1
Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth Congress 
First Regular Session 
HOUSE BILL NO. _____ 
Introduced by Representative Rudys Caesar G. Fariñas I 
EXPLANATORY NOTE 
Water access is a fundamental human right. However, all water is the property 
of the State, which will control how it is developed and used. 
This bill creates the Department of Water Resources, which is mandated to 
ensure the best possible use of water resources for domestic and municipal water 
supply, 
sanitation, 
irrigation, 
hydropower, 
industry, 
navigation, 
flood 
management, and recreation. Among other salient parts, the Department shall 
be the primary agency responsible for comprehensive and integrated 
identification and mapping of all water resources, planning, policy formulation, 
and management of ownership, appropriation, utilization, exploitation, 
development, and protection of water resources in the Philippines. 
Likewise, the Department will also be the primary organization in charge of 
developing plans and policies to ensure that every Filipino has access to safe, 
sufficient, affordable, and sustainable water and better sanitation services. 
The Department will perform the duties and exercise the authority formerly held 
by the Pasig River Rehabilitation Commission. This measure will streamline the 
processes that balance utilization and conservation of our precious water 
resources. 
Hence, the passage of this measure is sought.   
RUDYS CAESAR G. FARIÑAS I 
November 21, 2022
3:39 pm
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 2
Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
Nineteenth Congress 
First Regular Session 
HOUSE BILL NO. _____ 
Introduced by Representative Rudys Caesar G. Fariñas I 
AN ACT 
ESTABLISHING THE NATIONAL FRAMEWORK FOR WATER RESOURCE 
MANAGEMENT AND CREATING THE DEPARTMENT OF WATER RESOURCES 
AND 
THE 
WATER 
REGULATORY 
COMMISSION, 
DEFINING 
THEIR 
MANDATES, POWERS AND FUNCTIONS, AND APPROPRIATINGS FUNDS 
THEREFOR 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
CHAPTER I 
1 
GENERAL PROVISIONS 
2 
3 
SECTION 1. Short Title. – This Act shall be known as the “National Water 
4 
Act”. 
5 
6 
SEC. 2. Declaration of Policy. –  Access to water is a basic human right. All 
7 
water belongs to the State which shall govern its development and utilization for 
8 
the people.  
9 
10 
11 
It is hereby declared the policy of the State to ensure the provision of safe, 
12 
adequate, affordable, and sustainable water supply and improved sanitation 
13 
services, while maintaining the protection, preservation, and revival of the 
14 
quality of the country’s water resources and ecological balance. 
15 
16 
17 
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 3
In pursuit of this policy, this Act shall have the principal objective of 
1 
ensuring and accelerating universal access to water supply and sanitation 
2 
services, in a regulatory regime that encourages responsible private sector 
3 
participation, and shall foster and prioritize the establishment of infrastructure 
4 
and public works that adopt innovative solutions and international best 
5 
practices to address the challenges of climate change. Further, all water and 
6 
water treatment infrastructure projects are hereby declared as projects imbued 
7 
with national interest. 
8 
9 
 SEC. 3. Definition of Terms. – As used in this Act: 
10 
(a) Bulk water supplier refers to any entity, natural or juridical, whether
11 
public or private, supplying or intending to supply large quantities of raw
12 
or treated water to buyers who will use these for their own consumption,
13 
such as industrial companies, or for retail distribution to consumers such
14 
as water service providers or real estate developers managing their own
15 
distribution network.
16 
(b) Environmental services refer to qualitative functions of natural non-
17 
produced assets of land, water, and air, including related ecosystems, and
18 
their biota, and which may be categorized into three basic types: (a)
19 
disposal services which reflect the functions of the natural environment as
20 
an absorptive sink for residuals; (b) productive services which reflect the
21 
economic functions of providing natural resource inputs and space for
22 
production and consumption, and (c) consumer or consumption services
23 
which provide for physiological as well as recreational and related needs
24 
of human beings.
25 
(c) Flood Control refers to methods, acts, and protocols to be observed in order
26 
to prevent and reduce the detrimental and catastrophic effects of flood
27 
waters which include sediment-laden or turbid flows, and hyper-
28 
concentrated flows or debris flows.
29 
(d) Flood Risk Management (FRM) refers to such acts of defining and
30 
determining the appropriate methods, acts, and protocols aimed at
31 
preventing and reducing the risk of incurring loss of both life and property
32 
due to flood waters. Flood risk management consists of a cycle of
33 
prevention, mitigation, adaptation, preparedness and early warning, and
34 
response and recovery. The elements of FRM include: integrating land-use
35 
planning and coastal zone management into water management; adopting
36 
a holistic approach so that FRM is part of wider risk or multi-hazard
37 
management of earthquakes, landslides, and storm surges; managing risk
38 


 
 
 
4
and uncertainty as a whole so it not only mitigates hydrological 
1 
uncertainties but also social, economic and political uncertainties on 
2 
account of human behavior and the cultural dimensions of FRM. 
3 
(e) Gender Equality refers to the principle asserting the equality of men and 
4 
women and their right to enjoy equal conditions realizing their full human 
5 
potentials to contribute to and benefit from the results of development, 
6 
and with the State recognizing that all human beings are free and equal in 
7 
dignity and rights. 
8 
(f) Infrastructure and public works refer only to wholly or primarily water-
9 
related projects and does not include projects that do not fall within the 
10 
purview of the objectives, power and duties of the Department of Water 
11 
Resources created under this Act. 
12 
(g) Integrated Water Resource Management (IWRM) refers to a systematic, 
13 
collaborative, and multi-stakeholder process which promotes the 
14 
coordinated development and management of water, land, and related 
15 
resources within geophysical boundaries to maximize the resultant 
16 
economic and social welfare in an equitable manner, and without 
17 
compromising the sustainability of vital ecosystems.  
18 
(h) Levels of water supply refer to communal sources of water described 
19 
according to location and size of the recipient human settlement as follows:  
20 
(1) Level I or the point source is a protected well or a developed spring with 
21 
an outlet but without any distribution system, generally adaptable to 
22 
rural and upland areas where houses are thinly scattered, and is a 
23 
facility which usually serves an average of 15 households. 
24 
(2) Level II or the communal faucet system or stand posts is a system 
25 
composed of a water source, a reservoir, a piped distribution network, 
26 
and communal faucets where one faucet serves 4 to 6 households and 
27 
is generally suitable for rural and urban fringe areas where houses are 
28 
clustered densely to justify a simple piped system. 
29 
(3) Level III or the waterworks system or individual house connections is a 
30 
system with a water source, a reservoir, a piped distribution network 
31 
and household taps, suitable for densely populated urban areas.  
32 
(i) License refers to the Water Supply or Sanitation Services Operating 
33 
License that the Water Regulatory Commission is authorized to grant and 
34 
issue to service providers.  
35 
(j) Licensee refers to a service provider to whom a license is granted or issued 
36 
by the Water Regulatory Commission. 
37 


 
 
 
5
(k) Missionary Water Services refer to water supply or services to areas that 
1 
have no existing safe water supply and services due to geographic 
2 
limitation or absence of economic and market viability. 
3 
(l) National Water Resources Management Plan (NWRMP) refers to a policy 
4 
document that contains a framework to guide the development and 
5 
management of all the water resources in the Philippines, the general 
6 
strategies and work to be pursued to ensure the sustainability of the 
7 
resource towards water security, and top-level direction on the utilization 
8 
of existing water resources in line with national development plans, 
9 
policies, and programs in accordance with the IWRM framework. The 
10 
NWRMP shall also include a water infrastructure development program or 
11 
all waters of the country as well as provide general guidance on how this 
12 
shall be supported within an integrated financing framework that can 
13 
draw from public, private, and international development funding sources. 
14 
(m) 
Net Waste Load refers to the difference of the initial waste load of the 
15 
abstracted water and the waste load of the final effluent discharge of an 
16 
industry 
17 
(n) Regulatory Units refer to the offices established under Section 20 of this 
18 
Act which issue licenses authorizing the operation of Water Supply and 
19 
Sanitation Services, and provide, review, determine, fix, and approve water 
20 
and sewerage tariffs, rates, and charges that licensees may impose.  
21 
(o) River basin refers to an area of land drained by a stream or body of fixed 
22 
water and its tributaries which have a common outlet for surface run-off.  
23 
(p) River Basin Organization (RBO) refers to multi-stakeholder organizations 
24 
which plan, coordinate, and monitor activities within a river basin cluster. 
25 
(q) Sanitation refers to the provision of facilities and services for the safe 
26 
management of human excreta, from toilet to containment, and storage 
27 
and treatment onsite or conveyance, treatment and eventual safe end use 
28 
or disposal, and includes the safe management of solid waste and animal 
29 
waste. 
30 
(r) Sediment management refers to control of sediment erosion and deposition 
31 
in rivers, reservoirs, and coastal zones through non-structural and 
32 
structural measures and control works.  
33 
(s) Sustainable Development Goals (SDGs) also known as the 17 Global Goals 
34 
refer to the universal call to action to end poverty, protect the planet and 
35 
ensure that all people enjoy peace and prosperity by 2030 adopted by all 
36 
United Nations Member States in 2015.  
37 


 
 
 
6
(t) Septage is the liquid and solid material pumped from a septic tank, 
1 
cesspool, or other primary treatment source.  
2 
(u) Septage Management refers to the provision of proper collection, 
3 
treatment, and disposal of septage. 
4 
(v)  Service Area refers to the area covered by the water distribution system, 
5 
sewerage, or septage management services.  
6 
(w) Service Provider refers to any entity, natural or juridical, whether private 
7 
or public, providing or intending to provide levels II & III water supply, 
8 
including bulk water suppliers, sewerage, septage treatment, and disposal 
9 
services for domestic, residential, industrial, or commercial use.   
10 
(x) Sewage refers to water borne human or animal wastes, excluding oil or oil 
11 
waste, removed from residences, buildings, institutions, and industrial 
12 
and commercial establishments together with such groundwater, surface 
13 
water and storm waters as may be present including such waste from 
14 
vessels, offshore structures, other receptacles intended to receive or retain 
15 
waste or other places or the combination thereof.   
16 
(y) Sewerage refers to any system or network of pipelines, ditches, channels 
17 
or conduits including pumping stations, lift stations and force mains, 
18 
service connections including other infrastructure, devices, or appliances 
19 
appurtenant thereto, which include the collection, transport, pumping and 
20 
treatment of sewage to a point of disposal. 
21 
(z) Sewers refer to pipes or such other works or structures which are built 
22 
and constructed to carry, transport, and dispose sewage. 
23 
(aa) Social inclusion refers to the process of improving the terms for 
24 
disadvantaged individuals and groups to take part in society.  
25 
(bb) Tariffs refer to such amounts which may be charged by licensees for their 
26 
water supply and sanitation services based on principles, standards, and 
27 
guidelines established by the Department of Water Resources. 
28 
(cc) Water Demand Management (WDM) refers to any method, whether 
29 
technical, economic, administrative, financial, or social that will 
30 
accomplish one or more of the following: 
31 
(1) Reduce the quantity or quality of water required to accomplish a 
32 
specific task; 
33 
(2) adjust the nature of the task or the way it is undertaken so that it can 
34 
be accomplished with less water or with lower quality water; 
35 
(3) Reduce the loss in quantity or quality of water as it flows from source, 
36 
through use, to disposal; 
37 
(4) Shift the timing of use from peak to off-peak periods; and 
38 


 
 
 
7
(5) Increase the ability of the water system to continue to serve society 
1 
during times when water is in short supply. 
2 
(dd) Water Districts refer to government-owned and controlled corporations 
3 
organized under Presidential Decree No. 198, as amended, created 
4 
primarily to acquire, install, operate, maintain, and improve water supply 
5 
and distribution systems for domestic, industrial and municipal uses of 
6 
residents and to provide, maintain and operate waste water collection, 
7 
treatment and disposal facilities within the boundaries of the district. 
8 
(ee) Water pollution refers to any alteration of the physical, chemical, biological, 
9 
or radiological properties of a body of water resulting in the impairment of 
10 
its purity or quality. 
11 
(ff) Water Resource refers to water under the ground or groundwater, water 
12 
above the ground such as surface water, run-offs, floods, stormwater and 
13 
urban drainage, treated wastewater, water in the atmosphere or rain 
14 
water, and the waters of the sea within the territorial jurisdiction of the 
15 
Philippines. 
16 
(gg) Water Resources Regions refer to the contiguous clusters of river basins 
17 
which are grouped together according to the hydrological boundaries, 
18 
physiographic features, and homogeneity in climate, whether or not they 
19 
straddle different local government units, for administrative purposes 
20 
under the Department of Water Resources. 
21 
(hh) Water Service Provider (WSP) refers to the water district, any Local 
22 
Government Unit (LGU)-run water utility, Barangay Waterworks and 
23 
Sanitation Association (BWSA), Rural Waterworks Sanitation Association 
24 
(RWSA), cooperative and private sector entity that provides water supply 
25 
services to any given area.  
26 
(ii) Water supply service refers to any activity comprising Levels I, II and III 
27 
water supply including bulk suppliers, suppliers to subdivisions, and 
28 
other water service providers. 
29 
 
