SECTION 1.0    Basic Policy - Supplementing DENR Administrative Order No. 21 on the implementation of the EIS System, the Department also seeks to ensure environmentally and socially acceptable development of industrial areas within the Philippines in furtherance of, among other provisions, Art. I, Section 8, Rules and Regulations Implementing the Intent and Provisions of PD 1586 Establishing the Environmental Impact Statement (EIS) System in Relation to Presidential Decree No. 1151 Promulgating the Philippine Environmental Policy.

SECTION 2.0    Policy Objectives

1.2.1   To identify environmental constraints and opportunities of natural systems in order to guide the planning and development of industrial projects that have multiple stages or components.

1.2.2   To incorporate incentives for industrial siting in regional industrial centers.

1.2.3   To incorporate cost-effective environmental management systems in compliance with Philippine environmental standards.

1.2.4   To assess the carrying capacity of the natural environment in areas designated for industrial development.

1.2.5   To assure environmentally sensitive development of industrial projects and programs.

1.2.6   To assess the induced effects on the social and natural environment of concentrated industrialization programs.

1.2.7   To streamline the procedures for environmental compliance for industries locating in regional industrial centers.

1.2.8   To encourage industries to locate in geographic areas which are environmentally and socially suitable to their activities.

1.2.9   To ensure transparency through wide participation of concerned sectors, especially the local communities, in compliance monitoring of development projects and programs.

SECTION 3.0    Definition of Terms

1.3.1   For the purpose of these rules and regulations, whenever any of the following words and terms are used therein, they shall have the meaning ascribed in this section:

1.         Ambient Levels or Standards - refers to the allowance of maximum levels of selected pollutants in a water body or the surrounding air, with an adequate margin of safety, that will protect public health and the environment.

2.         Carrying Capacity - refers to the capacity of natural and human environments to accommodate and absorb change without experiencing conditions of instability and attendant degradation.

3.         CENRO - refers to the Community Environment and Natural Resources Officer of the DENR.

4. Compliance Monitoring or Monitoring - refers to the activity, usually through inspections, sampling, or other means of evaluation, designed to gauge the level of compliance with the conditions stipulated in the ECC and permits and in the EIS submitted.

5. DENR - refers to the Department of Environment and Natural Resources.

6.  Discharge Allocations - refers to pollution loadings that may be borne by the carrying capacity of a given area and which may be assigned to one or a number of industrial sources to ensure that ambient levels are not exceeded.

7.  Eco-Profile - or ecological profile, refers to geographic-based instruments for planners and decision-makers which present an evaluation of the environmental qualify and carrying capacity of an area. They are the result of the integration of primary and secondary data and information on natural resources and anthropogenic activities on the land which are evaluated by various environmental risk assessment and forecasting methodologies that enable DENR to anticipate the type of development control necessary in the planning area. The technical details is of particular use in the formation of an EIS for a project or program.

8. EMB - refers to the Environmental Management Bureau.

9.  Environmental Compliance Certificate (ECC) - refers to the document issued by the Secretary of the Department of Environment and Natural Resources or his duly authorized representative certifying that the proposed project or program under consideration will not bring about unacceptable environmental impacts and that the proponent has complied with the requirements of the Environmental Impact Statement (EIS) System for programmatic compliance.

10. Environmental Impact Assessment (EIA) - refers to the process of predicting the likely environmental consequences of implementing project or program activities.

11.  Environmental Impact Statement Review Committee - refers to the body of experts from various fields organized by DENR whose main task is to assist the DENR in evaluating EIS and other documents from time to time.

12.  Environmental Impact Statement/Study (EIS) - refers to the documentation of studies on the environmental impacts of a project or program including the discussions on direct and indirect consequences upon human welfare and ecological and environmental integrity. The EIS may vary in its specific application to differing projects and programs but shall contain in every case all the relevant information and details about the project to enable the DENR and other concerned parties to make judicious decisions regarding the carrying capacity of certain areas and systems to support projects or programs. Such EIS shall substantially conform with the outline set forth in Annex A.

13. Environmental Impact Statement (EIS) System - refers to the entire process of organization, administration and procedure institutionalized for the purpose of assessing the significance of the effects of physical developments on the quality of the environment.

