REPUBLIC OF THE PHILIPPINES
SEVENTEENTH CONGRESS
First Regular Session

HOUSE OF REPRESENTATIVES

H.N03579

Introduced by REPRESENTATIVE GLORIA MACAPAGAL ARROYO.

AN ACT
REGULATING THE PRODUCTION, SALE, USE, RECOVERY, RECYCLING, AND DISPOSAL OF PLASTIC BAGS,
PROMOTING THE USE OF REUSABLE BAGS, PROVIDING MECHANISM FOR THE RECOVERY, COLLECTION, AND
DISPOSAL OF PLASTIC BAGS, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Circulating online are images and videos of wildfire contending with the tremendous amount
of plastic invading their homes. Fish with plastic wrapper around their body, sea turtles with plastic
in their noses, and even birds with their stomachs full of plastic bottle caps broke hearts and opened
minds to the harmful effects of our consumer-driven society.

Our very own APO island in Negros, where sea turtles gather, have residents regularly
cleaning up plastic garbage that wash up from ships and the mainland in order to protect the
precious marine life in their area that bring livelihood through tourism

‘According to the Earth Policy Institute based in Washington, D.C, United States, an estimated
‘one trillion (1,000,000,000,000) single-use plastic bags are used each year, at a rate of almost two
million per minute (2,000,000/min). Oftentimes immediately discarded, single-use plastic bags are
found in landfills and have become a significant cause of water pollution. In addition, plastic bags
that are burned adversely impact the environment and human health, given the level of toxic
chemical content.

This bill aims to facilitate the transition to a complete prohibition of plastic bag use at point-
of-sale stores, and mandate regulations for its production, collection, and proper disposal.

The immediate approval of this bill is urgently sought.

GLORIA MACAPAGAL ARROYO.
2 District, Pampanga


REPUBLIC OF THE PHILIPPINES
‘SEVENTEENTH CONGRESS
First Regular Session

HOUSE OF REPRESENTATIVES.

H.8.No. 35°79

Introduced by REPRESENTATIVE GLORIA MACAPAGAL ARROYO

AN ACT
REGULATING THE PRODUCTION, SALE, USE, RECOVERY, RECYCLING, AND DISPOSAL OF PLASTIC BAGS,
PROMOTING THE USE OF REUSABLE BAGS, PROVIDING MECHANISM FOR THE RECOVERY, COLLECTION, AND
DISPOSAL OF PLASTIC BAGS, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representative of the Philippines in Congress
assembled:

SECTION 1. Short Title. — This Act shall be known as the “Plastic Bag Phase-Out Act.”

SECTION 2. Declaration of Policy. — It is hereby the declared the policy of the State to protect
and promote the right of the people to a balanced and healthful ecology and the right to health. It is also
hereby declared the policy of the State to protect the physical, moral and social well-being of its citizens by
ensuring the use of non-toxic and non-hazardous materials in commerce and trade. Towards this end, the
State shall regulate the manufacture, use, recycling, and disposition of plastic bags.

SECTION 3. Definition of Terms. ~As use’

this Act, the following terms shall mean

(a) Biodegradable plastic bag — a plastic bag that is made of compostable material and
biodegrades through the action of naturally occurring microorganisms such as bacteria,
fungi, and algae. Such plastic bags shall have a ninety percent (90%) biodegradation in less
than 6 months where organic carbon is converted to carbon dioxide without leaving
significant harmful residue.

This definition shall not include degradable bags (such as oxo-bio) which only break
down into smaller pieces of plastic. Such degradable shall be considered as plastic bags as
defined under this Act.

(b) Consumer — any person or group of persons who makes a purchase or completes a
transaction in any point-of-sale store or establishment.

(c) Manufacturer — a duly accredited person, company, or association of companies in control
of, or habitually engage in, the business or related business of manufacturing, producing,
distributing, or redistributing plastic bags, as defined in the Act.

In the case of imported plastic bags, the manufacturer's representative or, in his absence,
the importer shall be deemed the manufacturer for the purposes of this Act.

(d) Operator ~ a person or group of persons in control of, or having daily responsibility for the
operations of the point-of-sale store.


