from various sources, domestic or foreign for 
36 
purposes related to their functions: Provided, That fees collected by the LGU consistent with the 
37 
management plans formulated shall directly accrue to the said LGU's account: Provided,jUrther, 
38 
that a portion of the fees collected shall also go to the host communities, which protect and 
39 
maintain these watersheds, from which tbe headwaters emanate. 
40 
41 
42 
43' 
44 
45 
Disbursements from the fund shaH be subject to the usual accounting and budgeting rules and 
regulations: ProVided, That no amount shall be disbursed to cover the operating expenses of the 
Department and other concerned agencies. The forest management board will recommend to tbe 
Municipal Council the thrusts for fund allocation. 
46SECTION 77. 
Fees from Payment for Environmental Services (PES). The ERDB shall formulate 
47 
a certain value to environmental services, taking into account the positive and negative spillovers of 
27 


I 
the use of such resources or externalities, and establish appropriate pricing, institutional and 
2 
redistribution systems that will lead to sustainable and socially optimal land use practices. PES is a 
3 
form of payment for ecosystem services as a method of internalizing the positive and negative 
4 
externalities associated with a given ecosystem or a specific resource use. 
5 
6 
CHAPTER X 
7 
TREE PARKS 
8 
9 
SECTION 78. 
Establishment of Tree Parks in Subdivision and 1ree Planting on 
10 
Roadsides. Every suhdivision project to be developed after the passage of this Act shall include 
11 
'the establishment of a tree park of not less' than fifty percent (50%) of the required total open 
12' 
spaces as provided in Section 2 of Presidential Decree No. 953, requiring the planting oftrees in 
13 
certain places. Guidelines for the establishment of tree parks within a subdivision shall be 
14 
prepared jointly by the subdivision owner concerned, the Housing and Land Use Regulatory 
15 
Board (HLURB) and the Department. The subdivision owner shall provide the funds for this 
16 
purpose, These guidelines and allocation of funds shall be a condition precedent in the approval 
17 
of the subdivision plan. 
18 
19 
For every major public road or irrigation construction project, the Department of Public Works and 
20 
Highways (DPWH) shall include the planting and maintenance of appropriate trees along the 
21 
road/highway or irrigation canals as landscaped areas every twenty-five (25) kilometers thereof, 
22 
whenever appropriate, and shall provide adequate funds for this purpose. Each city and municipality 
23 
shall also allocate adequate funds for the planting, care and maintenance of trees or perennial shrubs 
24 
in 'greenbelts' or 'green spaces' such as road/street sides, center islands, among others. 
25 
26 
27 
CHAPTER XI 
28 
PROTECTION 
29 
30 
31 
SECTION 79. 
Assistance of Law Enforcement Agencies. The LGUs and the Department 
32. 
may call upon law enforcement agencies and instrumentalities of the Government sucb as the 
33 
Philippine National Police (PNP), the Armed Forces of the Philippines (AFP), and the National 
34 
Bureau of Investigation (NBI) for the enforcement of the forest-related laws, rules and 
35 
regulations. 
36 
37 
SECTION 80. 
Role of Local Re,ddent •. It shall be incumbent upon LGUs concerned to 
38 
render assistance in protecting and conserving forestlands within their respective territorial 
39 
jurisdiction. Qualified local residents may be deputized by the LGUs to assist in the drive against 
40 
illegal logging, kaingin-making and forestland occupation. These deputized residents shall 
41 
likewise be authorized to arrest forest violators within their communities subject to existing laws 
42 
and regulations on arrest and detention. The LGUs shall provide assistance to these deputized 
43 
residents in cases instances of citizens' arrests. 
44 
45 
SECTION 81. 
Prevention of Forest Fires. The concerned LGUs, in cooperation with the 
46 
Bureau of Fire Protection (BFP) and the Department, shall formulate and implement a fire 
47 
prevention and control program. 
28 


1. 
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SECTION 82. 
Control of Forest Pests and Diseases. The Department shall likewise 
formulate and implement a national integrated forest pest and disease management program 
Ind~dlng quarantine procedures for imported forest seeds and forest products to prevent, 
minImIze or control forest pests and diseases in the reforestation strategies. 
SECTION 83. 
Prohibition on Genetically Engineered and Transgenic Trees. Planting! 
introduction andlor use of genetically engineered (GE) and transgenic trees are prohibited in all 
forestlands. 
SECTION 84. 
Information allti Rewards '<''ystem. The LGU shall establish an information 
and rewards system as part of the community's participation in the protection of forest resources. 
The rewards shall be payable immediately upon the establishment of prima facie proof of 
violation. When an information given leads to the seizure of logs or timber and other forest 
product and results in a conviction, the informer shall also be entitled to twenty percent (20%) of 
the gross value of the recovered or seized forest resource. The implementation of the rewards 
system shall be in collaboration with the Department, the Forest Management Board and the 
Philippine National Police. 
