1 
Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
TWENTIETH CONGRESS 
First Regular Session 
House Bill No. ____________ 
Introduced by CIBAC Party-List Representative 
EDUARDO “BRO. EDDIE” C. VILLANUEVA 
EXPLANATORY NOTE 
 It is a universal truth that water is life. Without it, life as we know it would be 
impossible. At a fundamental level, humans can go for up to one or two months without 
food, but we can only survive for a few days without water. 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 other human 
rights.  
Without water security, we risk endangering the health and lives of our people. 
In 2020, the UNICEF and the World Health Organization recorded that only 47.46% of 
the entire population in the Philippines had access to safely managed drinking water.1 
As of 2024, around 40 million Filipinos still lack access to formal water resources and 
are instead dependent on rainwater, rivers, or creeks for their daily needs, according 
to the Department of Environment and Natural Resources (DENR).2 Water scarcity 
limits our access to safe drinking water and prevents us from practicing basic hygiene. 
It could lead to failures in the sewage systems and a surge in diseases. 
The Philippines faces the recurring paradox of having too much water during the 
rainy season and too little during the dry months.3 Year after year, communities 
endure destructive floods that displace families and damage livelihoods, only to suffer 
water shortages and droughts in the months that follow. This cycle of crisis is made 
worse by the fragmented and outdated state of our water governance. Our current 
institutions lack the capacity, coherence, and coordination to manage water across its 
1  Inquirer.net. WHO-Unicef report: Nearly half of Filipinos get safe drinking water. Published on 07 July 2021. 
Available 
at 
https://newsinfo.inquirer.net/1456912/who-unicef-report-nearly-half-of-filipinos-get-safe-
drinking-water (Accessed on 26 June 2025). 
2  Philippine News Agency. Ensuring Water Access.  Published on 25 February 2025. Available at 
https://www.pna.gov.ph/opinion/pieces/1018-ensuring-water-access (Accessed on 25 June 2025). 
3   Japan International Research Center for Agricultural Sciences (JIRCAS). Soil, water and Climactic Resources of 
the 
Philippines: 
Constraints, 
Problems 
and 
Research 
Opportunities. 
Available 
at 
https://www.jircas.go.jp/sites/default/files/publication/intlsymp/intlsymp-13_41-52.pdf (Accessed on 25 June 
2025). 
August 28, 2025
1:47 pm
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2 
full cycle. As the effects of climate change intensify, the urgency to act grows even 
stronger. 
This bill seeks to fundamentally reform the governance of the Philippine water 
sector. The proposed measure establishes a comprehensive and coherent institutional 
framework for water governance through the creation of two new agencies: the 
Department of Water Resources (DWR) and the Water Regulatory Commission 
(WRC). This proposed legislation aims to: 
1.
Centralize policy and planning under a dedicated Cabinet-level department that
will oversee integrated water resource management (IWRM), including the
development of a National Water Resources Management Plan;
2.
Establish a unified and independent regulatory body, the Water Regulatory
Commission, to oversee licensing, tariff-setting, and performance standards for
all water supply, sanitation, and sewerage service providers;
3.
Rationalize and harmonize overlapping mandates of existing agencies;
4.
Enable long-term sector development through socialized credit, public-private
partnerships, and capacity-building programs, especially for missionary areas
and low-capacity water districts;
5.
Ensure transparency, accountability, and citizen participation in planning,
regulation, and service delivery, while protecting consumers’ rights.
This proposed measure is not a mere exercise in administrative restructuring. It
represents a long-overdue modernization of our national approach to water 
governance, shifting from a fragmented and reactive framework to one that recognizes 
water as a strategic and unifying policy priority. It calls for focused, science-based, 
and coordinated leadership, anchored in the principles of sustainability, equity, and 
accountability. 
The era of piecemeal and ad hoc reforms must come to an end. The time has 
come to build a future-ready, climate-resilient, and inclusive water sector. One that 
upholds the right of every Filipino to safe, adequate, and affordable water. 
In view of the foregoing, the immediate passage of this measure is earnestly 
sought. 
EDUARDO “BRO. EDDIE” C. VILLANUEVA 


3 
Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
TWENTIETH CONGRESS 
First Regular Session 
HOUSE BILL NO. ______ 
Introduced by CIBAC Party-List Representative 
EDUARDO “BRO. EDDIE” C. 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 MANDATE, 
POWERS AND FUNCTIONS, APPROPRIATING FUNDS THEREFOR, AND FOR 
OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
CHAPTER I 
1 
General Provisions 
2 
SECTION 1. Short Title. – This Act shall be known as the “National Water 
3 
Resources Management Act.” 
4 
5 
SEC. 2. Declaration of Policy. – 
6 
7 
a) 
The State recognizes that water is fundamental to individual life, health, and
8 
dignity, and that every person has a right to access safe and clean water for 
9 
personal and domestic use; 
10 
11 
b) 
The State affirms that the right of all Filipinos to safe and clean drinking water
12 
and sanitation is essential to the full enjoyment of life and all human rights and 
13 
hence, the attainment of a nationwide water supply, sanitation, and sewerage 
14 
services at reasonable rates must be pursued in an orderly, rational, efficient, 
15 
and dynamic manner; 
16 
17 
c) 
The State emphasizes that water is a public good subject to diverse use in
18 
economic, agricultural, and industrial activities, and is thus a scarce resource 
19 
which must be carefully regulated to prevent resource depletion and to ensure 
20 
its availability for future generations; 
21 
22 
23 
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4 
 
d) 
The State also maintains that water is indispensable to the existence and 
1 
sustainability of natural ecosystems, and as such its use must neither endanger 
2 
the balance and health of the environment nor compromise the rhythm and 
3 
harmony of nature;  
4 
 
5 
e) 
The State further maintains that water resources are interconnected with climate, 
6 
soil condition, land use and land cover, forest cover, and other natural resources. 
7 
As such, the management of water will require inter-sectoral and inter-agency 
8 
collaboration as well as harmonization of laws, policies, institutions, and 
9 
stakeholders; and 
10 
 
11 
f) 
Finally, while the State maintains that all water resources remain under its full 
12 
ownership, control, and supervision, it emphasizes that it may enter into 
13 
arrangements with the private sector, as well as with civil society and community-
14 
based organizations, on the basis of beneficial use, to ensure the efficient and 
15 
affordable delivery of water supply, sanitation, and septage services to end-users.  
16 
 
17 
In accordance with these precepts, it is hereby declared the policy of the State 
18 
to provide for the rational, evidence-based, and integrated management of all water 
19 
resources in the country to ensure universal access to safe, adequate, and affordable 
20 
water supply, sanitation, and septage services, through a policy and regulatory regime 
21 
that encourages innovation and responsible private sector participation, while 
22 
ensuring ecological preservation and environmental sustainability.  
23 
 
24 
SEC. 3. Definition of Terms. – The following terms are hereby defined as 
25 
follows: 
26 
 
27 
a) 
Bulk water supplier refers to any entity, natural or juridical, whether public or 
28 
private, supplying or intending to supply large quantities of raw or treated water 
29 
to buyers who will use it for own consumption, such as industrial companies, or 
30 
for retail distribution to consumers such as water service providers or real estate 
31 
developers managing their own distribution network; 
32 
 
33 
b) 
Environmental services refer to qualitative functions of natural non-produced 
34 
assets of land, water, and air, including related ecosystems, and their biota, and 
35 
which may be categorized into three basic types: (i) disposal services which 
36 
reflect the functions of the natural environment as an absorptive sink for 
37 
residuals; (ii) productive services which reflect the economic functions of 
38 
providing natural resource inputs and space for production and consumption, and 
39 
(iii) consumer or consumption services which provide for physiological as well as 
40 
recreational and related needs of human beings; 
41 
 
42 
c) 
Flood Control refers to methods, acts, and protocols to be observed in order to 
43 
prevent and reduce the detrimental and catastrophic effects of flood waters which 
44 
include sediment-laden or turbid flows, and hyper-concentrated flows or debris 
45 
flows; 
46 
 
47 
d) 
Flood Risk Management (FRM) refers to such acts of defining and determining 
48 
the appropriate methods, acts and protocols aimed at preventing and reducing 
49 
the risk of incurring loss of both life and property due to flood waters. Flood risk 
50 


5 
 
management consists of a cycle of prevention, mitigation, adaptation, 
1 
preparedness, and early warning, and, response and recovery. The elements of 
2 
FRM include: integrating land-use planning and coastal zone management into 
3 
water management; adopting a holistic approach so that FRM is part of wider 
4 
risk or multi-hazard management of earthquakes, landslides, and storm surges; 
5 
managing risk and uncertainty as a whole so it is not only hydrological 
6 
uncertainties but also social, economic, and political uncertainties on account of 
7 
human behavior and cultural dimensions of FRM; 
8 
 
9 
e) 
Infrastructure and public works refer only to wholly or primarily water-related 
10 
projects and shall not incorporate projects that do not otherwise fall within the 
11 
purview of the objectives, powers, and duties of the Department of Water 
12 
Resources created under this Act;  
13 
 
14 
f) 
Integrated Water Resource Management (IWRM) refers to a systematic, 
15 
collaborative and multi-stakeholder process which promotes the coordinated 
16 
development and management of water, land, and related resources within 
17 
geophysical boundaries in order to maximize the resultant economic and social 
18 
welfare in an equitable manner and without compromising the sustainability of 
19 
vital ecosystems;  
20 
 
21 
g) 
License refers to the Water Supply or Sanitation Services Operating License 
22 
that the Water Regulatory Commission is authorized to grant and issue to Service 
23 
Providers; 
24 
 
25 
h) 
Licensee refers to the Service Provider to whom a License is granted or issued 
26 
by the Water Regulatory Commission; 
27 
 
28 
i) 
Missionary Water refers to water supply or services to areas that have no 
29 
existing safe water supply and services due to geographic limitation or absence 
30 
of economic and market viability; 
31 
 
32 
j) 
National Water Resources Management Plan (NWRMP) refers to a policy 
33 
document that incorporates a framework to guide the development and 
34 
management of all water resources in the Philippines, the general strategies and 
35 
work to be pursued to ensure the sustainability of the resource and work towards 
36 
the water security; and provides top-level direction on the utilization of existing 
37 
water resources in line with national development plans, policies, and programs 
38 
in accordance with the IWRM framework. The NWRMP shall also include a water 
39 
infrastructure development program for all waters of the country as well as 
40 
provide general guidance on how this shall be supported within an integrated 
41 
financing framework that can draw on public, private and international 
42 
development funding sources; 
43 
 
44 
k) 
Regulatory Units refer to the regulatory offices of the Water Regulatory 
45 
Commission established under this Act; 
46 
 
47 
l) 
River basin refers to an area of land drained by a stream or body of fixed water 
48 
and its tributaries which have a common outlet for surface run-off; 
49 


6 
 
m) 
River Basin Organization (RBO) refers to multi-stakeholder organizations 
1 
which plan, coordinate, and monitor activities within a river basin cluster; 
2 
 
3 
n) 
Sanitation refers to the provision of facilities and services for the safe 
4 
management of septage and sewage, from the collection to containment, and 
5 
storage and treatment onsite or conveyance, treatment, and eventual safe end 
6 
use or disposal, and includes the safe management of solid waste and animal 
7 
waste; 
8 
 
9 
o) 
Septage refers to the liquid and solid material pumped from a septic tank, 
10 
cesspool, or other primary treatment source; 
11 
 
12 
p) 
Septage Management refers to the provision of proper collection, treatment, and 
13 
disposal of septage; 
14 
 
15 
q) 
Service Area refers to the area covered by the water distribution system, 
16 
sewerage, and septage management services; 
17 
 
18 
r) 
Service Provider – refers to any entity, natural or juridical, whether private or 
19 
public, providing or intending to provide water supply, including bulk water 
20 
suppliers, sewerage, septage treatment, and disposal services for domestic, 
21 
residential, institutional, industrial, or commercial use; 
22 
 
23 
s) 
Sewage refers to water-borne human or animal wastes, excluding oil or oil waste, 
24 
removed from residences, buildings, institutions, and industrial and commercial 
25 
establishments together with such groundwater, surface water and storm water 
26 
as may be present including such waste from vessels, offshore structures, other 
27 
receptacles intended to receive or retain waste or other places or the combination 
28 
thereof; 
29 
 
30 
t) 
Sewerage refers to any system or network of sanitary pipelines, ditches, 
31 
channels or conduits including pumping stations, lift stations and force mains, 
32 
service connections including other infrastructure, devices or appliances 
33 
appurtenant thereto, which includes the collection, transport, pumping and 
34 
treatment of sewage to a point of disposal; 
35 
 
