HULSE UF REPRESENTATIVES:
Republic of the Philippines RECEIVER,

HOUSE OF REPRESENTATIVES. te
Quezon City, Metro Manila

TUNG:
By:

SEVENTEENTH CONGRESS

REGISTRATION UNIT
BILLS AND INDEX SERVICE

EXPLANATORY NOTE

This bill seeks to amend and/or repeal pertinent provisions of
Republic Act 8749 or the Philippine Clean Air Act of 1999 and Republic Act
9003 or the Ecological Solid Waste Management Act of 2000 with regard to
the ban on incineration of waste.

The Philippines is a beautiful country that unfortunately has a
number of focal environmental concerns which need to be dealt with. One of
these critical issues is with regard to the mismanagement of garbage and
wastes which cause other types of environmental disasters such as flooding,
erosion, landslides and other dangers on landfills and dumpsites that
include health concerns among the people living nearby. Since the
inception of these two (2) relevant laws, the local government units,
especially in the metropolis, are unrelenting in executing these two
regulations. However, the LGUs can just do so much. According to the
National Economic Development Authority, only 26% of LGUs
nationwide implement the Solid Waste Management Act.

Look at Metro Manila--it stinks to high heavens. Metro Manila
residents had become such prolific litterbugs that the supposedly local
problem of household garbage had become a national concern. They
generate so much garbage that they are responsible for one-fourth of the
country’s daily output of solid waste, according to the Department of
Environment and Natural Resources (DENR). The DENR said Metro Manila
produced about 8,400 to 8,600 tons of trash per day. That volume already
accounts for about 25 percent of the country’s daily solid waste generation
of some 35,000 tons an average of 0.7 kilogram of waste a day, about “130


percent higher” than the global average of 0.3 kilogram per person per day.
However, only 6,000 tons end up in legal waste facilities while the rest are
illegally dumped in private lands, creeks, rivers and at times, are even
burned openly. The more waste in the Philippines causes the increase in
global warming, high temperature and less oxygen because of the air
pollution. From flooding to dengue, from polluted rivers and creeks to
mountains of trash, from the unnecessary death of fishes that accidentally
swallowed plastic bags in the seas to global warming, garbage is the
common denominator. The paradise island of Boracay is also threatened by
this dilemma. Businessmen fear that a Smokey Mountain similar to the
mountain of trash that used to obscure Tondo, Manila could rise up if the
temporary garbage dump in Sitio Bulabog, Barangay Balabag is closed
down. This poses a health and environment hazard in Malay, Aklan.

Given the perennial garbage problems in the Philippines which harm
the environment, waste management is indeed a necessary step to resolve
and minimize all garbage-related problems in the country. Apparently, most
landfills and garbage dumpsites filled up very fast. As such, there is a great
danger that the country may run out of proper dumpsites and waste
facilities that will ultimately lead to further environmental and human
hazards.

Some of the local government bodies in the Philippines are currently
pursuing the best methods to solve the ever-increasing garbage problem in
the country. Some provinces in the country pursue the privatization of their
solid waste management efforts in order to diminish the negative effects of
garbage mismanagement. On the other hand, the Philippine Congress is
also actively prioritizing the creation of new laws and policies intended to
strengthen proper waste management practices in the country. In fact, just
recently, some lawmakers have already filed a bill which requires LGUs to
make use of garbage trucks with “onboard compactor” for the proper
transportation and collection of solid waste. Basically, the main purpose of
this onboard compactor is to compact solid waste while these are in transit
and ultimately, reduce the total volume of solid waste and minimize the
amount of waste generated in the major cities and localities in the country.

The Philippine government recognizes the fact that there are many
possible solutions to address the ever-growing problem on waste generation.
Unfortunately, there are also many given constraints to totally eradicate this
huge garbage problem in the country.

Section 20 of the Clean Air Act of 1999 specifically prohibits
incineration and the Solid Waste Management Act of 2000 makes it a policy


for the State to ‘adopt a systematic, comprehensive and ecological solid
waste management program which shall ensure the proper segregation,
collection, transport, storage, treatment and disposal of solid waste through
the formulation and adoption of the best environmental practice in ecological
waste management excluding incineration”.

We refute that incineration of waste is harmful to the environment.
Even the Supreme Court has pronounced in its doctrinal ruling in MMDA
vs. JANCOM ENVIRONMENTAL CORPORATION (G.R. No. 147465, January
30, 2002) which states that the Clean Air Act of 1999 does not absolutely
prohibit incinerators as a mode of waste disposal “rather only those burning
processes which emit poisonous toxic fumes are banned”. By the same
token, some city councils who are already alarmed by the garbage menace
have already passed resolutions of their own asking the repeal of the two
laws, citing that a sustainable and long-term solution is necessary for the
setting up of an in-city, state-of-the-art WTE (waste-to-energy) facility,
similar to those extensively used in the US, Japan, South Korea and
developed countries in Europe.

