FIFTEENTH Congress of the 
Republic Ofthe Philippines 
First Regular Session 
) 
) 
) 
SENATE 
". 164 
S.B. No. -='-=-=--
Introduced by Senator Ramon Bong Revilla, Jr. 
EXPLANATORY NOTE 
The need to conduct a compulsory registration of heavy equipment is long overdue. It is 
surprising that despite the compulsory registration of motor vehicles, no such registration for 
heavy equipment is required under existing laws, rules and regulations in the Philippine setting. 
Aside from generating substantial income for the Government, the compulsory 
registration of heavy equipment could curb, if not totally eliminate, the practice of unscrupulous 
contractors who leave projects unfinished or after merely obtaining the initial mobilization fee 
for a particular infrastructure project they just completely disappear. 
This proposed measure would also prevent the practice of leasing the same heavy 
equipment to two or more different contractors, working on different projects on the same dates 
but at different sites. Such practices cause the delay of most infrastructure and public works 
projects. It would further prevent any, if not all, misrepresentation by the contractors with 
regards to ownership of heavy equipment thereby helping the Government Bids and Awards 
Committee (BAC) in the determination and compliance of pre-qualification requirements. 
With the compulsory registration of heavy equipment, owners/lessors and leases of heavy 
equipment will be properly identified and these unscrupulous contractors will be blacklisted for 
good. 
The immediate passage of this measure is necessary to achieve a rational registration 
scheme for heavy equipment and curtail the unscrupUlous practices of contractors. 
Hence, its approval is imperative. 


FIFTEENTH Congress of the 
Republic Ofthe Philippines 
First Regular Session 
) 
) 
) 
SENATE 
S.B. N~. 164 
Introduced by Senator Ramon Bong Revilla, Jr. 
AN ACT 
PROVIDING FOR THE COMPULSORY REGISTRATION OF 
HEAVY EQUIPMENT 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
ARTICLE I 
GENERAL PROVISIONS 
SECTION 1. Short Title. - This Act shall be known as the "Heavy Equipment 
Registration Act." 
SECTION 2. Declaration of Policy. - It is the declared policy of the State to promote 
the ideals of good governance in all its branches, departments, agencies, subdivisions, and 
instrumentalities, including government-owned andlor controlled corporations, and local 
government units. 
SECTION 3. Scope and Application. - This Act shall apply to all heavy equipment, 
regardless of source, origin, ownership and usage in construction, logging, mining, quarrying, 
waste management, dredging, shipping, manufacturing, ship building, airport operations, seaport 
operations, agriculture and other services industries. 
SECTION 4. Definition of Terms. - For purposes of this Act, the following terms or 
words and phrases shall mean or be understood as follows: 
a. Heavy EqUipment - refers to heavy-duty vehicles, specially designed for executing 
construction tasks, most frequently, ones involving earth moving. They are also 
known as construction equipment, earth movers, engineering vehicles, or just plain 
equipment. 
b. Civil Engineering - is a professional engineering discipline that deals with the design, 
construction and maintenance ofthe physical and natural built environment, including 
works such as bridges, roads, canals, dams and building. Civil Engineering is the 
oldest engineering discipline after military engineering, and it was defined to 
distinguish it from military engineering. It is traditionally broken into several sub-
disciples including environmental engineering, geotechnical engineering, structural 
engineering, transportation engineering, water resources engineering, materials 
engineering, coastal engineering, surveying, and construction engineering. Civil 


engineering takes place on all levels: in the public sector from municipal through to 
national levels, and in the private sector from individual homeowners through to 
international companies. 
c. Construction Engineering -
concerns the planning and management of the 
construction of structures such as highways, bridges, airports, railroads, buildings, 
dams, and reservoirs. Construction of such projects requires knowledge of 
engineering and management principles and business procedures, economics, and 
human behavior. Construction engineers engage in the design temporary structures, 
quality assurance and quality control, building and site layout surveys, on site 
material testing, concrete mix design, cost estimating, planning and scheduling, safety 
engineering, materials procurement, selection of equipment, and cost engineering and 
budget control. 
d. Construction - in the fields of architecture and civil engineering, construction is a 
process that consists ofthe building or assembling of infrastructures. 
e. Leasing - is a common method by which contractors acquire their Heavy Equipment, 
usually from companies specialized in the field of Construction Equipment or Lease. 
