NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
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mlUcp of rijr ^srfret. rp
23 MAR 15 P2 50
SENATE
S.B. No. 2013
RECEIVED BV.
Introduced by SENATOR JOEL VILLANUEVA
AN ACT
ESTABLISHING THE NATIONAL FRAMEWORK FOR WATER 
RESOURCE MANAGEMENT AND CREATING THE DEPARTMENT OF 
WATER RESOURCES AND THE WATER REGULATORY 
COMMISSION, DEFINING THEIR MANDATES, POWERS AND 
FUNCTIONS, APPROPRIATING FUNDS THEREFOR AND FOR 
OTHER PURPOSES
EXPLANATORY NOTE
The Philippine Constitution provides that the State shall protect and promote 
the right to health of the people and instill health consciousness among them (Article 
2, Section 15). Meanwhile, the United Nations General Assembly explicitly recognized 
the right to safe and clean drinking water and sanitation as a human right that is 
essential for the full enjoyment of life and all human rights (Resolution 64/292, adopted 
on July 28, 2010).
Despite being an archipelagic country that is abundant with natural water 
resources, the Philippines is facing a water and sanitation crisis. According to the 
records of the UNICEF Joint Monitoring Programme for Water Supply, Sanitation and 
Hygiene and the World Health Organization, only 47.46% of the Philippine population 
had access to safely managed drinking water in 2020. Meanwhile, only 60.64% of the 
population had access to safely managed sanitation facilities during the same year.
While there are many laws and regulatory agencies on the preservation, 
management, and utilization of water, both law enforcement and agency cooperation 
are weak. A sole government body focusing on water resources and management will 
not only strengthen the implementation of water-related laws, but will do away with 
ineffective coordination among regulatory bodies.


This bill seeks to create the Department of Water Resources, a new 
government agency that will be primarily responsible for the formulation, 
recommendation, and implementation of national policies, plans, programs for a 
systematic and efficient water management, and ensure the availability of water for 
specific purposes in the country. More specifically, this bill mandates the Department 
to formulate and implement a National Water Resources Management Plan that 
adheres to an integrated water resources management framework, and includes a 
water infrastructure development program. In addition, this bill mandates the creation 
of a Water Regulatory Commission that shall absorb the regulatory functions of local 
water districts, the regulatory offices of the Metropolitan Waterworks and Sewerage 
System (MWSS), among others.
As one of the priority measures of President Marcos, the immediate passage 
of this bill is earnestly sought.
SENATOR JOEL VILLANUEVA


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
of Ujf frcinrjj
23 HARIS P2S0
SENATE
S. B. NO. 2013
Received bv.
Introduced by SENATOR JOEL VILLANUEVA
AN ACT
ESTABLISHING THE NATIONAL FRAMEWORK FOR WATER 
RESOURCE MANAGEMENT AND CREATING THE DEPARTMENT OF 
WATER RESOURCES AND THE WATER REGULATORY 
COMMISSION, DEFINING THEIR MANDATES, POWERS AND 
FUNCTIONS, APPROPRIATING FUNDS THEREFOR AND FOR 
OTHER PURPOSES
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Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
CHAPTER I
GENERAL PROVISIONS
SECTION 1. Short Title. - This Act shall be known as the “National Water Act.”
SEC. 2. Declaration of Policy. - Access to water is a basic human right. All 
water belongs to the State which shall govern its development and utilization 
for the people. It is hereby declared the policy of the State to ensure the 
provision of safe, adequate, affordable, and sustainable water supply and 
improved sanitation services, while maintaining the protection, preservation, 
and revival of the quality of the country’s water resources and ecological 
balance.
In pursuit of this policy, this Act shall have the principal objective of 
ensuring and accelerating universal access to water supply and sanitation 
services, in a regulatory regime that encourages responsible private sector 
participation, and shall foster and prioritize the establishment of infrastructure 
and public works that adopt innovative solutions and international best practices 
to address the challenges of climate change. Further, all water and water 
treatment infrastructure projects are hereby declared as projects imbued with


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national interest.
SEC. 3. Definition of Terms. - As used in this Act:
(a) Bulk water supplier refers to any entity, natural or juridical, whether 
public or private, supplying or intending to supply large quantities of raw or 
treated water to buyers who will use these for their own consumption, such as 
industrial companies, or for retail distribution to consumers, such as water 
service providers or real estate developers managing their own distribution 
network:
(b) Environmental services refer to qualitative functions of natural non- 
produced assets of land, water, and air, including related ecosystems, and their 
biota, and which may be categorized into three (3) basic types: (1) disposal 
services which reflect the functions of the natural environment as an absorptive 
sink for residuals; (2) productive services which reflect the economic functions 
of providing natural resource inputs and space for production and consumption; 
and (3) consumer or consumption services which provide for physiological as 
well as recreational and related needs of human beings;
(c) Flood Control refers to methods, acts, and protocols to be observed 
in order to prevent and reduce the detrimental and catastrophic effects of flood 
waters which include sediment-laden or turbid flows, and hyper-concentrated 
flows or debris flows;
(d) Flood Risk Management (FRM) refers to such acts of defining and 
determining the appropriate methods, acts, and protocols aimed at preventing 
and reducing the risk of incurring loss of both life and property due to flood 
waters. Flood risk management consists of a cycle of prevention, mitigation, 
adaptation, preparedness and early warning, and response and recovery. The 
elements of FRM include: integrating land-use planning, coastal zone 
management, and indigenous people’s rights into water management; adopting 
a holistic approach so that FRM is part of a wider risk or multi-hazard 
management of earthquakes, landslides, and storm surges; managing risk and 
uncertainty as a whole so it not only mitigates hydrological uncertainties but 
also social, economic and political uncertainties on account of human behavior 
and the cultural dimension of FRM;
(e) Gender Equality refers to the principle asserting the equality of men 
and women and their right to enjoy equal conditions realizing their full human 
potential to contribute to and benefit from the results of development, and with 
the State recognizing that all human beings are free and equal in dignity and 
rights;
(f) Infrastructure and public works refer only to wholly or primarily 
water-related projects and does not include projects that do not fall within the 
purview of the objectives, power and duties of the Department of Water 
Resources created under this Act;
(g) Integrated Water Resource Management (IWRM) refers to a


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systematic, collaborative, and multi-stakeholder process which promotes the 
coordinated development and management of water, land, and related 
resources within geophysical boundaries in order to maximize the resultant 
economic and social welfare in an equitable manner, and without compromising 
the sustainability of vital ecosystems:
(h) License refers to the Water Supply and/or Sanitation Services 
Operating License that the Water Regulatory Commission is authorized to grant 
and issue to service providers;
(i) Licensee refers to a service provider to whom a license is granted or 
issued by the Water Regulatory Commission;
(j) Missionary Water Services refer to water supply or services to areas 
that have no existing safe water supply and services due to geographic 
limitation or absence of economic and market viability:
(k) National Water Resources Management Plan (NWRMP) refers to a 
policy document that contains a framework to guide the development and 
management of all the water resources in the Philippines, the general 
strategies and work to be pursued to ensure the sustainability of the resource 
towards water security, and top level direction on the utilization of existing water 
resources in line with national development plans, policies, and programs, in 
accordance with the IWRM framework. The NWRMP shall also include a water 
infrastructure development program for all waters of the country as well as 
provide general guidance on how this shall be supported within an integrated 
financing framework that can draw from public, private, and international 
development funding sources;
(l) Net Waste Load refers to the difference of the initial waste load of the 
abstracted water and the waste load of the final effluent discharge of an 
industry:
(m) Regulatory Units refer to the offices established under Section 21 of 
this Act which issue licenses authorizing the operation of Water Supply and 
Sanitation Services, and provide, review, determine, fix, and approve water and 
sewerage tariffs, rates, and charges that licensees may impose;
(n) River basin refers to an area of land drained by a stream or body of 
fixed water and its tributaries which have a common outlet for surface run-off;
(o) River Basin Organization (RBO) refers to multi-stakeholder 
organizations which plan, coordinate, and monitor activities within a river basin 
cluster;
(p) Sanitation refers to the provision of facilities and services for the safe 
management of sewage and septage;
(q) Sediment management refers to control of sediment erosion and 
deposition in rivers, reservoirs, and coastal zones through non-structural and


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structural measures and control works;
(r) Sustainable Development Goals (SDGs) also known as the 17 
Global Goals refer to the universal call to action to end poverty, protect the 
planet and ensure that all people enjoy peace and prosperity by 2030 adopted 
by all United Nations Members States in 2015;
(s) Septage is the liquid and solid material pumped from a septic tank, 
cesspool, or other primary treatment source;
(t) Septage Management refers to the provision of proper collection, 
treatment, and disposal of septage;
(u) Service Area refers to the area covered by the water distribution 
system, sewerage, and/or septage management services;
(v) Service Provider refers to any entity, natural or juridical, whether 
private or public, providing or intending to provide water supply services, 
including bulk water suppliers, sewerage, septage treatment, and disposal 
services for domestic, residential, industrial, or commercial use;
(w) Sewage refers to water borne human or animal wastes, excluding oil 
or oil waste, removed from residences, buildings, institutions, and industrial and 
commercial establishments together with such groundwater, surface water and 
stormwaters as may be present including such waste from vessels, offshore 
structures, other receptacles intended to receive or retain waste or other places 
or the combination thereof;
(x) Sewerage refers to any system or network of pipelines, ditches, 
channels or conduits including pumping stations, lift stations and force mains, 
service connections including other infrastructure, devices, or appliances 
appurtenant thereto, which include the collection, transport, pumping and 
treatment of sewage to a point of disposal;
(y) Sewers refers to pipes or such other works or structures which are 
built and constructed to carry, transport, and dispose of sewage;
(z) 
Social inclusion refers to the process of improving the terms for 
marginalized and disadvantaged individuals, indigenous peoples, and similar 
groups to take part in society;
(aa) Tariffs refers to such amounts which may be charged by licensees 
for their water supply and sanitation services based on principles, standards, 
and guidelines established by the Water Regulatory Commission;
(bb) Water Demand Management (WDM) refers to any method, whether 
technical, economic, administrative, financial, or social that will accomplish one 
or more of the following:
(1) Reduce the quantity or quality of water required to accomplish a


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specific task;
(2) Adjust the nature of the task or the way it is undertaken so that it 
can be accomplished with less water or with lower quality water;
(3) Reduce the loss in quantity or quality of water as it flows from 
source, through use, to disposal;
(4) Shift the timing of use from peak to off-peak periods; and
(5) Increase the ability of the water system to continue to serve 
society during times when water is in short supply;
(cc) Water Districts refer to government-owned and controlled 
corporations organized under Presidential Decree No. 198, as amended, 
entitled “Declaring a National Policy Favoring Local Operation and Control of 
Water Systems; Authorizing the Formation of Local Water Districts and 
Providing for the Government and Administration of such Districts; Chartering 
a National Administration to Facilitate Improvement of Local Water Utilities; 
Granting said Administration such Powers as are Necessary to Optimize Public 
Service from Water Utility Operations, and For Other Purposes,” which are 
created primarily to acquire, install, operate, maintain, and improve water 
supply and distribution systems for domestic, industrial and municipal uses of 
residents and to provide, maintain and operate wastewater collection, treatment 
and disposal facilities within the boundaries of the district;
(dd) Water pollution refers to any alteration of the physical, chemical, 
biological, or radiological properties of a body of water resulting in the 
impairment of its purity or quality;
(ee) Water Resource refers to water under the ground or groundwater, 
water above the ground such as surface water, run-offs, floods, stormwater, 
and urban drainage, treated wastewater, water in the atmosphere or rain water, 
and the waters of the sea within the territorial jurisdiction of the Philippines;
(ff) Water resource allocation is the process of sharing the limited water 
resources between competing users. This consists of (i) determining water 
availability, and (ii) determining how the water should be shared between 
competing users. For the purposes of this Act, resource allocation shall also 
mean water resources allocation.