30 
CHAPTER II 
31 
THE DEPARTMENT OF WATER RESOURCES 
32 
 
33 
SEC. 4. The Department of Water Resources – There is hereby created and 
34 
established the Department of Water Resources, hereinafter referred to as the 
35 
Department. 
36 
 
37 


 
 
 
8
SEC. 5. Mandate of the Department. –The Department shall be the primary 
1 
agency responsible for the comprehensive and integrated identification and 
2 
mapping of all water resources, planning, policy formulation, and management 
3 
of the ownership, appropriation, utilization, exploitation, development, and 
4 
protection of water resources in the Philippines to ensure the optimal use thereof 
5 
for domestic and municipal water supply, sanitation, irrigation, hydropower, 
6 
industry, navigation, flood management, and recreation except fisheries or 
7 
aquaculture. 
8 
 
9 
The Department shall also be the primary agency responsible for the 
10 
planning and policy formulation towards the attainment of universal access to 
11 
safe, adequate, affordable, and sustainable water supply, and improved 
12 
sanitation services for all Filipinos. 
13 
 
14 
The Department shall be the primary national agency to enforce 
15 
Presidential Decree No. 1067 otherwise known as The Water Code of the 
16 
Philippines and Republic Act No. 9275, otherwise known as the Philippine Clean 
17 
Water Act of 2004. 
18 
 
19 
The Department shall exercise the powers and functions of the defunct 
20 
Pasig River Rehabilitation Commission created under Executive Order No. 54 
21 
Series of 1999 and abolished under Executive Order No. 93 Series of 2019, 
22 
specifically the following roles that were transferred to the Manila Bay Task Force 
23 
and DENR through the latter EO: 
24 
 
25 
(a) Update and take the lead in the overall implementation of the Pasig 
26 
River Rehabilitation Master Plan, which shall harness the Pasig River’s 
27 
potential for transportation, recreation and tourism purposes while 
28 
undertaking the rehabilitation and restoration of its maritime life; and 
29 
(b) Ensure that the easements provided for in the Civil Code and other 
30 
relevant laws are enforced, especially in all the esteros and waterways 
31 
that drain into the Pasig River as well as abate the dumping of 
32 
untreated industrial wastewater and sewerage into the river, including 
33 
all acts and omissions in violation of Presidential Decree (PD) No. 984,     
34 
s. 1976, as amended entitled, Providing For The Revision Of Republic 
35 
Act No. 3931, Commonly Known As The Pollution Control Law, And For 
36 
Other Purposes, PD No. 274, s. 1973 entitled, Pertaining To The 
37 
Preservation, Beautification, Improvement And Gainful Utilization Of The 
38 


 
 
 
9
Pasig River, Providing For The Regulation And Control Of Pollution Of 
1 
The River And Its Banks In Order To Enhance Its Development, Thereby 
2 
Maximizing Its Utilization For Socio-Economic Purposes, and other 
3 
related laws.  
4 
 
5 
SEC. 6. Guiding Principles. –In the pursuit of its mandate, the Department 
6 
shall be guided by the following key principles: 
7 
 
8 
(a) The concept of good water governance for water security and sufficiency 
9 
shall be adopted across all levels of governance by stakeholders such as 
10 
the 
national 
government, 
local 
government, 
non-government 
11 
organizations, private organizations, individuals, even global societal 
12 
actors, and in various sectors such as water supply, irrigation, fisheries, 
13 
hydropower, navigation, ecosystem services, flood management, climate 
14 
change, and recreation. It shall entail publicly transparent, socially 
15 
accountable, and multi-stakeholder participatory water policy planning, 
16 
management, and decision-making processes. 
17 
(b) Access to safe water supply and improved sanitation is a human right that 
18 
needs to be fulfilled and protected.  
19 
(c) Integrated Water Resource Management (IWRM) shall be adopted as the 
20 
basic framework which is the coordinated development and management 
21 
of water, land, and related resources within hydrological boundaries to 
22 
optimize economic and social welfare without compromising the 
23 
sustainability of vital ecosystems. The IWRM Framework shall include an 
24 
enabling environment that utilizes proper policies, legal instruments, and   
25 
institutional frameworks for effective implementation, participatory and 
26 
collaborative water policy and management decisions, and management 
27 
instruments for efficient use of updated and accurate data, science-based 
28 
decision support systems, proper information, education, communication 
29 
(IEC) programs, assessment and allocation tools, or regulatory functions. 
30 
It shall observe the mutual accountability mechanism among stakeholders 
31 
at the national, regional, and global levels reinforcing multi-stakeholder 
32 
decision-making following a framework with specific, measurable, 
33 
attainable, relevant, and timely actions. 
34 
(d) Each river basin has its unique characteristics relating to the physical, 
35 
socio cultural, and other aspects, and water management shall be 
36 
performed at river-basin level, involving all the stakeholders at that 
37 
particular river basin.  
38 


 
 
 
10
(e) Integrated and accurate data collection and analysis and the use of 
1 
scientific decision support systems shall be undertaken in water resources 
2 
management including flood modeling and warning systems that are 
3 
essential for an effective, efficient, and sustainable water resources 
4 
management system. 
5 
(f) The development of water resources shall include strategies for the 
6 
mitigation of water-related hazards and climate change adaptation. 
7 
(g) Water resources and services should be provided where they are intended 
8 
and most needed so that water is fairly and sustainably managed.  
9 
(h) The proper operation and maintenance of waterworks systems resulting in 
10 
the uninterrupted and adequate supply and distribution of potable water 
11 
for domestic and other purposes, and the proper operation and 
12 
maintenance of sewerage systems which are essential services to public 
13 
health and safety, are to be ensured at all times. The State shall therefore 
14 
supervise and control the establishment, operation, and maintenance of 
15 
such systems.  
16 
 
17 
SEC 7. Objectives of the Department. – The Department shall: 
18 
(a) Promote and adopt water demand management as a national policy to 
19 
ensure that water is optimized, that water efficiency and conservation 
20 
become a way of life, that the recycling and reuse of water and treated 
21 
wastewater are widely practiced, that water is properly priced to encourage 
22 
efficient use and conservation and that rainwater, flood waters, and run-
23 
offs are captured or harvested, stored and treated for future use; 
24 
(b) Prioritize and seek the immediate attainment of universal access to safe, 
25 
adequate, affordable and sustainable water supply and improved 
26 
sanitation services for all Filipinos in a manner consistent with the 
27 
protection, preservation, and revival of the quality of the country’s water 
28 
resources, and to adopt all needed measures to advance the right of the 
29 
people to a balanced and healthful ecology in accord with the rhythm and 
30 
harmony of nature. 
31 
(c) Strengthen and coordinate integrated water resources management 
32 
planning and policy making to ensure sustainable and fair allocation and 
33 
efficient use of water resources among competing uses and users; 
34 
(d) Ensure that integrated water resources management is strongly 
35 
coordinated with land use and coastal and multi-hazard planning and 
36 
management; 
37 


 
 
 
11
(e) Develop sustainably, and manage water sources and water resources 
1 
toward water security, taking into consideration water, land, and related 
2 
resources aimed at increasing water dependability for different uses, 
3 
optimizing economic benefits and social welfare without compromising the 
4 
sustainability of vital environmental systems; 
5 
(f) Strengthen and coordinate policy making and planning towards ensuring 
6 
the availability of water for food security and energy security, as well as 
7 
towards the protection of communities and environments against flood 
8 
and other water induced hazards including sediment hazards;  
9 
(g) Ensure that the strategy for water resources development and 
10 
conservation is participatory, and that planners, policymakers and users 
11 
including community members are involved at all levels; 
12 
(h) Develop a standardized pricing framework for water use that accounts for 
13 
environmental externalities; and 
14 
(i) Ensure that all sources of water, including surface water, groundwater, 
15 
rainwater and floodwater are identified, mapped, monitored, conserved 
16 
and managed for productive use and the resulting wastewater is managed 
17 
properly, reused, and responsibly disposed of following approved 
18 
environmental standards. 
19 
 
20 
SEC.8. Powers and Functions of the Department. – The Department shall 
21 
have the following powers and functions: 
22 
 
23 
I. Policymaking and Planning 
24 
(a) Ensure that Integrated Water Resources Management (IWRM) is adopted 
25 
as the strategic framework for water management policymaking and 
26 
planning in the country and coordinate the implementation, promotion, 
27 
revision and enhancement of IWRM plans;  
28 
(b) Formulate policies, strategies, and targets in coordination with other 
29 
relevant entities to meet the goals and objectives for water supply and 
30 
sanitation, water quality, irrigation, hydropower, flood control, stormwater 
31 
utilization, and urban drainage. Such policies shall, among other 
32 
guidelines, integrate the issues of water and sanitation, food security, 
33 
energy, environment and flood control, and climate change; 
34 
(c) Formulate and develop policies to promote universal access to safe, 
35 
adequate, affordable, and sustainable water supply, and improved 
36 
sanitation services for all Filipinos; 
37 


 
 
 
12
(d) Regularly update, every five years or as deemed necessary by the 
1 
Department, and in consultation with other agencies and stakeholders, 
2 
the NWRMP following the IWRM framework and integrate therein a 
3 
national land use plan; 
4 
(e) Undertake river basin survey, inventory and appraisal of water and related 
5 
resources, and develop comprehensive basin-wide plans of storage, 
6 
retardation, and control to maximize conservation and multipurpose use 
7 
of water in the basin; 
8 
(f) Conduct continuing hydrological and hydrometeorological surveys and 
9 
studies of the country’s renewable water supply,  and establish,  operate,  
10 
and  maintain  observation  station  networks  with  a view towards  
11 
formulating  long-term  policies  to  balance  the  sustainability  and  
12 
optimal multiple use of water resources, defining the hydrologic 
13 
boundaries of basins of the existing water supply sources and developing 
14 
or updating and implementing countrywide comprehensive basin-wide 
15 
master plans; 
16 
(g) Strengthen and coordinate policy making and planning for flood 
17 
management, integrated with stormwater or urban drainage and 
18 
appropriate retention or retarding basins in order to harvest and reuse 
19 
water, and to plan against, prevent, and minimize the detrimental and 
20 
catastrophic effects of flooding; 
21 
(h) Assist and provide the National Economic and Development Authority 
22 
(NEDA) with the required data and input from the water sector in the 
23 
formulation of the country’s short-term and long-term strategic 
24 
development plans and actions, and recommend to the NEDA Board  the 
25 
adoption of general policies and guidelines for water resources 
26 
development; 
27 
(i) Review, approve, and provide oversight over all water-related development 
28 
plans and programs of any agency within the context of the NWRMP, and 
29 
overall national plans and programs; 
30 
(j) Develop and implement, in coordination with other relevant agencies, 
31 
effective codes, standards, benchmarks, and reasonable guidelines to 
32 
ensure the safety of all public and private water structures in the country, 
33 
and assure efficiency and proper quality in the construction of water, 
34 
sanitation, 
irrigation, 
hydropower, 
flood 
control 
and 
drainage 
35 
infrastructure; 
36 
(k) Ensure that gender equality, social inclusion, environmental protection, 
37 
climate resiliency, and disaster risk reduction are integrated into any 
38 


 
 
 
13
water resource management planning, policymaking, and the design and 
1 
construction of water infrastructure; 
2 
(l) Ensure that the planning and design of water infrastructure considers the 
3 
highest efficiency and most appropriate technology and quality, in 
4 
accordance with national development objectives; 
5 
(m) 
Review 
existing 
guidelines 
appropriate 
for 
private 
sector 
6 
participation in the water sector and submit recommendations to the 
7 
Public-Private Partnership (PPP) Center of NEDA and other concerned 
8 
agencies to promote and enable more PPPs in the sector; 
9 
(n) Build a central repository of water data and effect inter-sectoral, inter-
10 
agency, and inter-departmental coordination on all aspects of data 
11 
gathering and management for water resources development planning and 
12 
compel the submission of statistics and data on water utilization with the 
13 
aim of operationalizing the integrated approach to water resources 
14 
management; 
15 
(o) Ensure the effective implementation of all the provisions of Republic Act 
16 
No. 9275, Presidential Decree No. 1067, and Sections 9, 10, 11, 12 & 13, 
17 
Chapter II of Presidential Decree No. 856, otherwise known as the Code on 
18 
Sanitation of the Philippines;    
19 
(p) Promote Philippine participation in information sharing and education on 
20 
best practices in support of international efforts to achieve universal 
21 
access to safe water and improved sanitation; and the integration of water, 
22 
energy, environment and food security; and 
23 
(q) Issue and promulgate rules, regulations and guidelines as may be 
24 
necessary to implement and enforce its powers and functions under this 
25 
Act. 
26 
 
27 
II. Resource Regulation 
28 
(a) Manage and conserve the country’s water resources to ensure the optimal 
29 
use thereof for domestic water supply, sanitation, irrigation, hydropower, 
30 
navigation, flood control, and recreation purposes, and enhance and 
31 
maintain water quality, conserve watersheds, control water pollution, and 
32 
restore the environment, without compromising the natural ecosystem 
33 
functions and services; 
34 
(b) Regulate and control the utilization, abstraction, diversion and 
35 
development of water resources, taking in consideration their equitable 
36 
distribution among competing demands and determine the standards of 
37 


 
 
