FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Sessio n 
) 
) 
) 
SENATE 
S.B. No. 1362 
Introduced by Senator Loren Legarda 
EXPLANATORY NOTE 
Article II Section 16 of the Constitution provides that the State shall protect and advance 
the right of the people to a balanced and healthful ecology in accord with the rhythm 
and harmony of nature. This policy has long been integrated into the planning of 
p;ojects with the enactment of PD 1151 otherwise known as the Philippine 
Environmental Policy of 1977. In the following year, PD 1586 established the 
Environmental Impact Statement System (EISS) with the end in view of ensuring that 
the exigencies of socio-economic undertakings can be reconciled with the requirements 
of environmental quality. 
. 
Three decades thereafter, the EISS has been considered a vital tool of the national 
government in its pursuit of sustainable development. The EISS has become ,0 
prescribed component in the conceptualization and preparation of any project and 
when properly carried out, the results of an environmental assessment can even help 
improve the project design and mechanics of implementation that places premium on 
the need to protect our environment and natural resources from possible abuse and 
exploitation by project proponents. In fact, the Environmental Compliance Certificate 
(ECC) which the Department of Environment and Natural Resource through the 
Environment Management Bureau is mandated to issue - which makes sure that all 
possible adverse impacts of a project have be~n fully foreseen, addressed and 
contingencies made in consideration thereof - has become a powerful instrument 
through which the government can effectively enforce the existing environmental laws. 
A joint report undertaken by the World Bank and the Asian Development Bank, while 
underscoring the importance of the EISS as a tool to achieve sustainable development, 
identified the gaps and weakness in the current EISS. It was found out that while the 
EISS was applicable to a wide range of business activities, majority of these are only 
small to medium-scale enterprises. The role of the local government units in the 
implementation of the EISS was also limited. Furthermore, "more attention is paid on 
the procedural rather than on the technical aspects, resulting in generally poor quality 
environmental assessment characterized by voluminous reports and lack of focus and 
depth of analysis on critical issues and impacts." Lastly, the EISS overlaps with other 
existing laws as the "EISS tends to incorporate requirements of laws that are already 
handled by other agencies." Other concerns which also need to be reviewed within the 
purview of the EISS include the lack of professional regulation on pre parers, lack of 
deterrents to violations, lack of an integrated approach for project clusters and weak or 
no financial guarantees for environmental rehabilitation and reparation for injuries to 
communities and its residents. 
I 


This bill seeks to address the above issues on the implementation of EISS and 
strengthen the Philippine environmental assessment law. It provides for the institution 
of a Programmatic Environmental Impact Assessment (EIA) System to assess the 
cumulative effects of several activities taken together. It mandates the mainstreaming of 
E1A in National Policy Formulation to integrate environmental considerations into the 
planning of policies and programs. It strengthens public participation and social 
acceptability requirements to empower communities as active stakeholders who shall 
partake in the decision-making process. It pro.vides penalties and remedies for 
violations and non-compliance. It creates the National Environmental Protection 
Commission, which shall be the lead agency in the conduct of EIA and issuance of 
ECCs. 
With the advent of more advanced techniques and highly sophisticated technologies, 
and with the onslaught of more devastating natural calamities and disasters, it is only 
fitting that the Philippine government exert tremendous effort to be able to respond to 
the demands of the changing times. Strengthening the EISS will be a Significant step 
towards intensifying our collective resolve to protect the environment and pursue 
equitable and sustainable development in the next years. 
In view of the foregoing, immediate passage of this bill is earnestly sought. 
~ORl~;~-
Senator 
2 


, 
FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
) 
SENATE 
S.B.No. 1362 
Introduced by Senator Loren Legarda 
AN ACT TO ENHANCE 
'" 
-
:;-
THE PHILIPPINli ENVIRONMENTAL IMPACT ASSESSMENT (EIA) SYSTEM, 
TO STRENGTHEN PUBLIC PARTICIPATION THEREIN, 
AND FOR RELATED PURPOSES 
Be it enacted by the Senate and the House oj RepresentatiI'es of the Phillppilles /II 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the "Environmental Impact 
Assessment Act of 2010." 
SECTION 2. Declaration of Policy. - It is the policy of the State to adhere to the 
principle of sustainable development where economic growth is pursued with concern 
and consideration for the protection of the environment and natural resources for 
present and future generations. The State shall, at all times, promote a balanced and 
healthful ecology through the adoption of measures that determine the adverse 
environmental impacts of economic undertakings and prescribe appropriate schemes 
and regulations to avoid and mitigate the same. In the implementation of this poliCY, 
the State shall be guided by the following principles: 
(a) Fulfillment of the responsibilities of each generation as trustee of the environment 
for the succeeding generations; 
(b) Protection and upliftment of the quality of life of all Filipinos, recognizing that such 
quality of life is intimately related to the quality of their natural environment; 
(c) Assurance for all Filipinos of an environment that is safe, healthful, and productive; 
(d) Attainment of the widest range of beneficial uses of the environment without 
degradation of its integrity, sustainability or creation of risk to the health, safety, and 
livelihood of persons and local communities; 
(e) Preservation of important historic, cultural, and natural aspects of our national 
patrimony; and 
(f) Promotion of public participation in deCision-making, including project planning 
and policy formulation, pursuant to the internationally-recognized rights of people to 
information and self-determination. 