(e) Philippine National Standards — the national standard approved by the Technical
Committee under the Bureau of Products Standard of the Department of Trade and
Industry (DTI).

(f) Plastic bag - a polymer bag or a bag made in whole or in part of polyethylene,
polypropylene, and polycarbon, or other similar material, and designed to be provided or
utilized at the point-of-sale store for carrying or transporting goods or items.

definition includes single-carry-out bags.

(g) Point-of-sale store — any store, retail or wholesale establishment, kiosk, market stall,
supermarket, side-walk or ambulant vendor stall, and other similar and analogous
businesses that trade or sell goods, item, and merchandise, whether consumable or non-
consumable.

(h) Recyclable paper carry-out bag - a paper bag that meets all of the following
requirements:

Contains no old growth fiber;
Is one hundred percent (100%) recyclable overall and contains a minimum of forty
percent (40%) postconsumer recycled material without lamination or wax;

iii) Is capable of composting and is biodegradable;

iv) Is acceptable for recycling in curbside program in majority of households that have
access to such program;

v) Has printed on the bag the name of manufacturer, location where the bag was

manufactured, and the percentage of postconsumer recycled material use; and
vi) Displays the words “Please Recycle” in a highly visible manner on the outside of
the bag.

(i) Re-usable bag — shopping bags specifically designed and manufactured for multiple reuse
and meet all of the following requirements:

i) Aminimum lifetime of one hundred twenty-five (125) uses, which for the purposes
of this subsection means the capability of carrying a minimum of ten kilograms
(10kg) one hundred twenty five (125) times over a distance of at least fifty meters
(50 m);

ii) Can contain a minimum volume of fifteen liters (15 L);

Machine washable or capable of being cleaned and disinfected for reuse; and

Contains no toxic or harmful substance or chemical such as but not limited to lead,

cadmium, or any other heavy metals as provided for by existing rules and

regulations by the Department of Environment and Natural Resources (DENR), or

such other hazardous substances prohibited by pertinent government agencies or

departments,

This shall include those made of materials such as cloth, cotton, pandan, cheese
cloth, coco cloth, abaca, buri, water lily, and the like, and those made with recycled
materials.

SECTION 4. Scope. — This Act shall apply to the manufacture, use, recycling, and disposal of all
plastic bags used in trade or commerce, in all establishment, stores, outlets, point-of-sale areas, as well as
cafeterias, canteens, and other food establishments in the Philippines.


SECTION 5. Exemptions. — Primary plastic packaging such as those used to pre-pack food
items and primary packaging used in the manufacturing of finished products for sale in the general market
shall be excluded from the prohibitions under this Act.

SECTION 6. Plastic Bag Prohibition. — Point-of-sale stores shall be prohibited from providing
consumers with plastic and biodegradable plastic bags for purposes such as but no limited to carrying out
transporting items or purchased products.

SECTION 7. Phase-out of Plastic Bags and Interim Regulations. ~ The prohibition in Section 6
on the use of plastic and biodegradable plastic bags shall be effective after one (1) year from the effectivity
of this Act.

Prior to the effectivity of Section 6 under this Act, the following shall be enforced:

(a) Point-of-sale stores shall be required to levy a minimum of five pesos (PHP 5) for each piece of
plastic or biodegradable plastic bag to consumers who may request such bags, provided, that the
point-of-sale store shall first inform the consumer of the levy;

(b) The amount collected in subparagraph (a) of this Section by the point-of-sale store shall be
reflected in the official receipt. Fifty percent (50%) of the said amount shall be kept by the point-
of-sale store to cover the cost of the said bags, while fifty percent (50%) of the said amount shall
be remitted to the local government unit (LGU) with jurisdiction over the store to be deposited in
the Special Environment Fund created under this Act;

‘At the end of the one (1) year period from the effectivity of this Act, the further and
continued use of plastic and biodegradable plastic bags shall be strictly prohibited. Only reusable bags and
recyclable paper carry-out bags may be provided at all point-of-sale stores and other covered
establishments.