 
14
beneficial and priority uses of water in times of crisis and national 
1 
emergencies; 
2 
(c) Formulate, promulgate, and enforce rules and regulations for the 
3 
development and optimum use of water resources and its administration 
4 
and management, including coherent water protocols, operating rules of 
5 
all existing and future water infrastructure; general criteria, methods and 
6 
standards for basic data collection and project identification, formulation 
7 
and planning, and appropriate sanctions to be imposed for non-
8 
compliance; 
9 
(d) Regularly review regulations prescribed by any government agency 
10 
pertaining to water use, exploitation, development, and conservation or 
11 
protection of waters, water resources, and watershed or basin areas with 
12 
respect to this Act; 
13 
(e) Impose fees or charges, as may be deemed necessary for water resources 
14 
conservation and protection, such as: 
15 
(1) Polluter’s Fee, which shall be based on the net waste load depending 
16 
on the wastewater charge formula pursuant to Republic Act No. 9275; 
17 
(2) Raw water price, which shall take into account, among others, the 
18 
scarcity of water; and 
19 
(3) Appropriate payment structures for environmental services: 
20 
(f) Deputize LGUs to collect the national fees or charges for resource 
21 
regulation within their respective jurisdictions; 
22 
(g) Collect, regularly update, monitor, and analyze water resources data 
23 
including climatology, hydrological and other water-related data and 
24 
ensure that such data is easily accessible by relevant and authorized 
25 
users; 
26 
(h) Establish, operate, and maintain observation station networks and a 
27 
centralized water resources data center for the scientific survey and 
28 
appraisal of surface and groundwater potentials of the country, and 
29 
determine the annual renewable water available per water resources 
30 
region; 
31 
(i) Maintain a database that will contain updated relevant information on 
32 
water data which will be accessible by relevant and authorized users; 
33 
(j) Develop and continuously update a computerized decision support system 
34 
that incorporates data management systems relating to acquisition and 
35 
database, model base in terms of physical design, planning and decision 
36 
models, and user-friendly interface concerning graphical and visualization 
37 
tools;  
38 


 
 
 
15
(k) Conduct and promote special studies and research on water economics 
1 
and other water resources development and management issues and 
2 
concerns such as climate change, weather modification, flood monitoring 
3 
and modeling, environmental quality, and desalination; and 
4 
(l) Raise 
public 
awareness 
through 
information, 
education 
and 
5 
communications programs, and build capacities for informed participation 
6 
in water resources management at the national and river-basin level. 
7 
 
8 
III. Institutional Arrangement with Public Water Organizations  
9 
(a) Develop guidelines including rules of partnership, between and among the 
10 
Department, field offices of national government agencies, LGUs and other 
11 
stakeholders in water resource management, and facilitate the 
12 
establishment of multi-stakeholder river basin organizations (RBOs) per 
13 
river basin, and strengthen and support existing RBOs and monitor their 
14 
activities; 
15 
(b) Develop materials for capacity building and training of prospective RBOs; 
16 
(c) Authorize its representatives or any deputized agent to enter any property 
17 
of public dominion with or without prior notice and consent, any private 
18 
land, building or enclave, whether inhabited or not, for the purpose of 
19 
conducting hydrologic surveys and investigations, including assessing and 
20 
evaluating the conditions of water facilities installed, and determining 
21 
compliance with water laws and standards; 
22 
(d) Provide 
technical 
assistance 
to 
water 
users 
including 
farmers, 
23 
communities, and LGUs and other water service providers (WSP) whether 
24 
directly or in coordination with other agencies on all aspects of integrated 
25 
water resources management;  
26 
(e) Respond to consumer complaints, and ensure the adequate promotion of 
27 
consumer interests; 
28 
(f) Deputize agents, whether from the public or private sector, to assist in the 
29 
performance of any of the powers and functions of the Department; 
30 
(g) Appoint, hire, and maintain adequate staff and personnel, advisers or 
31 
consultants with suitable qualifications and experience, as necessary, 
32 
subject to existing rules and regulations. 
33 
IV. Coordination 
34 
(a) Coordinate and integrate water resources development activities of the 
35 
country within the context of national plans and policies for social and 
36 
economic development; 
37 


 
 
 
16
(b) Coordinate with other government agencies, universities, academe and 
1 
private professional groups in all aspects of data gathering, the conduct of 
2 
special studies and research on all related aspects of water resources 
3 
management and development such as climate change, environmental 
4 
quality, desalination, and the development of operating strategies, 
5 
procedures, and protocols and accompanying computerized decision tools 
6 
for major water facilities;   
7 
(c) Coordinate with the concerned and relevant agencies engaged in flood 
8 
control, flood risk management, and drought risk management; and 
9 
(d) Coordinate proactively with LGUs to ensure the integration of water 
10 
resources development plans into their comprehensive land use plans 
11 
(CLUPs), Comprehensive Development Plans (CDPs) or Provincial Physical 
12 
Framework and Development Plan (PPFDP).  
13 
 
14 
V.Other Functions 
15 
(a) Create when necessary, water resource subsidiaries, instrumentalities, 
16 
and entities to engage in water transmission, water distribution, waste 
17 
water treatment and management, and sanitation in accordance with 
18 
existing relevant laws.  
19 
(b) Enter into contracts, joint venture agreements or understanding, public-
20 
private partnerships, and memorandum of agreements or understanding, 
21 
either domestic or foreign, relating to investment and financing water-
22 
related projects, under such terms and conditions as the Department may 
23 
deem proper and reasonable subject to existing laws. 
24 
(c) Exercise such other powers and functions necessary or incidental to the 
25 
effective administration and management of the country’s water resources. 
26 
 
27 
SEC. 9. Secretary of the Department of Water Resources. – The authority 
28 
and responsibility for the exercise of the mandate of the Department and for the 
29 
discharge of its powers and functions shall be vested in the Secretary of the 
30 
Department, hereinafter referred to as the Secretary, who shall: 
31 
(a) Advise the President on the promulgation of executive or administrative 
32 
orders, regulations, proclamations and other issuances relative to matters 
33 
under the jurisdiction of the Department; 
34 
(b) Establish the policies and standards for the operation of the Department 
35 
pursuant to the President’s guidelines; 
36 
(c) Promulgate rules and regulations necessary to carry out the objectives, 
37 
policies, and functions of the Department; 
38 


 
 
 
17
(d) Exercise supervision and control over all bureaus and offices under the 
1 
Department;  
2 
(e) Supervise all attached agencies and corporations in accordance with law; 
3 
(f) Represent the Department in contracts, awards, and other similar 
4 
agreements;  
5 
(g) Delegate authority for the performance of any power or function, as defined 
6 
herein to officials and employees under his direction as deemed 
7 
appropriate;  
8 
(h) Act as the Chairperson of the governing board of the attached agencies of 
9 
the Department; 
10 
(i) Designate and appoint officers and employees of the Department, 
11 
excluding the Undersecretaries, Assistant Secretaries, and Regional and 
12 
Assistant Regional Directors, in accordance with the civil service laws, 
13 
rules and regulations; and 
14 
(j) Perform such other duties and responsibilities as may be provided by law.  
15 
 
16 
SEC. 10. Office of the Secretary. – The Office of the Secretary shall be 
17 
composed of the Secretary, Undersecretary, Assistant Secretary and the 
18 
Secretary’s immediate staff.  
19 
 
20 
SEC. 11. Undersecretaries. – The Secretary shall be assisted by not more 
21 
than five (5) Undersecretaries, who shall be appointed by the President upon the 
22 
recommendation of the Secretary namely: Undersecretary for Resource 
23 
Regulation and Governance, Undersecretary for Inland Waters and Water for 
24 
Agriculture, Undersecretary for Resource Development, Undersecretary for 
25 
Planning and Policy and Undersecretary for Missionary Water, Indigenous 
26 
People, and Special Concerns. 
27 
The Secretary is hereby authorized to delineate and assign the respective 
28 
functional areas of responsibility of the Undersecretaries in accordance with the 
29 
mandate and objectives of the Department:  Provided, That no Undersecretary 
30 
shall be assigned purely to administrative responsibilities. Within their 
31 
respective functional areas of responsibility, the Undersecretaries shall: 
32 
(a) Advise and assist the Secretary in the formulation and implementation of 
33 
the policies, plans, programs and projects of the Department; 
34 
(b) Supervise all the operational activities of the assigned units for which the 
35 
Undersecretary is responsible to the Secretary; and 
36 
(c) Perform such other functions deemed necessary as may be assigned or 
37 
delegated by the Secretary to promote efficiency and effectiveness in the 
38 


 
 
 
18
delivery of public services or as may be required by law:  Provided, That 
1 
the Undersecretary for Planning and Policy shall,                           in 
2 
coordination with the Planning and Policy Service, be primarily responsible 
3 
for advancing current efforts in attaining the ultimate goal of universal 
4 
access to water supply and sanitation systems, and sustainable 
5 
management of water resources under the SDGs, and the integration of 
6 
water, energy, environment and food security. 
7 
 
8 
SEC. 12. Assistant Secretaries. – The Secretary shall be assisted by six (6) 
9 
Assistant Secretaries to be appointed by the President of the Philippines upon 
10 
the recommendation of the Secretary: one each for Planning and Policy Service, 
11 
Decision Support System Service, Resource Regulatory Service, Comptrollership 
12 
and Financial Management Service, Legal and Legislative Service, and 
13 
Administrative and Human Resources Management Service. 
14 
 
15 
No person shall be appointed Secretary, Undersecretary and Assistant 
16 
Secretary of the Department unless the person is a citizen and resident of the 
17 
Philippines, of good moral character, of proven integrity, competence and 
18 
expertise in water resource management: Provided, That at least one (1) of the 
19 
Undersecretaries and at least two (2) of the Assistant Secretaries shall be career 
20 
officers. 
21 
 
22 
SEC. 13. Organizational Structure. – The Department shall be composed of 
23 
the following organizational units: 
24 
(a) Department Proper. – The Department shall consist of the Office of the 
25 
Secretary, the Offices of the Undersecretaries and Assistant Secretaries, the 
26 
Internal Audit Office, the Public Affairs Office, the Water Pollution 
27 
Adjudication Board, the Planning and Policy Service, Decision Support 
28 
System Service, Administrative and Human Resources Service, Legal and 
29 
Legislative Service, Comptrollership and Financial Management Service, 
30 
Resource Regulation Service, and the Water Resources Regional Offices. 
31 
(b)  Attached agencies. - The Department shall exercise administrative 
32 
supervision over the following agencies for purposes of policy and program 
33 
coordination, monitoring, and evaluation: 
34 
(1) The Local Water Utilities Administration (LWUA), whose mandate, 
35 
powers, and functions are defined in Presidential Decree No. 198, 
36 
otherwise known as the Public Water Utilities Act of 1973, as amended, 
37 
shall be transferred from the Department of Public Works and 
38 


 
 
 
19
Highways and attached to the Department. It shall continue to 
1 
primarily function as a specialized lending institution for the 
2 
promotion, development, and financing of local water utilities. In the 
3 
implementation of its functions, the LWUA shall: 
4 
(i) 
prescribe minimum standards and regulations in order to assure 
5 
acceptable standards of construction materials and supplies, 
6 
maintenance, operation, personnel training, accounting and fiscal 
7 
practices for local water utilities; 
8 
(ii) 
furnish technical assistance and personnel training programs for 
9 
local water utilities; 
10 
(iii) 
monitor and evaluate local water standards; and 
11 
(iv) 
effect system integration, joint investment and operation, district 
12 
annexation and                       de-annexation whenever economically 
13 
warranted as amended by Sec. 22, Presidential Decree No. 768. 
14 
(2) The Metropolitan Waterworks and Sewerage System (MWSS), whose 
15 
mandate, powers, and functions are defined under Republic Act No. 
16 
6234, as amended entitled, An Act Creating The Metropolitan 
17 
Waterworks And Sewerage System And Dissolving The National 
18 
Waterworks And Sewerage Authority; And For And For Other Purposes, 
19 
shall be transferred from the DPWH and attached to the Department: 
20 
Provided, That the MWSS shall continue to facilitate the exercise by the 
21 
concessionaires of their responsibility; carry out accounting and 
22 
notification functions; monitor, report, and administer loans; perform 
23 
related functions in connection with existing projects; manage and 
24 
dispose its retained assets; and manage and operate the Umiray-Angat 
25 
Transbasin Project. 
26 
(3) The National Irrigation Administration (NIA), whose mandate, powers, 
27 
and functions are defined under Republic Act No. 3601 as amended by 
28 
Presidential Decree No. 552 and Presidential Decree No. 1702; 
29 
(4) The Laguna Lake Development Authority (LLDA), whose mandate, 
30 
powers and functions are defined under Republic Act No. 4850, as 
31 
amended entitled, An Act Creating The Laguna Lake Development 
32 
Authority, Prescribing Its Powers, Functions And Duties, Providing Funds 
33 
Therefor, And For Other Purposes shall be transferred from the DENR 
34 
and attached to the Department.  
35 
The LLDA shall continue to serve as the lake management and 
36 
development authority similar to a multi-stakeholder river basin 
37 
organization and shall ensure the implementation of the Laguna Lake 
38 


 
 
