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FILE COP 
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THIRTEENTI4 CONGRESS OF THE 
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REPUBLIC QF THE PHILIPPINES 
First Regular Session 
1 
S E N A T E  
Introduced by Senator Jinggey Ejercits Estrada 
The Philippine archipelago faces a bleak future due to the rapid depletion of its 
forest cover, With the degradation of our forests, we lose the natural protection that the 
environment has provided our 7,100 islands from the ravages of typhoons, floods, 
siltation of rivers, erosion of lands, loss of biodiversity and sinks, and destruction of 
water sheds. 
The forests are a major component of many of the fragile island ecosystems of 
the Philippines. They are the habitat of valuable species of plants and animals, the 
recyclers of carbon dioxide and other greenhouses gases, the sources of surface and 
ground water, They are the lungs of the Earth that nurture mankind and other living 
organisms on the planet. 
The impact of the rapid devastation of our forests translates into lost human, 
animal and plant life, fresh water supply and displacement of forest communities. 
These and the destruction of other ecosystems that will inevitably ensue from the 
unsustainable utilization of this most valuable natural resources justify the intent of the 
bill to encourage natural regeneration as well as other means of increasing forest cover. 
This proposed piece of legislation has been filed for the protection and 
conservation of our forests, It imposes a thirty-year ban on commercial logging and 
prohibits the issuance of new timber-licensing agreements (TLAs), licenses sf permits, 
providing for the automatic termination of existing ones , except for industrial forest 
plantations (IFP’s) outside old growth and residual forests. It tasks the Department of 
Environment and Natural Resources with the demarcation of the final forest limits in 
accordance with the requirement of the 1986 Constitution. 


The bill contains mechanisms that address relevant issued including the plight of 
displaced workers in logging and wood processing operations, the requirement for 
Environmental Compliance Certificates (ECCs) for projects in forestlands, wider public 
participation and support for community-based forest projects, the creation of a Forestry 
Extension Service, recognition and protection of the rights of indigenous cultural 
communities to ancestral domain, and stronger information, education and enforcement 
mechanisms. 
For the purpose of adequate promotion and implementation of massive forest 
protection activities and programs, annual appropriations shaff be enacted. The bill also 
establishes a sustainable Forest Protection Fund, which will be sourced from fines, 
penalties, and forest charges and other income from the use of forest products. The 
DENR will manage the fund. 
The urgent rieed for the enactment of this measure cannot be over-emphasized. 
Despite extensive deliberation and discussion by both House of Congress, it has been 
delayed too long. We cannot wait for irreversible damage to the environment before 
acting decisively in favor of our own and of future generations of Filipinos. 
For these reasons, the passage of this bill is earnestly sought. 
EJERClTO ESTMDA 
Senator 


Introduced by Senator Jinggoy Ejercito Estrada 
Be if enacied by the Senate and the House of Representatives of fhe Philippines in 
Congress assembled: 
SECTION 1. Tit!@. - This Act shall be known as the "Sustainable Management 
of Forest Resources Act of 2004." 
SECTION 2. Declrarafion of Policy. - In conformity with the provision of the 
Constitution to promote the general welfare and social justice in all phases of national 
development to protect and advance the right of the Filipino people to a balanced and 
healthy ecosystem in accordance with the rhythm and harmony of nature, and to 
conserve and develop the patrimony of the nation, the State hereby adopts the following 
policies relative to the management of forests and their resources on a sustainable 
basis: 
a. 
b. 
C. 
Sustainable and ~ n ~ @ g r a ~ ~ ~  
management and ~
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of f i ~ e d  
resour~es. The management and development of forest resources in an 
integrated and sustainable basis, focusing on the resowce and the people 
who manage and benefit from it, shall be guiding principle in the 
management, protection, conservation and development of forest resources. 
Watershead as the basic Por~~thrrd 
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unit. 
Forestland 
management plans shall be developed and implemented utilizing the water 
shed as a basic management unit. The forestlands shall be managed under 
the concepts of sustainable and multiple-use, including the conservation of 
bio-diversity . 
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forest ~~~~~~~@~~ 
fC~p=dw) as the prin~jpai 
strategy. This involves the vesting of access rights and responsibilities to 


local communities and Indigenous People’s (IPS) to promote the 
management and development of forestland resources on a sustainable 
basis. It shall have precedence over the other strategies. 
d. ~
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pasfkipation. The participation of all sectors of society in 
sustainable forestland management and development shall be promoted. 
Equitable sharing of the benefits derived from the forestlands shall be 
ensured. 
e. Refauestaltion and ~
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as priority measwas. 
Reforestation, 
agroforestry and other appropriate measures including assisted natural 
regeneration (ANR) shall be given emphasis in order to rehabilitate and 
restore productivity of denuded and degraded lands as well as increase 
income of the marginalized sectors of a society. 
f. Profecfion and rehabilitation of forestland as priority. Protection and 
rehabilitation of forestlands including all protected areas shall be given priority 
to ensure environmental stability, enhance biological diversity and provide 
economic benefits. 
g. Permanency sf ~
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limits. The specific firnits of forestland after 
these have been fixed and demarcated shall not be altered except through an 
Act of Congress. 
h. Forest resources to promote the common good. The use of forest 
resources shall bear a social function, responsibility and accountability to 
promote the common good. 
i. Professionalism in forest service. A dynamic professional and people- 
oriented forest service shall be established and fully supported. 
management, a secured tenure shall be guaranteed by the State. 
j. 
Secur?y of tenure. 
In pursuance of the principle of multi-use forest 
SECTION 3. Defhifican of Terms. - As used in this Act, the following terms shall 
have the corresponding meanings: 
a. Agmfaresfp shall refer to a sustainable management of lands which 
increases their overall productivity by property combining agricultural crops 
and/or livestock with forest crops simultaneously or sequentially through the 
application of management practices which are compatible with the local 
climate, topography , slope and soil, as well as with the cultural patterns or 
customary laws of the local population; 
b. AIienabI@ and ~i~~~~~~~~ Lands shall refer thase lands of the public 
domain which have been delimited, classified and declared as such and 


available for disposition under Conimonwealth Act No. 141, as amended 
otherwise known as the Public Land Act; 
c. Ancestral Damah shall refer to all lands and natural resources occupied or 
possessed by indigenous cultural communities, by themselves or through 
their ancestors, communally or individually, in accordance with their customs 
and traditions since time immemorial, continuously to the present except 
when interrupted by war, force majeure, or displaced by force, deceit or 
stealth; 
d. Annual ~
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Hamest shall refer to the amount or volume of materials, 
whether of timber, non-timber or other forest products, authorized by the 
government to be harvested within each year from the forests; 
e. Assisfed Natural Regeneration (AN!?) shall refer to a systematic and 
sustained prevention of fire, care and tending of naturally-growing seedlings, 
and other related activities implemented to expedite the restoration of forest 
cove, including trees, brush and associated vegetation through the natural 
process of biological succession; 
f. Biakgical Diversify shall refer to the variability among living organisms 
including, inter-alia, terrestrial, marine and other aquatic ecosystems and 
ecological complexes of which they are part ; this includes diversity within 
species ,between species and ecosystems; 
g. Brushlands shall refer to areas characterized by discontinuous cover of 
shrubby and non-woody vegetation including grasses usually as a result of 
repeated clearing and burning of the original forest cover; 
h. Buffer Zones shall refer to areas outside the boundaries of, and immediately 
adjacent to, protected areas designated as such pursuant to Section 8 of the 
NIPAS Act that need special development control in order to avoid or 
minimize harm to the protected area; 
Commercial logging shall refer to cutting or felling of trees in all types of 
forests for the purpose of disposing of the cut or felled logs for monetary 
profits beyond survival and livelihood means; 
i. 
j. 
Communal Forest shall refer to a tract of forestland set aside and 
established for a city, municipality or barangay for protection, watershed 
management, eco-tourism and related environmental purposes, or for 
implementation of socio-economic development pursuant to and consistent 
with the CBFM strategy as described herein; 
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-Based Forest 
organized efforts of government to work with communities in areas adjacent 
to public forest lands with the intent to empower them, and entrust to them the 


protection, rehabilitation, management, conservation, and UtiIization of 
forest lands and resources therein; 
I, 
Conveyance shall refer to any vehicle, vessel, device or animals used in 
transporting forest products; 
m. Co-Proalucfion Agreement shall refer to an agreement entered into by and 
between a qualified persank and the government for the former to develop, 
utilize and manage consistent with the principle of sustainable development, a 
specified portion of the forestlands wherein both parties agree to provide 
inputs and share the products of their equivalent cash value; 
n. Crifical Wafershed shall refer to that portion of a watershed reservation 
which has been classified as strict protection zone and closed to all human 
activity except for scientific studies, or for traditional, ceremonial, or religious 
use by indigenous peoples; 
o. Depafimenf shall refer to the Department of Environment and Natural 
Resources; 
p. Environmenfal Impact Assessmenf (EM) shall refer to the process of 
predicting the likely environmental consequences of implementing projects of 
undertakings, and designing the appropriate preventive, mitigating ,or 
enhancement measures; 
q. Environmental Compkmx? C
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(ECC) shall refer to the document 
issued by the Department certifying that a proposed project or undertaking 
will not cause a significant negative environmentaf impact; that the proponent 
has complied with all the requirements of the Environmental Impact 
Assessment (EM) System, and that the proponent is committed to implement 
its approved Environment Management Plan in 
the EIS or mitigation 
measures in the Initial Environmental Examination (IEE); 
r. Environmental Impact Staafement (2%) 
System shall refer to the entire 
process of organization , administration, and procedures institutionalized for 
purposes institutionalized for purposes of assessing the significance of the 
effects of 'any project or undertaking on the quality of the physical, biological 
and socio-economic environment, and designing appropriate mitigating and 
enhancement measures; 
s. Flifch shall refer to a large piece of sawn, log or, as that term is commonly 
applied, to a part of a log of a greater thickness than a plank or board; 
t. Forest shall refer to either natural vegetation or a plantation of forest crops, 
such as trees, Or both, occupying a definable, uninterrupted or contiguous 
area exceeding but 
less than one hectare in size with tree crown covering 
at bast ten Percent (10%) Of the area, exclusive of the associated seedlings, 