14.   Environmental Monitoring Fund - refers to an ECC conditionally created to support the activities of the Multisectoral Monitoring Teams and a reasonable environmental information program.

15.   Export Processing Zone (EPZ) - a type of industrial estate. It is customs-controlled manufacturing enclave where industries are allowed to import raw materials and export finished goods without duty and tax charges and import restrictions. The rationale is to encourage the processing of imported raw materials for re-export while freeing the importer/exporter of the bureaucratic procedure and red tape normally associated with such operations. EPZs are designed mainly to attract foreign investments although local entrepreneurs may also establish enterprises in this area.

16.  Industrial Estate (IE) - refers to a tract of land subdivided and developed according to a comprehensive plan, under a unified and continuous management, with provisions for basic infrastructure and utilities with or without rebuilt standard factory buildings and common service facilities, for the use of a community of industries.

17.      Market Incentive - an administrative instrument founded in law or regulation that endeavors to stimulate the achievement of an environmental benefit through the market system without resource to command-and-control regulations.

18.       Methodologies to Forecast Environmental Impacts, Ambient Levels, and Discharge Allocation - refers to such techniques as:

Delphi Technique - uses the opinions of knowledgeable experts and through a repetitive process, converges toward group consensus

Mathematical Modeling - principal cause-effect relationships of a proposed action are described in terms of mathematical functions and combined to yield a mathematical model capable of predicting future environmental conditions. It is particularly helpful in assessing ambient levels

Simulation - generally used to assess the probabilities of various classes of events, or to forecast environmental changes from existing general trends. For example, the Monte Carlo Method may be used to estimate how frequently the concentration of the contaminant in the discharge might exceed a particular value.

Geographical Information Systems (GIS) - are essentially computerized graphical overlays and interacting data files. If environmental features are "mapped" systematically, information acquired on specific projects can be combined, and the GIS database becomes more detailed over time.

Cost-Benefit Analysis - a formalized accounting of the anticipated costs and benefits of an action of particular use when comparing alternative forms of an action. It is not limited to economic costs, but includes risks to long-term environmental quality and public health.

Environmental Risk Assessment - a category of analyses by which the potential risk of harm to individuals, communities and ecosystems can be evaluated. It is expected to be of significant value in the EIS process.

19.       Multisectoral Monitoring Team - refers to a team of project or program stakeholders from representative sectors, most particularly local communities, organized and chaired by DENR for the purpose of providing general oversight over ECC conditionalities.

20.       PENRO - refers to the Provincial Environment and Natural Resources Officer of the DENR.

21.       Permit - refers to a license issued by DENR to project or program facilities that limits emission/effluent discharges of individual sources in accordance with environmental standards.

22.       Pollution Management Appraisal (PMA) - an analytical technique for identifying methods by which industrial firms can reduce the amount or hazard of wastes generated, through methods such as source reduction, recycling/reclamation/reuse or pollution control measures.

23.  Program - refers to activities and actions of an undertaking consisting of a series of similar projects or enterprises, or a project subdivided into several phases and/or stages of determinable duration, whether situated in a contiguous area or geographically dispersed, which may have significant impact on the environment.

24.  Programmatic Compliance - refers to activities undertaken by a proponent to comply with the policies and procedures established by this regulation to secure an ECC for its project or program.

25.  Project - refers to activities and actions of an undertaking characterized by several components or a cluster of enterprises so-located in a designated area which may have significant impact on the environment.

26.  Project Profile (PP) - refers to the document submitted by the project proponent substantially describing the proposed project or program and containing sufficient descriptive detail of the environmental aspects of a proposed project or program to enable DENR to determine whether the project or program is subject to programmatic compliance procedures.

27.  Project or Program Administrator - refers to the operational representative of the proponent who is vested with the authority and responsibility to manage the compliance of the project or program with permitted discharges and emission allocations which are subject to DENR's regulatory authority and approval.

28.  Proponent - refers to any person, group, authority, association, public corporation, private corporation, or other body undertaking or intending to undertake a project or program and duly vested with administrative authority and responsibility over the project or program.

29.  Public Hearing - refers to the activity undertaken by DENR to gather facts and elicit all issues, concerns and apprehensions and at the same time provide the proponent with the opportunity to present the project or programs to the people/community who would be affected by such.