• 
SECTION 3. Aids to Construction. - This Act shall be construed taking the 
following into consideration: 
(a) The environment is a resource not only for prese,nt but for future generations; and 
(b) Marginalized communities and vulnerable sectors will always be disadvantaged in 
formal legal processes. 
SECTION 4. Definition of Terns. -- For purposes of this Act, the following shall 
be defined as stated below: 
a) "Cerlificnte of Non-Coverage" (CNC) refers to the document issued by the Commission 
or its duly authorized representative certifying that the proposed project or undertaking 
does not fall within the category of critical projects that require the issuance of an 
Environmental Compliance Certificate prior to project implementation and operation; 
b) "Co-located Projects " are projects, or a series of similar projects or undertakings, 
located in a contiguous area, or a project subdivided into several phases and/ or stages; 
c) "Commission" refers to the National Environmental Protection Commission; 
d) "Critical Project" refers to any project or activity that has a high potential to create an 
adverse impact on the environment, or to the safety and health of persons and their 
quality of life; 
e) "EIll)ironllleninl Compliance Certificate" (ECC) refers to the document issued by the 
President of the Philippines or his duly authorized representative, certifying that the 
project under consideration will not bring about unacceptable environmental impacts 
and that the proponent has complied with the requirements of the Environmental 
Impact Assessment System; 
f) "Envlronmentnlly Critical Areas" (ECA) rder to all declared protected areas, including 
but not limited to those declared under Republic Act No, 7586 (National Integrated 
Areas System Act of 1992) and other areas which are ecologically important or 
especially sensitive 1:0 degradation, such as watersheds, fish sanctuaries, etc,; 
g) 
"El1l'ironmentnlly Critical Projects" 
(ECP) 
refer to all projects declared as 
environmentally critical, or those which have high potential for creating adverse 
impacts on the environment as well as to the safety and health of persons and their 
quality of life, due to the nature of the project and the activities to be done pursuant to 
its implementation; 
h) "Em'ironmentnl Impact Assessment " (DA) refers to the processes of identifying, 
forecasting and evaluating the future state of the environment as a consequence of a 
particular activity and with reference to a comparative assessment of the environment's 
future state without the activity; 
i) "Enl'ironmental Impact Assessment Report" refers to the documentation of the process 
undergone by a project to assess it environmental ',impacts and includes documentary 
requirements as determined according to the nature or type of project being proposed; 
j) "Elll'ironl11entnl Impact Statement" (EIS) refers to the documentation of the studies on 
the environmental impact of a project including a discussion of the direct and indirect 
2 


consequences upon human welfare and ecological and environmental integrity. The ElS 
may vary from project to project but shall in every case contain all relevant 
environmental information and details about the project; 
k) "Free and Prior Informed Consent" (FPIC) as used in this Act shall mean the consensus 
of all members of the affected communities to the implementation of a proposed project 
that is undergoing environmental assessm(>nt, said consent which must be given freely, 
without badges of fraud, manipulation, interference or coercion, and obtained after 
fully disclosing the intent and scope of the project, in a language and process 
understandable to the community affected; 
1) "Policy and Programmatic Environmental Impact Assessment" refers to the process 
of review and evaluation by the Commission of projects on contiguous areas, 
where the focus of the review process is the carrying capacity of the area with 
respect to the projects to be sited there and on the applicability and 
appropriateness of the proposed management program; 
m) "Project" means activities including actions, programs; or undertakings, regardless 
of magnitude, which may have significant impact on the enviromnent; 
n) "Principal Investor" means any person, whether natural or juridical, or of Filipino or 
foreign citizenship or registration, which owns at least a thirty percent (30%) equity in 
the paid-in capital stock of the proponent fjrm; 
0) "Proponent" ref'ers to persons, whether natural or juridical, owners/ agents, 
organizations, or other entities who are planning, proposing or otherwise undertaking a 
project, program or policy, including government agencies, government-owned and 
controlled corporations, as well as Local Government Units; 
p) "Public Participation" means an open, transparent, gender-sensitive, fair, truthful, and 
community-based process consisting of one or several activities where the primary 
objective is to provide a venue where relevant issues concerning the project and its 
effects on the environment - including on the health of persons and communities and 
their quality of life - are to be presented and discussed by all stakeholders, at all 
relevant stages of project implementation including project planning and development, 
and post-assessment monitoring; 
q) "Social Acceptability" refers to the acceptance of a projected by the affected 
communities based on timely and informed participation in the assessment process 
with particular regard to environmental impacts that concern them; 
r) "Social Acceptabilify Report" refers to the documentation of the process, which is to be 
based on public participation, undertaken to secure the consent of the affected 
communities to the project, whether or not such consent is actually secured; 
s) "Stake/lOlders" includes all persons or entities who may be significantly affected by the 
project or undertaking, whether directly or indirectly. 
CHAPTER 2 
ENVIRONMENTAL IMPACT ASSESSMENT (EIA) SYSTEM 
SECTION 5. Environmental Impact Assessment (EIA) System. - The EIA System 
is intended to identify, forecast, and evaluate the adverse effects on the environment 
and the community of a proposed project as a result of its implementation. All persons, 
whether natural or juridical, as well as entities' including government-owned or 
controlled corporations and local government units intending to implement any project 
which may have adverse impacts on the environment shall undertake an 
Environmental Impact Assessment (EIA) to disclose the potential impacts of the 
3 