U. 
V. 
W. 
X. 
Y. 
z. 
saplings, palms, bamboos and other undercover vegetation. A natural forest 
is a stand dominated by trees whose structure, functions and dynamics have 
been largely the result of a natural succession process. it includes such 
stand types as dipterocarp, pine, mossy, molave , beach and mangrove. For 
the purpose of this Act, natural forests may be classified according to I) 
primary use and management objective, and 2)growth formation in terms of 
primary use and management, a forest shall either be classified as either: 1 )  
primary or old growth forest which has never been subjected to significant 
human disturbance, or has not been significantly affected by hunting and 
gathering of forest products ,such that its natural structure, functions and 
dynamics have not undergone any major change; or 2) manage forest as 
herein defined ; 
Forest charges shall refer to levies imposed and collected by the 
government on timber and other forest products; 
Foresf Community shall refer to a group of people residing inside or 
immediately adjacent to a particular forestland who are largely or partly 
dependent on the forest resources found therein for their subsistence; 
Foresflands shall refer to lands of the pubic domain which have been 
classified as such pursuant to this Act and all unclassified lands of the public 
domain; 
Forest Officer shall refer to any public officer who by nature of hidher 
appointment or the functions of the position to which helshe is appointed , is 
delegated by law and regulations or commissioned by competent authorities 
to execute, implement or enforce the provisions of this Act and other related 
laws and regulations; 
Forest P%mntatisw shall refer to a tract of land extensively planted to forest, 
trees, rattan, bamboo and all other forest species; 
Forest Wesources shall refer tQ all natural resources, whether biomass such 
as soil and water, as well as the intangible services and values present in 
forestlands or in other lands devoted for forest purposes; 
aa. Grazing land shall refer ta a part of the forestland designated and managed 
for the raising of livestock; 
bb.lndigencsus Cuffural ~
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(lCC) shall refer to a group of people 
living in homogenous societies identified by self-description and ascription by 
others, who have continuously lives as an organized community an 
communally bounded and defined territory, and, who have, under claims of 
ownership since time immemorial, occupied, possessed and utifized such 
territories, sharing common bonds of language, customs, traditions and other 


distinctive cultural traits, or who have through resistance to political, social, 
and culturaf inroads of colonization, or at the time of inroads of non- 
indigenous religions and cultures, became historically differentiated from the 
majority of Filipinos. ICC’s shall likewise include peoples who are regarded 
as indigenous on account of their descent from the populations which 
inhabited the country, at the time of conquest or colonization, or at the time of 
inroads of non-indigenous religions and cultures, or the establishment of 
present state boundaries, who retain some or all of their own social, 
economic, cultural and political institutions, but who may have been displaced 
from their traditional domains or who may have resettled outside their 
ancestral domains. As used in this Act, indigenous cultural community is 
synonymous with indigenous people (If 1; 
CC. Indiisfuial Foresf Planfation (“Ff’ shall refer to any tract of land and other 
public and private lands planted to timber-producing species, including rubber 
and/or non-timber species such as rattan and bamboo, primarily to supply the 
raw material requirements or existing or proposed forest-based industries, 
energy-generating plants and related industries; 
dd.Joinf Venture Agreement shall refer to an agreement whereby a joint- 
venture company is organized by the government and a qualified person, with 
both parties having equity shares, to develop and manage, consistent with the 
principles of sustainable development, a portion of a forestland under terms 
and conditions mutually acceptable to both parties; 
ee. Kaingeros shall refer to upland farmers who practice slash-and-burn or 
shifting cu I t ivation; 
ff. Maanaged Foresf shall refer to a forest under a deliberate system of 
protection, rehabilitation and development which may include utilization of 
resources, to ensure the production of desired products and services, and the 
conservation of soil, water, wildlife and other natural resources therein for the 
benefit of present and future generations; 
gg. Mdtjph? -Use shall refer ta a harmonized utilization, development .and 
management of forestland for the production of two or more products, goods 
and/or services in conformity with the principle of sustainable development; 
hh.Nafional Park shall refer to a forest reservation essentially of natural 
wilderness character which has been withdrawn from settlement , occupation 
or any form of exploitation except in conformity with an approved 
management plan and set aside as such primarily to conserve the area or 
presewed the scenery , the naturaf and historic objects ) wild animals and 
Plants therein, and to provide enjoyment of these features in such areas; 


ii. Nan-G~vernment ~
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shall refer to a non-stock, non-profit 
organization created or established primarily or voluntary services; 
jj. Permit shall refer to the privilege granted by the government to a person to 
utilize forest and wildlife resources, or to undertake specified forestry activities 
inside the forestland which may or may not include any right of possession 
and occupation therein, or to establish and operate a plant for processing 
timber, non-timber or other forest products; 
kk, Person shall refer to a natural as well as a juridical person; 
II. Processing Plant or 
shall refer to a physical structure including its 
complement of machinery and equipment used for processing of timber or 
logs, other forest products into semi-finished or finished forms; 
rnm.Production Sharing Agreement shaff refer to a contract wherein the 
government grants to a person the privilege to manage, develop and utilize 
forest resources within a specific area and period of time, with the grantee 
providing .the financing, technology, management, personnel and other input 
necessary for the implementation of the agreement, and both parties sharing 
the benefits under terms and conditions set forth in the agreement; 
mm. 
Protected Areas shall refer to those areas defined and designated as 
such pursuant to Republic Act No. 7586 or the NIPAS act; 
nn. Weforestafion shall refer to all land use activities directed towards the 
restoration, establishment and sustained management of diversified 
vegetation on denuded, degraded and/or marginal lands, incfuding but not 
limited to the planning and tending of timber, orchard and multi-use trees, 
perennial leguminous vine (i.e. cover crops) , grass, shrubs, vegetative 
hedgerows grown on contours, the establishment of check dams and other 
measures which contribute to soil and water conservation; 
oo.Resewation shall refer to an area of forestfand that has been reserved by 
law for a specific purpose; 
pp. Rotation shall refer to an area of forestland that has been reserved by law for 
qq. Secretary shall refer to the Secretary of the Department of Environment and 
a specific purpose; 
Natural Resources; 
rr. Semi- Finished Wood Products shall refer to end products requiring final 
stages of manufacture andlor assembly such as, but net limited to window 
components, table tops, veneer and other similar products; 
ss. Sustainabk? ~~w~~~~~~~~ 
shall fefer to meeting the needs of the present 
generation without comprising the ability of the future generations to meet 
their own needs; 


it. Susfainabie f%rest ~~~a~~~~~~ and ~~~@~~~~~~~~ 
shall refer to the 
process of managing, developing, and utilizing forestland resources to 
achieve the production of desired products of services without impairing the 
inherent productivity of the forest thereby ensuring a continuous flow of these 
products or services; 
uu.Penure shall refer to guaranteed peaceful access to and use of specific 
forestland area and the resources found in it by an agreement, contract, or 
grant which cannot be altered or abrogated with due process; 
vv. Timber License Agreement ( T U )  shall refer to a privilege granted by the 
State to a person to utilize forest resources within a forestland with the right of 
possession and occupation and occupation thereof, to the exclusion of others, 
except the government, but with the corresponding obligation to develop, 
protect and rehabilitate the same in accordance with the terms and conditions 
set forth in the said agreement. 
ww. 
Trade shall refer to the act of engaging in the exchange, purchase or sale 
of forest products locally or internationally; 
xx. Wafer shed shall refer to a land area drained by a stream or a fixed body of 
water and its tributaries having a common outlet for surface runoff; 
yy. Watershed Reservation shall refer to a forestland defined in this Act and 
those that have been proclaimed by law as such, primarily for water 
production purposes. Other compatible uses may be allowed by the Secretary 
under the sustainable and multi-use management concept; 
zz. WM!ife shall refer to wild forms and varieties of flora and fauna; and 
aaa. 
Wood-based i
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shall refer to various industries that are 
dependent on wood as the principal raw material including, but not limited to, 
the saw milling industry , pulp and paper industry, plywood and veneer 
manufacturing industry, as well as the secondary and tertiary wood 
processing industries such mouldings and furniture manufacturing among 
others. 
SECTION 4. Limits sf ~~r~~~~~~ 
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I The permanent forest lands 
shall be those lands of the public domain cfassified and delimited pursuant to this Act. 
All lands of the public domain classified as forestlands by the Department as pf 
December 1994, under its Land Classified Program, are hereby declared as permanent 
forestlands. 