The anti-incinerator coalition should take note that the myth about
this technology is already proven wrong. There is no scientific fact that it
emits over 200 toxic or potentially toxic substances, including dioxin and
furans, which are chemicals that cause cancer, birth defects, and
neurological disorders. It is not also correct to say that incinerators have
high operating costs and pose environmental risks.

This proposed measure will pave the way for the necessary and
modern solution to the perennial garbage problem that has been the major
headache of the government and in the process would serve to attract more
investors in the country. The waste-to-energy projects will have safety
features in consonance with the terms of reference based on its alleged
advantages of greatly reduced waste volume, prolongation of the service life
of the disposal site, and generation of electricity.

Immediate approval of this bill is earnestly sought.

ae

ENGR. CARLITO “Lito” MARQUEZ



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 2286

AN ACT
REPEALING SECTION 20 OF REPUBLIC ACT
8749, OTHERWISE KNOWN AS “CLEAN AIR
ACT OF 1999” AND AMEND PERTINENT
PROVISIONS OF REPUBLIC ACT 9003,
OTHERWISE KNOWN AS THE SOLID WASTE
MANAGEMENT ACT OF 2000

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

Section 1. Title - This Act shall be known and referred to as the
“Establishment of Waste-To-Energy Facilities Act of 2016”.

Section 2. Section 20 of Republic Act 8749 or the Philippine Clean Air
Act is hereby repealed. Likewise, pertinent provisions of Republic Act 9003
or the Solid Waste Management Act of 2000 are also amended

Section 3. Incinerators which are compliant with the emission
standards set by Section 19 of Republic Act 8749 shall be allowed as waste-
to-energy facilities in municipalities and cities.

Section 4. Role of LGUs in Setting Up Incinerators Pursuant to the
relevant provisions of R.A. No. 7160, otherwise known as the Local
Government Code, the LGUs shall be primarily responsible for the
implementation and enforcement of the provisions of this Act within their
respective jurisdictions.


Putting up of incinerator facilities must originate through its local
solid waste management boards and effected through an ordinance in
consonance with their respective 10-year solid waste management plans
consistent with the national solid waste management framework.

All local government solid waste management plans shall be subjected
to the approval of the National Solid Waste Management Commission.

Section 5. Environmental Impact AssessmentProposals for putting
up of incinerators shall be subject to an environmental impact assessment
as required by law before they are adopted.

No actual implementation of such activities shall be allowed without
the required Environmental Compliance Certificate (ECC) under the
Philippine Environmental Impact Assessment (EIA) system. Where such
activities are allowed to be undertaken, the proponent, who is the owner or
operator of the incinerator, shall plan and carry them out in such manner
as will minimize any adverse effects and take preventive and remedial action
when appropriate.

The proponent shall be liable for any damage due to lack of caution or
indiscretion.

Section 6. Owner and Operator - Responsibility for compliance with
the standards in this Act shall rest with the owner and/or operator of the
incinerator. If specifically designated, the operator is considered to have
primary responsibility for compliance; however, this does not relieve the
owner of the duty to take all reasonable steps to assure compliance with
these standards and any assigned conditions. When the title to a disposal is
transferred to another person, the new owner shall be notified by the
previous owner of the existence of these standards and of the conditions
assigned to assure compliance.

Section 7. (1) Fiscal Incentives. - Consistent with the provisions of
E.O. 226, otherwise known as the Omnibus Investments Code, the following
tax incentives shall be granted:

(a) Tax and Duty Exemption on Imported Capital Equipment and
Vehicles - Within ten (10) years upon effectively of this Act, LGUs,
enterprises or private entities shall enjoy tax and duty free
importation of machinery, equipment, vehicles and spare parts used
for setting up the incinerator facility: Provided, That the importation of
such machinery, equipment, vehicle and spare parts shall comply
with the following conditions:


() They are not manufactured domestically in sufficient
quantity, of comparable quality and at reasonable prices;

(ii) They are reasonably needed and will be used actually,
directly and exclusively for the above mentioned activities;

(iii) The approval of the Board of Investment (BOI) of the DTI for
the importation of such machinery, equipment, vehicle and
spare parts.

Provided, further, That the sale, transfer or disposition of such
machinery, equipment, vehicle and spare parts, without prior
approval of the (BOI), within five (5) years from the date of acquisition
shall be prohibited, otherwise, the LGU concerned, enterprise or
private entities and the vendee, transferee, or assignee shall be
solidarily liable to pay twice the amount of tax and duty exemption
given it.