proposed project or activity for public review. The EIA shall be integrated into the 
planning process and shall require public participation as described in Section 17 of this 
Act. The assessment process should result in the production of an ElA Report, which 
shall disclose all findings and contain all requirements, including but not limited to the 
Free and Prior Informed Consent document, a list of applicable national and local 
environmental laws and ordinances, and others as provided in Sections 11 and 30 of this 
Act. 
SECTION 6. Coverage. - The EIA System shall apply to all projects planned or 
proposed by any individual, organization or instrumentality including government-
owned or controlled corporations, which can potentially have adverse effects on the 
environment, including the health of persons, as classified under Section 7 of this Act. 
SECTION 7.. Taxonomy and Gllidelines of Appraisal. - To enable the 
Commission to effectively pursue the intent and pu~pose of the EIA System, a technical 
classification and evaluation scheme shall prescribe the necessary requirements for the 
issuance of ECCs in favor of proposed activities and projects. The primary aim of the 
scheme is to guide the determination of the nature or characteristics of a proposed 
project and its potential to create adverse impact 'on environmental resources in the 
project area. 
For the purpose of these rules and regulations, projects may be classified as either 
covered or not covered by the ElA System and as such shall be treated accordingly in 
the approval of the projects. 
The Commission may issue additional guidelines for project classification and 
evaluation in keeping with applicable laws and rules. The various project categories 
and classifications under these rules shall be as follows: 
1. Type A. Environmentally Critical Projects (ECPs); 
2. Type B. Projects located in Environmentally Critical Areas (ECAs) tending to 
cause adverse environmental impacts; 
3. Type C. Projects not falling in any of the aforementioned categories but may 
have significant or adverse environmental impacts; 
4. Type D. Projects projected to create positive impact on the environment; 
5. Type E. Exempted Projects. 
The Commission shall issue further rull's and regulations as may be necessary to 
effectively implement the intent and purpose of this section. 
SECTION 8. Review of Classification of projects and Categories of Assessmellt. 
- The Commission shall review and update the current classification of programs and 
projects within the coverage of the System to mitigate hazards to public health and 
welfare; Provided, that the Commission shall factor in all information on potential 
adverse environmental impacts of the proposed programs and projects in the 
formulation of additional classification schemes for ,coverage and/ or non-coverage. 
SECTION 9. EIA Reportorial System. - If a project is considered an ECP or a 
Type A project, the proponent shall be required to prepare an Environmental Impact 
Statement (ElS). 
If the project is not considered an ECP but is located within an ECA or a Type B project, 
the proponent shall be required to submit an Initial Environmental Evaluation (lEE), 
4 


without prejudice to the submission of an EIS or any part thereof as may be further 
required by the Commission upon review of the lEE. At its option, a proponent of Type 
B project may submit an EIS instead of an lEE, pursuant to guidelines to be 
promulgated by the Commission. 
If a project is falls under Type C, the proponent shall submit a Project Description to the 
Commission. The Commission shall thereafter, and within a reasonable time after 
submission of the Project Description, determine whether the Proponent will be further 
required to submit an EIS or an lEE. The same shall apply to projects designed to create 
positive impacts on the environment (Type D). 
Projects which have already undergone assessment shall undergo a new assessment 
prior to any development or further activity not covered by the first assessment. Such 
development or furt'her activity may be deemed as a separate and distinct project. Co-
located projects shall be required to conduct an ErA that shall consider the cumulative 
environmental impacts of all the project components. A single ECC covering all co-
located projects may be issued for such co-located projects, except where the 
Commission determines that each or any component should be treated as a separate 
and distinct project. 
The Commission shall issue further rules dnd regulations, including guidelines for the 
determination of exempted projects, as may be necessary to effectively implement the 
intent and purpose of this section. 
SECTION 10. Environmental Impact Statement. -The EIS shall include, but not 
be limited to the following: 
a. Project Description, including data on project location, specifically describing the 
primary and secondary impact zones, project rationale, alternatives, including 
alternative sites or actions, no action alternatives, and project phases; 
b. Scoping Report; 
c. Social Acceptability Report, detailing the process of public participation, and 
containing the Free and Prior Informed Consent document; 
d. Baseline Environmental Conditions for land, water, air, and people; 
e. Impact Assessment, including a discussion of the'impact of the project or undertaking 
on the environment and public health; 
f. Environmental Risk Assessment, when appropriate; 
g. Environmental Management Plan; 
h. Proposals for Environmental Monitoring and GU;1rantee Funds when required; 
i. List of relevant national and local environmental laws, including but not limited to 
ordinances and land and water use plans, which require compliance; 
j. Supporting Documents, such as documents on technical and socia-economic data 
used, gathered, or generated; 
5 


k. Accountability Statements of the preparer and the proponent; 
I. For projects located in ancestral lands or domains, as defined or to be defined by law, 
of indigenous communities, a specific chapter on the socio-economic impact assessment 
shall be devoted to a discussion of indigenous peoples' concerns and possible socio-
economic, political and cultural impacts of the proposed project on such people; 
m. For projects or undertakings with significant impact on women, a specific chapter in 
the socio-economic impact assessment shall be devoted to a discussion and 
consideration of gender issues; and 
n. For projects or undertakings with significant impact on population, a specific chapter 
on the socio-economic impact assessment shall be devoted to a discussion of the 
relationship among population, development, and the environment. 
The Commission shall promulgate the rules and 'regulations necessary to effectively 
implement the procedure by which an EIS is required, produced and assessed. 
SECTION 11. Initial Environmental Examination. - The lEE shall include, but 
not be limited to the following: 
a. a full description of the environmental setting and receiving environment, including 
the primary and secondary impact areas; 
b. a brief description of the project or undertaking and its process of operation; 
c. a brief description of the environmental impact of the project or undertaking, 
including its socio-economic impact; 
d. the Social Acceptability Report, detailing the process of public participation, and 
containing the Free and Prior Informed Consent document; 
e. a matrix of mitigation and enhancement measures; 
f. a documentation of the consultative process undertaken, when appropriate; 
g. a list of relevant national and local environmental laws, including but not limited to 
ordinances, land and water use plans, and declarations on the protected or critical 
nature of the area where the project is local ed, which require compliance; 
h. a brief discussion of indigenous peoples' concerns and possible socio -economic, 
political and cultural impacts of the proposed project or undertaking on such people for 
projects or undertakings located in ancestral lands or domains, as defined or to be 
defined by law, of indigenous communities; 
i. a brief discussion of gender issues for projects or undertakings with significant impact 
on women; 
j. a brief discussion of the relationship among 'population, development, and the 
environment for projects or undertakings with significant impact on population; and 
k. Accountability Statements of the pre parer and the proponent. 
The Commission shall promulgate the rules and regulations necessary to effectively 
implement the procedure by which an lEE is required, produced and assessed. After 
due appraisal of the lEE, the Commission shall decide to either deny or issue an ECC or 
to further require the proponent to produce an EIS, or any part thereof as it may deem 
necessary. In all cases, the proponent shall be notified by the Commission of its action 
within a reasonable amount of time. 
SECTION 12. Environmental Compliance Certificate (ECC). - An ECC shall 
issue only after favorable evaluation by the Commission of the pertinent environmental 
impact report, whether such is in the form of an EIS or an lEE, within a reasonable time. 
6 


