Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
2” Regular Session

House Bill No,__'7'740

Introduced by: REP. ERICO ARISTOTLE C. AUMENTADO

EXPLANATORY NOTE

The Philippine Nuclear Research Institute (PNRI) has been the center of nuclear
science and technology sphere in the country. The PNRI remains mandated to both
promote and regulate the peaceful uses of nuclear energy in the country.

PNRI was originally established in 1958 as the Philippine Atomic Energy Commission
(PAEC) through Republic Act No, 2067 or the Science Act of 1958. RA 2067 sought to
promote scientific and technological research and development, foster invention and
utilize scientific knowledge as an instrument for the promotion of national progress. In
1987, the PNRI replaced the PAEC and was reorganized under the Department of
Science and Technology (DOST) as set forth under Executive Order 128. As specifically
‘set forth under EO 128, PNRI is mandated to conduct research and development on the
application of radiation and nuclear materials, processes and techniques in agriculture,
food, health, nutrition and medicine and in industrial or commercial enterprises;
undertake the transfer of research results to end-users, including technical extension
and training services, operate and maintain nuclear research reactors and other
radiation facilities, and, licences and regulate activities relative to production, transfer,
and utilization of nuclear and radioactive substances. Given this dual responsibilities,
the need to separate its regulatory function from the promotional, political and economic
influences became apparent. This separation of functions is also in line with
international trends and recommendations to ensure the independence of the National
Regulatory Body.

On November 21, 2017, the new proposed Bill, entitled “An Act Providing for a
Comprehensive Nuclear Regulatory Framework, Creating for the Purpose, the
Philippine Nuclear Regulatory Commission, and Appropriating Funds Therefor”,
has finally passed the Joint Committee Meeting of the Committee on Government
Reorganization and the Committee on Science and Technology of the 17" Congress.
The Bill provides the creation of a separate organization whose sole concern would be
nuclear safety, security and safeguards, separate from the promotional function of
PNRI.


Alongside this development, the modernization of the PNRI has become imperative. It
has been recognized that nuclear applications offer enormous benefits to various
‘sectors in the country. Results of research and development initiatives of the PNRI
have been proven to address the pressing challenges of the country through the unique
benefits offered by nuclear technology in food and agriculture, health and medicine,
industry and environment. Initiatives have likewise branched out seeking to respond to
growing climate change concerns. PNRI researchers and scientists continue also to
gain recognition not only in the country but also internationally.

With increased recognition and appreciation of the advantages of nuclear technologies,
the demand for services using these technologies have increased. While catering to the
demand of the whole country, the PNRI currently has only 269 plantilla positions, which
will be further decreased to 229 upon the separation of the Regulatory Body. In order to
cope with the demands, infrastructure need to be upgraded with corresponding increase
in human resource component. Alongside these, there is a need to develop
organizational capacity toward self-reliance and sustainability; an environment where
results of R&D programs are effectively transferred for the balanced benefit of all
stakeholders and the organization relieved from total dependence on government
funding, with the capacity to utilize its own income.

Our neighboring developing countries in the Asia-Pacific Region like Indonesia,
Malaysia, Thailand, and Vietnam, invested millions of dollars for the modernization of its
nuclear facilities and laboratories. Nuclear facilities have been established and
upgraded like nuclear research reactors, which are utilized for advanced nuclear
research and development activities; provision of nuclear and allied services; and
nuclear manpower development.

For the Philippines to be globally competitive in the field of nuclear science and
technology, it is necessary to strengthen the role of the Philippine Nuclear Research
Institute (PNRI) as the only government agency mandated to promote the peaceful
applications of nuclear and radiation science and technology. To this end, it is essential
for PNRI to: (1) expand its technological operational capacity; (2) enhance its research
and development capabilities; and (3) increase capacity building activities for nuclear
manpower development.

Hence considering the foregoing, the immediate passage of this bill is earnestly sought.

was

EI IMENTADO



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
2™ Regular Session

7740

House Bill No.