CHAPTER XII 
RESEARCH, EDUCATION, T~AINING AND EXTENSION 
SECTION 85. 
Research and Technology Development Transfer. ~esearch and technology 
development transfer shall be strengthened to support sustainable management of forest 
resources. The Department, the Department of Science and Technology (DOST), the 
Commission on Higher Education (CHEO), and the State Universities and colleges shal~ within 
one (I) year from the passage of this Act, prepare a comprehensive sustainable national forestry 
and environmental research and technology development and transfer program in furtherance of 
sustainable forest management which shall be implemented, monitored, and reviewed in 
accordance with existing research management systems. Adequate and sustainable funds to 
implement research and technology development plans and transfer program shall be provided 
by each of the aforementioned agencies and institutions under the General Appropriations Act. 
Appropriate funds shall be allotted for research and development. 
SECTION 86. 
Public Information, Education and Advocacy Campaiglt. With the support 
from LGUs, NGOs, media and other organizations, the Department, the Philippine Information 
Agency (PIA), the Department of Education (DepEd), CRED, State-owned and private 
universities and colleges shall formulate and implement a nationwide program for sustained 
public information and advocacy campaign for forest and natural resources conservation and 
sustainable forest development and management. The DepEd shall include subjects on 
environment, forest and natural resources in the curricula for elementary and high school 
education. The CRED shall likewise include mandatory ecology and environment courses in the 
general education curricula. Congress shall allocate funds to the Department for the purpose of 
coordinating a systematic campaign to promote community ecological awareness, including the 
preparation of informational and educational materials therefore. A percentage of appropriations 
29 


I 
specified in Section 122 shall be set aside for this purpose. 
2 
3 
SECTION 87. 
Formal ~Forestry, Agroforestry and environmental Education.- The CHED 
4 
in collaboration with the Department, the Board Of Examiners for Foresters of the Professional 
5 
Regulations Commission (PRC), Philippines Forestry Education Network, Philippine 
6 
Agroforestry leducatlOn and Research Network, Environmental Education Network of the 
7 
Philippines and th~ duly accredited national professional foresters organization shall actively 
8 
pursue the ratIOnalization of formal forestry education by assigning higher weights on non-
9 
timber extraction subjects. The licensure exam shall require minimum units on forest restoration 
10 
related subject and the establishment of centers of excellence in forestry and environmental 
II' 
education to ensure higb quality manpower output to meet the needs of the forestry sector and 
12 
the country as a whole. The following areas shall be strengthened: 
13 
a. Sustainable forest management; 
14 
b. Natural resource management; 
15 
c. Biodiversity conservation; 
16 
d. Wildlife conservation; 
17 
e. Wildlife managem~nt; 
18 
f 
Entrepreneurship on non-timber forest resources; 
19 
g. Environmental laws; 
20 
h. Forest restoration technology; 
21 
I. 
Environmental science; and 
22 
J. 
Community development. 
23 
24 
SECTION 88. Continuing Education on Forestry. A non-formal program of continuing education 
25 
shall be established to maintain the growth of the forestry profession. The PRC Board of 
26 
Examiners for Foresters and the Civil ServICe Commission (CSC) shall provide the guidelines 
27 
for a program in continuing education in forestry. In cooperation with academic institutions, the 
28 
Department shall develop the infrastructures to institutionalize non-formal continuing education 
29 
for the forestry sector. 
30 
31' 
SECTION 89. Training Centers. In coordination with TESDA, DepEd, CHED and State 
32 
Universities and Colleges (SUCs) and other relevant institutions, stakeholders and local 
33 
communities, the Department shall establish and institutionalize a network of training centers in 
34 
strategic parts of the country to provide regular and up-to-date training on the various aspects of 
35 
sustainable forest management and restoration to forest guards, LGUs, NGOs, local 
36 
communities, and indigenous peoples. Furthermore, the Department shall ensure that personnel 
37 
appointed to critical and sensitive positions undergo training to prepare them to discharge their 
38 
duties and responsibilities professionally, efficiently and effectively. 
39 
40 
SECTION 90. Policy Research and Development Network. The Department, through the 
41 
Ecosystem Research and Development Bureau (ERDB), and in collaboration with the SUCs and 
42 
private university and institutions, shall form part of a network to serve as the primary policy 
43 
research and development center for forestry and natural resources management. The Network 
44 
shall perform its functions in close coordination with the Department and other policy research 
45 
institutions in the count.1y. It shall assist the Department in the fonnuJation, review, and 
46 
evaluation of proposed and existing policies on forestry and natural resources management. 
47 
30 


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47 
CHAPTER XIII 
OFFENSES AND PENALTIES 
SECTION 91. Non-Establishment of Tree Parks/Communal Forests. Any city, municipality or 
subdivision owner who fails to establish tree parks as provided in Sections 76 herein shall be 
punished by a fine of not less than One Hundred Thousand Pesos (p100,000.00) nor more than 
Five Hundred Thousand Pesos (p500,000.00). The subdivision plan will not be given approval 
until guidelines have been formulated and funds have been allocated for the purpose. 