No program or project shall be implemented absent an ECC. In evaluating 
environmental impact reports, the Commission may seek the assistance of other 
government agencies and concerned stakeholders, but in all cases shall be the lead 
agency in such evaluation. In every case, an ECC shall be issued subject to conditions 
set forth by the Commission, the non-fulfillment or violation of which shall be grounds 
for revocation of the ECC and administrative, civil, or criminal charges. 
SECTION 13. Local Monitoring Bodies. - Local Monitoring Bodies shall be 
organized by the Commission consisting of representatives from the regional or local 
office of the Commission, the Local Government Unit having jurisdiction, local 
communities and stakeholders, that shall monitor the compliance of a project or projects 
to the terms and conditions set forth in the ECC or CNC. 
CHAPTER3 . 
PROGRAMMATIC ENVIRONMENTAL IMPACT ASSESSMENT SYSTEM 
SECTION 14. Mainstreaming EIA in National Policy Formulation. - Cognizant 
of the need to ensure the formulation of policies, programs, and plans founded upon 
sound environmental considerations and the principles of sustainable development, it is 
hereby declared the policy of the State to systematically integrate the concepts and 
processes of environmental impact assessment in the various phases of policy 
formulation by all national agencies and instrumentalities of government. The 
Commission shall, within a reasonable period from the effectivity of this Act, formulate 
and publish guidelines for identifying, appraising and addressing potential 
environmental impacts of national policies in order to incorporate environmental 
safeguards into the development process. 
There shall be a regular review of such guidelines conSidering relevant information and 
best practices in order to enhance the quality of the ErA as a policy and planning tool. 
SECTION 15. Policy and Programmatic £lA. - Policy and Programmatic EIA 
shall be reqUired by the Commission for proposed policies, programs and plans, when: 
(a) the proposal pertains to, but not be limited to: agriculture, forestry, fisheries, energy, 
health, manufacturing, resource exploration and extraction, infrastructure, transport, 
waste management, water management, telecommunications, tourism, coastal zone 
management, national, regional, provincial and municipal! city development planning 
or land use; 
(b) the implementation of the proposal may pose significant environmental risks or 
result in adverse or doubtful effects on the env'ironment, including the health of 
individuals or communities; 
(c) the proposal consists of several components or a cluster of projects co-located in a 
similar area such as an industrial estate or export processing zone. 
SECTION 16. Relationship with the Per Project EIA System. - As such policy 
and planning tool, the Policy and Programmatic EIA is intended to strengthen and 
support, and not to replace the per project ErA System. Projects included in policies, 
programs, or plans that have undergone Policy and Programmatic EIA, shall not be 
7 


automatically exempted from the per project EIA System. 
Chapter 4 
FREE AND PRIOR INFORMED CONSENT 
SECTION 17. Free and Prior Informed Consent. - It is hereby declared to be the 
policy of the State to ensure the direct and meaningful participation of affected 
communities and sectors in the approval of policies, programs and projects with 
possible adverse impacts on the environment. The social acceptability of the project. in 
the form of the free and prior informed consent of affected persons or communities. 
shall be a condition precedent for the approval of any program or project. Toward this 
end, proponents of projects shall, at all times, be required to conduct scoping sessions 
and submit to public consultations. 
A. Nature and Purpose of Public Consultations and Scoping Processes 
It is hereby declared that the environmental assessment process, including the public 
consultation and scoping procedures, are not conducted for the purpose of encouraging 
or soliCiting the concerned communities' approval of or support for the project being 
discussed, but as a fair, truthful, and comprehensive forum where all parties may 
present relevant issues concerning the project and its perceived significant effects on the 
environment, including the health of persons and communities and their quality of life. 
It shall be incumbent upon project proponents and representatives from local 
government units and other government agencies' and Commissions with jurisdiction 
over the project. to present all relevant data and aspects of the project that may affect 
the community. whether positively or adversely. Such data shall be complete. accurate. 
and unbiased. Within six (6) months from the effectivity of this Act. the Commission 
shall promulgate implementing rules and regulatibns to ensure the objectivity of the 
conduct of the EIA and the truthfulness of all presentations and representations made 
therein by all parties thereto. These rules shall also provide for penalties where parties, 
including representatives from local government units and other government agencies 
and Commissions with jurisdiction over the project, fail to comply with the duties and 
responsibilities vested upon them by this Section. 
B. Conduct of Scoping 
Scoping shall be initiated by the proponent at the earliest possible stage of project 
planning, to determine the range of actions, alternatives and impacts to be examined in 
the EIA process. The objectives of the scoping shall be to: 
a. provide an early link between the Commission and the proponent to ensure 
that the ErA addre:;ses relevant issues and presents results in a form consistent with 
ErA review requirements; 
b. allow stakeholders to make their concerns known to ensure that the EIA 
adequately addresses relevant issues; 
c. establish an agreement at the outset of the EIA between the proponent, the 
DENR and stakeholders on what issues and alternatives are to be examined; 
d. address issues on carrying or assimilative capacity of the environment and 
identify possible legal constraints or requirements regarding the project proposal; 
e. determine whether the project or undertaking requires the conduct of an 
environmental risk assessment; and 
f. determine and agree on the process of dealing with issues relating to social 
8 