Introduced by: REP. ERICO ARISTOTLE C. AUMENTADO-

AN ACT
PROVIDING FOR THE MODERNIZATION OF THE PHILIPPINE
NUCLEAR RESEARCH INSTITUTE, DEPARTMENT OF SCIENCE AND
TECHNOLOGY (PNRI-DOST), AND APPROPRIATING FUNDS
THEREFOR AND FOR OTHER PURPOSES

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

SECTION 1. Short Title. This Act shall be known as the “Philippine Atomic
Energy Research Institute of the Department of Science and Technology (PNRI-DOST)
Modernization Act of 2018”.

SEC.2. Declaration of Policy. -It is hereby declared to be the policy of the State to:

(a) Harness the peaceful uses of nuclear and radiation science and technology in
various fields, including but not limited to health and medicine, food and agriculture, energy,
industry, environment, water resources, oil and mineral resources and education;

(b) Strengthen the capability of the government agency tasked to:(1) conduct
research and development in the field of nuclear and radiation science and technology, (2)
operate nuclear and radiation facilities, (3) provide nuclear, radiation and other allied
services, and (4) disseminate and transfer nuclear and radiation related knowledge and
technologies;


(c) Ensure that utilization of nuclear and radiation technology adheres to
established nuclear regulations and legal requirements; and

(d) Develop new competencies and capabilities in the field of nuclear and
radiation science and technology.

Towards these ends, the State shall undertake the modernization of the Philippine
Nuclear Research Institute (PNRI),to improve its technological operational capacity,
strengthen its role as the only government agency mandated to promote the peaceful
applications of nuclear and radiation science and technology and to attain its vision as a
center of excellence for nuclear and radiation science and technology.

SEC. 3. Definition of Terms

(a) “Atomic Energy" means energy released from atomic nuclei as a result of any
process, including the fission and fusion processes;

(b) “Accelerator or Particle Accelerator” pertains to any device, instrument, or

machine that uses electric and/or magnetic fields to propel or accelerate particles to

high speed;

(c) “Institute” refers to the Philippine Nuclear Research Institute;

(d) “Facilities” refer to nuclear installations or radiation facilities in which people
may exposed to ionizing radiation. These include uranium mining and raw material
reprocessing facilities; enrichment and fuel manufacturing plants; other reactors such as
research reactors (including subcritical and critical assemblies), , spent fuel storage facility,
enrichment plant or reprocessing facility, irradiation installations; radioactive waste
management facility, radiation generator installations and facilities; other nuclear and
radiation facilities for medical, industrial, research and education purposes;

(e) "Radiation" refers to ionizing radiation, such as X-rays, gamma rays, alpha
particles, beta particles, neutrons, and other nuclear and sub-atomic particles, which have
enough energy to liberate electrons from atoms or molecules, thereby ionizing them. This
does not include non-ionizing radiation such as sound, radio, visible, infrared or ultraviolet
light;

() “Radiation Facility” refers to any facility that utilizes radioactive materials;
particle accelerator facility; and other such facility as may be determined by competent

authorities;


(g) “Radiation Protection” refers to the protection of people from the effects of
exposure to ionizing radiation, and the means for achieving this.

(h) "Radioactive Substance" or "Radioactive Material" means any substance o
material which spontaneously emits radiation in excess of the levels prescribed by
notification by the authorized government agency,

(i) “Research Reactor” refers to a nuclear reactor used mainly for the generation
and utilization of neutron flux and ionizing radiation for research and other purposes,
including experimental facilities associated with the reactor and storage, handling and
treatment facilities for radioactive materials on the same site that are directly related to safe
operation of the research reactor.