(gg) Water Resources Regions refer to the contiguous clusters of river 
basins which are grouped together according to the hydrological boundaries, 
physiographic features, and homogeneity in climate, whether or not they 
straddle different local government units (LGUs), for administrative purposes 
under the Department of Water Resources;
(hh) Water Service Provider (WSP) refers to the water district, any LGU- 
run water utility, Barangay Waterworks and Sanitation Association (BWSA), 
Rural Waterworks Sanitation Association (RWSA), cooperatives engaged in


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water service provision, and private sector entity that provides water supply 
services to any given area; and
(ii) Water supply service refers to any activity pertaining to the provision 
of water supply including bulk suppliers, suppliers to subdivisions, and other 
water service providers.
CHAPTER II
THE DEPARTMENT OF WATER RESOURCES
SEC. 4. The Department of Water Resources. - There is hereby created and 
established the Department of Water Resources, hereinafter referred to as the 
Department.
SEC. 5. Mandate of the Department - The Department shall be the primary 
agency responsible for the comprehensive and integrated identification and 
mapping of all water resources, planning, policy formulation, and management 
of the ownership, appropriation, utilization, exploitation, development and 
protection of water resources in the Philippines to ensure the optimal use 
thereof for domestic and municipal water supply, sanitation, irrigation, 
hydropower, industry, navigation, and recreation except fisheries or 
aquaculture. The Department shall also be the primary agency responsible for 
the planning and policy formulation towards the attainment of universal access 
to safe, adequate, affordable, and sustainable water supply, and improved 
sanitation services for all Filipinos. The Department shall be the primary 
national agency to enforce Presidential Decree No. 1067, othenA/ise known as 
“The Water Code of the Philippines”.
SEC. 6. Guiding Principies. - In the pursuit of its mandate, the Department 
shall be guided by the following key principles:
(a) The concept of good water governance for water security and 
sufficiency shall be adopted across all levels of governance by stakeholders 
such as the national government, local government, non-government 
organizations, private organizations, individuals, even global societal actors, 
and in various sectors such as water supply, irrigation, fisheries, hydropower, 
navigation, ecosystem services, flood management, climate change, and 
recreation. It shall entail publicly transparent, socially accountable, and multi­
stakeholder participatory water policy planning, management, and decision­
making processes:
(b) Access to safe water supply and improved sanitation is a human right 
that needs to be fulfilled and protected;
(c) Integrated Water Resource Management (IWRM) shall be adopted as 
the basic framework, which shall include an enabling environment that utilizes 
proper policies, legal instruments, and institutional frameworks for effective 
implementation, participatory and collaborative water policy and management 
decisions, and management instruments for efficient use of updated and


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accurate data, science-based decision support systems, proper information, 
education, communication (lEC) programs, assessment and allocation tools, or 
regulatory functions. It shall observe the mutual accountability mechanism 
among stakeholders at the national, regional, and global levels reinforcing 
multi-stakeholder decision-making following a framework with specific, 
measurable, attainable, relevant, and timely actions;
(d) Each river basin has its unique characteristics relating to the physical, 
socio-cultural, and other aspects; thus, water management shall be performed 
at river-basin level, involving all the stakeholders at that particular river basin;
(e) Integrated and accurate data collection and analysis and the use of 
scientific decision support systems shall be undertaken in water resources 
management including flood modeling and warning systems that are essential 
for an effective, efficient, and sustainable water resources management 
system;
(f) The development of water resources shall include strategies for the 
mitigation of water-related hazards and climate change adaptation;
(g) Water resources shall be fairly and sustainably managed, and water 
services shall be provided where they are intended and most needed; and
(h) The proper operation and maintenance of waterworks systems 
resulting in the uninterrupted and adequate supply and distribution of potable 
water for domestic and other purposes, and the proper operation and 
maintenance of sewerage systems which are essential services to public health 
and safety, shall be ensured at all times.
SEC. 7. Objectives of the Department. - The Department shall:
(a) Promote and adopt water demand management as a national policy to 
ensure that water is optimized, that water efficiency and conservation become 
a way of life, that the recycling and reuse of water and treated wastewater are 
widely practiced, that water is properly priced to encourage efficient use and 
conservation and that rainwater, flood waters, and run-offs are captured or 
harvested, stored and treated for future use;
(b) Prioritize and seek the immediate attainment of universal access to 
safe, adequate, affordable and sustainable water supply and improved 
sanitation services for all Filipinos in a manner consistent with the protection, 
preservation, and revival of the quality of the country’s water resources, and to 
adopt all needed measures to advance the right of the people to a balanced 
and healthful ecology in accord with the rhythm and harmony of nature;
(c) Strengthen and coordinate IWRM planning and policy making to 
ensure sustainable and fair allocation and efficient use of water resources 
among competing uses and users;
(d) Ensure that integrated water resources management is strongly


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coordinated with land use and coastal and multi-hazard planning and 
management;
(e) Develop sustainably, and manage water resources toward water 
security, taking into consideration water, land, and related resources aimed at 
increasing water dependability for different uses, optimizing economic benefits 
and social welfare without compromising the sustainability of vital 
environmental systems;
(f) Strengthen and coordinate policy making and planning towards 
ensuring the availability of water for food security and energy security, as well 
as towards the protection of communities and environments against flood and 
other water induced hazards including sediment hazards;
(g) Ensure that the strategy for water resources development and 
conservation is participatory, and that planners, policymakers, and other 
stakeholders, including water users, community members, indigenous and 
marginalized peoples, are involved at all levels;
(h) Develop a standardized pricing framework for water use that accounts 
for environmental externalities; and
(i) Ensure that all sources of water, including surface water, groundwater, 
rainwater, and floodwater are identified, mapped, monitored, conserved and 
managed for productive use and the resulting wastewater is managed properly, 
reused, and responsibly disposed of following approved environmental 
standards.