acceptability. 
Based on the scoping process, the proponent shall submit a formal scoping report to the 
Commission. The scoping process shall be conducted in a language and manner that is 
understandable to the community concerned, and the proceedings shall be duly 
recorded. The record of the proceedings shall be attached to the formal scoping report. 
The Commission shall review the scoping report submitted by the proponent and after 
consultation with the latter as well as the affected community, determine the actual 
scope of the EIS. In determining the scope of the EIS, the Commission shall take into 
account the concerns of and the recommendations of stakeholders. 
C. Public Consultations 
After scoping and the submission of the formal'scoping report, a series of public 
consultations shall be initiated by the Commission to determine the social acceptabilitv 
of the project. For this purpose, a multi-sectoral committee shall be created for the 
project to assist the Commission in ensuring that the requisite consent of affected 
persons or communities is obtained consistent with the guidelines issued for such 
purpose. 
Whenever a public consultation is to be conducted, notice thereof shall be published 
once a week for three (3) consecutive weeks in any newspaper of general circulation at 
least thirty (30) calendar days prior to the consultations. Notices shall likewise be 
posted in three (3) conspicuous places in the municipality or barangay where the project 
is to be located. All expenses incurred relating to the notices shall be borne by the 
project proponent. The Commission may seek comments and recommendations, in 
writing, of other government agencies and stakeholders with expertise over the 
proposed project and the possible impacts that may be generated. 
D. Social Acceptability Report 
The proceedings in the public consultations shall be summary in character and need not 
strictly adhere to the technical rules of evidence and procedure. Information on, the 
proposed projects, including environment impacts, shall be disseminated or presented 
in a manner and language understandabk to the community. The proceedings shall be 
dul y recorded, with such record being attached to the Social Acceptability Report tha t 
shall be rendered by the hearing officers designated by the Commission within fifteen 
(15) working days from the termination of the consultations. The Social Acceptability 
Report shall be part of the documentary requirements in the environmental impact 
report, whether in the form of an EIS or all IEE. 
Should the project obtain the free and prior informed consent of the communi ty 
concerned, the document representing the same shall be attached to the Social 
Acceptability Report. The document evidencing the concerned community's free and 
prior informed consent shall be an indispensable requisite for the issuance of an ECe. If 
the community doE'S not give its consent to the project, such shall be so stated in the 
Social Acceptability Report. 
The Commission shall issue necessary guidelines for the proper conduct of 
consultations to obtain the most truthful and accurate expression of people's consent to 
the proposed project. In the conduct of consultations, all parties shall adhere to the 
standards set by the Commission for such purpose. 
9 


• 
Chapter 5 
ACTIONS 
SECTION 18. Jurisdiction of the Court .-
(A) Notwithstanding the provisions of Republic Act No. 8975, a court may issue a 
temporary restraining order or a writ oj preliminary injunction against any project 
which shall attempt to operate in violation of any provision of this Act or its 
implementing rules and regulations. 
(B) Where an ECC has already been issued, and a temporary restraining order or writ of 
preliminary injunction issued for violation of the requirements or conditions set therein, 
such ECC shall be automatically suspended, and the proponent subjected to the 
penal ties set forth in this Act. 
(C) The temporary restraining order or writ of preliminary injunction as issued by the 
special Environmental Courts shall be enforceable within their territorial jurisdiction. 
SECTION 19. Administrative Action. - Without prejudice to the right of any 
affected person to file any other criminal or civic action, the Commission shall, on its 
own instance or upon verified complaint by any person, institute administrative 
proceedings against any person, who violates any order, rule or regulation issued by 
the Commission with respect to this Act. 
SECTION 20. Citizen Suits. - For purposes of enforcing the provisions of this Act 
or its implementing rules and regulations, any citizen may file an appropriate civil, 
criminal, or administrative action in the proper courts against: 
a) Any person who violates or fails to comply with the provisions of this Act or 
its implementing rules and regulations; 
b) Any person who violates the terms and conditions set forth by the 
Commission in the ECC or CNC; 
c) The Commission or other implementing agencies with respect to orders, rules 
and regulations issued inconsistent with this Act; and/ or 
d) Any public officer who willfully or grossly neglects the performance of an act 
especially required as a duty by this Act !)f its implementing rules and regulations; or 
abuses his authority in the performance of his duty; or, in any manner, improperlv 
performs his duties under this Act or its implementing rules and regulations: Prol'iricd, 
however, That no suit can be filed until after thirty (30) days from notice given to the 
concerned public officer and the alleged vlOlator or violators, and no appropriate action 
has been taken thereon. 
The court shall exempt such action from the payment of filing fees, including those 
actions not capable of pecuniary estimation, and shall, likewise, upon prilllil fnClt 
showing of the non-enforcement or violation complained of, exempt the plaintiff from 
the filing of an injunction bond for the issuance of a preliminary injunction. 
Within thirty (30) days, the court shall make a determination if the complaint filed 
herein is malicious and baseless and shall accordingly dismiss the action and award 
attorney's fees and damages, as it may seem appropriate. 
10 