SECTION 92. Harvesting, Gathering and/or Collecting 11mber or Other Forest Products without 
Authority. Any person who shall harvest, cut, gather, collect, or remove timber or other forest 
products from any forestland, or timber from all forestlands, whether protection or production 
forestlands, or inside alienable and disposable public land and private lands except as provided, 
or forest resources in alienable and disposable lands without authority from the Secretary or 
found to possess the same without pertinent required legal documents shall be punished by 
imprisonment ranging from prision mayor minimum period to reclusion temporal minimum 
period and/or a fine equivalent to ten (l0) times the value of the said forest product but not less 
than Fifty Thousand Pesos (50,000.00): Provided, That in the case of partnerships, associations 
or corporations, the president, managing partner, and general manager shall be held liable, and if 
such officer is an alien, he shall, in addition to tbe penalty, be deported without further 
proceedings on the part of the Bureau of lnunigration and Deportation. Offenders who are public 
officials shall be deemed automatically dismissed from office and permanently disqnalified from 
holding any elective or appointive position. 
All timber or any forest products cut, gathered, collected, removed, or possessed and all the 
conveyances, machinery, equipment, implements, work animals, and tools used in connection with 
this violation shall be seized and confiscated in favor of the State. 
SECTION 93. Illegal Cuffing as an Act of Economic Sabotage. Any of the acts enumerated in the 
preceding section committed by an armed group or by any group through organized and 
systematic manner, for conunercial purposes, shall be considered an act of economic sabotage 
punishable by reclusion perpetua. 
The conunission of any of the prohibited acts by two or more individuals with or without the 
aid of any mechanical device shall constitute a prima facie evidence that the act is organized and 
systematic. 
Any permittee/agreement holder who shall buy logs from unlicensed loggers or loggers 
operating without permits shall be considered in violation of this Act and, upon conviction, shall also 
be punished with reclusion perpetua. 
SECTION 94. Use of Illegally Cut Timber in Government Infrastructure Projects. Contractors of 
government infrastructure projects shall obtain certification from the Department that the logs or 
lumber to be used therein were obtained from legitimate sources. The use of illegally cut 
naturally grown timber from protection forests or illegally cut timber from production forests in 
government infmstructure projects shall be sufficient cause for the imposition of penalties 
31 


1 
provided in Section 88, on harvesting of forest products without authority, and Section 89, on 
2 
illegal cutting as an economic sabotage, including the withholding of the payment to the 
3 
contractor. 
4 
5 
SECTION 95. Grazing Live.~tock on Forestlands wit/lOut a Permit. Any person found to have 
6 
caused the grazing of livestock in forestlands and grazing lands without an authority under a 
7 
lease or permit to graze, upon conviction, shall be penalized with imprisonment of not less than 
8 
two (2) years nor more than four (4) years and a fine equivalent to ten times the regular rentals 
9. 
due in addition to confiscation of the livestock and all improvements introduced in the area in 
10 
favor of the government, and shall restore the affected area into the original state of the natural 
11 
resource; Provided, That in case the offender is a corporation, partnership, or association, the 
12 
officer or director thereof who directly caused or ordered such shall he liable. In case the 
13 
offender is a public officer or employee, he shall, in addition to the above penalties, be deemed 
14 
automatically dismissed from office and permanently disqualified from holding any elective or 
15 
appointive position in the government service. 
16 
17 
SECTION 96. Unlawful Occupation or Destruction of Forestlands. Any person who, without 
18 
authority from the Secretary, enters and occupies or possesses, or engages in kaingin-making for 
19 
his own private use or for others, any forestland or grazing land, or in any manner destroys such 
20 
forestland or part thereof, or causes any damage to the timber stands and other forest product 
21 
found therein, or assists, aids or abets another person to do so, or sets a fIre, or negligently 
22 . 
. permits a fIre to .be set therein, or refuses lawful orders to vacate the area when ordered to do so 
23 
shall, upon conviction, be punished with penalties in the amount of not less than One Hundred 
24 
Thousand Pesos (PI 00,000. 00) nor more than Five Hundred Thousand Pesos (p500,000.00) and 
25 
imprisonment of not less than six (6) years nor more than twelve (12) years for each offense: 
26 
Provided, That in the case of an offender found guilty of kaingin-making, the penalty shall be 
27 
imprisonment of not less than ten (10) years nor more than twelve (12) years and a fme 
28 
equivalent to eight times the regular forest charges due on the forest products destroyed without 
29. 