(b) Tax Credit on Domestic Equipment - Within ten (10) years from the
effectivity of this Act, a tax credit equivalent to 50% of the value of the
national internal revenue taxes and customs duties that would have
been waived on the machinery, equipment, vehicle and spare parts,
had these items been imported shall be given to enterprises, private
entities, including NGOs, subject to the same conditions and
prohibition cited in the preceding paragraph.

(c) Tax and Duty Exemption of Donations, Legacies and Gift - All
legacies, gifts and donations to LGUs, enterprises or private entities,
including NGOs, for the support and maintenance of the program for
setting up of incinerators shall be exempt from all internal revenue
taxes and customs duties, and shall be deductible in full from the
gross income of the donor for income tax purposes.

(2) Non-Fiscal Incentives. - LGUs, enterprises or private entities
availing of tax incentives under this Act shall also be entitled to applicable
non-fiscal incentives provided for under E.O. 226, otherwise known as the
Omnibus Investments Code.

The Commission shall provide incentives to businesses and industries
that are engaged in the incineration of wastes and which are registered with
the Commission and have been issued ECCs in accordance with the
guidelines established by the Commission. Such incentives shall include
simplified procedures for the importation of equipment, spare parts, new
materials, and supplies, and for the export of processed products.


(3) Financial Assistance Program.-Government financial institutions
such as the Landbank of the Philippines (LBP), Government Service
Insurance System (GSIS), and such other government institutions providing
financial services shall, in accordance with and to the extent allowed by the
enabling provisions of their respective charters or applicable laws, accord
high priority to extend financial services to individuals, enterprises, or
private entities engaged in putting up incinerators.

(4) Extension of Grants to LGUs. - Provinces, cities and municipalities
incinerator facilities plans have been duly approved by the Commission or
who have been commended by the Commission for adopting innovative
waste-to-energy programs may be entitled to receive grants for the purpose
of developing their technical capacities toward actively participating in the
waste-to-energy program.

(5) Incentives to Host LGUs. - Local government units who host
common incinerator facilities shall be entitled to incentives as may be
deemed by the Commission.

Section 8. Lead Agency. The National Solid Waste Management
Commission (NSWMC) shall be the primary government agency responsible
for the implementation and enforcement of this Act. To carry out the
mandate of this Act, the Commission shall approve or deny the incinerator
plans of all LGUs within ten (10) days from its submission.

Section 9. Fines and Penalties - Whoever violates this Act or any rules
and regulations issued by the Commission pursuant to this Act or whoever
is found guilty by a competent court of justice of any of the offenses in the
preceding section shall be fined in the amount of not less than Five
thousand pesos (P5,000) nor more than Five hundred thousand pesos
(P500,000), exclusive of the value of the thing damaged or imprisonment for
not less than one (1) year but not more than six (6) years, or both, Provided,
finally, that the Commission may impose administrative fines and penalties
consistent with this Act.

Section 10. Implementing Rules and Regulations.- The National Solid
Waste Management Commission (NSWMC), in coordination with the
Department of Environment and Natural Resources, Department of Energy,
Department of the Interior and Local Government, Board of Investments,
Bureau of Internal Revenue, Department of Trade and Industry, the Bureau
of Customs, and other concerned agencies, shall promulgate the
implementing rules and regulations for this Act, within three (3) months
after the enactment of this Act.


Section 11. Report to Congress... The National Solid Waste
Management Commission (NSWMC) shall submit an annual report to the
President of the Philippines and to Congress on the status of the
incinerators in the country not later than March 30 of every year following
the approval of this Act, the progress of the incineration facilities and make
the necessary recommendations in areas where there is need for legislative
action.

Section 12. Joint Congressional Oversight Committee.- There is hereby
created a Joint Congressional Oversight Committee to monitor the
implementation of this Act. The committee shall be composed of five (5)
senators and five (5) representatives to be appointed by the Senate President
and the Speaker of the House of Representatives, respectively, the
oversight committee shall be co-chaired by a senator and a representative
designated by the Senate President and the Speaker of the House of
Representatives, respectively.

The mandate given to the Joint Congressional Oversight Committee
under this Act shall be without prejudice to the performance of the duties
and functions by the respective existing oversight committees of the Senate
and_ the House of Representatives.

Section 13. Separability Clause. — If any part or section of this Act is
declared unconstitutional, such declaration shall not affect the other parts
or sections of this Act.

Section 14. Repealing Clause. - All laws, presidential decrees,
executive orders, rules and regulations inconsistent with any provisions of
this Act shall be deemed repealed or modified accordingly.

Section 15. Effectivity Clause. - This Act shall take effect fifteen (15)
days after its complete publication in two (2) newspapers of general
circulation or in the Official Gazette.

Approved;