ENR Framework Plan

Page 1

WORK

FRAME

PLAN

Volume I

FOR ENVIRONMENT & NATURAL RESOURCES MANAGEMENT 2006

Department of Environment and Natural Resources

United Nations Development Programme



FRAMEWORK PLAN

Volume I FOR ENVIRONMENT & NATURAL RESOURCES MANAGEMENT 2006

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PARTNERS

DEPARTMENT OF ENVIRONMENT & NATURAL RESOURCES ENR CORE: ENERGY AND ENVIRONMENT FOR SUSTAINABLE DEVELOPMENT This country programme component with the Department of Environment and Natural Resources as the lead implementing partner, promotes the goal on energy and environment for sustainable development endeavors to strengthen the capacity of key stakeholders to implement the Environment and Natural Resources (ENR) framework roadmap for the next 10 years, thus harnessing the Philippines’ natural capital to meet its people’s needs and aspirations across generations. The program will likewise cover measures that would minimize environmental emergencies, where feasible, decreasing vulnerabilities of affected population by increasing their capacities to prepare for, and cope with, the adverse impacts of such incidents. It focuses on (1) frameworks and strategies for sustainable development (2) access to sustainable energy services, and (3) conservation and use of biodiversity. The component is linked to poverty reduction, governance and crisis prevention. It works on enhancing the environment’s carrying capacity to support the country’s sustained economic growth, alleviating poverty in the process. As such, it strategically supports key stakeholders in harnessing value from natural resources optimally, through sustainable agriculture and sustainable development.

UNITED NATIONS DEVELOPMENT PROGRAMME UNDP is the UN’s global development network, advocating for change and connecting countries to knowledge, experience and resources to help people build a better life. We are on the ground in 166 countries, working with them on their own solutions to global and national development challenges. As they develop local capacity, they draw on the people of UNDP and our wide range of partners. World leaders have pledged to achieve the Millenium Development Goals, including the overarching goal of cutting poverty in half by 2015. UNDP’s network links and coordinates global and national efforts to reach these Goals. Our focus is helping countries build and share solutions to the challenges of: Democratic Governance, Poverty Reduction, Crisis Prevention and Recovery, Energy and Environment, Information and Communications Technology, and HIV/AIDS UNDP helps developing countries attract and use aid effectively. In all our activities, we encourage the protection of human rights and the empowerment of women.

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FRAMEWORK PLAN

Volume I FOR ENVIRONMENT & NATURAL RESOURCES MANAGEMENT 2006

SECTORAL FRAMEWORK PLANS Volume II. Forest and Water Resources Management Volume III. Biodiversity Resources Management Volume IV. Coastal and Marine Resources Management Volume V. Mineral Resources Management and Geosciences Volume VI. Land Resources Management Volume VII. Environment Management

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CONTENTS

vii ix

FOREWORD GLOSSARY OF ACRONYMS SECTION 1: Coverage of the ENR Framework Plan SECTION 2: ENR Sector Review ENR Situation Analysis Forest Resources and Watersheds Coastal/Marine Habitats and Resources Biodiversity Resources Land Resources and Land Quality Air Quality Water Quality Wastes and Toxic Chemicals Water Resources Mineral Resources and Mining State of ENR Sustainability

Contribution to the Economy Gross Value Added Contribution to GNP and Total Exports

ENR Governance

1 3 4 4 17 29 35 43 47 51 55 58 67

69 69 70

72

DENR Organization Other Key Government Agencies in ENR Management Outstanding Issues in Governance Legal Framework International Covenants and Agreements Financing of ENR Summary of Progress Made in the ENR Sector

Factors Affecting ENR Status High Population Growth Rate High Incidence of Poverty Industrialization Globalization

72 74 76 78 82 84 87

89 90 91 91 92

Priority ENR Management Problems & Issues Priority ENR Problems Priority ENR Management Issues Contentious Issues on ENR Summary of Cross Sectoral Issues on ENR-Management

SECTION 3: ENR Management Framework Plan ENR Management Framework Conceptual Framework Policy Framework ENR Management Principles Linkage with the National Framework for Physical Planning Integration of UN MDGs and Johannesburg Agreements

94 95 95 96 101

108 109 109 113 115 117 118

ENR Management Framework Plan

120

Vision/Mission of ENR Sector Strategies and Priority Action Thrusts Mainstreaming Women and Development Legislative Agenda

120 121 133 135

REFERENCES

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CONTENTS

LIST OF TABLES 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24

Forest Cover in Forestlands Based on FMB Data Forest Cover in Total Land Area Based on NAMRIA Data Area Reforested, 1990 – 2000 Area of CBFMA and TLA, 1982 – 2000 Income from Forestry and Hunting Catch per Unit Effort for Small Pelagic Fishes, 1982 – 2000 Size and Number of Protected Areas in the Country Land Classification, 1990 – 2000 Status of Cadastral Survey (2001) Total Number of Classified Water Bodies List of Biologically Dead Rivers Nationwide, 1990 – 1992 Number of Operating Metallic Mines Particulars of Operating Metallic Mines Inactive Metal Mines (1999 – 2002) Mines with Inactive Operations for More Than Five Years Indicative Environment Sustainability Rating Indicator Rating Values Growth Rates in GVA in Fisheries, Mining and Quarrying, 1990 – 2000 (Constant 1985 Prices) GVA in Forestry, Fishery and Mineral Resources, 1985 – 1999 (Constant 1985 Prices) Contribution of Forestry, Fishery and Mineral Resources to Total Exports, 1985 – 1998 DENR Budget, 1992 – 2002 DENR Revenues, 2000 – 2001 Total ODA Committed to the Philippines: 1992 – 1999 Foreign Assistance in ENR Sector

4 5 7 9 10 19 30 35 36 47 48 58 59 60 60 67 68 70 71 71 85 85 86 87

LIST OF FIGURES 1 2 3 4 5 6 7 8

Percent Forest Cover in Forestlands (FMB Data) Percent Forest Cover in Total Land Area (NAMRIA Data Area Reforested, 1990 – 2000 Area of CBFMA and TLA, 1982 – 2000 Total Number of Classified Water Bodies Number of Operating Mines DENR Organizational Chart Environment and Natural Resources Management Within the Context of Sustainable Development: A Conceptual Framework

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4 5 7 9 47 59 73

110


FOREWORD

As a country subscribing to the notion of sustainable development, the Philippines has recognized one of its major pillars—its vibrant and resilient environment. The Philippine Agenda 21 underscored the essence of sustainable development as “the harmonious integration of a sound and viable economy, responsible governance, social cohesion and ecological integrity.” The country’s environment and natural resource base provides the goods and services on which majority of its people depend for sustenance and livelihood. A major determinant of the Philippines’ economic productivity, and ultimately, its sustainable development, is the environment’s carrying capacity and the ability of its natural resources base to provide the basic materials for the country’s various economic activities. The role of the environment and natural resources as a basis for wealth creation and provider of life support services has not been optimally explored in the Philippines. This is due, in part, to the absence of a holistic framework that is based on a detailed assessment of the problems and issues, and that identifies opportunities for strategic interventions, to guide the sustainable utilization and management of the environment. A framework provides the take-off point for a more systematic and consistent planning and implementation of environmental protection and enhancement measures. This has catalyzed the formulation of this Environment and Natural Resources Framework (the Framework), meant to provide a road map and basis for multi-year planning for the environment and natural resources sector. In keeping with the spirit of democratic participation, the Framework is the result of a series of iterative national, regional, and local consultations across the sectors. Government, civil society, the private sector, and the academe came together to dissect the multifaceted problems confronting the country’s environment, and to collectively agree on a common way to move forward. The result is a legacy direly needed for the present and future generations. The contribution of all sectors in achieving the outcomes under this Framework, therefore, cannot be overemphasized. It is our hope that the multisectoral partnership that catalyzed the formulation of this Framework will extend to the formulation of subsectoral plans and their subsequent implementation. At the end of the day, it is people coming together that truly transforms great ideas into reality.

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FOREWORD

United Nations Development Programme

In the 2004 Common Country Assessment (CCA) of the United Nations in the Philippines, environmental sustainability has been cited as a serious development issue, affecting approximately two-thirds of the country’s population. It noted that national life remains deeply anchored on the environment, with cultures, economic endeavors, social relations, politics and even national security, firmly rooted in what nature can offer. It is important, therefore, to address the issues affecting the country’s environmental and natural resources if it is expected to fulfill its role as an indispensable third pillar of sustainable development. Sustainable development can only proceed if the environment and its natural resources can be optimally harnessed, providing generations of Filipinos with the rich quality of life they deserve. The challenges to ecological security, however, are varied, complicated and multifaceted, requiring consistent and long term measures which pans a range of generations. It is this fact that the various assessments leading to the formulation of the ENR Framework underscored. These assessments, which were done at various levels, involving the sub-sectors and all of the concerned stakeholders, stressed the need for a coherent set of short, medium and long term interventions which address the issues of conflicting and unequal access to the environment and natural resources, lack of enforcement and unavailability of appropriate technologies, among others. The United Nations Development Programme is happy to have provided assistance in making the framework a reality. We hope that this can serve as the basis for consistent, coherent planning and implementation of environmental management undertakings to enable the sustainable utilization of the country’s natural resource base for the sustainable human development of the Filipino people.

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GLOSSARY

ADB A&D AFMA APT

Asian Development Bank alienable and disposable Agriculture and Fisheries Modernization Act Asset Privatization Trust

BFAR BOD BSWM

Bureau of Fisheries and Aquatic Resources biochemical oxygen demand Bureau of Soils and Water Management

CAC CADC CADT CALC CALT CARP CBFM CBFMA CBMFA CENRO CEP CFC CFMA CFSA CITES

command and control certificate of ancestral domain claim certificate of ancestral domain title certificate of ancestral land claim certificate of ancestral land title Comprehensive Agrarian Reorm Program community-based forest management community-based forest management agreement community-based mangrove forest agreement Community Environment and Natural Resources Office Coastal Environment Program chlorofluorocarbon community forest management agreement community forest stewardship agreement Convention on International Trade in Endangered Species of Wild Fauna and Flora comprehensive land use plan Coastal and Marine Management Office Coastal Resources Management Project coastal resources management certificate of stewardship contract

CLUP CMMO CRMP CRM CSC DA DA-BFAR DAR DDT DENR DILG DO DOJ

Department of Agriculture Department of Agriculture - Bureau of Fisheries and Aquatic Resources Department of Agrarian Reform dichlorodiphenyltrichloroethane Department of Environment and Natural Resources Department of Interior and Local Government dissolved oxygen Department of Justice

ECC EIA EIS EMB EMS ENR ENRO ENRA ENRAP EO ERDB EUFS

environmental compliance certificate environmental impact assessment environmental impact statement Environmental Management Bureau environmental management system Environment and Natural Resources Environment and Natural Resources Office Environment and Natural Resources Accounting Environment and Natural Resources Accounting Project executive order Ecosystems Research and Development Bureau Environmental User Fee System

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GLOSSARY x

FARMC FASPO FIES FLMA FMP FSP FTAA FMB

Fisheries and Aquatic Resources Management Council Foreign Assisted Special Project Office Family Income and Expenditure Survey forest land management agreement Forestry Master Plan Fishery Sector Program Financial and Technical Assistance Agreement Forest Management Bureau

GDP GHG GMO GNP GVA

gross domestic product greenhouse gases genetically modified organisms gross national product gross value added

HP HUDCC

horsepower Housing and Urban Development Coordinating Council

ICC IEC IFMA IP IPAS IPM IPRA IRR ISF ITP IUCN LGU LLDA LMB LWUA

Interagency Coordination Committee Information, Education and Communication industrial forest plantation management agreement indigenous peoples integrated protected areas system integrated pest management Indigenous Peoples Rights Act implementing rules and regulation integrated social forestry industrial tree plantation International Union for the Conservation of Nature local government unit Laguna Lake Development Authority Land Management Bureau Local Water Utilities Administration

MBI MEA MFARMC MGB MMDA MPSA MSC MTPDP MWSS

market-based instrument multilateral environmental agreement Municipal Fisheries and Aquatic Resources Management Council Mines and Geosciences Bureau Metro Manila Development Authority Mineral Production Sharing Agreement Mangrove Stewardship Contract Medium Term Philippine Development Plan Metropolitan Waterworks and Sewerage System

NAMRIA NAPOCOR NEDA NCIP NFPP NGA NGO NICMMS NIPAP NIPAS

National Mapping and Resource Information Administration National Power Corporation National Economic and Development Authority National Commission on Indigenous Peoples National Framework for Physical Planning national government agency nongovernment organization National Integrated Coastal and Marine Management Strategy National Integrated Protected Area Project National Integrated Protected Area System

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NOx NSCB NWRB

oxides of nitrogen National Statistical Coordination Board National Water Resources Board

ODA ODS OSEC

Official Development Assistance ozone depleting substance Office of the Secretary

PA21 PAB PAMB PAWB PCB PEENRA

Philippine Agenda 21 Pollution Adjudication Board Protected Area Management Board Protected Areas and Wildlife Bureau polychlorinated biphenyl Philippine Economy-Environment and Natural Resources Accounting Provincial Environment and Natural Resources Office Pasture Lease Agreement particulate matter 10 people’s organization Planning and Policy Studies Office Presidential Task Force on Water Resources Development and Management

PENRO PLA PM10 PO PPSO PTFWRDM

RODS

register of deeds

SAFDZ SOx

Strategic Agriculture and Fisheries Development Zone oxides of sulfur

TLA TOR TPSA TSP

Timber License Agreement terms of reference timber sharing agreement total suspended particulates

UNCLOS UNDP UP-MSI USAID

United Nations Convention on the Law of the Sea United Nations Development Programme University of the Philippines Marine Science Institute United States Agency for International Development

WHO

World Health Organization

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SECTION 1

COVERAGE OF THE ENR FRAMEWORK PLAN T

he Framework Plan for Environment and Natural Resources (Framework Plan) serves as a blueprint to guide the policy and planning staff of the Department of Environment and Natural Resources (DENR) and its bureaus in addressing the trends and challenges in environment and development for the next 10 years (2003–2012). It is DENR’s road map in pursuing sustainable development given the existing and anticipated problems, policy, and institutional issues and constraints. The sectors covered in the Framework Plan are: forest and water resources, biodiversity resources, coastal and marine resources, land resources, mineral resources, and geosciences and environment. The Framework Plan has three major parts: Part I is the sector review, which provides a summary profile of the environment and natural resource (ENR) sector. It describes (i) the quality and quantity of the sector during the last 5–10 years, and (ii) the sector’s status. The sector review charts the types and extent and/or magnitude of problems in ENR and tracks the sector’s progress. The state of ENR sustainability, both overall and sectoral, is rated on the basis of indicative thresholds or standards, which serve as benchmarks in computing for ENR sustainability indices. The results serve as a basis for prioritizing the ENR management agenda for action.

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The sector review also accounts for the policy responses of the government in resolving issues and problems of the ENR sector. It (i) examines ENR’s contribution to the economy, (ii) analyzes the governance and financing of the sector, and (iii) describes the sector’s support to multilateral environmental agreements (MEAs). The sector review also identifies development trends affecting the ENR sector so that the necessary preventive or remedial measures to potential problems could be strategically crafted in the framework plan. The primary aim of the sector review is to assess the ENR situation and determine the adequacy of government measures in addressing ENR problems so that gaps and issues may be given more attention, and priorities identified. These gaps and issues cover governance and institutional aspects, programs and projects, and implementation of laws and regulations. Gaps assessment determines the difference between what needs to be done and what is being done. Issues refer to pressing and contentious issues that currently beset the sector. The results of the sector review serve as the bases for prioritizing ENR problems and management issues that have to be addressed in the preparation of the ENR Framework Plan. Part II is the ENR management framework plan that describes the foundation for laying the groundwork for ENR management. It includes the conceptual framework for ENR management within the context of sustainable development, overall policy framework, and management principles. The framework plan spells out the vision/mission of the ENR sector, its strategies and priority action thrusts, and a broad legislative agenda. The framework plan guides the preparation of sectoral master plans or more detailed operational plans. Part III contains the sectoral framework plans for (i) forest and water resources management, (ii) biodiversity resources management, (iii) mineral resources management, (iv) geosciences, coastal, and marine resources management, (v) land resources management, and (v) environment (environmental quality) management. The sectoral framework plans provide a detailed assessment of the ENR sectors under the jurisdiction of DENR, and chart future directions and strategies for managing the sectors. Details of the sectoral framework plans are given in separate volumes.

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SECTION 2 3

ENVIRONMENT & NATURAL RESOURCES REVIEW

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ENVIRONMENT AND NATURAL RESOURCES SITUATION ANALYSIS Forest Resources and Watersheds Trend and Status An assessment of forest cover based on official statistics published by the Forest Management Bureau (FMB) (Philippine Forestry Statistics, 2002) shows that forest cover in the Philippines declined from 17.1 million hectares in

Table 1. Forest Cover in Forestlands Based on FMB Data Forest Cover

Area (million hectares)

% Total Forest Cover

% Total Forestland

Old growth forest

0.804

14.9

5.06

Residual dipterocarp forest

2.731

50.6

17.19

Pine forest

0.227

4.21

1.42

Submarginal forest

0.475

8.81

2.99

Mossy forest

1.040

19.29

6.54

Mangroves

0.112

2.07

0.70

Total forest cover

5.391

100

33.94

Note: Total area of forestlands – 15.88 million hectares. Source: 2002 Philippine Forestry Statistics

Figure 1. Forest Cover in Forestlands (FMB) Mossy Forest (6.54%)

Old Growth Forest (5.06%) Residual Dipterocarp Forest (17.19%)

Submarginal Forest (2.99%) Pine Forest (1.42%) Mangroves (0.70%)

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1934 to about 5.39 million hectares in 1996, or 34% of total forestland of 15.88 million hectares. Remaining old growth forest was also estimated by FMB to be down to about 804,900 hectares or 14.9% of total forest cover, while residual dipterocarp forest totaled 2.731 million hectares (Table 1). The decline was attributed mainly to logging (legal and illegal), forestland clearing for agriculture (kaingin), settlements, and forest fires. A more recent set of statistical data generated by the National Mapping and Resource Information Administration (NAMRIA) (Table 2) places total forest cover at 14.36 million hectares. It also reported that old growth forest cover is 2.6 million hectares while residual growth is about 4.5 million hectares. The mapping agency surmises that the increase in forest cover could have been due to the positive effects of DENR’s reforestation program, log ban, and improved enforcement of forest protection laws for the last 10 years. These Table 2. Forest Cover in Total Land Area Based on NAMRIA Data Land Use/Forest Type Dipterocarp

Area (million hectares) 7.185

% Total Land Area 24.33

Old growth

2.602

8.83

Residual

4.565

15.50

Pine

0.144

0.489

Submarginal

0.113

0.383

Mossy forest

0.101

0.343

Mangroves

0.147

0.499

Brushland

6.676

22.67

Total forest cover

14.36

48.7

Note: Total land area of the country: 29.436 million hectares. Source: NAMRIA, RSRDAD Figure 2. Forest Cover in Total Land Area (NAMRIA) Residual (15.5%) Brushland (22.67%)

Mangroves (0.499%)

Old Growth (8.83%) Pine (0.489%)

Mossy (0.343%)