prejudice to payment of the full cost of rehabilitation of the occupied areas as determined by the 
30 
Department: Provided, forther, That the maximum of the penalty prescribed herein shall be 
31 
imposed upon the offender who repeats the same offense, and double the maximum penalty upon 
32 
the offender who commits the same offense for the third time or more. In all cases, the court shall 
33 
further order the eviction of the offender from tbe area occupied and the forfeiture to the 
34 
government of all improvements made therein, including all vehicles, domestic animals and 
35 
equipment of any kind used in the commission of the offense. If not suitable for use by the 
36 
Department, said improvements, vehicles, domestic animals and equipment shall be sold at 
31 
public auction, the proceeds from which shall accrue to the FCDF. lfthe offender is an alien, he 
38 
shall be deported after serving his sentence and payment of fInes, without any further 
39 
proceedings. An offender who is a government officer or employee, shall, in addition to the 
40 
above penalties, be deemed automatically dismissed from office and permanently disqualified 
41 
from holding any elective or appointive position in the government service. 
42 
43 
SECTION 97. Illegal Conversion of City or Municipal Parks, Communal Forests, atlll Tree Parks 
44 
in Subdivisions. Any person found to have converted or caused the conversion of a city or 
45 
municipal park or communal forest, or tree parks within subdivisions established pursuant to Sec. 
46 
75 herein and Section 2 of Presidential Decree No. 953, requiring the planting of trees in certain 
47 
places, into other uses including the construction of permanent buildings therein, or in any 
32 


I 
manner destroys or causes any damage to the timber stands and other forest product found 
2 
therein, or assists, aids or abets another person to do so, or sets a fire, or negligently permits a 
3 
fire to be set therein, upon conviction, shall be penalized by imprisonment of six (6) years and 
4 
one (1) day to twelve (12) years or a fine of not less than One Hundred Thousand Pesos 
5 
. (PIOO,OOO.OO) nor more than Five Hundred Thousand'Pesos (p500,000.00), or both fine and 
6 
imprisonment at the discretion of the Court. The offender shall likewise be imposed a fine 
7 
equivalent to eight times the commercial value of the forest products destroyed without prejudice 
8 
to payment of the full cost of rehabilitation of the areas as determined by the Department: 
9 
Provided, fitrthel; That the maximum of the penalty prescribed herein shall be imposed upon the 
10 
offender whn repeats the same offense, and double the maximum penalty upon the offender who 
11 
commits the same offense for the third time or more. The court shall further order the forfeiture 
12 
to the government of all improvements made therein, including all vehicles, domestic animals, 
13 
and equipment of any kind used in the commission of the offense. If not suitable for use by the 
14 
Department, said improvements, vehicles, domestic animals and equipment shall be sold at 
15 
public auction, the proceeds from which shall accrue to the FCDF. An offender who is a 
16 
government officer or employee, in addition to tbe above penalties, shall be deemed 
17 
automatically dismissed from office and permanently disqualified from holding any elective or 
18 
appointive position in the government service. 
19' 
20 
SECTION 98. Misdeclaration or Falsification of Reports on Forest Resource Inventory, Scaling, 
21 
and Survey by a Government Official or Employee. Any public officer or employee who 
22 
knowingly misdeclares or falsifies reports pertaining to forest resource inventory, scaling, survey,. 
23 
and other similar activities which are contrary to the criteria and standards established in the 
24 
rules and regulations promulgated by the Secretary thereof, after an appropriate administrative 
25 
proceeding, shall be dismissed from the service with prejudice to re-employment. Upon 
26 
conviction by a court of competent jurisdiction, the same public officer or employee shall further 
27 
suffer an imprisonment of not less than eight (8) years nor more than twelve (12) years and a fine 
28 
of not less than One Hundred Thousand Pesos (PIOO,OOO.OO) nor more than Five Hundred 
29 
Thousand Pesos (P500,000.00) and the termination of license to practice forestry if the offender 
30 
is a professional or registered forester: Provided, That the inventory, survey, scale, classification, 
31 
and similar reports referred herein shall be rendered null and void. 
32 
33 
SECTION 99. Unlawful Operation of Sawmills. Any person operating a sawmill or mini-sawmill 
34 
without authority from the Secretary shall be punished by a fine of not less than Two Hundred 
35 
Fifty Thousand Pesos (P250, 000.00) and confiscation of the sawmill or mini-sawmill and 
36 
complementary equipment in favor ofthe government for appropriate disposition. 
37 
38 
SECTION 100. 
Unlawful Operation of Wood Processing Plants and Downstream 
39' 
Industries. Any person operating a wood processing plant or downstream forest-based industry 
40 
without authority from the Secretary, shall be punished by, upon conviction by a court of 
41 
competent jurisdiction, imprisonment of not less than eight (8) years nor more than twelve (12) 
42 
years and a fine of not less than Five Hundred Thousand Pesos (p500,OOO.00) and confiscation of 
43 
the wood processing plant and complementary equipment in favor of the government. The 
44 
Department shall promulgate the necessary guidelines, subject to the provisions of this Act that 
45 
will define the terms and .conditions for the operation of a wood processing plant andlor other 
46 
. downstream forest-based industries. 