36 
u) 
Sewers refer to pipes or such other works or structures which are built and 
37 
constructed to carry, transport, and dispose sewage; 
38 
 
39 
v) 
Tariffs refer to such amounts which may be charged by licensees for their water 
40 
supply, sewerage, or sanitation services based on principles, standards, and 
41 
guidelines established by the Water Regulatory Commission; 
42 
 
43 
w) 
Water Demand Management refers to any method whether technical, economic, 
44 
administrative, financial, or social that will accomplish one or more of the 
45 
following: 
46 
(1) 
Reduce the quantity or quality of water required to accomplish a specific 
47 
task; 
48 
(2) 
Adjust the nature of the task or the way it is undertaken so that it can be 
49 
accomplished with less water or with lower quality water; 
50 


7 
 
(3) 
Reduce the loss in quantity or quality of water as it flows from source, 
1 
through use, to disposal; 
2 
(4) 
Shift the timing of use from peak to off-peak periods; and 
3 
(5) 
Increase the ability of the water system to continue to serve society during 
4 
times when water is in short supply. 
5 
 
6 
x) 
Water District refers to government-owned and controlled corporations 
7 
organized under Presidential Decree No. 198, otherwise known as the 
8 
"Provincial Water Utilities Act of 1973", as amended, created primarily to acquire, 
9 
install, operate, maintain and improve water supply and distribution systems for 
10 
domestic, industrial, and municipal uses of residents and to provide, maintain, 
11 
and operate wastewater collection, treatment and disposal facilities within the 
12 
boundaries of the district; 
13 
 
14 
y) 
Water pollution refers to any alteration of the physical, chemical, biological, or 
15 
radiological properties of a body of water resulting in the impairment of its purity 
16 
or quality; 
17 
 
18 
z) 
Water Resource refers to water under the ground or groundwater; water above 
19 
the ground such as surface water, run-offs, floods, stormwater and urban 
20 
drainage; treated wastewater, water in the atmosphere or rain water; and the 
21 
waters of the sea within the territorial jurisdiction of the Philippines; 
22 
 
23 
aa)  Water resource allocation refers to the process of sharing the limited water 
24 
resources between competing users. This consists of determining water 
25 
availability and determining how the water should be shared among competing 
26 
users. For the purpose of this Act, resource allocation shall also mean water 
27 
resource allocation;  
28 
 
29 
bb) Water Resources Regions refer to the contiguous clusters of river basins 
30 
created under this Act for administrative purposes under the Department of 
31 
Water Resources; 
32 
 
33 
cc) Water Resources Regional Offices (WRROs) refer to the field offices of the 
34 
Department of Water Resources, as created under this Act, which are to be 
35 
established in accordance with the identified water resources regions in the 
36 
country; 
37 
 
38 
dd)  Water service cooperative refer to cooperatives organized primarily to own, 
39 
operate, and manage water systems for the provision and distribution of potable 
40 
water for the members and their households 
41 
 
42 
ee) Water Service Providers (WSPs) refer to the water districts, any Local 
43 
Government Unit (LGU)-run water utility, Barangay Waterworks and Sanitation 
44 
Association, Rural Waterworks and Sanitation Association, water service 
45 
cooperatives, and private sector entities that provide water supply services to 
46 
any given area; 
47 
 
48 
ff) 
Water supply service refers to any activity comprising developed water sources, 
49 
communal faucet system or stand posts, waterworks system or individual house 
50 


8 
 
connections, which include bulk suppliers, suppliers to subdivisions, or other 
1 
similar water service providers. 
2 
 
3 
CHAPTER II 
4 
Department of Water Resources 
5 
SEC. 4. Establishment of the Department of Water Resources. – There is 
6 
hereby established the Department of Water Resources, hereafter referred to as the 
7 
Department.  
8 
 
9 
SEC. 5. Mandate and Objectives. – The Department shall be the primary policy, 
10 
planning, coordinating, implementing, monitoring, and administrative entity of the 
11 
Executive Branch of the government responsible for the comprehensive, sustainable, 
12 
climate-resilient, and integrated development and management of the water resources 
13 
of the Philippines, and their optimal allocation and use for domestic and municipal 
14 
water supply, sanitation, irrigation, hydropower, industry, navigation, flood 
15 
management, and recreation, and water utilization aspects of fisheries or aquaculture. 
16 
 
17 
The Department shall also be the primary agency responsible for the planning 
18 
and policy formulation towards the attainment of universal access to safe, adequate, 
19 
affordable, and sustainable water supply, and improved sewerage and sanitation 
20 
services for all Filipinos. 
21 
 
22 
SEC. 6. Powers and Functions. – The Department shall exercise the following 
23 
powers and functions: 
24 
a) 
Policy Making And Planning 
25 
(1) 
Ensure that Integrated Water Resources Management (IWRM) is adopted 
26 
as the strategic framework for water management policymaking and 
27 
planning in the country and coordinate the implementation, promotion, 
28 
revision and enhancement of IWRM plans; 
29 
 
30 
(2) 
Formulate policies, strategies, and targets in coordination with other 
31 
relevant agencies and stakeholders to meet the goals and objectives for 
32 
water resource sustainability and protection, water allocation and 
33 
management, water supply, sanitation, and sewerage, water quality, 
34 
irrigation, hydropower, flood control, stormwater utilization, and urban 
35 
drainage. Such policies shall, among other guidelines, integrate the 
36 
relevant issues of water, sewerage, sanitation, food security, energy, 
37 
environment, flood control, and climate change; 
38 
 
39 
(3) 
Formulate long-term policies to balance the sustainability and optimal 
40 
multiple use of water resources, define the hydrologic boundaries of basins 
41 
of the existing water supply sources, and develop or update existing River 
42 
Basin Master or Comprehensive Plans which includes all aspects of water 
43 
management and development such as water supply, sewerage, and 
44 
sanitation, irrigation, flood control and storm water or urban drainage, 
45 
drought risk management, water resource development systems and other 
46 
public water works projects, including phasing of implementation; 
47 
 
48 
 
49 


9 
 
(4) 
Harmonize all relevant national river basin policies and serve as the 
1 
national policy coordination office for LGUs and relevant stakeholders in the 
2 
development and sustainability of river and catchment basins; 
3 
 
4 
(5) 
Identify, based on the river basin master plans, priority projects for water 
5 
infrastructure development per river basin, including water supply, 
6 
sanitation, irrigation, hydropower, flood control and storm water or urban 
7 
drainage, drought risk management, water resource development systems 
8 
and other public works projects; 
9 
 
10 
(6) 
Evaluate and appraise all regional and inter-regional infrastructure water 
11 
development plans and programs as to their feasibility and consistency with 
12 
approved strategies and medium and long-term plans; 
13 
 
14 
(7) 
Formulate and develop policies and strategies to promote universal access 
15 
to safe, adequate, affordable, and sustainable water supply, and improved 
16 
sanitation services for all Filipinos; 
17 
 
18 
(8) 
Develop, in consultation with relevant agencies and stakeholders,  the 
19 
National Water Resources Management Plan (NWRMP) and ensure its 
20 
integration into existing Comprehensive Land Use Plans and Provincial 
21 
Development and Physical Framework Plans, within the context of a 
22 
National Physical Framework Plan, to ensure the harmonization of planning 
23 
of water, land, subsurface, and air resources, submit the NWRMP to the 
24 
National Economic and Development Authority Board (NEDA) for approval 
25 
and eventual adoption, and regularly update the NWRMP, every five years 
26 
or as deemed necessary by the Department, in order to ensure its 
27 
relevance to the times;  
28 
 
29 
(9) 
Prepare, formulate, implement, and update a five (5) year plan of action for 
30 
National and Regional Septage Management, which shall contain 
31 
measures for the construction of wastewater treatment facilities and 
32 
provision, installation, operation, maintenance and, where practicable, the 
33 
integration of sewerage, septage management, storm water management 
34 
and other sanitation facilities, in accordance with Republic Act No. 9275, 
35 
otherwise known as the "Philippine Clean Water Act of 2004". Compliance 
36 
with the mandate to implement septage management services and systems 
37 
by any WSP pursuant to Republic Act No. 9275 shall be reckoned within 
38 
five (5) years from the date of promulgation or publication of the septage 
39 
management plan formulated by the Department; 
40 
 
41 
(10) Review and provide oversight over all water-related development plans and 
42 
programs of any agency or local government unit (LGU) within the context 
43 
of the NWRMP and overall national plans and programs; 
44 
 
45 
(11) Assist and provide the NEDA with the required data and input from the 
46 
water sector in the formulation of the country’s short-term and long-term 
47 
strategic development plans and actions, and recommend to the NEDA 
48 
Board the adoption of general policies and guidelines for water resources 
49 
development; 
50 


10 
 
(12) Strengthen and coordinate with relevant agencies on policy making and 
1 
planning for flood management, integrated with stormwater or urban 
2 
drainage and appropriate retention or retarding basins in order to harvest 
3 
and reuse water, and to plan against, prevent, and minimize the detrimental 
4 
and catastrophic effects of flooding 
5 
 
6 
(13) Develop and implement, in coordination with other relevant agencies and 
7 
stakeholders, effective codes, standards, benchmarks, and reasonable 
8 
guidelines to ensure the safety of all public and private water structures in 
9 
the country, and assure efficiency and proper quality in the construction of 
10 
water, sanitation, irrigation, hydropower, flood control and drainage 
11 
infrastructure; and ensure that the planning and design of water 
12 
infrastructure considers the highest efficiency and most appropriate 
13 
technology and quality;     
14 
 
15 
(14) Ensure that gender equality, social inclusion, environmental protection, 
16 
climate resiliency and disaster risk reduction, and indigenous knowledge 
17 
systems and practices are integrated into any water resources 
18 
management planning, policy making, and the design and construction of 
19 
water infrastructure; 
20 
 
21 
(15) Act as the lead agency in ensuring the effective implementation of all laws 
22 
and implementing rules and regulations on water resources; 
23 
 
24 
(16) Review all water laws and implementing rules and regulations and propose 
25 
amendments thereof to Congress, and advise any agency on the 
26 
implications of government actions, policies, and programs to water supply, 
27 
sewerage, and sanitation;  
28 
 
29 
(17) Authorize its representatives or any deputized agent to enter any property 
30 
of public dominion or any private land, building or enclave, whether 
31 
inhabited or not, or authorize a representative thereof, for the purpose of 
32 
conducting hydrological surveys and investigations, including assessing 
33 
and evaluating the conditions of water facilities installed, and determining 
34 
compliance with water laws and standards; and 
35 
 
36 
(18) Issue and promote rules and regulations as may be necessary to implement 
37 
and enforce its powers and functions under this Act;  
38 
 
39 
b) 
Data Collection and Evidence Gathering 
40 
(1) 
Establish, operate, and maintain a centralized water resources data center 
41 
necessary for the scientific survey and appraisal of surface and ground 
42 
water potentials of the country and determine the annual renewable water 
43 
available per available water resources region;  
44 
 
45 
(2) 
Effect inter-sectoral, inter-agency and inter-departmental coordination on 
46 
all aspects of data gathering and data sharing for water resources 
47 
development planning and compel submissions of statistics and data on 
48 
water management with the aim of operationalizing the IWRM framework;  
49 
 
50 


11 
 
(3) 
Undertake river basin survey, inventory, and appraisal of water and related 
1 
resources, and develop comprehensive basin-wide plans of storage, 
2 
retardation, and control to maximize conservation and multipurpose use of 
3 
water in the basin in coordination with the river basin initiatives of relevant 
4 
government entities; 
5 
 
6 
(4) 
Collect, regularly update, monitor, and analyze water resources data 
7 
including climatology, hydrologic, and other water-related data; 
8 
 
9 
(5) 
Establish, in coordination with agencies that generate water-related data, 
10 
the guidelines, standards, methodologies, and protocols for data collection 
11 
that will be officially recognized by the Department, and institute 
12 
mechanisms for coordination with other agencies as regards their 
13 
submission and certification of submitted water-related data to the 
14 
Department; 
15 
 
16 
(6) 
Conduct continuing hydrological and hydrometeorological surveys and 
17 
studies of the country’s renewable water supply, and establish,  operate,  
18 
and  maintain observation  station  networks; 
19 
 
20 
(7) 
Conduct and promote special studies and research on water economics 
21 
and other aspects of water resources development and management as 
22 
may be needed to support the policy and plan proposals of the Department, 
23 
such as, but not limited to, impacts of climate change, weather modification, 
24 
flood monitoring and modeling, environmental quality, and desalination; 
25 
 
26 
(8) 
Establish, operate, and maintain observation station networks and a 
27 
centralized water resources data center for the scientific survey and 
28 
appraisal of surface and groundwater potentials of the country, and 
29 
determine the annual renewable water available per water resources 
30 
region;  
31 
 