Within twenty-four (24) months from the effectivity of this Act, the Department 
shall submit to Congress maps of appropriate and uniform scale indicating, by province, 
the specific limits of land already classified as permanent forestlands pursuant to the 
immediately preceding paragraph. 
The Department shall complete the classification of the remaining unclassified 
lands of the public domain within three (3) years from the effectivity of this Act. A11 such 
lands which shall be classified as forestlands shall also be declared as permanent 
forestlands upon submission by the Department to Congress, of the maps of said 
forestlands Provided that no lands of the public domain eighteen percent (1 8 %) or over 
in slope shall be classified as alienable and disposable lands, Provided, further, 
however, that these forestlands with well-established communities duly recognized in 
writing under the Local Government Code and R. A. 8371 shall be allowed to continue 
occupying and using the specific areas they presently occupy and use, subject to such 
rule and regulations the Department may provide to ensure sustainable land use 
management, and tenure security, and: Provided, finally , that all Department records 
pertaining to the specific limits of forestlands shall be made available to the public upon 
request. The Department shall furnish all provincial. municipal, and city government 
units copies of the maps of permanent forestlands located within their respective 
territorial jurisdiction. 
SECTION 5m Addifional Areas fs be included as Permanenf Forest hands. - 
The following lands, although below eighteen percent (18%) in slope, are needed for 
environmental protection and forestry purposes and shall not therefore be classified as 
alienable or disposable lands, nor be subject to logging, mining, quarrying, and such 
other form of occupancy , land use or resource extraction activities: 
a. 
b. 
C. 
d. 
e. 
f. 
g. 
Areas less than two hundred fifty hectares (250 ha) which are far from, or not 
contiguous with, any certified alienable or disposable land; 
Isolated patches of forest of at least five hectares (5 ha} with rocky terrain of 
which protect a spring for communal use; 
Areas of not less than ten hectares ( I O  ha) covered with natural forest; 
All mangroves and swamplands which are not yet classified as alternate and 
disposable lands; 
Ridge tops and plateaus regardless of size found within or surrounded wholly 
or partially by forestlands where headwaters emanate; 
Appropriately located road rights-of way; 
Twenty-meter (20m) strips of land along the edge of the normal high waterline 
of rivers and streams with channels of at least five meters (5m) wide, which 
are not yet classified a8 alienable and disposable; 


h. Strips of mangrove or swamplands at least twenty meters (20 m) wide along 
the shoreline facing oceans, lakes, and other bodies of water, and strips of 
lands at least twenty meters (20m) wide facing lakes, which are not yet 
classified as alienable and disposable; 
i. Areas needed for other purposes of pubfic interest such as national parks, 
national historical sites, game refuge, wildlife sanctuaries, forest station sites, 
research experimental purposes and others; 
j. 
Areas previously proclaimed by law as forest reserves, national parks, game 
refuge, bird sanctuaries, national shrines, national historical shrines, and 
national historic sites; 
k. Areas within watershed reservations; 
I. 
Areas considered environmentally critical because of their vulnerability to 
damage from typhoons, landslides, volcanic eruptions, and natural causes. 
Owners who have acquired vested rights over lands enumerated above are 
required to implement soil and water conservation measures in coordination with the 
Department and the appropriate local government unit. An Environmental Compliance 
Certificate (ECC) shall be required for environmentally critical projects in accordance 
with existing law, Provided, that the Department andlor the local government unit shall 
immediately take the necessary steps to expropriate the property concerned or cancel 
or amend any titles issued thereon under any of the following conditions: 
a. Failure of 
the owner, after due notice, to implement appropriate soil and 
water conservation; 
b. Failure of the owners to comply with ECC requirements; 
c. The issuance of titles or other tenurial instruments over such areas was 
accomplished through fraud, misrepresentation or other anomalies; and 
d. When public interest so requires, 
SECTIQN 6. ~
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of the Specific Limits of Forestlands. - The 
specific limits of the permanent forestlands as determined in accordance with Sections 
4 and 5 of this Act shall not be altered except by an Act of Congress. 
SECTION 7. DdheaSion of Bsurodaries of ForesS!aplds. - The Department 
shall within three (3) years upon the effectivity of this Act, delineate on the ground the 
boundaries between the permanent forestlands and alienable or disposable lands with 
concrete monuments, road or infrastructure, or any other visible permanent and 
practical signs. 


The Department shall allocate funds for appropriation in the Annual General 
Appropriations Act for the purpose of land classification and boundary delineation of 
forestlands. 
$ECPI[ON 8. Sub-classifcation of the Forestlands. - The Department shall 
have the authority to sub-classify the permanent forestlands into the following 
categories according to primary use: 
a. "Protection Forest" shall refer to all areas within the forestlands designated or set 
aside as protected areas pursuant to the NIPAS Act shall constitute the 
protection forest. All mossy and old growth forests shall also be classified as 
protection forests. The establishment and management of protection forests 
shall be in accordance with the said NIPAS Act. 
b. "Protection Forest" shall refer to all permanent forestland not classified as 
protection forest pursuant to the immediate preceding paragraph (a) shall be 
classified as either production forests devoted to production of forest products, 
other crops and services, or as multiple-use forests consistent with the definition 
set forth in Chapter 1, Section 3, paragraph (ff) hereof. The management of 
production forests shall be in accordance with management pian based on 
sustainable management principles and approved by the Department. 
In the implementation of sub-classification, the Department shall consult with 
concerned communities, local government units and other stakeholders. 
Documentary evidence of consultation initiatives, such as community assemblies, 
public hearings and the like shall be included in the official records covering each 
sub-classification exercise. 
SECTION 9. Jurisdiction and Control of Forest!ands. - The Department shall 
be the primary agency responsible for the conservation, management and utilization of 
all forestlands and .the unclassified lands of the public domain. The Department in 
coordination with Local Government Units and other government agencies pursuant to 
Sections 10 and I 1  hereof, shall ensure that forestlands and unclassified lands of the 
public domain are managed, conserved, developed, utilized and protected consistent 
with the policies promulgated in this Act. The utilization and devefapment of forestlands 
and unclassified lands of the public domain including the natural resources therein shall 
be undertaken in accordance with a Department-approved sustainable watershed 
management plan. 


SECTION 
I O .  Participation of Local Government Units in Foresf 
Management, - Pursuant to the pertinent provisions of Republic Act No. 7160 
otherwise known as the Local Government Code, the Local Government Units (LGU) 
shall faithfully share responsibility in the sustainable management and utilization of 
forest resources within their territorial jurisdiction including in Section I 
1 , hereof. The 
LGU and the Department, in consultation with other government agencies, local 
communities, non-government organizations and other sectors, shafl jointfy undertake 
the preparation and implementation of forestland use and watershed management 
plans which shall be made an integral component of the LGU's comprehensive land use 
development plan. The LGU shall be consulted on any and all forestry projects to be 
implemented in their 
territorial jurisdiction and shall equitable share of the revenues 
derived from the forest. For this purpose, the Department, the Department of Interior 
and Local Government (DILG), the leagues of provinces, cities, municipalities and 
barangays shall, within one (1) year from the passage of this Act. Non- participation, 
refusal or inaction of LGUs to faithfully share the responsibilities as herein provided 
shall constitute an express waiver to participate in forest 
management and the 
equitable share of incomes derived therefrom. 
SECTION 11. Forest/ands Under Other Governmenf Agencies. - Forestlands 
and or portion of such, which have been assigned by law under the administration and 
management of other government agencies for specific purposes, including those 
devolved to LGUs prior to the passage of this Act, shall remain under the administration 
and management of these government agencies. These agencies shall be responsible 
for their protection, rehabilitation and conservation. 
These forestlands shall be 
administered in accordance with a forest management plan, which shall be prepared 
within one year from the effectivity of this Act, in coordination with the Department, LGU, 
local communities and organization. Provided, that the Department and the concerned 
LGU and the concerned government agency shall periodically review and monitor the 
implementation of the said management pian. Provided, further, that the harvesting of 
forest products particularly timber, and building of roads and other infrastructure shall 
require prior authorization of the Secretary of the Department. The Secretary or his 
duly-authorized representative shall have visitorial and supervisory powers over 
forestlands placed under the administration and management of other government 
agencies. Provided, finally, that these forestlands, or portions thereof, shall be reverted 
to the jurisdiction and control of the Department when they are no longer needed for the 
purpose for which they have constituted , or in the event of failure of the agency 
concerned to rehabilitate, protect, and conserve the forestland resources in accordance 


with the approved management plan. The Department shall determine the use of the 
reverted forestlands. 
SECTION 12. Foresf Resources Wifhin Alienable and Disposable Lands. - 
The Department shall encourage and provide incentives to land owners of alienable and 
disposable lands to keep the natural forest on their lands under sustainable 
management or develop and maintain a tree plantation on such lands. Landowners 
may register their forests with the Department and shall be assisted in the preparation 
of a management plan, and given other technical assistance. The utilization of trees 
and other forest resources shall be allowed in accordance with the management plan. 
CHAPTER IV 
SUSTAINABLE MANAGEMENT OF FOREST RESOURCES 
SECTION 13. Sustainable Foresf Managemenf Planning. - The Department, 
in consultation and coordination and coordination with local government units and other 
concerned sectors such as but not limited to other government agencies, local 
communities, non-government organizations, individual and corporate private investors 
and other sectors, shall adopt and implement a sustainable forest management plan for 
each well-defined watershed or other appropriate forest management unit. Within one 
(I) 
year from the effectivity of this Act, the Department shall prepare a Sustainable 
Forest Management Strategy ( SFMS) that will guide the preparation of site-specific 
forest management plans based on criteria, indicators and standards (minimum 
requirements) for sustainable forest management. The SFMS shall, at the minimum, 
address the following: 
a. Promotion of rational of forestland used and land use practices that increase 
productivity, and conserve soil, water and other forestland resources; 
b. Protection of existing forest resources and conservation of bio-diversity; 
c. Rehabilitation of denuded areas to expand the forest resource base, thereby 
promoting agricultural development and other food production activities; 
d. Enhancement of the socio-economic well-being of local communities 
including indigenous peoples who are largely dependent of the forest for their 
livelihood; 
e. Observance of stakeholder participation through consultation between and 
among the Department, local government units, other national agencies, and 
civil society in the sustainable management of forestlands; 
f. Adoption of Community-based forest management as the principal strategy in 
the management of forest land and resources, and the formulation of 


g. 
h. 
I. 
incentives designed to promote sustainable forest management pursuant to 
this strategy; 
Formulation of incentives designed to promote development and sustained 
profitability of the forest industry sector by private sector investors operating 
either independently or in collaboration with forest-based communities; 
Integration of forest management plans with the local land use and 
development plans; and 
Adoption of an effective system for monitoring forest management and status 
including optimum use of advanced technology such as, but not limited to, 
sate I 
I i te i mag i na ry ana I ys is. 
SECTION 14. Environmental and lmpacf Assessment. - All new projects to 
be implemented in forestlands including harvesting, grazing, and other special uses, 
mineral prospecting and exploration, road, infrastructure, and building construction shall 
be subject to the Environmental Impact Assessment System. 
SECTION 15. State of the Environment Report. - The Department shall 
conduct research to the extent and state of natural forests, including forests occupants 
in each region and province, furnishing annually both Houses of Congress a copy of the 
State of the Environment Report. 
CHAPTER IV 
COMMUNITY- BASED FOREST MANAGEMENT 
SECTION 15. Community-Based Forest Managemenf Strategy (CBFMS). - 
Forest communities, indigenous peoples and other communities, indigenous peoples 
and other communities whose lives, culture and general well-being are intimately liked 
with the forests , shall be entrusted with the responsibility and the privilege to protect, 
manage, develop and utilize forest resources under the principle of stewardship. 
Pursuant to this policy, the State herein adopt Community-Based Forest Management 
Strategy (CBFMS) as a principal strategy to achieve sustainable forestland 
management, social justice and economic development particularly in the rural areas. 
The Department shall formulate policies and guidelines that simplify and facilitate 
access to and sustainable management of forestland resources by local communities. 
The Department shall furthermore develop policies, guidelines and incentives for private 
sector investors to enter into mutually beneficial relationships with communities in the 
pursuit of sustainable forest management. 