SECTION 8. Collection, Recycling, and Disposal of Plastic and Biodegradable Plastic Bags. ~
Point-of-sale stores with a retail space over one hundred square meters (100 m?) shall be the designated
collection points of used plastic and biodegradable plastic bags, including those manufactured prior to the
effectivity of this Act.

Within sixty (60) days after the effectivity of this Act, operators of such point-of-sale stores
are required to establish an in-store recovery program that shall primarily give consumers an opportunity to
turn over used plastic bags, regardless of the origin of the bag, and other plastic wastes.

In-store recovery programs shall be required to ensure the following:

(a) A clearly marked plastic and biodegradable plastic bag recovery bin shall be placed at each point-
of-sale store and shall be visible and easily accessible to the consumers;

(b) All plastic and biodegradable plastic bags recovered by the point-of-sale store shall be collected
and whenever practicable, shall be recycled by the store;

(c) Point-of-sale stores shall maintain records describing the recovery, collection, transport, and
whenever applicable, recycling and disposal of plastic and biodegradable plastic bags, and make
this information accessible to the DENR and the LGU, and shall be required to turnover such
information on an annual basis to the DENR;

(d) All plastic and biodegradable plastic bags collected and not recycled, shall be collected and
transported by the LGU from the point-of-sale store to proper collection and disposal facilities in


a manner consistent with existing laws, rules, and regulations, ensuring that no harmful
chemicals or substances are released in the environment.

SECTION 9. Proper Disposal and Management of Plastic Waste. - The disposal and
management of plastic waste shall be done in accordance and pursuant to the provision of Republic Act No.
9003 or the Ecological Solid Waste Management Act.

The DENR, in coordination with the Department of Science and Technology (DOST), shall
develop to the appropriate standards for the disposal of plastic wastes, ensuring that zero emissions are
achieved and no harmful chemicals are released to the environment in the process.

SECTION 10. Incentives for the Manufacture of Reusable Bags. ~ The DTI, in coordination
with DENR, shall provide technical and financial assistance to the manufacturers of reusable bags.

Individuals, cooperatives, partnerships, and corporations which engage in the manufacture of
reusable bags shall be given incentives provided for under the Philippine Cooperative Code of 2008, The
Barangay Micro-Business Enterprise Act of 2002, The Magna Carta for Micro, Small and Medium Enterprises,
or the Omnibus Investment Code of 1987, where applicable.

LGUs are encouraged and shall be allowed to provide additional benefits and incentives to
manufacturer of reusable bags within their jurisdiction, which shall be in addition to the benefits and
incentives provided for in the previous paragraph.

Nothing in this Act shall prohibit or limit the right of the said manufacturers to be entitled to
additional benefits and incentives which may be given by the new laws, rules, and regulations in the future.

SECTION 11. Program for Affected Employees and Workers of the Plastic Industry. - The
Department of Labor and Employment (DOLE), in coordination with DTI, shall conduct studies to determine
the impact of this Act on affected plastic industry employees and workers.

They shall develop a program for alternative livelihood opportunities, in coordination with
Technology Education and Skills Department Authority (TESDA), plastic manufacturers, non-government and
civil society organizations and institutions, for employees and workers in areas such as recycling or used
plastic products and cottage industries for the manufacture of reusable bags among others.

SECTION 12. Support for Affected Plastic Manufacturers. — DTI, through the board of
investments, shall develop benefits and programs to assist affected plastic manufacturers to buffer the
impact of this Act on their industry, by creating incentives to facilitate their transition into the provision of
goods and services that will support the implementation of this Act, such as but not limited to the
manufacturing of recyclable paper carry-out bag, and/or reusable bags.

SECTION 13. Labelling Requirements. ~ Plastic and biodegradable and plastic bags, reusable
bags, and recyclable paper carry-out bags as defined under this Act shall be appropriately labelled to be
biodegradable, non-biodegradable, or recyclable as the case may be.

Labels shall include the name of the manufacturer, the location where the bag was
manufactured, percentage of postconsumer recycled material used, and indication of the materials,
chemicals, and substances used to manufacture the said product.