32 
(9) 
Develop and continuously update a computerized decision support system 
33 
that incorporates data management system relating to acquisition and 
34 
database, model base in terms of physical design, planning and decision 
35 
models, and user-friendly interface concerning graphical and visualization 
36 
tools; and 
37 
 
38 
(10) Promote Philippine participation in information sharing and education on 
39 
best practices in support of international efforts to achieve universal access 
40 
to safe water and improved sanitation and the integration of water, energy, 
41 
food security and environment. 
42 
 
43 
c) 
Water Resource Management and Allocation 
44 
(1) 
Formulate, issue, and enforce rules and regulations on the following:  
45 
i. 
Abstraction, diversion, and development of the country’s water 
46 
resources, taking into consideration their equitable distribution among 
47 
competing demands and determine the standards of beneficial and 
48 
priority uses of water in times of crises and national emergencies;  
49 


12 
 
ii. 
Equitable and optimal allocation of the country’s water resources for 
1 
domestic and municipal water supply, irrigation, sanitation, irrigation, 
2 
hydropower, navigation, fisheries, livestock raising, industrial, 
3 
recreational, and other purposes;  
4 
iii. 
Determination and granting of water rights, including adjudication in 
5 
cases of conflicting uses, amending for this purpose, Act No. 2152, 
6 
otherwise known as “The Irrigation Act”, and other laws relating to the 
7 
appropriation and utilization of surface and groundwater: Provided, 
8 
That the grant and adjudication of conflicting water rights shall be 
9 
exercised by the Water Resources Adjudication Board;  
10 
iv. 
Such other coherent water protocols as may be necessary, including 
11 
the operating rules of all existing and future water infrastructure, legal 
12 
and technical mechanisms for intra-sectoral transfers;  
13 
v. 
Guidelines for the determination of costs and fees of all water rights, 
14 
tariffs, permits, and licenses through a science-based method which 
15 
will accurately reflect the current or future projected state of the water 
16 
resource to be allocated: Provided, That the actual methodology for 
17 
setting rates and tariffs shall be the exclusive power of the Water 
18 
Regulatory Commission;   
19 
vi. 
Methods and standards for basic data collection and project 
20 
identification, formulation and planning, and appropriate sanctions to 
21 
be imposed for non-compliance;  
22 
vii. 
Guidelines in the grant of areas for missionary water, such as, but not 
23 
limited to, corresponding non-tax incentives and possible sources of 
24 
funding and revenues;  
25 
viii. 
Treatment and utilization, in coordination with relevant agencies, of 
26 
flood control, rain-water run-off, stormwater, and urban drainage;  
27 
 
28 
(2) 
Exercise original jurisdiction over all disputes relating to appropriation, 
29 
utilization, exploitation, development, control, conservation and protection 
30 
of all water resources, the adjudication of which shall be enforced by the 
31 
Water Resources Adjudication Board;  
32 
 
33 
(3) 
Impose fees or charges, as may be deemed necessary for water resources 
34 
conservation and protection, in accordance with applicable rules and 
35 
regulations on the imposition and increase of fees or charges, such as, but 
36 
not limited to: 
37 
i. 
Raw water price, which shall take into account, among others, the 
38 
scarcity of water; and 
39 
ii. 
Appropriate structures for payment of environmental services;  
40 
 
41 
(4) 
Raise 
public 
awareness 
through 
information, 
education, 
and 
42 
communications programs, and build capacities for informed participation 
43 
in water resources management at the national and river-basin level. 
44 
 
45 
d) 
Administration and Management 
46 
(1) 
Develop guidelines, including rules of partnership between and among the 
47 
Department, field offices of national government agencies, LGUs, and other 
48 
stakeholders, in water resource management, facilitate the establishment 
49 


13 
 
of multi-stakeholder river basin organizations (RBOs) per river basin, and 
1 
strengthen and support existing RBOs and monitor their activities;  
2 
 
3 
(2) 
Develop materials for capacity building and training on RBO development 
4 
and conduct training and workshops for prospective RBOs; 
5 
 
6 
(3) 
Provide technical assistance to water users including farmers, communities, 
7 
and LGUs and other water service providers (WSP) whether directly or in 
8 
coordination with other agencies on all aspects of integrated water 
9 
resources management; 
10 
 
11 
(4) 
Conduct a performance audit of all water-related agencies and institutions, 
12 
including but not limited to the water districts, MWSS, MWSS-RO and its 
13 
concessionaires, LGU-run utilities, Tourism Infrastructure and Enterprise 
14 
Zone Authority, Philippine Economic Zone Authority, Bases Conversion 
15 
and Development Authority, Subic Bay Metropolitan Authority, DILG, and 
16 
NIA; 
17 
 
18 
(5) 
Respond to consumer complaints, and ensure the adequate promotion of 
19 
consumer interests; 
20 
 
21 
(6) 
Deputize any official or agency of the government to assist in the 
22 
performance of any of the powers and functions of the Department; 
23 
 
24 
(7) 
Appoint, hire, and maintain adequate staff and personnel, advisers or 
25 
consultants with suitable qualifications and experience, as necessary, in 
26 
accordance with relevant civil service laws, rules, and regulations. 
27 
 
28 
e) 
Coordination 
29 
(1) 
Coordinate and rationalize the efforts of relevant government agencies and 
30 
instrumentalities to ensure a whole-of-government approach to attaining 
31 
water security; 
32 
 
33 
(2) 
Coordinate and integrate water resources development activities of the 
34 
country within the context of national plans and policies for social and 
35 
economic development; 
36 
 
37 
(3) 
Coordinate with other government agencies, universities, academe, and 
38 
private professional groups in all aspects of data gathering, the conduct of 
39 
special studies and research on all related aspects of water resources 
40 
management and development such as climate change, environmental 
41 
quality, desalination, and the development of operating strategies, 
42 
procedures, and protocols with accompanying computerized decision tools 
43 
for major water facilities;  
44 
 
45 
(4) 
Coordinate with the concerned and relevant agencies engaged in flood 
46 
control, flood risk management, and drought risk management; and;  
47 
 
48 
(5) 
Coordinate proactively with LGUs to ensure the integration of water 
49 
resources development plans into their comprehensive land use plans, 
50 


14 
 
Comprehensive Development Plans, or Provincial Physical Framework and 
1 
Development Plan.  
2 
 
3 
f) 
Other Functions 
4 
(1) 
Create, when necessary, water resource subsidiaries, instrumentalities, 
5 
and entities to engage in water transmission, water distribution, waste water 
6 
treatment and management, and sanitation in accordance with existing 
7 
relevant laws, without prejudice to private entities capable of and willing to 
8 
engage in the aforementioned activities through concession agreements, 
9 
joint venture agreements, bulk water agreements, or service agreements or 
10 
contracts. For this purpose, the Department shall ensure compliance with 
11 
existing frameworks, rules, regulations and guidelines for private sector 
12 
participation in water transmission, water distribution, waste water 
13 
treatment and management, storm water management, and sanitation; 
14 
 
15 
(2) 
Enter into contracts, joint venture agreements, public-private partnerships, 
16 
and memorandum of agreements or understanding, either domestic or 
17 
foreign relating to investment and financing water-related projects, under 
18 
such terms and conditions as the Department may deem proper and 
19 
reasonable subject to existing laws; 
20 
 
21 
(3) 
Review existing guidelines appropriate for private sector participation in the 
22 
water sector and submit recommendations to the Public-Private 
23 
Partnership (PPP) Center and other concerned agencies to promote and 
24 
enable more PPPs in the sector; and 
25 
 
26 
(4) 
Exercise such other powers and functions necessary or incidental to the 
27 
effective administration and management of the country’s water resources. 
28 
 
29 
SEC. 7. Offices, Functions, and Personnel to be Completely Absorbed by 
30 
the Department. – The following offices are hereby abolished, and their respective 
31 
powers and functions, and the corresponding personnel, funds and appropriations, 
32 
records, equipment, and property shall be absorbed by the Department:  
33 
 
34 
a) 
National Water Resources Board, whose mandate, powers, and functions are 
35 
provided in Presidential Decree No. 424 creating the National Water Resources 
36 
Council, now NWRB, as amended: Provided, That its water utility regulation units 
37 
and functions vested under Commonwealth Act No. 146, also known as the 
38 
"Public Service Act", as amended, shall be absorbed by the Water Regulatory 
39 
Commission created under this Act: Provided, further, That its resource 
40 
allocation or regulation units vested under Presidential Decree No. 1067 shall be 
41 
absorbed by the Department under the National Water Resources Adjudication 
42 
Board and the Resource Allocation Office, also created under this Act;   
43 
 
44 
b) 
Local Water Utilities Administration (LWUA) with its services, departments and 
45 
divisions, whose mandate, powers and functions are provided for in Title III of 
46 
Presidential Decree No. 198, as amended, otherwise known as the “Local Water 
47 
Utilities Administration Law”: Provided, That its economic regulatory functions 
48 
over local water districts shall be fully absorbed by the Water Regulatory 
49 
Commission created under this Act: Provided, further, That its function to provide 
50 


15 
 
technical assistance to local water service providers shall be absorbed by the 
1 
Department under the Local Water Service Providers Bureau, also created under 
2 
this Act; 
3 
 
4 
c) 
River Basin Control Office (RBCO) of the DENR whose mandate, powers and 
5 
functions are found in Executive Order No. 510, series of 2006, and Executive 
6 
Order No. 816, series of 2009, as amended: Provided, That the DENR shall 
7 
continue to have primary authority and responsibility for protecting the 
8 
environment and managing the country’s watersheds and reforestation activities: 
9 
Provided, further, That the targeting of priority watershed areas shall be 
10 
coordinated with the Department; 
11 
 
12 
d) 
Manila Bay Coordinating Office (MBCO) of the DENR which was strengthened 
13 
by virtue of DENR Administrative Order 2011-01, to coordinate the efforts of the 
14 
fourteen (14) national agencies covered by the Mandamus Order of the Supreme 
15 
Court to rehabilitate Manila Bay;   
16 
 
17 
e) 
Water Supply and Sanitation Unit of the Department of the Interior and Local 
18 
Government; and  
19 
 
20 
f) 
Water Resource Management Office of the DENR whose mandate, powers, and 
21 
functions are provided in Executive Order No. 22, series of 2023.  
22 
 
23 
SEC. 8. Powers and Functions to be Transferred to the Department. – The 
24 
powers and functions of the following agencies, bureaus, and units and the 
25 
corresponding personnel, funds and appropriations, records, equipment, and property 
26 
are also hereby transferred to the Department: 
27 
a) 
The powers and functions of the DPWH with regard to the planning, programming, 
28 
administration, monitoring, and management of the National Sewerage and 
29 
Septage Management Program (NSSMP); and 
30 
 
31 
b) 
The following functions of the dissolved Pasig River Rehabilitation Commission 
32 
and transferred to the Manila Bay Task Force per Executive Order No. 93, series 
33 
of 2019:  
34 
(1) 
Updating and leading in the overall implementation of the Pasig River 
35 
Rehabilitation Master Plan; and 
36 
(2) 
Ensuring that the easements provided for in the Civil Code and other 
37 
relevant laws are enforced, especially in all the esteros and waterways as 
38 
well as abating the dumping of untreated wastewater and sewage into water 
39 
systems, including all acts and omissions in violation of Presidential Decree 
40 
No. 984, as amended, and other related laws. 
41 
 
42 
SEC. 9. Attached Agencies. – The Department shall exercise administrative 
43 
supervision over the following agencies for purposes of policy and program 
44 
coordination, monitoring, and evaluation:  
45 
a) 
The Metropolitan Waterworks and Sewerage System (MWSS), whose mandate, 
46 
powers, and functions are defined under Republic Act No. 6234, as amended 
47 
entitled, “An Act Creating the Metropolitan Waterworks and Sewerage System 
48 
and Dissolving the National Waterworks and Sewerage Authority, and For Other 
49 
Purposes,” shall be transferred from the DENR and attached to the Department: 
50 


16 
 
Provided, That the MWSS shall continue to facilitate the exercise by the 
1 
concessionaires of their responsibility; carry out accounting and notification 
2 
functions; monitor, report, and administer loans; perform related functions in 
3 
connection with existing projects; manage, operate, and dispose its retained 
4 
assets: Provided, further, That its regulatory arm, the MWSS–Regulatory Office, 
5 
shall be fully absorbed by the Water Regulatory Commission created under this 
6 
Act; 
7 
 