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Submarginal (0.383%)


efforts could have substantially improved the growth of natural stands. The wide discrepancy between the figures presented by FMB and NAMRIA is due to the inclusion by NAMRIA of brushland and forest cover in alienable and disposable (A&D) lands in its measurement of total forest cover. NAMRIA did not provide a breakdown of forest cover in forest lands and watersheds— this is a significant piece of information because of their critical slopes and susceptibility to erosion and sensitivity to changes in hydrological regimes. Forest cover/brushlands in A&D lands may have included wooded rural landscape, fruit trees, and non-forest species planted in non-critical slopes. Other causes of discrepancy between the two statistical figures are the different methodologies employed and sources or bases of data. Decomposing data into forestlands and watersheds and A&D lands is further complicated because about 10–13% of forestlands and watershed areas were classified as A&D lands, with some having old growth productive forest stands. Conversely, about 20–23% areas classified as forestlands are substantially planted to agricultural crops. Considering these cases, NAMRIA’s statistical breakdown in its forest cover measurement should include all forest stands in critical slopes (above 18%), including those classified as A&D lands. This provides more meaningful information for the policy and planning functions of DENR. The wide divergence in vital environment statistical information reflects disharmony and confusion between the two agencies. It conveys the message that DENR’s forest cover information, which is the basis of its policies and decision making is in serious disarray and could be unreliable. DENR top management is correcting the situation by reviewing and reconciling the data of both agencies to come out with more reliable figures. The decline in forest cover has been the primordial concern of DENR. In his study, Kummer (1992) found evidences that deforestation in the country were primarily brought about by commercial logging of old growth forest, followed by the clearing of residual forest for agriculture use of upland settlers. Logging facilitated upland agriculture by building roads and opening up the forest. In a broader development context, upland migration has been the result of failure of macroeconomic policies to provide employment opportunities and eradicate poverty in agricultural lowlands. With this information, DENR has adopted strategies and put in place various community-based programs to prevent a repeat of the same pattern. The average annual rate of denudation for 1990–1995, which is the latest data available, was reported to be about 130,000 hectares, while the average rate of reforestation for the same period was 76,548 hectares, resulting in a net denudation rate of 53,452 hectares. Comparing the rate of deforestation with reforestation is only useful for tracking changes in forest cover. However, there is a big difference between the quality of forest being lost compared to the forest being gained. Many denuded areas are losing natural stands that are rich in biodiversity and gaining forest plantations consisting of low quality

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exotic species. The annual average reforestation rate for 1996–2000 declined to about 45,000 hectares (Table 3). About 79% of reforestation in 2000 was undertaken by government and 21% by the non-government sector. No published data are available on the annual rate of deforestation for the last decade. The causes of deforestation during the last 10 years have also not been empirically established by FMB. However, reports continue to attribute recent waves of deforestation to forest fires, clearing for agriculture, settlements, and commercial logging. Table 3. Area Reforested, 1990–2000 (in hectares) Year

Total

Government

%

Non-Government Sector

%

2000

27,632

21,740

1999

42,167

31,184

78.6

5,892

21.3

73.9

10,983

26.0

1998

42,368

33,219

78.4

9,149

21.5

1997

66,237

49,301

74.4

16,936

29.2

1996

46,096

18,869

40.9

27,227

59.0

1995

65,233

21,841

33.4

43,392

66.5

1994

49,551

18,032

36.3

31,519

63.6

1993

19,211

6,347

33.0

12,864

66.9

1992

40,593

24,304

59.8

16,289

40.1

1991

93,039

73,602

79.1

19,437

20.8

1990

191,663

153,949

80.3

37,714

19.6

Annual Average

62,162

41,126

66.1

21,036

34.2

Note: Reforested by government and private sector. Source: 2000 Philippine Forestry Statistics Figure 3. Area Reforested 1990–2000 (hectares) 200,000

191,663

175,000 150,000 125,000 93,093 100,000 75,000

65,233

50,000

49,551

46,096

40,593 25,000

66,237 42,368

42,167

1998

1999

27,632

19,211

0

1990

7

1991

1992

1993

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1994

1995

1996

1997

2000


If the FMB reported statistics (Table 1) is to be taken, the present forest cover in forestlands is way below the indicative threshold forest cover of 50% to sustain vital ecological services. If forest denudation is not regulated and controlled properly, the forest cover is projected to further decline to 32% by 2012 considering a conservative estimate of forest clearing rate or net denudation rate of 50,000 hectares per year. On the other hand, if NAMRIA’s figures are proven correct, then the forest cover of the country is improving and satisfying the indicative threshold necessary to keep the country’s upland ecosystem in balance. It would, however, be difficult to convince the public that the country’s forest cover has improved to a highly satisfactory level when vast tracts of hilly areas and mountains devoid of forest are visible around the countryside. The minds of the public have been conditioned by the information that the country’s forest cover is declining. The public may be skeptical about information regarding the abrupt change in forest cover and even heighten their doubt and skepticism on DENR’s credibility. Recent studies claim that the country’s watershed are being degraded, reaffirming other reports that the upland ecosystem is not improving to a significant level. About 70% of the total land area of the country is comprised of watersheds. It is estimated that about 24% of the watersheds have become unproductive due to different levels of degradation. Most of the degraded watersheds have been converted to grasslands and shrublands, leaving very scant forest cover. If the trend in watershed degradation continues, more watersheds will become unproductive, with a much reduced capacity to provide vital ecological services. As of 2000, watershed forest reserves numbered to 125 with a total area of 1.5 million hectares. World Bank Monitor (2000) reported that 90% of watershed reservations are considered degraded. On the other hand, proclaimed watersheds dating back to the 1940s could not easily be subjected to community-based reforestation because of wood harvesting prohibitions. Finding better solutions to arrest forest denudation and improve access and income of impoverished upland population have led DENR to shift its policy from supporting large-scale users to small-scale users. In 1990, timber license agreements (TLAs), which used 25% of the total forest area, went down to just 7% in 1998 as DENR cancelled TLAs and stopped issuing new ones (Table 4). Instead, DENR increased issuance of community-based forest management agreements (CBFMAs) from 30,000 hectares in 1982 to 5.4 million hectares in 2000 as it strengthened its participatory management strategy with local communities in protecting and rehabilitating degraded forestlands and watershed areas. The policy shift reportedly improved the income-earning capacity of uplanders from about P4,000 average family income from forestry and hunting in 1982 to P44,000 (constant 1985 prices) during 1990–1994 (Table 5). The CBFMA also reportedly improved crop yield and production while

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conserving the resource base through the provision of better conservationoriented farming technology and inputs, and tenurial instruments that ensured better security of tenure. Table 4. Area of CBFMA and TLA, 1982–2000 (thousand hectares) Year

Area of CBMFA

No. of TLA

Area of TLA

2000

5482

20

858

1999

5113

20

858

1998

4919

20

934

1997

4301

25

1208

1996

2067

35

1462

1995

1125

37

1498

1994

881

37

1575

1993

664

41

1665

1992

627

61

2315

1991

444

69

2625

1990

408

75

2812

1989

301

99

4259

1988

253

110

4421

1987

190

137

5404

1986

154

142

5675

1985

128

148

6093

1984

78

142

5878

1983

32

125

5392

1982

30

186

6709

Source: 2000 Philippine Forestry Statistics. Delos Angeles, M. 2000. ENRAP Report 1999 Figure 4. Area of CBMFA and TLA, 1982-2000 (thousand hectares) 8,000

6,709

7,000 6,093 5,878

6,000

5,675

5,392

5,482

5,404 4,919

5,000

4,421

5,113

4,301

4,259

4,000 2,812

3,000

2,625

2,315

2,000

2,067

1,665 1,575 1,498

1,000 30

32

78

128

154

190

253

301 408

444

627

664

881

1,125

1,462

1,208

934

858

858

0 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

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Table 5. Income from Forestry and Hunting (Pesos) Average Family Income

1985

1991

1994

Forestry & Hunting

3,710

30,907

44,263

Threshold Income

28,584

36,510

44,425

Source: Delos Angeles, M. 2000. ENRAP Report 1999

Aside from the economic contribution of forest products, forest ecosystem also provides ecological benefits to agricultural production and household’s and industry’s water and power needs. A watershed with adequate forest cover supports lowland agriculture by providing continuous supply of water for irrigation. It also sustains the supply of surface and groundwater for domestic use in the lowlands. Another important contribution of watersheds is power generation, as it supports about 20 hydroelectric plants in the country. The log ban imposed 10 years ago, and better implementation of laws on illegal cutting took its toll on the wood processing industry which considerably declined in production. Other causes of the poor performance of the wood processing industry include less efficient and aging technology and the shrinking market for Philippine products. The country is now a net importer of roundwood and other wood products such as lumber, plywood, and veneer. Shortage in wood supply is being remedied by DENR through the issuance of industrial forest management agreements (IFMA), industrial tree plantation agreements (ITPLA), private forest development agreements (PFDA), and awarding of tree farms and agro-forestry farms to qualified private firms— including former TLA holders with good track records. At the same time, DENR also provides opportunities to families, cooperatives, and local community organizations to participate in forest plantation development that will become sources of wood supply in the future.

Policy Response Presidential decree (PD) 705, otherwise known as the Revised Forestry Code of the Philippines remains to be the primary forest policy governing the use and management of forest resources and watersheds. It provides directions on the utilization and conservation of forest resources and the protection of critical watersheds. Guided by the code and other related forestry laws and regulations, DENR continues to implement its forest management programs to improve forest cover, provide access to impoverished groups for their forestry-based livelihood activities, and improve its governance with better information and plans. These efforts undertaken by DENR include: •

Preparing an Updated Master Plan for Forestry Development (MPFD). MPFD aims to address the growing problems of forest degradation, and

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at the same time meet the need for wood and other forest products. •

Providing technical support to the private sector and nongovernment organizations (NGOs) in establishing industrial forest plantations through the IFMA program and other forest plantations within private lands.

Conducting reforestation of denuded watersheds and protecting forest resources from any form of destruction such as forest fires and illegal logging.

Adopting a community-based forest management (CBFM) approach in rehabilitating degraded forestlands through forest plantation establishment and agro-forestry development that are designed to benefit upland dwellers and indigenous cultural communities. This forest management strategy uses tenure instruments to provide security and equal access to upland communities, to encourage the adoption of conservation practices and technology.

Delineating permanent forest lines to address forest conversion into other land uses and fake titling of forestlands. This program includes mapping of forestland boundaries, ground survey and demarcation, and conducting an information, education and communication (IEC) campaign. Forest line demarcation is meant to clearly separate forestlands from A&D lands and to delineate old growth and residual forest for protection purposes in accordance with the National Integrated Protected Areas System (NIPAS) Act.

Conducting research and development on new technologies, and packaging and transfer of tested technologies. This includes clonal nurseries and demonstration farms employing soil conservation technologies.

• DENR continues to address the problems of watershed degradation through reforestation and granting of security of tenure to uplanders who are tapped to manage forest resources. Government programs and projects promoting access to forest resources through the issuance of tenure instruments include: •

Social Forestry Program – started in 1982 and devolved to local government units (LGUs) in 1991. This program involves the issuance of certificates of stewardship contracts (CSC) to individual farmers and community forest stewardship agreements (CFSA) to communities and organizations mostly of IPs.

Forest Land Management Program – started in 1993, this program grants forest land management agreements (FLMA) to upland dwellers who agree to manage turned-over reforestation projects.

Community Forestry Program – issues community forest management agreements (CFMA) to resource-dependent communities living adjacent to residual mangrove forests and secondary growth forests.

Ancestral Domains Program – started in 1990 and targets indigenous peoples (IPs) who have established claims to their ancestral domains. A

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certificate of ancestral domain claim (CADC) is issued to communities and a certificate of ancestral land claim (CALC) in the case of a family or clan. Instruments are also issued by DENR to corporations to manage large tracts of forestland for timber production. DENR contracts out IFMAs and timber sharing agreements (TPSAs) to corporations for plantation development or timber utilization. Recent initiatives of DENR in forest and watershed management include: •

Adopting the watershed ecosystem management approach in forestry planning, resource use allocation and program implementation.

Implementing the Community Assistance Livelihood Program that will serve as a center for facilitating access of poor communities to technologies, technical assistance and funding sources.

Launching of timber corridors in Mindanao by establishing industrial tree plantation in 120,000 hectares of denuded lands. The whole program aims to cover a total denuded area of about 640,000 hectares.

Implementing vigorous campaigns against illegal logging and erring DENR officials.

Surveying priority watersheds for rehabilitation and protection.

Promoting tissue culture and cloning of seedlings for massive reforestation and establishing clonal nurseries in seven regions for the production of timber species, and ornamental and fruit-bearing trees.

Gaps and Issues 1) Inconsistent statistical data on forest cover: The wide discrepancy between the forest cover statistics of FMB and NAMRIA implies that the data on forest cover are unreliable. This creates uncertainty and may cause serious errors in carrying out the policy and planning functions of DENR. Until this issue is resolved and the correct data are officially adopted, doubts on the capacity of DENR to make sound decisions and credible plans will pervade. 2) Continuous decline of forest cover: In case the FMB statistics hold true, the problem of forest cover decline will continue to haunt DENR forest managers. Despite their massive efforts to address the steady decline of forest cover, the problem continues to be significantly unabated. The factors driving forest denudation are mainly rooted in poverty and survival of poor uplanders and the greed for profit of commercial loggers. DENR reports also claim forest fires as a primary cause of forest cover loss. There is presently a dearth of information that can scientifically establish the reasons for the current decline in forest cover. DENR claims that its reforestation, forest protection, and enhancement efforts are constrained by its limited resources. Some reforestation efforts failed or yielded unsatisfactory results because of the weakness of research and

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development to support the production of good quality seeds. Unlike the Department of Agriculture, (DA) DENR has not instituted protocols for seed selection, certification and technology transfer. 3) Slow progress in watershed rehabilitation: DENR identified about 154 priority watersheds covering about 12.4 million hectares that need rehabilitation and management. Of these, only 59 watersheds were surveyed. It is important to allocate resources and program the rehabilitation of at least one third of the 154 priority watersheds for the next 10 years. A financing scheme is needed to fill-in the resource requirements for meeting DENR rehabilitation targets within the next 10 years. Likewise, the reforestation of about 5 million hectares of degraded and unproductive forest may take DENR about 50 years even under an optimistic assumption of an annual net reforestation rate of 100,000 hectares. 4) Absence of a clearly defined boundary of permanent forestlands: The incomplete demarcation of forest line on the ground causes difficulties in DENR’s functions of carrying out land titling, land use planning, and forestland protection from agricultural encroachment. DENR needs to fast track its efforts to demarcate forest lines to resolve pending issues on land management and forestland use planning. 5) Deficiencies in the implementation of CBMFA: DENR should further improve community-based management of forest resources. This approach promotes partnership and shared responsibility in conserving and managing forest areas. CBFMA is a good strategy to reduce open access areas that are subject to abuse and misuse. However, DENR should be able to institute a pragmatic monitoring system to ensure that the agreements under the CBFMA program are properly complied with by the stakeholders. One of the most serious problems confronting the implementation of CBFMA is the lack of capital to finance the program. Its full implementation has also been impeded by institutional deficiencies and varying interpretations of the policies, some of which are ambiguous. Part of the implementation failure of the CBFM is the absence of a comprehensive information campaign that explains and advocates for the program. Some CBFM holders were reportedly cutting down trees in violation of CBFM agreements. Certain regions have accounted for certain successes but these need to be further validated before the full expansion of CBFM coverage. CBFMA holders complain about high forest charges, which are the same amount paid by TLA holders. However, the amount is prescribed by law and FMB officials think that the problem lies on the inefficient operations of CBFMA holders. Most of the community organizations or CBFMA holders are farmers who lack experience and training on forest management. FMB officials believe that it will take some time for these holders to learn the efficient way of forestry and earn enough income and profit to easily pay forest charges. 6) Weak private sector participation in reforestation: The government’s reforestation and plantation development programs are beset with policy

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issues and a perceived lack of support that could provide incentives to the private sector to invest. Even investments for the wood industry improvement, which could somehow add value to processed wood products are not given sufficient incentives for the private sector to participate. DENR’s program on small-scale reforestation plantation development lacks clear policy guidelines that hinder the private sector from joining. 7) Investment gaps in industrial forest plantation development: To meet the future demand for wood products, DENR has identified 684,000 hectares in the CARAGA region for development into timber corridors. Of these target areas, 120,000 hectares are due for industrial plantation development, with investments coming from private firms in New Zealand and Finland, in partnership with legitimate Filipino-owned companies. Investments for the development of the remaining areas still have to be sourced. However, timber corridor projects should only be allowed in denuded lands to avoid incidental cutting of natural stands. Present regulation limits industrial forest lease management agreement holders to 40,000 hectares which seem unattractive to private investors in timber corridor projects probably because of the low financial returns from such scale of concession. Investors are reportedly asking for a bigger area of at least 100,000 hectares to ensure a wider margin for profit. FMB needs to evaluate existing regulations and determine the appropriate size to attract investments in timber corridor projects through the application of costbenefit analysis tool. 8) Outdated forest management policies and plans: Considering recent policy shifts of DENR with respect to forest resources allocation, disposition and management, certain provisions of the Forestry Code (PD 705) are no longer relevant. A new bill supporting DENR’s Sustainable Forest Management is still pending in Congress and its delayed enactment will slow down needed policy reform in the forestry sector. There is a need to advocate for the early passage of the proposed bill on Sustainable Forest Management to curb illegal logging while at the same time produce a substantial part of the requirements for wood supply needed by the country. According to a DENR Forest Policy Study (SUSTECH, 2001), Sustainable Forest Management is anchored on three implementing mechanisms: •

observe strict logging ban on ecologically-sensitive and vulnerable protection forest areas such as critical watersheds, biodiversity reserves, NIPAS and national parks,

allow regulated and environment-friendly forest harvesting in ecologically stable natural production forests to satisfy the country’s needs, and

convert the upland population from agents of forest destruction into active partners in forest stewardship, conservation, development and management.

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On the other hand, the Forestry Master Plan (FMP) prepared during the mid-1980s needs to be updated in the light of recent development in forest management. Updating of the FMP is also considered urgent in addressing forestland allocation and other issues on forest management. The FMP will also serve to resolve cross sectoral issues involving NIPAS, Indigenous Peoples Rights Act (IPRA), and the Mining Act. 9) Existing regulation inhibits the proper management of proclaimed watersheds: Existing regulations inhibit the proper management of critical and proclaimed watersheds, most of which are now in a progressive state of degradation due to occupation by upland population. Since the use of these watersheds is strictly for protection, they cannot be legally subjected to community-based reforestation program simply because harvesting is disallowed. Upland communities would not be encouraged to plant trees if they could not harvest these trees or if they will not be allowed to practice agroforestry. Thus, the use restriction for critical and proclaimed watersheds, which are now densely occupied by upland population, needs to be studied and revised to allow proper management. A land use plan should be prepared for these watersheds where multiple and buffer zones suitable for agroforestry are identified and allocated for the use of occupants where they could be resettled. The resettlement program should be supported by a package of economic incentives such as provision of inputs, and technical, credit and market assistance to make it attractive and successful. For degraded proclaimed watersheds that still perform critical functions, contract reforestation involving local communities should be undertaken by the government, but future cutting should be disallowed. Contracting reforestation work to local community organizations or families has been observed to be more successful than contracting to NGOs. According to DENR regional officials, many NGOs simply initiate planting but do not maintain the plantation after certification and payment. In contrast, families and local organizations care of the plantation until they are stable. 10) Agriculture encroachment in forestlands and protected areas: Agriculture encroachment into forestlands threatens the stability of forest and watershed ecosystems. An estimated area of about 8.7 million hectares of forestlands are not properly delineated, hindering protection of these lands from improper land use. As long as the boundaries of these forestlands remain unknown, these lands will continually be subject to encroachment and degradation. Proper management measures will be difficult to establish because of the uncertainty of the coverage of these unsurveyed areas. Continuous occupation of NIPAS areas by migrant upland dwellers threatens these areas’ integrity and stability. It is urgent that NIPAS occupants be given priority in government housing and employment opportunities in downstream or lowland poblacions or rural towns. To be qualified and competitive for employment in industries in their localities, the government, in collaboration with the private sector (i.e., forest and mining firms, other potential industry

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employers) should institute skills training programs for NIPAS dwellers. A “work for conservation” program should be instituted by DENR for NIPAS occupants. This program will extend employment or livelihood assistance to migrant NIPAS dwellers if they agree to move out to designated buffer zones or settlement areas like the rural poblacion. The government could encourage migrant NIPAS dwellers to farm public lands in the lowlands or other ecologically safer areas in the uplands. This program requires urgent implementation, while the population of NIPAS dwellers is still manageable in size. 11) Lack of implementation of economic instruments to capture resource rents: To generate funds for forest management, the government needs to impose economic measures to account for resource scarcity and environmental and social impacts, and to capture the costs of user’s activities. Economic instruments which oblige resource users to pay for the equivalent value of the environmental service or cost of damage to the resource should be fully implemented. Imposing user charges or fees will motivate users to conserve resources or employ the appropriate technology that will minimize negative environmental and social impacts of their extractive activities and residuals. User’s fees for the use of watersheds and forest resources to generate services such as water for irrigation, power and domestic use, and carbon sequestration have to be formulated and implemented. At the same time, DENR should update its user charges and fees for pasture lands and patrimonial properties to capture their appropriate rents. 12) Lack of skills for watershed ecosystem management: Present skills and training of many DENR field personnel are inadequate in responding to its plan to adopt the watershed ecosystem management approach. Many of DENR’s field personnel are trained on forest management rather than on ecosystem-based management approach. They also lack the sociological and entrepreneurial skills to effectively implement the expansion of its enhanced CBFM program. They also need to enhance their skills in stakeholder coordination and consultation since ENR management requires close partnership with LGUs, other agencies, civil society, and the private sector. 13) Unstable peace and order situation in the uplands disturbs effective stewardship of forest areas: Armed conflicts and unstable peace and order situation in many upland areas, especially in Mindanao, have disrupted the proper management of forest resources and watersheds. Since these areas are impenetrable to DENR and LGU workers, the communities are oftentimes left unattended and appropriate programs to support them are foregone. In many cases, local settlements are physically dislocated and the people are economically deprived of their livelihood when they move to avoid being caught in the crossfire between the military and the rebels. Some people argue that the threat posed by the presence of the rebels scare away illegal loggers and keeps the forest cover intact. However, in some cases, the rebels themselves were reportedly committing illegal logging.