30.  RED - refers to the Regional Executive Director of DENR.

31.  Regional Industrial Center (RIC) - refers to a city or municipality prioritized by the Regional Development Council and the RIC Task Force as priority area where government can rationalize the distribution of public and private investments in industrial infrastructure to support its efforts of hastening the growth and development of lagging regions and at the same time effect dispersal of industries.

32.  Remediation Plan - refers to the formulation of measures or a methodology for achieving mitigation of one or more ECC conditionality violations.

33.  RTD - refers to the Regional Technical Director for Environmental Management and Protected Areas Services of the DENR regional offices.

34.  Social Acceptability - refers to the process, respected by both DENR and a proponent, which ensures that the concerns of affected communities are incorporated into the decision-making process for programmatic compliance.


SECTION 1.0    Projects and Programs Covered - 2.1.1.  Projects that fall into the following categories are within the purview of programmatic compliance, as more fully articulated by guidelines published by EMB:

1. Program consisting of a series of similar projects, or a project subdivided into several phases and/or stages whether situated in a contiguous area or geographically dispersed, such as energy projects,
   
   
2. Project consisting of several components or a cluster of projects co-located in a designated area such as an industrial estate or export processing zone.
   
   
3. The expansion of a program or project which may have significant impact on the environment.

2.1.2.  A proponent, if it is unsure whether it falls within programmatic compliance guidelines, may submit a Project Profile (PP) to the DENR Regional Office or Offices having jurisdiction over the proposed undertaking for a determination. If more than one Regional Office is involved, they shall make a joint determination unless the Secretary or his designated representative shall appoint a single region or other DENR unit to make such determination. For these purposes, the PP shall contain sufficient of the project or program elements, or the expansion thereof, to enable a procedural assessment to be made as to whether the undertaking is subject to programmatic compliance procedures. In that connection, an environmental description of sources and emissions, rather than an analysis of their impacts, will constitute sufficient accompanying technical detail. For reasons of administrative convenience, DENR may direct a proponent to divide a staged program into parts and require the submittal of a separate EIS for each such staged part.

2.1.3.  Undertakings that are determined to be outside the purview of programmatic compliance pursuant to Section 2.1.1 above, may be subject, however, to the requirements of the individual projects EIS as provided under DENR Administrative Order No. 21, Series of 1992.

2.1.4.  Project and programs shall not be developed within the Integrated Protected Areas System of the Philippines, as designated by DENR, unless such areas are designated by the President or his duly appointed representative to accommodate such projects and programs, as the public interest may warrant.

SECTION 2.0    The Proponent - The proponent shall include a person, group, authority, association, public corporation, private corporation, or other body duly with administrative authority and responsibility over the project or program. DENR shall publish guidelines on the types of projects and programs, and expansions thereof, that qualify for programmatic compliance and determine whether a proposed proponent has met them.

SECTION 3.0    Review of Projects and Programs for Programmatic Compliance

2.3.1.  The DENR Regional Offices, with assistance from EMB, shall be responsible for processing EIS programmatic compliance documents. The flow charts showing the processing steps set out below appear as Annex ____.

2.3.2.  A proponent having a project or program, or expansion thereof, that is subject to programmatic compliance shall be provided with a copy of the scooping guidelines published by DENR for its guidance. On the basis of the regulations hereunder and the scooping guidelines, the proponent shall prepare and submit an environmental impact statement (EIS) to the Regional Office. The EIS may be prepared by the proponent's technical staff or be commissioned to a competent contractor, at the option of the proponent.

2.3.3.  The proponent of such project or program, or expansion thereof, seeking programmatic compliance shall pay the necessary fees in accordance with the schedule of fees.

2.3.4.  DENR shall eco-profile all Regional Industrial Centers (RICs) officially designated as such by the government of the Philippines and shall established their respective environmental carrying capacities, baselines, and ambient levels. Application for programmatic compliance within an RIC must await completion of the eco-profile. If a proponent thereafter applies for programmatic compliance within an RIC, it shall be able to avail itself of the eco-profile's conclusions respecting environmental carrying capacities and ambient levels, and shall propose in its draft EIS the allocation of emissions for all sources, both existing and reserved for future allocations, respecting its, project, program, or expansion. The proponent will address in its EIS all other matters required by the scooping guidelines.