8 
b) 
The Laguna Lake Development Authority (LLDA), whose mandate, powers and 
9 
functions are defined under Republic Act No. 4850 otherwise known as "An Act 
10 
Creating the Laguna Lake Development Authority, Prescribing Its Powers, 
11 
Functions and Duties, Providing Funds Therefor, and for Other Purposes", as 
12 
amended, shall be transferred from DENR and attached to the Department: 
13 
Provided, That the power to set rates and fees for the use of the lake waters and 
14 
its tributaries for all beneficial purposes under Section 4-B of Republic Act No. 
15 
4850, and the corresponding personnel, funds and appropriations, records, 
16 
equipment, and property thereof shall be transferred to the Water Regulatory 
17 
Commission: Provided, further: That the rates fees set by the WRC shall no 
18 
longer be subject to the approval of the President of the Philippines. The LLDA 
19 
shall continue to serve as the lake management and development authority 
20 
similar to a multi-stakeholder river basin organization and shall ensure the 
21 
implementation of the Laguna Lake Master Plan which shall be updated by the 
22 
Department to ensure alignment with the NWRMFP; 
23 
 
24 
c) 
The National Irrigation Administration (NIA), whose mandates, powers and 
25 
functions are defined under Republic Act No. 3601, otherwise known as "An Act 
26 
Granting the National Irrigation Administration", as amended, is hereby 
27 
transferred to the Department; and 
28 
 
29 
d) 
Any other agency performing water resources management, conservation, and 
30 
protection functions may be transferred to the Department as the President 
31 
deems necessary. 
32 
 
33 
The Secretary shall be the ex-officio Chairperson of the Governing Boards of the 
34 
aforementioned government-owned and controlled corporations to be attached under 
35 
the Department. In case existing laws, rules and regulations provide for a specific 
36 
process in appointing the agency’s Chairperson, the Secretary of Water Resources 
37 
shall serve as Co-Chairperson. 
38 
 
39 
SEC. 10. Organization. – The Department shall be composed of the Office of 
40 
the Secretary, and the various bureaus and services, and regional offices. The Office 
41 
of the Secretary shall house the Office of the Department Secretary, the Office of the 
42 
Undersecretaries, the Office of the Assistant Secretaries, and their immediate support 
43 
staff. 
44 
 
45 
SEC. 11. Secretary of the Department of Water Resources. – The authority 
46 
and responsibility for the exercise of the mandate of the Department and for the 
47 
discharge of its powers and functions shall be vested in the Secretary of the 
48 
Department, hereinafter referred to as the Secretary, who shall be appointed by the 
49 


17 
 
President, subject to confirmation by the Commission on Appointments. The Secretary 
1 
shall:  
2 
a) 
Provide executive direction, supervision, and control over the entire operations 
3 
of the Department and exercise supervision over its attached agency for program 
4 
and policy coordination; 
5 
 
6 
b) 
Advise the President on the promulgation of executive or administrative orders, 
7 
and other issuances and on the formulation of necessary regulatory or legislative 
8 
proposals on matters pertaining to the management of water resources, water 
9 
supply, sanitation, and septage services;  
10 
 
11 
c) 
Establish the policies and standards for the effective, efficient, and economical 
12 
operation of the Department pursuant to the President’s guidelines; 
13 
 
14 
d) 
Advise the President on the status of water management and supply, 
15 
recommend to the President the declaration of a state calamity in areas affected 
16 
by water supply, and submit proposals to restore normalcy in the affected areas; 
17 
 
18 
e) 
Promulgate rules and regulations necessary to carry out the objectives, policies 
19 
and functions of the Department; 
20 
 
21 
f) 
Designate and appoint officers and employees of the Department, excluding the 
22 
Undersecretaries, Assistant Secretaries, and Regional and Assistant Regional 
23 
Directors, in accordance with the civil service laws, rules and regulations; 
24 
 
25 
g) 
Exercise control, supervision, and disciplinary powers, in accordance with law, 
26 
over all officers and employees of the Department, including their investigation 
27 
and the designation of a committee or officer to conduct such investigation, in 
28 
accordance with the civil service laws, rules and regulations; 
29 
 
30 
h) 
Create regional offices and such other service units, bureaus, and divisions as 
31 
may be necessary;  
32 
 
33 
i) 
Call upon and deputize any official, agent, employee, agency, or instrumentality 
34 
of the national and local government for any assistance that it may deem 
35 
necessary to carry out the purposes of this Chapter, subject to existing laws;  
36 
 
37 
j) 
Delegate authority for the performance of any power or function, as defined 
38 
herein to officials and employees under his direction as deemed appropriate, in 
39 
accordance with existing laws;  
40 
 
41 
k) 
Act as the ex-officio Chairperson of the governing board of the agencies attached 
42 
to the Department; and 
43 
 
44 
l) 
Perform such other duties and responsibilities as may be provided by law. 
45 
 
46 
SEC. 12. The Offices of the Secretary and Undersecretaries. – The Office of 
47 
the Secretary shall be composed of the Secretary and immediate staff. The Secretary 
48 
shall be assisted by not more than three (3) Undersecretaries and three (3) Assistant 
49 


18 
 
Secretaries, who shall all be appointed by the President upon the recommendation of 
1 
the Secretary.   
2 
 
3 
The Secretary is hereby authorized to delineate and assign the respective 
4 
functional areas of responsibility of the Undersecretaries and Assistant Secretaries: 
5 
Provided, That such responsibility shall be with respect to the mandate and objectives 
6 
of the Department: Provided, further, That no Undersecretary shall be assigned 
7 
primarily to administrative responsibilities. 
8 
  
9 
SEC. 13. Qualifications of the Department Secretary, Undersecretaries, and 
10 
Assistant Secretaries. – 
11 
a) 
No person shall be appointed Secretary, Undersecretary, or Assistant Secretary 
12 
unless he or she is of good moral character, of proven integrity and competence 
13 
in public administration, and has a minimum of seven (7) years of experience in 
14 
the administration of water, sewerage, sanitation, irrigation, flood control, or 
15 
drainage programs, preferably in a public agency; 
16 
 
17 
b) 
At least one (1) of the Undersecretaries and at least one (1) of the Assistant 
18 
Secretaries shall be career officers; 
19 
 
20 
c) 
No officer, external auditor, accountant, or legal counsel of any private company 
21 
or enterprises primarily engaged in the water industry shall be eligible for 
22 
appointment as Secretary within two (2) years from retirement, resignation, or 
23 
separation therefrom.  
24 
 
25 
SEC. 14. The Water Resources Adjudication Board. – There is hereby created 
26 
a Water Resources Adjudication Board, hereafter referred to as the Board, under the 
27 
Office of the Secretary. The water resources allocation and regulation functions of the 
28 
National Water Resources Board are hereby transferred to the Board which shall 
29 
supervise the effective appropriation and regulation of the water resources in the 
30 
country in accordance with Presidential Decree No. 1067. The Board shall exercise 
31 
quasi-judicial powers granted to it under this Act.  
32 
 
33 
SEC. 15. Composition of the Board. – The Board shall be composed of a 
34 
Department Undersecretary as Chairperson and three (3) representatives from 
35 
stakeholders as members, who shall all be designated by the Secretary. 
36 
 
37 
There is hereby created a Resource Allocation Office, hereinafter referred to as 
38 
the Office, which shall serve as Secretariat to the Board and shall exercise the 
39 
following functions in order to provide technical support to the Board towards the 
40 
effective regulation of the country’s water resources. 
41 
 
42 
SEC. 16. Functions of the Board. – The Board shall perform the following 
43 
functions: 
44 
a) 
Promulgate rules and regulations for the exploitation and optimum utilization of 
45 
water resources, in accordance with Presidential Decree No. 1067 and other 
46 
existing laws, including the imposition on water appropriators of such fees or 
47 
charges by the Department; 
48 
 
49 


19 
 
b) 
Approve the guidelines and processes pertaining to water regulation, as 
1 
recommended by the Research Allocation Office; 
2 
 
3 
c) 
Review and decide on requests for permits to extract or utilize the country’s water 
4 
resources and grant the corresponding water rights, upon recommendation of 
5 
the Office in accordance with Presidential Decree No. 1067: Provided, That the 
6 
water rights are exercised within five (5) years of granting of such rights: Provided, 
7 
further, That applicants for water permits shall submit proof of land ownership of, 
8 
or right to use the property where the water source is located: Provided, finally, 
9 
That, if the applicant is currently using the water source being applied for 
10 
domestic or municipal purposes upon the effectivity of this Act, such applicant 
11 
may submit such proof of prior use of possession of said property in lieu of 
12 
ownership or right to use; 
13 
 
14 
d) 
Exercise original jurisdiction over decisions in cases involving the following: 
15 
(1) 
All disputes relating to the appropriation, utilization, exploitation, 
16 
development, control, conservation, and protection of waters;  
17 
(2) 
Violations and disputes on raw water fees; and 
18 
(3) 
Violations and disputes involving water permits, administrative allocation of 
19 
water resources, and transfer of water rights; 
20 
 
21 
e) 
Issue subpoena duces tecum and subpoena ad testificandum; 
22 
 
23 
f) 
Cite any person or party in contempt for refusal to appear, testify or comply with 
24 
the lawful orders of the Board in relation to any matter subject to its investigation; 
25 
 
26 
g) 
Hear, receive evidence, and decide on cases falling within its jurisdiction; 
27 
 
28 
h) 
Impose the appropriate sanctions, including revocation of water permits, over 
29 
violations committed by appropriators after due notice and hearing in accordance 
30 
with Presidential Decree No. 1067 and other existing laws, rules and regulations 
31 
as well as future rules and regulations which the Board shall promulgate; 
32 
 
33 
i) 
Review, update, and revise all fees, charges, and penalties imposed on all water 
34 
appropriators as stated under Chapter VII and VIII of Presidential Decree No. 
35 
1067, upon recommendation by the Secretariat, and based on scientific and 
36 
evidence-based studies; 
37 
 
38 
j) 
Promulgate its own rules and procedures; and 
39 
 
40 
k) 
Exercise such other powers as may be necessary to carry out its duties and 
41 
responsibilities under this law. 
42 
 
43 
SEC. 17. Resource Allocation Office. – There is hereby created a Resource 
44 
Allocation Office, hereafter referred to as the Office, which shall perform the following 
45 
functions: 
46 
a) 
Advise the Board on all matters relating to resource allocation and regulations; 
47 
 
48 
b) 
Formulate rules and regulation for the exploitation and optimum utilization of 
49 
surface water, groundwater, and seawater extraction and use, for the approval 
50 


20 
 
of the Board, and for implementation by the Resource Allocation Office, including 
1 
the processes for the application of water permits, in accordance with 
2 
Presidential Decree No. 1067 and other existing laws; 
3 
 
4 
c) 
Process applications of rights to utilize water resources for the appropriate, 
5 
optimal and sustainable use of surface and ground water, for the approval of the 
6 
Board or its Executive Director, as may be delegated by the Board; 
7 
 
8 
d) 
Upon approval by the Board, issue water permits granted to water appropriators; 
9 
 
10 
e) 
Monitor performance and conduct audits on water rights grantees including, 
11 
among others, review of compliance by grantees with the terms of the permits 
12 
granted;  
13 
 
14 
f) 
Investigate, motu proprio or upon complaint, violations of the water rights and 
15 
Presidential Decree No. 1067; 
16 
 
17 
g) 
In the case of violations and conflicts between and among users, file the 
18 
necessary cases for the decision of the Board; 
19 
 
20 
h) 
Enforce the decisions promulgated by the Board, and as may be delegated by 
21 
the Board; 
22 
 
23 
i) 
Coordinate with other relevant units of the Department regarding the generation, 
24 
updating, managing, and sharing of water data; 
25 
 
26 
j) 
Respond to consumer complaints, and ensure the adequate promotion of 
27 
consumer interests; and 
28 
 
29 
k) 
Perform such other related functions and activities which are necessary for the 
30 
effective regulation of water-related services. 
31 
 
32 
The Office shall be headed by an Executive Director and shall be assisted by 
33 
one (1) Deputy Executive Director. 
34 
 
35 
SEC. 18. Orders and Decisions. – Every order or decision rendered by the 
36 
Board shall be in writing and shall state clearly and distinctly the facts and the law on 
37 
which it is based. The Board shall decide each case or application within thirty (30) 
38 
days following its formal submission for resolution. All decisions and final orders in the 
39 
adjudication of contested cases or applications shall be published and made available 
40 
for public inspection. 
41 
 
42 
SEC. 19. Appeals Procedure and Prohibition Against Injunction. –  
43 
a) 
The orders, rulings, and decisions of the Board shall become final and executory 
44 
after fifteen (15) days from receipt of such order, ruling, or decision, unless, prior 
45 
to the lapse of this period, an appeal was made with the Secretary of Water 
46 
Resources;  
47 
 