• 
SECTION 21. Independence of Action. - The filing of an administrative suit 
against such person or entity does not preclude the right of any other person to file any 
criminal or civil action. Such civil and or criminal action shall proceed independently. 
SECTION 22. Suits and Strategic Legal Actions Against Public Participation 
and the Enforcement of this Act. - Where a suit is brought against a person who filed an 
action as provided in Section 19 of this Act, or against any person, institution or 
government agency that implements this Act, it shall be the duty of the investigating 
prosecutor or the court, ap the case may be, to immediately make a determination not 
exceeding thirty (3~) days, whether such legal action has been filed to harass, vex, exert 
undue pressure, or stifle legal resources of the person complaining or of that enforcing 
the provisions of this Act. In case of such determination, the investigating prosecutor or 
the court shall dismiss the case and award attorney's fees and double damages, as it 
may deem appropriate. 
SECTION 23. Lien upon Personal and Immovable Properties of Violators. -
Fines and penalties imposed pursuant to this Act shall be liens upon personal and 
immovable properties of the violator. Such lien. shall, in case of insolvency of the 
respondent violator, enjoy preference subsequent t6laborer's wages under Articles 2241 
and 2242 of Republic Act 386 or the New Civil Code of the Philippines. 
SECTION 24. Power to Issue Orders. - The Commission, as the implementing 
agency of this Act, shall, forthwith or within such time as specified in his order, upon its 
own instance or upon verified complaint by any person, require the proponent to 
remedy any practice connected with the implementation of the project or any part or 
activity thereof, which is not in accordance with the provisions of this Act or its 
implementing rules and regulations or any other order, statute, or standard pertaining 
to environmental, safety or health concerns. In case of imminent danger to life or 
property, the Commission may issue a cease-and-desist order and summarily suspend 
the operations and activities until the danger is removed and appropriate measures 
taken by the proponent. 
SECTION 25. Grounds for Non-issuance or Revocation of an ECC. - An ECC 
shall in no case be issued, or otherwise shall be suspended or revoked by the 
Commission or the Commission as the case may be, for any of the following grounds: 
a) late or non-filing of requirements; 
b) violation of or non-compliance with terms and conditions; 
c) non-payment of taxes or fees; 
d) falsehood or omission of statements and facts in the EIS, lEE, Project Description, or 
any part thereof, or during the conduct of public consultations such as, but not limited 
to, scoping sessions and public hearings; or 
e) showing of loss, injury, or damage to any person as a result of the implementation of 
the project or any part or activity thereof, without need to show bad faith or any degree 
of negligence on the part of the proponent. Such non-issuance, suspension 01' revocation 
of an ECC shall not prejudice the right of any pers~m to file appropriate administrative, 
civil, or criminal suits as provided in this Act. 
SECTION 26. Cancellation of a CNC. - A CNC, the issuance of which is subject 
to the terms and conditions of this Act may likewise be cancelled for any of the 
grounds set forth in Section 24 of this Act. Upon determination by the Bureau, such 
project may thereafter be reclassified as a critical project or be required to submit 
further requirements. Where the implementation of the project or any part thereof is 
11 


• 
shown to cause damage, injury, or loss to persons and property, the project and its 
proponents may be subject to the same actions, liabilities and penalties as critical 
projects. 
SECTION 27. Strict Liability in Cases of Loss, Injury, or Damage to Persons or 
Property and Award of Damages. - The proponerlt shall be liable for damages for any 
harm, loss, or injury to persons and property; Provided, That it can be clearly shown 
that the act or omission complained of is in violation or non-compliance of this Act, its 
implementing rules and regulations, or the terms and conditions set forth in the ECC or 
CNC; Provided further, That the showing of a violation or non-compliance to this Act, 
its implementing rules and regulations, or to the terms and conditions of an ECC shall 
be a conclusive presumption of the proponent's fault or negligence. 
SECTION 28. Solidary Liability of Chief o.perating or Executive Officer. - The 
separate and distinct legal personality of the proponent firm notwithstanding, the 
president, director chief operating officer, chief executive officer, and principal 
investors of the proponent firm shall be jointly and severally liable for any financial 
liability or award of damages made by the Court under the preceding section. The same 
shall apply to transnational corporations and foreign firms licensed to do business in 
the Philippines. 
CHAPTER 7 
PENALTIES 
SECTION 29. Operation without a Required ECe. - Any critical project which 
shall operate without the required ECC shall face closure, suspension of development 
or construction or cessation of operations until such time that proper environmental 
safeguards are put in place and the necessary ECC has been issued; Provided, that the 
project proponent shall be fined an amount equivalent to two hundred percent (200%) 
of its authorized capital stock or, in the case of an individual, two hundred percent 
(200%) of its net worth, or four hundred percent (400%) of its gross profit, whichever is 
higher; Provided, That the chief operating or executive officer of the proponent firm shall 
be held criminally liable and be imprisoned for a period not less than five (5) years but 
not more than ten (10) years at the discretion of ' the court, and shall be jointly and 
severally liable for actual, moral, or exemplary damages with the proponent firm, its 
president and the principal investors, as may be found by the court. 
SECTION 30. Violations of Terms and Conditions of the ECe. - Any project 
proponent found in violation of the terms and conditions set forth in the ECC shall face 
closure, suspension of development or construction or cessation of operations; 
Provided, that the project proponent shall be fined an amount equivalent to 200% of its 
authorized capital stock or, in the case of an individual, of its net worth, or 400% of its 
gross profit, whichever is higher; Provided further, That the chief operating or executive 
officer of the proponent firm shall be held criminally liable and be imprisoned for a 
period not less than five (5) years but not more than ten (10) years at the discretion of 
the court, and shall be jointly and severally liable for actual, moral, or exemplary 
damages with the proponent firm, and the principal investors, as may be found by the 
court. 
SECTION 31. False statements or representation. - Any project proponent who 
is found to have knowingly and willfully made a false representation or an untruthful 
or incomplete presentation of material or relevant facts and findings to the Government 
12 