2.3.5.  If the proponent applies for programmatic compliance outside a Regional Industrial Center, it shall prepare and submit a full EIS at its own cost. The proponent shall include in its submittal baseline environmental data, ambient levels for the affected are in the relevant media, appropriate and applicable environmental risk assessment, and proposed emission levels.

2.3.6.  Upon completion of the EIS, the proponent shall submit at least fifteen (15) legible copies of the document to the DENR Regional Office for review.

2.3.7.  Upon receipt of the EIS, the Regional Office shall forward a copy of the document to the EMB for comment on its consistency with the eco-profile of the RIC, if relevant, and the remaining copies to the appropriate regional EIS unit which shall initially evaluate the submitted document as to its content and completeness. Within thirty (30) days, the regional EIS unit shall decide whether or not the information contained in the EIS is sufficient for a thorough evaluation of the subject environmental impacts. The regional EIS unit shall then inform the proponent of any additional information that may be needed for further evaluation of the EIS, and may also recommend and perform an ocular inspection of the proposed site or sites of the undertaking in question in order to check the veracity of the information contained therein. After the evaluation, the regional EIS unit, in its discretion, may convene the Regional EIA Review Committee to assist in the review process. EMB will assist in the review process as a resource, as needed.

2.3.8.  The Regional EIA Review Committee shall be selected from a pool of technical experts and subject area specialist both from within DENR and from outside sources such as the academic community and the private sector. EMB shall supplement the Committee's pool of experts when occasion demands. The Regional Office or Review Committee will schedule the holding of a public hearing, subject to the process stipulated in Article II, Section 4, and may likewise require the proponent to submit additional information, if necessary. The proponent will also be expected to demonstrate social acceptability of the project or program, in accordance with guidelines published by EMB/DENR.

2.3.9.  After a thorough evaluation of all inputs, the Regional Office or the Regional EIA Review Committee, as the case may be, shall recommend the approval or denial of the Environmental Compliance Certificate (ECC) by the Secretary of the DENR or his duly designated representative.

SECTION 4.0    Conduct of a Public Hearing - Public hearing(s), the number at the discretion of the DENR Regional Office, shall be held to promote a wide and timely exchange of views, information, and concerns among the affected parties, communities, and the proponent. At a minimum, the proponent will present the tentative conclusions of the EIS and their technical justification for the public's benefit and information.

2.4.1.  Notice of Public Hearing - A notice of public hearing shall be published once a week for two (2) consecutive weeks in any newspaper of general circulation and in the area(s) of the project or activity at least twenty (20) calendar days prior to a scheduled hearing. Notices shall likewise be posted in conspicuous places in the municipality or barangays where the project or projects are to be located. Expenses for the notices shall be borne by the proponent.

2.4.2.  Designation of Hearing Officers - The Secretary or his duly designated representative shall appoint hearing officers for the conduct of public hearings.

2.4.3.  Powers and Duties of Hearing Officers - Hearing Officers shall have the power and authority to conduct proceedings with the aim of eliciting further information and more pertinent facts.

They will ensure that all responsible positions/concerns are afforded an opportunity to be heard.

The Hearing Officers shall submit a report of their findings to the Regional Office or Review Committee, as appropriate, within fifteen (15) working days after the hearing.

2.4.4.  Nature Proceedings - Public hearings shall be summary in nature and need not strictly adhere to the technical rules of evidence.

Copies of the report shall be considered as public documents and shall be made available to all concerned parties and other interested entities, upon request.

SECTION 5.0    Scoping Procedures and Guidelines

2.5.1.  DENR shall require the proponent to involve the broadest range of stakeholders in the project or program in formulating the specific focal coverages of the EIA study, prior to its commencement, with a view toward seeking and eventually obtaining proofs of social acceptability before the ECC is issued.