48 


21 
 
b) 
All decisions where the penalty imposed is a fine shall be immediately executory, 
1 
except upon the filing of a bond equivalent to the fine imposed or as may be fixed 
2 
by the Board; 
3 
 
4 
c) 
Except for the Supreme Court, no temporary restraining order, preliminary 
5 
injunction, or preliminary mandatory injunction may be issued by any court to 
6 
restrain any proceeding before, or the implementation or execution of any order, 
7 
ruling, or decision of the Board. 
8 
 
9 
SEC. 20. Bureaus and Services. – The Department shall establish, operate, 
10 
and maintain the Bureaus and Services under it such as, but not limited to:   
11 
a) 
The Local Water Service Providers Bureau shall provide technical assistance 
12 
and personnel training for the creation,  application for the socialized credit 
13 
program, and operation of local water service providers, and shall effect system 
14 
integration, joint investment and operation, district annexation and de-annexation, 
15 
whenever economically warranted, in accordance with Section 50 of Presidential 
16 
Decree No. 198, as amended by Section 22 of Presidential Decree No. 768; 
17 
 
18 
b) 
The Bureau of Flood Control and Drainage shall plan and design, in coordination 
19 
with the DPWH and other relevant government agencies, flood control and 
20 
drainage structures and facilities in accordance with technical standards, 
21 
guidelines and manuals, and provide technical assistance to other agencies, 
22 
LGUs, and other stakeholders; 
23 
 
24 
c) 
The Planning and Policy Service shall formulate strategies and priorities for water 
25 
resources management and provide the Department with the capability to 
26 
undertake water infrastructure development planning and programming; 
27 
 
28 
d) 
The Data Management Service shall develop, manage and maintain the 
29 
management information system and knowledge systems of the Department, 
30 
including the processing of water-related data; 
31 
 
32 
e) 
The Administrative and Human Resource Service shall provide the Department 
33 
with services relating to human resources development, personnel, records, 
34 
facilities maintenance, medical and dental, security and property and 
35 
procurement services, in accordance with civil service laws, rules, and 
36 
regulations; 
37 
 
38 
f) 
The Legal and Legislative Service shall provide the Department with services on 
39 
legal affairs such as, but not limited to, contract preparation and review, legal and 
40 
legislative research, complaints and investigation on employees, legal 
41 
counselling and other matters of law; 
42 
 
43 
g) 
The Comptrollership and Financial Management Service shall provide the 
44 
Department with coordinated services relating to financial systems and 
45 
procedures, budget, cash, accounting and all financial housekeeping matters; 
46 
 
47 
h) 
Internal Audit Service shall regularly conduct a comprehensive audit of various 
48 
Department activities; 
49 


22 
 
i) 
The Public Affairs Service shall enhance government relations with all 
1 
stakeholders including the media and shall ensure that stakeholders and 
2 
marginalized sectors shall be consulted and can take active part in all aspects of 
3 
water resources development and management activities. 
4 
 
5 
The Bureaus and Services of the Department shall be headed by a Director who 
6 
shall be responsible for efficiently and effectively carrying out the functions of the 
7 
Bureau concerned. Each Director shall be assisted by one (1) Assistant Director. 
8 
 
9 
SEC. 21. The Water Resources Regional Offices. – Water Resources 
10 
Regional Offices, herein after referred to as the Regional Offices, shall be organized 
11 
per water resources region and shall be responsible for implementing the mandates, 
12 
powers, and duties of the Department at the field level, except for policymaking which 
13 
will be vested solely in the Department.  
14 
 
15 
The Department shall establish the water resources regions which shall be 
16 
grouped together according to the hydrological boundaries, physiographic features, 
17 
and homogeneity in climate, whether or not they straddle different LGUs. 
18 
 
19 
The Regional Offices shall have, within their respective water resources region, 
20 
the following functions: 
21 
a) 
Formulate or update and coordinate the river basin master plans for river basins 
22 
within its jurisdictions consistent with the NWRMP;  
23 
 
24 
b) 
Advocate and strongly support the creation and functioning of multi-stakeholder 
25 
River Basin Organizations (RBOs) and serve as the secretariat of the said RBOs; 
26 
 
27 
c) 
Undertake and evaluate the planning, design, and work supervision functions of 
28 
the Department for the water infrastructures within the region, and recommend 
29 
the necessary water infrastructures therein; 
30 
 
31 
d) 
Ensure the implementation of laws, policies, programs, rules, and regulations 
32 
regarding the abovementioned infrastructure as well as public and private 
33 
physical structures; 
34 
 
35 
e) 
Provide technical assistance related to the water-related functions of other 
36 
agencies within the region, especially the local government;  
37 
 
38 
f) 
Coordinate with other departments, LGUs, agencies, institutions and 
39 
organizations within the region in the planning and implementation of the river 
40 
basin master plans; 
41 
 
42 
g) 
Conduct continuing consultations with the local communities, take appropriate 
43 
measures to make the services of the Department responsive to the Central 
44 
Office, and recommend such appropriate actions as may be necessary; and 
45 
 
46 
h) 
Perform such functions and activities, as may be mandated by law, which are 
47 
necessary for the effective performance of the abovementioned objectives.  
48 
 
49 


23 
 
Each regional office shall be headed by a Regional Director who shall be 
1 
responsible for efficiently and effectively carrying out the duties and responsibilities of 
2 
the office. The Regional Director shall be assisted by one (1) Assistant Regional 
3 
Director. The Regional Directors and Assistant Regional Directors shall be appointed 
4 
by the President.  
5 
 
6 
The Department shall retain existing Project Management Offices as may be 
7 
required, which shall be under the supervision and control of the appropriate Regional 
8 
Director, unless otherwise determined by the Secretary for reasons of supra-regional 
9 
scope, magnitude, and multi-functional coverage. 
10 
 
11 
SEC. 22. Structure and Staffing Pattern. – Subject to the approval of the 
12 
Department of Budget and Management (DBM), the Secretary shall determine the 
13 
organizational structure and create new divisions or units as may be necessary, and 
14 
appoint officers and employees of the Department in accordance with the civil service 
15 
laws, rules and regulations. The remuneration structure of the position in the staffing 
16 
pattern shall strictly conform to Republic Act No. 11466, otherwise known as the 
17 
"Salary Standardization Law of 2019", as amended.  
18 
 
19 
CHAPTER III 
20 
Socialized Credit For Local Water Service Providers 
21 
 SEC. 23. Socialized Credit Program. – Socialized credit shall be made 
22 
available, through the Land Bank of the Philippines (LBP), for capital expenditures 
23 
necessary for the maintenance, addition, expansion, or improvement of the services 
24 
of the water service providers, such as but not limited to, capital expenditure for water 
25 
distribution, water conservation, water treatment, water sanitation, water testing, and 
26 
other related activities and ancillary services: Provided, That the loans shall be 
27 
available to water service providers duly registered with the Department: Provided, 
28 
further, That no loan shall be granted for the purpose of funding operational costs or 
29 
expenses.  
30 
 
31 
 SEC. 24. Committee on the Socialized Credit Program. – The Committee on 
32 
the Socialized Credit Program (SCP), hereinafter referred to as the Committee, is 
33 
hereby created. The Committee shall be composed of a representative of LBP as 
34 
Chairperson and a representative of the Department as Vice-Chairperson, both of 
35 
which should hold at least a director position, and four (4) additional members which 
36 
shall be equally shared between the Department and LBP, who shall possess the 
37 
necessary training and experience necessary for the Committee. The Committee shall 
38 
directly report to the Secretary of the Department. 
39 
 
40 
The Committee shall exercise the following functions:  
41 
 
42 
a) 
Recommend the lending policies such as, but not limited to, the criteria of eligible 
43 
borrowers, eligible loan purpose, interest rate, fees and charges, collateral, 
44 
guarantee, insurance, and other forms of security, and other terms and 
45 
conditions of the credit facility;    
46 
b) 
Review the policies, and procedures, and formulate policies for the SCP;  
47 
c) 
Monitor the process and performance of the SCP;  
48 
d) 
Monitor the fund disbursements;  
49 
e) 
Act on issues or concerns relative to the implementation of SCP;  
50 


24 
 
f) 
Conduct SCP performance evaluation; and  
1 
g) 
Exchange credit information with LBP, LWUA, and other relevant agencies.   
2 
 
3 
The Committee shall prioritize the following target beneficiaries: Water Districts 
4 
and LGU-run utilities in the Missionary Water Area;  Water Districts with low credit 
5 
rating; and other priority Water Districts or eligible projects of the Water District to be 
6 
identified by the Committee.   
7 
 
8 
Generally, local water service providers with existing Public-Private Partnership 
9 
Projects including joint venture arrangements are not eligible to the SCP.  
10 
 
11 
All recommendations of the Committee shall be jointly approved by the Secretary 
12 
and the Board of the LBP: Provided, That the existing rules, regulations, and policies 
13 
of LBP shall govern all implementation activities of the SCP, such as but not limited to, 
14 
credit and background investigation and loan documentation, evaluation, award, 
15 
negotiation, collection, and restructuring: Provided, further, That the LBP and the 
16 
Department shall exchange relevant information to assess the eligibility of the water 
17 
service providers to be a recipient of a grant or subsidy. Relevant information may 
18 
include, but is not limited to, credit standing, existing loan obligations, and compliance 
19 
with previous or existing loan covenants. 
20 
 
21 
The IRR shall provide other functions of the Committee that are necessary for 
22 
the effective implementation of the SCP, including the creation of sub-committees, 
23 
their composition and delegated functions.  
24 
 
25 
Other Government Financial Institutions, such as, but not limited to, 
26 
Development Bank of the Philippines, may provide a similar SCP for water service 
27 
providers: Provided, That these other GFIs shall submit monitoring reports to the 
28 
Department thru the Committee.  
29 
 
30 
SEC. 25. Support Program for Local Water Service Providers. – The 
31 
Department, the Department of Finance (DOF), and the Department of Budget and 
32 
Management (DBM) shall issue guidelines in the disbursement of any grant, from any 
33 
sources, and subsidy from the National Government: Provided, That the Department 
34 
shall be the implementing agency for this purpose. Provided, further, That all income 
35 
derived from the lending activities shall be recorded as LBP’s income.  
36 
 
37 
CHAPTER IV 
38 
The National Water Sector Policy Council 
39 
SEC. 26. Creation of the National Water Sector Policy Council. – There is 
40 
hereby established a National Water Sector Policy Council (NWSPC), hereinafter 
41 
referred to as the Council, which shall exercise policymaking, coordination, 
42 
harmonization, integration, supervision, monitoring and evaluation functions with 
43 
regard to water, land, subsurface, air, and other natural resources. The Council shall 
44 
be composed of the following members:  
45 
a) 
Secretary of the Department of Water Resources as Chairperson;  
46 
b) 
Director-General of the National Economic and Development Authority as the 
47 
Vice-Chairperson;  
48 
c) 
Secretary of the Department of Health (DOH); 
49 
d) 
Secretary of the Department of the Interior and Local Government (DILG); 
50 


25 
 
e) 
Secretary of the Department of Energy (DOE); 
1 
f) 
Secretary of the Department of Agriculture (DA), 
2 
g) 
Secretary of the Department of  Social Welfare and Development (DSWD); 
3 
h) 
Secretary of the Department of Public Works and Highways (DPWH); 
4 
i) 
Secretary of the Department of Budget and Management (DBM); 
5 
j) 
Secretary of the Department of Environment and Natural Resources (DENR); 
6 
k) 
Representative from the Office of the President (OP); and 
7 
l) 
Chairperson of the National Commission on Indigenous Peoples (NCIP) as 
8 
members. 
9 
The Staff of the Department shall serve as Secretariat to the Council. 
10 
 
11 
SEC. 27. Powers and Functions of the Council. – The powers and functions 
12 
of the Council shall be as follows:  
13 
 
14 
a) 
Ensure harmonization of all policies involving water, land, subsurface, air and 
15 
other resources which are connected to the water sector; 
16 
 
17 
b) 
Ensure a multi-stakeholder participation in the development, updating, and 
18 
sharing of information system as policy, planning and decision-making tools; and 
19 
 
20 
c) 
Recommend the integration of harmonized policies and priority programs in the 
21 
National Water Resources Management Plan and the National and Regional 
22 
Septage Management Plan. 
23 
 
24 
CHAPTER V 
25 
Interdepartmental Relations 
26 
and Institutional Arrangements of the DWR 
27 
SEC. 28. Interface And Institutional Arrangements With Other Agencies. – 
28 
a) 
The Department of Environment and Natural Resources (DENR) shall continue 
29 
to have primary authority and responsibility for protecting the environment and 
30 
managing the country’s watersheds. The Pollution Adjudication Board shall 
31 
remain to have jurisdiction with respect to adjudication of pollution cases based 
32 
on exceedance of the DENR Effluent Standards and other acts defined as 
33 
prohibited under Section 27 of R.A. No. 9275: Provided, That the Department 
34 
shall coordinate with the DENR regarding the establishment of protocols for 
35 
management of all water-related data being collected by the DENR; 
36 
 