() “Income” refers to fees and other payments given to the Institute in the

conduct of its mandate and functions

SEC. 4. Mandate of the PNRI. -The PNRI shall be the center of nuclear and
radiation science and technology (S&T) activities in the country. It shall be mandated to
perform the following functions and responsibilities:

(@) To conduct research and development in the safe and peaceful uses of nuclear

and radiation S&T;

(>) To operate, maintain and expand nuclear and radiation facilities in support to
nuclear research and development and related S & T activities;

(©) To provide nuclear, radiation and allied services catering to the growing
demands of the country;

(d) To intensify the dissemination and transfer of nuclear and radiation
technologies to stakeholders, and interested parties for greater awareness, understanding
and appreciation of its various applications;

(e) To enhance/intensify the commercialization/adoption of nuclear and radiation
science and technologies;

(0) To ensure the utilization of nuclear science and technology for the socio-
economic growth of the country;

(g) To provide nuclear and radiation science and technology expertise in the
development of relevant government policies and regulations;

(h) To ensure that the country fulfils its commitments to international instruments
entered into by the Republic of the Philippines that are relevant for the peaceful, safe, and
secure use of nuclear and radiation science and technology.


SEC.S.Objectives. The objectives of this Act are:

(a) To upgrade physical resources and operational techniques through the
establishment, acquisition and development of nuclear and radiation facilities, state-of-the-art
instruments, equipment, and systems;

(b) To enhance current capabilities of PNRI in conducting research and
development, providing services, and disseminating knowledge and information in the field
of nuclear and radiation S&T by upgrading its existing facilities and adopting emerging
nuclear and radiation technologies;

(©) To adopt a rationalized and integrated approach with focus on the
improvement of basic operations and specialized services;

(d)_— To strengthen nuclear, radiation-and allied services in order to cater to the
growing demand of the country in the areas of radiation protection and calibration,
radioactive waste management, nuclear analytical techniques, irradiation, isotope techniques
and other nuclear, radiation and allied services;

(©) To boost the utilization of nuclear science and technology in achieving socio-
economic growth of the country;

(f) To enhance the development of qualified manpower to cope with the
international progress on the peaceful applications of nuclear technology;

(g) To intensify transfer of technology, enhance public information, education and
advocacy on the beneficial uses of nuclear and radiation science and technology;

(h) To provide a more competitive base pay and other benefits for PNRIpersonnel
in order to promote professionalism and commitment to the service;

SEC.6. Composition, Organizational Structure and Staffing Pattern.

(a) Composition

(i) The PNRI shall be one of the research and development institutes (RDIs) of the
Department of Science and Technology (DOST), to ensure alignment in national science and
technology agenda, policies and priorities. It shall be headed by an Executive Director who
shall be appointed by the President upon the recommendation by the Secretary of the DOST.
The Executive Director shall be assisted by Two (2) Deputy Directors: One (1) for Research


and Development, Technology Generation, and Human Resources Development; and One (1)
for Nuclear and Radiation Facilities Operation, Finance and Administration, to be both
appointed by the President upon the recommendation of the DOST Secretary

(6) Qualification

The Executive Director and the Deputy Directors of the PNRI must be Filipino
citizens, resident of the Philippines, of good moral character, and with advanced degrees in

relevant fields of study.

(c) Organization

‘The PNRI shall draw up its new organizational structure to be submitted to the
Department of Budget and Management (DBM) through the DOST Secretary for approval.

(d) Staffing Pattern

‘The PNRI shall create new positions and realign existing positions as may be deemed
necessary, subject to the approval of the DBM, through the DOST Secretary, The Executive
Director shall appoint employees of the PNRI in accordance with the civil service law, rules
and regulations and established qualification standards.

SEC.6.Functions of the PNRI. — The PNRI shall:

(a) Conduct research and development on the application of nuclear and radiation
techniques, materials and processes;

(b) Operate and maintain nuclear research reactors and other nuclear and radiation
facilities;

(c) Provide nuclear and radiation S&T and allied services and expertise that
enhance product quality, improve processes, ensure radiation protection, and generate
information derived from the use of nuclear techniques;

(d) Undertake the transfer of research results to end-users, through the creation of
a favorable environment for the commercialization/adoption of nuclear and radiation science
and technologies;


(©) Enhance public information, education and training on nuclear and radiation
science and technology to various stakeholders;

(f) Cooperate with and act as the national competent authority on nuclear and
radiation science and technology for the International Atomic Energy Agency (IAEA),
foreign governments, ministries, departments, and agencies, relevant national, regional and
international organizations, including law enforcement and intelligence agencies;

(g) Provide nuclear and radiation S&T expertise in the development of relevant
government policies and regulations; and,

(h) Perform such other relevant functions necessary to implement the provisions
of this Act.