 
20
Master Plan which shall be updated by the Department to ensure 
1 
alignment with the NWRMP.  
2 
Any other agency performing water resources management, conservation 
3 
and protection functions may be transferred to the Department as the 
4 
President deems necessary.  
5 
(c)  Offices, Functions and Personnel to be Completely Subsumed under the 
6 
Department. – The following offices with their powers, functions, personnel, 
7 
applicable funds and appropriations, records, equipment and property 
8 
shall be subsumed under the Department: 
9 
(1) The National Water Resources Board (NWRB) with all its divisions and 
10 
sections, whose mandate, powers and functions are provided in 
11 
Presidential Decree No. 424, as amended; 
12 
(2) 
The River Basin Control Office (RBCO) of the DENR whose mandate, 
13 
powers and functions are provided in Executive Order No. 510 and 
14 
Executive Order No. 816, as amended; 
15 
(3) 
The Manila Bay Coordinating Office (MBCO) of the DENR which was 
16 
strengthened by virtue of DENR Administrative Order (DAO) 2011-01 
17 
to coordinate the efforts of the fourteen (14) national agencies covered 
18 
by the Mandamus Order of the Supreme Court to rehabilitate Manila 
19 
Bay; 
20 
(4) 
The Water Resources Management Division of the Bureau of Soils and 
21 
Water Management of the Department of Agriculture (DA); 
22 
(5) 
The Water Supply and Sanitation Unit of the Department of the 
23 
Interior and Local Government (DILG); and 
24 
(6) 
The Water Quality Management Section of the Environmental 
25 
Management Bureau (EMB) of the DENR. 
26 
(d) Functions to be Transferred to the Department. – The following functions of 
27 
the respective agencies, bureaus, and units shall be transferred to the 
28 
Department:  
29 
(1) The hydrological surveys and groundwater mapping function of the 
30 
Mines and Geosciences Bureau (MGB) of the DENR; 
31 
(2) The hydrological surveys monitoring of stream flow and water data 
32 
collection function of the Bureau of Design and Bureau of Research and 
33 
Standards of the DPWH; 
34 
(3) The protection and conservation of natural wetlands such as lakes, 
35 
marshes, swamps of the Biodiversity Management Bureau of the DENR; 
36 
and 
37 


 
 
 
21
(4) The planning, programming, administration, monitoring, management 
1 
of the National Sewerage and Septage Management Program (NSSMP) 
2 
by the DPWH. 
3 
(5) The flood management planning and sediment management function of 
4 
the Flood Control Management Cluster of the DPWH; 
5 
(6) The Water Resource Management Division and the water research 
6 
functions of the Soils and Water Research Division of the Bureau of Soils 
7 
and Water Management under the DA.  All soil-related functions shall 
8 
be retained under the Bureau which shall be renamed as the Bureau of 
9 
Soils. 
10 
 
11 
(e) Support Services - The Department shall create the following support 
12 
services:  
13 
(1) The Planning and Policy Service shall provide the Department with the 
14 
capability to undertake water infrastructure development planning and 
15 
programming, and shall exercise the following functions: 
16 
(i) 
Advise the Secretary on all matters relating to water resources 
17 
planning; 
18 
(ii) 
Assist the Undersecretary for Planning and Policy on all matters 
19 
related to the specific functions of the position; 
20 
(iii) 
Formulate 
strategies 
and 
priorities 
for 
water 
resources 
21 
management 
and 
development 
consistent 
with 
national 
22 
development objectives, and initiate or undertake relevant 
23 
surveys for development planning; 
24 
(iv) 
Develop and regularly update a comprehensive and integrated 
25 
National Water Resources Management Plan and ensure its 
26 
integration into existing land use plans; 
27 
(v) 
Coordinate river-basin planning following the integrated water 
28 
resources management framework and the river-basin approach;  
29 
(vi) 
Formulate 
or 
update 
existing 
River 
Basin 
Master 
or 
30 
Comprehensive Plans which includes all aspects of water 
31 
management and development such as   water supply and 
32 
sanitation, irrigation, flood control and stormwater or urban 
33 
drainage, 
drought 
risk 
management, 
water 
resource 
34 
development systems and other public water works projects, 
35 
including phasing of implementation;  
36 
(vii) 
Identify, based on the river basin master plan, priority packages 
37 
for water infrastructure development per river basin, including 
38 


 
 
 
22
water 
supply, 
sanitation, 
irrigation, 
flood 
control 
and 
1 
stormwater or urban drainage, drought risk management, water 
2 
resource development systems and other public works projects, 
3 
package project proposals for funding and prioritize project 
4 
implementation and the allocation of funds and other resources 
5 
and undertake or supervise and evaluate the conduct of 
6 
feasibility studies and project preparation thereof; 
7 
(viii) 
Evaluate 
and 
appraise 
all 
regional 
and 
inter-regional 
8 
infrastructure water development plans and programs as to 
9 
their feasibility and consistency with approved strategies and 
10 
medium and long -term plans;  
11 
(ix) 
Gather, analyze, and organize needed statistical data and 
12 
information;  
13 
(x) 
Provide technical assistance related to its functions to the other 
14 
services, bureaus and the regional offices as needed;  
15 
(xi) 
Conduct hydrological and hydraulic surveys and assessments of 
16 
surface waters;  
17 
(xii) 
Develop general criteria and standards on project investigation, 
18 
formulation, planning;  
19 
(xiii) 
Develop guidelines and standards on social inclusion in water 
20 
resources management and ensure policies, programs and plans 
21 
are compliant with the gender and development framework of the 
22 
government;  
23 
(xiv) 
Coordinate closely with PAGASA for rainfall and other climate 
24 
data which shall be considered in the planning for water 
25 
resources development and management and for various water 
26 
infrastructure; and  
27 
(xv) 
Perform such functions and activities, as may be mandated by 
28 
law, which are necessary for the effective attainment of the 
29 
abovementioned objectives. 
30 
 
31 
(2) The Decision Support System Service shall provide the Department with 
32 
water resource management tools and computerized decision support 
33 
system that incorporates a data management system relating to 
34 
acquisition and database and model base in terms of physical design, 
35 
planning and decision models including services related to networking, 
36 
data management, and information   and knowledge or learning 
37 
management systems for administrative and non-technical support It 
38 


 
 
 
23
shall provide the Secretary timely reports on the status of various 
1 
Department projects and activities. For this purpose, it shall exercise 
2 
the following functions:  
3 
(i) 
Provide the Secretary the necessary data and processed 
4 
information to aid in policy and management decisions under the 
5 
mandate of the Department;  
6 
(ii) 
Publish available real-time raw water data as well as verified or 
7 
validated water data in print or electronic form using latest 
8 
internet technology; 
9 
(iii) 
Conduct and publish in print or electronic form, standard data 
10 
analysis such as basic statistical analysis, trend analysis, analysis 
11 
of runs, and cluster analysis; 
12 
(iv) 
Develop and continuously update water resource management, 
13 
computerized decision support systems (DSS) that incorporate 
14 
data management systems relating to acquisition and database, 
15 
model base in terms of physical, design, planning and decision 
16 
models, and user-friendly interface such as graphical and 
17 
visualization tools.  
18 
The DSS is composed of: 1) a measurement or data acquisition 
19 
system; 2) information or database management system; 3) 
20 
analytical and numerical models for design, planning, decision or 
21 
evaluation purposes, and 4) a user-friendly interface which 
22 
includes graphical interface or visualization tools.  
23 
(v) 
Develop and maintain specific models to include the following: 
24 
a) long-term climatologic and weather forecasting model; 
25 
b) watershed models and river-flood plain models; 
26 
c) groundwater models and coupled to surface water models; 
27 
d) flood forecasting model for major rivers; 
28 
e) optimization-simulation management models for watershed 
29 
conservation, conjunctive surface and groundwater use, 
30 
irrigation scheduling, normal and emergency operations of 
31 
multi-purpose reservoirs; and 
32 
f) water quality and ecological models. 
33 
(vi) 
Develop and administer the management information system and 
34 
knowledge systems of the Department to: 
35 
a) Retrieve, process, and monitor information on all projects and 
36 
activities in the web portal; 
37 


 
 
 
24
b) Conduct and apply systems and process engineering, software 
1 
development, software configuration management;  
2 
c) Develop and manage its corporate database, unified database 
3 
for water industry, data warehouse, other water information 
4 
resources, library services and document management and 
5 
archiving services;  
6 
d) Develop and manage its Information and Communications 
7 
Technology (ICT) infrastructure and ICT related-services 
8 
including computer networking and voice communications 
9 
services and data exchange, and   
10 
e) Manage the literacy and training services of the Department on 
11 
various ICT and, Knowledge Management (KM) tools and 
12 
applications, 
including 
information 
and 
knowledge 
13 
management.  
14 
(vii) Perform such other related functions and activities which are 
15 
necessary for the effective administration of the management 
16 
information and knowledge systems of the Department.  
17 
 
18 
(3) The Administrative and Human Resource Service shall provide the 
19 
Department with services relating to human resources development, 
20 
personnel, records, facilities maintenance, medical and dental, 
21 
security, property and procurement services, and shall exercise the 
22 
following functions: 
23 
(i) 
Advise the Secretary on all matters relating to internal 
24 
administration and human resources management;  
25 
(ii) 
Prepare and implement an integrated personnel development 
26 
plan that shall include provisions for merit promotions, 
27 
performance evaluation, job rotation, incentive awards systems, 
28 
and health and welfare services; 
29 
(iii) 
Provide services related to human resource training, education 
30 
and development including manpower, career planning and 
31 
forecasting, and development of indigenous training materials;  
32 
(iv) 
Develop, establish, and maintain an efficient and cost-effective 
33 
property procurement system and facilities and coordinate or 
34 
otherwise interface with relevant agencies, whether government 
35 
or private, for the purpose of developing or upgrading the system; 
36 
(v) 
Develop, establish, and maintain an efficient and effective 
37 
security system covering, among others, personnel, physical 
38 


 
 
 
25
installations, facilities, equipment, documents and materials 
1 
including the conduct of security investigations;  
2 
(vi) Coordinate with the appropriate government agencies for a more 
3 
efficient conduct of administrative processes;  
4 
(vii) Develop, establish, and maintain an efficient records system;  
5 
(viii) Provide assistance in its area of specialization to the Department 
6 
Proper, bureaus and regional and water district offices and, when 
7 
requested, to the government agencies and corporations attached 
8 
to the Department; and 
9 
(ix) 
Perform such other related functions and activities which are 
10 
necessary for the effective management of the resources of the 
11 
Department, including its human resources.  
12 
 
13 
(4) The Legal and Legislative Research  Service shall provide the 
14 
Department with services on such legal affairs as contract letting and 
15 
litigation, legal and legislative research, complaints and investigation, 
16 
legal counselling and other matters of law, and shall exercise the 
17 
following functions:  
18 
(i) 
Advise the Secretary on all matters relating to legal and legislative 
19 
affairs; 
20 
(ii) 
Prepare Department contracts and legal instruments, review and 
21 
interpret all contracts and agreements entered into by the 
22 
Department and evaluate all legal proposals; 
23 
(iii) 
Conduct 
administrative 
investigation 
and 
the 
review 
of 
24 
administrative charges against officers and employees of the 
25 
Department; 
26 
(iv) 
Exercise functional jurisdiction over the legal staffs of Regional 
27 
Offices; 
28 
(v) 
Provide legal assistance to the Department Proper, the bureaus and 
29 
regional offices and when requested, the attached corporations; 
30 
(vi) 
Develop and prepare the Department’s Legislative Agenda, 
31 
recommend presidential certification of the urgency of priority 
32 
water bills, and other water-related legislation;  
33 
(vii) 
Coordinate and maintain linkages between and among the various 
34 
offices, bureaus, regional offices and attached agencies to the 
35 
Department along with other government agencies on policy 
36 
matters affecting the Department’s mandate in relation to 
37 
legislation; 
38 


 
 
 
26
(viii) 
Perform liaison and networking activities in relation to the 
1 
enactment of related laws relating to water resources issues in 
2 
legislative policymaking bodies such as the Senate of the 
3 
Philippines, the House of Representatives, and the various 
4 
Sanggunians;  
5 
(ix) 
Monitor the progress of the Department’s priority or certified bills 
6 
to ensure their passage; and 
7 
(x) 
Perform such functions and activities, as may be mandated by law, 
8 
which are necessary for the effective performance of the 
9 
abovementioned objectives.  
10 
 
11 
(5) The Comptrollership and Financial Management Service shall provide 
12 
the Department   with coordinated services relating to financial systems 
13 
and 
procedures, 
budget, 
cash, 
accounting 
and 
all 
financial 
14 
housekeeping matters, and shall exercise the following functions: 
15 
(i) 
Advise the Secretary on all matters relating to the accounting of 
16 
government expenditures and receipts, budgeting and cash 
17 
management, 
project 
finances 
and 
financial 
systems 
and 
18 
procedures;  
19 
(ii) 
Prepare budget proposals and pursue formal budget authorizations, 
20 
undertake budget execution, and prepare and submit all 
21 
appropriate reports to the proper offices; 
22 
(iii) 
Develop 
and 
maintain 
accounting, 
financial 
and 
assets 
23 
management systems, procedures and practices in the Department 
24 
Proper, Bureaus and Regional Offices; 
25 
(iv) 
Review and appraise systems and procedures, organizational 
26 
structure, assets management practices, accounting, and other 
27 
records, reports, and performance standards such as budgets and 
28 
standard costs of the Department, bureaus, and regional offices; 
29 
(v) 
Provide assistance in its area of specialization to any unit of the 
30 
Department and, when requested, to government corporations and 
31 
councils attached to the Department; and 
32 
(vi) 
Perform such other related functions and activities which are 
33 
necessary for the effective financial management of the Department. 
34 
 