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Coastal/Marine Habitats and Resources The Philippine coastal zone extends to an area of about 11,000 square kilometers (sq km) of land and 267,000 sq.km. of water. A large part of the coastal zone is the municipal water which was set under the Fisheries Code of 1998 at 15 kilometers (km) from the coast’s low water mark. The waters from 15 km to 200 nautical miles belong to national jurisdiction. Being an archipelagic country with 7,107 islands, the Philippine coastline stretches to about 17,460 km. Marine territorial waters cover an area of 2.2 million sq km under the Exclusive Economic Zone. About 62% of the country’s population resides within the coastal areas and about 1.0 million people are engaged in fishing, broken down as follows: 68% municipal, 28% aquaculture and 4% commercial. Of the country’s 1,495 municipalities, 54% are located within the coastal area while 17 of the 25 cities also straddle the coastal areas. The environmental problems confronting coastal resources and habitats include: pollution and siltation of coastal waters and estuaries, depletion of live corals, seagrasses and mangroves, improper use of foreshore lands, wetlands and estuarine areas, and depletion of fisheries stocks. Increasing population, urbanization, and industrialization in the midst of poverty are powerful driving forces causing these environmental problems in the coastal zone.

Trend and Status 1) Coral reefs Coral reefs, seagrasses, and mangroves are important coastal habitats because they support 80% of all commercial species of fish and shellfish. The coral reefs produce about 10–15% of the country’s marine fishery production. Each square kilometer of coral reef is estimated to supply about 30 tons of economically valuable fish and invertebrates each year. However, they may require as long as 30–50 years to recover when damaged or destroyed, based

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on conservative estimates of coral reef experts. About 44% of coral reefs are presently under high threat from sedimentation, destructive fishing methods, pollution and coastal infrastructure development. It was estimated that only 4–6% of the coral reef are in excellent condition with 75–100% cover, 24% good with 50–75% cover, and 39% fair with 25–50% cover and 32% poor with 0–25% cover. The survey was based on less than 90 reefs sampled nationwide. Coral reefs are continually decimated by various types of illegal fishing methods such as blast, cyanide, nearshore trawling and Muro-ami. Most destructive to coral growth and regeneration is the perennial siltation coming from denuded watersheds. Pollution from domestic and agricultural wastes from nearby settlements and agricultural plantations also kills the corals. 2) Mangrove forest Mangrove cover has declined from 450,000 hectares in 1918 to less than 120,000 hectares in 1995. Latest forestry statistics reported mangrove forest cover to be about 112,000 hectares (FMB, 2002). For 1990–1994, mangrove deforestation was reported to be about 3,000 hectares per year. Estimates or statistical reports on current mangrove reforestation rate are presently not available. Assuming that the rate of mangrove deforestation will be significantly reduced by half through the protection of the remaining cover and reforestation of denuded areas and abandoned fishponds by DENR’s Community-based Mangrove Forest Management (CBMFM) program, the projected mangrove cover by 2012 will still go down to about 100,000 hectares. This reduced size of mangrove forest cover may significantly impair its vital ecological services on which fishery production is very much dependent. Mangroves remain threatened by the increasing development of settlements, reclamation, waterfront, and other infrastructure projects. Their increasing uses as firewood by households and bakeries and as material for housing construction also contribute to their depletion. Fishpond development, which was the primary cause of mangrove forest clearing in the past, has somewhat slowed down in recent years as shown by FMB statistical data and is believed to be no longer a big threat. The urgent concern now which poses a big challenge to DENR is the reversion of abandoned fishponds to mangrove areas. The use of mangroves as coastal ecosystem habitat is estimated to be far more valuable than the benefits that can be derived from its extraction as fuel wood and construction material. For every hectare of mangrove preserved, the following benefits can be derived every year on a sustained basis (World Bank, 1989): fish production of 500 kg., shrimps and prawns of 50 kg., crab meat of about 15 kg., mollusks of 200 kg., and sea cucumber of 40 kg. Its ecological services such as protection from coastal erosion and storm surges are also very valuable but can not easily be quantified in money terms. 3) Seagrass and algal beds and seaweeds

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The country has the second most diverse seagrass community in the world. Areas rich in seagrass beds can be found in parts of the Lingayen Gulf, around Calamianes Island in Palawan, in the coastal waters of Central Visayas, in Zamboanga, and in Davao. Seagrass ecosystems serve as habitats for shrimps, sea cucumbers, sea urchins, crabs, scallops, mussels, snails, fishes, reptiles and mammals. Endangered species such as dugong (sea cow) and marine turtles also feed on seagrasses. Aside from serving as habitats for economically and ecologically important species of marine animals, seagrass beds also perform vital ecological services such as filtration of sediments and sewage, which may destroy corals, and dampening of wave action, which may cause beach erosion. Loss of seagrasses was reported to be 30–50% (World Bank Monitor 2000) within the last 50 years mainly due to pollution and destructive fishing practices. Seaweeds perform more or less the same ecological functions as seagrass. They also provide feeding and nursery grounds for different types of marine animals. Aside from being a source of food for human consumption, many of the seaweeds found in the country are economically important and supply 80% of the total world supply. However, they are also threatened by pollution and destructive activities of man. Table 6. Catch Per Unit Effort for Small Pelagic Fishes, 1982–2000 (in mt/hp) Year

Catch/Effort (mt/hp)

1982

0.85

1983

0.94

1984

1.00

1985

0.88

1986

0.97

1987

1.08

1988

1.11

1989

1.24

1990

1.40

1991

1.46

1992

1.24

1993

1.10

1994

1.02

1995

1.00

1996

0.95

1997

1.24

1998

1.34

1999

1.42

2000

1.40

Source: Padilla, 2000.

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4) Coastal Fisheries Resources The country is one of the top 15 fish producing countries of the world, and fishing contributes 2–3% of the nation’s GDP. The number of commercial fishing boats has increased substantially over the last 10–15 years, spawning some problems with small fishermen. Commercial fishers encroach into municipal waters and compete with small-scale fishers. Nonetheless, overexploitation of fish stocks is due to an increasing number of fishing population, widespread use of explosives, and other illegal fishing methods such as use of fine mesh nets, cyanides, etc. Other causes of the decline in fisheries stock include coastal water pollution and sedimentation from land-based sources such as households, industries, agriculture, and infrastructure development. Municipal fisheries reached its peak production in 1991 with about 870,000 metric tons, but started to decline since then with a production level close to 750,000 metric tons in 1995 to 1999. According to a DENR report (DENR, 2000), commercial fisheries production has continued to increase at the expense of municipal fisheries, as illegal commercial fishing in municipal waters has proliferated nationwide. The Bureau of Fisheries and Aquatic Resources (BFAR) report estimated that the catch per municipal fisherman significantly went down from about 1,500 kilograms per year in 1987 to about 1,100 kilograms per year in 1996. The study by Padilla (2000) on catch per unit effort for small pelagic fishes in the Lingayen Gulf revealed a decline from 1.46 mt/hp in 1991 to 0.95 mt/hp in 1996. However, in 2000, there was again an improvement in catch per unit effort reaching a level of 1.4 mt/hp (Table 6). The reasons for the recovery in catch per unit effort were not explained. In many fishing grounds in the country, information on fish stocks are not available or reliable, making it difficult for fishery managers to establish maximum sustainable yield (MSY) levels that will serve as a benchmark for regulating wanton exploitation of fishery resources.

Policy Response The major policies guiding the utilization and conservation of coastal and marine resources in the country are the Fisheries Code (RA 8550) and the Agriculture and Fisheries Modernization Act ([AFMA] RA 8435). There is no comprehensive legislation that coherently puts together the pieces of provisions found in several laws that have direct bearing on the development, conservation, and protection of coastal and marine resources and habitats. DENR adopts the integrated coastal area management approach as a main response to the growing problems of coastal resources degradation. This approach employs the participation of coastal communities and other stakeholders and involves resource inventory and assessment, community organizing, mangrove rehabilitation, coastal database development, and sustainable alternative livelihood projects. To conserve, protect, and rehabilitate coastal resources, the DENR, in

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collaboration with other government agencies particularly DA and LGUs, has implemented the following programs and interventions: •

Coastal Environment Program. The program adoped a community-based approach in the management of national marine-protected areas. It was implemented in 1993 through the regional offices of DENR. The program is a continuing activity of DENR’s Coastal and Marine Management Office (CMMO) and covers 78 sites nationwide and involves the promotion of community-based sustainable use of resources, adoption of appropriate fishing technology, provision of alternative livelihood activities, and proclamation of marine protected areas. It aims to coordinate all activities on resource and environmental management of coastal ecosystems with the involvement of the communities and immediate stakeholders in the protection and management of the coastal zone. The program has five components, namely: 1) coastal habitats and biodiversity; 2) endangered species; 3) coastal industries and pollution; 4) resource inventory and assessment; and 5) research and special projects.

Fishery Sector Program. Implemented by the DA from 1991 to 1997, the program had a coastal resource management (CRM) component that was introduced in selected 12 bays with rich fisheries but beset with management problems and growing poverty of coastal communities. A community-based CRM was adopted by the ADB-funded project to actively involve coastal communities in the preparation and implementation of CRM plans. Its accomplishments include: establishing 22 fish sanctuaries, organizing more than 1,000 fisheries organizations, conducting resource assessments and establishing sustainable yield levels, providing research and extension work on CRM, enacting municipal fishery ordinances in several municipalities, rehabilitating mangrove swamps in 6,000 hectares of degraded coastal forests, and strengthening fishery law enforcement. DENR played a key role in implementing the program’s mangrove rehabilitation component. Several denuded mangrove areas in the country were reforested through the community-based mangrove forest management approach (CBMFA). Under this scheme, mangrove users (associations or cooperatives of fisherfolk) were tapped to help in the reforestation of denuded mangrove areas and in the protection of remaining mangrove stands through mangrove stewardship contracts (MSCs)—a type of property rights instrument giving fishing community organizations a security of tenure over access to mangrove resources in accordance with the conditions provided in the contract.

Coastal Resources Management Program (CRMP). Implemented by DENR in 1996 and expected to be completed in 2002, the program aims to provide technical assistance and training to LGUs, coastal communities, national government agencies (NGAs) and NGOs on coastal resource management (CRM). Funded by USAID, the program adopts a strategy of working with LGUs to establish coastal management as a basic service with active involvement of coastal communities, NGOs and NGAs. It reportedly improved coastal management in 29 coastal municipalities by the year 2000, covering 700 km of coastline. It also expanded its area of influence

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in collaboration with provincial LGUs and other donors and partners to over 60 coastal municipalities covering 1,500 km of coastline. CRMP has assisted over 100 coastal LGUs develop coastal resource management plans, programs and investment portfolios. •

Marine Mammal Conservation Program. The program focuses on whale watching as a form of ecotourism and income-generating activity for local fishers. Through the promotion of whale watching, local fishers realize the value of conserving whale population in their fishing grounds.

National Integrated Protected Area Project (NIPAP). The project was implemented in 1995 with the primary objective of protecting, conserving, and managing natural habitats and biodiversity in 8 selected protected areas in the country, two of which are marine-protected areas (El Nido Marine Reserve and Malampaya Sound, Palawan). The project was supported by the European Community.

Fisheries Resources Management Program. Spearheaded by DA-BFAR, the implementation of this program started in 1998 as a continuation of the Fisheries Sector Program (FSP). It continued CRM work in 11 of the original 12 FSP bays and added 6 new ones. The program aims to empower communities and LGUs to manage their fisheries and other coastal resources. It was designed to build on past lessons of the FSP and other projects. The program ended in 2003.

Philippine Master Plan for the Marine and Coastal Environment. This was prepared by DENR’s Coastal Environment Program (CEP) in 1997, and articulated a set of guiding principles and policies for marine and coastal environmental management. To define the specific strategies to the local level of implementation, DENR commissioned the University of the Philippines’ Marine Science Institute (UP-MSI) in 1998 to develop a detailed terms of reference (TOR) for preparing a comprehensive master plan for coastal and marine environment. The report defined a typology of coastal planning units and the development of a master plan for each typology. The draft master plan was subjected to consultations but is not yet officially adopted.

Community-Based Coastal Resource Management Project (CB-CRMP). This USAID-funded project addresses serious overfishing issues and problems and the threatening collapse of fisheries resources in coastal waters. It aims to achieve sustainable management of coastal resources in selected areas in the Philippines to arrest resource degradation. The project has five components: 1) community management of coastal resources for widespread implementation; 2) local government capacity building; 3) national agency policy implementation; 4) information, education and communication; and 5) special activities to enhance local and national capacity to support CB-CRM development implementation. The project, which was started in 1998 and ended in 2003, covers six bays in Palawan, Visayas, and Mindanao.

Southern Mindanao Integrated Coastal Zone Management Project (SMICZMP). The project, funded by the Japan Bank for International

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Development (JBIC) (formerly OECF), aims to 1) enhance strategic integration of management in the coastal and watershed ecosystems to assure the sustainable development of the region, 2) establish appropriate investments and infrastructure to consolidate and sustain environmental management in the pilot areas, and 3) propose the integrated coastal management framework and guidelines to be considered for the project. The project demonstrated the integration of management of protected seascape and landscape in Sarangani Bay. Likewise, it demonstrated the community-based coastal resources management in Malalag Bay. •

Integrated Coastal Zone Management of Industrially Threatened Biodiversity-Rich Bays and River Tributaries. The project will use the integrated coastal management approach and will be implemented in Tanon Strait and Iligan Bay. It has five components: 1) form multisectoral councils for ICM, 2) prepare integrated coastal zone management plans, 3) conduct researches and studies, 4) strengthen enforcement mechanisms, and 5) develop sustainable financing mechanisms.

•

Joint DA-DENR Memorandum Order No. 01 Series of 2000. This joint memorandum identifies and defines the areas of cooperation and collaboration between the DA and DENR in the implementation of the Fisheries Code of 1998. Its salient provisions include, among others, the following collaborative efforts between DA and DENR in solving overlapping functions and clarifying roles and responsibilities: 1. The DA-BFAR shall be responsible for developing a National Fisheries Plan and local fisheries plans specifically addressing the management of fisheries and aquatic resources within the framework of a National Integrated Coastal and Marine Management Strategy (NICMMS). 2. The NICMMS shall be formulated and promulgated by DENR and DABFAR, in collaboration with other agencies concerned. 3. DENR shall have the primary responsibility of convening an interagency committee for developing and approving NICMMS that shall lay the foundation for local integrated coastal area management, applicable from the watershed bordering the coast and to the marine areas of the Philippines. 4. DA-BFAR shall identify and declare certain marine and aquatic species as rare, threatened or endangered, and manage them together with other Convention on International Trade of Endangered Species (CITES)-listed marine and aquatic species except dugong, marine turtles, and crocodiles, which shall be managed by DENR. 5. DA-BFAR shall allocate to NAMRIA sufficient funds for the mapping and charting coastal areas for fisheries management. DENR shall make its resources available for mapping and drafting surveys necessary for implementing the Fisheries Code. 6. DENR shall identify and certify which portions of lands of the public domain may be made available for resettlement by fisherfolk communities, and provide copies of maps of such lands to DA-BFAR. 7. DA-BFAR shall establish procedures to establish fishery reserves, refuge, and sanctuaries for specific purposes in accordance with

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sections 45, 80 and 81 of RA 8550, except in protected areas declared under the NIPAS Act. 8. If there is a need to reclassify a body of water according to its best use, DA-BFAR may request DENR to reclassify the said body of water. Recent initiatives in CRM include the following programs and activities: •

Issuance of DAO 17 mandating NAMRIA to delineate and map the15km zone exclusive for municipal fishing as provided in the new Fisheries Code.

The Integrated Coastal Resource Management Project funded by the Asian Development Bank (ADB) is a technical assistance that will design and formulate an investment project that will promote sustainable coastal resource management and environmental protection and bring about poverty reduction among coastal communities in identified project areas. Integrated coastal resource management will be adopted as the strategy and approach to attain the objectives of environmental protection and poverty reduction. It has two components: 1) situational review and analysis, and 2) feasibility studies. The project started in April 2002 and will end in December 2002.

Gaps and Issues 1) Delay in the implementation of the DA-DENR Joint Memorandum on CRM Article II Section 4 of the Joint DA-DENR Memorandum Order No. 1 Series of 2000, which was published in July 14, 2000, states that “The National Integrated Coastal and Marine Management Strategy (NICMMS) shall be formulated and promulgated by the DENR and DA-BFAR, in collaboration with other concerned agencies, within eight months from the effectivity of the Order.” NICMMS should be prepared immediately and concurred to by DENR and DA to establish a national strategy explicating the collaborative linkages as well as individual responsibilities of the two departments in managing coastal resources and fisheries. Article V Section 4 of the Joint Memorandum states that “The DA-BFAR and DENR shall formulate and enforce a Joint Administrative Order on Aquatic Pollution.” An administrative order to this effect has yet to be jointly prepared by both departments. 2) Overlaps in CRM functions The Fisheries Code of 1998 reaffirms that municipal and city governments shall be responsible for the management, conservation, development, protection, utilization, and disposition of all fish and fishery and/or aquatic resources within their respective municipal waters. On the other hand, both DENR and DA-BFAR are given authority and power to conserve, protect, and manage fisheries and coastal resources—causing overlaps in functions and creating confusion in the implementation of laws and programs on coastal

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resources management. The institutional responsibilities of DA, DENR, and LGUs in CRM needs to be clearly delineated through the issuance of specific implementation guidelines in support of the DA-DENR Joint Memorandum on CRM. 3) Lack of capability among many LGUs in CRM implementation CRM initially involves partnership between DENR and LGUs and the eventual turnover of coastal planning and program implementation to LGUs. Full implementation of CRM by many LGUs, however, is presently constrained by several factors that include: •

lack of technical expertise and financial resources to manage coastal resources;

weak enforcement of CRM laws because of lack of proper mechanism, equipment, and personnel to them carry out;

absence of CRM plans for many coastal LGUs and of proper institutions such as municipal fisheries and aquatic resources management councils (MFARMCs) to implement CRM laws and programs;

lack of political will on the part of local executives to seriously implement CRM programs;

inconsistency between CRM plans, comprehensive land use plans, (CLUP) and municipal development plans.