SECTION 16, Cornrnunify Resources Managemenf in CBFM Areas. - The 
management of forestland resources in CBFM areas shall be embodied in a Community 
Resource Management Plan which contains the community’ vision, aspirations and 
strategies in the management of forestland resources. 
The Department, local 
government units , other government agencies, non-government organizations, private 
companies and individuals and other sectors shall provide these communities with 
appropriate long-term security of tenure; technical, managerial and financial assistance, 
training and other assistance to empower them to manage and benefit from the 
forestland resources on a sustainable basis. 
SECTION 17. Qualified Parficipanfs. - Only organized forest communities as 
defined in this Act shall be available to participate in the CBFM strategy. ‘The 
indigenous people shall be encouraged to actively participate in the implementation of 
CBFM activities in recognition of their rights to their ancestral domains and lands. All 
organizations eligible to participate in the CBFM shall have the following qualifications: 
a) Members shall be Filipino citizens, and 
b) Members may be 
1) Actually tilling portions of the area to be awarded; 
2) Traditionally utilizing the resource for all or a substantial portion of their 
live1 i hood; 
3) Actually residing within or adjacent to the areas to be awarded; and 
4) Tenured migrants as defined in R.A. 7586. 
SECTION 18. Communify-Based Foresf Managemenf Special Account. - 
The Department shall establish and manage a Community-Based Forest Management 
Special Account (CBFMSA) to support the implementation of the CBFM strategy and 
provide financial and professional incentives for deserving communities and 
government personnel. The Department may source local and international grants and 
donations for the establishment of the CBFMSA. Other sources of funds may later be 
determined by the Department subject to existing government regulations. 
SECTION 19. Creation of Financing Mechanism for CBFM. - The 
Department, in coordination with other agencies of government, shall develop measures 
for sustained financing to establish CBFM in all areas of the country. Towards the end, 
the Department shall prioritize the following: Within six (6) months from enactment of 
this Act, the Secretary shall organize a committee composed of duly-authorized 
representatives of the Development Bank of the Philippines (DBP), the Land Bank of 
the Philippines (LBP), the Government Service Insurance System (GSIS) , the Social 


Security System (SSS), the Bankers Association of the Philippines and other 
government and private financial institution s to formulate workable financing 
mechanism and instruments to fund implementation of the CBFM strategy and its sub- 
strategies. The committee shall elect its chairman from among its members and shall, 
within one year from effectivity of this Act, prepare the necessary policies, guidelines, 
and procedures for this purpose. 
a) 
In recognition of the favorable impact on water quality and supply that can be 
achieved through sustainable forest management, the Department, in 
collaboration with the Department of Local Government, and all government, 
semi-government and private agencies involved in water management and 
distribution, shall formulate policies , procedures and guidelines for collection of 
fees for water used for domestic, industrial and agricultural processes, and 
allocation of such fees for watershed production. 
The relevant policies, 
procedures, guidelines (etc) shall be designed to ensure that the communities 
responsible for managing specific areas of forest land and resources are 
rewarded for the management and protection measures they apply, given the 
benefits in terms of water supply that accrue to society at large as a result of their 
efforts. 
Within one (1) year from effectivity of this Act, the Secretary shall submit the 
results of (a) and (b) above to Congress through the Office of the President for 
enactment of appropriate enabling legislation . 
b) 
SECTION 20. Areas Available for CBFM. - Subject to prior vested rights, the 
CBFMS shall be implemented on all public forestlands, ancestral domains of ICC’s and 
on protected areas subject to the provisions of the NIPAS Law. CBFM may be aJlowed 
by the Secretary in watershed reservations to promote adequate protection and 
rehabilitation provide that land-use practices and activities would not induce severe soil 
erosion and surface run-off. 
SECTION 21. Recognition and Management of Ancestral Domain. - The 
recognition and management of ancestral domains shall be governed by the provisions 
of Republic Act 8371 , otherwise known as the “Indigenous People’s (IPS) Rights Act of 
I 
997” The National Commission on Indigenous Peoples (NICP) shall coordinate with 
the Department in providing assistance to the indigenous peoples in the sustainable 
management of forest resources within ancestral lands and domains. 


CHAPTER VI. 
REFORESTATION PROGRAM 
SECTION 22. Reforestafion in Foresflands. - Consistent with Section 13 
hereof, the Department, in coordination with local government with local government 
units (LGUs), other government agencies, NGOs, local residents and communities shall 
identify and prioritize forest hereof and consistent with the land use plants of the LGUs. 
a) In each prioritized area, whether at the city, municipal or provincial level, the 
Department, in coordination with the concerned LGU shall design an 
accelerated reforestation program designed to accomplish reforestation on at 
least fifty (50%) of the prioritized area within five (5) years and eighty percent 
(80%) of the area within ten ( I O )  years from effectivity of this Act. 
b) To achieve the goals set forth in the immediately preceding paragraph (a), the 
Department shall develop strategies that promote and encourage broad- 
based participation of all sectors, particularly forest communities, LGUs, 
private investors and non-government organizations in reforestation. 
c) In its annual budget submission to the Legislature, the Department shall 
include budgetary allocation in the General Appropriations Act in Adequate 
amounts to effectively accomplish reforestation of prioritized target areas. 
SECTION 23. Development of Profecfion Foresf. - In the identification of target 
areas pursuant to Section 22 above, the Department shall prioritize establishment of 
tree cover, other diversified perennial vegetation and accompanying soil and water 
conservation measures on lands that have a direct impact on water supply and quality, 
bio-diversity and environmental protection, with special emphasis on lands covered by 
the NIPAS act. 
a) Pursuant to. the sound principles of ecological succession, and to achieve 
optimum cost-effectiveness, assisted natural regeneration (ANR) shall be 
prioritized in the development of protection forests and not less than fifty percent 
(50%) of the Department’s annual appropriations for development of protection 
forests shall be allocated for ANR implementation. 
b) Measures which harmonize human occupation and environmental protection 
shall be included in the development of protection forest, including land terracing, 
establishment of vegetative hedgerows on contours, planting of fruit trees, 
bamboo and the like. 
SECTION 24. Development of Production Foresfs. - Reforestation strategies 
shall emphasize, prioritize and encourage the development of under-utilized private land 
to eventually supply the major portion of timber, bamboo, rattan and other forest 


products needed to satisfy local demand and take optimum advantage of export 
opportunities. 
Towards this end, the Department shall provide free technical assistance to 
landowners. who wish to implement reforestation on their private lands. 
All trees and other forest products grown on private lands shall be considered 
agricultural crops belonging to the owner who shall have the right to sell, 
contract, convey, process or dispose of the same in any manner heishe sees 
fit. No forest charges, environmental fees or similar levies shall be imposed by 
national government agencies and/or local government units on such trees and 
other forest products grown on private land, nor shall any rules or regulations 
be enacted to control the transport of such products except those necessary to 
prevent accidents or damage to roads and other infrastructure. Furthermore, 
the owners shall be entitled to the incentive provided under Section 26, 
subsections (a), (b), (c) (d) and (e) hereof. 
In addition to providing land, the development of production forests on 
government land (Le. forestlands) shall also be encourage by way of long-term 
lease and other mechanisms formulated by the Department and consistent with 
the provisions of the Constitution and relevant legislation. The Department, in 
coordination with potential investors, shall identify denuded area for 
development of production forests on government lands. 
The conversion of natural forests on government land to plantations or other 
land use shall be totally banned for a period of thirty (30) years from the 
effectivity of this Act. 
SECTION 25. Reforestation or Establishment of Forest Plantation in Forest 
Lands Under Other Government Agencies. - Other government agencies and 
institutions having jurisdiction over forestlands as provided under Sections ? 0 and ? 
of 
this Act shall be responsible for the reforestation and rehabilitation of denuded and 
degraded portions of the forestlands under their jurisdiction. Within two (2) years from 
the effectivity of this Act, such other agencieshnstitutions shall formulate management 
plans for their areas, indicating therein the sites identified for reforestation, and sites 
that will be used for other purposes. These plans shall be subject to approval by the 
Department. Failure to reforest lands identified for the purpose within five (5) years 
from the Department approval of the management plans shall be sufficient grounds to 
revert the said forestlands to the jurisdiction and control of the Department. The 
Department shall 
provide necessary technical assistance upon request by the 
concerned agencies. 