SEC. 8. Powers and Functions of the Department. - The Department shall 
have the following powers and functions:
I. Policymaking and Planning
(a) Ensure that IWRM is adopted as the strategic framework for water 
management policymaking and planning in the country and coordinate the 
implementation, promotion, revision and enhancement of IWRM plans;
(b) Formulate policies, strategies, and targets in coordination with other 
relevant entities to meet the goals and objectives for water supply and 
sanitation, water quality, irrigation, hydropower, flood control, stormwater 
utilization, and urban drainage. Such policies shall, among other guidelines, 
integrate the issues of water and sanitation, food security, energy, environment 
and flood control, and climate change;
(c) Formulate and develop policies to promote universal access to safe, 
adequate, affordable, and sustainable water supply, and improved sanitation 
services for all Filipinos;
(d) Prepare the NWRMP in consultation with other agencies and 
stakeholders, following the IWRM framework and integrating therein a national


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land use plan, submit the NWRMP to the National Economic and Development 
Authority (NEDA) Board for approval and eventual adoption, and regularly 
update, every five years or as deemed necessary by the Department, in order 
to ensure its relevance;
(e) Undertake river basin survey, inventory and appraisal of water and 
related resources, and develop comprehensive basin-wide plans of storage, 
retardation, and control to maximize conservation and multipurpose use of 
water in the basin;
(f) Conduct continuing hydrological and hydrometeorological surveys and 
studies of the country's renewable water supply, and establish, operate and 
maintain observation station networks;
(g) Formulate long-term policies to balance the sustainability and optimal 
multiple use of water resources, define the hydrologic boundaries of basins of 
the existing water supply sources, and develop and/or update existing River 
Basin Master or Comprehensive Plans, which shall include all aspects of water 
management and development, such as water supply and sanitation, irrigation, 
flood control and stormwater or urban drainage, drought risk management, 
water resource development systems and other public water works projects, 
including phasing of implementation;
(h) Identify, based on the river basin master plans, priority packages for 
water infrastructure development per river basin, including water supply, 
sanitation, irrigation, flood control and stormwater or urban drainage, drought 
risk management, water resource development systems and other public works 
projects;
(i) Evaluate and appraise all regional and inter-regional infrastructure 
water development plans and programs as to their feasibility and consistency 
with approved strategies and medium and long-term plans;
(j) Formulate policy, strategies, master plans and programs on flood risk 
management in the context of integrated flood management (IFM) which 
incorporates water, land, coastal zone and multi-hazard management. In 
integrating land use planning and water management, the Department shall 
harmonize and synthesize plans to enable the sharing of information between 
land-use planning and water management authorities. In this regard, a holistic 
approach shall be adopted by making the IFM a part of a wider risk or multi­
hazard management system that includes earthquakes, landslides, fires, 
tsunami, and other calamities of the same gravity or nature;
(k) Strengthen and coordinate policy making and planning for flood 
management, integrated with stormwater or urban drainage and appropriate 
retention or retarding basins in order to harvest and reuse water, and to plan 
against, prevent, and minimize the detrimental and catastrophic effects of 
flooding;
(l) Assist and provide the NEDA with the required data and input from the


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water sector in the formulation of the country’s short-term and long-term 
strategic development plans and actions, and recommend to the NEDA Board 
the adoption of general policies and guidelines for water resources 
development;
(m) Review, approve, and provide oversight over all water-related 
development plans and programs of any agency within the context of the 
NWRMP, and overall national plans and programs;
(n) Develop and implement, in coordination with other relevant agencies, 
effective codes, standards, benchmarks, and reasonable guidelines on project 
investigation, formulation and planning of water resources infrastructure, to 
ensure the safety of all public and private water structures in the country, and 
assure efficiency and proper quality in the construction of water, sanitation, 
irrigation, hydropower, flood control and drainage infrastructure;
(o) Ensure that gender equality, social inclusion, environmental protection, 
climate resiliency, disaster risk reduction, and indigenous knowledge systems 
and practices are integrated into any water resource management planning, 
policy making, and the design and construction of water infrastructure;
(p) Ensure that the planning of water infrastructure considers the highest 
efficiency and most appropriate technology and quality, in accordance with 
national development objectives;
(q) Review existing guidelines appropriate for private sector participation 
in the water sector and submit recommendations to the Public-Private 
Partnership (PPP) Center and other concerned agencies to promote and 
enable more PPPs in the sector;
(r) Gather, analyze, and organize needed statistical data and information; 
for those water-related data generated by other concerned agencies, establish, 
in coordination with these agencies, the guidelines, standards, methodologies, 
and protocols for data collection that will be officially recognized by the 
Department, and institute mechanisms for coordination with other agencies as 
regards their submission and certification of submitted water-related data to the 
Department;
(s) In case of gaps in data collection by other agencies, under item (r) 
above, the Department may be authorized to collect the said data in accordance 
with the established guidelines, standards, methodologies and protocols, and 
in coordination with the respective agencies, provided that both agencies 
ensure that duplication of roles in data collection is prevented, and where 
sensitive personal information is involved, the provisions of Republic Act No. 
10173 or the “Data Privacy Act of 2012” shall, at all times, be adhered to;
(t) Build a central repository of water data and effect inter-sectoral, inter­
agency, and inter-departmental coordination on all aspects of data gathering 
and management for water resources development planning and compel the 
submission of statistics and data on water utilization with the aim of
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operationalizing the integrated approach to water resources management;
(u) Ensure the effective implementation of the “Water Code of the 
Philippines;”
(v) Promote Philippine participation in information sharing and education 
on best practices in support of international efforts to achieve universal access 
to safe water and improved sanitation, and the integration of water, energy, 
environment, and food security;
(w) Ensure that the easements provided for in Title VII, Chapter 2, Section 
2 of Republic Act No. 386, otherwise known as the “Civil Code of the 
Philippines” and other relevant laws are enforced, especially in all the esteros 
and waterways, as well as abate the dumping of untreated wastewater and 
sewage into water bodies, including all acts and omissions in violation of 
Presidential Decree No. 984, otherwise known as the “National Pollution 
Control Decree of 1976,” as amended, and other related laws; and
(x) Issue and promulgate rules, regulations and guidelines as may be 
necessary to implement and enforce its powers and functions under this Act.
II. Resource Allocation and Regulation
(a) Manage and conserve the country’s water resources to ensure the 
optimal use thereof for domestic water supply, sanitation, irrigation, 
hydropower, navigation, flood control, and recreation purposes, and enhance 
and maintain water quality, conserve watersheds, control water pollution, and 
restore the environment, without compromising the natural ecosystem functions 
and services;
(b) Regulate and control the utilization, abstraction, diversion, and 
development of water resources, taking in consideration their equitable 
distribution among competing demands and determine the standards of 
beneficial and priority uses of water in times of crisis and national emergencies;
(c) Formulate, promulgate, and enforce rules and regulations for the 
development and optimum use of water resources and its administration and 
management, including coherent water protocols, operating rules of all existing 
and future water infrastructure; general criteria, methods and standards for 
basic data collection and project identification, formulation and planning, and 
appropriate sanctions to be imposed for non-compliance;
(d) Regularly review regulations prescribed by any government agency 
pertaining to water use, exploitation, development, and conservation or 
protection of waters, water resources, and watershed or basin areas with 
respect to this Act;
(e) Impose fees or charges, as may be deemed necessary for water 
resources conservation and protection, such as:
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(1) Polluter's Fee, which shall be based on the net waste load
depending on the wastewater charge formula pursuant to Republic Act
No. 9275, otherwise known as the “Clean Water Act of 2004;”
(2) Raw water price, which shall take into account, among others,
the scarcity of water; and
(3) Appropriate payment structures for environmental services;
(f) Deputize LCDs to collect the national fees or charges for resource 
regulation within their respective jurisdictions;
(g) Collect, regularly update, monitor, and analyze water resources data 
including climatology, hydrological and other water-related data and ensure that 
such data is easily accessible by relevant and authorized users;
(h) Establish, operate, and maintain observation station networks and a 
centralized water resources data center for the scientific survey and appraisal 
of surface and groundwater potentials of the country, and determine the annual 
renewable water available per water resources region;
(i) Maintain a database that will contain updated relevant information on 
water data which will be accessible to relevant and authorized users;
(j) Develop and continuously update a computerized decision support 
system that incorporates data management systems relating to acquisition and 
database, model base in terms of physical design, planning and decision 
models, and user-friendly interface concerning graphical and visualization 
tools;
(k) Conduct and promote special studies and research on water 
economics and other aspects of water resources development and 
management as may be needed to support the policy and plan proposals of the 
Department, such as, but not limited to, impacts of climate change, weather 
modification, flood monitoring and modeling, environmental quality, and 
desalination; and
(l) 
Raise public awareness through information, education, and 
communications programs, and build capacities for informed participation in 
water resources management at the national and river-basin level.
III. Institutional Arrangement with Public Water Agencies and Organizations
(a) Develop guidelines, including rules of partnership, between and 
among the Department, field offices of national government agencies, LGUs 
and other stakeholders in water resource management, and facilitate the 
establishment of multi-stakeholder river basin organizations (RBOs) per river 
basin, and strengthen and support existing RBOs and monitor their activities;
(b) Coordinate the planned and ongoing river basin initiatives of
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government agencies and Government-Owned and Controlled Corporations 
(GOCCs), to which the Department shall review and endorse approval and 
funding from the national budget, as may be provided under existing laws, rules 
and regulations;
(c) Harmonize all relevant national river basin policies and formulate new 
policies and create enabling policy environment that shall allow effective and 
efficient management and governance of the country’s river basins. To this end, 
all national government agencies, instrumentalities and GOCCs shall consult 
with the Department in such planning and implementation;
(d) Serve as the national policy coordination office for LGUs and non­
governmental organizations (NGOs) in the development and sustainability of 
all river and catchment basins;
(e) Serve as the government’s central river basin database management 
agency, to which all government agencies and existing river basin organizations 
with relevant mandates and developmental initiatives within the river basins are 
required to cooperate and regularly submit their updated databases for 
integration and consolidation;
(f) Develop materials for capacity building and training of prospective 
RBOs, as well as other concerned units of the Department and other water- 
related agencies, LGUs, and water service providers particularly in the areas of 
IWRM and river basin master planning;
(g) Authorize its representatives or any deputized agent to enter any 
property of public dominion and any private land, building or enclave, whether 
inhabited or not, for the purpose of conducting hydrologic surveys and 
investigations, including assessing and evaluating the conditions of water 
facilities installed, and determining compliance with water laws and standards;
(h) Provide technical assistance to water users including farmers, 
communities, and LGUs and other water service providers (WSP), whether 
directly or in coordination with other agencies on all aspects of IWRM;
(i) Respond to consumer complaints, and ensure the adequate promotion 
of consumer interests;
(j) Deputize agents, whether from the public or private sector, to assist in 
the performance of any of the powers and functions of the Department; and
(k) Appoint, hire, and maintain adequate staff and personnel, advisers or 
consultants with suitable qualifications and experience, as necessary, subject 
to existing rules and regulations.
IV. Coordination
(a) Coordinate and integrate water resources development activities of the 
country within the context of national plans and policies for social and economic
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development;
(b) Coordinate with other government agencies, universities, academe 
and private professional groups in all aspects of data gathering, the conduct of 
special studies and research on all related aspects of water resources 
management and development, such as climate change, environmental quality, 
desalination, and the development of operating strategies, procedures, and 
protocols and accompanying computerized decision tools for major water 
facilities;
(c) Coordinate with the concerned agencies engaged in flood control, flood 
risk management, and drought risk management; and
(d) Coordinate proactively with LGUs to ensure the integration of water 
resources development plans into their comprehensive land use plans 
(CLUPs), Comprehensive Development Plans (CDPs) or Provincial Physical 
Framework and Development Plan (PPFDP).