47 
33 


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47 
SECTION 101. 
Prohibition on the Issuance of Tax Declaration on Forestlands. - Any 
public officer or employee who issues a tax declaration for any purpose on any part of 
forestlands, upon conviction, shall be penalized with imprisonment for a period of not less than 
four (4) years nor more than eight (8) years and perpetual disqualification from holding an 
elective or appointive office. The tax declaration shall be considered null and void. Tax 
declarations within protection forestlands shall be reviewed and be cancelled after due process. 
SECTION 102. 
UnLawful Pos.~es.~ion of Implements and Devices Used by Forest Officers. 
Any person found possessing or using implements and devices used by forest officers shall be 
penalized with imprisonment of not less than eight (8) years nor more than twelve (12) years and 
a fine of not less than One Hundred Thousand Pesos (P100,000.00) nor more than Five Hundred 
Thousand Pesos (p500,000.00) in addition to the confiscation of such implements and devices 
and the automatic cancellation of any license agreement, license, lease or permit. 
Any forest officer who willingly allowed unauthorized person(s) to use these implements and 
devices under his care shall be penalized with imprisonment of not less six (6) years and one (I) day 
to no more than twelve (12) years and a fme of not less than One Hundred Thousand Pesos 
(PIOO,OOO.OO) nor more than Five Hundred Thousand Pesos (P500,000.00). 
In addition, the said forest officer shall be dismissed from the service with prejudice to 
reinstatement and with perpetual disqualification from holding an elective or appointive position. 
SECTION 103. 
Unauthorized Introduction of Logging Tools and Equipment Inside 
Forestlands. It shall be unlawful for any person or entity to possess, bring, or introduce any 
logging tools or equipment inside forestlands without prior authority, from the Secretary or his 
duly authorized representative. Any person found guilty of illegal possession of said logging 
tools or equipment shall be liable to imprisonment of six (6) years and one (1) day to twelve (12) 
'years or a fine of not less than' One Hundred Thousand Pesos (PI 00,000. 00) nor more than Five 
Hundred Thousand Pesos (P500,000.00) or both imprisonment and fine, and confiscation of said 
logging tools and equipment in favor of the government. 
SECTION 104. 
Non-Payment and Non-Remittance of Forest Charges. Any person who 
fails to pay the amount due and payable as forest charges to the government shall not be allowed 
to transport, convey, sell, nor use the timber or forest product. Moreover, failure to pay within 
thirty (30) days upon assessment of forest charges shall be a ground for confiscation of the said 
timber or forest product in favor of the government. Any person who fails or refuses to remit to 
the proper authorities said forest charges collectible pursuant to the provisions of this Act or the 
National Internal Revenue Code, as amended, or who delays, obstructs or prevents the same, or 
who orders, causes or effects the transfer or diversion of the funds for purposes other than those 
specified in said Acts shall, upon conviction, be imprisoned for not less than six (6) years nor 
more than ten (10) years and fined from One Hundred Thousand Pesos (P100,000.00) nor more 
than Five Hundred Thousand Pesos (P500,000.OO). If the offender is a corporati',m, partnership, 
or association, the officers and directors thereof shall be liable. 
SECTION 105. 
Institution of Criminal Action by Forest OffICers. Any forest officer shall 
arrest any person who has committed or is about to commit, or is committing in his presence any 
of the offenses defined in this chapter. The tools, animals, equipment and conveyances used in 
34 


committing the offense, and the forest products cut, gathered, taken or possessed by the offender 
2 
in the process of committing the offense shall also be seized and confiscated in favor of the 
3 
government. The arresting forest officer shall thereafter deliver within thirty-six (36) hours from 
4 
the time of arrest or seizure botb the offender and the confiscated forest products, conveyances, 
5 
tools and equipment, or the documents pertaining to the same, and file the proper complaint with 
6 
the appropriate official designated by law to conduct preliminary investigation and file 
7 
information in court. If the arrest and seizure are made in the forest far from authorities 
8 
designated by law to conduct preliminary inwstigations, the delivery to and filing of the 
9 
complaint with the latter shall be done within a reasonable time sufficient for ordinary travel 
10 
. from the place . of arrest .. to . the place of delivery. The seized forest products, materials, 
11 
conveyances, tools and equipment shall be immediately disposed of in accordance with the 
12 
regulations promulgated by the Secretary. 
13 
14 
The Secretaty may deputize any agency, barangay official, or any qualified person to protect the 
15 
forest and exercise the powers or authority provided for in the preceding paragraph. Reports and 
16 
complaints regarding the commission of any of the offenses defined in this chapter not committed in 
17. 
the presence of any forest officer or any of the dep\ltized officers shall immediately be reported to 
18 
the forest officer assigned in the area where the offense was allegedly committed. Thereupon, the 
19 
investigating officer shall receive the evidence supporting the report or complaint and submit the 
20 
same to the appropriate official authorized by law to conduct a preliminary investigation of criminal 
21 
cases and file the information in court. 