2.5.2.  The EMB/DENR shall develop scooping guidelines and terms of reference for projects and programs subject to programmatic compliance. The guidelines shall include the following:

1. General objectives of programmatic compliance for projects or programs
   
   
2. Project sitting and discussion of alternative sites
   
   
3. Discussion of alternative technologies
   
   
4. Pollution prevention guidelines, including a framework for the operation of market-based incentives
   
   
5. Guidelines for the use of environmental risk assessment, mathematical modeling, simulation, Delphi techniques, geographical information systems (GIS), cost-benefit analyses, and other analytical and forecasting techniques for assessing environmental carrying capacity, impacts, and emission allocations in a given area
   
   
6. Proofs of social acceptability
   
   
7. Mitigation of infrastructure burdens
   
   
8. Guidelines for allocation of responsibilities for monitoring
   
   
9. Project components and time frame for implementation
   
   
10. Framework for the provision of an Environmental Monitoring Fund and financial responsibility options and methods.

SECTION 6.0    Granting of Environmental Compliance Certificate - An Environmental Compliance Certificate (ECC) is issued by the DENR Secretary or his duly designated representative to a proponent after having satisfied the process described in Article II of this Order. The ECC shall highlight the following conditionalities:

1.         Scope and delineation of the project or program and site(s)

2.         Pre-operational and construction activities

3.         Terms of reference for the sitting and approval of project or program

4.         Terms of reference for programmatic and phased project approval

5.         Terms of reference for annual Pollution Management Appraisals

6.         Terms of reference for multisectoral monitoring of ECC general conditionalities

7.         Terms of reference for discharge permits required under all relevant media programs and the emission allocations recommended therefor (for submission to the relevant DENR Regional permitting and monitoring units for operationalizing)

8.         Terms of reference for the Environmental Monitoring Fund

9.         Terms of reference for implementation of financial responsibility where warranted by public risk

SECTION 7.0    Monitoring

2.7.1.  Discharge allocations to sources in the project or program will become operationalized through permits issued by the appropriate DENR Regional Office and administered by the project or program administrator. EIS documentation will establish the discharge levels to be permitted. The Regional Office will also conduct compliance monitoring in order to assure the integrity of the permit limitations and discharge allocations of the project or program.

2.7.2.  The Regional Office shall initiate the formation of a Multisectoral Monitoring Team for an approved project or program and will serve as Chair of the Team's activities. Its principal function will be to provide general oversight over the conditionalities imposed in the ECC. The composition of the Multisectoral Monitoring Team shall broadly represent the sectoral stakeholders of the project or program, and most particularly the local communities.

SECTION 8.0    Pollution Management Appraisals and Market Incentives

2.8.1.  Annual Pollution Management Appraisals (PMAs) shall be required of the proponent (and its operational successors) at their own expense as a conditionally of ECC issuance. The PMAs will be require of each project component of the overall project or program. The first PMA will be due on the first anniversary of the issuance of the ECC. The purpose of the PMA is to examine the materials, processes, and procedures of an industrial operation in order to identify opportunities for waste minimization or source reduction, pursuant to pollution prevention guidelines established by EMB/DENR. The PMA shall not be used by DENR for compliance monitoring purposes.

2.8.2.  EMB/DENR shall prepare a separate guideline on the PMA administrative process.

2.8.3.  The project or program administrator (who shall be the successor to the project proponent) shall annually certify to the appropriate DENR Regional Office that the annual PMA has been performed for each project component. The certification shall include the auditor's conclusion on whether any opportunities have been identified to achieve waste minimization or sure reduction and a description of such opportunities.

2.8.4.  The Regional Office examine the PMA certifications submitted pursuant to Sec. 2.8.3. above. After the first three annual submittals, and every two years thereafter, the project or program administrator, subject to the agreement of the Regional Office, shall establish waste minimization or reduction targets for the discrete project components of each overall project or program; or, alternatively, for the project or program as a whole. The project or program administrator shall endeavor to meet the targets established and, to that end, shall report on the progress achieved by the project or program to the Regional Office beginning one year following the establishment of the first target, and every two years thereafter. The reporting form to be used by the project or program administrator shall be formulated by EMB/DENR.