V. Other Functions
(a) 
Create, when necessary, water resource subsidiaries, 
instrumentalities, and entities to engage in water transmission, water 
distribution, waste water treatment and management, and sanitation in 
accordance with existing laws;
(b) Enter into contracts, joint venture agreements or understanding, 
public-private partnerships, and memorandum of agreements or 
understanding, either domestic or foreign, relating to investment and financing 
water-related projects, under such terms and conditions as the Department may 
deem proper and reasonable subject to existing laws; and
(c) Exercise such other powers and functions necessary or incidental to 
the effective administration and management of the country’s water resources.
SEC. 9. Composition. - The Department shall be composed of the Office of 
the Secretary, and the various bureaus, services and regional offices. The 
Office of the Secretary shall be composed of the Office of the Department 
Secretary, the Offices of the Undersecretaries, the Offices of the Assistant 
Secretaries, and their immediate support staff.
SEC. 10. Secretary of the Department of Water Resources. - The authority 
and responsibility for the exercise of the mandate of the Department and for the 
discharge of its powers and functions shall be vested in the Secretary of the 
Department, who shall:
(a) Submit to the NEDA Board the Department’s recommendations on 
policies on water resources requiring Presidential decision, and advise the 
President on the promulgation of executive or administrative orders, 
regulations, proclamations and other issuances relative to matters under the 
jurisdiction of the Department;
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(b) Establish the policies and standards for the operation of the 
Department pursuant to the President’s guidelines;
(c) Advise the President on the status of water management and supply, 
recommend to the President the declaration of a state calamity in areas affected 
by water supply, and submit proposals to restore normalcy in the affected 
areas;
(d) Promulgate rules and regulations necessary to carry out the objectives, 
policies, and functions of the Department;
(e) Exercise supervision and control over all bureaus and offices under 
the Department;
law;
(f) Supervise all attached agencies and corporations in accordance with
(g) Represent the Department in contracts, awards, and other similar 
agreements;
(h) Delegate authority for the performance of any power or function, as 
defined herein to officials and employees under his/her direction as deemed 
appropriate;
(i) Act as the Chairperson of the governing board of the attached agencies 
of the Department;
(j) Designate and appoint officers and employees of the Department, 
excluding the Undersecretaries, Assistant Secretaries, and Regional and 
Assistant Regional Directors, in accordance with civil service laws, rules and 
regulations; and
(k) Perform such other duties and responsibilities as may be provided by
law.
The Secretary shall also serve as a voting member of the National 
Economic and Development Authority (NEDA) Board, the Governing Boards of 
the Climate Change Commission (CCC), the National Disaster Risk Reduction 
and Management Council (NDRRMC), and the National Land Use Committee 
(NLUC).
SEC. 11. Undersecretaries and Assistant Secretaries. - The Secretary shall 
be assisted by not more than three (3) Undersecretaries and three (3) Assistant 
Secretaries, all of which shall be appointed by the President upon the 
recommendation of the Secretary: Provided, that at least one (1) 
Undersecretary and one (1) Assistant Secretary shall be career officers.
The Secretary shall be authorized to delineate and assign the respective 
functional areas of responsibility of the Undersecretaries and Assistant
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Secretaries in accordance with the mandate and objectives of the Department. 
Within their respective functional areas of responsibility, the Undersecretaries 
and Assistant Secretaries shall have the powers and functions as provided for 
in Chapter 2, Book IV of the Administrative Code of 1987.
SEC. 12. Qualifications and Appointment - No person shall be appointed 
Secretary, Undersecretary, and Assistant Secretary of the Department unless 
the person is a citizen and resident of the Philippines, of good moral character, 
of proven integrity, competence, and expertise in water resource management.
SEC. 13. Department Bureaus, Services, and Regional Offices. - The
Department shall establish, operate, and maintain the Bureaus and Services 
under it such as, but not limited to:
(a) Policy and Planning Bureau;
(b) Decision Support System Bureau;
(c) Bureau of Technical Services;
(d) Legal and Legislative Research Service;
(e) Internal Audit Service;
(f) Public Affairs Service;
(g) Administrative and Human Resources Service; and
(h) Comptrollership and Financial Management Service.
A Water Resources Regional Office (WRRO) shall be organized per water 
resources region and shall be responsible for implementing the mandates, 
powers, and duties of the Department at the field level, except for policymaking 
which will be vested solely in the Department.
The Bureaus, Services and Regional Offices shall each be headed by a 
Director, who shall be responsible for the efficient and effective discharge of the 
functions of the Bureau, Service, or Office concerned. The Bureau Director and 
Regional Director shall be assisted by one (1) Assistant Director.
The Department shall retain existing Project Management Offices as may 
be required, which shall be under the supervision and control of the appropriate 
Water Resources Regional Office unless otherwise determined by the 
Secretary for reasons of supra-regional scope, magnitude and multi-functional 
coverage.
SEC. 14. Attached Agencies. - The following agencies shall be attached to 
the Department for purposes of policy and program coordination, monitoring, 
and evaluation:
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(a) The Local Water Utilities Administration (LWUA), whose mandate, 
powers, and functions are defined in Presidential Decree No. 198, otherwise 
known as the “Public Water Utilities Act of 1973,” as amended, shall be 
transferred from the Department of Public Works and Highways (DPWH) and 
attached to the Department. It shall continue to function as a specialized lending 
institution for the promotion, development, and financing of local water utilities: 
Provided, that its economic regulatory functions over local water districts shall 
be fully absorbed by the Water Regulatory Commission created under this Act. 
In the implementation of its functions, the LWUA shall:
(1) prescribe minimum standards and regulations in order to assure 
acceptable standards of construction materials and supplies, 
maintenance, operation, personnel training, accounting, and fiscal 
practices for local water utilities;
(2) furnish technical assistance and personnel training programs for 
local water utilities;
(3) monitor and evaluate local water standards; and
(4) effect system integration, joint investment and operation, district 
annexation and de-annexation whenever economically warranted, in 
accordance with Section 49 of the Public Water Utilities Act of 1973, as 
amended by Section 22 of Presidential Decree No. 768;
(b) The Metropolitan Waterworks and Sewerage System (MWSS), whose 
mandate, powers, and functions are defined under Republic Act No. 6234, as 
amended, otherwise known as “An Act Creating the Metropolitan Waterworks 
and Sewerage System and Dissolving the National Waterworks and Sewerage 
Authority; and For Other Purposes,” shall be transferred from the DPWH and 
attached to the Department: Provided, That the MWSS shall continue to 
facilitate the exercise by the concessionaires of their responsibility; carry out 
accounting and notification functions; monitor, report and administer loans; 
perform related functions in connection with existing projects; manage, operate, 
and dispose its retained assets: Provided further, that its regulatory arm, the 
MWSS-Regulatory Office, shall be absorbed by the Water Regulatory 
Commission created under this Act;
(c) The National Irrigation Administration (NIA), whose mandate, powers, 
and functions are defined under Republic Act No. 3601, otherwise known as 
“An Act Granting the National Irrigation Administration,” as amended by 
Presidential Decree No. 552 and Presidential Decree No. 1702; and
(d) The Laguna Lake Development Authority (LLDA), whose mandate, 
powers and functions are defined under Republic Act No. 4850, as amended, 
otherwise known as “An Act Creating the Laguna Lake Development Authority, 
Prescribing Its Powers, Functions and Duties, Providing Funds Therefor, and 
For Other Purposes,” shall be transferred from the DENR and attached to the 
Department. The LLDA shall continue to serve as the lake management and 
development authority similar to a multi-stakeholder river basin organization
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and shall ensure the implementation of the Laguna Lake Master Plan which 
shall be updated by the Department to ensure alignment with the NWRMP.
The Secretary shall be the Chairperson of the Governing Boards of the 
foregoing GOCCs attached to the Department. In all cases, the Secretary shall 
serve as Co-Chairperson of these GOCCs.
Any other agency performing water resources management, conservation 
and protection functions may be transferred to the Department as the President 
deems necessary.
SEC. 15. Offices, Functions and Personnei to be Compietely Subsumed 
under the Department. - The following offices with their powers, functions, 
personnel, applicable funds and appropriations, records, equipment, and 
property shall be subsumed under the Department:
(a) The National Water Resources Board (NWRB) with its divisions and 
sections, whose mandate, powers and functions are provided in Presidential 
Decree No. 424 creating the National Water Resources Council, now NWRB, 
as amended; Provided, that its water utility regulation units and functions vested 
under Commonwealth Act No. 146, otherwise known as the “Public Service 
Act,” as amended, shall be absorbed by the Water Regulatory Commission 
created under this Act; Provided further, that its resource allocation/regulation 
units vested under the Water Code of the Philippines, shall be absorbed by the 
National Water Resources Allocation Board and the Resource Allocation Office, 
also created under this Act;
(b) The River Basin Control Office (RBCO) of the DENR whose mandate, 
powers and functions are provided in Executive Order No. 510, series of 2006 
entitled “Creating the River Basin Control Office,” and Executive Order No. 816, 
series of 2009, as amended, entitled “Declaring the River Basin Control Office 
under the Department of Environment and Natural Resources as the Lead 
Government Agency for the Integrated Planning, Management, Rehabilitation 
and Development of the Country’s River Basins;” Provided, that its function 
pertaining to watershed reforestation activities shall be transferred to the DENR 
- Forest Management Bureau, provided that the targeting of priority watershed 
areas shall be coordinated with the Department;
(c) The Manila Bay Coordinating Office (MBCO) of the DENR which was 
strengthened by virtue of DENR Administrative Order (DAO) No. 2011-01 
entitled “Strengthening the Manila Bay Coordinating Office” to coordinate the 
efforts of the fourteen (14) national agencies covered by the Mandamus Order 
of the Supreme Court to rehabilitate Manila Bay; and
(d) The Water Supply and Sanitation Unit of the Department of the Interior 
and Local Government (DILG).