4) Inadequate support given by DENR to LGUs in the implementation of CRM DENR is responsible for exploring, developing, managing, and conserving forest, minerals, land, water wildlife, and other natural resources. It retains important CRM tasks such as controlling pollution, implementing the environment impact assessment (EIA) systems, and managing protected marine areas, mangrove forests, and foreshore lands. DENR has not been able to coordinate closely with LGUs in implementing its functions, which affect the new mandated responsibilities given to LGUs relating to CRM. In particular, DENR: •

issued foreshore lease agreements without consulting with LGUs;

poorly implemented compliance monitoring of large development projects to the conditionalities of the EIA;

failed to adequately build the capacity of LGUs to plan and implement CRM;

declared protected areas without or with minimal consultation with LGUs and local communities.

5) Inadequate support given by DA-BFAR to LGUs in the implementation of CRM DA-BFAR is responsible for protecting and increasing the production of the country’s fishing industry. It is primarily responsible for developing and implementing the National Fisheries Development Plan, issuing commercial fishing licenses and fishpond lease agreements, and monitoring fish stocks

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and catch limits. DA-BFAR’s assistance to LGUs in implementing CRM is faced by the following deficiencies: •

conflicting internal mandates that hinder the successful implementation of CRM (i.e., AFMA and the Fisheries Code conflicting mandates);

issuance of fishpond lease agreements without consulting LGUs and considering EIA requirements;

lack of capacity-building program support to LGUs (these capacitybuilding programs are more directed to municipal fishers or MFARMCs and deputized fish wardens).

6) Conflicting uses of coastal and marine ecosystems Conflicting uses of coastal and marine resources significantly cause their continuous degradation. Present efforts by DA-BFAR, DENR, and LGUs are inadequate to curb destructive uses that include the following: •

uncontrolled reclamation and other foreshore uses that destroy coastal habitats;

technologies that promote overexploitation of fisheries resources such as the use of gill nets, payaos, and other methods used by fishermen allowed as exclusions to active gear exacerbate overfishing;

commercial fishing intrusion into municipal waters that cause overexploitation of fisheries resources.

7) Failure to contain terrestrially-based sources of pollution A large part of the coastal water pollution is caused by land-based activities that are not addressed in a CRM plan because of the plan’s narrow geographic focus. These land-based sources of pollution include: •

lack of sewerage system and solid waste management in coastal settlements especially coastal urban areas;

pesticides runoff from upland agriculture and heavy metals from mining wastes;

soil erosion and siltation coming from denuded watersheds and sloping agricultural lands.

CRM plans therefore need to be integrated with land use plans to effectively address terrestrially-based problems that seriously impact on coastal waters. Such integration calls for an ecosystem-based planning that cohesively relates watershed and land-based uses with coastal area and water uses. In this case, ecosystem-based planning should adopt the bay region approach, which goes beyond municipal CRM planning and elevates integration at a higher planning hierarchy that may cover a distinct planning unit such as a bay (Cabrido, 1999). A bay may comprise several municipalities or provinces and therefore straddles provincial and regional planning. Bay region planning adopts an ecosystem-based planning unit that is currently espoused by DENR. It allows integration of CRM plans with other plans such as CLUP and

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watershed management plans. However, while it is advantageous for CRM concerns to be elevated at a higher planning plane to effect vertical and horizontal integration, implementation of CRM programs is still deemed to be effective at the municipal level. Another methodological limitation of the CRM model is its purely biological focus. Thus, it is not able to cover other geophysical concerns such as saltwater intrusion, flooding caused by obstruction in river drainage areas, and liquefaction potential of certain areas. Another method encompassing geophysical concerns, such as the integrated coastal resources management, would therefore be more appropriate. 8) Failure to integrate CRM plan with CLUP The CRM plan was designed to be a separate plan from the CLUP prepared and updated periodically by all cities and municipalities. CLUP and its resulting land use zoning ordinance serves to provide the legal basis for land use allocation and development in a locality. Failure to integrate the CRM plan with CLUP prevented a unified and coherent approach of relating land use zonation with water use zonation, resulting in inconsistent and conflicting land and water uses. Moreover, the introduction of a separate CRM plan created redundant planning exercises for LGUs, resulting in duplication of planning efforts and wastage of resources. 9) Disposition over abandoned, unutilized, and illegally developed fishponds By law, abandoned fishponds should be reverted to mangrove use for rehabilitation. Similarly, mangrove areas released for fishponds undeveloped over the last 5 years are automatically reverted to mangrove use. Presently, there is sparse data and information on reverted fishpond leases, and on DENR’s accomplishments in rehabilitating these reverted areas. DENR has to monitor and closely coordinate with BFAR in implementing the mangrove reversion regulation to avoid further deterioration of abandoned fishponds and continuous encroachment of fishpond use in theremaining mangrove forest areas. A systematic method of administering reversion in accordance with existing laws and regulations should be undertaken jointly by BFAR and DENR to resolve mismanagement of abandoned fishponds. In the process of reverting titled mangrove areas with existing vegetation to forestlands, NAMRIA suggests that the Land Evaluation Party in the region should survey the exact coverage of the areas. With the reports of the Provincial Environment and Natural Resources Office (PENRO) and Community Environment and Natural Resources Office (CENRO), a case may be filed with the Office of the Solicitor General to revert the vegetated mangrove areas to forestlands. Cases exist where mangrove areas have been fully developed into fishponds but were not turned over by DENR to BFAR because of the new DENR regulations prohibiting further release of mangrove areas for fishpond purposes. A scheme has to be adopted to recover economic benefits from the use of the fishponds in these cases, as the fishpond owners do not pay anything despite raking

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in heavy profits from their production. The official procedure is that DENR turnover suitable mangrove areas to BFAR for fishpond leases. Thus, DENR should find the appropriate and legal means to collect fees and charges from the use of these areas to recover economic rents. 10) Poor enforcement of easement or salvage zones regulation The Water Code (PD 1067) established the rule that “banks of rivers and streams and the shores of the seas and lakes throughout their entire length and within a zone of 3 m in urban areas, 20 m in agricultural areas and 40 m in forest areas, along their margins, are subject to the easement of public use in the interest of recreation, navigation, floatage, fishing, or salvage or to build structures of any kind.� These easement areas are often violated and encroached upon by commercial establishments such as resorts, and are occupied by squatters. Even foreshore lands with mangrove vegetation are cleared and used for building resort structures and facilities. This rampant illegal practice has been poorly acted upon by the government. Under the law, DENR has jurisdiction over public lands which include easements and foreshore lands.

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Biodiversity Resources Trend and status The country’s very high concentration of endemic species of flora and fauna led to its classification by Conservation International as the eighth hotspot in the world. Mindoro Island, with its unique endemic species of flora and fauna earned for itself a slot in the list of hotspot areas of the world because of its richness in biodiversity. Mindoro is recognized by the International Union for the Conservation of Nature (IUCN), the World Conservation Monitoring Centre, Birdlife International, and other major international conservation agencies as one of the world’s 10 highest priority areas for conservation concern in terms of both numbers of threatened endemic species and degrees of threat (Flora and Fauna International, 2001). There are about 13,500 plant species in the country comprising 5% of the world’s flora and 170,000 animal species. About 44% of flowering plants are endemic; 64% of mammals; 68% of reptiles; 78% of amphibians and 44% of birds. In 1991, 89 species of birds, 44 species of mammals and 8 species of reptiles were internationally identified as threatened. The number of endangered species increased from 212 in 1990 to 284 in 1998 (World Bank Monitor, 2000). The National Geographic (July 2002) reports that 50% of the 283 endemic species of mammals and birds in the Philippines are endangered. Haribon Society estimates that about 90% of the threatened species of birds live in the forest indicating that their survival depends on the status of forest cover. Birds are known to be good indicators of wildlife habitat degradation. The list of rare, threatened, and endangered species in the country is reportedly increasing by about 9.7% annually, with mammal species registering an annual rate of endangerment at 23.3%. A total of 418 species of plants and animals in the country were identified by IUCN as threatened. The number of threatened terrestrial mammals is 53 species. Loss of biodiversity has primarily been due to logging, clearing of forest cover for agriculture and settlements, hunting for food and wildlife trade, pollution of coastal waters, and overextraction of biodiversity resources. It was reported that about 50 national parks have diminished their biological importance because of habitat and ecosystem degradation. About 50% of the 63 national parks lost their biological importance in 1992 due to various levels of degradation. About 4,951 species of marine plants and animals are found in the coastal and marine territory of the country. Of the 1,396 economically important species, 403 are flagship species, 145 species are under threat, while 15 species are listed as endangered (Simpson and Bugna, 2001). The country’s coral reefs are known for its diversity, ranking second to the Great Barrier Reef of Australia. The Philippine seas house 3,967 species of corals, 481 species of seagrass, and 370 species of mangroves.

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There are areas in the country that are declared endangered and set aside for protection by existing laws. These areas comprise national parks, game refuge, bird and wildlife sanctuaries, wilderness areas, strict nature reserves, watershed and mangrove reserves, virgin forests, fish sanctuaries, natural and historical landmarks, and protected or managed landscapes and seascapes. All these areas are considered as initial components of the integrated protected areas system and their status in terms of biodiversity is being evaluated so that they could be classified under NIPAS. As a result of its evaluation study, the Protected Areas and Wildlife Bureau (PAWB, 2000) grouped identified protected areas in the country into two types: 1) those proclaimed as protected areas under the NIPAS, and 2) those undergoing suitability assessments for possible proclamation under NIPAS. Of the 4.45 million hectares of identified protected areas, 53.6% belong to the Table 7. Size and Number of Protected Areas in the Country Protected Area Type

Area (hectares)

Number

Proclaimed Protected Areas Under NIPAS Natural Park

5113

858

Protected Landscape/Seascape

4919

934

Natural Monument/Landmark

4301

1208

Resource Reserve

2067

1462

Wildlife Sanctuary

1125

1498

Natural Biotic Areas

881

1575

Marine Reserve

664

1665

TOTAL

627

2315

For Suitability Assessment Under NIPAS

444

2625

National Parks/National Marine Parks/National Marine Reserve Area

408

2812

Game Refuge and Wildlife Sanctuary

301

4259

Wilderness Area

253

4421

Watershed Forest Reserve

190

5404

Mangrove Swamp

154

5675

TOTAL

128

6093

GRAND TOTAL

30

6709

first group while 46.3% belong to the second group (Table 7). In the review of the current protected area system, PAWB, Conservation International and the ASEAN Regional Center for Biodiversity Conservation identified 100 priority sites for conservation. Of these identified priority sites, about one half are currently not protected (Bugna and Blastique, 2001). In a related evaluation study, PAWB identified 74 sites (including 34 marine areas) that are rich in biodiversity but not yet declared under NIPAS and therefore have no legal protection status.

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Biodiversity loss in the country is primarily caused by: 1) habitat destruction, 2) overexploitation, 3) chemical pollution, and 4) introduction of predatory exotic species.

Policy Response The NIPAS Act (RA 7586) is the primary policy for biodiversity resources management in the country. The policy enables identification of protected areas, establishment of standard planning process, recognition of ancestral rights and institutionalization of environmental impact assessment. Recently, the Wildlife Act (RA9147) was passed to regulate the collection and trade of wildlife species. It lays down the rules for, among others, the exportation and/ or importation of wildlife, bioprospecting and biosafety, commercial breeding, and propagation of wildlife. In support to these laws, the National Caves and Cave Resources Management and Protection Act (RA 9072) was passed in 2001 to conserve, protect, and manage caves and cave resources as part of natural wealth of the country. DENR is upscaling its efforts to implement the NIPAS Act and the National Biodiversity and Action Plan. It also implements a Protected Areas Occupants Program that issues tenure instruments to migrants who have settled in declared protected areas 5 years before the enactment of the NIPAS Act in 1992. The recipients of this program are only allowed to occupy the buffer zone (multiple use zones) designated under the protected area’s management plan. DENR also undertakes a biodiversity conservation program that focuses on the protection and conservation of biological diversity and genetic resources. The program involves community and public information and education campaigns, enforcement of regulations on wildlife collection, transport and trade, biodiversity monitoring, cave management and wetlands protection and conservation. Other programs on protected areas management include: •

establishment of an ASEAN Regional Center for Biodiversity Conservation in Los Banos, Laguna to push for the implementation of the biodiversity conservation program—the center was designed to strengthen biodiversity conservation in the ASEAN Region through the development of a network of focal agencies among member countries;

implementation of P71 million worth of livelihood projects for beneficiaries in 10 priority protected areas in Sierra Madre, Mt. Apo, Agusan Marsh and Batanes;

establishment of 91 protected areas management boards (PAMB) to manage protected areas, and the preparation of protected area plans and an integrated protected areas system (IPAS) trust fund;

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launching of the Conservation of Protected Areas Project in 1994, funded by the Global Environment Facility and administered by the World Bank to protect and develop 10 priority areas covering 1.5 million hectares for biodiversity conservation, which aimed to establish and build the capacity of PAMBs, prepare management plans, and fund alternative livelihood projects;

implementation of the National Integrated Protected Areas Programme or NIPAP (1995–2002)— jointly funded by the European Union and the Government of the Philippines—to support the NIPAS Act in eight sites, and espouse in-situ conservation as a major strategy to conserve biodiversity;

implementation of other projects on biodiversity conservation such as Technical Assistance for Improving Biodiversity Conservation in Protected Areas (1999–2001) funded by the World Bank; Samar Island Biodiversity Conservation Project (2000–2008) funded through the Global Environment Facility; and the Coastal and Marine Biodiversity Component of the Mindanao Rural Development Project (2000–2003).

management of buffer zones through PAWB, which developed guidelines for establishing buffer zones for protected areas—these guidelines intend to operationalize buffer zones as part of the protected area planning and management strategy;

issuance by DENR of Memorandum Circular 20 to hasten the restoration of degraded or disturbed natural habitats within national parks and other protected areas—the circular sets guidelines on restoration activities to enhance biodiversity in protected areas;

recovery of threatened species—the government has programs for the recovery of some important threatened species, which include: Philippine Raptors Conservation Program, Tamarraw Conservation Program, Pawikan Conservation Program, Crocodile Farm Institute, Palawan Wildlife Rescue Center, Philippine Teak Project, and Philippine Spotted Dear Conservation Program.

preparation by PAWB of the National Wetland Action Plan—as part of its commitment to the RAMSAR Convention—to provide a coherent management approach for the optimal use of wetlands and their resources;

assessment of cave resources—as of 2002, PAWB has identified 1,525 caves nationwide, of which 442 caves were assessed for their potential conservation and ecotourism value, and three caves were found to be important protected areas and were proclaimed as such.

Gaps and Issues Outstanding issues concerning biodiversity conservation and the management of protected areas can be summarized as follows: 1) Encroachment of settlers in protected areas

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This increasing occupation of protected areas by settlers and the establishment of upland agriculture threaten biodiversity resources. Upland settlers continue to encroach on protected areas and cultivate plots for agricultural crops. This threat is projected to intensify unless those occupying protected areas are properly resettled in designated buffer zones of multiple use areas. 2) Slow progress in delineating protected areas The progress in identifying, delineating, and demarcating protected areas has been noticeably slow and inadequate. Managing protected areas is complicated by the fact that their boundaries are not clearly delineated and demarcated on the ground. The slow progress in mapping and demarcating protected areas constrains the implementation of protection programs and regulations under the NIPAS Act. Some lands within declared protected areas are reportedly titled through illegal means. Moreover, because of PAWB’s institutional capacity limitations to fast track its evaluation and mapping process, potential candidate sites for NIPAS have not yet been fully assessed for their richness in biodiversity. 3) Uncontrolled illegal logging in biodiversity-rich areas Continuous illegal logging in biodiversity-rich natural forest stands and destruction of ecologically important coastal and marine habitats have caused serious problems on the status of biodiversity resources. Portions of protected areas remain vulnerable to illegal logging because of the lack or absence of monitoring and poor enforcement of laws. Diverse coastal habitats such as coral reefs and mangrove forests are destroyed due to DENR, DA and LGUs’ failure to sustain enforcement of fisheries laws. 4) Increasing number of threatened endemic species of wildlife Hunting for food and wildlife trade plus the loss of habitats due to deforestation endanger animal and plant population that may eventually lead to the extinction of some endemic wildlife species. The dwindling population of some endemic wildlife and their inability to cope with anthropogenic intrusions caused the number of threatened species to increase. DENR needs to intensify its campaign and law enforcement against illegal trade of wildlife. 5) Lack of financing support for NIPAS Funds for protecting and managing NIPAS areas can be generated by using their carbon sequestration capacity in an emissions trading scheme with developed countries. The remaining forest (old growth and residual forest) can be used as a capital asset in emissions trading. An agreement with a trading partner or partners can be made wherein the carbon sequestration services of the country’s forest will be sold to the sponsoring developed countries. Denuded forestlands may also be reforested for this purpose. It has been cited in the report by Delos Angeles (2000), that the 2.6 million hectares of forest under the NIPAS can absorb and store for 25 years about 300–450 million tons of carbon valued at $5 per ton. The money earned from selling carbon sequestration services can be used to protect and manage NIPAS areas, resettle NIPAS dwellers, and provide them with alternative livelihood, and also can be spent to reforest more areas under the trading agreement scheme.

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DENR can also give corporate functions to PAMBs so that PAMBs can generate enough funds to manage protected areas. At present, collected fees are fully remitted to the National Treasury and only 30% goes back to PAMB for operations and maintenance. If PAMBs are given corporate powers, they can get a bigger share of fees and charges—enough to cover their administration and protection operations. 6) Need to explore the economic opportunities offered by biodiversity resources Government biodiversity programs are strong on the protection aspects but still very weak on the utilization and conservation aspects. The recent passage of the Wildlife Act gives an indication of the economic opportunities offered by biodiversity resources other than their high ecotourism potentials. To optimize the use of biodiversity resources in reducing poverty while enhancing conservation efforts of upland and coastal communities, DENR needs to promote livelihood activities such as stock farming of deer, wild boar, and other wildlife, culture of butterflies and silkworm, production and marketing of honeybees, orchids and other natural ornamental plants, co-production of medicinal plants and chemical extracts like perfume with private firms, extraction of genetic materials for research and development of crops and animals for food. 7) Lack of integration of protected areas in Comprehensive Land Use Plans of LGUs Policies and programs on protected areas and biodiversity conservation are weakly implemented on the ground because of lack of horizontal integration between the protected areas management plan of PAWB and the CLUP of LGUs. Zoning information (maps and reports) on protected areas and their corresponding management plans are not properly communicated to LGUs for integration into CLUPs, which also have zoning restrictions. Failure to overlay the protected area zones into CLUP zones results in incoherence and conflict in the use and allocation of land. Successful implementation of protected area zoning requires that these be translated by LGUs into their CLUPs. PAWB should be able to relate its protected area zones to LGUs by providing them guidelines and technical assistance for CLUP integration.