2.8.5.  When a project or program achieves a measure of waste minimization or reduction, it shall be rewarded by such incentives a DENR may from time to time formulate for these purposes, including, but not limited to, the following incentive for permit tradeability and management: the increment saved through a waste minimization measure shall represent a reduction from the allocation assigned to the waste discharge of the project facility, and shall be measured by the DENR or by duly accredited independent contractors and then certified by the Regional Office. This increment may be sold at the market price to another project or program needing additional waste allocation under its permit. The needy project or program shall be allocated in the host RIC or in any other RIC that has been eco-profiled by EMB, in accordance with Section 2.3.4. This market incentive will not be available to any project or program located outside of an RIC,

SECTION 9.0    Environmental Monitoring Fund and Financial Responsibility

2.9.1.  An Environmental Monitoring Fund shall be created by each project as a conditionality of its ECC. Such Fund will be used (1) to support the activities of any Multisectoral Monitoring Team established herein under Section 2.7.2 and (2) to fund a reasonable community-based environmental information program. EMB/DENR shall publish guidelines on the nature of such expenditures and their budgetary levels.

2.9.2.  In addition, where warranted by public risk, DENR is authorized to enter into negotiations with a proponent to ensure its financial responsibility to respond to the following contingent events should a response be ordered by any lawful authority: corrective action for damage to the environment and/or damage to person or property, through exposure to toxic substances or waste. Mechanisms that may be used to demonstrate such financial responsibility include, but are not limited to, commercial insurance, self-insurance through a financial test, surety bond, letter of credit, and trust fund, or a combination of these instruments. EMB/DENR will publish guidelines on the implementation of financial responsibility and the use of such mechanisms. Except as modified by these provisions, the Environmental Guarantee Fund as contemplated by DAO No. 21, Series of 1992, shall not be imposed herein.

SECTION 10.0  Memorandum of Agreement with Local Government Units

2.10.1 After the eco-profile of each RIC has been completed pursuant to Section 2.3.4, DENR shall meet with all of the affected Local Government Units (LGU) at the barangay, municipal, and provincial level, together with other organized sectors, and brief them on its technical findings pursuant to the spirit of Art. 3, Sections (c) and (d), Rules and Regulations Implementing the Local Government Code of 1991.

2.10.2 After consultations have taken place between DENR and the appropriate LGUs, and appropriate interest is expressed on the part of the LGUs, DENR shall undertake to enter into a Memorandum of Agreement (MOA) with the LGUs, either jointly or severally, with a view toward incorporating, either originally or by amendment, the eco-profile for each RIC into the Comprehensive Land Use Plan required to the LGUs pursuant to Art. 41, Ibid., with particular reference to the requirement therein that "ecological balance" be considered in the Plan.


SECTION 1.0    Proponents

1. conduct an Environmental Impact Assessment (EIA) of the proposed project and submit its findings to DENR in accordance with the prescribed guidelines
   
   
2. involve the public in project scooping and other appropriate opportunities
   
   
3. provide a true, complete and accurate EIS
   
   
4. publish the notice of public hearing
   
   
5. provide resource persons to make presentations and answer questions during public meetings and hearings
   
   
6. ensure that appropriate post-assessment permits are in place and that monitoring and reporting are carried out as required
   
   
7. comply with the conditionalities of the ECC
   
   
8. submit the required reports to the DENR

SECTION 2.0    DENR

3.2.1   Office of the Secretary

1. approves and issues EIA policies, plans, programs, and guidelines
   
   
2. advises the President and Congress on the need to enact and modify laws relative to the EIS System
   
   
3.  Issues or denies the Environmental Compliance Certificate for EIS documents submitted under Section 2.3.6
   

3.2.2   EMB

1. formulates, recommends, and coordinates the implementation of EIA policies, plans, programs and guidelines relative to the EIS System
   
   
2. in coordination with regional offices, conducts assessments and evaluations of the EIS to serve as basis for recommending the issuance/denial of the ECC and/or advises the proponent that its project as planned needs modification and correction
   
   
3. performs eco-profiles of areas and natural systems, including Regional Industrial Centers, in order to facilitate their evaluation for development
   
   
4. serves as the administrative body which carries out certain support procedures of the EIS System
   
   
5. develops procedural assessment and eco-profile guidelines and prescribes the appropriate scoping guidelines for projects and programs undertaking programmatic compliance
   