This shall also comply with any rules or regulations or product labelling as required by the
Republic Act no. 7494, or the Consumer Act of the Philippines.


The DENR, in coordination with the DTI, shall determine the proper manner of labelling, and
shall periodically review the same. In addition, the DTI shall certify as true and correct the labels used by
manufacturers, and only those product with the proper certification shall be allowed into the market.

Violators of this section shall be meted the same penalties as those provided for mislabelled
or improperly labelled products in Republic Act No. 7394. In addition, products not properly labelled shall
not be allowed into the market and shall be confiscated by the authorities concerned.

SECTION 14. Compliance with the Philippine National Standard (PINS). — Products and items
referred to in this Act such as plastic bags, reusable bags, shall comply with the rules and processes of the
Bureau of Product Standards of the DTI in collaboration with other relevant government agencies such as
‘the DOH and DENR to harmonize and upgrade with existing standards, where applicable.

SECTION 15. Monitoring and Market Inspections. ~ The DENR and DTI, in coordination with
the LGUs and local law enforcement agencies, shall cause the regular and routine inspection and monitoring
of point-of-sale stores and facilities of plastic manufacturers to determine compliance with this Act.
Inspection and monitoring shall include the following:

(a) Entry or access to the premises of operation and business, including storage rooms and
stockrooms;

(b) Inspect off-site storage facilities, distribution centers, and transhipment points; and
(c) Inspect sanitary landfills to determine if only residual plastic products are being disposed of

SECTION 16. Certification. — Manufacturers of reusable bags and recyclable paper carry-out
bags shall be required to undergo a certification process for a reasonable fee with the DTI that shall ensure
that their products meet the standards set for these products.

DTI shall provide system to submit and process certifications online, and shall publish a list on
its website containing the name, location, and appropriate contact information of compliant manufacturers
of reusable bags, and recyclable paper carry-out bags, and paper bags.

Point-of-sale stores shall be required to display the valid certificate of the manufacturer of
the bags that they provide consumers.

The said certification shall be a requirement for the renewal of any local permits after the
effectivity of this Act.

SECTION 17. Lead Implementing Agency. - DENR shall be the lead implementing agency for
this Act, and shall be closely coordinate with the pertinent government agencies involved with the
implementation of this Act, and such other agencies and non-government organizations and institutions for
other programs consistent with the goals and of this Act.

SECTION 18. Role of the National Solid Wasted Management Commission. - The National
Solid Waste Management Commission (NSWMC), created pursuant to section 4 of Republic Act No. 9003
shall, in addition to its functions under the said law, aid and assist in the implementation and enforcement
of its Act

The NSWMC is hereby mandated to conduct studies to ensure the harmonious
implementation of this Act with the Republic Act No. 9003.

DENR is hereby mandated and directed to provide the necessary financial and manpower
resources to enable the NSWMC to perform its additional functions this Act.


SECTION 19. Role of the Department of Science and Technology. ~ DOST shall conduct
studies to determine the proper and environmentally acceptable kinds of biodegradable plastic and paper
bags. It shall include in the PNS the specification of the said products, taking into consideration existing and
available best technologies and internationally mandated and accepted standards, in accordance with the
provisions, mandates and standards of this Act.

DOST, in coordination with the National Ecology Center, shall provide the LGUs with technical
assistance, trainings, and continuing capacity-building programs to attain the objective of this Act

DOST shall also provide assistance to the DENR and the manufacturers for the
implementation of this Act, particularly as regards the proper recycling and disposal of used plastic bags, and
developing more environmentally friendly types of plastic used a primary packaging materials, among
others.

SECTION 20. Role of LGUs and others Stakeholders. ~ LGUs shall have the primary
responsibility in the effort to decrease the percentage of plastic bag wasted produced within their respective
jurisdictions. They shall also be primarily responsible for the enforcement of the prohibitions of this Act and
the monitoring of the collection of recyclable plastic bags by manufacturers.

Other stakeholders, such as but not limited to business groups, consumer groups and civil
society organizations, are encouraged to support the implementation of this Act.