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Land Resources and Land Quality Trend and Status 1) Land management As of 2000, A&D lands stood at 14.145 million hectares or 47% of the total land area while forestlands consisting of established forest reserves, established timberland, national parks/game refuge and bird sanctuary/watershed areas, military and naval reservation, civil reservation, fishponds, and unclassified lands totaled to 15.88 million hectares or about 53% of the country’s total land area (Table 8). Unclassified forestland stands at 1.089 million hectares (FMB, 2000) and no progress in classifying these lands has been recorded (Table 8). Likewise, the area of established forest reserve remains the same for the last 11 years (1990– 2000) while the area of established timberland remains the same since 1998. The area classified under military and civil reservation and fishponds recorded the same figures since 1990. These statistics indicate that there are no changes in the area under these forestland classification. In the case of fishponds, no new areas were reportedly opened for fishpond development which is a good indication that the conversion of mangrove areas was being controlled if the Table 8. Land Classification, 1990–2000 (in hectares) Year

A&D

Forestland

Unclassified

Established Forest reserves

Established Timberland

National Parks GRBS/WA

Military & Naval Reserv’n

2000

14,145,078

15,854,922

1,089,118

3,272,912

10,227,847

893,221

130,330

165,946

75,548

1999

14,145078

15,854,922

1,089,118

3,272,912

10,227,847

893,221

130,330

165,946

75,548

1998

14,145078

15,854,922

1,089,118

3,272,912

10,227,847

893,221

130,330

165,946

75,548

1997

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1996

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1995

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1994

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1993

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1992

14,117,244

15,882,756

881,157

3,272,912

10,015,866

1,340,997

130,330

165,946

75,548

1991

14,117,729

15,882,271

881,157

3,272,912

10,015,381

1,340,997

130,330

165,946

75,548

1990

14,117,729

15,882,271

881,157

3,272,912

10,015,381

1,340,997

130,330

165,946

75,548

Total land area = 30,0000 hectares Source: 2000 Philippine Forestry Statistics

statistical reports were accurate. As of 2001, the cadastral survey of 917 cities/municipalities have already been approved, 337 surveys are currently in-progress, 291 localities were partially

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Civil Reserv’n

Fishponds


Table 9. Status of Cadastral Survey (As of December 30, 2001) Status

No. of Cities and/or Municipalities

% of Total

Approved

917

56.9

In-Progress

337

20.9

Partially Surveyed

291

18

Unsurveyed

68

4.2

1,613

100

Total

Source: Land Management Bureau, Cadastral Surveys Profile. Technical Bulletin No. 7

surveyed, and 68 have still not been surveyed (Table 9). As of December 2001, about 9.3 million hectares or 66% of the 14.1 million hectares of A&D lands have been titled either administratively or judiciously. About 1.3 million hectares (9%) are still untitled. DENR plays a very important role in the Department of Agrarian Reform’s (DAR) Comprehensive Agrarian Reorm Program (CARP) program by distributing public A&D lands and integrated social forestry (ISF)/CBFM areas in forestlands to qualified beneficiaries. Out of DENR’s contribution to CARP of 2.5 million hectares of public A&D lands, it has already distributed 1.146 million or 53% of its total target for land distribution. As of 2001, DENR has already provided lease agreement for ISF/CBFM areas within forestlands covering a total area of 1.284 million hectares or 81% of its targeted lands for distribution. 2) Land resources quality Land quality is threatened by two major factors: loss of topsoil due to erosion and pollution of land brought about by improper disposal of solid and toxic and/or hazardous wastes. On the other hand, the quantity of prime agricultural lands is very much threatened by conversion of the land to other uses such as housing, industry, commercial establishments and infrastructure development. i) Soil Erosion About 9 million of the 14 million A&D lands and 75% of croplands suffer from varying degrees of soil erosion due to improper farming practices and cultivation of sloping lands. An estimated 5.2 million hectares of the country’s total land area was reported by the Bureau of Soils and Water Management (BSWM) to be suffering from severe erosion and 8.5 million hectares from moderate erosion. It was reported that only 30% of erosion occurs in agricultural lands under the jurisdiction of the DA while the remaining 70% comes from sloping lands under DENR jurisdiction (Delos Angeles, 2000). Soil erosion lessens the productive capacity of lands used for agriculture and forestry. Eroded materials carried by water runoff downstream also cause siltation of rivers and coastal waters affecting their productive use. While the depth of the country’s remaining top soil varies depending on the type of soil, geological material and topographic conditions, its average

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is about 90–100 cm. If the present rate of erosion will continue, an average depth of about 10–15 cm per hectare of the remaining topsoil in denuded watersheds will be lost in 10 years. Further erosion of about 15% of remaining soil depth will further cause reduction in agricultural crop yield and create difficulty in reforestation and marginal yields for agro-forestry. ii) Land Pollution One of the causes of land and soil pollution is the indiscriminate use of fertilizers and pesticides. Residues of fertilizers and pesticides directly pollute the soils and affect their microecosystem balance and microbiological integrity. Excess fertilizers and pesticides are also carried by runoff causing water pollution of nearby rivers and coastal waters. The use of both chemical fertilizers and pesticides has been increasing through time. Fertilizer use grew from 2.1 million metric tons in 1993 to 3.1 million metric tons in 1997. Similarly, total pesticide use has also been increasing since 1991 (World Bank Monitor 2000). These increases translate to greater pollution load to soils and water bodies. The other cause of land pollution is the improper disposal of wastes, including toxic and hazardous wastes. These environmental problems spawned by these wastes are discussed under a separate heading. iii) Land conversion The quantity of fertile agricultural lands, on the other hand, is very much threatened by land conversion due to the increasing demand for settlements and other urban uses. For 1987–1997, an average of 5,635 hectares of agricultural lands per year was converted to urban uses such as housing, industries, and infrastructure. Recent figures placed agricultural land use conversion nationwide for the last 5 years to be about 3,500 hectares annually. The rate of illegal conversion is not properly monitored and documented but is estimated to be more or less equal to the rate registered for legal conversion. The agricultural lands subject to conversion comprise mostly of irrigated and irrigable lands that are considered prime lands for agriculture. If the rate of conversion will remain unabated, about 30,000 hectares of the precious irrigable and irrigated lands will be lost by agriculture for the next 10 years. This will mean reduction in rice production and possibly lowering of rice selfsufficiency capacity of the country.

Policy Response 1) Land management The principal legislation governing land administration in the country is the Public Land Act (Commonwealth Act No. 141) enacted in 1936, which provides for the classification, delimitation, and survey of lands of the public domain. Another related law is the Property Registration Decree (PD 1529 of 1978) which covers the procedures for original registration of lands under ordinary cadastral proceedings.

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Two other laws which govern the distribution of lands are: 1) Comprehensive Agrarian Reform Law (RA 6657), which covers the distribution of lands covering public and private agricultural lands including other lands of the public domain suitable for agriculture to the beneficiaries of the agrarian reform program. Certificates of land ownership, which are considered as land titles subject to certain restrictions on the use and disposition of awarded lands, are issued to qualified beneficiaries. 2) Indigenous Peoples Rights Act (RA 8371) governs the identification, delineation, and awarding of ancestral domain to indigenous peoples and indigenous cultural communities. Ancestral domains refer to areas generally belonging to interagency coordination committees (ICC)/IPs and held by them since time immemorial. These include ancestral lands, forest, pasture, residential, agricultural and other lands individually owned whether A&D or otherwise. Titles are issued to these lands by the National Commission on Indigenous People. DENR is mandated to administer and manage A&D public lands, governmentowned lands, and other lands outside the responsibility of other government agencies such as reclaimed areas and areas not needed or utilized for the purposes they were established. The land management program of the Land Management Bureau (LMB) includes the survey, classification, management, and administration and disposition of A&D lands (management of land records, land disposition through issuance of patents, investigation and resolution of cases). LMB conducts cadastral surveys which involve the establishment of project controls, survey of political boundaries and lots, survey verification, and approval. It also regulates the use and occupancy of foreshore areas, reservations, and patrimonial properties through inventory of actual occupancy, boundary surveys, and re-appraisal of values of public lands and government properties. It implements two major programs: OPLAN Fake Titles and Land Administration and Management Program. •

OPLAN Fake Titles – involves the investigation of fake land titling cases, and if evidence warrants, the institution of proceedings for cancellation of patents and/or titles through the Office of the Solicitor General.

Land Administration and Management Program – a long-term comprehensive program that seeks to address key land issues: 1) inconsistent and outdated land policy, 2) unrecognized rights in land of eligible landholders, 3) ineffective and inefficient land administration, and 4) ineffective land valuation system.

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2) Soil erosion control The problem of soil erosion in agricultural lands in the lowland is being addressed by various soil conservation and erosion control programs implemented by the DA and its BSWM. Erosion in the uplands is addressed by DENR through a combination of measures that include reforestation, agro-forestry techniques, and soil conservation farming methods. However, erosion in the uplands remains unabated as long as denuded areas are not reforested. 3) Land conversion regulation Land conversion is strictly regulated under the CARP law and its attendant implementing rules and regulations. AFMA has identified priority prime agricultural lands that should be disallowed for conversion and the DAR closely monitors and strictly implements the rules and regulations on land conversion.

Gaps and Issues The issues in land management are as follows: 1) Inconsistent and outdated land policy The Public Land Act (CA 141) and the Property Registration Decree (PD 1529) are now quite inadequate in responding to the present dynamic requirements of land management, with CA 141 now 66 years old and PD 1529 now 24 years old. The limitations of the Public Land Act led to large tracts of idle lands and the proliferation of fake titles as people put more premium on owning land than making them productive. The topographic basis used by the Forestry Code in classifying land is also outdated considering upland agriculture practices and technology which are suitable to slopes greater than 18% such agro-forestry, bench terracing and other combination of soil conservation farming practices. Thus, DENR needs to adopt criteria other than slope in classifying land. The Property Registration Decree has provided for cadastral registration proceedings to expedite the titling of large tracts of land. However, the government has not been using this mode for years. 2) Need to accelerate land distribution Land distribution under CARP has an accomplishment of only 71% despite its 14 years of implementation. DENR’s distribution of agricultural public lands has accomplished only 66% of its target while land titling has a backlog of 1.3 million hectares of untitled agricultural lands. DENR’s delay in issuing titles prevented beneficiaries from accessing credit for farm development, thus exposing their lands to squatting and land grabbing. The slow pace of land distribution is caused by the delay in completing land classification, and the jurisdictional conflict between DENR and DAR. To date, 1,089,118 hectares of potential source of A&D lands remain unclassified. Regardless of the size of the area, approval of all free patent applications for

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A&D lands of the public domain was forwarded to the DENR Central Office in Quezon City, resulting in delays in the issuance of patents. This problem was minimized when processing and approval were decentralized to DENR regional offices, through the regional directors. 3) Multiple agencies involved in land administration Several agencies are involved in similar areas of land administration and their fragmented efforts resulted in land titling complexities, inefficiencies in operations, conflicting decisions on titling cases, and added cost to government. The agencies and their related functions are as follows: a) DENR/NAMRIA and (NCIP) – classify public land as alienable and disposable. b) DENR/LMB, DAR and NCIP – survey land for titling purposes. c) DENR and LRA – approve subdivision surveys for titling purposes for registered lands d) DENR, DAR, courts and NCIP – award original ownership rights to A&D lands e) DENR/LMB and LRA – separately maintain their own versions of cadastral maps and records f ) DOF/BIR and LGUs – undertake land valuation and related mapping for tax purposes. 4) Incomplete and outdated cadastral maps Cadastral maps are important in settling titles and minimizing or preventing fake titling. About 68 municipalities remain unsurveyed, 285 partially surveyed, and 115 defectively surveyed. The delay in cadastral survey was a result of the devolution of land survey to LGUs. The unsatisfactory results of the devolved survey function prompted DENR to take back the responsibility of cadastral surveying to speed up the job. Verification of the integrity of land information data generated by different agencies such as DAR, LRA, FMB, NAMRIA and LMB is also imperative to improve the reliability of land resources data base of the government. 5) Lack of decision maps to minimize land use conflict Land use conflict is often caused by the lack of decision maps that provide an overlay of information on different land claims such as TLAs, IFMAs, military reservations, protected areas, CADC areas, mining, etc. Overlaps in land claims could be identified through decision maps thereby facilitating titling of lands for ancestral domains and preventing conflicting claims. Conflicts and overlaps in municipal boundaries and CADC areas with other land claims can be resolved through cadastral surveys and production of reliable boundary maps. Poor spatial data and information lead to confusion in land titling. In some cases, titled and claimed lands are still proclaimed as CADC or protected areas. Land conflicts arise when land evaluators commit errors in their survey and delineation of land or graft and corruption becomes

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the motivating factor to issue titles. 6) Proliferation of fake titles and inefficient mechanism for resolving land cases Illegal titling of small islands, forestlands and private lands has become rampant through the years partly because of poor spatial referencing system in cadastral maps. Another cause is the anomalous transactions with government personnel. Poor system of adjudicating land claims, conflicts, and other land disputes have contributed to the delay in confirming rights to land of legitimate occupants. Land dispute cases take years before they are decided. In particular, cancellation proceedings involving spurious or fake titles are cumbersome and tedious and have to go through the Office of Solicitor General and the courts. Titled forestlands and protected areas should be properly investigated by LMB to curb such illegal practices. Those found involved in illegal titling should be investigated and prosecuted. 7) Multiple property taxes and tax disincentives Both national and local governments collect taxes on real property. Taxes on the value of land are collected by local government while taxes on land transfers are collected by both local and national governments. This multiple taxation increases the cost of real property transactions and drives land owners to systematically adopt ways to cheat on the government. It also creates a climate for corruption in government. As a result, the government fails to collect proper revenues from real property transactions. 8) Multiple land valuation system Several agencies involved in land valuation such as DENR (public lands for sale or lease), the Land Bank (agricultural lands for CARP acquisition), LGUs (real property for taxation purposes) use different standards and formula for estimating land values. Most methods generate values below fair market prices, resulting in disputes. This is one of the reasons why land owners resist the CARP valuation system. Valuation of patrimonial property also needs to be improved to capture proper lease or rent values. Patrimonial property values have lagged behind assessed and zonal values. Aside from deficiencies in the valuation methods, the problem in valuation is further aggravated by reports that some of the valuators do not have the necessary training in land valuation. Defective values are cause for complaints, disputes and unsuccessful transactions. 9) Legality of Classifying Unclassified Lands Varying views on the legality and constitutionality of DENR’s power to classify

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unclassified lands are held by the Department of Justice, Congress, and DENR itself. 1) According to the Department of Justice (DOJ), DENR can classify unclassified lands because this is not covered under congressional prohibition. 2) DENR, however, needs DOJ’s opinion on the constitutionality of classifying unclassified lands. 3) DENR can classify unclassified lands through Congress by providing inputs to enable Congress to make the decision/law. Due to the complexity of the issue, an in-depth legal study should be done by **who should do this?**, before the Department of Justice’s opinion is sought. The constitution provides that the specific limits of forestlands shall be determined by Congress through the passage of a law. Thus, the classification of unclassified lands has to pass through Congress. On the other hand, the CARP law (RA 6657) prohibits the reclassification of forestlands. Issues concerning land use conversion include: 1) Absence of a national land use policy The absence of a national land use policy has resulted in competing and conflicting use of land. A national land use policy is imperative in guiding the overall allocation and use of land that will prevent illegal and unsuitable conversion of prime agricultural lands into urban uses, and forestlands into agriculture. 2) Difficulty in monitoring illegal conversion The widespread practice of converting small patches of lands goes unnoticed and becomes difficult to monitor considering the resource limitations of DAR’s Municipal Agrarian Reform Offices. For non-tenanted prime lands, conversion is not formally opposed and remains unnoticed when done quietly and swiftly. 3) Uncontrolled urban expansion in prime agricultural lands It is difficult to control and redirect urban expansion away from prime agricultural lands when the locality sits in the middle of prime lands. Irrigated lands are susceptible to conversion because of the presence of good roads and mushrooming residential areas. The land conversion implementing guidelines also provide flexibility which allows 5–20% conversion in localities, depending on its income classification or level of urbanization. This provision justifies the conversion of prime agricultural lands within and in the fringes of rapidly urbanizing areas.

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Air Quality Trend and Status Air pollution has been serious problem in Metro Manila for the last two decades. Metro Manilans are aware of the degraded air quality in the urban centers as they see almost daily the high concentration of particulates and heavy smoke emitted by vehicles. In 1998, two major pollutants, total suspended particulates (TSP) (24-hr average), and sulfur dioxide (SO2) were reported to be within standard limits in many places in Metro Manila. Except for the Valenzuela, Makati, and Quezon City air quality monitoring stations, TSP was within the fair level of 230ug/ Ncm for 24 hours sampling. Likewise, SO2 recorded a value of 0.07 ppm for 24 hours which was within standard set by the Environmental Monitoring Bureau (EMB). However, in 2000, the 24-hr average TSP was reported to be beyond standard level in five out of 10 monitoring stations in Metro Manila.

From 1989 until 2001, the recorded levels of annual mean TSP in Metro Manila significantly exceeded by almost double the national annual ambient air quality standard of 90 ug/Ncm, indicating a consistently very poor air quality. The highest 24-hour average TSP measured in one sampling station (Congressional Avenue) for 1999 and 2000 even triples the standard (World Bank Monitor 2000). The trend from 1997 to 2001, however, showed a steady declining level of TSP concentration from 218 ug/Ncm to 153 ug/Ncm although these values still exceed the standard. Other urban areas with 24-hr TSP reading above standard are Baguio city (central business district), Cebu city and Mandaue city. Areas with TSP reading above the annual mean standard of 90 ug/Ncm for 1995 to 2001 include Baguio, Cebu, Mandaue, Tagbilaran, Iloilo, Negros, Davao and Tagum. More dangerous types of particulate matters are those with very small diameter,

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namely: PM10 (10 microns or less) and PM2.5 (2.5 microns or less) which can easily penetrate the lung’s bronchioles and cause serious health damage. Data on these species of pollutants are lacking because EMB and its regional offices do not have adequate monitoring and measuring equipment. Other equally menacing pollutants such as sulfur oxides, nitrogen oxides, carbon monoxide, and volatile organic compounds are not regularly monitored by EMB and its regional offices due to lack of equipment, personnel, and financial resources. Thus, the level of these pollutants in ambient air and their impact on health are not known although there are claims that they probably exceed standards considering the quality of fuels used by our vehicles and the compliance rate of industries to pollution control standards. The volume of air pollutants (TSP, PM10 , SOx, NOx) is projected to increase due to increasing industrial activity, traffic, number of vehicles, and smokebelching public utility vehicles. In 2000, about 10,000 smoke-belching vehicles were apprehended in the National Capital Region alone. It is estimated that this is far below the total number of smoke-belching vehicles in the region. Airborne lead is no longer considered a problem in Metro Manila and other urban centers because of its effective phase out in gasoline. Its gradual phase out started in 1994 and complete phase out was attained in Metro Manila in 1996 and the rest of the country in 2001. EMB (1999) reported that 70% of TSP pollutants generated in Metro Manila comes from mobile sources and 30% from stationary-industrial sources. On the other hand, the Environment and Natural Resources Accounting Project (ENRAP) study (2000) claims that area sources (households and construction works) contribute 74% of PM10 emission in Metro Manila while 12% comes from vehicles, and 10% from industries. Major sources of PM and PM10 are two-stroke engine motorcycles and tricycles, construction works, and the wear and tear of tires. Carbon dioxide, nitrogen oxides, and organic gasses are mostly emitted by vehicles. SOx is mainly generated by power plants, oil refineries, cement, and other industries. Increasing air pollution load was reported by the World Health Organization (WHO) in 1996 to contribute to the high incidence of upper respiratory tract diseases in major urban centers like Metro Manila. The morbidity rate caused by upper respiratory tract diseases increased to 12,383 cases in 1996 from only 761 in 1982. Further increase in the number of vehicles (jeepneys, tricycles, and buses) due to inability of mass transport system to cope with burgeoning urban population will inevitably increase pollution load in traffic- congested areas. Monitoring records of EMB for 1990–1995 reveal that only 7% of the identified potentially pollutive firms do not have air pollution control facilities. However,

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of those with pollution control facilities, about 45% do not have permits to operate, indicating low compliance to environmental regulations.