   
6. supports and supplements the EIS Review Committee when necessary
   
   
7. In cooperation with the Regions, solicits in writing comments from other government agencies and persons with expertise or regulatory powers over the proposed projects and programs
   
   
8. coordinates with the DENR field offices, local government units (LGUs), non-governmental organizations (NGOs), people's organizations (POs), proponents and other government agencies in the conduct of actual compliance and multisectoral monitoring of projects and programs granted ECCs under programmatic compliance
   
   
9. provides technical assistance to the Regional Offices in the conduct of public hearings
   
   
10. initiates consultations with Local Government Units, and other sectors, with a view toward entering into a Memorandum of Agreement designed to incorporate eco-profile into LGU Comprehensive Land Use Plans.

3.2.3   Regional Offices

1. implement the laws, policies, plans, programs, projects, rules and regulations of the DENR relative to the EIS System
   
   
2. review, assess, and evaluate EIS for programmatic compliance
   
   
3. investigate EIS-related complaints
   
   
4. conduct on-site inspections for EIS purposes and make necessary recommendations
   
   
5. conduct actual compliance monitoring of projects granted ECC and prepare the necessary reports
   
   
6. coordinate with other government agencies, non-governmental organizations, local government units, private offices and proponents in the region in the implementation and enforcement of EIS System rules and regulations and in public information campaigns
   
   
7. initiate the conduct of public hearings
   
   
8. initiate the formation of and chair Multisectoral Monitoring Teams for programmatic compliance
   
   
9. chair the Regional EIS Review Committee when it is utilized for EIS review purposes
   
   
10. recommend approval or denial of the ECC for EIS programmatic compliance under Section 2.3.9
    
    
11. administer pollution prevention programs in coordination with project and program administrators through pollution management appraisals and other means, and initiate market-based incentives

3.2.4.  PENRO and CENRO

1. coordinate with local government units, barangay officials, NGOs, POs and local residents relative to the EIS System
   
   
2. conduct public information campaign regarding the EIS System
   
   
3. assist the Regional Office in the conduct of on-site inspections and monitoring

3.2.5.  EIS Review Committee

1. whenever convened, in the discretion of the Regional Office, assist the EIA unit in the evaluation and review of EIS documents
   
   
2. make recommendations regarding the issuance or non-issuance of Environmental Compliance Certificate of proposed projects or programs under review

In general, the project or program administrator shall be accountable for compliance with the ECC issued to his project or program; and the individual component facilities under a project or program may be held accountable under other authorities for compliance with their individual permits and for appropriate corrective action. Accordingly, the Secretary of the Department of Environment and Natural Resources or his duly authorized representative shall impose penalties upon projects or program administrators found violating provisions of PD 1586 or its implementing rules and regulations. Nothing herein contained, however, shall prevent the imposition of any sanctions, whether civil or criminal, against a project/program's individual component facilities (and their managers) that may be authorized under any other pollution control law or regulation of the Republic of the Philippines that regulates discharges, effluents, emissions, conditions, or procedures to which such individual component facilities are subject.

SECTION 1.0    Scope of Violations

4.1.1.  Projects or programs defined under Section 2.1.1 found operating without an ECC.

4.1.2.  Projects or programs found violating ECC conditions.

SECTION 2.0    Imposition of Penalties

4.2.1.  A report which will serve as the basis for the imposition of fine will be prepared by the Regional Office. The report will include the following information, at a minimum:

1. Brief background of the project or program including any previous violation, if any.
   
   
2. Nature of the violation and/or the ECC conditions violated.
   
   
3. Results and discussion on any measurement, sampling or monitoring activities conducted either by EMB, Regional environmental Management Protected Areas (EMPAS) or DENR accredited research institutions, academic and or technical organizations.
   
   
4. Discussion on the results obtained and the corresponding adverse impacts caused by the violations.
   
   
5. Recommended amount of fine to be imposed in accordance with this Order.

4.2.2.  The Report shall be submitted to the Director of EMB or the Regional Executive Director (RED), as the case may be, for appropriate action.

4.2.3.  The EMB Director or RED shall issue an order for the imposition of penalties.

4.2.4.  Nature Violations and Corresponding Fines

The violation of ECC requirements is categorized as follows:

A.        Projects or programs which are established and/or are operating without an ECC

Any project or program which has been classified or is classifiable under Section 2.1.1 and has been established and/or is operating without an ECC shall be liable to penalty.