Leasing transactions are typically divided into finance leasing and operating leasing. 
f. Dredging - is an excavation activity or operation usually carried out at least partly 
underwater, in shallow sea or fresh water areas with the purpose of gathering up 
bottom sediments and disposing of them at a different location, mostly to keep 
waterways navigable. 
g. Logging - is the process in which trees are cut down for forest management and 
timber. 
h. Mining - is the extraction of valuable minerals or other geological materials from the 
earth, usually (but not always) from one body, vein or (coal) seam. 
1. 
Quarrying - is taking rock from the ground or hills, either by digging with machines 
or by breaking u the rock with explosives. 
J. 
Waste Management - is the collection, transport, processing, recycling or disposal of 
waste materials. 
k. 
Ship Building -
is the construction of ships which normally takes place in a 
specialized facility known as a shipyard. 
1. 
Shipping - is the physical process of transporting goods and cargo on maritime 
vessels. 
m. Manufacturing - includes all steps necessary to convert raw materials, components, 
or parts into finished goods that meet a customer's expectations or specifications. 
Manufacturing commonly employs a man-machine setup with division of labor in a 
large scale production. 
n. Airport Operations - include businesses operating international, national or civil 
airports or public flying fields. It also includes operators supporting airports (except 
special food services contractors), offering services such as aircraft refueling, aircraft 
parking, rental of hangar space, air traffic control services, baggage handling services, 
cargo handling services and others. 
o. Port Operations - A task-organized unit, located at the seaport of embarkation and/or 
debarkation under the control of the landing force support party and/or combat 
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service support element, that assists and provides support in the loading and/or 
unloading and staging of personnel, supplies, and equipment from shipping. 
p. Lifting Capacity - is the rated load of a material handling lifting device applied as a 
uniformly distributed load. It may also refer to the load capacity of a lifting beam, 
scissor lift, or any other type of load-bearing material handling equipment. 
q. Output Capacity - refers to the extent to which an enterprise or a nation actually uses 
its installed productive capacity. Thus, it refers to the relationship between actual 
output that is produced with the installed equipment and the potential output which 
could be produced with it, if capacity was fully used. 
r. 
K vA - kilovolt Ampere pr KWA. 
s. 
ClAP - the Construction Industry Authority of the Philippines n attached agency to 
the Department of Trade and Industry (DT!) as provided for by Presidential Decree 
No. 1746. 
t. 
DTI - Department of Trade and Industry. 
u. ACEL - Associate Carriers and Equipment Lessors, Inc. 
v. LTD - Land Transportation Office. 
w. Marina - Maritime Industry Authority. 
ARTICLE II 
REGISTRATION SYSTEM 
SECTION 5. Registration Office. -
This Act directs the Construction Industry 
Authority of the Philippines (ClAP) to undertake the duties, functions and responsibilities of the 
mandatory heavy equipment registration system for all heavy equipment in the Philippines, 
except those provided in Section 9 of this Act. 
SECTION 6. Types of Registration. - This Act provides for the mandatory registration 
of heavy equipment as to (a) initial, (b) renewal, (c) transfer and (d) leasing registration. 
SECTION 7. Initial Ownership Registration. - All heavy equipment covered by this 
Act shall be duly registered with the ClAP upon acquisition with valid proof of ownership. Such 
acquisition covers the initial ownership as well as any subsequent change of ownership. All 
heavy equipment imported into the Philippines by any foreign entity, government or private, for 
its own or lease to others shall be duly required to be registered under this provision. 