37 
b) 
The Department of Health (DOH) shall continue to have primary authority and 
38 
responsibility for setting and enforcing drinking water quality standards: Provided, 
39 
That the Department and the Water Regulatory Commission shall coordinate 
40 
with the DOH in this aspect, and shall ensure consistency of standards and 
41 
targets, as well as the compliance of licensees with mandated standards; 
42 
 
43 
c) 
The Department of Energy (DOE) and the National Power Corporation (NPC) 
44 
shall continue to have primary authority and responsibility for setting up and 
45 
running hydropower plants: Provided, That all hydropower plant development 
46 
plans shall be consistent with the NWRMP; 
47 
 
48 
d) 
The Department shall coordinate with the Department of Agriculture (DA) to 
49 
promote agricultural development that reduces sources of long-term pollution for 
50 


26 
 
surface water and groundwater, and agricultural and industrial economic 
1 
development that employs water efficiency, water recycling or reuse and the 
2 
appropriate treatment of wastewater: Provided, That the Department shall 
3 
coordinate with the DA and its Bureau of Soils and Water Management (BSWM) 
4 
regarding the establishment of protocols for management of all water-related 
5 
data being collected by the DA, as well as the outputs of research and studies 
6 
by BSWM which may serve as input to policy formulation by the Department; 
7 
 
8 
e) 
The Department shall coordinate with the Department of Public Works and 
9 
Highways (DPWH) in setting the policies and preparing the master plans for bulk 
10 
water transmission, pipe networks, and related water delivery infrastructures as 
11 
well as flood control and drainage management, and other related projects under 
12 
the DPWH: Provided, That the DPWH shall continue to have primary 
13 
responsibility in the construction and implementation of water delivery 
14 
infrastructures and flood control projects: Provided, further, That flood 
15 
management plans are aligned with the NWRMP and flood waters be considered 
16 
and harnessed as potential water source: Provided, finally, That the Department 
17 
shall coordinate with the DPWH regarding the establishment of protocols for 
18 
management of all water-related data being collected by the DPWH and its 
19 
Bureaus;  
20 
 
21 
f) 
The Department shall coordinate with the National Disaster Risk Reduction 
22 
Management Council (NDRRMC) to ensure that its plans and designs for flood 
23 
control, flood risk management and drought risk management are aligned with 
24 
the objectives and plans of the Department;  
25 
 
26 
g) 
The Department shall coordinate with Philippine Atmospheric, Geophysical, and 
27 
Astronomical Services Administration (PAGASA), Climate Change Commission 
28 
(CCC), and National Mapping and Resource Information Authority (NAMRIA) on 
29 
scientific studies, integrated surveys, mapping, charting and decision support 
30 
systems;  
31 
 
32 
h) 
The Department shall coordinate with the Department of Tourism (DOT) on 
33 
recreational use of water resources; 
34 
 
35 
i) 
The Department shall coordinate with the Tourism Infrastructure and Enterprise 
36 
Zone Authority (TIEZA), Philippine Reclamation Authority (PRA), and economic 
37 
zone authorities on water resources development and water requirements within 
38 
tourist zones, reclamation areas and economic zones, respectively;  
39 
 
40 
j) 
The Department shall coordinate with the Bangsamoro Autonomous Region in 
41 
Muslim Mindanao (BARMM), specifically its Economic and Development Council, 
42 
Disaster Risk Reduction and Management Council, and Ministry of Environment, 
43 
Natural Resources and Energy, regarding the preparation of master plans of river 
44 
basins that overlap with the inland waters within the BARMM’s jurisdiction, and 
45 
ensure the alignment of these plans with the NWRMP, Bangsamoro 
46 
Development Plan, and other related regional plans of BARMM; 
47 
 
48 
k) 
The Department shall coordinate with the Department of Human Settlements and 
49 
Urban Development in planning, monitoring and enforcing integrated land use 
50 


27 
 
and water resources management in the Comprehensive Land Use 
1 
Development Plans and Zoning Ordinances of the LGUs to ensure, among 
2 
others, the protection of water sources and that water availability is factored in 
3 
proposed land use development plans and projects; and 
4 
 
5 
l) 
The Department shall coordinate with relevant government agencies, including 
6 
LGUs, with respect to development projects and to ensure cross-cutting 
7 
collaboration between and among all water subsectors and facilitate inter-agency 
8 
subsector coordination, strategic development, planning, monitoring and 
9 
provision of technical, institutional and financial capacity building support to their 
10 
different stakeholders at the water subsector level. 
11 
 
12 
CHAPTER VI 
13 
Water Regulatory Commission 
14 
SEC. 29. Establishment. – There is hereby created and established an 
15 
independent, quasi-judicial regulatory body to be known as the Water Regulatory 
16 
Commission, hereinafter referred to as the Commission. The Commission shall have 
17 
a Board of Commissioners, and shall be vested with powers and functions, as 
18 
conferred and set forth hereunder. 
19 
 
20 
SEC. 30. The Central and Regulatory Units. – The Regulatory Units of the 
21 
Commission shall be composed of the Regional Regulatory Units and the Central 
22 
Regulatory Unit.  
23 
 
24 
The economic regulatory units and functions of the MWSS, NWRB, and LWUA 
25 
are hereby transferred to the Commission, and shall collectively comprise its Central 
26 
Regulatory Unit for Water Supply, Sanitation and Sewerage Services that:  (a) provide 
27 
services to more than one province; and (b) are owned, operated, or maintained by 
28 
Metro Manila concessionaires. 
29 
 
30 
The Regional Regulatory Units shall be established by the Commission in 
31 
accordance with the rules, regulations, guidelines, and standards that the Commission 
32 
shall issue, and as provided in this Act. 
33 
 
34 
SEC. 31. Powers and Functions of the Commission. – The overall authority 
35 
and powers of the Commission shall cover and apply to all service providers, whether 
36 
private or public, providing or intending to provide water supply, including suppliers to 
37 
subdivisions, bulk water suppliers, and other providers for sewerage, and septage 
38 
treatment and disposal services for domestic, residential, institutional, industrial or 
39 
commercial use.  
40 
The Commission shall exercise the following powers and functions: 
41 
a) 
Issue and promulgate rules, regulations and guidelines as may be necessary to 
42 
implement and enforce its powers and functions under this Act; 
43 
 
44 
b) 
Issue licenses authorizing the operation of water supply, sanitation, and 
45 
sewerage services in any specified area or areas within the Philippines; 
46 
 
47 
c) 
Issue rules and regulations on terms and conditions prescribing minimum and 
48 
mandatory terms for concession agreements, joint venture agreements, 
49 
management agreements, service contracts or other contractual arrangements 
50 


28 
 
that may be entered into by government entities including local water utilities, 
1 
LGUs, private sector entities, or other water service providers for the provision of 
2 
water, sanitation, or sewerage services, such as, but not limited to the (i) the term, 
3 
scope and total cost of the activity, which may be subdivided into phases; (ii) 
4 
committed contributions and corresponding performance security requirements 
5 
in accordance with any agreed phased implementation of the activity; and (iii) 
6 
cost recovery schemes and percentage of the parties’ share in the profits and 
7 
losses, among others; 
8 
 
9 
d) 
Require the review or approval of contracts or agreements that may impact on 
10 
the tariff and rates of service provision entered into by service providers upon 
11 
petition or motu proprio when public interest so dictates; 
12 
 
13 
e) 
Set, regulate, review, and monitor the tariffs, rates, charges, and fees for the use 
14 
of water resources in the Philippines, including irrigation service fees, bulk water 
15 
rates, and septage rates, which may be delegated to the Regulatory Units; 
16 
 
17 
f) 
Amend, modify, suspend, or revoke any license issued by them, after due notice 
18 
and hearing, on any of the following grounds: 
19 
 
20 
(1) 
When the facts and circumstances on the strength of which the license was 
21 
issued have been materially misrepresented or have materially changed; 
22 
(2) 
Where the licensee has failed to meet or comply with terms, conditions, and 
23 
performance targets, including but not limited to service expansion, that 
24 
may have targets, including but not limited to service expansions, that may 
25 
have been set in the license; 
26 
(3) 
Where the licensee is found to be manifestly inefficient in the operation of 
27 
or provision of water supply, sanitation, and sewerage services in its area; 
28 
or 
29 
(4) 
When the licensee thereof has violated or willfully refused to comply with 
30 
any order, rule or regulation of the Commission or any provision of this Act; 
31 
 
32 
g) 
Promulgate and enforce just and reasonable technical standards, classifications 
33 
and measurements of service; 
34 
 
35 
h) 
Enforce technical, financial, and other performance standards set by the 
36 
Commission for licensees or utilities; 
37 
 
38 
i) 
Conduct benchmarking and monitor the performance of licensees or utilities 
39 
under their jurisdiction, and publish reports detailing the results thereof; 
40 
 
41 
j) 
Coordinate with the Philippine Competition Commission (PCC) by providing 
42 
technical support in the PCC’s exercise of authority and jurisdiction to establish 
43 
rules and enforce regulations to monitor, investigate, provide remedies for, and 
44 
deliberate on cases involving any market power abuse or anti-competitive or 
45 
discriminatory act or behavior by or against any participant in the water supply, 
46 
sanitation, and sewerage sector. Without prejudice to the actions that the 
47 
Philippine Competition Commission, pursuant to Republic Act No. 10667, may 
48 
undertake on its own, the Water Regulatory Commission may be directed by the 
49 
Philippine Competition Commission, upon finding that a market participant has 
50 


29 
 
engaged in, or fell victim to such act or behavior, to stop or redress the same 
1 
within the functions and powers granted to the Water Regulatory Commission 
2 
under this Act; 
3 
 
4 
k) 
Adopt and require that books, records, and accounts be kept and maintained in 
5 
accordance with the prescribed uniform accounting system; 
6 
 
7 
l) 
Require the submission of plans, reports on finances and operations, 
8 
performance targets, and accomplishments verified under oaths by the owner or 
9 
president and secretary of the licensee; 
10 
 
11 
m) 
Determine and require the monitoring and submission of such data, statistics, 
12 
and other information from any or all licensees as may be necessary for the 
13 
effective and efficient exercise of its duties, functions, powers and 
14 
responsibilities: Provided, That such data, statistics, and other information shall 
15 
also be submitted to the Department for integration in the centralized database 
16 
on water resources; 
17 
 
18 
n) 
Fix and determine proper and adequate rates of depreciation of properties and 
19 
equipment used in water supply, sanitation, and sewerage services; 
20 
 
21 
o) 
Impose and collect annual levies and reasonable fees and surcharges as may 
22 
be necessary for achieving the purposes, powers, and functions of the 
23 
Commission: Provided, That the rate of annual levies and fees shall be 
24 
determined strictly on a cost recovery basis for the reasonable and actual cost of 
25 
regulation in accordance with applicable rules and regulations on the imposition 
26 
and increase of charges; 
27 
 
28 
p) 
Investigate, motu proprio or upon complaint in writing, any matter concerning the 
29 
operation of the service and violations of this Act;  
30 
 
31 
q) 
Respond to consumer complaints and ensure the adequate promotion of 
32 
consumer interests and investigate motu proprio violations; 
33 
 
34 
r) 
Investigate accidents directly or indirectly arising from or connected with the 
35 
maintenance or operation of the service, and make such order or 
36 
recommendation as the public interest may warrant; 
37 
 
38 
s) 
Impose penalties and fines, which may include, but is not limited to, rebates, 
39 
refunds, and credits to affected consumers, against any licensee or against its 
40 
owners, directors, officers, agents or representatives for any violation of this Act 
41 
or of the license, order, rule regulation or requirement issued by the Commission; 
42 
 
43 
t) 
Require any licensee to pay the actual expenses incurred by the Commission in 
44 
any investigation if it shall be found that a licensee violated any provision of this 
45 
Act or of the license, order, rule regulation or requirement issued by the 
46 
Commission; 
47 
 
48 


30 
 
u) 
Appoint an interim or temporary management committee upon appeal and after 
1 
due hearing, to ensure continuity of service in cases a licensee fails to meet 
2 
conditions of the license;  
3 
 
4 
v) 
Advise, apprise, and coordinate with the Department, the National Water Sector 
5 
Policy Council, and other relevant agencies of the national or local government 
6 
on any matter relating to water supply, sanitation, and sewerage services; 
7 
 
8 
w) 
Deputize any official or agency of the government to assist in the performance of 
9 
any of the powers and functions of the Commission; 
10 
 