SEC. 7. Components of Modernization. — The PNRI modernization shall have the
following components:

(a) — Modernization of Physical Resources and Operational Techniques. ~ This
shall entail the acquisition and/or upgrade of state-of-the-art instruments, equipment, facilities
and systems: Provided, that prior to such acquisition and/or upgrade, an inventory of all
existing government and private instruments in the PNRI shall be undertaken: Provided,
further, that the acquisition of new instruments, equipment and systems shall be harmonized
with the phase-out of uneconomical and obsolete instruments, equipment and systems in the

existing PNRI inventory;

(b) Enhancement of Research and Development Capability. — This shall involve
the enhancement of research and development capability through a more rationalized and
totally integrated approach and identified activities, with focus on improvement of
operations, as well as the development of specialized services with cost recovery measures:

(c) Establishment of Nuclear and Radiation Facilities which shall include:

(i) Research Reactor (RR) Facility. — This shall include subcritical and critical reactor
assemblies which shall operate at power levels commensurate with the identified utilization
for the facility. RR facilities shall be established in recognition of identified needs of various
stakeholders in different sectors.

(ii) Accelerator Facilities such as electron beam, cyclotron, accelerator mass

spectrometry — ion beam analysis, and synchrotron accelerator facilities.


(iii) Radioactive Waste Facility;
(iv) Irradiation Facility; and,
(v) Other Emerging Nuclear and Radiation Facilities

(4) Creation of a Human Resource Development Program. — This component shall
include the following:

(i) New Salary Scale for PNRI Personnel. - The DBM shall develop a new salary
scale for PNRI personnel in consonance with Republic Act No. 8439, otherwise known as the
“Magna Carta for Scientists, Engineers, Researchers and other Science and Technology
Personnel in Government” with a corresponding increase in the base pay, allowances and
other benefits;

(ii) PNRI Personnel Retention Incentive. — An additional incentive to be known as
the “Personnel Retention Incentive” shall be provided to qualified PNRI personnel, to be
determined by PNRI in consultation with DBM in an amount not exceeding twenty percent
(20%) of the monthly basic salary subject to the implementing rules and regulations (IRR)
which shall be hereinafter formulated. This shall be in addition to the incentives set forth
under RA No. 8349 otherwise known as the “Magna Carta for Scientists, Engineers,
Researchers and other Science and Technology Personnel in Government”; and,

(iii) Scholarship Program. — Not later than three (3) years from the enactment of
this Act, scholarships shall be provided for undergraduate and graduate studies in nuclear
science and technology and related fields as well as for specialized training programs, in
coordination with the DOST, Commission on Higher Education (CHED) and Higher
Education Institutions (HEIs). Cooperation on human resources upgrading and capability
enhancement with regional and international organizations shall also be undertaken.

(©) Development of Regional and International Cooperation Program. ~ This shall
entail the development of appropriate collaborative arrangements with relevant regional and
international bodies and government institutions to complement the national effort for

modernization.

SEC. 8. Formulation and Submission of the PNRI Modernization Program. — The
Secretary of the DOST and the Executive Director of the PNRI, in coordination with the
Secretary of the DBM and the Director-General of the National Economic and Development
Authority (NEDA), shall formulate the PNRI Modernization Program and oversee its


implementation based on the policy objectives provided, in this Act. The PNRI
Modernization Program shall indicate among others:

(a) PNRI’s requirements in terms of personnel, equipment and facilities during
the various stages of modernization;

(b) The modemization projects, which shall indicate the equipment and
technology acquisitions, including establishment, major construction or upgrade of facility
and the particular objective and component to which such intended acquisition, establishment
construction and upgrading belongs to; and,

(c) The priorities, schedules and estimated cost of each modernization project.