SEC. 16. Functions to be Transferred to the Department - The following 
functions of the respective agencies, bureaus, and units shall be transferred to 
the Department:
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(a) 
The planning, programming, administration, monitoring, and 
management of the National Sewerage and Septage Management Program 
(NSSMP) by the DPWH; and
(b) The following functions of the dissolved Pasig River Rehabilitation 
Commission and transferred to the Manila Bay Task Force per Executive Order 
No. 93 series of 2019, entitled “Disestablishment of the Pasig River 
Rehabilitation Commission:”
(1) 
Updating and leading in the overall implementation of the Pasig 
River Rehabilitation Master Plan; and
(2) 
Ensuring that the easements provided for in the Civil Code and 
other relevant laws are enforced, especially in all the esteros and 
waterways, as well as abate the dumping of untreated wastewater and 
sewage into water systems, including all acts and omissions in violation 
of Presidential Decree No. 984, otherwise known as the “National 
Pollution Control Decree of 1976,” as amended, and other related laws.
CHAPTER III
INTERDEPARTMENTAL RELATIONS AND 
INSTITUTIONAL ARRANGEMENTS OF THE DEPARTMENT
SEC. 17. Interface and Institutional Arrangements with Other Agencies. -
(a) The DOH shall continue to have primary authority and responsibility 
for setting and enforcing drinking water quality standards. The Department 
shall coordinate with the DOH in this aspect, and shall ensure consistency of 
standards and targets, as well as the compliance of permittees with mandated 
standards;
(b) The DENR shall continue to have primary authority and responsibility 
for protecting the environment and managing the country’s watersheds. The 
Pollution Adjudication Board (PAB) shall remain to have jurisdiction with respect 
to adjudication of pollution cases based on exceedance of the DENR Effluent 
Standards and other acts prohibited under Section 27 of Republic Act No. 9275, 
otherwise known as the "Clean Water Act of 2004.” The Department shall also 
coordinate with the DENR regarding the establishment of protocols for the 
management of all water-related data being collected by the DENR;
(c) The Department of Energy (DOE) and the National Power Corporation 
(NPC) shall continue to have primary authority and responsibility for 
establishing and operating hydropower plants, but shall ensure that hydropower 
plant development plans are consistent with the National Water Development 
and Management Plan;
(d) The Department shall coordinate with the Department of Agriculture 
(DA) to ensure agricultural development that reduces long-term pollution for
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surface water and groundwater, and agricultural and industrial economic 
development that employs water efficiency, water recycling or reuse, and the 
appropriate treatment of wastewater. The Department shall also coordinate 
with the DA and its Bureau of Soils and Water Management (BSWM) regarding 
the establishment of protocols for management of all water-related data 
collected by the DA, as well as the outputs of research and studies by the 
BSWM which may serve as input to the Department’s policy formulation;
(e) The Department shall coordinate with the National Disaster Risk 
Reduction Management Council (NDRRMC) to ensure that its plans and 
designs for flood control, flood risk management, and drought risk management 
are aligned with the objectives and plans of the Department;
(f) 
The Department shall coordinate with the Climate Change 
Commission (CCC), Philippine Atmospheric, Geophysical and Astronomical 
Services Administration (PAGASA), and National Mapping and Resource 
Information Authority (NAMRIA) for scientific studies, integrated surveys, 
mapping, charting, and decision support systems;
(g) The Department shall coordinate with the Department of Tourism 
(DOT) on recreational use of water resources;
(h) The Department shall coordinate with the Philippine Reclamation 
Authority (PRA), Tourism Infrastructure and Enterprise Zone Authority (TIEZA), 
and economic zone authorities on water resources development and water 
requirements within reclamation areas, tourism development areas, and 
economic zones, respectively;
(i) The Department shall coordinate with the Bangsamoro Autonomous 
Region in Muslim Mindanao (BARMM), specifically its Economic and 
Development Council (BEDC), Disaster Risk Reduction and Management 
Council (BDRRMC), and Ministry of Environment, Natural Resources and 
Energy, regarding the preparation of master plans of river basins that overlap 
with the inland waters within the BARMM’s jurisdiction, and ensure the 
alignment of these plans with the NWRMP and the Bangsamoro Development 
Plan and other related regional plans of BARMM;
(j) The Department shall coordinate with DPWH as regards the 
construction of water projects within the purview of DPWH. The Department 
shall also coordinate with the DPWH regarding the establishment of protocols 
for management of all water-related data being collected by the DPWH and its 
Bureaus;
(k) The Department shall coordinate with LGUs that own specific areas 
where raw water will be sourced, as regards the implementation of Section 38 
of this Act, specifically on the sharing of the total income generated from raw 
water pricing;
(l) The Department shall coordinate with the Department of Human 
Settlements and Urban Development (DHSUD) in planning, monitoring and
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enforcing integrated land use and water resources management in the 
Comprehensive Land Use Development Plans and Zoning Ordinances of the 
LGUs to ensure, among others, the protection of water sources and that water 
availability is considered in proposed land use development plans and projects; 
and
(m) The Department shall coordinate with relevant government agencies, 
including LGUs, with respect to development projects and shall ensure cross­
cutting collaboration between and among all water subsectors and facilitate 
inter-agency subsector coordination, strategic development, planning, 
monitoring, and provision of technical, institutional, and financial capacity 
building support to their different stakeholders at the water subsector level.
CHAPTER IV
NATIONAL WATER RESOURCES ALLOCATION BOARD 
AND THE RESOURCE ALLOCATION OFFICE
SEC. 18. Reconstitution of the Nationai Water Resources Board (NWRB) 
as the Nationai Water Resources Aiiocation Board (NWRAB). - The NWRB 
is hereby reconstituted and shall henceforth be known as the National Water 
Resources Allocation Board, hereafter called the “Board.” The water resources 
allocation and regulation function of the NWRB is hereby transferred to the 
Board. The Board shall supervise and regulate the effective appropriation and 
regulation of the water resources in the country in accordance with the “Water 
Code of the Philippines.”
The Board shall be composed of the Secretary of the Department as the 
Chairperson, with the Secretary of the DENR as the Vice-Chairperson, and the 
Secretaries of NEDA, Department of Justice (DOJ), Department of Science and 
Technology (DOST), and the University of the Philippines - National Hydraulic 
Research Center (UP-NHRC) as members.
SEC. 19. Functions of the Board. - The Board shall perform the following 
functions:
(a) Promulgate, among others, rules and regulations for the exploitation 
and optimum utilization of water resources, in accordance with the Water Code 
of the Philippines and other existing laws, including the imposition on water 
appropriators of such fees or charges as may be deemed necessary;
(b) Approve the guidelines and processes pertaining to water regulation, 
as recommended by the Secretariat;
(c) Decide on requests for permits to extract and/or utilize the country’s 
water resources upon recommendation of the Secretariat;
(d) Exercise appellate jurisdiction over decisions in cases over the 
following:
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(1) violations and disputes relating to the appropriation, utilization,
exploitation, development, control, conservation, and protection of waters;
(2) violations and disputes on raw water fees; and
(3) violations and disputes involving water permits, administrative
allocation of water resources and transfer of water rights;
(e) Issue subpoena duces tecum and subpoena ad testificandum]
(f) Cite any person or party in contempt for refusal to appear, testify or 
comply with the lawful orders of the Board in relation to any matter subject to 
its investigation;
(g) Hear, receive evidence, and decide on cases falling within its 
jurisdiction;
(h) Impose the appropriate sanctions over violations of relevant laws, rules 
and regulations;
(i) Review, update, and revise all fees, charges, and penalties imposed on 
all water appropriators as stated under Chapter VII and VIII of the Water Code 
of the Philippines, upon recommendation by the Secretariat, and based on 
scientific and evidence-based studies;
(j) Delegate specific tasks vested on the Board that may be undertaken by 
the Executive Director, as may be necessary;
(k) Deputize the Water Resources Regional Offices to perform the 
Secretariat’s powers and functions in the processing and issuance of water 
permit applications, and investigation of violations of water rights. The 
Secretariat and the Regional Offices shall establish protocols for the delineation 
of functions for the Board’s approval;
(l) Promulgate its own rules and procedures; and
(m) Exercise such other powers as may be necessary to carry out its 
duties and responsibilities under this Act.
No injunction may be issued by any court to restrain any proceeding 
before the Board except on the basis of a question of law by the Supreme Court 
on certiorari.
Every order or decision rendered by the Board shall be in writing and shall 
state clearly and distinctly the facts and the law on which it is based. The Board 
shall decide each case or application within thirty (30) days following its formal 
submission for resolution. It shall publish and make available for public 
inspection all decisions and final orders including those in the adjudication of 
contested cases or applications.
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SEC. 20. Resource Allocation Office. - There is hereby created a Resource 
Allocation Office which shall be attached to the Department. It shall serve as 
Secretariat to the Board and shall exercise the following functions in order to 
provide technical support to the Board towards the effective regulation of the 
country’s water resources:
(a) Advise the Board on all matters relating to resource allocation and 
regulation:
(b) Formulate rules and regulation for the exploitation and optimum 
utilization of surface water, groundwater, and seawater extraction and use, for 
the approval of the Board, and for implementation of the Resource Allocation 
Office and/or the Water Resources Regional Offices, as may be delegated by 
the Board, including the processes for the application of water permits, in 
accordance with the Water Code of the Philippines and other existing laws;
(c) Process applications of rights to utilize water resources for the 
appropriate, optimal and sustainable use of surface and ground water, for the 
approval of the Board or its Executive Director, as may be delegated by the 
Board;
(d) Upon approval by the Board, issue water permits granted to water 
appropriators;
(e) Monitor performance of water rights grantees including, among others, 
ensuring that water utilization is in accordance with the terms of the permits 
granted to them;
(f) Investigate, motu proprio, violations of the water rights and the Water 
Code;
(g) In case of violations and conflicts between and among users, file the 
necessary cases for the decision of the Board;
(h) Enforce the decisions promulgated by the Board, and as may be 
delegated by the Board;
(i) Coordinate with other relevant units of the Department regarding the 
generation, updating, managing, and sharing of water data relevant to the 
performance of functions of each unit;
(j) Respond to consumer complaints, and ensure the adequate promotion 
of consumer interests;
(k) Perform such other related functions and activities which are 
necessary for the effective regulation of water-related services.