22 
23 
The Secretary of Justice shall designate in every city and province a special prosecutor who shall file 
24 
charges against forest violators to ensure their speedy prosecution. 
25 
26 
SECTION 106. 
Liability of Custodian of Confiscated Forest Products. Any public officer 
27 
who fails to produce the timber or forest products, including tools, conveyances, equipment, and 
28 
devices in his custody pursuant to a seizure or confiscation made thereon, or who shall 
29 
appropriate, take, misappropriate, or shall permit another person to take such timber forest 
30 
products wholly or partially, shall suffer the penalty provided for in Article 217, on Malversation 
31 
of Public Funds or Property, of the Revised Penal Code. In addition, the said public officer shall 
32 
be dismissed from service with prejudice to reinstatement and with perpetual disqualification 
33 
from holding any elective or appointive office. 
34 
35 
36 
CHAPTER XIV 
37 
ADMINISTRATIVE PROVISIONS 
38 
39 
SECTION 107. 
Strengthening of the Forest Management Sector. 
Only qualified 
40 
environmental management professionals and practitioners shall be appointed to the positions of 
41 
Director and Assistant Director of the FMB as well as to all other positions where the services of 
42 
professional foresters e.g. CENRO are required in accordance with existing laws and the relevant 
43 
rules and regulations issued by the Civil Service Commission (CSC) and the Professional 
44 
Regulations Commission (PRC). 
45 
46 
SECTION 108. 
Administrative Authority of the Secretary or his Duly Authorized 
47 
Representatil'e to Order Confiscation. In all cases of violations of this Act or other forest laws, 
35 


1 
rules, and regulations, the Secretary or his duly authorized representative may order the 
2 
confiscation of forest products illegally harvested, cut, gathered, removed or possessed or 
3 
ahandoned, and all conveyances used either by land, water, or air as well as all machinery, 
4 
equipment, implements, and tools used in the commission of the offense and to dispose of the 
5 
same in accordance with pertinent laws, regulations, or policies on the matter. 
6 
7 
The Secretary may order that the sale of confiscated perishable forest resources at public 
8 
auction even before the termination of the judicial proceedings, following the applicable Rules on 
9 
Evidence, with the proceeds of such sale kept in trust to await the outcome of the judicial 
10 
proceedings. 
11 
12 
No court of the Philippines shall have jurisdiction to issue any Writ of Replevin, restraining 
13 
order, or preliminary mandatory injunction in any case involving or growing out of any action by the 
14 
Secretary or his duly authorized representative in the exercise of the foregoing administrative 
15 
authority. 
16 
17 
SECTION 109. 
Cancellation of Permits, Licenses, Agreements. The Secretary motu proprio 
18 
or upon the filing of a petition, may cancel any permit, license or agreement. 
19 
20 
SECTION 110. 
Administrative Authority of the Secretary to Impose Fines. In all cases of 
21 
violations of this Act and other forest laws, rules and regulations where fine is the principal 
22 
penalty, the Secretary is hereby authorized to impose administratively the penalty consisting of 
23 
the amount and the schedules of the fine which shall be officially published in a national 
24 
newspaper of general circulation. 
25 
26 
SECTION 111. 
Authority of Forest Officers. When m the performance of their official 
27 
duties, forest officers or other government officials or employees duly authorized by the 
28 
Secretary or deputized as such shall have free entry into areas covered by a contract, agreement, 
29 
license, lease or permit. Forest officers are authorized to inspect and to open closed vans 
30 
suspected to contain illegally harvested, collected or transported forest product: Provided, That it 
31 
is done in the presence of the shipper or consignee or two (2) responsible public officials in the 
32 
locality, Providedfurther, That in cases where entry shall be in ancestral domains/ancestrallands, 
33 
said persons shall secure the free, prior and informed consent of the ICCslIPs therein, Forest 
34 
. officers' are' authorized to' adniinister oath, 'take acknowledgment in official matters connected 
35 
with the functions oftheir office, or take testimony in official investigations conducted under the 
36 
authority of this Act and the implementing rules and regulations issued by the Secretary pursuant 
37 
thereof 
38 
39 
SECTION 112. 
Visitorial Powers. The Secretary or his duly authorized representative shall, 
40 
from time to time, investigate, inspect, and examine records and other documents except bank 
41 
records related to the operation of any person granted the privilege, contract, or agreement to 
42 
utilize forest resources to determine compliance with the terms and conditions stipulated in the 
43 
grant, contract or agreement, this Act, and pertinent laws, rules, and regulations. 
44 
45 
SECTION 113. 