The composition of the NSWMC under Republic Act No. 9003 is hereby expanded to include a
member from the private sector, a representative from the cottage industry and manufacturers of reusable
and recyclable bags

SECTION 21. Effect on LGU Ordinances Effective Before or After the Effectivity of this Act. —
LGU ordinances in relation to this Act, such as bans and prohibitions on the use of plastic bags, promulgated
and enforced prior to the effectivity of this Act shall remain valid and subsisting. The said LGUs are
encouraged to amend their respective ordinances to be in line with the provisions and mandates of this Act.

LGUs that do not have ordinances enacted upon effectivity of this Act are also encouraged to
enact their respective ordinances to complement and implement the provisions and implementation of this
Act.

The provisions, mandates, and directives of this Act shall serve as minimum standards and
stipulations for LGU ordinances. Nothing in this Act shall be construed as limiting the authority of LGUs to
enact ordinances which provide for stricter measures and standards than those provided for this Act.

SECTION 22. Information and Education Campaign. — The DENR, in coordination with the
LGUs, DILG, DepEd, CHED, and Public Information Agency, shall conduct a continuing information and
education campaign on the proper regulation of plastic bags in the country.

Such campaign shall be incorporated in and shall be in addition to the public information and
education campaign under section 55 of Republic Act No. 9003.

SECTION 23. Penalties and Sanctions. — Violations of this Act shall be imposed the following
penalties:

(a) For Micro, Small and Medium Enterprises as defined in RA 6977, as amended Barangay Micro
Business Enterprises under RA 9178, and shall all other enterprises and establishments not

otherwise value-added tax (VAT) registered, the following penalties shall be imposed

First offense - a fine of five thousand pesos (PHP 5,000);


Second offense - a fine of twenty-five thousand pesos (PHP 25,000) and suspension of its
business permit for three (3) months;

Third offense — a fine of fifty thousand pesos (PHP 50,000) and suspension of its business permit
for one (1) year; and

Fourth offense — A fine of one hundred thousand pesos (PHP 100,000) and permanent
suspension of its business permit. The said business permit shall not be eligible for renewed
application for a period of five (5) years. Thereafter, the LGU concerned may grant the said store
with a business permit, provided its operator can show that steps and measures will be put in
place to comply with this Act. A further violation after the issuance of a new business permit shall
perpetually bar the said operator from conducting its business in the LGU concerned.

(b) For VAT registered stores, establishments, and enterprises, and for all plastic manufacturers
found violating this Act, the following penalties shall be imposed:

First offense —a fine of fifty thousand pesos (PHP 50,000);

Second offense — a fine of one hundred thousand pesos (PHP 100,000) and suspension of its
business permit for three (3) months;

Third offense — a fine of two-hundred fifty thousand pesos (PHP 250,000) and suspension of its
business permit for one (1) year; and

Fourth offense — a fine of five-hundred thousand pesos (PHP 500,000) and permanent suspension
of its business permit. The said business permit shall not be eligible for renewed application for a
period of five (5) years. Thereafter, the LGU concerned may grant the said store with a business
permit, provided its operators can show that steps and measures will be put in place to comply
with this Act. A further violation after the issuance of a new business permit shall perpetually bar
the said operator from conducting business in the LGU concerned.

If the offender in (a) or (b) in this provision is a corporation, trust or firm, partnership, association
or any other entity, the penalty shall be imposed on the entity's responsible officers including, but not
limited to, the president, chief executive officer, general manager, managing director or partner directly
responsible thereof.

SECTION 24. Administrative Sanctions. - Local government officials and officials of
government agencies concerned who fail to comply with and enforce this Act shall be administratively
charged in accordance with Republic Act No.7160 and other existing laws, rules, and regulations.

SECTION 25. LGU Special Environmental Fund for Plastic Bag Regulation. — There is hereby
created a Special Environmental Fund for Plastic Bag Regulation, hereinafter referred to as the Fund, to be
composed of levies, fees, and fines collected pursuant to the implementation and enforcement of this Act.