or to the public in contravention of Section 16, shall be fined a mll1l1TIum of Fifty 
Thousand Pesos (Php50,OOO.OO) but not more than One Hundred Thousand Pesos 
(Php100,000.00), upon the discretion of the Commission, for every fact falsely 
represented or stated. In cases where harm, loss, or injury be sustained by the 
community or any of its members as a result of a false representation or statement, 
whether or not made knowingly or willfully, the proponent shall be fined a minimum 
of Two Hundred Fifty Thousand Pesos (Php250,000.OO) to a maximum of ten percent 
(10%) of the project cost or Five Hundred Thousand Pesos (Php500,OOO.OO), depending 
upon the nature and degree of the loss, injury, or damage sustained, whichever is 
higher, to be imposed at the discretion of the Commission, and without prejudice to the 
filing of administrative, civil, or criminal charges. 
SECTION 32. Violations by Public Officials of the Duties Reposed by this Act. -
Any government official tasked with the implementation of the Act or any of its 
components who fails to enforce the provisions of this Section shall be charged 
administratively and, if found guilty pursuant to Section 19, be subject either to 
suspension from office for a minimum period of one (1) year without pay, or to 
separation from service without benefits, subject to existing civil service laws. 
Furthermore, the said violator shall be held criminally liable and be imprisoned for a 
period not less than two (2) years but not more than five (5) years, at the discretion of 
the Court. 
SECTION 33. Financial Guarantees for Environmental Rehabilitatiol1 and 
Illjuries to Communities. - The Commission shall establish a mechanism that 
systematically addresses the need for clean-up and rehabilitation of areas damaged as a 
result of the implementation of projects taking into consideration the resources required 
to undertake the rehabilitation activities, as well as to ensure just and timely 
compensation for any adverse effect which project or program implementation may 
directly or indirectl y cause to the environment or the community. For these purposes, 
the program and project proponents shall be required to put up a guarantee fund 
and! or any other trust, insurance, or financial mechanism as the Commission may 
deem appropriate; Provided, That, the guarantee fund or funds shall be utilized for 
damagc' caused during any stage of project implementation and even during after the 
termination of the project or program. Provided further, That the establishment of such 
funds shall not exempt the proponents from civil or criminal liability for violations of 
this Act, its implementing rules and regulations, or the terms and conditions imposed 
upon them by the Commission. 
SECTION 34l. Environmental Guarantee Fund. All initiatives that are classified 
as environmentally-critical projects in accordance with existing laws shall be required to 
set up an environmental guarantee fund which shall comprise of three parts: (1) a 
multisectoral fund allocated expressly for environmental monitoring by a multiparty 
monitoring team: (2) a trust fund set aside for damage compensation to aggrieved 
parties, and to finance environmental restoration and the rehabilitation of 
environmental quality caused by project operations; and (3) a cash fund to be used by 
companies in implementing environmental projects. The fund shall be managed by a 
multi-sectoral group made up of community and local government representatives, the 
regional representative of the national agency mandated with environmental 
management, and industry representatives. 
13 


CHAPTER 7' 
IMPLEMENTATION MECHANISM AND RESPONSIBILITIES 
SECTION 35. National Environmental Protection Commission (NEPC). - To 
carry out the policies herein set forth, there shall be' created the National Environmental 
Protection Commission, which shall be the primary government agency responsible for 
the implementation of this Act and the formulation of its implementing rules and 
regulations. It shall also be the lead agency in the conduct of environmental impact 
assessments and issuance of ECCs. 
' 
SECTION 36. Mandate. - THE NEPC shall protect and promote the peoplc's 
right to a healthful environment and at all times shall be guided by the principles of 
sustainable development and meaningful public participation in the decision-making 
process, It shall be an independent agency under the Office of the President. In no 
instance may the NEPC be put under the supervision or control of the DENR. 
SECTION 37. Composition. - The NEPC shall be composed of three (3) 
Commissioners, one of whom shall be the Chairperson, The Board of Commissioners 
shall be comprised in this wise: one (1) Commissioners shall come fram the scientific 
community with expertise in natural resource man~gement and conservation of aquatic 
ecosystems and biodiversity; one (1) Commissioner shall come from the scientific 
community with expertise in natural resource management and conservation of 
terrestrial ecosystems and biodiversity; and one (1) Commissioner shall be a member of 
the Philippine bar in the practice of envlronmental law; Provided, That at least one 
Commissioner shall be female, 
The Commissioners shall be appointed by the President of the Philippines from a 
pool of recommendees from the communities or sectors to be represented by each 
Commissioner, 
SECTION 38. Qualifications, Tenure, Compensation. - The Chairperson and the 
two (2) Commissioners must be natural born Filipino citizens, are at least 35 years of 
age at the time of appointment, with at least (10) years experience in their field of 
expertise, and must be of proven honesty and integrity; Provided, That the 
Commissioners shall hold office for a period of three (3) years, and may be subject to re-
appointment for another term. PrOllided further, Tha,t no person shall serve for more than 
two (2) consecutive terms and that in case of a vacancy, the new appointee must fully 
meet the qualifications of a Commissioner and hold office for a full term and in no case 
shall a member be appointed or designated in a temporary or acting capacity, The 
Chairperson and the Commissioners shall be entitled to compensation in accordance 
with the Salary Standardization Law. 
SECTION 39. Removalfrom Office.- Any member of the NEPC may be removed 
from office by the President or upon conviction or {inal decision in an administrative or 
criminal proceeding. 
a verified complaint by any adversely affected community, before the expiration of his 
term for cause and after complying with due prace'ss requirement of law. 
SECTION 40. Appointment of Commissioners.- The President shall appoint the 
three (3) Commissioners of the NEPC within sixty (60) days from the effectivity of this 
Act, 
14 