Transparency. Records, agreements, applications and all other pertinent 
46 
documents as well as conditions to the same shall be made available to the public at all times. 
47' 
Records pertaining to the specific limits of forestlands shall also be made available to the public. 
36 


I 
MoreQver, the Department shall fhrnish all provincial, municipal and city government units 
2 
copies of the maps of permanent forestlands located within their respective territorial 
3 
jurisdictions. 
4 
5 
SECTION 114. 
Other Incentives. Twenty percent (20%) of the value of confiscated materials 
6 
shall be used as incentives to informants, forest management council, forest management boards, 
7 
including Department personnel. They shall also be entitled to free legal assistance should legal 
8 
cases be filed against them in the performance of official duties. 
9 
10 
SECTION 1lS. 
Suits and Strategic Legal Actions against Public Participation and tlte 
11 
Enforcement of Tltis Act. Where a suit is brought against a person who filed an action as 
12 
provided in Section 113 of this Act, or agamst any person, institution or government agency that 
13 
implements this Act, there being no grave abuse of authority, it shall be the duty of the 
14 
investigating prosecutor or the court, as the case may be, to immediately make a determination 
15 
not exceeding thirty (30) days whether said legal action has been filed to harass, vex, exert undue 
16· 
.pressure or stifle such legal recourses of the per~on complaining of or enforcing the provisions of 
17 
this Act. Upon determination thereof, evidence warranting the same, the court shall dismiss the 
18 
case and award attorney's fees and double damages. This provision shall also apply and benefit 
19 
public officers who are sued for acts committed in their official capacity, there being no grave 
20 
abuse of authority, and done in the course of enforcing this Act. 
21 
22 
SECTION 116. 
Citizens' Suits. For purposes of enforcing the provisions of this Act or its 
23 
implementing rules and regulations, any citizen may file an appropriate civi~ criminal or 
24 
administrative action in the proper court against: 
25 
26 
a. any person who violates or fails to comply with the proVlSlOUS of this Act or its 
27 
implementing rules and regulations; or 
28 
b. the Department or other implementing agencies with respect to orders, rules and 
29 
regulations issued inconsistent with this Act; and 
30 
c. any public officer who willfully or grossly neglects the performance of an Act 
31 
specifically enjoined as a duty by this Act or its implementing rules and regulations, or 
32 
abuses his authority in the performance of his duty, or in any manner, improperly 
33 
performs his duties under this Act or its implementing rules and regulations: ProVided, 
34 
howevel; That no suit can be filed until after a thirty-day notice has been given to the 
35 
public officer and the alleged violator concerned and no appropriate action has been taken 
36. 
thereon. 
37 
38 
The court shall exempt such action from the payment of filing fees, and shall, likewise, upon prima 
39 
facie showing of the non-enforcement or violation complained of, exempt the plaintiff from the 
40 
filing of an injunction bond for the issuance of a preliminary injunction. 
41 
42 
SECTION 117. 
Protection to Wlinesses in Cases Involving Violation of Forestry Laws. 
43 
Witnesses to violations of this Act or other forestry laws and regulations, including the 
44 
inunediate members of the family of said witnesses shall be given protection, security and 
45 
benefit, subject to the provisions of Republic Act No. 6981, otherwise known as "The Witness 
46 
Protection, Security and Benefit Act" and its implementing rules and regulations. 
47 
37 


1 
2 
3 
4 
5· 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
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19 
20 
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22 
23 
24 
25. 
26 
27 
28 
29 
30 
31 
32 
33 
34 
35 
36 
37 
38 
39 
40 
r 
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42 
43 
44 
45 
46 
47 
SECTION 118. 
Rule-Making Autitority. In consultation with the NCIP, the DILG; the 
Department of Finance, the leagues of provinces, cIties, and municipalities, other government 
agencies mentioned herein and other relevant stakeholders (i.e. academic institutions, NGOS), 
the Department shall promulgate the implementing rules and regulations within one (1) year 
from the effectivity of this Act. 
SECTION 119. 
Congressional 
Over.~igltt Committee. 
There 
IS 
hereby 
created 
a 
Congressional Oversight Committee composed of seven (7) members from the Senate 
Committee on Environment and Natural Resources and seven (7) members from the House of 
Representatives Committee on Natural Resources. The Chairpersons of the corresponding 
committees shall also be the Co-chairpersons of the Oversight Committee. 
The secretariat of the Oversight Committee shall be drawn from the existing secretariat 
personnel of the committees comprising the oversight and the funding shall be taken from the 
appropriations of both the House of Representatives and the Senate. 
CHAPTER XV 
FINAL PROVISIONS 
SECTION 120. 