The Office shall be headed by an Executive Director which shall have the 
rank of an Undersecretary, and shall be assisted by one (1) Deputy Executive 
Director which shall have the rank of an Assistant Secretary.
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CHAPTER V
WATER REGULATORY COMMISSION
SEC. 21. Water Regulatory Commission. - There is hereby created and 
established an independent, quasi-judicial regulatory body to be known as the 
Water Regulatory Commission, hereinafter referred to as the Commission. The 
Commission shall be organized within one hundred eighty (180) days after the 
effectivity of this Act, and shall have a Board of Commissioners vested with 
powers and functions as provided under this Act.
SEC. 22. The Regulatory Units. - The regulatory units of the Commission 
shall be composed of the central regulatory unit and the regional regulatory 
units. The economic regulatory units and functions of the MWSS, NWRB, 
LWUA, Subic Bay Metropolitan Authority (SBMA), Philippine Economic Zone 
Authority (PEZA), and TIEZA are hereby transferred to the Commission, and 
shall collectively comprise its central regulatory unit for water supply and 
sanitation services that: (a) provide services to more than one province; and (b) 
are owned, operated and/or maintained by special economic zones and Metro 
Manila concessionaires. The regional regulatory units shall be established by 
the Commission in accordance with this Act and the rules, regulations, 
guidelines, and standards that the Commission shall issue.
SEC. 23. Powers and Functions of the Commission. - The overall authority 
and powers of the Commission shall cover and apply to all service providers, 
whether private or public, providing or intending to provide water supply, 
including suppliers to subdivisions and/or other service providers, sewerage, 
and/or septage treatment and disposal services for domestic, residential, 
institutional, industrial, or commercial use.
The Commission shall exercise the following powers and functions:
(a) Issue and promulgate rules, regulations and guidelines as may be 
necessary to implement and enforce its powers and functions under this Act;
(b) Promulgate and enforce just and reasonable technical standards, 
classifications, and measurements of service;
(c) Establish rules and regulations to monitor, avoid, and provide remedies 
for any market power abuse or anti-competitive or discriminatory act or behavior 
by or against any participant in the water supply and sanitation sector. Upon 
finding that a market participant has engaged in, or has fallen victim to such act 
or behavior, the Commission shall act to stop or redress the same. Such 
remedies may, without limitation, include the imposition of price controls, 
issuance of injunctions, requirement of divestment or disgorgement of excess 
profits, invalidation of contracts and imposition of fines and penalties pursuant 
to this Act;
(d) Adopt and require that books, records, and accounts be kept and
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maintained in accordance with the prescribed uniform accounting system;
(e) Fix and determine proper and adequate rates of depreciation of 
properties and equipment used in water supply and sanitation services;
(f) Impose and collect annual levies and reasonable fees and surcharges 
as may be necessary for achieving the purposes, powers, and functions of the 
Commission;
(g) Require the submission reports of finances and operations, verified 
under oath by the owner and/or president and secretary of the board of the 
licensee;
(h) Determine and require the monitoring and submission of such data, 
statistics, and other information from the regulatory units and any or all 
licensees as may be necessary for the effective and efficient exercise of its 
duties, functions, powers, and responsibilities;
(i) Investigate, motu propio or upon a written complaint, any matter 
concerning the operation of the service and violations of Sections 27, 28 and 
29 of this Act;
(j) Impose penalties and fines against any licensee or against its owners, 
directors, officers, agents, or representatives for any violation of this Act or of 
the license, order, rule, regulation, or requirement issued by the Commission;
(k) Require any licensee to pay the actual expenses incurred by the 
Commission in any investigation if it shall be found that a licensee violated any 
provision of this Act or any conditions or requirements of the license, order, rule 
regulation or requirement issued by the Commission;
(l) Advise, apprise, and coordinate with other relevant agencies of the 
national or local government on any matter relating to water supply and 
sanitation services;
(m) Deputize agents, whether from the public or private sector, to assist 
in the performance of any of the powers and functions of the Commission;
(n) Appoint an interim or temporary management committee upon appeal 
and after due hearing, to ensure continuity of service in case a licensee fails to 
meet conditions of the license and the concerned Regulatory Unit fails or 
refuses to appoint an interim management committee as provided in this Act;
(o) Appoint, hire and maintain adequate staff and personnel, advisers, or 
consultants with suitable qualifications and experience, as necessary;
(p) Exercise original and exclusive jurisdiction over all cases contesting 
rates, fees, fines and penalties imposed by the regulatory units in the exercise 
of their powers, functions and responsibilities, as provided under this Act, and 
over all cases involving disputes between and among participants or
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stakeholders in the water supply and sanitation services; and
(q) Such other incidental powers and functions as may be necessary to 
attain the objectives of this Act.
SEC. 24. Powers and Functions of the Regulatory Units. - The regulatory 
units of the Commission shall have the following powers and functions:
(a) Issue licenses authorizing the operation of water supply and sanitation 
services in any specified area or areas within the Philippines;
(b) Impose fines, charges, and other penalties upon any provider and/or 
its officers and stockholders who shall fail or refuse to register or obtain a 
license prior to operation or commencement of business as provided under this 
Act;
(c) Review, determine, fix, and approve, consistent with the rules, 
guidelines, procedures, and methodologies which the Commission shall 
promulgate, proposed water and sewerage and septage management tariffs, 
rates, and charges that licensees may impose upon their consumers;
(d) Appraise and value property and equipment used by licensees in 
providing water supply and sanitation services;
(e) Enforce technical, financial, and other performance standards set by 
the Commission for licensees or utilities;
(f) Respond to consumer complaints and ensure the adequate promotion 
of consumer interests and investigate motu proprio violations of Sections 27, 
28 and 29 of this Act;
(g) Investigate accidents directly or indirectly arising from or connected 
with the maintenance or operation of the service, and make such order or 
recommendation as the public interest may warrant;
(h) Require the review and/or approval of contracts or agreements that 
may impact on the tariff and rates of service provision entered into by service 
providers upon petition or motu proprio if public interest warrants;
(i) Require the submission of reports, plans, and other documents that 
define the performance targets of the licensees or utilities, and regular 
accomplishment reports;
(j) Impose and collect annual levies and reasonable fees and surcharges 
as may be necessary for achieving the purposes, powers, and functions of the 
regulator;
(k) Conduct benchmarking and monitor the performance of licensees or 
utilities under their jurisdiction, and publish reports detailing the results thereof, 
as may be necessary or required by the Commission;
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(l) Amend, modify, suspend, or revoke any license issued by them, after 
due notice and hearing, on any of the following grounds: (1) when the facts and 
circumstances on the strength of which the license was issued have been 
materially misrepresented or have materially changed; (2) where the licensee 
has failed to meet or comply with the terms, conditions, and performance 
targets, including, but not limited to, service expansion, that may have been set 
in the license; (3) where the licensee is found to be manifestly inefficient in the 
operation or provision of water supply and sanitation services in its area; or (4) 
when the licensee has violated or willfully refused to comply with any order, 
rule, or regulation of the Commission or any provision of this Act;
(m) Appoint an interim management committee to ensure continuity of 
service in case a licensee fails to meet the conditions of the license; and
(n) Submit performance plans and reports as required by the Commission.
SEC. 25. Composition of the Water Regulatory Commission. -
(a) The Commission shall be a collegial body with five (5) full-time 
members consisting of a Chairperson and four (4) members, who shall all be 
appointed by the President of the Philippines. All members of the Commission 
must be citizens and residents of the Philippines, at least thirty five (35) years 
of age, and of good moral character, of recognized integrity and competence in 
the field of law, business, commerce, finance, accounting or public 
administration, water or utility economics, management, physical or 
engineering services, hydrology and other related services, with at least three 
(3) years of actual and distinguished experience in their respective fields of 
expertise: Provided, That out of the four (4) members of the Commission, at 
least one (1) shall be a member of the Philippine Bar with at least ten (10) years 
of experience in the active practice of law, at least one (1) shall be a certified 
public accountant with at least ten (10) years of experience in active practice, 
and at least one (1) shall be a licensed engineer with experience in the water 
sector.
(b) The term of office of each member of the Commission shall be seven 
(7) years: Provided, That among the members first appointed, the Chairperson 
shall serve for a period of seven (7) years, two (2) members shall serve for five 
(5) years and the other two (2) members shall serve for three (3) years: 
Provided further. That any member whose term has expired as specified herein 
shall serve as such until a successor shall have been appointed and qualified: 
Provided furthermore, That any appointment to fill a vacancy in the Commission 
arising from death, removal, retirement or resignation shall be made only for 
the unexpired term: Provided, finaily. That in no case shall any member serve 
for more than seven (7) years in the Commission.
(c) The Commission shall meet as often as may be necessary on such 
day or days as the Chairperson may fix. The presence of at least three (3) 
members of the Commission shall constitute a quorum, which shall be 
necessary for the transaction of any business. The affirmative vote of majority
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of the members of the Commission where a quorum is present shall be 
necessary for the adoption of any order, resolution, decisions, or other act of 
the Commission in the exercise of its quasi-judicial functions: Provided, That in 
promulgating rules, regulations, guidelines and in exercising its quasi­
legislative functions, an affirmative vote of three (3) members shall be required.