11 
x) 
Appoint, hire, and maintain the Central and Regional Regulators, adequate staff 
12 
and personnel, advisers, and consultants, with suitable qualifications and 
13 
experience, as necessary, subject to existing civil service laws, rules, and 
14 
regulations; 
15 
 
16 
y) 
Exercise original and exclusive jurisdiction over all cases contesting rates, fees, 
17 
fines and penalties imposed by the Regulatory Units in the exercise of their 
18 
powers, functions and responsibilities, as provided under this Act, and over all 
19 
cases involving disputes between and among participants or stakeholders in the 
20 
water supply, sanitation, and sewerage services; and 
21 
 
22 
z) 
Such other incidental powers and functions as may be necessary to attain the 
23 
objectives of this Act. 
24 
 
25 
SEC. 32. Composition of the Water Regulatory Commission. – The 
26 
Commission shall be a collegial body composed of five (5) full-time members 
27 
consisting of a Chairperson and four (4) members, who shall all be appointed by the 
28 
President of the Philippines. All members of the Commission must be citizens and 
29 
residents of the Philippines, at least thirty five (35) years of age, and of good moral 
30 
character, recognized integrity and competence in the field of law, business, 
31 
commerce, finance, accounting or public administration, water or utility economics, 
32 
management, physical or engineering services, hydrology and other related services, 
33 
with at least three (3) years of actual and distinguished experience in their respective 
34 
fields of expertise: Provided, That out of the four members of the Commission, at least 
35 
one (1) shall be a member of the Philippine Bar with at least ten (10) years of 
36 
experience in the active practice of law, at least one (1) shall be a certified public 
37 
accountant with at least ten (10) years of experience in active practice; and at least 
38 
one (1) shall be a licensed engineer with at least ten (10) years of experience in the 
39 
water supply, sewerage, or septage management sector. 
40 
 
41 
The term of office of each member of the Commission shall be seven (7) years: 
42 
Provided, That among the members first appointed, the Chairperson shall serve for a 
43 
period of seven (7) years, two (2) members shall serve for  five (5) years and the other 
44 
two (2) members shall serve for three (3) years: Provided, further, That any member 
45 
whose term has expired as specified herein shall serve as such until his successor 
46 
shall have been appointed and qualified: Provided, furthermore, That any appointment 
47 
to fill a vacancy in the Commission arising from death, removal, retirement or 
48 
resignation shall be made only for the unexpired term: Provided, finally, That in no 
49 
case shall any member serve for more than seven (7) years in the Commission.  
50 


31 
 
 
1 
The Commission shall meet as often as may be necessary on such day or days 
2 
as the Chairperson may fix. The presence of at least three (3) members of the 
3 
Commission shall constitute a quorum, which shall be necessary for the transaction of 
4 
any business. The affirmative vote of majority of the members of the Commission 
5 
where a quorum is present shall be necessary for the adoption of any order, resolution, 
6 
decisions, or other act of the Commission in the exercise of its quasi-judicial functions: 
7 
Provided, That in promulgating rules, regulations, guidelines and in the exercise of its 
8 
quasi-legislative functions, an affirmative vote of three (3) members shall be required.
9 
 
 
10 
The Chairperson of the Commission shall exercise general executive control and 
11 
supervision of the Commission and its members, staff and personnel, agents, and 
12 
representatives. Within three (3) months from the creation of the Commission and the 
13 
appointment of all members of the Commission, the Chairperson shall submit for the 
14 
approval by the President of the Philippines the new organizational structure and 
15 
personnel positions necessary to carry out the powers and functions of the 
16 
Commission, subject to the review and approval of the DBM. The personnel positions 
17 
of the Commission shall be filled by regular appointments in accordance with civil 
18 
service laws, rules, and regulations. 
19 
 
20 
Members of the Commission shall enjoy security of tenure and shall not be 
21 
suspended or removed from office except for just cause as specified by law. 
22 
 
23 
The Chairperson and members of the Commission or any of their relatives within 
24 
the fourth civil degree of consanguinity or affinity, legitimate or common law, shall be 
25 
prohibited from holding any interest whatsoever, either as investor, stockholder, officer 
26 
or director, in any company or entity engaged in provision of water supply and 
27 
distribution, septage management and sewerage services and must, therefore, divest 
28 
through sale or legal disposition of any and all interests in the water sector upon 
29 
assumption to office 
30 
. 
31 
SEC. 33. Secretariat of the Commission. – The Commission shall establish a 
32 
Secretariat which shall provide the Commission with technical and support services 
33 
such as, but not limited to the following: 
34 
a) 
Provide the necessary technical inputs and secretariat support to the 
35 
Commission to facilitate the conduct of its functions;  
36 
b) 
Coordinate with, monitor, and assess the activities of the Regulatory Units to 
37 
ensure proper implementation of the rules, regulations, and guidelines 
38 
promulgated by the Commission; 
39 
c) 
Maintain a database on the water supply, sanitation, and sewerage subsector; 
40 
and  
41 
d) 
Coordinate with other relevant agencies of the national or local government on 
42 
any matter relating to water supply, sanitation, and sewerage. 
43 
 
44 
SEC. 34. The Commission Secretariat. – The Executive Director shall head the 
45 
Commission Secretariat, keep and maintain the official records, and report of the 
46 
proceedings of the Commission, and administer oaths in all matters falling within the 
47 
jurisdiction of the Commission.  
48 
 
49 


32 
 
The Commission shall appoint, fix the compensation, and determine the status, 
1 
qualifications, and duties of the Executive Director and the Secretariat staff subject to 
2 
civil service laws, rules, and regulations. The Executive Director shall have at least ten 
3 
(10) years of experience in the field of law, business, commerce, finance, accounting 
4 
or public administration, water or utility economics, management, physical or 
5 
engineering services, hydrology and other related services. The members of the 
6 
technical staff, except those performing purely clerical functions, shall possess at least 
7 
a Bachelor’s Degree in any of the following lines of specialization: law, public 
8 
administration, economics, finance, engineering, accounting, or management.  
9 
 
10 
The Executive Director shall be responsible for the effective implementation of 
11 
the policies, plans, programs, rules, regulations, and directives of the Commission; 
12 
coordinate and supervise the activities of the different operating units under the 
13 
Commission; and perform such functions as may be assigned by the Chairperson and 
14 
other members of the Commission. 
15 
 
16 
SEC. 35. Enhancement of Technical Competence. – The Commission shall 
17 
establish rigorous training programs for its staff for the purpose of enhancing the 
18 
technical competence of the Commission in the following areas: evaluation of technical 
19 
performance and monitoring compliance with service and performance standards, 
20 
performance-based rate-setting reform, environmental standards, and such other 
21 
areas as will enable the Commission to adequately perform its duties and functions. 
22 
 
23 
SEC. 36. Compensation and Other Emoluments. – The compensation of the 
24 
members of the Commission and its staff shall be exempted from the coverage of 
25 
Republic Act. No. 11466, otherwise known as the "Salary Standardization Law of 
26 
2019", as amended. For this purpose, the schedule of compensation of the 
27 
Commission shall be submitted for approval of the President of the Philippines. The 
28 
compensation schedule of the Commission shall be implemented within six (6) months 
29 
from the effectivity of this Act and maybe upgraded by the President of the Philippines 
30 
as the need arises: Provided, That in no case shall the compensation of the 
31 
Commission and its staff be upgraded more than once a year: Provided, further, That 
32 
pertinent civil service laws, rules, and regulations shall be applicable to the 
33 
Commission. 
34 
 
35 
 The Chairperson and members of the Commission shall initially be entitled to 
36 
the same salaries, allowances and benefits as those of the Presiding Justice and 
37 
Associate Justices of the Court of Appeals, respectively. 
38 
 
39 
CHAPTER VII 
40 
Registration and Licensing 
41 
SEC. 37. Registration and Licensing of All Water Supply, Sanitation, and 
42 
Sewerage Services. – All water supply, sanitation, and sewerage service providers, 
43 
including bulk water suppliers and those providing services to subdivisions and other 
44 
service providers, shall register with the Commission and, subject to its rules, 
45 
guidelines, procedures and other issuances of the Commission, obtain a license to 
46 
operate from the appropriate regulatory units: Provided, That the Commission shall 
47 
act on the application for the issuance or the conversion of such licenses and renewals 
48 
thereof within the maximum period of one (1) year as provided under this Act or by 
49 


33 
 
Republic Act No. 11032, otherwise known as the "Ease of Doing Business and 
1 
Efficient Government Service Delivery Act of 2018". 
2 
 
3 
The Commission shall also ensure that the grant and revocation of licenses are 
4 
carried out fairly, transparently, and without discrimination. Issuances of the 
5 
Commission shall specify, among others, the qualifications, requirements and 
6 
procedure for the grant and revocation of licenses including the standards and 
7 
performance targets that shall continuously be complied with to keep the licenses valid. 
8 
 
9 
The Commission shall specify the requirements and procedure for existing 
10 
holders of a Certificate of Public Convenience (CPC), Certificates of Public 
11 
Convenience and Necessity (CPCN) issued by NWRB, or Certificate of Conformance 
12 
(CoC) issued by LWUA, to convert their existing certificates into licenses to operate.  
13 
 
14 
All local water utilities, existing water service providers, or holders of CPCN or 
15 
CoC shall be duly prioritized in the issuance of the licenses to operate over the areas 
16 
where they currently operate or as may be covered by their franchises. The 
17 
submission of the CPC, CPCN, provisional authority, or the CoC shall be sufficient 
18 
basis for the issuance of the new and converted or updated licenses to operate 
19 
required and contemplated under this Act. To ensure continuity of service, the 
20 
Commission shall complete the issuance of such converted or updated licenses not 
21 
later than six (6) months from the effectivity of the implementing rules and regulations 
22 
issued by the Commission pursuant to this Act. 
23 
 
24 
Unless otherwise provided in this Act or by the Commission, no public water 
25 
supply, sanitation, and sewerage service provider shall commence or conduct the 
26 
business of providing water supply, sewerage, and sanitation services without first 
27 
obtaining a license. 
28 
 
29 
Concession agreements and other contracts for water supply provision and water 
30 
sanitation and treatment services currently existing shall remain valid and enforceable 
31 
unless otherwise terminated, after due notice and hearing for reasons provided in the 
32 
existing terms and conditions under the concession or service agreement or contract, 
33 
or invalidated by the Commission, after due notice and hearing, where national 
34 
security, national emergency, or public interest so dictates. 
35 
 
36 
SEC. 38. Conditions of License. – The Commission may impose such 
37 
conditions in the issued license, as it may deem necessary, such as, but not limited 
38 
to: 
39 
a) 
Tariffs, rates, and charges that may be imposed from its customers or 
40 
consumers; 
41 
b) 
Term fixing the duration of the privilege; 
42 
c) 
Grounds for modification, suspension, or cancellation of the license; 
43 
d) 
Minimum technical performance and service level standards, such as but not 
44 
limited to: (i) water pressure; (ii) minimum flow rates; (iii) connections; (iv) 
45 
sewerage discharge, billing, and metering requirements, and (v) sanctions for 
46 
failure to comply with the standards set; 
47 
e) 
Expansion targets and service level improvements over time; 
48 
f) 
Restrictions or conditions for transferability of the business or controlling interest 
49 
in the business; 
50 


34 
 
g) 
Reportorial requirements and obligations of the grantee; and 
1 
h) 
Submission to annual performance audit by the Commission or its duly 
2 
authorized representative. 
3 
 
4 
SEC. 39. Rights and Duties of Licensees. –  
5 
a) 
Any person granted a license under this Act or with existing rights under 
6 
concession agreements and related agreements shall have the obligation to 
7 
ensure that  licensed activities are conducted to further public interest and, in 
8 
particular: 
9 
(1) 
Foster the maintenance and development of efficient, coordinated, and 
10 
viable operation of their licensed activities; 
11 
(2) 
Ensure that their water supply, sanitation, and sewerage services are 
12 
provided in a diligent, conscientious and workman like manner, in 
13 
accordance with applicable laws rules and regulations issued by the 
14 
Commission and the generally accepted standards and practices in the 
15 
water supply, sanitation, and sewerage industry; 
16 
(3) 
Comply with drinking water quality requirements and standards that may be 
17 
established by the Commission, Department, and DOH; and 
18 
(4) 
Ensure that provision of services shall not be discontinued without notice 
19 
to, and approval by, the Commission. 
20 
 
21 
b) 
Any person granted a license under this Act shall, to the extent allowed by law 
22 
and specified in the license, has the right to acquire or lease land, lay or repair 
23 
water or sanitation mains, and other relevant facilities in public ways to fulfill the 
24 
terms and conditions under the license; 
25 
 