SECTION 26. Incentives. - To encourage qualified person to engage in forest 
plantation activities, the following incentives shall be granted, in addition to those 
already provided by existing laws: 
a) The agreement holder shall not be subject to any obligation prescribed or 
arising out of the provisions of the National internal Revenue Code on 
withholding tax at source upon interest paid on borrowing incurred for the 
development of forest plantations; 
b) Amounts. expended by the agreement holder in the development and 
operations of a forest plantation prior to the commercial harvest, shall be 
regarded as ordinary and necessary expense as capital expenditure; 
c) The Board of Investments shall classify forest plantations as pioneer and 
preferred areas of fnvestment under its annual priority plan subject to the 
rules and regulation s of the said Board; 
d) The agreement holder shall be given priority in credit assistance granted by 
Government-owned, controlled and/or supported financial institutions. For 
this purpose, the Committee created under Section 19 of this Act and the 
Department shall within one (1) year of the effectivity of this Act, create a 
favorable mechanism to support reforestation and establishment of forest 
plantations; 
e) Upon the premature termination of agreement at no fault of the holder, all 
depreciable permanent and semi-permanent improvements such as roads, 
buildings, and nurseries including the planted, standing trees and other forest 
crops introduced and to be retained in the area shall be properly valuated and 
the holder shall be entitled to a fair compensation thereof, the amount of 
which shall be mutually agreed upon by both the Department and the holder 
and in case of disagreement between them, by a mutually acceptable 
impartial third party; 
f) No contract or agreement shall be terminated except for cause or for reason 
of public interest, and only after due process which informs the concerned 
parties of the intention to terminate and allows them to present their 
objections, comments or other relevant information; and 
g) The agreement holder has the right to transfer, contract, sell or convey his 
The Secretary may provide or recommend to the President, other incentives in 
addition to those granted under this Section to promote reforestation and establishment 
of forest plantations. 
rights to any qualified person. 


SECTION 27. Voluntary Offer to Reforest. - Private landowners, whether 
natural or juridical persons may participate in reforestation and plantation development 
or similar programs of the Department furnishing funds to reforest the area: Provided, 
that the property shall be exclusively devoted to the planting of forest species for at 
least one (1) rotation, which undertaking shall be annotated at the back of the title of the 
property; 
SECTION 28. Establishment of City or Municipal Parks or Forests. - Every 
City or Municipality shall establish a city or municipal park or forest and shall include in 
its yearly budget the necessary funds for its establishment and maintenance. The 
Department shall provide technical assistance to the city or municipality concerned 
upon request, and shall coordinate with the Department of Interior and Local 
Government, non-government organizations and other sectors to ensure compliance 
with this provision. The Department shall, upon request of concerned LGU, set aside 
areas for watersheds or other purposes that are consistent with forest conservation and 
protection of the environment. 
SECTION 29. Establishment of Tree Parks in Subdivisions and Providing 
Tree Planfing on Roadsides. - Every subdivision project to be developed after the 
passage of this Act shall include the establishment of a tree park covering not less than 
fifty percent (50%) of the total open spaces required under existing laws and 
regulations. Guidelines for the establishment of a tree parks within subdivisions shall be 
prepared jointly by the Housing and Land Use Regulatory Board (HLURB) and the 
Department. For every national, provincial, city or municipal road/highway construction 
project, the Department of Public Works and Highways (DPWH) or the concerned LGU 
shall include the planting and maintenance of trees and/or perennial shrubs along the 
road/highway, and establishment of roadside parks-cum-rest areas planted to trees 
and/or perennial shrubs every fifty (50) kilometers along the road/highway, and shall 
provide adequate funds for this purpose in the respective budgets for roadlhighway 
construction. 
CHAPTER VI1 
FOREST PROTECTION 
SECTION 30. Commercial Logging Activities. - In all forestlands as defied in 
Section 3 (w) hereof, there shall be a ban on all commercial logging activities for a 
period of thirty (30) years from the effectivity of this Act, and the issuance of licenses, 
permits or agreements to harvest timber from the natural forests in forestlands is hereby 
prohibited, except as provided under Section 33, hereof. 
Existing timber license 


agreements, licenses or permits shall be allowed to continue until their expiry, unless 
otherwise terminated for cause. Upon expiration of the thirty year ban, the commercial 
utilization of forests may be allowed subject to rules and regulations prescribed by the 
Department. 
SECTION 31. Exempfion. - Community -based forest management projects, 
industrial forest plantations, tree farms, agro-forestry farms and other forest plantations 
including bacauan and other mangrove forest plantations, communal forests, ancestral 
lands and domains with approved ancestral domain management plans, and research 
projects approved by government agencies concerned shall not be covered by Section 
31 of this Act. Government projects and those of public utilities involving right-of- way, 
the development of mineral reservations and energy resources and the like shall be 
allowed subject to the issuance of an Environmental Compliance Certificate by the 
Secretary of the Department. 
SECTION 32. Displaced Workers. - Workers of existing commercial logging 
operations, including wood processing plants, who will be displaced as a result of this 
Act, shall be given priority in employment in government forestry programs including 
those mentioned in Sec. I 5  of this Act as well as other reforestation programs for a 
period of four (4) years from the effectivity of this Act. Provided, that workers who are 
upland dwellers displaced as a result of this Act shall likewise be given priority for 
employment in said forestry and reforestation programs and in the allocation of 
forestlands for forest development and livelihood. 
SECTION 33. Assistance of l a w  Enforcement Agencies. - The Department 
shall deputize law enforcement agencies and instrumentalities of the Government 
including but not limited to, the Philippine National Police (PNP) , the Armed Forces of 
the Philippines (AFP) , and the National Bureau of Investigation (NBl),for the 
enforcement of the logging ban and for the conservation and protection of forests. The 
assistance of the NGOs, cooperatives, citizen groups, and community organizations 
shall also be utilized for the same purpose. The Department of National Defense 
(DND), through the AFP, in close coordination with the Department, shall create a 
special forest law enforcement unit through a process jointly designed by the DND and 
the Department and composed of members recruited from the major service commands 
of the AFP. 
The special unit, jointly supervised by the DND and the DENR, shall provide 
effective protection of the country’s forestlands, including Protected Areas and areas 
which have been reforested. It shall likewise assist the government’s reforestation 


program in a capacity to be designated by the Department, including other tasks 
necessary for the effective implementation of this Act. 
The Secretary of Justice shall permanently designate a special prosecutor in 
every city and province to immediately file the charges against forest violators and 
ensure their speedy prosecution. 
He shall promulgate the necessary rules and 
regulations to expedite the prosecution of offenses committed under this Act. 
SECTION 34. Role of Local Residents. - Qualified local residents may be 
deputized by the Department to assist in the protection of forests against illegal loggers, 
poachers, kaingeros, and land speculators. They shall likewise be given the authority to 
arrest forest violators within their communities , subject to existing laws and regulations 
on arrest and detention. 
SECTION 35. Prevenfion of Foresf Fires and Confrol of Forest Pests and 
Diseases. - The Department, in collaboration with the concerned local government 
unit, shall formulate and implement a program of fire prevention and control including 
incentives to LGUs, private organizations of individuals who participate actively in fire 
prevention and control to reduce damage to forest resources. 
The department shall formulate and implement an integrated pest and diseases 
management program including quarantine procedures for imported seeds, animals, 
plants and other forest products and plant parts to prevent and control forest pests and 
diseases. 
SECTION 36. lnformafion and Reward Sysfem. - The Department shall 
establish an information and rewards system as part of the community’s participation in 
the protection of forest resources. The rewards shall be immediately payable upon the 
establishment of prima facie proof of violation. In cases where the information given 
leads to the seizure of logs, timber, and other forest products, and results in a 
conviction, the informer shall be entitled to twenty percent (20%)the gross proceeds of 
the seized logs/timer/other forest products disposed of through public bidding which 
shall be payable within three (3) days after full payment by the winning bidder. 
CHAPTER Vlll 
FORESTRY RESEARCH, EDUCATION, TRAINING AND EXTENSION 
SECTION 37. Research and Technology Development and Transfer. - 
Research and technology development transfer shall be strengthened to support 
sustainable management of forest resources. The Department, the Department of 
Science and Technology and the Colleges of Forestry of State Universities shall, within 


one (1) year from the passage of this Act, prepare a research and technology 
development and transfer agenda for sustainable forest management, which shall be 
implemented , monitored, and reviewed in accordance with existing research 
management systems. Provided, that adequate and sustainable funds for research and 
technology development and transfer shall be provided under the General 
Appropriations Act. 
SECTION 38. Forestry Extension Service. - Within one (1 ) year from effectivity 
of this Act, the Department shall formulate a program for development of an effective 
forestry extension service include funds and plantilla for the same in its annual budget 
submission to Congress for inclusion in the General Appropriations Act. This program 
shall be revised and updated as needed to ensure Department capability to provide 
competent extension services to all sectors involved or intending to participate in 
reforestation and other forest management activities on forestlands of privately-owned 
lands. 
The Department, through its forestry extension service, shall also develop a 
program to encourage landowners, especially those with lands above eighteen percent 
(I 
8%) slope, to forest their properties. 
SECTION 39. National Public Information, Education and Advocacy 
Campaign. - The Department, the Philippine Information AgencyIPIA), the Department 
of Education, Culture and Sports (DECS), State Universities and Colleges, Private 
Universities and ‘Colleges, with support from LGUs,NGOs, media and other 
organizations, shall formulate and implement a sustained, nationwide public information 
and advocacy campaign for forest and natural resources conservation and sustainable 
development. The DECS with the assistance of the Department and the College of 
Forestry, Department of State Universities and Colleges, shall formulate curricula for 
forest and natural resources conservat/on, which the DECS will prescribe for inclusion in 
the curricula for elementary and high school education. Congress shall allocate funds 
for the purpose of supporting a systematic campaign to promote community ecological 
awareness throughout the country. 
SECTION 40. Formal Forestry Information. - The Commission on Higher 
Education and Development (CHED) in collaboration with the Department, Board of 
Foresters of the Professional Regulations Commission (PRC) and duly accredited 
Forestry Professional Organizations, shall actively pursue the rationalization of formal 
forestry education to ensure high quality manpower output to meet the needs of the 
forestry sector. 
’ 