35 
(6) The Resource Regulation Service shall provide the Department with 
36 
services for the effective regulation of all water-related services and 
37 
activities and shall exercise the following functions: 
38 


 
 
 
27
(i) 
Advise the Secretary on all matters relating to resource 
1 
regulations; 
2 
(ii) 
Determine, grant and regulate water rights for the appropriate, 
3 
optimal and sustainable use of surface and ground water; 
4 
(iii) 
Determine and evaluate waterworks and sewerage licenses, and 
5 
submit evaluation results to the Water Regulatory Commission for 
6 
the latter’s consideration in granting of licenses; 
7 
(iv) 
Investigate violations of the water rights and the Water Code, and 
8 
impose the appropriate sanctions in accordance with existing laws, 
9 
rules and regulations    as well as future rules and regulations 
10 
which the Department shall promulgate; 
11 
(v) 
Adjudicate water use conflicts; and 
12 
(vi) 
Perform such other related functions and activities which are 
13 
necessary for the effective regulation of water-related services. 
14 
 
15 
(7) The Internal Audit Service shall regularly conduct a comprehensive 
16 
audit of various Department activities and shall exercise the following 
17 
functions: 
18 
(i) 
Advise the Secretary on all matters relating to management control 
19 
and operations audit; 
20 
(ii) 
Conduct a performance audit of the management and operations 
21 
of the Department, its activities, the performance of all units, and 
22 
determine the degree of compliance of all operating units with 
23 
established 
objectives, 
policies, 
standards, 
methods 
and 
24 
procedures, government regulations and contractual obligations 
25 
of the Department; 
26 
(iii) 
Review and appraise systems and procedures, organizational 
27 
structure, assets management practices, accounting and other 
28 
records, and performance standards such as budgets and 
29 
standard costs of the Department Proper, bureaus and regional 
30 
offices; 
31 
(iv) 
Analyze and evaluate management deficiencies and recommend 
32 
realistic courses of action; and 
33 
(v) 
Perform such functions and activities, as may be mandated by 
34 
law, which are necessary for the effective performance of the 
35 
abovementioned objectives.  
36 
 
37 


 
 
 
28
(8) The Public Affairs Service shall enhance relations with all stakeholders 
1 
including the media, for the effective dissemination of information 
2 
relating to water-related issues, including important announcements 
3 
on policies and activities of the department that is of interest to the 
4 
general public. It shall ensure that women, men, elderly, and people 
5 
with disabilities shall be consulted, organized and take active part in 
6 
all aspects of water resources development and management activities. 
7 
It shall also lead the planning and organizing of special events, and 
8 
shall exercise the following functions: 
9 
(i)  Public Awareness 
10 
a) Advise the Secretary on matters pertaining to public affairs; 
11 
b) Develop and supervise the implementation of comprehensible 
12 
communications programs on relevant policies, programs and 
13 
plans of the Department; 
14 
c) Produce and supervise the dissemination of communication 
15 
materials in line with the priorities of the Department and 
16 
national government public information programs; 
17 
d) Conduct public opinion and attitude surveys to identify the 
18 
interests and concerns of the stakeholders of the Department; 
19 
e) Establish policies on the presentation and publication of the 
20 
content of the communication materials for dissemination to 
21 
print and broadcast media; 
22 
f) 
Establish and maintain linkages with the tri-media and a 
23 
presence in social media; 
24 
g) Coordinate the conduct of interviews and news conferences; 
25 
h) Make public announcements on matters relating to the work 
26 
and activities of the Department through the print and 
27 
broadcast media, either through press releases or live 
28 
interviews; 
29 
i) 
Coordinate 
with 
various 
Department 
units, 
concerned 
30 
government agencies, tri-media and other stakeholders on 
31 
matters related to the above-enumerated functions; and 
32 
j) 
Coordinate with the appropriate national government agencies 
33 
involved in public information affairs. 
34 
(ii) Promote Participation 
35 
a) Conduct public consultations and discussions;  
36 


 
 
 
29
b) Develop and disseminate relevant and appropriate materials 
1 
and programs for public information and education, as well as 
2 
advocacy campaign; 
3 
c) Conduct seminars and workshops involving the LGUs and the 
4 
general public on current water issues and problems; and 
5 
d) Conduct capability building seminars of various stakeholders 
6 
to promote meaningful participation in the Department’s policy 
7 
making, planning, development and implementation of various 
8 
programs and projects. 
9 
(iii) Special Events 
10 
a) Coordinate the organization and promotion of special events 
11 
and water exhibits; 
12 
b) Act as the focal office for all water related events; and 
13 
c) Perform such functions and activities, as may be mandated by 
14 
law, which are necessary for the effective performance of the 
15 
abovementioned objectives.  
16 
 
17 
(f) Bureaus. – The Department shall create bureaus which shall each be 
18 
headed by a Bureau Director. The Bureau Director shall be responsible for 
19 
the efficient and effective discharge of the functions of the Bureau 
20 
concerned. The Bureau Director shall be assisted by one (1) Assistant 
21 
Director. 
22 
 
23 
(1) Bureau of Flood Control and Drainage shall plan and design flood 
24 
control and drainage     structures    and   facilities   in     accordance 
25 
with technical standards, guidelines and manuals. For this purpose, 
26 
it shall have the following duties and responsibilities: 
27 
(i) Formulate 
policy, 
strategies 
and 
programs 
on 
flood 
risk 
28 
management in the context of integrated flood management (IFM) 
29 
which integrates water, land, coastal zone and multi-hazard 
30 
management. In integrating land use planning and water 
31 
management, the Department shall harmonize and synthesize plans 
32 
to enable the sharing of information between land-use planning and   
33 
water management authorities. In this regard, a holistic approach 
34 
shall be adopted by making the IFM a part of a wider risk or multi-
35 
hazard management system that includes earthquakes, landslides, 
36 
fires, tsunami, and other calamities of the same gravity or nature; 
37 


 
 
 
30
(ii) Integrate climate change and disaster risk reduction and 
1 
management in policies and plans; 
2 
(iii) Prepare master plans of flood management and drainage in river 
3 
basins in coordination with the concerned water resources region 
4 
and river basin organizations;  
5 
(iv) Prepare 
master 
plans 
for 
urban 
drainage 
in 
cities 
and 
6 
municipalities; 
7 
(v) Prepare feasibility studies of recommended measures in the master 
8 
plans; 
9 
(vi) Plan and design structural measures for flood control and drainage; 
10 
(vii) Implement and collaborate with concerned agencies on the 
11 
formulation and adoption of non-structural measures for flood 
12 
control and drainage; 
13 
(viii) Patrol and investigate rivers, and monitor stream flows; 
14 
(ix) Conduct post-disaster investigation and evaluation and damage 
15 
assessment of flood infrastructures after extreme events; 
16 
(x) Conduct research and development on water and sediment-related 
17 
disasters;  
18 
(xi) Develop design guidelines, criteria, and standards on flood control 
19 
and drainage structures; 
20 
(xii) Provide technical assistance to other agencies, LGUs, and other 
21 
stakeholders;  
22 
(xiii) Advise the Secretary on declaring flood control areas and 
23 
recommend guidelines for flood plain management plans in these 
24 
areas; and  
25 
(xiv) Perform such related activities which are necessary for the effective 
26 
performance of its functions. 
27 
 
28 
(2) Bureau of Water Quality Management shall supervise and exercise 
29 
control over all aspects of water quality management to ensure the 
30 
sustainability of the country’s water resources and the protection of the 
31 
environment. It should take into account proper and integrated 
32 
treatment of freshwater and wastewater within the whole process. For 
33 
this purpose, the Bureau shall exercise the following functions: 
34 
(i) Establish water quality guidelines for freshwater and      coastal or 
35 
marine waters as basis for classifying water bodies in the country. 
36 
Specifically, develop water quality indices or composite metrics to 
37 


 
 
 
31
measure the quality status and health of natural water bodies in 
1 
relation to ecological integrity and function; 
2 
(ii) Establish effluent standards for point discharges to receiving bodies 
3 
of water;  
4 
(iii) Establish internationally accepted procedures for sampling and 
5 
analysis;  
6 
(iv) Prepare an integrated water quality management framework; 
7 
(v) Prepare the ten-year water quality management plans for each water 
8 
quality management area as part of the River Basin Master Plans 
9 
and in support of the NWRMP; 
10 
(vi)  Classify groundwater sources and prepare a national groundwater 
11 
vulnerability map; 
12 
(vii) Classify or reclassify all water bodies according to their beneficial 
13 
usages using the established water quality guidelines established; 
14 
(viii) Issue permits, clearances, and similar instruments pursuant to the 
15 
Clean Water Act of 2004; 
16 
(ix)  Collect the wastewater discharge fees for all permittees; 
17 
(x) Monitor the compliance of water discharge permittees with the 
18 
effluent standards;  
19 
(xi)  Regularly monitor the water quality of major water bodies in the 
20 
country and analyze the data to identify possible sources of pollution;  
21 
(xii) Issue notices of violations or cease and desist orders for those found 
22 
in violation;  
23 
(xiii) File the needed cases against violators with the Water Pollution 
24 
Adjudication Board (WPAB);  
25 
(xiv) Serve as secretariat of the WPAB; and  
26 
(xv) Perform such functions and activities, as may be mandated by law, 
27 
which 
are 
necessary 
for 
the 
effective 
performance 
of 
the 
28 
abovementioned objectives.  
29 
 
30 
(3) A Water Resources Regional Office (WRRO) shall be organized per water 
31 
resources region and shall be responsible for implementing the 
32 
mandates, powers and duties of the Department at the field level, 
33 
except for policymaking which will be vested solely in the Department. 
34 
The formulation of the master plan for the nearby river basins such as 
35 
the Pasig-Marikina-Laguna Lake-Cavite, shall be the responsibility of 
36 
the Department. Each WRRO shall perform the following duties and 
37 
responsibilities: 
38 


 
 
 
32
(i) Formulate or update and coordinate the river basin master plans for 
1 
river basins within its jurisdictions ensuring consistency with the 
2 
National Water Resources Management Framework Plan;  
3 
(ii) Advocate and strongly support the creation and functioning of multi-
4 
stakeholder river basin organizations (RBOs) and serve as the 
5 
secretariat of the said RBOs; 
6 
(iii) Undertake and evaluate the planning, design, and work supervision 
7 
functions   of the Department for the water infrastructures within 
8 
the region; 
9 
(iv) Ensure the implementation of laws, policies, programs, rules and 
10 
regulations regarding the abovementioned infrastructure as well as 
11 
public and private physical structures; 
12 
(v) Provide technical assistance related to the water-related functions of 
13 
other agencies within the region especially the local government;  
14 
(vi) Coordinate with other departments, agencies, institutions and 
15 
organizations, especially local government units within the region in 
16 
the planning and implementation of the river basin master plans; 
17 
(vii) Conduct consultations with the local communities, take appropriate 
18 
measures to ensure that the services of the Department are 
19 
responsive, and recommend such appropriate actions as may be 
20 
necessary; and  
21 
(viii) Perform such functions and activities, as may be mandated by law, 
22 
which are necessary for the effective performance of the 
23 
abovementioned   objectives.  
24 
 
25 
The Department shall retain existing Project Management Offices as may be 
26 
required, which shall be under the supervision and control of the appropriate 
27 
Water Resources Regional Office unless otherwise determined by the Secretary 
28 
for reasons of supra- regional scope, magnitude and multi-functional coverage. 
29 
     
30 
 Each Water Resources Regional Office shall be headed by a Water 
31 
Resources Regional Director who shall be responsible for efficiently and 
32 
effectively carrying out the duties and responsibilities of the Office. Towards this 
33 
end, the Water Resources Regional Director shall exercise functional and 
34 
administrative supervision over all units within the region and is authorized  to 
35 
commit resources and assign personnel to integrated regional water resources 
36 
management, water supply and sanitation management, and flood control and 
37 
flood risk management initiatives. The Water Resources Regional Director shall 
38 


 
 
 
33
also perform such other related duties and responsibilities as may be assigned 
1 
or delegated by the Secretary or as may be required by law. 
2 
 
3 
The Water Resources Regional Director shall be assisted by two (2) Assistant 
4 
Water Resources Regional Office Directors who shall exercise supervision over 
5 
(1) the planning, project design and evaluation function and (2) technical 
6 
assistance to the River Basin Organizations within the water resources region. 
7 
 
8 
SEC. 14. Water Pollution Adjudication Board. – There is hereby created a 
9 
Water Pollution Adjudication Board under the Office of the Secretary. The Board 
10 
shall be composed of the Secretary as Chairperson, two (2) Undersecretaries as 
11 
may be designated by the Secretary, the Director of Water Quality Management 
12 
Bureau, and three (3) other representatives from other stakeholders to be 
13 
designated by the Secretary as members. 
14 
  