Policy Response The Clean Air Act of 1999 (RA 8749) provides for a comprehensive framework for managing air quality. It sets the standards for various types of emissions, bans the use of incinerators, and requires the cleaning up of fuels. To curb the increasing level of pollutants in the atmosphere, DENR has taken the following actions: •

Phasing out lead in gasoline in 2000 and the passing the Clean Air Act (the Act) in 1999, that mandated the lowering of sulfur content in diesel fuel from 0.50% in mid-1999 to 0.20% by December 2000 and 0.05% by 2004, and reduced aromatics (from 45% to 35%), and benzene (from 4% to 2%) contents of gasoline by 2003.

Conducting anti-smoke belching program with the support of the Land Transportation Office and Metro Manila Development Authority (MMDA).

Implementing the Investment Program for the Phase out of Ozone Depleting Substances (ODS).

Implementing the Metro Manila Air Quality Improvement Sector Development Program, instituted by the MMDA, that aims to reduce air pollution from mobile and stationary sources, and strengthen ambient air quality monitoring in Metro Manila.

Forging and agreement with the Federation of Jeepney Operators, Drivers Association of the Philippines, Filipinas Engine Remanufacturing and Reconditioning Corporation, and Petron to provide financial assistance to jeepney drivers for the purchase of remanufactured engines with emission control devices.

Gaps and Issues 1) Lack of equipment to monitor air quality in critical areas Air quality monitoring equipment installed in selected monitoring stations of EMB are no longer functional and need to be replaced immediately. EMB now only regularly monitors TSP levels because of the lack of equipment to monitor other pollutants such as CO, NOx and SOx. The lack of updated and regular information on the air quality of various hotspots in Metro Manila constrains EMB to implement measures necessary to curb pollution. Meantime, Metro Manila residents and commuters continue to be exposed to worsening air pollution in the metropolis. 2) Poor enforcement of air quality regulations Enforcement of anti-smoke belching vehicles is not sustained by MMDA and LGUs because of the sheer number of violators. The strategy to make emission testing a part of the vehicle registration is likewise poorly implemented by the Land Transportation Office. These constraints do not significantly cut down

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the number of violators of anti-smoke belching laws. Low compliance to air quality standards of several industries stems from EMB’s weak monitoring capacity. 3) Economic tradeoffs and feasibility of reducing sulfur content of diesel fuel, and aromatics and benzene contents of gasoline in accordance with the provisions and target dates set by the Clean Air Act. The Clean Air Act mandates that sulfur content of diesel fuel be reduced to 0.2% by December 2000 and 0.05% by end 2004, and aromatics and benzene contents of gasoline from 45% and 4% to 35% and 2%, respectively by 2003. Implementation of these provisions of the law means major retrofitting of the refineries of major oil producing companies which will involve additional substantial capital investment and operating costs. These additional costs for environmental management will most likely be passed on to consumers through increases in the price of diesel fuel and gasoline. The increase in cost of diesel fuel will have a full scale economic impact in the cost of transporting goods and people, which may not augur well in an economy that is still recovering from a crisis. The timing of its implementation may have to be reviewed and studied well to cushion the impact of the environmental policy on the economy.

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Water Quality Trend and Status 1) Water quality Of the total 443 water bodies in the country (384 major rivers and 59 lakes) about 77% have already been classified by DENR (Table 10). About 15% of these water bodies are reportedly suffering from different levels of industrial pollution. The largest bulk of industrial pollutants come from numerous small and medium-scale industries that usually lack the necessary waste treatment facilities. Table 10. Total Number of Classified Water Bodies (Rivers and Lakes) Year

Number

% of Total

1993

195

44

1994

204

46

1995

228

51

1996

249

56

1997

278

63

1998

327

74

1999

341

77

Notes: (i) Number of major rivers: 384; (ii) Number of lakes: 59. Source: EMB, 1999.

Figure 5: Total Number of Classified Water Bodies 341

350 327 300

278 249

250 200

228 195

204

1993

1994

150 100 50 0

1995

1996

1997

1998

Aside from industrial effluents, the other main sources of water pollution are domestic wastes (household wastes), agricultural effluents (wastewater coming from piggeries and poultry) and water runoff from agricultural lands laden with pesticides and fertilizers. Water pollution from households continues to increase. Only about 3.5% of households in Metro Manila are connected to a central sewer that discharges

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1999


Table 11. List of Biologically Dead Rivers Nationwide, 1990–1992 Name of River

Location

Region

Amburayan

Sudipen, La Union

I

Baroro

Bacnotan, La Union

I

Balincaquin

Agno, Pangasinan

I

Bued Upstream

San Fabian, Pangasinan

I

Dagupan Downstream

Tambal, Dagupan City

I

Balagtas

Balagtas, Bulacan

III

Bocaue

Bocaue, Bulacan

III

Guiguinto

Guiguinto, Bulacan

III

Marilao

Marilao, Bulacan

III

Meycauyan

Meycauyan, Bulacan

III

Dumaca-a Downstream

Meycauyan, Bulacan

IV

Pasig River (4 stations out of 9)

Metro Manila

NCR

San Juan River

Metro Manila

NCR

Marikina River (2 stations out of 3)

Metro Manila

NCR

Paranaque River (2 stations out of 3)

Metro Manila

NCR

Tullahan-Tinajeros River (3 stations out of 4)

Metro Manila

NCR

Source: EMB, 1996

directly to Manila Bay (ADB, 2001). Thus, a large volume of household effluents end up in rivers and other water bodies. The same situation characterizes all the other cities in the country. Domestic sewage contributes about 52% of total water pollution load while industry contributes 48%. Pollution of rivers, streams, and lakes contaminate ground and surface waters, thus exposing the population to environmentally-related diseases. A report by WHO in 1996 cited the rise in morbidity rate caused by gastrointestinal diseases to 5,151 per 100,000 population from 502 in 1982. Other types of water borne diseases are also projected to increase as water quality further deteriorates. Organic load from agriculture, particularly poultry and piggeries also contribute significantly to water pollution. As agriculture continues to intensify its food production to feed a growing population, it is projected that its contribution to water pollution shall likewise increase proportionately. A total of 16 rivers nationwide (5 in Metro Manila and 11 in Luzon) are reportedly biologically dead especially during the dry months (Table 11). These rivers recorded dissolved oxygen (DO) readings ranging from 0 to less than 4 mg/l during 1990–1992. Latest reports for 1997–1998 show different ranges of DO for the following rivers: San Juan (0–4.7 mg/l), Marikina (0–6.8 mg/l), Navotas Malabon and Tullahan Tenejeros (0–6.7 mg/l) and Parañaque Zapote (0–16.3 mg/l). These ranges of DO values indicate that some river segments are biologically dead while others have relatively good water quality.

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Although the Navotas-Malabon-Tullahan-Tinajeros rivers, San Juan, Parañaque and Pasig rivers have DO below standards, EMB statistics show that over the ten-year period (1990–2000), DO levels increased slightly while biochemical oxygen demand and TSS levels declined. The water quality of other classified water bodies nationwide are generally within acceptable ranges of standards except those located in areas near industrial zones. Of the identified 5,517 potentially pollutive firms, only 8% do not have wastewater treatment facilities. However, a significant 58% of those with pollution control facilities do not have a valid permit to operate. This reflects the low compliance of industries to water pollution control regulations.

Policy Response There is no law that comprehensively covers the management of water quality. Regulations on water quality are embodied in a number of environmental laws like the Philippine Environmental Policy Decree of 1977 (PD 1151), Environment Code (PD 1152), EIS law (PD 1586) and Pollution Control Law (PD 984). A bill called Clean Water Act, which consolidates all relevant aspects of water quality management, is pending in Congress. Both urbanization and industrialization contribute to the increasing level of pollution of rivers, lakes, and coastal waters within or near cities. Programs and projects to combat water pollution include the following: •

Environmental User Fee System by the Laguna Lake Development Authority (LLDA). The user fee is a pollution charge levied to industries that discharge wastewater into the Laguna Lake basin. Its objective is to reduce pollution by providing an economic incentive to invest in pollution control equipment, which is cheaper than paying the fees.

Laguna de Bay Comprehensive Water Quality Management Program. This program continues to monitor water quality and the compliance of industries to water quality standards.

Pasig River Rehabilitation Program. This aims to rehabilitate the Pasig River by relocating squatters and regulating pollutive industries.

Industrial Initiatives for a Sustainable Environment Project. This project promotes widespread adoption of EMS and pollution prevention and cleaner production options to industries in the Visayas and Mindanao regions. The project targets about 400 industries engaged in furniture manufacturing, ports and harbors, power generation, food processing, cement production, agriculture, heavy metal production, hotels, industrial estates and LGUs.

Philippine Environmental Partnership Program. This program promotes self-regulation and accountability among industries and introduces fiscal support and incentives by the government. It also encourages industries to adopt EMS and pollution prevention and cleaner production strategies.

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Gaps and Issues 1) Poor monitoring of compliance to water quality standards by industries and weak enforcement of environmental laws An assessment done by EMB from 1990–1995 revealed that many factories poorly complied with environmental regulations. Updated data on compliance monitoring and water quality violations are spotty and EMB’s industrial data base is quite incomplete. It appears that EMB is not able to fully implement water quality standards due to personnel, funding, and equipment constraints. 2) Slow progress in classification of water bodies Until now, several river systems nationwide (about 23% of the total) have not been classified—thus impeding the imposition of regulations in their use to protect their water quality. At the same time, some of the water quality data collected for major rivers have not been updated because of lack of monitoring on the part of DENR.

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Wastes and Toxic Chemicals Trend and Status 1) Solid wastes Solid waste generation in Metro Manila alone grows by 2% per annum. Waste generation in Metro Manila and selected provinces increased by 26.3% during the last 5 years. Waste collected in Metro Manila is only about 65–75% of the total wastes generated and the recycling level is estimated to be about 13%. The 25–35% uncollected wastes rot in streets and vacant lots, or are thrown by households in rivers and creeks. Metro Manila still disposes its solid wastes in open dumpsites. About 15 dumpsites (3 large and 12 small) are reportedly operating in Metro Manila. The big dumpsites are located in Catmon, Malabon, Vitas, Tondo, Barangay Lingonan, Valenzuela (Payatas dumpsite in Quezon City was recently closed due to the Payatas trash slide killing a lot of residents living in the site). Only three sanitary landfills are operating in the country: Cebu city, Carmona, Cavite and San Mateo, Rizal. The last two sanitary landfills were closed following complaints of residents in the area. No new sanitary landfills for Metro Manila are presently being built because of strong resistance from communities affected. Land pollution brought about by improper disposal of solid wastes contaminates the soil and threatens the integrity of groundwater and surface water. Lecheates and surface runoff from dumpsites contaminate the ground and surface water, creating health risks to residents. Improper disposal of wastes exposes the population to various vector and water borne diseases, and creates nuisances to communities because of the foul odor emitted in dumpsites. 2) Hazardous waste About 20% of total wastes disposed are hazardous. Toxic and hazardous wastes mostly come from commercial and industrial establishments, which have a combined volume of 2.5 million metric tons per year. Hazardous wastes (inorganic chemical wastes, alkali wastes, and industrial organic wastes) are expected to increase by more than 100% in the next 15 years due to the rapid pace of urbanization and industrialization. The major generators of hazardous wastes are fabricated metal, machinery and equipment industry, and chemical, petroleum, coal, rubber, and plastic industries (World Bank Monitor 2001). Toxic and hazardous wastes directly expose the population to various health hazards. A Japan International Cooperation Agency (JICA) study conducted in 2000 reported that the number of potential hazardous waste generators in the country totals to about 15,000. Of the 1,079 registered generators, about 721 are actual generators of hazardous wastes, producing about 278,000 tons per year. Of the total volume generated, about 25% is recycled, another 25% is treated on-site and the remaining 50% is treated off-site. An estimated 50,000

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tons of hazardous wastes are stored off-site due to the lack of proper treatment facilities. By the end of 2001, the number of registered generators was 1,999 or only 13% of the total estimated generators. Records at EMB show that 28 facilities mostly located in Metro Manila are capable of treating hazardous wastes. Treatment employed includes recovery of used solvents, precious metals, lead from used lead-acid batteries, and refining of used/waste oil. Other extremely hazardous wastes such as polychlorinated biphenyl (PCB) are claimed to be exported to other countries for treatment. The bigger challenge now is to find affordable alternative technology for treating hospital wastes and other toxic chemicals once the ban on the use of incinerators becomes fully enforced. Based on the study conducted by Cabrido (2000), 110 hospitals were identified to be using the incinerator facilities of the Integrated Waste Management Incorporated, a commercial service provider, to dispose their hazardous medical wastes. Another 38 of the hospitals surveyed reportedly have their own private incinerators. On the other hand, World Bank (2001) reported that there are 43 operational incinerators in the country, of which 22 are in Metro Manila. Without an affordable alternative technology for these hospitals to treat their hazardous medical wastes and considering the poor monitoring scheme of DOH and EMB on waste disposal, it is feared that a substantial volume of these wastes will be inevitably disposed together with ordinary solid wastes. Some rural hospitals without incinerators were observed to dispose their medical wastes in open pits within their hospitals premises. 3) Toxic chemicals The Priority List of Chemicals lists about 28 chemicals used in the country out of the recorded 38,000 chemicals in the Philippine Inventory of Chemicals and Chemical Substances. Those listed are closely monitored, especially their disposal. To regulate the use toxic chemicals, the EMB issued chemical control orders for cyanide, mercury, asbestos and ODS.

Policy Response The basic policy for solid waste management is the recently enacted Ecological Solid Waste Management Act (RA 9003 of 2001) which provides for waste reduction, recycling, and proper disposal and treatment. Toxic chemical and hazardous waste management are governed by RA 6969, otherwise known as the Toxic Substances and Hazardous and Nuclear Waste Act of 1990 which provides for the proper handling, transport, treatment, and disposal of toxic chemicals and hazardous wastes. For solid waste, hazardous waste and toxic chemical management, a number of programs are being implemented by DENR in collaboration with other government agencies. Moreover, several measures are being implemented by DENR in collaboration with MMDA, LGUs and NGOs to remedy the worsening garbage situation in many cities throughout the country. The waste

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management measures include: • Implementation of the Ecological Solid Waste Management Act (RA 9003), which promotes waste reduction, segregation, and recycling and composting. The Implementing Rules and Regulations (IRR) for RA 9003 has been prepared by DENR to prepare the ground for the full scale implementation of the provisions of the law. •

Closure of dumpsites in Meycauayan, Bulacan, and Dasmarinas, Cavite. In accordance with the provisions of existing environmental laws, DENR ordered the closure of open dumpsites that expose communities to the health hazards of wastes. Closure of 8 open and illegal dumpsites in Makati City, Caloocan city, Valenzuela city and in the provinces of Bulacan, Cavite, and Rizal was also undertaken.

Solid Waste Management Program launched by NGOs. Several NGOs are helping the government by undertaking their own initiatives and projects in educating the public and advocating the segregation, reuse, and recycling of household wastes.

Preparation of a Master Plan on Hazardous Waste Management in the Philippines. With funding support from JICA, DENR-EMB is preparing a master plan to properly register, monitor, and regulate the use of toxic and hazardous substances in the country. The plan also lays out the various acceptable methods/technology for the treatment and disposal of toxic and hazardous wastes.

ODS import regulation. The importation of ODS in 2001 was limited to less than 1,000 metric tons of chloroflourocarbons (CFCs) 11 and 12. New policies now mandate the phase-out of ODS importation.

Gaps and Issues Issues on disposal and treatment of toxic and hazardous wastes are:

1) Weak monitoring and lack of information on toxic and hazardous waste disposal Of the estimated 15,000 industries that are potential generators of toxic and hazardous wastes, only about 6% have registered with EMB. Poor compliance monitoring and enforcement by EMB has encouraged low registration rate of hazardous waste generating industries. EMB needs to strengthen its monitoring and survey of hazardous waste generators, assist LGUs to assess and select suitable sites for sanitary landfills, and evaluate viable waste treatment technologies for adoption. Unless these measures are immediately undertaken, the problems and issues posed by toxic and hazardous wastes will continue and further exacerbate. 2) Search for cost-effective and environmentally-safe technology for treatment and disposal of hazardous and toxic wastes

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The Clean Air Act bans the use of incinerators, which is a widely used technology by hospitals and some industries in destroying and disposing their toxic and hazardous wastes. With the implementation of the ban, the government has no viable and effective technology to immediately substitute for incineration. Thus, a large portion of toxic and hazardous wastes are now suspected to be mixed and disposed with solid wastes in open dumpsites and sanitary landfills inasmuch as exporting these wastes is prohibited and treatment technology by private contractors are limited and may not be totally effective (Cabrido, 2000). Sanitary landfill will not contain the problem on toxic and hazardous wastes. Moreover, the government’s reliance on recycling and reuse of wastes will only minimize their volume but will not be effective in treating toxic and hazardous wastes disposed by industries, commercial establishments, and even households. 3) Social acceptability and inadequate space availability for sanitary landfills With the ban on incineration as a means to treat and dispose toxic and hazardous wastes, the government has to rely more on the use of sanitary landfills as an effective means of disposing solid and hazardous wastes. The main opposition to sanitary landfills is their acceptability to surrounding communities. Communities are united in opposing the location of sanitary landfill sites within their area because it brings odor pollution, possible contamination of soil and groundwater quality, road accidents caused by speeding dilapidated garbage trucks, and health risks brought about by garbage piles. Because of the “not-in-my–backyard” attitude of affected residents and the lack of space in Metro Manila, sanitary landfills may not solve the immediate toxic waste management problem in Metro Manila. Other alternative technologies such as non-burn technologies (e.g., plasma destructors) may have to be adopted to complement efforts in waste segregation, recycling and reuse of wastes. Most importantly, cost effective technologies have to be immediately put in place to treat and properly dispose hazardous wastes including hospital wastes.

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Water Resources Trends and Status Estimates made by the National Water Resources Board (NWRB) of water resources available in the country in terms of volume per day are 142 mcm/ day for surface water and 833 mcm/day for groundwater. About 80–90% of the groundwater is reportedly utilized compared to only 20% of surface water. In terms of quantity, it seems that the demand for water by the growing population can be satisfied. In reality, the available water supply is not evenly distributed throughout the country. Moreover, the quality of available water varies among different places. Thus, water shortages are experienced in some parts of the country. An estimated 30% of the population in urban areas has no potable water supply while 20% of rural population has no direct access to potable water. Statistical information on water resources in the country is scanty and generated by different institutions. This makes it difficult to assess the current status of, and estimate water supply potentials. While surface water quality is threatened by water pollution and its quantity is greatly influenced by watershed forest cover conditions, groundwater in many urban centers is depleting because of over-extraction. Surface water is used for many purposes: irrigation, domestic water supply, power generation, fishing and navigation. Groundwater, on the other hand is widely used as a source of water supply by households, commercial establishments, and industries. The increasing population exerts high extraction rates from groundwater to provide for households’ water needs especially those not serviced by piped system of water supply. Industries also contribute to the high rate of groundwater withdrawals. Recharge rates of aquifers are not able to cope with high extraction rates, resulting in the depletion of groundwater, ground subsidence, and the intrusion of saline water in coastal areas. For Metro Manila, it is reported that the groundwater levels have gone down by as much as 5–10 meters per year. According to the Local Water Utilities Administration (LWUA) and Metro Manila Water and Sewerage System’s (MWSS) estimate in 1996, groundwater stock declined from about 275 billion cubic meters in 1988 to 250 billion cubic meters in 1994. Over-extraction has also caused saline water intrusion in wells near coastal areas of Metro Manila, Bulacan, Pampanga, Capiz and Sorsogon. Presently, data on groundwater extraction and recharge are scanty— constraining the planning and development of water resources projects. Moreover, water resources assessment data dates back to the 1970s and are outdated for projecting supply and demand. The Mines and Geosciences Bureau (MGB) has conducted reconnaissance and a semi-detailed survey of about 80% of potential water-bearing rocks nationwide and prepared reports and maps of their findings.