Any project or program that is subject to programmatic compliance and operating without an ECC shall be informed by DENR about the nature of the violation and the corresponding amount of fine proposed to be imposed.

The DENR shall evaluate the merits of the explanation submitted by the proponent or the duly authorized representatives of the violating project or program and decide whether or not a fine and the submission of EIS/PD shall be imposed.

The amount of fine shall not exceed P50,000 for each violation, at the discretion of the DENR.

The violator shall settle all requirements within forty-five (45) days following notification. A separate violation occurs for each day that extends beyond such forty-five (45) day period without having settled all requirements. The fine shall not exceed P50,000 for each such separate violation. Failure to comply with these requirements also constitutes grounds for issuance of an order for the cessation of project or program operation.

B.  Projects or programs violating ECC Conditions

1.   First Violation - The proponent (or the project or program administrator) shall be informed about the nature of the violation by the Director of the EMB or the RED, and shall be asked to explain, within seven (7) days following receipt of notification, why it should not be penalized. The Director of the EMB or the RED shall decide within seven (7) days following receipt of explanation whether the justification is meritorious or a violation has been committed.

The Director of EMB or RED, upon determination that a fine is warranted, shall impose a fine and require the proponent (or the project or program administrator) to submit a remediation plan that will address the violations. The plan will also contain a time frame for completion of the remediation. The plan shall be approved by the Director of EMB or RED. If the violator does not submit a Plan within five (5) days of the order to do so by the Director of EMB or RED, the latter shall impose a Plan.

The amount of fine for each violation of the ECC conditions shall not exceed P50,000, which shall be set at the discretion of the DENR. A separate violation occurs for each day that extends beyond the time frame for remediation completion established in the remediation Plan. The fine shall not exceed P50,000 for each such separate violation. Failure to comply with these requirements also constitutes grounds for the summary suspension or revocation of the ECC.

2.   Subsequent Violations - Upon further violation of any ECC condition by any proponent (or project or program administrator), the EMB or Regional Office may order, in addition to the imposition of fines as provided in subsection B.1 (above) of this Sec. 4.2.4 or such other sanctions as may be available under applicable pollution control laws, the cessation of operations and the revocation of the violator's ECC, and shall pursue these remedies under any legal authority available to DENR whether intrinsic or extrinsic to PD 1586 and its rules.

SECTION 3.0    Implementing Body - The EMB and DENR Regional Offices shall be responsible for determining whether there has been any violation of PD 1586, and its implementing rules and regulations.

SECTION 4.0    Motion for Reconsideration - All Motions for Reconsideration by the proponent (or the project or program administrator) shall be submitted to the EMB Director or RED within fifteen (15) days following receipt of the DENR order. The EMB Director or the RED shall issue a decision on the Motion for Reconsideration within (30) days following receipt of the motion. The decision of the EMB Director or the RED, as the case may be, shall be final. A Motion for Reconsideration shall not stay the daily accumulation of penalties for non-compliance with a remediation plan.

SECTION 5.0    Appeals - Any appeal from the decision/order of the EMB Director or RED shall be filed by the proponent (or the project or program administrator) with the Office of the Secretary within fifteen (15) days following the receipt of the said order or devisor. The Secretary shall issue a decision on the appeal within a period of thirty (30) days following the receipt of the said appeal. The decision of the Secretary shall be final and executory.


5.1       An application for an ECC which has been inactive on the part of the proponent for at least a year shall be returned to the proponent. The DENR shall notify the proponent one month before the application is terminated.

5.2       If, after termination, the proponent decides to proceed with its project, it is considered a new application and the proponent shall pay the corresponding fee.


Considering the technical details needed to operationalize this order, the EMB shall prepare the appropriate blueprint plans of action that will prepare the implementation of the order within a period not to exceed one year from the effectivity of the said order.


This AO shall take effect thirty (30) days after publication of the Implementing Rules and Regulations in any newspaper of general circulation.


All rules and regulations found inconsistent herewith shall be superseded by this administrative order.

Adopted: 28 Mar. 1994