Transitory Provisions. Upon the approval of this Act, the Department shall 
evaluate the conditions of all forestlands covered by existing TLAs, licenses, or permits and the 
like, which shall be allowed to continue until their expiry; PrOVided, That cutting or felling of 
trees in forests shall be prohibited, Provided fUrther, that such TLA, license, permits and other 
instruments shall be terminated for the following grounds: 
a. When the licensee has been found to be a dummy of an otberwise disqualified or 
unqualified person; 
b. When thll licensee has been found to be farming out the license or receiving royalty of 
any kind; 
c. When the licensee has been found to be cutting or operating outside the limits of the 
license or within an area specifically designated or sub-classified by the Department as 
protection forestland; 
d. When the licensee has been found to be allowing illegally-cut timber to be invoiced under 
its license; 
e. When the licensee has been found to be inducing any other person to log in other areas in 
violation of the Department's regulations; 
f. 
Failure to submit to the Department the required copies of auxiliary invoices covering 
timber manifested under the license; 
g. Failure to leave undamaged an adequate stand of young trees for residual growing stock 
or for seeding pwposes and to employ the necessary number of laborers needed for 
timber management work; 
h. When the licensee has, for the third time after written wammg, intentionally cut, injured 
or destroyed trees marked by forest officers and unmarked poles and saplings for future 
growing stock, seeding, or protection; 
I. 
Failure to employ the required number of concession guards as determined by the 
Department; 
J. 
Failure to protect the concession or license area or parts thereof from being converted 
38 


r 
I 
r-
1 
into kamgm, or from illegal timber cutting, and other forms of trespass; 
2 
k. When the licensee has been found to have failed to put up the processing plant for the 
3 
area within the required period, when made a condition in the award of the area and the 
4 
grant ofthe lIcense; 
5 
1. 
Failure to pay pending forest accounts; 
6 
m. Failure to maintain and make conspicuous the approved and established boundaries of his 
7 
concession or license area; 
8 
n. Failure to suspend operations within a conflicted area when so required by the 
9 
Department or its authorized representatives, pending fmal decision of the conflict; 
10 
o. Allowing a contractor to operate the license area or concession; and 
II 
p. Violation of any of the terms and conditions of the license, the NIPAS Act and its 
12 
implementing rules and regulations, the Wildlife Resources Conservation and Protection 
13 
Act, or any of the provisions of law on internal revenue and labor, and Department 
14 
regulations. 
15 
16 
Any of the violations enumerated above will be cause for the immediate cancellation of the permit, 
17 
timber license agreement or any other similar instrument. 
18 
19 
Provided, That the Department shall immediately take control of the land and consult with the 
20 
concerned LGU and/or local communities for the proper management of the area covered by the said 
21 
cancelled permit, TLA or instrument. 
22 
23 
The relevant agencies shall formulate the appropriate rules and regulations for the implementation of 
24 
this Act. 
25 
26 
SECTION 121. 
Appropriations. The amount necessary to initially implement the provisions 
27 
of this Act shall be charged against the appropriations of the Department of Environment and 
28 
Natural Resources in the current General Appropriations Act Provided further that a share from 
29 
the VAT on oil and natural gas, emission testing tax, flood control tax, road users tax, and the 
30 
Reforestation, Watershed Management, Health and/or Environment Enhancement Fund, pursuant 
31 
to Section 4 of Republic Act No. 9l36, otherwise known as the Electric Power Industry Reform 
32 
Act of 2001 (EPlRA), and its Implementing Rules and Regulations (IRR), shall be appropriated 
33 
to fund provisions in this Act. Thereafter, such sums as may be necessary to fully implement the 
34 
provisions of this Act shall be included in the annual General Appropriations Act. For local 
35 
government units, the funding requirements shall be taken from their internal revenue allotment 
36 
(IRA) and other sources of income including the income derived from the shares from the 
37 
different modes of agreement. 
38 
39 
SECTION 122. 
Separability 
Clause. 
Should 
any 
proVISIOn 
herein 
be 
declared 
40 
unconstitutional or invalid, the same shall not affect the validity or legality of the other 
41 
provisions. 
42 
43 
SECTION 123. 
Repealing Clause. Subsections (b), (d), (e), (t), (g), and (i) of Section 4 of 
44 
Act No. 3915; Republic Act Nos. 460 and 7161; Presidential Decree Nos. 705, 1153, 
45 
1515,1559,1775 and 1998; Letter ofInstruction No. 818; Executive Order Nos. 277, series of 
46 
1987, and Executive Order No. 725, series of 1981, are hereby repealed, and all laws, orders, 
47 
rules and regulations, or any part thereof which are inconsistent herewith are likewise hereby 
39 


, , 
1 
repealed or amended accordingly; Provided, That this Act shall not in any manner amend the 
2 
IPRA, NIP AS law and the Wildlife Resources Act. 
3 
4 
SECTION 124. 
Effectivity. This Act shall take effect thirty (30) days from the date of its 
5 
·publication ·in the Official Gazette or in· at· least two (2) national newspapers of general 
6 
circulation. 
7 
8 
Approved, 
40