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Shortage in water supply to meet demand is primarily due to lack of infrastructure to harness, process, and distribute water resources. Due to the lack of reservoir, domestic and industrial sectors rely on groundwater to meet their water demand (NSCB, 1997). A national water crisis was declared in 1995 to solve the problems of fragmented water management, lack of cross-sectoral strategy for development and protection of water resources, poor enforcement of laws, and uncoordinated planning, among other institutional issues. This led to the creation of a Presidential Task Force on Water Resources Development and Management (PTFWRDM) under DENR, which was primarily tasked to coordinate and oversee the management of water resources. In 2002, a new Executive Order (EO 123) was issued placing NWRB under the supervision and control of DENR. With this new development, PTFWRB ceased to exist and will gradually be replaced by a water resources management bureau after the new integrated water resources management system has been tested to work.

Policy Response EO 123 is the latest policy on water resources management. It subsumes NWRB under the supervision of DENR and provides for the formulation and implementation of an integrated water resources development and management among its other functions. PD 1067, also known as the Water Code of the Philippines (the Code) is a consolidation of laws and regulations relating to the development, utilization, exploitation and conservation of water and remains to be the most comprehensive guide in regulating water resources utilization and management. A law declaring a national policy favoring local operation and control of water systems also exists and is called the Provincial Water Utilities Act and Local Water District Law (PD 198). This law authorizes the formation of local water districts to provide and manage the water needs of local districts. Government initiatives to improve the planning and development of water resources include the following: •

Creation of PTFWRDM under DENR in October 1996 to serve as an oversight body for ensuring the efficient sourcing and use of water resources. Its responsibilities include: water supply planning, coordination and efficient allocation of water resources to its different users, prioritization of programs and projects, coordination of water policies and programs, and pricing on water resources.

•

Preparation of the National Strategy and Action Plan for the Water Supply and Sanitation Sector. The plan envisions putting in place a sustainable water sector management that provides affordable water supply for various uses at the optimum quality and affordable wastewater treatment and disposal for present and future generations.

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Gaps and Issues 1) Groundwater depletion Groundwater depletion is a serious problem in urban growth centers especially Metro Manila. About 65% of water abstraction is carried out by industries and commercial establishments without the necessary permit. No metering and monitoring of compliance to meet the required allowable withdrawal rates is in place. Only 6% of those monitored complied with withdrawal limits. Abstraction by households remains uncontrolled and does not strictly require permit from the government. 2) Lack of coordination among water agencies Each type of water use is managed by a separate department or agency. About 32 agencies that are reportedly involved in water-related activities do not coordinate with each other resulting in waste and misallocation of water resources. Too many water agencies create confusion among users who do not know which agency to approach regarding their water problems. 3) Lack of investment for the development of water infrastructure facilities Shortage in water supply is not primarily caused by the lack of raw water but by the lack of infrastructure facilities to harness water resources potentials. Water shortage is further aggravated by increasing pollution of surface water sources, depletion and contamination of groundwater, and the destruction of aquifer recharge areas. Government policies and the present investment climate are not attractive to private sector investment in the water sector. Widespread pilferage, costly maintenance of pipes and low water use charges are believed to be some of the disincentives for entering into the water supply business. 4) Distorted water pricing The uncontrolled and unlicensed drilling of private wells for domestic and commercial uses has distorted the allocation of increasingly scarce water resources. The government is not able to capture the necessary scarcity rent for the use of groundwater and loses much needed revenue to fund water resources development. This is partly due to the lack of economic instruments that set the proper pricing for water extraction and the difficulty in monitoring and enforcing water use and exploitation regulations. The proper pricing of groundwater and surface water is one way of resolving a number of problems in the water sector. Suppliers and consumers would properly conserve water if it is valued properly.

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Mineral Resources and Mining Trend and Status As of 1996, the mineral reserves in the country comprised 6.67 billion metric tons of metallic and 78.472 billion metric tons of non-metallic minerals. A large part of the metallic reserves is copper (70%) followed by nickel (16%). Limestone and marble account for almost 85% of the non-metallic mineral reserves. A study conducted by East-West Center in 1994 estimated that about 11 new deposits under a “conservative estimate” and 25 deposits under a “most likely estimate” may be developed during 1995–2015. In 1997, 17 metallic mines were operating in the country (Table 12) but the number went down to just 7 mines in 2002. The presently operating mines include Benguet Corporation Masinloc Mine, Hinatuan-Cagdianao Mining Corporation, Lepanto Victoria Mine, Philex Mining Corporation, Rio Tuba Nickel Mining Corporation, and Taganito Mining, with a total tenement area of 23,106 hectares. The kinds of minerals, location of mines, and mineral production for 2000 and 2001 of these mining companies are given in Table 13. From 1999 up to the present, six mining sites with a total tenement area of 12,526 hectares (Table 14) have been inactive, while 19 sites have been inactive for the last five years (Table 15). These mines suspended their operations for a variety of reasons such as: depleted ore body, financial losses, and peace and order problem. Some mines have been foreclosed by the Asset Privatization Trust (APT) (now the Privatization Management Office). APT came in because the government either extended loans or guaranteed the loans to these mines during the Marcos days. Owners of non-foreclosed mines continue to hold on to their properties, claiming that their mine is on a “care-and-maintenance” program. However, this has to be verified with MGB. This approach is commonly employed by mining companies while waiting for another operator to come in either to reopen the mine or to convert it to other uses like a water reservoir or landfill.

Table 12. Number of Operating Metallic Mines Metal Commodity

1997

1998

1999

2000

2001

Current 2002

Copper concentrate with gold and silver

4

3

3

3

4

2

Gold bullion with silver

6

7

5

3

3

1

Metallurgical chromite ore and concentrate

3

3

2

1

1

-

Refractory chromite ore

1

1

0

1

1

1

Nickel ore

3

3

3

4

3

3

Total

17

17

13

12

12

7

Source: Mines and Geosciences Bureau

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Figure 6. Number of Operating Metallic Mines 18

17

17

16 14 13 12

12

12

10 8 7 6 4 2 0

1997

1998

1999

2000

2001

Current 2002

Table 13. Particulars of Operating Metallic Mines Metal Commodity

Mine

Copper concentrate with Philex Mining gold and silver Corporation

Location Padcal, Tuba, Benguet

Tenement Area

2000 Production

2001 Production

7,886.56 has

21,072 MT copper

15,467

Lepanto Victoria Mine

Mankayan, Benguet

948.97

734

1,267

Gold bullion with silver

Lepanto Victoria Mine

Mankayan, Benguet

Same as foregoing

5,177 kg gold

4,854

Nickel ore

Rio Tuba Nickel Mining Corporation

Rio Tuba, Bataraza, Palawan

5,200

227,100 DMT nickel ore

200,365

Taganito Mining Corporation

Claver, Surigao del Norte

4,966

242,614

566,650

HinatuanCagdianao Mining Corporation

Hinatuan, Surigao del Norte

1,230

172,754

226,794

Metallurgical chromite ore and concentrate

CRAU Mineral Resources, Inc.

Surigao del Norte

2,257

Refractory chromite ore

Benguet Corporation Masinloc Mine

Zambales

618

2,257 DMT 20,619 DMT

Source: Chamber of Mines of the Philippines and Mines and Geosciences Bureau

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25,939


Table 14. Inactive Metal Mines (1999–2002) Metal Commodity Copper concentrate with gold and silver

Gold bullion with silver

Metallurgical chromite

Mine

Location

Tenement Area

Date of Suspension of Operations

Maricalum Mining Corporation

Sipalay, Negros Occidental

2,673 has

June 2001

Manila Mining Corporation

Placer, Surigao del Norte

6,426

August 2001

Philex Gold Philippines, Inc. Bulawan Mine

Hinobaan, Negros Occidental

2,268

February 2002

Manila Mining Corporation

Placer, Surigao del Norte

United Paragon Mining Corporation

Paracale, Camarines Norte

430

May 1999

Krominco Inc.

Gov. Generoso, Davao Oriental

729

April 2000

February 2001

Table 15. Mines with Inactive Operations for More Than Five Years Metal Commodity

Company

Location

Gold

Batong Buhay Gold Mines

Pasil, Kalinga

Gold

Benguet Corporation Benguet Antamok Gold Operation

Itogon, Benguet

Gold

Benguet Corporation Benguet Gold Operation

Itogon, Benguet

Gold

Benguet Exploration Inc.

Tuba, Benguet

Gold

Black Mountain Inc.

Tuba, Benguet

Gold

Vulcan Industrial and Mining Corp. – Marian Gold Project

Cordon, Isabel

Copper

Benguet Corporation Dizon Copper Operation

San Marcelino, Zambales

Metallurgical chromite

Acoje Mining Co., Inc.

Sta. Cruz, Zambales

Copper

Acoje Mining Co., Inc.

Mabini, Pangasinan

Mercury

Palawan Quicksilver Mines

Palawan

Copper

Consolidated Mines inc.

Mogpog, Marinduque

Iron

Philippine Iron Mines

Jose Panganiban, Cam. Norte

Copper

CDCP Basay Mine

Basay, Negros Oriental

Pyrite

Philippine Pyrite Corp.

Bagacay, Samar

Gold

Banahaw Mining and Development Corporation

Rosario, Agusan del Norte

Gold

Surigao Consolidated Mining Co., Inc.

Siana/Mapawa, Surigao del Norte

Silica sand

Various silica mines

Roxas, Palawan

Marble

Various marble mines

Romblon

Source: Mines and Geosciences Bureau.

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About 700,000 hectares of land are occupied by mining and quarrying. There is reportedly no mineral scarcity, considering the country’s vast mineral reserves. However, mining is restrained because of the lack of risk capital and cutting edge exploration technology. Mining also suffers from poor social acceptability. This is due to the extensive negative impacts on both the on-site and off-site environment brought about by improper disposal of mine wastes and tailings, including chemical residues. On some occasions, the collapse of tailings ponds becomes inevitable due to the frequency of strong typhoons that batter the country annually. In other instances, massive spillage of mine tailings that destroys rivers, irrigated lands, and coastal habitats is caused by neglect and poor design and maintenance of tailings containment facilities. Since 1982, seven incidents of mine tailings releases have been recorded to cause serious damage to the surrounding environment, including downstream agricultural lands. Low and erratic mineral production is influenced by the prices of metallic minerals in the world market. World prices serve as an effective economic mechanism that dictates mineral development and conservation. In their desire to maximize profit and gain competitiveness in the world market, some mining firms do not invest as much as necessary in environmental management to cut down on the cost of operations. The passage of the Mining Act in 1995 slightly improved investment in the industry. However, the investment was not able to fully take off because of several factors: negative image created by the environmental disaster brought about by the Marcopper tailings spill; the implementation of the IPRA law; and the constitutional challenge to the Financial and Technical Assistance Agreement (FTAA) and the Mining Act itself. This weakening of the mining industry was further aggravated by the Asian financial crisis that hit the country in 1997. Uncertainties in government policy caused several foreign mining firms to withdraw their investments until only seven corporations were left in 2002. Possible revival of the industry depends on the fresh infusion of foreign investments inasmuch as local companies lack the ability to open up new mineral projects due to lack of capital, modern technology and expertise. In the next 5–10 years, four prospective foreign investments in new mineral projects hope to improve the industry’s financial outlook. These new projects will be located in Rapu-rapu, Albay (copper concentrate and gold); Didipidio, Nueva Vizcaya (copper concentrate with gold); Bataraza, Palawan (mixed nickel and cobalt sulfides); Carrascal, Surigao del Sur; and Claver, Surigao del Norte (nickel ore). As of 2002, 16 cement-manufacturing sites have been reportedly operating. On the other hand, an estimated 2,000 small scale mines operate nationwide. These small scale mines are engaged in the extraction of sand, gravel, limestone, rock phosphate, calcium, gypsum, guano, chromite, and gold.

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Small-scale mining of gold contributes significantly to the economy. Around 89% of the 185,000 workers engaged in small scale mining are mining gold. In 2001, gold from small mines accounted for 69% of the country’s total gold production and 39% of the total mineral production.

Policy Response The Mining Act of 1995 is the most recent legislation on mining which comprehensively addresses the ambiguities in government policy and provides the instruments to encourage foreign investment. A law supporting small scale mining is the “Small Scale Mining Act of 1991 (RA 7076)” which rationalizes viable small-scale mining activities to generate more employment opportunities and declares areas exclusively for small-scale mining operations. It also mandates the creation of provincial or city mining regulatory boards as the permitting and regulatory arm of the government for small-scale mining. Two old mining laws promulgated during the 1970s were: PD 1198 which required the restoration and rehabilitation of mined-out areas to their original condition; and PD 1251, which imposed mine tailings fees on mining firms as reserve fund for the compensation of mining-related damages to agricultural properties and private land. MGB manages the exploration, development, and utilization of mineral resources through various activities such as issuance of mining rights, audit of mining companies, and compliance monitoring to the conditions set forth in the Mining Production Sharing Agreement (MPSA) and FTAA as well as mining environment advocacy. It also extends technical support to smallscale mining. After the disastrous Marcopper incident of 1996, DENR together with the industry and NGOs reviewed the implementing rules and regulations of the Mining Act. The consultation led to DENR AO No. 96-40 which requires companies to undertake an Environmental Protection and Enhancement Program after they are granted an environmental compliance certificate (ECC). The program consists of establishing a social development and management program, a mine rehabilitation fund of P5 million as guarantee to rehabilitation works if the mine becomes bankrupt, mine rehabilitation fund committee composed of LGU, NGO, industry, and government representatives, and the multi-partite monitoring trust fund. To improve its environmental performance, the industry came up in 1998 with its code of conduct for environmental management but this was not actively pursued. In 1999, the Bishops-Businessmen’s Conference commissioned the Environmental Science for Social Change to review mining vis-à-vis its environmental management performance. The output is a balanced document which encourages more dialogue and reforms in the industry, government, and civil society. Currently, MGB has drafted a national mineral policy which considers environmental management as a policy thrust.

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Gaps and Issues 1) Social unacceptability of mining Mining projects are usually unacceptable to the public and the affected communities because of its bad environmental management record. The mining industry’s poor environmental performance as evidenced by abandoned mines and destructive mine tailings spill incidents makes mining in the eyes of the people a losing proposition. The public has the perception that mining maximizes its profit to the detriment of the environment and society, and while it creates employment and generates foreign revenues, these are not enough to compensate for the on-site and off-site long-term damages and miseries it brings to the local people. Exploration or mining development projects cannot commence because of the absence of community or local government endorsement. The causes of poor social acceptability of mining projects are the industry’s poor environmental performance in the past; misinformation about the project, especially its environmental and social impacts; fears of the project’s effects on existing livelihood and public safety; perception that the project will benefit only a few; and opposition to the mining act, notably the entry of foreign companies. The unappreciated benefit of mining is founded largely on the non-remittance to the local government of its share from mining excise taxes. The national government is not able to provide local governments their share of excise taxes from mining projects and this exacerbated inequities in the distribution of benefits derived from mining projects. 2) Civil society’s distrusts in the mining companies and doubts about the environmental viability of mining NGOs and other environment groups strongly oppose mining projects because of their adverse impacts on the environment and safety of local communities. The issues against mining include environmental incidents like the Marcopper tailings spill, and breaches of tailings dams of some mining companies; the degraded state of the environment in abandoned or financially distressed mines; the risks to the environment and human health posed by mining structures, wastes and chemicals; unregulated small-scale mining; and the belief that the environmental degradation caused by mining cannot be remediated. Many view the survival of the mining industry to rest more on the support of politicians and government officials rather than on the public’s sentiment. Moreover, the absence of a model mine which showcases best environmental and social management practices casts doubt on the social and environmental viability of mining and leads NGOs and local communities to oppose mining projects. 3) Conflict between mining law and other environmental laws Environmental laws affecting mining include the NIPAS Act, IPRA, EIA system, and LGU code. Some of the provisions of these laws conflict with mining laws. The absence of a credible conflict resolution mechanism gives the impression of a divergent government policy on mining.

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Most ENR laws, except the Mining Act, are not favorable to mining because of its environmentally-destructive nature. The IPRA law establishes a rigorous process leading to a “free prior and informed consent” by IPs before the government grants exploration or mining rights to lands within ancestral domain in which about 60% of the country’s mineral wealth is located. The NIPAS Act similarly excludes mining in declared protected areas and proclaimed watersheds. The NIPAS Act and its implementing rules prescribe a resource profiling and public consultation before an area is declared as protected area. The mining sector claims that not all key stakeholders are consulted in the process. In other occasions, the process of consultation is not even followed posing great disadvantage to the interest of the mining sector. 4) Policy ambiguity in the Mining Act The government policy on mining and mineral resources is enshrined in the Mining Act (RA No. 7932). However, there are ambiguities in government policies on mining. Still unresolved by the Supreme Court is the constitutional challenge to FTAA and the Mining Act of 1995 itself. FTAA is the mechanism which allows foreign corporations to stake a claim on mineral resources and to undertake development. With the challenge unresolved, foreign investors have pulled back and adopted a wait-and-see attitude. Adding to the ambiguity and instability are the unresolved issues in the IPRA (RA No. 8371). These include: a) scope and application of vested rights, b) scope and application of priority rights, c) harmonizing procedures for dispute resolution involving mining tenements, and d) roles and responsibilities of different government agencies in ancestral lands or domains. 5) Perception of mining as an exclusive permanent type of land use and lack of updated land use maps Complicating the apparent divergence of government policy is the host of bills pending in Congress, i.e., the National land Use Act and the delineation of forest and non-forestlands (SB 1941). These bills view mining as permanent and exclusive land use which is contrary to the scientific view in other countries. If ratified, these bills may rule out mining even in declared mineral areas. A problem that slows down the processing of mining rights application and resolution of conflicts is the lack of standardized and updated maps on forestland uses. Updated control maps providing spatial information on protected areas, watershed reservation, and ancestral domain claims are either non-standardized or outdated, making them unreliable basis for sound decision making. 6) Lack of coordination between MGB and LGUs in land use planning The CLUPs prepared by LGUs usually do not incorporate spatial information on mining because of lack of coordination with DENR’s regional offices. In most

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cases, DENR is not able to provide LGUs with important data and information on potential mineralized areas for development. Another reason is the lack of interest by LGUs on mining projects because of their unclear benefits to the locality and the fear of environmental destruction they may bring. 7) Unregulated small scale mining operations Gold production from small-scale mining contributes a significant 69% of the country’s gold production and 39% of the total mineral production. However, most small-scale mining activities are done without permits. Only about 20% of areas mined have permits, which robs the government of its share of taxes, and those with legal stake to mining lands, of their right to develop their claims. The most glaring and pervasive problems created by small scale-mining are environment and health-related ones. Unregulated small-scale mining activities cause pollution of water resources with cyanide and mercury, thus endangering the health of communities using the water resources for domestic purposes. The health of miners is also seriously affected by the toxic substances they handle. Mine wastes and tailings from small-scale mining operations are not properly disposed of and add to the environmental and health problems in the area. Mine accidents are also common and violence is reportedly rampant. When Mt. Diwalwal gold mines were opened in the 1980s, about 40 people were reportedly killed due to mining conflict. Efforts of the government to address problems spawned by small-scale mining seem ineffective and inadequate in the face of its continuing occurrence. Administratively, confusion between LGUs and DENR occurs, especially in classifying and determining the scale of some operations. Some mining operations are owned by big companies but subcontract to small-scale miners. The granting authority for the permits, regulations, and control cannot therefore easily be established between DENR and the LGU. It was suggested that a new classification be established, and regulations for this be formulated. 8) Non-rehabilitation of abandoned or inactive mines About 32 mines have ceased operations since 1980 and have remained abandoned or inactive until now. Of these, 22 mines became inactive before the 1995 Mining Act and 10 mines ceased operations after the Mining Act was passed. None of these abandoned and inactive mines have been rehabilitated— posing a threat to the environment and surrounding communities. PD 1198 requires mining companies to restore and rehabilitate their minedout areas but this law was never seriously followed by the mining industry. MGB and EMB also failed to properly enforce the provisions of this law perhaps because of strong resistance from mining firms and the technical difficulties involved. Mining companies deny that their areas are mined-out. According to them, operations ceased because metal prices are unfavorable, and will resume once prices improve. Meantime, their abandoned mines create environmental

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and health problems to the surrounding communities in terms of acid mine drainage, heavy metal contamination of surface waters, sedimentation, and potential threat of mine tailings spills. The opportunity for these mined-out areas to be used for other productive land uses is foregone while they remain idle and unutilized. Providing incentives to organizations willing to rehabilitate mined-out areas into productive uses may be considered by DENR as a strategy to solve this problem. In the same vein, reversion of exhausted mineral reservations to other productive land uses may be undertaken by DENR. MGB and the LGU may request or undertake the survey of mineral reservation areas to determine and certify whether minerals have been exhausted in the area. The process of disestablishment may proceed once certified that the area no longer contains economically extractable minerals,. 9) Delays in the processing and approval of permit for mineral exploration The IPRA law requires free and prior informed consent (FPIC) of IPs before a permit for exploration can be issued. According to applicants, the process being implemented by NCIP takes several years and that the government loses the opportunity to earn income from about 500–600 pending applications. They argue that exploration does not involve land clearing or moving activities but rather entails only the drilling of small holes and therefore is not environmentally destructive. The proponents contend that only mining operation proper should be subjected by NCIP to FPIC. Representatives from the mining industry suggest that the function of issuing entry permits for mineral exploration be devolved to LGUs to fast track approval and at the same time earn income from such activity.