SECTION 8. Amendment of Registration. - In case of change of ownership, engine or 
motor and body number, if applicable, the details of such change must be duly reported to the 
ClAP. 
SECTION 9. Exclnsions. - The following forms of Heavy Equipment shall not be 
covered by this Act: 
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a. Motorized Equipment already subject to registration by the Land 
Transportation Office (L TO), such as but not limited to, Dump Trucks; Stake 
Trucks; Truck Tractors; Flat bed Trailers; Goose-neck Flat bed Trailers: 
Transit Mixers; and Concrete Pumps on Trucks; 
b. Motorized and non-motorized Equipment already subject to registration by 
the MARINA, such as but not limited to Dredgers and Flat Barges; 
c. Motorized Equipment with a power rating ofless than 50 Horsepower; and 
d. Stationary and Mobile Plant and Equipment, such as but not limited to 
Concrete Batching Plants; Asphalt Batching Plants; Rock Crushing Plants; 
Aggregates Screening Systems; Cement Silos; Fly Ash Silos; Fuel Tanks; 
Tower Cranes; Construction Site Elevator System; Moving Platforms. 
SECTION 10. Registration fees. - The ClAP shall set the necessary registration fees 
covering ownership registration and leasing registration of heavy equipment, to cover the cost of 
processing, inspection and maintenance of the heavy equipment registration system. From time 
to time the ClAP may reset the Schedule of Registration fees to ensure that such are in tune with 
the current costs. 
SECTION 11. Implementing Rules and Regulations. - Within sixty (60) days from the 
promulgation of this Act, the necessary rules and regulations for the proper implementation of its 
provisions shall be formulated by the ClAP, DPWH, DOTC, DOLE and DTI. The said rules and 
regulations shall be approved by the Secretary of Trade and Industry, as Chairman of the ClAP. 
For a period not later than thirty (30) days upon the approval of the implementing rules and 
regulations, the standard forms for Heavy Equipment owner registration and leasing registration 
shall be formulated and approved. 
ARTICLE III 
PENAL CLAUSE 
SECTION 12. Offenses and Penalties. -
Without prejudice to the proVISIOns of 
Republic Act No. 3019, otherwise known as the Anti-Graft and Corrupt Practices Act" and the 
penal laws, any public officers who commit any of the following acts shall suffer the penalty of 
imprisonment of not less than six (6) years and one (I) day, but not more than fifteen (15) years: 
I. Delaying, without justifiable cause, the ownership registration or leasing registration or 
amendment thereof being applied for by a registrant. 
2. 
Unduly influencing or exerting undue pressure on any official or employee of the ClAP 
to take a particular action which favors or tends to favor a particular registrant. 
3. Willful violation of the Implementing Rules and Regulations of this Act that would 
provide for the Owner Registration or Leasing Registration of a non-existent Heavy 
Equipment. 
4. Willful violation of the Implementing Rules and Regulations of this Act that would 
provide for the double or multiple Owner Registration or Leasing Registration of an 
Heavy Equipment 
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5. 
Issuance of Certification of Owner Registration or Leasing Registration contrary to the 
information recorded in the Owner Registry and Leasing Registry. 
When any of the foregoing acts is done in collusion with private individuaVs, the private 
individualls shall likewise be liable for the offense. 
In addition, the public officer involved shall suffer the penalty of temporary 
disqualification form public office, while the private individualls shall be permanently 
disqualified from transacting business with the government. 
ARTICLE III 
FINAL PROVISIONS 
SECTION 13. Repealing Clanse. - Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, proclamation, charter, rule or regulation and/or 
parts thereof contrary to or consistent with the provisions of this Act is hereby repealed, modified 
or amended accordingly. 
SECTION 14. SEPARABILITY CLAUSE. - If any provision of this Act is declared 
invalid or unconstitutional, the other provisions not affected shall remain valid and subsisting. 
SECTION 15. Effectivity Clause. - This Act shall take effect fifteen (15) days 
following its publication in the Official Gazette or in to (2) newspapers of general circulation. 
Approved. 
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