SECTION 41. Continuing Education in Forestry. - A non-formal program of 
continuing education shall be established to maintain the growth of the forestry 
profession. The Board of Foresters of the Professional Regulation Commission (PRC) 
and the Civil Service Commission Department by itself or in cooperation with academic 
institutions shall develop the infrastructure to institutionalize non-formal continuing 
education for the forestry sector. 
SECTION 42. Establishment of Training Center. - The Department shall 
establish and institutionalize a network of training centers in strategic parts of the 
country to provide regular and up-to-date training on the various aspects of sustainable 
forest resources management, development, and utilization to forest officers, LGUs, 
NGOs and local communities including indigenous peoples. 
Furthermore, the 
Department shall ensure that personnel appointed to critical and sensitive positions 
undergo training to prepare them to discharge their duties and responsibilities 
professionally and effectively. 
SECTION 43. Forestry Developmenf Center. - The Forestry Development 
Center (FDC) based in the College of Forestry, University of the Philippines at Los 
Bafios , established under Presidential No. 1559, shall continue to serve as the primary 
policy research and development center for forestry and natural resources 
management. The center shall perform its functions in close coordination with the 
Department and other policy research institutions in the country. The Center shall 
assist the Department in the formulation, review and evaluation of proposed and 
existing policies. 
To enable the Center to carry out its mandated functions, the 
Department shall provide financial support to the Center based on an approved program 
of activities, and which support shall not be less than five (5) million pesos yearly and 
shall be incorporated in the annual appropriations of the Department under the General 
Appropriations Act. 
CHAPTER IX. 
DISPOSITION AND UTILIZATION OF FOREST RESOURCES 
SECTION 44. Modes of Forest Management Agreement. - The development, 
utilization and management of forest resources on forestlands shall be under the full 
control and supervision of the Department. The State may directly undertake such 
activities or it may enter into co-production, joint venture or production sharing 
agreement with qualified Filipino citizens or corporations, subject to the relevant laws, 
rules and regulations. Provided, that interested members of forest communities as 


defined in Section 3 hereof, shall be given priority in the grand of said agreements, 
Provide, further, that all applications must be acted upon within a period of six (6) 
months. 
Failure to do so would be grounds for the filing of the appropriate 
administrative or criminal charges against the officers tasked to carry out the said 
function. Such agreements shall have a duration of twenty-five (25) years, renewable 
for another twenty-five (25) years under such terms and conditions as may be provided 
by the Secretary; Provided, that such agreements may not be terminated except for 
cause or when public interest so requires. 
Current holders of existing and valid licenses, contracts or agreements granted 
by the government for the development, management and utilization of forest resources 
may be allowed to continue under the same terms and conditions until expiry of such 
licenses/contracts/agreements or the same may be converted into any other mode 
authorized under this Act and consistent with guidelines promulgated by the 
Department; Provided, that no such conversion will be allowed in protection forests as 
defined in Section 8 of this Act. The Department is hereby authorized to formulate rules 
and regulations covering the relevant terms and conditions thereof. 
SECTION 45. Transfer. - 
No holder of a co-production, joint venture or 
production-sharing agreement or contract shall sub-contract, transfer, exchange, sell or 
convey the same or any of hislher rights or interests therein without authority from the 
Secretary, and any such change of rightshnterests shall remain valid for the remaining 
unexpired term of the original agreement, subject to compliance with the terms and 
conditions thereof: Provided, that no transfer shall be authorized unless the agreement 
or contract has been in existence and active for at least three years; Provided further, 
that the transferor has faithfully complied with the terms and conditions of the said 
agreement or contract; the transferee has all the qualifications and none of the 
disqualifications to hold the same, and the transferee shall assume all the obligations of 
the transferor. 
SECTION 46. Non-Timber Forest Products. - Rattan, bamboos, vines, herbs, 
exudates and other non-timber forest products are integral parts of the forest 
ecosystem. 
The planting and sustainable management of non-timber producing 
species shall be encouraged and supported. The development, management and 
utilization of non-timber forest products shall be allowed in accordance with the 
guidelines to be promulgated by the DENR. However, in granting permits to harvest or 
utilize non-timber forest products in the naturaf forests, priority shall be given to local 
communities or indigenous peoples living nearest the subject forestlands. 


SECTION 47. Grazing. - The Department shall identify areas in the production 
forest land suitable for grazing purposes. However, no forestland fifty percent (50%) on 
slope or over may be utilized for grazing purposes. 
a. 
identified grazing lands shall be turned over to the Department of Agriculture 
(DA) which shall be responsible for licensing utilization of the same through lease 
or other appropriate arrangement by private investors, and shall furthermore be 
responsible for supervising development and management of such lands for 
livestock production purposes; 
Within six (6) months from effectivity of this Act, the Department, in collaboration 
with the DA shall formulate and promulgate guidelines for the utilization, 
development and management of grazing lands including, but not limited to 
prescriptions for pasture improvement, soil and water conservation, reforestation 
of lands over fifty percent (50%) slope and other relevant activities designed to 
ensure environmentally-sound management; 
Within one (I) 
year from effectivity of this Act, the DA in consultation with the 
Department and revenue collection agencies of the government, shall formulate 
and promulgate guidelines and criteria for establishing fees and charges covering 
utilization of grazing lands, the amounts of which shall be commensurate with a 
fair value due to government but not less than one hundred fifty pesos (P150.00) 
annually per hectare; 
Existing pasture lease agreements/forest land grazing lease agreements shall be 
allowed to continue under the current terms and conditions for the unexpired 
b. 
c. 
d. 
term subject to compliance guidelines promulgated pursuant to paragraph (b) 
above; 
The DA shall not issue any new permit, lease or contract, nor such existing 
agreements be allowed to continue on grazing lands if not covered by the EIS 
and an ECC; 
Within one (1) year from effectivity of this Act, the DA, in collaboration with the 
Department shall conduct and complete a review of performance of existing 
pasture/lease/forestland grazing lease agreements/ permits and cancel all such 
conditions set forth in such agreements/permits; and 
g. 
Forestlands that are the subject of cancellation shall be returned to the 
e. 
f. 
Department for rehab i I it at i o n , protection , and conservation . 
SECTION 48. Mining and Power Generafion Operafions in Forestlands. - 
Forest resources inside mineral lands are under the Department's jurisdiction, and their 
management and utilization are subject to the provisions of this Act. Power generation 


and small-scale mining operations in forestlands may be allowed only after the issuance 
of an Environmental Compliance Certificate (ECC). 
SECTION 49. Roads and Other lnfrasfrucfures. - Roads and other 
infrastructures inside forestlands shall be constructed with feast impairment to the 
resource valued found in such forestlands. Government agencies undertaking the 
construction of roads, bridges, communication and other infrastructure inside 
forestlands shall coordinate with and seek prior authority from the Department. 
Persons allowed to develop, explore or utilize forest resources as provided under 
Sec. 50 of this Act, may be allowed to construct roads and other infrastructure inside the 
forestlands in accordance with approved comprehensive management plans, and upon 
compliance with EIA and ECC requirements and upon authorization by the Department. 
All roads and infrastructure constructed by forest management agreement holders and 
other permitees, licensees and lessees shall belong to the State, and their use and 
administration shall be transferred to the government upon termination 
of the 
agreement. 
CHAPTER X 
FOREST-BASED INDUSTRIES 
SECTION 50. Esfablishmenf and Operation of Forest-Based lndustries. - It 
shall be the policy of the State to assure the availability and sustainability of the 
country’s forest through judicious use and systematic restoration or replacement, 
increase the productivity of forest resources to meet the demands for forest-based 
goods and services of a growing population; enhance the contribution of forest 
resources for achieving national economic and social development; and promote 
equitable access to forest resources. The State shall promote the establishment, 
operation and development of forest-based industries: Provided, that the Department 
shall regulate the establishment and operation of processing plants or mills for forest 
products. To achieve this policy objective, incentives shall be provided to forest-based 
industries. 
SECTION 51. /men fives for Foresf-Based lndustries. - To enable forest- 
based industries to be efficient, competitive and economically viable, the following 
incentives shall be granted in addition to those already provided by existing laws: 
a. 
All processing plants or mills shall be granted operating permits with a duration of 
five (5) years and automatically renewable every five (5) years thereafter, subject 
to compliance with the terms and conditions of such permits; Provided, that 


b. 
C. 
d. 
e. 
permits of processing plants owned or operated by holders of forest management 
agreements or contracts shall be co-terminus with the expiry of said agreements 
of contracts; 
The Department shall provide incentives for the processing of lesser used and 
non-wood species, and all logging and wood processing wastes; 
The Department shall, within one (I) 
year from the effectivity of this Act, submit 
to Congress, through the President of the Philippines, additional measures that 
need to be legislated and that are designed to improve the competitiveness and 
viability of forest-based industries; 
The Department shall promote and strengthen the linkages between corporate 
and community-based industries; and 
The Department may provide other incentives to forest-based industries as may 
be necessary. 
SECTION 52. Export and Sale of Timber Products. - Finished and semi- 
finished lumber products, wood manufactures and other finished wood products derived 
from local and imported logs and planted species shall be allowed for export. However, 
logs and unprocessed wood of naturally-grown species of whatever dimensions cut, 
gathered or removed from natural forests in forestlands shall not be exported. 
Exportation of logs, lumber and other finished products from plantations shall be 
allowed pursuant to such guidelines that the Department may promulgate. 
Furthermore, no restrictions, rules or regulations shall be imposed to prevent the export 
of timber and other forest products derived from plantations established on privately 
owned lands. 
No person shall sell or offer for sale any log, lumber, plywood or other 
manufactured wood products in the international or domestic market unless he/she 
complies with the grading rules established grading rules and standards, or any act of 
falsification of the volume of logs, lumber, or other forest products in the international or 
domestic market shall be sufficient cause for cancellation of export license, wood, 
processing permit, or other license or permit authorizing the manufacture or sale of such 
products. 
SECTION 53. lmporfafion of Logs and Ofher Forest and Wood Products. - 
Logs, lumber and other forest and wood-based products may be imported subject to the 
tariff schedules and/or rules and regulations promulgated by the government. 