26 
c) 
Subject to any condition or limitation laid down in the license, a licensee may 
27 
discontinue water supply, sanitation, and sewerage services to a customer if 
28 
such customer defaults in the payment of fees due to the licensee for the water 
29 
supplied or sanitation services provided, or for acts of pilferage pursuant to 
30 
Sections 8, 9, 10, and 11 of Republic Act No. 8041, otherwise known as the 
31 
"Water Crisis Act of 1995"; 
32 
 
33 
d) 
Any license issued under this Act shall contain provisions designed to ensure 
34 
that licensees: 
35 
(1) 
Publish the Tariff and other charges approved by and the terms and 
36 
conditions imposed by the Commission for the provision of water supply, 
37 
sanitation, and sewerage services;  
38 
(2) 
Prepare, within three (3) months from the issuance of a license, in 
39 
consultation with its customers, a customer service code specifying the 
40 
manner and procedure for:  
41 
i. 
Metering, billing, and collection of the licensee’s approved tariff and 
42 
other charges;  
43 
ii. 
Disconnection or suspension of service in case of non-payment of 
44 
tariffs and other charges, or acts of pilferage; and  
45 
iii. 
Recommendation and recovery of arrears in tariffs and other charges. 
46 
(3) 
Maintain financial accounts in accordance with the manner and procedure 
47 
specified in the license and as may be required by the Commission; and 
48 


35 
 
(4) 
Maintain and, upon request by anyone during regular office hours, promptly 
1 
make available for scrutiny and inspection such data, statistics and other 
2 
information, as may be required by the Commission. 
3 
 
4 
SEC. 40. Setting Tariffs, Rates and Other Charges. – The Commission shall 
5 
establish tariffs, rates and other charges which are fair and reasonable, and ensure 
6 
environmental sustainability, economic viability, and a fair return on investments.  
7 
 
8 
Service providers may apply for the setting of tariffs, rates, and charges based 
9 
on and consistent with a scientific and evidence-based rate-setting methodology that 
10 
the Commission shall, after due consultation, define and publish, taking into account 
11 
the following, among others: 
12 
a) 
Reasonable and prudent capital and recurrent costs of providing the service 
13 
including a reasonable rate of return on capital;  
14 
b) 
Efficiency of the service;  
15 
c) 
Incentives for enhancement of efficiency;  
16 
d) 
Capacity to pay of consumers;  
17 
e) 
Equity considerations; 
18 
f) 
Environmental sustainability;  
19 
g) 
Administrative simplicity; 
20 
h) 
In cases involving valid and subsisting concession agreements prior to the 
21 
enactment of this Act, the methodology provided under the concession 
22 
agreement; and 
23 
i) 
To the fullest extent practicable, the terms and conditions of the tariffs, rates or 
24 
other price-setting mechanisms set forth in any concession agreement, joint 
25 
venture agreement or other similar agreement for the provision of water or 
26 
sanitation services by an existing service provider. 
27 
 
28 
Tariffs, rates, and charges set by the Regulatory Units shall be presumed valid 
29 
and reasonable unless invalidated by the Commission, after due notice and hearing, 
30 
acting on a protest or contest duly filed with the Commission to ensure continuity of 
31 
service, application for setting of tariffs, rates and other charges shall be decided within 
32 
a non-extendible period of ninety (90) days from the date of filing thereof, and the 
33 
failure of the Commission to act on any such applications shall result in a provisional 
34 
approval: Provided, That in no case shall proceedings on any applications for the 
35 
setting of tariffs, rates and other charges exceed to a total period of one hundred 
36 
twenty (120) days reckoned from the date of filing of the application. 
37 
 
38 
SEC. 41. Direct Access. – Fifty-one percent (51%) of the registered water 
39 
consumers in a service area, municipality, city or province may petition for direct 
40 
access to water from any water service provider subject to concurrence by and 
41 
reasonable compensation to the service provider and approval by the Commission. If 
42 
the petition for direct access from any water service provider is approved by the 
43 
Commission, the new water service provider shall reimburse the existing service 
44 
provider for, as applicable, either the book value or the market value as determined 
45 
by an independent appraiser accredited by the Commission, whichever is higher, of 
46 
the water source, water supply, or water distribution or transmission facilities, pipelines 
47 
and other equipment which shall be transferred to or utilized by the new water service 
48 
provider. The Commission shall promulgate the implementing rules and procedures 
49 


36 
 
for this mode of service, which shall include, among others, financial and technical 
1 
capability of the new service provider. 
2 
 
3 
SEC. 42. Innovative Schemes to Improve Efficiency and Management of 
4 
Systems. – The Commission shall promote innovative schemes such as the 
5 
consolidation or integration of water supply, sanitation, and sewerage services, or 
6 
providers in the same service area, where it shall result in improved efficiency, service 
7 
expansion and lower costs.  
8 
 
9 
To this end, the Commission shall establish and issue such rules and guidelines 
10 
as may be necessary to (a) create performance-based and time-bound incentives to 
11 
encourage efficiency and service expansion; (b) establish the standards and targets 
12 
that service providers are required to meet; and (c) define the fines and penalties that 
13 
shall be imposed for failure to meet such standards and targets. 
14 
 
15 
CHAPTER VIII 
16 
Proceedings Before the Commission 
17 
SEC. 43. Proceedings Before the Commission. – For the purpose of any 
18 
investigation, inquiry, or proceeding, the Commission shall: 
19 
a) 
Issue subpoena duces tecum and subpoena ad testificandum; 
20 
b) 
Appoint hearing officers to hear and receive evidence on behalf of the 
21 
Commission; 
22 
c) 
Cite any person or party for contempt for refusal to appear, testify or comply with 
23 
an order of the Commission on any matter that is the subject of investigation, 
24 
inquiry or proceeding before the Commission. 
25 
 
26 
SEC. 44. Orders and Decisions of the Commission. – Any order, resolution, 
27 
or decision of the Commission shall be promulgated promptly, expeditiously, 
28 
reasonably, and in writing, and shall state clearly and distinctly the facts and law on 
29 
which it is based. The Commission shall publish and make available for public 
30 
inspection, all decisions and final orders in the adjudication of contested cases or 
31 
applications. 
32 
 
33 
SEC. 45. Appeals Procedure. – The orders, rulings, and decisions of the 
34 
Commission are final and executory unless appealed to the Court of Appeals within 
35 
fifteen (15) days from receipt of notice of such order, ruling or decision: Provided, That 
36 
orders, rulings, and decisions of the Commission approving tariffs, shall be 
37 
immediately executory and may be suspended only upon appeal and filing of a bond, 
38 
in an amount to be fixed by the Commission, to answer for damages occasioned by 
39 
the suspension or stay of execution of such orders, rulings, and decisions. 
40 
 
41 
SEC. 46. Prohibition Against Injunctions. – Except for the Supreme Court, no 
42 
temporary restraining order, preliminary injunction, or preliminary mandatory injunction 
43 
may be issued by any court to restrain any proceeding before, or the implementation 
44 
or execution of any order, ruling, or decision of the Commission.  
45 
 
46 
CHAPTER IX 
47 
Transitory Provisions 
48 
 
49 


37 
 
SEC. 47. Transition Period. – The Department shall, by virtue of this Act, be 
1 
subrogated to all the rights and assume all the functions of the government agencies 
2 
and units whose powers and functions have been subsumed, absorbed, transferred 
3 
or attached to the Department. The Commission shall also, by virtue of this Act, be 
4 
subrogated to all the rights, and assume all the functions, of the Water Utilities Division 
5 
of the NWRB, the regulatory offices of MWSS and LWUA, and all other government 
6 
agencies and units whose powers and functions have been transferred to the 
7 
Commission in accordance with the civil service laws, rules, and regulations. 
8 
 
9 
The transfer of powers and functions to the Department or the Commission of 
10 
the concerned agencies as herein provided for, shall be deemed completed within six 
11 
(6) months after the effectivity of this Act. 
12 
 
13 
All agencies transferred, subsumed and attached to the Department or the 
14 
Commission, shall continue to function under their present mandates until the six-
15 
month transition period mandated under this Act shall have lapsed. The transfer of 
16 
powers and functions shall include all applicable funds, personnel, records, property 
17 
and equipment, as may be necessary. The heads of the affected agencies shall 
18 
continue to serve until replaced. 
19 
 
20 
All rights and functions of the affected agencies are hereby transferred to and 
21 
assumed by the Department or the Commission, and shall be acted upon in 
22 
accordance with the rules and regulations of the Commission on Audit and other 
23 
pertinent laws, rules, and regulations. 
24 
 
25 
SEC. 48. Absorption or Separation from Service of Employees of the 
26 
Subrogated Agencies. – The current employees of all government agencies and 
27 
units whose powers and functions have been transferred to, absorbed or subsumed 
28 
by the Department or Commission shall enjoy security of tenure, in accordance with 
29 
their staffing pattern and the selection process as prescribed under Republic Act No. 
30 
6656 or the "Government Reorganization Law".  
31 
 
32 
Employees opting to be separated from the service as a consequence of the 
33 
consolidation and reconstitution under the provisions of this Act, shall, within one (1) 
34 
month from their separation or phase out from the service, receive separation benefits 
35 
in accordance with existing laws and those who are qualified to retire shall be allowed 
36 
to retire and be entitled to all benefits under existing retirement laws, subject to existing 
37 
rules and regulations of the Commission on Audit. 
38 
 
39 
CHAPTER X 
40 
Final Provisions 
41 
SEC. 49. Applicability of Ease of Doing Business Law. – The prescribed 
42 
processing time provided under Section 9(b) of Republic Act No. 11032 shall be 
43 
applicable to all agencies and LGUs covered under this Act particularly on accessing 
44 
government services. 
45 
 
46 
SEC. 50. Appropriations. – The amount necessary for the initial implementation 
47 
of this Act shall be charged against the current year’s appropriations of the agencies, 
48 
entities, divisions, sections or units subsumed or transferred to the Department. 
49 
Thereafter, such amount shall be included in the annual General Appropriations Act. 
50 


38 
 
 
1 
SEC. 51. Implementing Rules and Regulations. – Upon the effectivity of this 
2 
Act, the Department and the Commission, as may be applicable, as well as NEDA, 
3 
DBM, DENR, CSC, and the National Commission on Indigenous Peoples in 
4 
consultation with concerned government agencies shall promulgate the implementing 
5 
rules and regulations (IRR) of the Department and the Commission necessary for the 
6 
effective implementation of this Act within one hundred eighty (180) days after its 
7 
effectivity. 
8 
 
9 
SEC. 52. Separability Clause. – If any reason, portion, or provision of this Act 
10 
is declared unconstitutional, the remainder hereof or any provisions not affected 
11 
thereby shall remain in force and effect. 
12 
 
13 
SEC. 53. Repealing Clause. – The following provisions and issuances are 
14 
hereby repealed:  
15 
a) 
Section 3 (h) and Section 12 on the fixing of water rates and sanitation service 
16 
fees, Section 3 (n) on regulation of waterworks and deep wells, and Section 3 (p) 
17 
on the regulation of waterworks and sanitation systems in privately owned 
18 
subdivisions of Republic Act No. 6234 which created the Metropolitan 
19 
Waterworks and Sewerage System;  
20 
b) 
Section 62 on regulation and Section 63 on rate review of Presidential Decree 
21 
No. 198 otherwise known as the “Provincial Water Utilities Act of 1973”, as 
22 
amended by Letter of Instruction No. 700 – “Providing Measures To Control And 
23 
Regulate Increase In Water Rates”, Letter of Instruction No. 744 – “Relative To 
24 
Reliable Water Supply At Reasonable Rates In The Countryside”, Executive 
25 
Order No. 124-A, series of 1987 -  “Reorganization Act of the Ministry of Public 
26 
Works and Highways”, and Executive Order No. 123, 30 January 1987 -  
27 
“Reorganization Act of Ministry of Social Services and Development”;  
28 
c) 
Executive Order No. 22, series of 2023, creating the Water Resources 
29 
Management Office of the DENR; and 
30 
d) 
Section 154, Article V, Chapter I, Title One, Book II of Republic Act No. 7160 
31 
otherwise known as the “Local Government Code of 1991”, as amended, and its 
32 
implementing rules and regulations on the power of the LGUs to fix the rates of 
33 
water utilities owned, operated and maintained by them within their jurisdiction. 
34 
 
35 
Any other law, presidential decree or issuance, executive order, letter of 
36 
instruction, rule, or regulation inconsistent with the provisions of this Act is hereby 
37 
repealed or modified accordingly. 
38 
 
39 
SEC. 54. Effectivity. – This Act shall take effect fifteen (15) days after its 
40 
publication in the Official Gazette or in a newspaper of general circulation.  
41 
 
42 
Approved, 
43