FIFTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
First Regular Session 
SENATE 
) 
) 
) 
S. BILL NO. 2680 
Introduced by Senator Ralpb G. Recto 
Explanatory Note 
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Today, the Filipino people is bracing for the impact of what is probably one of the most 
massive surges in the cost of public utilities in recent memory. The public helplessly watch by as a 
succession of increases in the price of goods and services relentlessly devour what is left of their 
purchasing power. 
It is now more expensive to travel by public transportation as fare rates are up in buses, taxis 
and jeepneys. The Metro Rail Transit (MRT) is also set to increase fares. Plying our toll roads had 
just become almost unaffordable, while pump prices continue to hit the ceiling. Our phone, water and 
electric bills also steadily increase. 
All of these unfold almost at the same time, as the Filipino consumer now turns to the 
government for relief. Unfortunately, this upsurge in the cost of basic necessities had been approved 
by government regulatory bodies despite heavy opposition from the public. 
This fact tells us that the opinion of the public, as consumers and end-users of products and 
services, do not weigh heavily on public policy when the opposite should be true. 
No less than the Philippine Constitution mandates that public participation, in the interest of 
transparency and effective governance, shall be promoted at all levels of social, political, and 
economic decision-making. 
Furthermore, it is the duty of the State to provide for mechanisms in which the concerned 
sectors can actively participate, in particular, in the regulatory affairs of government. 
Unfortunately, up to this day, a number of charters creating various government regulatory 
bodies - especially those concerned with determining rates of utilities, public transport, etc. - do not 
contain any provision of increasing public participation in their decision-making process. 
As a result, numerous policy decisions in the past have been approved either without prior 
consultation from stakeholders or without full disclosure of its details in public forums, thereby 
compromising the ideals of participative policy-making and transparency. 
This bill seeks to address all that. 
Specifically, this measure aims to provide for the institutionalization of the participatory 
mechanisms for concerned stakeholders by including at least one (1) representative coming from 
consumer groups belonging to the sector being regulated by the government regulatory body 
concerned, amending the charters creating the following regulatory bodies: 
1. Land Transportation and Franchising Regulatory Board; 
2. Toll Regulatory Board; 
3. Energy Regulatory Commission; 
4. Manila Waterworks and Sewerage System; and 


5. National Telecommunications Commission. 
It calls for the creation of the position of Consumer Group Representative, who will sit at the 
Governing Boards of these regulatory bodies. 
Once this bill is enacted into law, the public as a consumer would be well-represented in the 
Governing Boards of these regulatory bodies when they formulate public policy, particularly with 
regards to the approval of rate increases in the sector they regulate. 
The bill also aims to prevent malicious activities and grave abuse of discretion committed by 
those who sit on the affected regulatory bodies because they will no longer be left unchecked as 
representatives of sectors concerned will have direct participation over decision-making affairs at the 
top level. 
In view of the foregoing, the passage of this bill is earnestly sought. 


FIFTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
) 
) 
) 
First Regular Session 
SENATE 
S.BILLNO, 2680 
Introduced by Senator Ralph G, Recto 
AN ACT 
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FEB -8 P5 :27 
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PROVIDING FOR A CONSUMER GROUP REPRESENTATION IN THE GOVERNING 
BOARDS OF GOVERNMENT REGULATORY BODIES AMENDING FOR THE 
PURPOSE THEIR RESPECTIVE CHARTERS, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and the House of Representative of the Philippines in Congress 
assembled: 
1 
SECTION 1. 
Title. 
This Act shall be known as "Consumer Group Representation in 
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Regulatory Bodies Act of 20 11." 
3 
SEC. 2. Declaration of Policy. 
Pursuant to the constitutional mandate that the right of 
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the people and their organizations to effective and reasonable participation at all levels of social, 
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political, and economic decision-making shall not be abridged, and the State shall, by law, 
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facilitate the establishment of adequate consultation mechanisms, the State shall: 
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a.) prevent the concentration of power and information in a few persons/government 
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organizations; 
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b.) adopt and implement a policy of full public disclosure of all its transactions involving 
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public interest thereby promoting transparency and accountability; and 
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c.) ensure the protection and advancement of consumer welfare by mandating the 
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inclusion of consumer group representatives in the Governing Boards of government 
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regulatory bodies. 
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SEC. 3. Consumer Group. - For purposes of this Act, a consumer group shall refer to a 
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representative organization, registered under the Securities and Exchange Commission (SEC), 
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which has been established and organized to cater to a national constituency, and whose mandate 
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includes the protection of the interests and rights of consumers in a specific sector that is being 
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regulated by a government regulatory body. 
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SEC. 4. 
Coverage. The Governing Boards of the following government regulatory 
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bodies shall include at least one (1) member who shall represent the consumer group belonging 
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to the sector being regulated by the government regulatory body concerned: 
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a. Land Transportation and Franchising Regulatory Board, created by Executive Order 
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No. 292; 
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b. Toll Regulatory Board, created by Presidential Decree No. 1112; 


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c. Energy Regulatory Conunission, created by Republic Act No. 9136; 
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d. Manila Waterworks and Sewerage System, created by Executive Order No. 1036; 
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e. National Telecommunications Commission, created by Executive Order No. 546; 
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Such member of the respective governing boards of the aforementioned government 
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regulatory bodies shall be called the Consumer Group Representative. 
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The Consumer Group Representative shall perform the same functions, shall have the 
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same voting rights, shall be paid the same salaries, remunerations and emoluments, and enjoy the 
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same privileges as those enjoyed by the other members of the Governing Board of the concerned 
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government regulatory authority. 
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SEC. 5. Qualifications of Consumer Group Representative. -
No person shall be 
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appointed as a Consumer Group Representative unless he is a natural born citizen of the 
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Philippines, at least thirty (30) years of age, able to read and write, a bona fide member of the 
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Consumer Group which he seeks to represent for at least two (2) years prior to his appointment, 
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and has never been convicted of any administrative, civil or criminal offense involving moral 
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turpitude. 
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The Consumer Group Representative should also have at least five (5) years of known 
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advocacy in the consumer sector he represents. 
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If, at any time during his appointment, the Consumer Group Representative ceases to be a 
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bona fide member of his respective consumer group through expulsion, resignation, or any 
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manner of removal sanctioned by its organizational by-laws, the position of Consumer Group 
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Representative shall automatically be declared vacant and shall be filled up accordingly by 
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initiating the appointment process as herein provided. 
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SEC. 6. Appointing Authority. - The President of the Republic of the Philippines shall 
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appoint the Consumer Group Representative subject to the qualifications as herein provided, and 
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to the limitations and prohibitions under existing laws and statutes. 
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SEC. 7. 
Implementing Rules and Regulations. - The Department of Budget and 
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Management (DBM) and the govermuent regulatory agencies as enumerated under Section 4 of 
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this Act shall formulate and issue the necessary implementing rules and regulations for the 
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effective implementation of this Act within sixty (60) days after the effectivity of this Act. 
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SEC. 8. Separability Clause. - If any part or provision of this Act shall be held to be 
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unconstitutional or invalid, other parts or provisions hereof which are not affected thereby shall 
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continue to be in full force and effect. 
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SEC. 9. Repealing Clause. - All laws, decrees, executive orders, rules and regulations, or 
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parts thereof which are inconsistent with this Act are hereby repealed, amended or modified 
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accordingly. 
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SEC. 10. Effectivity. - This Act shall take effect fifteen days (15) days following its 
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publication in at least two (2) newspapers of general circulation or the Official Gazette. 
Approved,