(d) The Chairperson of the Commission shall exercise general executive 
control and supervision over the Commission and its members, staff and 
personnel, agents, and representatives. Within three (3) months from the 
creation of the Commission and the appointment of all Members of the 
Commission, the Chairperson shall determine and establish the organizational 
structure and plantilla positions necessary to carry out the powers and functions 
of the Commission, including those of the central and provincial regulatory 
units, subject to the review and approval of the Department of Budget and 
Management (DBM). The plantilla positions of the Commission shall be filled 
by regular appointments in accordance with Civil Service laws, rules, and 
regulations. Members of the Commission shall not be suspended or removed 
from office except for just cause as specified by law.
(e) The Chairperson and members of the Commission or any of their 
relatives within the fourth civil degree of consanguinity or affinity, legitimate or 
common law, shall be prohibited from holding any interest whatsoever, either 
as investor, stockholder, officer or director, in any company or entity engaged 
in provision of water supply and distribution, septage management and 
sewerage services and must, therefore, divest through sale or legal disposition 
of any and all interests in the water sector upon assumption of office.
SEC. 26. Secretariat of the Commission. - The Commission shall establish 
a Secretariat which shall provide the Commission with technical and support 
services including the following:
(a) Provide the necessary technical inputs and secretariat support to the 
Commission to facilitate the conduct of its functions;
(b) Coordinate with the Regulatory Units to ensure the proper 
implementation of the rules, regulations, and guidelines promulgated by the 
Commission;
(c) Monitor and assess activities of the Regulatory Units vis-a-vis their 
respective annual performance plans and targets;
(d) Maintain a database on the water supply and sanitation subsector; and
(e) Coordinate with other relevant agencies of the national or local 
government on any matter relating to water supply and sanitation.
SEC. 27. Executive Director. - The Commission shall appoint an Executive 
Director who shall head the Commission Secretariat, keep and maintain the 
official records of the Commission, render a report on the proceedings of the 
Commission, and administer oaths in all matters falling within the jurisdiction of
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the Commission.
The Executive Director shall be responsible for the effective 
implementation of the policies, plans, programs, rules, regulations, and 
directives of the Commission; coordinate and supervise the activities of the 
different operating units under the Commission; and perform such functions as 
may be assigned by the Chairperson and/or other members of the Commission.
SEC. 28. Compensation and Other Emoluments. - The compensation of the 
members of the Commission and its staff shall conform to the provisions of 
Republic Act No. 6758 as amended, otherwise known as the “Compensation 
and Position Classification Act of 1989.”
CHAPTER VI
REGISTRATION AND LICENSING
SEC. 29. Registration and Licensing of All Water Supply and Sanitation 
Services. - All water supply and sanitation service providers, including bulk 
water suppliers and those providing services to subdivisions and other service 
providers, shall register with the Commission and, subject to such rules, 
guidelines, procedures, and other issuances of the Commission, obtain a 
license to operate from the appropriate regulatory units.
The Commission shall ensure that the grant and revocation of licenses 
are carried out fairly, transparently, and without discrimination. Issuances of the 
Commission shall specify, among others, the qualifications, requirements, and 
procedure for the grant and revocation of licenses including the standards and 
performance targets that shall continuously be complied with to keep the 
licenses valid. Unless otherwise provided in this Act or by the Commission, no 
public water supply and sanitation service provider shall commence or conduct 
the business of providing water supply and sanitation services without first 
obtaining a license.
Concession agreements and other contracts for water supply provision 
and water sanitation and treatment services currently existing shall remain valid 
and enforceable unless otherwise terminated, after due notice and hearing for 
reasons provided in the existing terms and conditions under the concession or 
service agreement or contract, or when invalidated by the Commission, after 
due notice and hearing, where national security, national emergency, or public 
interest so dictates.
SEC 30. Conditions of License. - The Commission or the concerned 
Regulatory Unit, may impose such conditions on the licensee as it may deem 
necessary, such as:
(a) Tariffs, rates, and charges that may be imposed from its customers or 
consumers;
(b) Term fixing the duration of the privilege;
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(c) Grounds for modification, suspension, or cancellation of the License;
(d) Minimum technical performance and service level standards;
(e) Expansion targets and service level improvements overtime;
(f) Restrictions or conditions for transferability of the business or 
controlling interest in the business;
(g) Reportorial requirements and obligations of the grantee;
(h) Submission to annual performance audit by the Commission or its duly 
authorized representative(s). The Commission shall specify the requirements 
and procedure for existing holders of a Certificate of Public Convenience 
(CPC), Certificates of Public Convenience and Necessity (CPCN) issued by 
NWRB, or Certificate of Conformance (CoC) issued by LWUA, to convert their 
existing certificates into licenses to operate in accordance with Section 29 of 
this Act.
All existing providers of water supply and sanitation services without a 
legal and valid CPC, CPCN, or CoC shall register with the Commission and 
apply for a license within six (6) months from the effectivity of this Act.
SEC. 31. Rights and Duties of Licensees. -
(a) Any person granted a license under this Act shall have the obligation 
to ensure that licensed activities are conducted to further public interest, and in 
particular:
(1) 
Foster the maintenance and development of efficient, 
coordinated, and viable operation of their licensed activities;
(2) Ensure that their water supply and sanitation services are 
provided in a diligent, conscientious, and workmanlike manner, in 
accordance with applicable laws, rules, and regulations issued by the 
Commission and the generally accepted standards and practices of the 
water supply and sanitation industry; and
(3) Comply with drinking water quality requirements and standards 
that may be established by the DOH;
(b) Any person granted a license under this Act shall, to the extent allowed 
by law and specified in the license, have the right to acquire or lease land, lay 
or repair water or sanitation main lines and other relevant facilities in public 
ways to fulfill the terms and conditions provided under the license;
(c) Subject to any condition or limitation laid down in the license, a licensee 
may discontinue water supply and sanitation services to a customer if such 
customer defaults in the payment of fees due to the licensee for the water
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supplied or sanitation services provided, or for acts of pilferage pursuant to 
Sections 8, 9, 10, and 11 of Republic Act No. 8041, otherwise known as the 
“Water Crisis Act of 1995;” and
(d) Any license issued under this Act shall contain provisions designed to 
ensure that licensees;
(1) Publish the tariff and other charges approved by and the terms 
and conditions imposed by the Commission for the provision of water 
supply and sanitation services;
(2) Prepare, within three (3) months from the issuance of a license, 
in consultation with its customers, a Customer Service Code specifying 
the manner and procedure for: (a) metering, billing, and collection of the 
licensee’s approved tariff and other charges, (b) disconnection or 
suspension of service in case of non-payment of tariffs and/or other 
charges, or acts of pilferage, and (c) recommendation and recovery of 
arrears in tariffs and other charges;
(3) Maintain financial accounts in accordance with the manner and 
procedure specified in the license and as may be required by the 
Commission; and
(4) Maintain and upon request by anyone during regular office hours, 
promptly make available for scrutiny and inspection such data, statistics, 
and other information, as may be required by the Commission.
SEC. 32. Setting Tariffs, Rates, and Other Charges. - Regulatory Units shall 
establish tariffs, rates, and other charges which are fair and reasonable, and 
ensure economic viability and a fair return on investments. Tariffs, rates, and 
charges shall be based on and consistent with a rate-setting methodology that 
the Commission shall, after due consultation, define and publish, taking into 
account the following, among others:
(a) Reasonable and prudent capital and recurrent costs of providing the 
service including a reasonable rate of return on capital;
(b) Efficiency of the service;
(c) Incentives for enhancement of efficiency;
(d) Willingness to pay of the customers/consumers;
(e) Equity considerations;
(f) Administrative simplicity;
(g) In cases involving valid and subsisting concession agreements prior to 
the enactment of this Act, the methodology provided under the Concession 
Agreement; and
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(h) Compliance with obligations as set out under pertinent laws, 
jurisprudence, and, in cases involving valid and subsisting concession 
agreements prior to the enactment of this Act, the provisions of the Concession 
Agreement.
Tariffs, rates, and charges set by the Regulatory Units shall be presumed 
valid and reasonable unless a protest or contest is filed with the Commission.
SEC. 33. Direct Access. - Fifty-one percent (51%) of the registered water 
consumers in a municipality, city, or province may petition for direct access to 
water from any water service provider subject to concurrence by the service 
provider and approval by the Commission. For this purpose, the Commission 
shall promulgate the rules and procedures for this mode of service.
SEC. 34. Innovative Schemes to improve Efficiency and Management of 
Systems. - The Commission shall promote innovative schemes such as the 
consolidation or integration of water supply and sanitation services, or providers 
in the same service area, where it shall result in improved efficiency, service 
expansion and lower costs. To this end, the Commission shall establish and 
issue such rules and guidelines as may be necessary to (a) create incentives 
to encourage efficiency and service expansion; (b) establish the standards and 
targets that service providers are required to meet; and (c) define the fines and 
penalties that shall be imposed for failure to meet such standards and targets.
CHAPTER VII
QUASI-JUDICIAL FUNCTIONS OF THE COMMISSION
SEC. 35. Proceedings Before the Commission. - For the purpose of any 
investigation, inquiry or proceeding, the Commission shall:
(a) Issue subpoena duces tecum and subpoena ad testificandum;
(b) Appoint hearing officers to hear and receive evidence on behalf of the 
Commission: and
(c) Cite any person or party for contempt for refusal to appear, testify, or 
comply with an order of the Commission on any matter that is the subject of 
investigation, inquiry, or proceeding before the Commission.
SEC. 36. Orders and Decisions of the Commission. - Any order, resolution, 
or decision of the Commission shall be promulgated promptly, expeditiously, 
reasonably, and in writing, and shall state clearly and distinctly the facts and 
law on which it is based. The Commission shall publish and make available for 
public inspection, all decisions and final orders in the adjudication of contested 
cases or applications.