CHAPTER XI. 
FOREST CHARGES, FEES AND RENTALS 
SECTION 54. Fees and Renfals for fhe Ufilizafion, Expfoifafion, Occupation, 
Possession of and Activities Within ForestIands. - The Department shall prescribe 
appropriate fees and rentals for the different kinds of utilization , exploitation, 
occupation, possession of, or activities within forestlands. Likewise, fees shall be 
collected for the filing and processing of application thereof as well as the issuance and 
renewal of license, permits and agreements. 
SECTION 55. Foresf Charges. - Forest charges shall be collected on forest 
products in accordance with the provisions of Republic Act No. 7161. The Department 
shall develop guidelines for the assessment and collection of forest charges. 
SECTION 56. Fees for Adminisfrafive Services Rendered by fhe 
Deparfmenf. - Fees shall be collected for various administrative services rendered by 
personnel of the Department in connection with their duties and responsibilities as may 
be requested by interested parties, including but not limited to, surveying, mapping and 
other similar service activities. 
CHAPTER XII. 
APPROPRIATIONS AND FINANCfNG SUPPORT 
SECTION 57. Appropriations. - 
The amount necessary to carry out the 
provisions of this Act shall be included in the General Appropriations Act of the year 
following its enactment into law and thereafter. 
SECTION 58. Funding. - In its budget preparation, the Department and the 
local government units shall allot adequate funds to effectively implement CBFM targets 
and shall ensure the inclusion of such budgetary allocations in the annual General 
Appropriations Act. 
SECTION 59. Sustainable Forestry Development Fund. - In order to provide 
sustainable funds for forestry development and protection activities such as 
reforestation and CBFM projects, a sustainable forestry development fund shall be 
created. At least thirty percent (30%) of the forest charges and government share in all 
products removed from the forestlands, rentals, proceeds from sales of confiscated 
forest products including conveyances, fines and penalties and administrative charges 


shall be collected and set aside for the buildup of sustainable forestry development 
fund. 
The Department, through the Forest Management Bureau (FMB), in coordination 
with LGUs, NGOs, Pos and government financial institutions shall create mechanisms 
to manage the Sustainable Forestry Development Fund. 
CHAPTER XIII. 
CRIMINAL OFFENSES AND PENALTIES 
Section 60. 
Harvesting, Gathering and/or Collecting Timber or Other 
Foresf Producfs Without Aufhority* - Any person who shall harvest, cut, gather, 
collect or remove timber or other forest products from any forestland, or timber from 
natural forest inside alienable and disposable public land, without authority from the 
Secretary or who shall possess timber or other forest products without the pertinent 
required legal documents shall be punished by imprisonment ranging from prision 
mayor minimum period to reclusion temporal minimum period and/or a fine equivalent to 
ten times the value of the said forest product but not less than fifty thousand pesos 
(P50,OOO.OO) : Provided , that in case of partnerships, associations or corporations, the 
president, managing partner, and general manager shall be liable, and if such officer is 
an alien, he shall, in addition to the penalty, be deported without further proceedings on 
the part of the Bureau of Immigration and Deportation Offenders who are public officials 
shall be deemed automatically dismissed from office and permanently disqualified from 
holding any elective or appointive position. All timber or any forest products cut, 
gathered, collected, removed or possessed and all the conveyances, machinery. 
Equipment, implqments, work animals and tools used in connection with this violation 
shall be seized and confiscated in favor of the government. 
SECTION 61. lllegal Cuffing as an Act of Economic Sabofage. - If any acts 
enumerated in the preceding section have been committed by an armed group or 
organized group through conspiracy, threat, fraud or deceit, the gathering, collecting or 
removing timber or other forest products from any forestland or alienable and 
disposable public land without any authority from the Secretary, or possession of timber 
or other forest products without the pertinent required legal documents shall be 
considered as an act of economic sabotage and shall be punishable reclusion perpetua. 
SECTION 62. Use of ///ega//y Cut Timber in Government Infrastructure 
Projecfs. - Contractors of government infrastructure are required to obtain certification 
from the Department that the lumbers used were from legitimate sources. Use of 
illegally cut timber in government infrastructure projects is prohibited and shall be 


sufficient cause for .withholding of the payment of the contractor. Further, the contractor 
may be subject to the penalties provided under Section 72 hereof. 
SECTION 63. Damage to Residual Trees. - To ensure the sustainability of the 
forest, adequate number of residual trees shall be marked to form part of the managed 
forest and as he future timber crop before any harvesting operations commence. Any 
marked residual free that is damaged is subject to a fine equivalent to four times regular 
forest charges. 
SECTION 64. Grazing Livestock on Forestlands Wifhout a Permit. - 
Imprisonment for not less than two (2) years nor more than four (4) years and a fine 
equivalent to ten times the regular rentals due in addition to confiscation of such 
livestock and all improvements introduced in the area in favor of government shall be 
imposed on any person who shall, without authority under a lease or permit, graze or 
cause to graze livestock in forestlands, grazing lands and alienable and disposable 
lands, which have not yet been disposed in accordance with the Public Lands Act. 
Provided, that in case the offender is a corporation, partnership, or association, the 
officer or director thereof who directly caused shall be liable. In case the offender is a 
public officer or employee, he shall, in addition to the above penalties, be deemed 
automatically dismissed from office and permanently disqualified from holding any 
elective or appointive position in the government service. 
SECTION 65. Unlawful Occupation or Destruction of Forestlands. - Any 
person who enters, occupies or possess, or makes kaingin for his own private use or for 
others, in any forestland, or grazing land without authority from the Secretary, or in any 
manner destroys such forestland, or part thereof, or causes any damage to the forests 
found therein, or assists, aids or abets any other person to do so, or sets a fire, or 
negligently permits a fire to be set in any forestland, or refuses lawful orders to vacate 
the area when ordered to do so shall, upon conviction, be punished an amount of not 
less than twenty thousand pesos (P20,OOO.OO) but not more than one hundred thousand 
pesos (P100.000.00) and imprisonment of not less than two (2) years but not more than 
six (6) years for each offense: Provided, that in the case of any offender found guilty of 
making kaingin, the penalty shall be imprisonment for not less than ten (ten) years but 
not more than twelve (12) years and a fine equivalent to eight (8) times the regular 
forest charges due on the forest products destroyed without prejudice to payment of the 
full cost of rehabilitation of the occupied areas as determined by the Department: 
Provided further, that the maximum penalty prescribed herein shall be imposed upon 
any offender who repeats the same offense for the third time or oftener. In all cases, 


the court shall further order the eviction of the offender from the land and the forfeiture 
to the government of all improvements made and all vehicles, domestic animals and 
equipment and improvements shall be sold at public auction, the proceeds from which 
shall accrue to the Sustainable Forestry Development Fund. In case the offender is a 
government officer or employee, he shall, in addition to the above penalties, be deemed 
automatically dismissed from office and permanently disqualified from holding any 
elective or appointive position in the government service. 
If the offender is an alien, he shall be deported after service of sentence and 
payment of fines without further proceedings. 
SECTION 66. Illegal Acts on Wildlife. - It shall be unlawful for any person to 
collect, catch , possess, hunt, wound, kill, capture or destroy the nest or eggs, host 
plants, trade, display or keep in pet shops, flower shops, orchidarium, nurseries, and the 
life, threatened wildlife, its by products or derivatives or destroy the habitats of wildlife, 
including those designated as critical habitats. Any person violating this provision shall 
be punished by imprisonment of six (6) years and one (I) day to twelve (12) years and a 
fine of One Million Pesos (P1,000,000.00) for species listed under CfTES I; 
Seven 
hundred fifty thousand pesos (P750,OOO.OO) 
for species listed under CITES I I ,  and a 
five hundred thousand pesos (P500,OO.OO) for threatened species. 
A criminal action for violation of this provision shall not bar the institution of a civil 
action for damages which may proceed independently. 
All wildlife and its derivatives or by-products, and all paraphernalia, tools and 
conveyances used in connection with violations of this provisions shall be seized and 
confiscated in favor of the government. 
In case the offender is a government officer or employee, he/she shall, in 
addition to the above penalties, be deemed automatically dismissed from office and 
permanently disqualified from holding any elective or appointive position in the 
government service. If he offender is an alien, he/she shall be deported after service of 
sentence and payment of fines without any further proceedings. 
SECTION 67. Misdeclaration, falsification of Forest Resource lnventory, 
Scaling, Surveys and Reports by Government Official or Employee. - Any public 
officer or employee who knowingly misdeclares or falsifies forest resource inventory, 
scaling, surveys, and other similar reports which are contrary to the criteria and 
standards established in this Act or the rules and regulations promulgated hereunder 
shall, after an appropriate administrative proceeding, be dismissed from the service and 
permanently disqualified from employment in any agency of the government. Upon 
conviction by a court of competent jurisdiction, the same public officer or employee shall 


further suffer an imprisonment of not less than eight (8) years or more than twelve (12) 
years and a fine of not less than twenty thousand pesos P20,OOO.OO) 
nor more than 
hundred thousand pesos (PI 00,000.00) . Furthermore, the subject inventory, survey, 
classification or report shall be null and void. 
SECTION 68. Unlawful Operafion of Processing Planfs or Mills. - Any 
person operating a processing plant or mill without authority from the Secretary or his 
duly authorized representative, shall be punished by a fine of not less than one hundred 
thousand pesos (PI 00,000.00) and confiscation of the equipment and other 
paraphernalia in favor of the government. 
SECTION 69. Prohibition on lssuance of Tax Declaration on Forestlands. - 
Any public officer or employee who shall issue a tax declaration for any purpose on 
forestland, shall suffer imprisonment for a period of not less than four (4) years but not 
more than eight (8) years and perpetual disqualification from holding an elective or 
appointive office: Provided, That such tax declaration shall be considered null and void. 
SECTION 70. Unlawful possession of Implements and Devices Used by 
Forest Officers. - Unlawful possession of official implements and devices used by 
forest officers, such as but not limited to marking hatchers, shall be penalized with 
imprisonment of not less than four (4) years nor more than eight (8) years and a fine of 
not less than twenty thousand pesos (P20,OOO.OO) nor more than one hundred 
thousand pesos (P100,OOO.OO) . In addition, the said forest officer responsible for 
faithful possession and use of such imptement/device shall be dismissed from the 
service, with prejudice to reinstatement and with perpetual disqualification from holding 
any elective or appointive position. 
SECTION 71 
I Unaufhorized lnfroducfion of Logging Tools and Equipment 
lnside Forestlands and Nafional Parks. - It shall be unlawful for any person or entity 
to possess, bring or introduce inside forestlands any chainsaw, logging tools or 
equipment other than bolos and simple hand tools without prior authority from the 
Secretary of his duly authorized representative. Any person found not guilty of illegal 
possession of said chainsaw, logging tools or equipment shall be liable to imprisonment 
of twelve (12) years and one ( j )  day to fourteen (1 4) years and eight (8) months or fined 
not less than fifty thousand pesos (PS0,000.00) nor more than one hundred thousand 
(PI 00,000.00) or both, and confiscation of said logging tools and equipment. 