• 
• 
SECTION 41. Powers and Functions.- To 'accomplish its mandate, the NEPC 
shall have the following powers and functions: 
(1) To serve as the primary government agency responsible for the implementation of 
this Act; 
(2) To promulgate rules and regulations necessary for the implementation of this Act; 
(3) To regularly monitor, review, and assess such rules and regulations to ensure that 
these adhere to the policy and objectives of this Act and the mandate of the 
Commission, and submit a yearly report to the President; 
(4) To issue or deny Environmental Compliance Certificates and set terms and 
conditions therein once issued; 
(5) To monitor and require the continued compliance of projects covered by this Act, its 
implementing rules and regulations, or to the terms and conditions of an ECC and 
penalize persons for violations or noncompliance; 
(6) To recommend possible legislation, policies and programs related to environmental 
assessment; 
(7) To formulate minimum environmental compliance standards; 
(8) To provide technical assistance for the implementation of this Act; 
(9) To gather timely and authoritative information concerning the conditions and trends 
in the quality of the environment both current and prospective, to analyze and interpret 
such information for the purpose of determining ,whether such conditions and trends 
are interfering, or are likely to interfere, with the achievement of the policy set forth in 
Chapter I of this Act, and to compile and submit to the President studies relating to 
such conditions and trends; 
(10) To assist or supervise the conduct of public consultations and ensure that such are 
carried out according to the policy set forth in Chapter 4 of this Act; 
(11) To conduct public hearings in cases where there is a strong showing of concern by 
the public over a proposed project, policy or program; 
(12) To develop and conduct capability-building modules, training, and other activities 
for the benefit of implementers as well as the public to support the effective 
implementation of this Act; and 
(13) To formulate and disseminate infoTmation on environmental assessment and 
compliance matters to the general public. 
SECTION 42:. Accessibility and Transparency. - Subject to such limitations as 
may be provided by law or by rules and regulations promulgated pursuant thereto, all 
official records, documents and papers pertaining to official acts, transactions or 
decisions, as well as research data used as basis for policy development of the 
Commission shall be made accessible to th," pUblic, ' 
SECTION 43. Offices within the NEPC. - To effectively implement this Act, its 
rules and regulations, and in furtherance of its mandate, the NEPC shall have th" 
following offices: 
a) Office of the Secretariat - provides overall supervIsIOn of the Agency and is 
responsible directly to the Commissioners; enhances public health and environmental 
protection through effective management of NEPC's human, financial, and physical 
resources. 
b) Office of Enforcement and Compliance Assurance - shall be primarily responsible 
for the enforcement of this Act and its rules and regulations, for the review of 
documentary and other submissions and requirements in relation to the issuance of 
ECCs, and the assurance of compliance by projects to environmental laws and 
15 


regulations, including but not limited to those under this Act. This Office shall submit 
its recommendations to the Commission which shall en banc decide on the issuance or 
non-issuance of ECCs. 
i. Office of Environmental Justice - ~hall be responsible for community concerns, 
with special attention to indigenous groups, fisherfolk, farmers, women, and other 
sectors within specific affected communities. This Office shall assist in ensuring 
compliance with the Public Participation and Social Acceptability requirements under 
this Act. 
ii. Post-assessment Monitoring Committee - shall be responsible for the 
monitoring of projects and ensuring their compliance to environmental laws and 
regulations after completion of assessment, and to ,the terms and conditions set forth in 
Environmental Compliance Certificates, if issued. ' 
' 
c) Office of General Counsel - provides legal service to all organizational elements of 
the Commission with respect to its programs and activities as well as legal opinions, 
legal counsel, and litigation support. In addition, the Office assists in the formulation of 
the Commission's policies and programs as legal advisor. It shall also provide legal 
assistance to communities affected by violations or noncompliance by persons to this 
Act. 
d) Office of Res~'arch and Development - is responsible for the research and 
development needs of the Commission's operating programs, as well as to address 
policy issues. 
' 
e) Office of Public Information and Training - shall be responsible for development 
and dissemination of information and education materials and modules, as well as 
providing capacity building programs for environmental assessment practitioners and 
communities. 
SECTION 44. Other Offices.- The NEPC shal! have the power to create other 
offices and sub-offices, including regional or local offices, as it may deem necessary 
subject to existing rules and regulations. 
SECTION 45. Implementing Rules and Regulations. The Commission shall 
promulgate the implementing rules and regulations of this Act within 120 days after 
their appointment. 
SECTION 46. Joint Congressional Oversight Committee. - There is hereby 
created a Joint Congressional Oversight Committ~e to monitor the implementation of 
the Act. The Committee shall be composed of five (5) Senators and five (5) 
Representatives to be appointed by the Senate President and the Speaker of the House 
of Representatives, respectively. The Oversight Committee shall be co-chaired by a 
Senator and a Representative designated by the SeJ;1ate President and the Speaker of the 
House of Representatives, respectively. 
CHAPTER 8 . 
CREATION AND LOCALIZED MANAGEMENT OF AN 
EIA ADMINISTRATION FUND 
SECTION 47. Estal1lishment of an EIA Administration Fund. -There is hereby created a 
16 


~' . 
revolving fund to be known as the EIA Administration Fund to cover for administrative 
expenses, equipment purchases or leases and other program costs directly incurred in 
ErA review, assessment and monitoring. The Fund, which may be generated from 
various sources, shall entitle the donor or grantor thereof to corresponding exemption 
from income or gift taxes and all other related impositions by proper government 
agencies. All income likewise generated from fees, fines and penalties directly related to 
the implementation of the ETA System shall accrue to the Fund may be utilized directly 
by the Commission for the above purpose; Provided, That the Commission shall 
provide the proper guidelines for the sourcing, l./tilization and proper accounting of 
such funds; Provided further, That all information regarding the Fund, including, but 
not limited to, its transactions and its status shall be accessible to the public at anytime. 
SECTION 48. Localized Management of EIA Fund. - The Commission shall 
facilitate the creation of corresponding local structures and mechanisms for the 
localized sourcing and management of ErA administration funds. The Commission, 
shall, in consultation and coordination with the DILG and the local government units, 
formulate the necessary guidelines to govern the localized sourcing and management of 
EIA fund. 
SECTION 4'1. Appropriations. - An amount of One Hundred Million Pesos 
(PIOO,OOO,OOO.OO) shall be appropriated for the initial implementation of this Act. 
CHAPTER 9 
FINAL PROVISIONS 
SECTION 50. Separability Clause. -
Should any provIsIOn herein be 
subsequently declared unconstitutional, the same shall not affect the validity or legality 
of the other provisions of this Act. 
SECTION 51. Repealing Clause. - All laws, orders, circulars, rules and 
regulations, including B,P, 129 and RA. 8975, or any part thereof which are inconsistent 
with the provisions of this Act are hereby repealed or amended, 
SECTION 52. Date of Effectivity. - This Act shall take effect fifteen (15) days 
after its publication in the Official Gazette or'in two (2) newspapers of general 
circulation, 
Approved. 
17