Within ninety (90) days from the effectivity of this Act, the Secretary of the DOST
shall submit to the President the PNRI Modernization Program for approval.

SEC. 9. PNRI Special Fund. —There is hereby created the PNRI Special Fund to be
used exclusively for the PNRI Modernization Program and other activities of the Institute
under this Act. The PNRI Special Fund shall be sourced from the following:

(a) Income from the performance of its services, provided under Sec. 12 of this
Act;
(b) Grants, bequests, and donations whether from local or foreign sources.

The PNRI Special Fund shall be administered by the Executive Director of the PNRI
in accordance with existing government budgeting, accounting and auditing rules and
regulations.

SEC. 10. Period of Implementation. — The modernization program under this Act
shall be implemented for an initial period of five (5) years: Provided, That payments for
multi-year contract obligations incurred under this Act may extend beyond this period:
Provided, further, That PNRI shall continue to modernize and constantly update its
operational capabilities to keep pace with best global practices.


SEC.I1. Use of Income.The budget of the PRI, based on an annual appropriation
from Congress, shall ensure that the PNRI has the financial and human resources necessary to

fulfill its assigned responsibilities under this Act.

The PNRI shall also be authorized to:

(a) Charge and collect reasonable fees in the performance of its services, provided
that such fees shall be imposed by regulation on the basis of such published criteria as the
Institute deems appropriate; and,

(b) Use its income, donations, bequests, grants, awards, and all sums which may
be appropriated for upgrading its physical and human resources, for the conduct of its
activities, and for augmentation of its budget in case of shortfalls. For this purpose, the PNRI
shall retain 75% of its income for the upgrading of its equipment, physical facilities, and
human resources and the remaining 25% shall be remitted to the National Treasury. The
PNRI may also solicit, receive and retain donations, bequests, and grants.

SEC. 12. Progress Report. - The Executive Director of the PNRI shall prepare an
annual report on the status of the implementation of the PNRI Modernization Program which
shall be submitted, through the Secretary of the DOST, to the President and to the
Chairpersons of the Committees on Science and Technology of the Senate and the House of
Representatives not later than June 30 of the succeeding year.

SEC. 13. Appropriations. — The amount needed for the initial implementation of this
Act shall be taken from the current fiscal year appropriations of the PNRI-DOST to be
augmented from the DOST lump sum appropriations (e.g. DOST-GIA). Thereafter, such
sums as may be necessary for its continued implementation shall be included in the annual
General Appropriations Act. The above-stated amount may be augmented by grants,
bequests, contributions and donations whether from local or foreign sources in accordance
with Section 9 (b).

SEC. 14, Implementing Rules and Regulations (IRR). ~The PNRI, in consultation
with the DOST, DBM and the Civil Service Commission (CSC) shall issue within ninety
(90) days, the rules and regulations necessary to implement the provisions of this Act.


SEC. 15. Separability Clause. — If any provision of this Act shall be declared
unconstitutional or invalid, the other provisions not otherwise affected shall remain in full
force and effect.

SEC. 16, Repealing Clause. ~The pertinent provisions of Republic Act No. 2067 as
amended, otherwise known as the Science Act of 1958, Republic Act No. 5207 as amended,
otherwise known as the Atomic Energy Regulatory and Liability Act of 1968, Republic Act
No. 9711 otherwise known as the Food and Drug Administration Act of 2009, Executive
Order No. 128 Series of 1987 on Reorganizing the National Science and Technology
Authority, rules and regulations and other issuances or parts thereof which are inconsistent
with this Act are hereby repealed, amended or modified accordingly

SEC. 17. Effectivity Clause. ~ This Act shall take effect fifteen (15) days from its
publication in the Official Gazette or in a newspaper of general circulation.

Approved,

10