15 
The Board shall assume the powers and functions of the National Pollution 
16 
Control Commission with respect to the adjudication of water pollution cases 
17 
under Republic Act No. 3931 entitled, An Act Creating The National Water And 
18 
Air Pollution Control Commission, Presidential Decree 984 entitled Providing For 
19 
The Revision Of Republic Act No. 3931, Commonly Known as the Pollution Control 
20 
Law, And For Other Purposes, particularly with respect to Section 6 letters e, f, 
21 
g, j, k and Republic Act No. 9275. The Bureau of Water Quality Management 
22 
shall serve as the Secretariat of the Board. These powers and functions may be 
23 
delegated to the field officers of the Department in accordance with rules and 
24 
regulations to be promulgated by the Board. 
25 
 
26 
CHAPTER III 
27 
INTERDEPARTMENTAL RELATIONS 
28 
AND INSTITUTIONAL ARRANGEMENTS OF THE DEPARTMENT       
29 
 
30 
SEC. 15. Interface and Institutional Arrangements with Other Agencies. – 
31 
(a) The Department of Health (DOH) shall continue to have primary authority 
32 
and responsibility for setting and enforcing drinking water quality 
33 
standards. The Department shall coordinate with the DOH in this aspect, 
34 
and shall ensure consistency of standards and targets, as well as the 
35 
compliance of permittees with mandated standards;  
36 


 
 
 
34
(b) The Department of Environment and Natural Resources (DENR) shall 
1 
continue to have primary authority and responsibility for protecting the 
2 
environment and managing the country’s watersheds; 
3 
(c) The Department of Energy (DOE) and the National Power Corporation 
4 
(NPC) shall continue to have primary authority and responsibility for 
5 
establishing and operating hydropower plants, but shall ensure that 
6 
hydropower plant development plans are consistent with the National 
7 
Water Development and Management Plan; 
8 
(d) The Department shall coordinate with the DA to ensure agricultural 
9 
development that reduces long-term pollution for surface water and 
10 
groundwater, and agricultural and industrial economic development that 
11 
employs water efficiency, water recycling or reuse, and the appropriate 
12 
treatment of wastewater; 
13 
(e) The Department shall coordinate with the National Disaster Risk 
14 
Reduction Management Council (NDRRMC) to ensure that its plans and 
15 
designs for flood control, flood risk management and drought risk 
16 
management are aligned with the objectives and plans of the Department;  
17 
(f) The Department shall coordinate with Climate Change Commission (CCC), 
18 
Philippine 
Atmospheric, 
Geophysical 
and 
Astronomical 
Services 
19 
Administration 
(PAGASA), 
and 
National 
Mapping 
and 
Resource 
20 
Information Authority (NAMRIA) for scientific studies, integrated surveys, 
21 
mapping, charting, and decision support systems  
22 
(g) The Department shall coordinate with the Department of Tourism (DOT) 
23 
on recreational use of water resources;  
24 
(h) The Department shall coordinate with the Philippine Reclamation 
25 
Authority and economic zone authorities on water resources development 
26 
and water requirements within reclamation areas and economic zones, 
27 
respectively; and  
28 
(i) The Department shall coordinate with relevant government agencies, 
29 
including local government units (LGUs), with respect to development 
30 
projects and  shall ensure cross-cutting collaboration between and among 
31 
all water subsectors and facilitate inter-agency subsector coordination, 
32 
strategic development, planning, monitoring and provision of technical, 
33 
institutional and financial capacity building support to their different 
34 
stakeholders at the water subsector level.  
35 
 
36 
SEC. 16. National Water Sector Policy Board. – The National Water Sector 
37 
Policy Board (NWSPB) shall be created and shall be headed by the Secretary of 
38 


 
 
 
35
the Department of Water Resources with the Secretary of the National Economic 
1 
and Development Authority as the Vice-Chairperson, and the Secretaries of the      
2 
DOH,      DILG,      DOE,      DA, Department of  Social Welfare and Development;       
3 
DPWH; Department of Budget and Management (DBM); Office of the President,  
4 
and DENR, and National Commission on Indigenous Peoples as members.  The 
5 
Department shall provide personnel to serve as Secretariat to the Board. 
6 
 
7 
SEC. 17. Powers and Functions of the National Water Sector Policy Board – 
8 
The NWSPB shall perform policymaking, coordination, integration, supervision, 
9 
monitoring 
and 
evaluation 
functions, 
and 
shall 
have 
the 
following 
10 
responsibilities: 
11 
(a) Approve the NWRMP which shall serve as a principal guide to water 
12 
management efforts in the country and shall be reviewed every five (5)-
13 
years interval, or as may be deemed necessary, in order to ensure its 
14 
relevance to the times; 
15 
(b) Provide overall policy direction and recommend policies on water resources 
16 
requiring Presidential decision; 
17 
(c) Advise the President on the status of water management and supply, 
18 
recommend to the President the declaration of a state calamity in areas 
19 
affected by water supply, and submit proposals to restore normalcy in the 
20 
affected areas; 
21 
(d) Ensure a multi-stakeholder participation in the development, updating, 
22 
and sharing of information system as policy, planning and decision-
23 
making tools consistent with IWRM. 
24 
 
25 
SEC.18. Transfer of Rights and Obligations. – The Department shall, by 
26 
virtue of this Act, be subrogated to all the rights and assume all the obligations 
27 
of the government agencies and units whose powers and functions have been 
28 
subsumed, absorbed, transferred or attached to the Department in accordance 
29 
with the rules and regulations of the Commission on Audit, and the Civil Service 
30 
Commission, and other applicable laws. The transfer of powers and functions as 
31 
herein provided shall take effect within six (6) months of the effectivity of this 
32 
Act. As such, all affected agencies, offices, units shall continue to function under 
33 
their present mandates.  
34 
 
35 
CHAPTER IV 
36 
WATER REGULATORY COMMISSION 
37 
 
38 


 
 
 
36
SEC.19. Water Regulatory Commission. – There is hereby created and 
1 
established as an independent, quasi-judicial regulatory body to be known as 
2 
the Water Regulatory Commission, hereinafter referred to as the Commission, 
3 
which shall be organized within one hundred twenty (120) days after the 
4 
effectivity of this Act.  
5 
 
6 
The Commission shall be placed under the administrative supervision of 
7 
the Department as an attached agency. 
8 
 
9 
The Commission shall have a Board of Commissioners, and shall be 
10 
vested with powers and functions, as conferred and set forth hereunder. 
11 
 
12 
SEC. 20.  The Regulatory Units. – The regulatory units of the Commission 
13 
shall be composed of the central regulatory unit and the regional regulatory 
14 
units.  
15 
  
16 
The economic regulatory units and functions of the MWSS, NWRB, LWUA, 
17 
SBMA, PEZA, and TIEZA are hereby transferred to the Commission, and shall 
18 
collectively comprise its central regulatory unit for water supply and sanitation 
19 
services that: (a) provide services to more than one province; and (b) are owned, 
20 
operated, or maintained by special economic zones and Metro Manila 
21 
concessionaires. 
22 
 
23 
The regional regulatory units shall be established by the Commission in 
24 
accordance with this Act and the rules, regulations, guidelines, and standards 
25 
that the Commission shall issue. 
26 
 
27 
SEC. 21. Powers and Functions of the Commission. – The overall authority 
28 
and powers of the Commission shall cover and apply to all service providers, 
29 
whether private or public, providing or intending to provide levels II & III water 
30 
supply, including suppliers to subdivisions and other service providers, 
31 
sewerage, and septage treatment and disposal services for domestic, residential, 
32 
institutional, industrial, or commercial use. 
33 
 
34 
The Commission shall exercise the following powers and functions: 
35 
(a) Issue and promulgate rules, regulations and guidelines as may be 
36 
necessary to implement and enforce its powers and functions under 
37 
this Act; 
38 


 
 
 
37
(b) Promulgate and enforce just and reasonable technical standards, 
1 
classifications and measurements of service; 
2 
(c) Establish rules and regulations to monitor, avoid, and provide remedies 
3 
for any market power abuse or anti-competitive or discriminatory act 
4 
or behavior by or against any participant in the water supply and 
5 
sanitation sector.  Upon finding that a market participant has engaged 
6 
in, or has fallen victim to such act or behavior, the Commission shall 
7 
act to stop or redress the same.  Such remedies may, without limitation, 
8 
include the imposition of price controls, issuance of injunctions, 
9 
requirement of divestment or disgorgement of excess profits, 
10 
invalidation of contracts and imposition of fines and penalties pursuant 
11 
to this Act. 
12 
(d) Adopt and require that books, records, and accounts be kept and 
13 
maintained in accordance with the prescribed uniform accounting 
14 
system; 
15 
(e) Fix and determine proper and adequate rates of depreciation of 
16 
properties and equipment used in water supply and sanitation services; 
17 
(f) Impose and collect annual levies determined as a percentage of gross 
18 
revenue accruing in relation to the licensed activities, and reasonable 
19 
fees and surcharges as may be necessary for achieving the purposes, 
20 
powers and functions of the Commission; 
21 
(g) Require the submission reports of finances and operations, verified 
22 
under oaths by the owner or president and secretary of the board of the 
23 
licensee; 
24 
(h) Determine and require the monitoring and submission of such data, 
25 
statistics and other information from the regulatory units and any or 
26 
all licensees as may be necessary for the effective and efficient exercise 
27 
of its duties, functions, powers and responsibilities. 
28 
(i) Investigate, motu propio or upon a written complaint, any matter 
29 
concerning the operation of the service and issues on price 
30 
manipulation and anti-competitive behavior;  
31 
(j) Impose penalties and fines against any licensee or against its owners, 
32 
directors, officers, agents or representatives for any violation of this Act 
33 
or of the license, order, rule regulation or requirement issued by the 
34 
Commission;  
35 
(k) Require any licensee to pay the actual expenses incurred by the 
36 
Commission in any investigation if it shall be found that a licensee 
37 
violated any provision of this Act or of the license, order, rule regulation 
38 


 
 
 
38
or requirement issued by the Commission; 
1 
(l) Advise, apprise and coordinate with other relevant agencies of the 
2 
national or local government on any matter relating to water supply 
3 
and sanitation services; 
4 
(m) Deputize agents, whether from the public or private sector, to assist in 
5 
the performance of any of the powers and functions of the Commission; 
6 
(n) Appoint an interim or temporary management committee upon appeal 
7 
and after due hearing, to ensure continuity of service in case a licensee 
8 
fails to meet conditions of the license and the concerned Regulatory 
9 
Unit fails or refuses to appoint an interim management committee as 
10 
provided in the following section. 
11 
(o) Appoint, hire and maintain adequate staff and personnel, advisers, or 
12 
consultants, with suitable qualifications and experience, as necessary; 
13 
(p) Exercise original and exclusive jurisdiction over all cases contesting 
14 
rates, fees, fines and penalties imposed by the regulatory units in the 
15 
exercise of their powers, functions and responsibilities, as provided 
16 
under this Act, and over all cases involving disputes between and 
17 
among participants or stakeholders in the water supply and sanitation 
18 
services; and 
19 
(q) Such other incidental powers and functions as may be necessary to 
20 
attain the objectives of this Act.  
21 
 
22 
SEC. 22. Powers and Functions of the Regulatory Units. – The regulatory 
23 
units of the Commission shall have the following powers and functions: 
24 
(a) Issue licenses authorizing the operation of water supply and sanitation 
25 
services in any specified area or areas within the Philippines. 
26 
(b) Impose fines, charges and other penalties upon any provider or its 
27 
officers and stockholders who shall fail or refuse to register or obtain a 
28 
license prior to operation or commencement of business, as provided 
29 
hereunder. 
30 
(c) Review, determine, fix, and approve, consistent with the rules, 
31 
guidelines, procedures and methodologies which the Commission shall 
32 
provide, proposed water and sewerage and septage management 
33 
tariffs, rates and charges that licensees may impose upon their 
34 
consumers;  
35 
(d) Appraise and value property and equipment used by licensees in 
36 
providing water supply and sanitation services. 
37 
(e) Enforce technical, financial, and other performance standards set by 
38 


 
 
 
39
the Commission for licensees or utilities; 
1 
(f) Respond to consumer complaints and ensure the adequate promotion 
2 
of consumer interests and investigate motu propio price manipulation 
3 
and anti-competitive behavior; 
4 
(g) Investigate accidents directly or indirectly arising from or connected 
5 
with the maintenance or operation of the service, and make such order 
6 
or recommendation as the public interest may warrant; 
7 
(h) Require the review or approval of contracts or agreements that may 
8 
impact on the tariff and rates of service provision entered into by 
9 
service providers upon petition or motu propio where in its 
10 
determination public interest so dictates; 
11 
(i) Require the submission of reports, plans, and other documents that 
12 
define the performance targets of the licensees or utilities, and regular 
13 
accomplishment reports; 
14 
(j) Impose and collect annual levies determined as a percentage of gross 
15 
revenue accruing              in relation to the licensed activities, and 
16 
reasonable fees and surcharges as may be necessary for achieving the 
17 
purposes, powers, and functions of the regulator; 
18 
(k) Conduct benchmarking and monitor the performance of licensees or 
19 
utilities under their jurisdiction, and publish reports detailing the 
20 
results thereof, as may be necessary                           or required by 
21 
the Commission; 
22 
(l) Amend, modify, suspend, or revoke any license issued by them, after 
23 
due notice and hearing, on any of the following grounds: 
24 
(1) when the facts and circumstances on the strength of which the 
25 
license was issued have been materially misrepresented or have 
26 
materially changed;  
27 
(2) where the licensee has failed to meet or comply with terms, 
28 
conditions, and performance targets, including but not limited to 
29 
service expansion, that may have been set in the license; 
30 
(3) where the licensee is found to be manifestly inefficient in the 
31 
operation of or provision of water supply and sanitation services in 
32 
its area; or 
33 
(4) when the licensee thereof has violated or willfully refused to comply 
34 
with any order, rule or regulation of the Commission or any provision 
35 
of this Act; 
36 
(m)  Appoint an interim management committee to ensure continuity of 
37 
service in case a licensee fails to meet the conditions of the license; and 
38 