The Fund shall be exclusively used for the following:

(a) Improve the capacity of LGUs, and local law enforcement agencies for the implementation of this
Act;

(b) Conduct of information and education campaigns on plastics bags regulation and related
environmental awareness measures;


(c) Assist and provide incentives for manufactures and community-based initiatives for the product of
native reusable bags, as well as for non-government and civil society organizations promoting
proper solid waste management; and

(d) Additional provisions for the Solid Waste Management Fund under Republic Act No.9003.

SECTION 26. Access to Information. — The public shall have access to records, reports, or
information concerning the implementation and mandates of this Act.

Such documents shall be available for inspection or reproduction during normal business
hours; provided that the DENR or concerned LGU may consider a record, report or information or particular
portions thereof confidential and may not be made public when such would divulge trade secrets,
production or sales figures or methods, production or processes unique to such manufacturer, seller, or
distributor, or would otherwise tend to affect adversely the competitive position of such manufacturer.

SECTION 27. Citizens Suit. ~ For the purposes of enforcing the provisions of this Act 0
implementing rules and regulations, any citizen may file an appropriate civil, criminal, or administrative
action in the proper courts/bodies against:

(a) Any person who violates or falls to comply with the provisions of this Act and its implementing
rules and regulations; or

(b) The department or other implementing agencies with respect to orders, rules and regulations
issued inconsistent with this Act; and/or

{c) Any public officer who wilfully or grossly neglects the performance of an Act specifically enjoined
as a duty by this Act or its implementing rules and regulations; or abuses his authority in the
performance of his duty; or, in any manner improperly performs his duties under this act or its
implementing rules and regulations; Provided, however, that no suit can be filed until after a
thirty-day (30) notice has been given to the public officer and the alleged violator concerned and
no appropriate action has been taken thereon.

The court shall exempt such action from the payment of filing fees and statements likewise, upon
prima facie showing of the non-enforcement or violation complained of, exempt the plaintiff from the filing
of an injunction bond for the issuance of preliminary injunction

In the event that the citizen should prevail, the court shall award reasonable attorney's fees,
moral damages and litigation costs as appropriate.

SECTION 28. Suits and Strategic Legal Action Against Public Participation. - Where a suit is
brought against a person who filed an action as provided in Section 28 of this Act, or against any person,
institution or government agency that implements this Act or any other consumer related laws, rules, and
regulations, it shall be the duty of the investigating prosecutor or the court, as the case may be, to
immediately make a determination within not exceeding thirty (30) days whether said legal action has been
filed to harass, vex, exert undue pressure or stifle such legal resources of the person complaining or
enforcing the provisions of this Act. Upon determination thereof, evidence warranting the same, the court
shall dismiss the case and award the attorney's fees and double damages.

This provision shall also apply and benefit public officers who are sued for acts committed in
their official capacity, there being no grave abuse of authority, and done in the course of enforcing this Act,
its rules, regulations, and guidelines.


SECTION 29. Congressional Oversight Committee. — The Joint Congressional Oversight
Committee created under Section 60 of Republic Act No. 9003 shall also have the power to monitor and
evaluate the implementation of this Act.

SECTION 30. Construction. — The best interests of the consumer and the right to a healthful
and balanced ecology shall be considered in the construction and interpretation of this Act and its
implementing rules and regulations.

SECTION 31. Appropriations. - Such amount as may be necessary to implement the provision
of this Act is hereby included in the annual appropriations of the DENR and other implementing agencies
under the General Appropriations Act (GAA).

SECTION 32. Implementing Rules and Regulations. - Within sixty (60) days from the
effectivity of this Act, DENR, in coordination with DTI, DILG, and concerned government agencies and
representatives of LGU organizations shall promulgate the necessary implementing rules and regulations for
the effective implementation of this Act

SECTION 33. Separability Clause. — Should any provision herein be declared unconstitutional,
the same shall not affect the validity of the other provisions of this Act.

SECTION 34, Repealing Clause. ~ All laws, decrees, orders, rules, and regulations or other
issuances or parts inconsistent with the provisions of this Act are hereby repealed or modified accordingly.

SECTION 35. Effectivity. — This Act shall take effect fifteen (15) days after publication in the
Official Gazette or in any two (2) newspapers of general circulation in the Philippines.

Approved,