SECTION 72. Mon-payment and Non-Remiffance of Foresf Charges. - Any 
person who fails to pay the amount due and payab/e to the government shall not be 
allowed to transport, convey, sell or use the forest product and failure to pay within thirty 
(30) days upon assessment of forest charges, shall be a ground for the confiscation of 
the said forest product in favor of the government pursuant to Section 60 of this Act. 
Any person who fails or refuses to remit to the proper authorities said forest charges 
collectible pursuant to the provisions of this Act or the National Internal Revenue Code, 
as amended ,or who delays, obstructs or prevents the same, or who orders, causes or 
effects the transfer or diversions of the funds for purposes other than those specified in 
this Act for each such offense shall, upon conviction, be imprisoned for not less than six 
(6 years nor more than ten ( I O )  years and be fined from twenty thousand pesos 
(P20,OOO.OO) 
to one hundred thousand pesos (P100,OOO.OO). If the offender is a 
government official or employee, he/she shall, in addition, be dismissed from service, 
permanently disqualified from employment or reinstatement and perpetually disqualified 
from holding any elective or appointive office. 
If the offender is a corporation, 
partnership or association, the officers and directors thereof shall be liable. 
SECTION 73. lnsfitufion of Criminal Actions by Forest Officers. - A forest 
officer shall arrest even warrant any person who has committed or is about to commit, 
or is committing in his presence any of the offenses defined in this chapter. Helshe 
shall also seize and confiscate , in favor of the government, the tools, equipment and 
conveyances used in committing the offense, and the forest product out, gathered, 
taken or possessed by the offender in the process of committing the offense. The 
arresting forest officer shall thereafter deliver within six (6) hours from time of arrest or 
seizure, the offender and the confiscated forest products, conveyances, tools, and 
equipment, or the documents pertaining to the same, and file the proper complaint with 
the appropriate official designated by law to conduct preliminary investigation and the 
information in court. If the arrest and seizure are made in the forest, far from authorities 
designated by law to conduct preliminary investigations, the delivery and complaint with 
the latter shall be done within a reasonable time sufficient for ordinary travel from the 
place of arrest to the place of delivery. The seized products materials, conveyances, 
tools, and equipment shall be disposed of in accordance with the regulations 
promulgated by the Department. The Secretary may deputize any agency, barangay or 
barrio official or any qualified person to protect the forest and exercise the powers or 
authority provided for in the preceding paragraph. Jn the case of reports and complaints 
regarding the commission of any of the offenses defined in this chapter not committed in 
the presence of any forest officer or nay of the deputized officer but reported to a forest 
officer, the said forest officer shall immediately advise the forest officer assigned in the 


area where the offense was allegedly committed and the latter shall promptly receive 
the evidence supporting the report of the complaint and if such evidence if found 
sufficient file the necessary complaint with the appropriate official authorized by law to 
conduct a preliminary investigation of criminal case and file an information in court. 
SECTION 74. Liability of Confiscating Officers. - Any public officer who fails 
to produce the timber or forests products or any part thereof including tools, 
conveyances, equipment, machine and devices in his custody pursuant to a seizure of 
confiscation made thereon, or who shall appropriate, take, misappropriate, or permit any 
other person to take such timber or forest products wholly or partially, shall suffer the 
penalty provided for in Article 217 of the Revised Penal Code. In addition, the said 
public officer shall be dismissed from service permanently disqualified from employment 
or reinstatement and perpetually disqualified from holding any elective or appointive 
office. 
CHAPTER XIV 
ADMINISTRATIVE PROVISIONS 
Section 75. Strengthening of fhe Foresf Management Bureau and fhe Forest 
Management Sector. - In order to effectively implement the provisions of this Act, the 
Forest Management Bureau ( FMB) shall be strengthened and shall have the following 
functions in addition to the functions enumerated under Executive Order No. 192: a) 
coordinate and supervise the formulation and implementation of forestry policies, plans 
and programs; b) lead in the monitoring and evaluation of these policies, plans and 
programs, and the like; and c) review and evaluate all applications for licenses, permits, 
joint ventures, and management agreements for issuance and/or approval by the 
Secretary. To ensure that the scientific practice of forestry in the country is properly 
implemented, only registered foresters shall be appointed to the positions of Director 
and Assistant Director of the Bureau and Regional Technical Director of the Forestry 
Sector and all other forester positions, in accordance with existing Civil Service rules 
and regulations. 
The Forest Management Bureau (FMB) shall be reorganized into a line agency. 
The Secretary, in consultation with the Civil Service Commission (CSC) and the 
Department of Budget and Management (DBM), is hereby authorized to reorganize the 
Bureau and the forestry sector at the field level and create additional positions as may 
be necessary for community-based forest management, forest protection and other 
programs mandated under this Act, and to upgrade the salaries of foresters and other 
forest officers. 


SECTION 76. Aufhorify of fhe Secrefary on the Ufilizafion of Forest 
Resources. - 
The utilization of forest resources from natural forest found in 
forestlands, alienable and disposable lands not yet awarded to private individuals or 
entities, government-established reservation, and all other forestlands including those 
under ancestral domain claims and control or management of other government 
agencies, shall be prohibited except through valid license, permit, or other agreement 
approved by the Secretary or his/her duly-authorized representatives. 
SECTION 77. Administrative Aufhorify of the Secrefary of his Duly 
Authorized Represenfafive fo Order Confiscation. - In all cases of violations of this 
Act or other forest laws, rules, and regulations, the Secretary of his duly-authorized 
representative may order the confiscation of forest products illegally harvested, cut, 
gathered, removed or possessed or abandoned, and all conveyances used either by 
land, water or air as well as the machinery, conveyance, equipment, implement and 
tools used in the commission of the offense and to dispose of the same in accordance 
with pertinent laws, regulations or policies on the matter. 
If the confiscated forest products are in danger of deterioration, the Secretary 
may order that the same be sold at public auctions even before the termination of the 
judicial proceedings, in which case the proceeds shall be turned over and entrusted to 
the Court pending the outcome of such proceedings. 
No courts in the Philippines shall have jurisdiction to issue any writ of replevin, 
restraining order, or preliminary mandatory injunction in any case involving or growing 
out of any action by the Secretary or his duly authorized representative in the exercise 
of the foregoing administrative authority. 
SECTION 78. Adminisfrafive Aufhorify of the Secretary fo lmpose Fines. - 
In all cases of violations, forest officers or other government officials or employees duly 
authorized by the Secretary, shall have free entry into areas covered by a contract, 
agreement, lease or permit. Forest officers are authorized to inspect and open close 
vans suspected to contain illegally harvested, collected or transported forest products, 
provided this is done in the presence of the shipper or consignee or two (2) responsible 
public officials in the locality. Forest officers are authorized to administer oath, take 
acknowledgement in official matters connected with the functions of their office, take 
testimony in official investigations, conducted under the authority of this Act and 
implementing rules and regulations issued pursuant thereof. 
SECTION 79. Visiforial Powers. 
- 
The Secretary of his duly authorized 
representative shall, from time to time, investigate inspect and examine records, and 


other documents except bank records related to the operation of any person granted the 
privilege or with a contract to utilize forest resources to determine compliance with the 
terms and conditions stipulated in the grant, the contract, this Act and pertinent laws, 
rules and regulations. 
SECTION 80. 
Ofher lncenfives. - Twenty percent (20%) of the value of 
confiscated materials shall paid as incentives to informants including members of Multi- 
Sectoral Forest Management Councils or similar bodies and Department personnel. 
Confiscated forest products may also be donated to LGUs and other government 
agencies or building government infrastructure in recognition of their participation in 
forest protection activities. Additional incentives may be provided by the Department, in 
addition to those provided under the Government Service Insurance System (GSIS) or 
Workmen’s Compensation Law. They shall also be entitled to free legal assistance 
should legal cases be filed against them in the performance of official duties. 
SECTION 81. Profecfion for Witnesses fo Violafion/s of Forestry Laws. - 
Witnesses to violations of this Act or other forestry laws and regulations, including the 
immediate family members of said witnesses, shall be given protection, security and 
benefits, subject to the provisions of Republic Act No. 6981, otherwise known as 
“Witness Protection, Security and Benefit Act” and its implementing rules and 
regulations. 
SECTION 82. Rule-Making Authority. - Implementing Rules and Regulations. 
The Secretary shall, within one (I) year from effectivity of this Act, promulgate the rules 
and regulations necessary to effectively implement the provisions of this Act. 
SECTION 83. Separabilify Clause. - Should any provision herein be declared 
unconstitutional, the same shall not affect the validity or the legality of the other 
provisions. 
SECTION 84. Repealing Cause. - Subsections (b), (d), (e), (f), (g), and (i) of 
Section 4 of Act No. 3915; Republic Act No. 460; Presidential Decree Nos. 705,1153, 
151 5, 1559, 4 775, and 1998; Letter of Instruction No. 81 8; Executive Order No 277 and 
288, series of 1987, and Executive Order No. 725, series of 1981 , are hereby repealed, 
and all laws , orders, rules and regulations or any part hereof which are inconsistent 
herewith are repealed or amended accordingly. 


SECTION 85. Effectivity. - This Act shall take effect thirty (30)days from the 
date of its publication in the Official Gazette and at least two (2) newspapers of general 
circulation. 
Approved,