 
 
 
40
(n) Submit performance plans and reports as required by the Commission. 
1 
 
2 
SEC. 23. Composition of the Water Regulatory Commission. –  
3 
(a) The Commission shall be a collegial body composed of five (5) full-time 
4 
members consisting of a Chairperson and four (4) members, who shall all 
5 
be appointed by the President of the Philippines. All members of the 
6 
Commission must be citizens and residents of the Philippines, at least 
7 
thirty five (35) years of age, and of good moral character, of recognized 
8 
integrity and competence in the field of law, business, commerce, finance, 
9 
accounting or public administration, water or utility economics, 
10 
management, physical or engineering services, hydrology and other 
11 
related services, with at least three (3) years of actual and distinguished 
12 
experience in their respective fields of expertise: Provided, That out of the 
13 
four (4) members of the Commission,  at least one (1) shall be a member 
14 
of the Philippine Bar with at least ten (10) years of experience in the active 
15 
practice of law, and at least one (1) shall be a certified public accountant 
16 
with at least ten (10) years of experience in active practice. 
17 
 
18 
(b) The term of office of each member of the Commission shall be seven (7) 
19 
years: Provided, That among the members first appointed, the 
20 
Chairperson shall serve for a period of seven (7) years, two (2) members 
21 
shall serve for  five (5) years and the other two (2) members shall serve 
22 
for three (3) years: Provided further, That any member whose term has 
23 
expired as specified herein shall serve as such until a successor shall 
24 
have been appointed and qualified: Provided furthermore, That any 
25 
appointment to fill a vacancy in the Commission arising from death, 
26 
removal, retirement or resignation shall be made only for the unexpired 
27 
term: Provided, finally, That in no case shall any member serve for more 
28 
than seven (7) years in the Commission.  
29 
 
30 
(c) The Commission shall meet as often as may be necessary on such day or 
31 
days as the Chairperson may fix. The presence of at least three (3) 
32 
members of the Commission shall constitute a quorum, which shall be 
33 
necessary for the transaction of any business. The affirmative vote of 
34 
majority of the members of the Commission where a quorum is present 
35 
shall be necessary for the adoption of any order, resolution, decisions, or 
36 
other act of the Commission in the exercise of its quasi-judicial functions: 
37 
Provided, That in promulgating rules, regulations, guidelines and in 
38 


 
 
 
41
exercising its quasi-legislative functions, an affirmative vote of three (3) 
1 
members shall be required.  
2 
 
3 
(d) The Chairperson of the Commission shall exercise general executive 
4 
control and supervision over the Commission and its members, staff and 
5 
personnel, agents and representatives. Within three (3) months from the 
6 
creation of the Commission and the appointment of all Members of the 
7 
Commission, the Chairperson shall determine and establish the 
8 
organizational structure and plantilla positions necessary to carry out 
9 
the powers and functions of the Commission, including those of the 
10 
central and provincial regulatory units subject to the review and approval 
11 
of the DBM.  
12 
 
13 
The plantilla positions of the Commission shall be filled by regular 
14 
appointments in accordance with Civil Service laws, rules, and 
15 
regulations.  Members of the Commission shall enjoy security of tenure 
16 
and shall not be suspended or removed from office except for just cause 
17 
as specified by law. 
18 
 
19 
(e) The Chairperson and members of the Commission or any of their relatives 
20 
within the fourth civil degree of consanguinity or affinity, legitimate or 
21 
common law, shall be prohibited from holding any interest whatsoever, 
22 
either as investor, stockholder, officer or director, in any company or 
23 
entity engaged in provision of water supply and distribution, septage 
24 
management and sewerage services and must, therefore, divest through 
25 
sale or legal disposition of any and all interests in the water sector upon 
26 
assumption to office. 
27 
 
28 
SEC. 24. Secretariat of the Commission. – The Commission shall establish 
29 
a Secretariat which shall provide the Commission with technical and support 
30 
services including the following:  
31 
(a) Provide the necessary technical inputs and secretariat support to the 
32 
Commission to facilitate the conduct of its functions;  
33 
(b) Coordinate with Regulatory Units to ensure proper implementation of the 
34 
rules, regulations and guidelines promulgated by the Commission; 
35 
(c) Monitor and assess activities of the Regulatory Units vis-à-vis their 
36 
respective annual performance plans and targets; 
37 
(d) Maintain a database on the water supply and sanitation subsector; and  
38 


 
 
 
42
(e) Coordinate with other relevant agencies of the national or local government 
1 
on any matter relating to water supply and sanitation. 
2 
 
3 
SEC. 25. Executive Director. – The Commission shall appoint an Executive 
4 
Director who shall head the Commission Secretariat, keep and maintain the 
5 
official records of the Commission, render a report on the proceedings of the 
6 
Commission, and administer oaths in all matters falling within the jurisdiction 
7 
of the Commission.  
8 
 
9 
The 
Executive 
Director 
shall 
be 
responsible 
for 
the 
effective 
10 
implementation of the policies, plans, programs, rules, regulations and directives 
11 
of the Commission; coordinate and supervise the activities of the different 
12 
operating units under the Commission; and perform such functions as may be 
13 
assigned by the Chairperson and other members of the Commission. 
 
14 
 
15 
SEC. 26. Compensation and Other Emoluments. – The compensation of the 
16 
members of the Commission and its staff shall conform to provisions of Republic 
17 
Act No. 6758 as amended, otherwise known as the Compensation and Position 
18 
Classification Act of 1989. 
19 
 
20 
CHAPTER V 
21 
REGISTRATION AND LICENSING 
22 
 
23 
SEC. 27. Registration and Licensing of All Water Supply and Sanitation 
24 
Services. – All water supply and sanitation service providers, including bulk 
25 
water suppliers and those providing services to subdivisions and other service 
26 
providers, shall register with the Commission and, subject to such rules, 
27 
guidelines, procedures and other issuances of the Commission, obtain a license 
28 
to operate from the appropriate regulatory units. 
29 
 
30 
The Commission shall ensure that the grant and revocation of licenses are 
31 
carried out fairly, transparently, and without discrimination. Issuances of the 
32 
Commission shall specify, among others, the qualifications, requirements, and 
33 
procedure for the grant and revocation of licenses including the standards and 
34 
performance targets that shall continuously be complied with to keep the 
35 
licenses valid. 
36 
 
37 


 
 
 
43
Unless otherwise provided in this Act or by the Commission, no public 
1 
water supply and sanitation service provider shall commence or conduct the 
2 
business of providing water supply and sanitation services without first 
3 
obtaining a license. 
4 
 
5 
Concession agreements and other contracts for water supply provision and 
6 
water sanitation and treatment services currently existing shall remain valid and 
7 
enforceable unless otherwise terminated, after due notice and hearing for 
8 
reasons provided in the existing terms and conditions under the concession or 
9 
service agreement or contract, or when invalidated by the Commission, after due 
10 
notice and hearing, where national security, national emergency or public 
11 
interest so dictates. 
12 
 
13 
SEC 28.  Conditions of License. – The Commission or the concerned 
14 
regulatory unit, may impose such conditions on the licensee as it may deem 
15 
necessary, such as: 
16 
(a) Tariffs, rates and charges that may be imposed from its customers or 
17 
consumers. 
18 
(b) Term fixing the duration of the privilege.  
19 
(c) Grounds for modification, suspension or cancellation of the License. 
20 
(d) Minimum technical performance and service level standards. 
21 
(e) Expansion targets and service level improvements over time. 
22 
(f) Restrictions or conditions for transferability of the business or 
23 
controlling interest in the business. 
24 
(g) Reportorial requirements and obligations of the grantee. 
25 
(h) Submission to annual performance audit by the Commission or its duly 
26 
authorized representative(s). 
27 
 
28 
The Commission shall specify the requirements and procedure for existing 
29 
holders of A Certificate of Public Convenience (CPC), Certificates of Public 
30 
Convenience and Necessity (CPCN) issued by NWRB, or Certificate of 
31 
Conformance (CoC) issued by LWUA, to convert their existing certificates into 
32 
licenses to operate in accordance with Sec. 27 herein. 
33 
 
34 
All existing providers of water supply and sanitation services without a 
35 
legal and valid Certificate of Public Convenience, Certificate of Public 
36 
Convenience and Necessity, or Certificate of Conformance shall register with the 
37 


 
 
 
44
Commission and apply for a license within six (6) months from the effectivity of 
1 
this Act. 
2 
 
3 
SEC. 29. Rights and Duties of Licensees. – 
4 
(a) Any person granted a license under this Act shall have the obligation to 
5 
ensure that licensed activities are conducted to further public interest and, 
6 
in particular: 
7 
(1) Foster the maintenance and development of efficient, coordinated, 
8 
and viable operation of their licensed activities; 
9 
(2) Ensure that their water supply and sanitation services are provided 
10 
in a diligent, conscientious and workman like manner, in accordance 
11 
with applicable laws rules and regulations issued by the Commission 
12 
and the generally accepted standards and practices of the water 
13 
supply and sanitation industry; and 
14 
(3) Comply with drinking water quality requirements and standards that 
15 
may be established by the Commission. 
16 
(b) Any person granted a license under this Act shall, to the extent allowed by 
17 
law and specified in the license, has the right to acquire or lease land, lay 
18 
or repair water or sanitation main lines and other relevant facilities in 
19 
public ways to fulfill the terms and conditions under the license. 
20 
(c) Subject to any condition or limitation laid down in the license, a licensee 
21 
may discontinue water supply and sanitation services to a customer if such 
22 
customer defaults in the payment of fees due to the licensee for the water 
23 
supplied or sanitation services provided, or for acts of pilferage pursuant 
24 
to Sections 8, 9, 10, and 11 of Republic Act No. 8041, otherwise known as 
25 
the Water Crisis Act of 1995. 
26 
(d) Any license issued under this Act shall contain provisions designed to 
27 
ensure that licensees: 
28 
(1) Publish the Tariff and other charges approved by and the terms and 
29 
conditions imposed by the Commission for the provision of water 
30 
supply and sanitation services. 
31 
(2) Prepare, within three (3) months from the issuance of a license, in 
32 
consultation with its customers, a Customer Service Code specifying 
33 
the manner and procedure for: (a) metering, billing, and collection of 
34 
the licensee’s approved tariff and other charges, (b) disconnection or 
35 
suspension of service in case of non-payment of tariffs or other charges, 
36 
or acts of pilferage, and (c) recommendation and recovery of arrears in 
37 
tariffs and other charges;   
38 


 
 
 
45
(3) Maintain financial accounts in accordance with the manner and 
1 
procedure specified in the license and as may be required by the 
2 
Commission; and 
3 
(4) Maintain and upon request by anyone during regular office hours, 
4 
promptly make available for scrutiny and inspection such data, 
5 
statistics and other information, as may be required by the 
6 
Commission. 
7 
 
8 
SEC. 30. Setting Tariffs, Rates, and Other Charges. – Regulatory units shall 
9 
establish tariffs, rates and other charges which are fair and reasonable, and 
10 
ensure economic viability and a fair return on investments. 
11 
 
12 
Tariffs, rates and charges shall be based on and consistent with a rate-
13 
setting methodology that the Commission shall, after due consultation, define 
14 
and publish, taking into account the following, among others: 
15 
(a)  Reasonable and prudent capital and recurrent costs of providing the 
16 
service including a reasonable rate of return on capital; 
17 
(b)   Efficiency of the service;  
18 
(c)  Incentives for enhancement of efficiency;  
19 
(d) Willingness to pay of the customers/consumers;  
20 
(e) Equity considerations; and  
21 
(f) Administrative simplicity. 
22 
 
23 
Tariffs, rates, and charges set by the regulatory units shall be presumed 
24 
valid and reasonable unless a protest or contest is filed with the Commission. 
25 
 
 
26 
 
27 
SEC.31. Direct Access. - Fifty-one (51) percent of the registered water 
28 
consumers in a municipality, city or province may petition for direct access to 
29 
water from any water service provider subject to concurrence by the service 
30 
provider and approval by the Commission. The Commission shall promulgate 
31 
rules and procedures for this mode of service. 
32 
 
33 
SEC. 32. Innovative Schemes to Improve Efficiency and Management of 
34 
Systems. - The Commission shall promote innovative schemes such as the 
35 
consolidation or integration of water supply and sanitation services, or providers 
36 
in the same service area, where it shall result in improved efficiency, service 
37 
expansion and lower costs. 
38 


 
 