SEC. 37. Appeals Procedure and Prohibition Against Injunction. -
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(a) The orders, rulings, and decisions of the Commission are final and 
executory unless appealed to the Court of Appeals within fifteen (15) days from 
receipt of notice of such order, ruling or decision: Provided, That orders, rulings, 
and decisions of the Commission approving tariffs shall be immediately 
executory and may be suspended only upon appeal and filing of a bond in an 
amount to be fixed by the Commission to answer for damages occasioned by 
the suspension or stay of execution of such orders, rulings, and decisions.
(b) No injunction may be issued by any court or administrative agency to 
restrain any proceeding before, or the implementation or execution of any order, 
ruling, or decision of the Commission, except on the basis of a question of law 
brought before the Supreme Court on certiorari.
(c) Any act or decision of the Commission shall not be invalidated merely 
because of a defect or irregularity in, or in connection with, the appointment or 
vacancy in the Office of the Chairperson or any other member of the 
Commission.
CHAPTER VIII
INTERDEPARTMENTAL RELATIONS OF THE COMMISSION 
SEC. 38. Interface with Other Agencies. -
(a) The DENR shall continue to exercise primary jurisdiction over 
programs aimed at protecting the environment and the quality of water sources 
from waste and pollution, and shall promulgate rules, regulations, and 
standards in this regard. The DOH shall continue to exercise primary jurisdiction 
over the determination and enforcement of standards for quality drinking water 
and sanitation.
(b) The Commission shall coordinate with the:
(1) DOH to ensure that the standards and targets for quality drinking 
water and sanitation are consistently complied with; and
(2) LCDs for development projects relating to water supply and 
sanitation.
CHAPTER IX
TRANSITORY PROVISIONS
SEC. 39. Structure and Staffing Pattern. - Subject to the approval of the 
DBM, the Secretary of the Department and the Chairperson of the Commission 
shall (a) determine the respective organizational structure of the Department 
and the Commission, respectively, and (b) create new divisions or units as may 
be necessary, and appoint officers and employees of the Department and the 
Commission, respectively, in accordance with the civil service laws, rules and 
regulations.
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Republic Act No. 6656 otherwise known as the “Government 
Reorganization Law” shall govern the organization of the Department, and the 
reorganization of affected agencies. The remuneration structure of the position 
in the staffing pattern shall strictly conform to the Salary Standardization Law, 
as amended.
SEC. 40. Transfer of Rights and Functions. - The Department shall, by virtue 
of this Act, be subrogated to all the rights and assume all the functions of the 
government agencies and units whose powers and functions have been 
subsumed, absorbed, transferred, or attached to the Department. The 
Commission shall also, by virtue of this Act, be subrogated to all the rights, and 
assume all the functions, of the Water Utilities Division of the NWRB, the 
regulatory offices of MWSS and LWUA, the regulatory units of all special 
economic zones, and all other government agencies and units whose powers 
and functions have been transferred to the Commission.
The transfer of powers and functions to the Department and/or the 
Commission of the concerned agencies as provided under this Act shall be 
deemed completed within twelve (12) months after the effectivity of this Act. All 
agencies transferred, subsumed, and attached to the Department and/or 
Commission shall continue to function under their present mandates until the 
six-month transition period mandated under this Act shall have lapsed. The 
transfer of powers and functions shall include all applicable funds, personnel, 
records, property, and equipment, as may be necessary. The heads of the 
affected agencies shall continue to serve until replaced.
All rights and functions of the affected agencies are hereby transferred to 
and assumed by the Department and/or Commission.
Performance audit of all water-related agencies and institutions, including 
LWUA and water districts, MWSS, MWSS-RO and its concessionaires, LGU- 
run utilities, TIEZA, PEZA, Bases Conversion and Development Authority 
(BCDA), SBMA, DILG, and NIA, shall be conducted by the Department.
SEC. 41. Absorption or Separation from Service of Employees of the 
Subrogated Agencies. - The current employees of all government agencies 
and units whose powers and functions have been transferred to and/or 
absorbed by the Department or Commission shall enjoy security of tenure, in 
accordance with their staffing pattern and the selection process as prescribed 
under the Government Reorganization Law. Employees opting to be separated 
from the service as a consequence of the consolidation and reconstitution 
under the provisions of this Act shall, within one (1) month from their separation 
or phase out from the service, receive separation benefits in accordance with 
existing laws, and those who are qualified to retire shall be allowed to retire and 
be entitled to all benefits under existing retirement laws.
CHAPTER X 
FINAL PROVISIONS
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Sec. 42. Applicability of Ease of Doing Business Law. - The prescribed 
processing time provided under Section 9.b of Republic Act No. 11032, 
otherwise known as the “Ease of Doing Business and Efficient Government 
Service Delivery Act of 2018”, shall be applicable to all agencies and LGUs 
covered under this Act particularly on accessing government services.
SEC. 43. Appropriations. - The amount necessary to cover the initial 
implementation of this Act shall be charged against the current year’s 
appropriations of the agencies and offices transferred and subsumed by the 
Department and the Commission in the General Appropriations Act (GAA). 
Thereafter, such sums as may be necessary for the continued implementation 
of the Act shall be included in the annual GAA. The Department and the 
Commission shall include in its proposed budget the necessary amount to 
enable it to achieve its mandate of providing adequate and affordable housing 
to all Filipinos.
SEC. 44. Implementing Rules and Regulations. - Within one hundred twenty 
(120) days after the effectivity of this Act, the Department or Commission, as 
may be applicable, as well as NEDA, DBM, DENR, the Civil Service 
Commission (CSC), and the National Commission on Indigenous Peoples 
(NCIP) in consultation with concerned government agencies shall:
(a) Promulgate the implementing rules and regulations of the Department 
and Commission; and
(b) Submit to the DBM the Department’s budget for fiscal year following 
the promulgation of its implementing rules and regulations;
SEC. 45. Mandatory Review of the Implementation of this Act. - The
Department and the Commission shall conduct a review of the implementation 
of this Act at the end of the fifth (5th) year from the date of its effectivity, and 
every three (3) years thereafter, and submit a report to Congress.
SEC. 46. Separability Clause. - If, for any reason, any portion or provision of 
this Act shall be held unconstitutional or invalid, the remaining provisions not 
affected thereby shall continue to be in full force and effect.
SEC. 47. Repealing Clause. -
(a) The following provisions are hereby repealed:
(1) Section 3 (h) and Section 12 on the provision with respect to fixing 
of water rates and sanitation service fees. Section 3 (n) on the provision 
with respect to regulation of waterworks and deep wells, and Section 3 (p) 
on the provision with respect to regulation of waterworks and sanitation 
systems in privately owned subdivisions of Republic Act No. 6234 entitled, 
“An Act Creating the Metropolitan Waterworks and Sewerage System and 
Dissolving the National Waterworks and Sewerage Authority, and for 
Other Purposes”, as amended.
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(2) Sections 62, 63, and 66 of Title III on Local Water Utilities 
Administration Law of Presidential Decree No. 198 otherwise known as 
the “Provincial Water Utilities Act of 1973”, as amended by Letter of 
Instruction No. 700, series of 1978, Letter of Instruction No. 744, series of 
1978, Executive Order No. 124, series of 1987, Executive Order No. 123, 
series of 2002, and Executive Order No. 860, series of 2010, on the 
regulation of water districts.
(3) Section 1 of Executive Order No. 124-A series of 1987, amending 
Executive Order No. 124, dated 30 January 1987, “Reorganizing the 
Department of Public Works and Highways, Redefining its Powers and 
Functions, and for Other Purposes” on reorganizing the National Water 
Resources Council into the National Water Resources Board.
(4) Executive Order No. 510, series of 2006, creating the RBCO, and 
Executive Order No. 516, series of 2009, declaring the RBCO under the 
DENR as lead government agency for the integrated planning, 
management, rehabilitation, and development of the country’s river 
basins.
(b) The following provisions are hereby amended accordingly:
(1) Section 3, Paragraph 3 of Commonwealth Act No. 146, as 
amended, otherwise known as the “Public Service Act” pertaining to all 
cases involving the fixing of rates;
(2) Section 154, Article V, Chapter I, Title One, Book II of Republic 
Act No. 7160, as amended, otherwise known as the “Local Government 
Code of 1991”, and its implementing rules and regulations on the power 
of the local government units to fix the rates of water utilities owned, 
operated, and maintained by them within their jurisdiction is hereby 
repealed or modified accordingly:
(3) Section 13 (b) on the regulation of enterprises within the 
Economic Zone under Republic Act No. 7916 as amended, otherwise 
known as “The Special Economic Zone Act of 1995”;
(4) Section 69 of Republic Act No. 9593 otherwise known as “The 
Tourism Act of 2009” and its implementing rules and regulations which 
mandate the Tourism Infrastructure and Enterprise Zone Authority to grant 
franchises, supervise the operation of public utilities, and register, monitor 
and regulate enterprises within Tourism Enterprise Zones, are hereby 
repealed or modified accordingly;
(5) Section 7 of Republic Act No. 9275, otherwise known as the 
“Philippine Clean Water Act of 2004” transferring the administration of the 
NSSMP from DPWH to the Department of Water Resources;
(6) Articles 3(d) and Chapters VII and VIII of Presidential Decree No.
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1067 pertaining to the enforcement of the Water Code;
(7) Section 3.2 (b) of Executive Order No. 149, series of 1993, 
transferring the Laguna Lake Development Authority from the Office of the 
President to the Department of Environment and Natural Resources; and
(8) Executive Order No, 168, series of 2022, which transferred the 
National Irrigation Administration from the Office of the President to the 
Department of Agriculture.
All other laws, presidential decrees, executive orders, presidential 
proclamations, rules, and regulations, or parts thereof which are inconsistent 
with the provisions of this Act are hereby repealed or amended accordingly.
SEC. 48. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,
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