 
46
 
1 
To this end, the Commission shall establish and issue such rules and 
2 
guidelines as may be necessary to (a) create incentives to encourage efficiency 
3 
and service expansion; (b) establish the standards and targets that service 
4 
providers are required to meet; and (c) define the fines and penalties that shall 
5 
be imposed for failure to meet such standards and targets. 
6 
 
7 
CHAPTER VI 
8 
QUASI-JUDICIAL FUNCTIONS OF THE COMMISSION 
9 
 
10 
SEC. 33. Proceedings Before the Commission. – For the purpose of any 
11 
investigation, inquiry or proceeding, the Commission shall: 
12 
(a) Issue subpoena duces tecum and subpoena ad testificandum; 
13 
(b) Appoint hearing officers to hear and receive evidence on behalf of the 
14 
Commission;  
15 
(c) Cite any person or party for contempt for refusal to appear, testify, or 
16 
comply with an order of the Commission on any matter that is the 
17 
subject of investigation, inquiry or proceeding before the Commission. 
18 
 
19 
SEC. 34. Orders and Decisions of the Commission. – Any order, resolution, 
20 
or decisions of the Commission shall be promulgated promptly, expeditiously, 
21 
reasonably, and in writing, and shall state clearly and distinctly the facts and 
22 
law on which it is based. 
23 
 
24 
The Commission shall publish and make available for public inspection, 
25 
all decisions and final orders in the adjudication of contested cases or 
26 
applications. 
27 
 
28 
SEC. 35. Appeals Procedure and Prohibition Against Injunction. –   
29 
(a) The orders, rulings, and decisions of the Commission are final and 
30 
executory unless appealed to the Court of Appeals within fifteen (15) 
31 
days from receipt of notice of such order, ruling or decision: Provided, 
32 
That orders, rulings, and decisions of the Commission approving tariffs, 
33 
shall be immediately executory and may be suspended only upon 
34 
appeal and filing of a bond, in an amount to be fixed by the 
35 
Commission, to answer for damages occasioned by the suspension or 
36 
stay of execution of such orders, rulings, and decisions. 
37 


 
 
 
47
(b) No injunction may be issued by any court or administrative agency to 
1 
restrain any proceeding before, or the implementation or execution of 
2 
any order, ruling, or decision of the Commission, except on the basis of 
3 
a question of law brought before the Supreme Court on certiorari.  
4 
(c) Any act or decision of the Commission shall not be invalidated merely 
5 
because of a defect or irregularity in, or in connection with, the 
6 
appointment or vacancy in the Office of the Chairperson or any other 
7 
member of the Commission. 
8 
 
9 
CHAPTER VII 
10 
INTERDEPARTMENTAL RELATIONS OF THE COMMISSION 
11 
 
12 
SEC. 36. Interface with Other Sector Regulators. – 
13 
(a) The DENR shall continue to exercise primary jurisdiction over 
14 
programs aimed at  protecting the environment and the quality of water 
15 
sources from waste and pollution, and shall promulgate rules, 
16 
regulations, and standards in this regard. The Department of Health 
17 
(DOH) shall continue to exercise primary jurisdiction over the 
18 
determination and enforcement of standards for quality drinking water 
19 
and sanitation.  
20 
(b) The Commission shall coordinate with the: 
21 
(1) DOH to ensure that the standards and targets for quality drinking 
22 
water and sanitation are consistently complied with; 
23 
(2) LGUs for development projects relating to water supply and 
24 
sanitation; and  
25 
(3) Department of Public Works and Highways for flood control and 
26 
harnessing and impounding of water. 
27 
 
28 
SEC. 37. Transfer of Rights and Obligations. – The Commission shall, by 
29 
virtue of this Act, be subrogated to all the rights, and assume all the obligations, 
30 
of the Water Utilities Division of the NWRB, the regulatory offices of MWSS and 
31 
LWUA, the regulatory units of all special economic zones, and all other 
32 
government agencies and units whose powers and functions have been 
33 
transferred to the Commission. 
34 
      
35 
The transfer of powers and functions to the Department of the concerned 
36 
agencies as herein provided for, shall be deemed completed within six (6) months 
37 
after the effectivity of this Act. The transfer of powers and functions shall include 
38 


 
 
 
48
all applicable funds, personnel, records, property and equipment, as may be 
1 
necessary. The same shall apply to agencies which have been attached to the 
2 
Department by virtue of this Act. 
3 
 
4 
All agencies transferred, subsumed and attached to the Department, shall 
5 
continue to function under their present mandates until the six-month 
6 
transition period mandated under this Act shall have lapsed. The heads of the 
7 
affected agencies shall continue to serve until replaced. 
8 
 
9 
All rights and obligations of the affected agencies are hereby transferred to 
10 
and assumed by the Commission, and shall be acted upon in accordance with 
11 
the rules and regulations of the Commission on Audit and other pertinent laws, 
12 
rules, and regulations. 
13 
 
14 
SEC. 38. Absorption or Separation from Service of Employees of the 
15 
Subrogated Agencies. – The current employees of the Water Utilities Division of 
16 
the NWRB, the regulatory offices of MWSS and LWUA, the regulatory units of all 
17 
special economic zones, and all other government agencies and units whose 
18 
powers and functions have been transferred to the Commission shall enjoy 
19 
security of tenure, and shall be absorbed by the Department, in accordance with 
20 
their staffing pattern and the selection process as prescribed under Republic Act 
21 
No. 6656 or the Government Reorganization Law. 
22 
 
23 
Employees opting to be separated from the service as a consequence of the 
24 
consolidation, and reconstitution under the provisions of this Act shall, within 
25 
one (1) month from their separation or phase out from the service, receive 
26 
separation benefits in accordance with existing laws, and those who are qualified 
27 
to retire shall be allowed to retire and be entitled to all benefits under existing 
28 
retirement laws. 
29 
 
30 
SEC. 39. Water Trust Fund. – There is hereby created a Water Trust Fund 
31 
in the Bureau of Treasury. All non-tax revenues, including raw water pricing, 
32 
permit fees, registration fees, supervision and regulation enforcement fees, filing 
33 
fees, testing fees, and other service income from the use of water resources shall 
34 
be remitted to the Water Trust Fund. The trust fund shall be accounted 
35 
separately from the government’s general revenues and shall be automatically 
36 
appropriated to the Department.  Proceeds from the trust fund shall be utilized 
37 
for water development, water sanitation and waste water treatment and 
38 


 
 
 
49
management, and water sustainability programs and projects authorized under 
1 
this Act:  Provided, That a maximum of ten percent (10%) of the total income 
2 
generated from raw water extraction shall be given as share of the concerned 
3 
local government unit or indigenous peoples (IP) community who own the specific 
4 
areas or land where the raw water was sourced. 
5 
 
6 
CHAPTER VIII 
7 
FINAL PROVISIONS. 
8 
 
 
9 
Sec. 40. Applicability of Ease of Doing Business Law. – The prescribed 
10 
processing time provided under Section 9.b of Republic Act No. 11032, otherwise 
11 
known as the Ease of Doing Business and Efficient Government Service Delivery 
12 
Act of 2018, shall be applicable to all agencies and LGUs covered under this Act 
13 
particularly on accessing government services. 
14 
 
15 
Sec. 41. Transitory Provisions. – Performance audit of all water-related 
16 
agencies and institutions, including LWUA and water districts, MWSS, MWSS-
17 
RO and its concessionaires, LGU-run utilities, Tourism Infrastructure and 
18 
Enterprise Zone Authority, Philippine Economic Zone Authority, Bases 
19 
Conversion and Development Authority, Subic Bay Metropolitan Authority, 
20 
DILG, and NIA, shall be conducted by the Department. 
21 
 
22 
SEC. 42. Appropriations – The amount necessary to cover the initial 
23 
implementation of this Act shall be charged against the currents year’s 
24 
appropriations of the agencies and offices transferred and subsumed by the 
25 
Department and the Commission in the General Appropriations Act. Thereafter, 
26 
such sums as may be necessary for the continued implementation of the Act 
27 
shall be included in the annual GAA. 
28 
 
29 
SEC. 43. Implementing Rules and Regulations. – Within one hundred eighty 
30 
(180) days from the effectivity of this Act, the Department, NEDA, DBM, DENR, 
31 
CSC, in consultation with concerned government agencies, the Presidential 
32 
Legislative Liaison Office shall promulgate rules and regulations for the effective 
33 
implementation of this Act.   
34 
 
35 
SEC. 44. Separability Clause. – If any reason, any portion or provision of 
36 
this Act shall be held unconstitutional or invalid, the remaining provisions not 
37 
affected thereby shall continue to be in full force and effect. 
38 


 
 
 
50
 
1 
 SEC. 45. Repealing Clause. – (a) The following provisions are hereby      
2 
repealed: 
3 
1)  Section 3 (h) and Section 12 on the provision with respect to fixing of 
4 
water rates and sanitation service fees, Section 3 (n) on the provision with respect 
5 
to regulation of waterworks and deep wells, and Section 3 (p) on the provision 
6 
with respect to regulation of waterworks and sanitation systems in privately 
7 
owned subdivisions of Republic Act 6234 entitled, An Act Creating The 
8 
Metropolitan Waterworks And Sewerage System And Dissolving The National 
9 
Waterworks And Sewerage Authority, And For Other Purposes, as amended. 
10 
 
11 
2) Title III on Local Water Utilities Administration Law of Presidential 
12 
Decree No. 198 otherwise known as the Provincial Water Utilities Act of 1973, as 
13 
amended by Letter of Instruction No. 700 - Providing Measures To Control And 
14 
Regulate Increase In Water Rates, Letter of Instruction No. 744 - Relative To 
15 
Reliable Water Supply At Reasonable Rates In The Countryside on the, Executive 
16 
Order No. 124, 30 January 1987 -  Reorganization Act of the Ministry of Public 
17 
Works and Highways, Executive Order No. 123, 30 January 1987 -  
18 
Reorganization Act of Ministry of Social Services and Development. 
19 
 
20 
3)  Republic Act No. 3601 as amended by Presidential Decree No. 552 and 
21 
Presidential Decree No. 1702 pertaining to the creation of the National Irrigation 
22 
Administration; 
23 
 
24 
4) Section 1 of Executive Order No. 124-A S. 1987 Amending Executive 
25 
Order No. 124, dated 30 January 1987, Reorganizing the Department of Public 
26 
Works and Highways, Redefining Its Powers and Functions, and For Other 
27 
Purposes on renaming and reorganizing the National Water Resources Council 
28 
into the National Water Resources Board. 
29 
 
30 
(b) The following provisions are hereby amended accordingly: 
31 
 
32 
1) Section 3 paragraph 3 Commonwealth Act No. 146, as amended, 
33 
otherwise known as the Public Service Act pertaining to all cases involving the 
34 
fixing of rates;   
35 
2) Section 154, Article V, Chapter I, Title One, Book II of Republic Act No. 
36 
7160, as amended, otherwise known as the “Local Government Code of 1991”, 
37 
and its implementing rules and regulations on the power of the local government 
38 


 
 
 
51
units to fix the rates of water utilities owned, operated and maintained by them 
1 
within their jurisdiction is hereby repealed or modified accordingly.  
2 
3) Section 13 (b) on the regulation of enterprises within the Economic Zone 
3 
under Republic Act No. 7916 as amended, otherwise known as “The Special 
4 
Economic Zone Act of 1995”; 
5 
4) Section 69 of Republic Act No. 9593 otherwise known as “The Tourism 
6 
Act of 2009” and its implementing rules and regulations which mandate the 
7 
Tourism Infrastructure and Enterprise Zone Authority to grant franchises, 
8 
supervise the operation of public utilities, and register, monitor and regulate 
9 
enterprises within Tourism Enterprise Zones, are hereby repealed or modified 
10 
accordingly; 
11 
5) Sections 7 and 8 on the adjudication of water pollution cases under 
12 
Republic Act No. 3931 entitled, An Act Creating The National Water And Air 
13 
Pollution Control Commission, particularly with respect to Section 6 letters e, f, g, 
14 
j, k Presidential Decree 984 entitled, Providing for the Revision of Republic Act No. 
15 
3931, Commonly Known as the Pollution Control Law, and For Other Purposes;     
16 
6) Sections 4(1) and 7 of Republic Act No. 9275, otherwise known as the 
17 
“Philippine Clean Water Act of 2004”; 
18 
7) Articles 3(d) and 79 of Presidential Decree No. 1067, otherwise known 
19 
as The Water Code of the Philippines; 
20 
8) Sections 9, 10, 11, 12 and 13, Chapter II of Presidential Decree No. 856, 
21 
otherwise known as the “Code on Sanitation of the Philippines”; and 
22 
9)  Section 3.2 (b) of Executive Order No. 149 Series of 1993 transferring 
23 
the Laguna Lake Development Authority from the Office of the President to the 
24 
Department of Environment and Natural Resources. 
25 
 
26 
All other laws, presidential decrees, executive orders, presidential 
27 
proclamations, rules and regulations, or parts thereof which are inconsistent 
28 
with the provisions of this Act are hereby repealed or amended accordingly. 
29 
 
30 
SEC. 46. Effectivity. – This Act shall take effect fifteen (15) days after its 
31 
publication in the Official Gazette or in a newspaper of general circulation. 
32 
 
33 
Approved, 
34