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State of ENR Sustainability Based on the results of the foregoing situation analysis, the state of sustainability of key ENR variables was rated using indicative thresholds or available environmental quality standards as benchmarks. The critical indicators which best characterize the state of ENR sectors were selected and their reported values were rated according to sustainability class level to obtain an indicative sense of their present state (Kinnear and Cabrido, 2002). The critical indicators selected and their available most recent Table 16. Indicative Environment Sustainability Rating ENR Indicator

Indicator Value

Indicative Threshold/ Std

Index Rating

Index Rating Class

Sustainability Rating Class

Forest cover1

34

50%

2

Poor

Low sustainability

Live coral reef2

30

50%

2

Poor

Low sustainability

Mangrove cover3

27

50%

2

Poor

Low sustainability

Seagrass beds4

50

50%

3

Fair

Fair sustainability

Fish CPUE5

1.17

1.0-1.5 (mt/hp)

3

Fair

Fair sustainability

Wildlife endangerment6

50

40%

2

Poor

Low sustainability

NIPAS degradation7

50

40%

2

Poor

Low sustainability

Soil erosion extent8

46

50%

3

Fair

Fair sustainability

Solid waste disposal9

65

80%

2

Poor

Low sustainability

Land conversion rate10

3,500

2,000 hectares/year

2

Poor

Low sustainability

Extent of air pollution11 (10 monitoring stations)

50

20%

1

Bad

Very low sustainability

Extent of water pollution12

15

20%

3

Fair

Fair sustainability

Compliance to water abstraction limit13

6

50%

1

Bad

Very low sustainability

Mine Tailings14 (% non-rehabilitated mined out areas)

90-100

50%

1

Bad

Very low sustainability

2.07

Poor

Low sustainability

Overall index rating

1 Percent forest cover in total forestlands. 2 Percent live cover remaining in good to excellent condition or with 50–100% cover. 3 Percent cover remaining. 4 Percent cover remaining. 5 Ratio of latest CPUE with average of last 5 years. 6 Percent of endangered wildlife (50% of 283 endemic species of mammals and birds). 7 Percent of NIPAS areas degraded (proxy indicator - % of the total number of national parks degraded). 8 Percent of total eroded areas suffering from moderate to severe erosion. 9 Percent of solid wastes in Metro Manila that is collected and properly disposed. 10 Number of hectares of agricultural lands converted annually. 11 Percent of total number of monitoring stations in Metro Manila exceeding standards for TSP. 12 Percent of total number of water bodies surveyed that are polluted. 13 Percent compliance to withdrawal limits. 14 Incidence of mine tailings pond collapse or massive spill within last 5 years or % of non-rehabilitated mined-out areas and abandoned mines

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values are given in Table 16. The table also shows the indicative thresholds or environmental standards that were used as benchmark values in the rating classification. The indicator values were rated using the rating class provided in Table 17. Table 17. Indicator Rating Values Rating Class Values

Indicator

Excellent (5)

Good (4)

Fair (3)

Poor (2)

Bad (1)

Forest cover (%) in forestlands

>80

61–80

41–60

20–40

<20

Live coral cover (%)

>80

61–80

41–60

20–40

<20

Mangrove cover (%)

>80

61–80

41–60

20–40

<20

Seagrass beds (%)

>80

61–80

41–60

20–40

<20

Fish CPUE (mt/hp)

>2.0

1.6–2.0

1.0–1.5

0.5–0.9

<0.5

Wildlife endangerment (%)

<20

20–30

31–40

41–50

>50

NIPAS degradation (%)

<20

20–30

31–40

41–50

>50 >60

Extent of soil erosion (%)

<30

30–40

41–50

51–60

Land conversion rate of agri lands (ha/yr)

<500

500–1,499

1,500–2,500

2,501– 3,500 >3,500

Solid waste disposal (%)

96–100

81–95

70–80

60–69

<60

Extent of air pollution (%)

0–4

5–9

10–20

21–30

>30

Extent of water pollution (%)

0–4

5–9

10–20

21–30

>30

Compliance to water abstraction limits (%)

>80

61–80

41–60

20–40

<20

Incidence of mine tailings spill/collapse (last 5 yrs)

0 – tailings 0 – tailings pond collapse pond collapse 0 – massive spill 1 – minor tailings spill

0 – tailings pond collapse 1-2 minor tailings spill

1 – tailings pond collapse >2 minor tailings spill

> 1 tailings pond collapse 1- massive tailings spill

Non-rehabilitated minedout areas (%)

<20

41–60

61–80

>80

21–40

The results show three indicators with bad rating index class (very low state of sustainability): 1) extent of air pollution (Metro Manila), 2) compliance to water abstraction in urban growth centers, and 3) mine tailings pollution and nonrehabilitation of mined-out areas and abandoned mines. Indicators with poor rating index class (i.e., low sustainability) include: 1) forest cover, 2) live coral cover, 3) mangrove cover, 4) wildlife endangerment and NIPAS degradation, 5) land conversion rate, and 6) solid waste disposal (Metro Manila). Those with fair rating index class are: 1) seagrass bed cover, 2) fish CPUE, 3) extent of soil erosion, and 4) water pollution. No ENR indicator rated good or excellent. Overall, the ENR indicators rated from poor to bad with an average index rating of 2.07 indicating a poor or low overall ENR sustainability based on the category established by Kinnear and Cabrido (2002).

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It must be noted that the results of the environment sustainability rating are indicative, and relied on available limited data for selected indicators. Thus, the accuracy of the results of rating is dependent on the reliability of data and the arbitrary thresholds employed. Nonetheless, the results of the sustainability index rating provide us with a rough approximation of the state of key ENR variables, which is useful in the formulation of priority action agenda for ENR management. The results provide DENR an indication of the urgency to act on problems confronting mine tailings pollution and rehabilitation of mined-out or abandoned mines, air pollution in Metro Manila, and compliance enforcement of water abstraction laws. The poor state of forest cover, live coral cover, and mangrove cover and the accelerated pace of wildlife endangerment and land conversion rate are also alarming and require immediate rehabilitative and preventive actions by DENR and other agencies to avoid their further deterioration. Efforts should be made by DENR to institutionalize environment sustainability monitoring and evaluation system at the regional and provincial levels. The system developed should be tied up with DILG’s existing web-based system (Kinnear and Cabrido 2002) for monitoring and evaluating the state of sustainable development at the municipal and city levels.

CONTRIBUTION TO THE ECONOMY Gross Value Added The growth rate in gross value added (GVA) of fishery declined from 3.9% in 1990 to 1.7% in 1999 indicating a weakening performance of the sector (Table 18). Forestry registered a negative growth rate from 1990 to 2000 except for 2 years (1996 and 1998) wherein the sector experienced a positive growth. The annual average GVA growth rate of forestry for 1990–2000 was a negative18.47%, indicating a consistently declining performance. Mining

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posted a very low GVA annual average growth rate of 0.4% for 1990–2000. It registered a negative growth rate in 5 out of 11 years during the same period, indicating a weak performance similar to that of fishery and forestry. Overall, the trend in the GVA growth rate of the three natural resources sectors shows a weakening performance (Table 18).

Table 18. Growth Rates in GVA in Fisheries and Mining and Quarrying, 1990–2000 (at constant 1985 prices) Year

Fishery (%)

Forestry (%)

Mining & Quarrying (%)

1990

3.9

(21.00)

(2.60)

1991

4.0

(35.40)

(2.90)

1992

1.20

(11.50)

6.70

1993

1.40

(16.50)

0.70

1994

1.10

(15.00)

(7.00)

1995

3.80

(40.10)

(6.80)

1996

(0.50)

6.70

1.30

1997

(0.10)

(30.00)

1.70

1998

0.70

3.30

2.80

1999

1.90

(24.20)

(8.40)

2000

1.70

(19.50)

10.00

( ) = negative. Source: NSCB. NEDA MTPDP 2001–2004

Contribution to GNP and Total Exports The share in GNP of forestry, fishery and mining sectors went down from 15% in 1985 to about 12% in 1998 (Table 19). The share in GNP of forestry’s GVA went down from 2.9% in 1985 to 0.13% in 2000; fishery’s share went down from 4.9% in 1985 to 3.5% in 2000; and mining’s share went down from 7.2% to 6.8% in 1998. Similarly, the export contribution of forestry, fishery and mining went down from 22% in 1985 to 5% in 1998. Forestry, fishery and mineral sectors’ contribution to total exports went down from 7%, 4% and 11% in 1988, respectively to 2%, 1% and 2% in 1998 showing a declining contribution of the three sectors to foreign exchange earnings (Table 20). Most remarkable decline of 9% was registered by the mining sector despite the passage of the Mining Act. The decline in forestry and fishery sectors was due to the depletion of the resource base while the slow down in mining was primarily a result of the reduction in extraction due to low mineral prices and the strict imposition of regulations to the sector because of its bad record in environmental management.

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Table 19. Gross Value Added in Forestry, Fishery and Mineral Resources, 1985–2000 (In P million at constant 1985 prices) Year

GVA Forestry Fishery

Share to GNP (%) Minerals

GNP

Forestry

Fishery

Minerals

Total

1985

16,400

27,058

39,980

556,074

2.9

4.9

7.2

15

1986

17,956

29,246

39,733

579,136

3.1

5.0

6.9

15

1987

20,944

30,920

42,597

605,864

3.5

5.1

7.0

15.6

1988

21,187

28,581

50,836

652,570

3.2

4.4

7.8

15.4

1989

20,484

29,628

52,390

689,209

3.0

4.3

7.6

14.9

1990

19,181

30,783

54,999

724,386

2.6

4.2

7.6

14.4

1991

18,230

32,001

53,713

726,819

2.5

4.4

7.4

14.3

1992

14,520

32,375

56,666

737,139

2.0

4.4

7.7

14.1

1993

13,621

33,820

57,345

746,921

1.8

4.4

7.7

13.9

1994

12,762

32,195

58,718

786,136

1.6

4.2

7.5

13.3

1995

12,431

34,453

62,786

824,525

1.5

4.2

7.6

13.3

1996

12,476

34,288

66,860

884,226

1.4

3.9

7.6

12.9

1997

12,174

34,288

68,080

930,363

1.3

3.7

7.3

12.3

1998

11,772

34,275

63,686

931,127

1.3

3.7

6.8

11.8

1999

1,704

35,156

969,333

0.17

3.6

2000

1,372

35,760

1,012,616

0.13

3.53

( ) = negative. Source: NSCB. NEDA MTPDP 2001–2004 Table 20. Contribution of Forestry, Fishery and Mineral Resources to Total Exports, 1985–1998 (FOB. value in US$ million) Year

Value in US$ million Forestry

Fishery

Minerals

Percent of Total Exports Total Exp

Forestry (%)

Fishery (%)

Minerals (%)

Total (%)

1985

327

99

593

4,629

7.06

2.13

12.81

22

1986

340

144

555

4,842

7.02

2.97

11.46

21.45

1987

435

207

480

5,720

7.60

3.61

8.39

19.60

1988

524

307

797

7,074

7.40

4.33

11.26

22.99

1989

491

296

874

7,821

6.27

3.78

11.75

21.80

1990

402

294

780

8,186

4.91

3.59

9.52

18.02

1991

366

353

684

8,840

4.14

3.99

7.73

15.86

1992

351

290

713

9,824

3.57

2.95

7.25

13.77

1993

353

343

773

11,375

3.10

3.01

6.79

12.90

1994

395

379

876

13,483

2.92

2.81

6.49

12.22

1995

448

378

1,001

17,447

2.56

2.16

5.73

10.45

1996

487

295

866

20,543

2.37

1.43

4.21

8.01

1997

501

292

867

25,228

1.98

1.15

3.43

6.56

1998

466

306

697

29,496

1.57

1.03

2.36

4.96

Sources: Philippine Statistical Yearbook, 1999; NSCB; Delos Angeles. 2000; ENRAP Report.

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ENR GOVERNANCE In its broadest scope, ENR management does not only involve government agencies but civil society and the private sector as well. In particular, households and business companies exert great influence on the state of ENR quality and quantity through their consumption and production activities. Hence, they should be involved in any effort of the government towards ENR management. Participation of civil society and the private sector in ENR management is initially encouraged through a combined mechanism of command and control and economic incentives and disincentives. In the long, term, resource users are expected to imbibe self-regulation and voluntary action in managing ENR as they realize and reap the benefits of their actions. However, direct responsibilities are bestowed by law to DENR for the management of public lands, natural resources and environment; DA for agricultural lands and fisheries; DAR for distribution of agricultural lands and public lands covered under the CARP; NCIP for the disposition of ancestral domains; and LGUs for environment and natural resources management within their area of jurisdiction. Other agencies either play supportive role or have minimal and indirect responsibilities in ENR management. It is therefore among DENR, DA, DAR, NCIP and LGUs where most overlaps in functions occur and confusions usually arise.

DENR Organization This section will only cover the role and responsibilities of DENR in managing the environment and natural resources and DENR’s overlap of functions with DA, DAR and LGUs. DENR is mandated under Section 4 of EO 192 dated June 10, 1987 “to act as the primary agency responsible for the conservation, management, development and proper use of the country’s environment and natural resources and regulation of all natural resources utilization, including those in reservations, watershed areas and land of the public domain, as well as the licensing and regulation of all natural resources utilization as may be provided by law in order to ensure equitable sharing of the benefits derived for the welfare of the present and future generations of Filipinos.” To fully implement its mandate, DENR is organized into 6 bureaus, 15 regional offices, and 5 attached agencies and/or institutions. Its six bureaus are comprised of four staff and two line agencies, namely: 1) Forest Management Bureau (FMB) – responsible for forestland use, forest resources management, reforestation and other forestry programs of the government.

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Ecosystems Research & Devt Bureau

Protected Areas & Wildlife Bureau

Forest Mgt Bureau

Planning & Policy Studies Service

ENR-FASPO Mgt Information System Group

Environment Facility Focal Centers Support Group

Private Sector Cooperation & Investment Program Support Group

Ofc of the Undersecretary for Policy & Planning

Office of the ARED for Admin Services

Office of the ARED forTechnical Services

Office of the ARED for Operations

RENRO (15)

Office of the Asst Secretary for Field Operations

Ofc of the Undersecretary for ENR Operations

CENRO (170)

PENRO (74)

Office of the Asst Secretary for Finance & Management Services

Financial & Management Service

Regional Office Environmental Management

Environmental Management Bureau

Administrative Service

Regional Ofc Mines & Geo-Sciences

Mines & Geo-Sciences Bureau

Ofc of the Undersecretary for Local Govt, Indigenous Peoplea, and Media Affairs

Public Affairs Office

Special Concerns Office

Local Investments Office of the ARED for Legal Svcs & & Program Public Affairs Support Service

Foreign Investments Service

Ofc of the Asst. Secretary for ENR Investments and Special Programs

Special Action & Investigation Division

Office of the Head Executive Assistant

Directorate for Integrated Water Resources Mgt

OFFICE OF THE SECRETARY

Organizational Chart

Human Resource Management Service

Legal Service

Land Management Bureau

Legislative Affairs Office

Office of the Assistant Secretary for Legislative Affairs

Ofc of the Undersecretary for ENR Legal, Lands & Intl Affairs

Mines Adjudication Board

Pollution Adjudication Board

Ofc of the Undersecretary - Focal Point or Natl Coordinator for Certain Commissions

Natural Resources Development Corp

Laguna Lake Development Authority

National Mapping and Resource Information Authority

International Affairs Office

Figure 7. Department of Environment and Natural Resources


2) Protected Areas and Wildlife Bureau (PAWB) – responsible for the management of all declared protected areas including all national parks and wildlife sanctuaries. 3) Ecosystem Research and Development Bureau (ERDB) – responsible for research on ecosystems and the development of technology to improve ENR management and rehabilitation of degraded ecosystems. 4) Land Management Bureau (LMB) – responsible for administrating and managing public agricultural lands, government-owned lands, and all lands outside the jurisdiction of other government agencies. 5) Mines and Geosciences Bureau – line agency responsible for geological surveys, and administration of mining and quarrying laws, and regulations. 6) Environmental Management Bureau (EMB) – line agency responsible for protecting and managing air and water quality, and regulating the use of toxic and hazardous substances. Details on the functions of the DENR bureaus are provided in the sectoral reports provided separately. As line agencies, MGB and EMB have their own regional offices which are separate from the regional offices of DENR. DENR has 15 regional offices with divisions corresponding to the 4 staff bureaus (Forest Resources Development, Protected Areas and Wildlife, Land Management, Ecosystems Research) aside from their PENROs and CENROs. The 15 regional offices have a total of 74 PENROs covering all the country’s provinces and 170 CENROs spread nationwide. Five institutions are attached to the DENR: NAMRIA, LLDA, Natural Resources Development Corporation, Pollution Adjudication Board (PAB) and the Mines Adjudication Board Office. NWRB coordinates water resources development and management. It issues water rights to all water suppliers and certificates of public conformance to private local utilities. It also regulates private utilities’ tariffs and water quality. It is now under the supervision of DENR by virtue of EO 123.

Other Key Government Agencies Involved in ENR Management Other agencies such as DA, DAR, NWRB, LWUA, MWSS and LGUs are also

mandated to manage and implement programs on ENR jointly or separately from DENR. AFMA gives authority to DA to identify Strategic Agriculture and Fisheries Development Zones (SAFDZs) to develop and prime agricultural lands for protection. Under AFMA, upland agriculture for the production of high value crops is encouraged and promoted. DA, in collaboration with DAR,

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conducts evaluation of agricultural lands for conversion to other uses. DA’s BSWM also implements programs on soil conservation and erosion control especially in sloping agricultural lands and puts up small-scale irrigation systems (small water impounding projects, tube-well irrigation, etc.) as part of its water management mandate. DA-BFAR is the lead agency in the implementation of the Fisheries Code. It shares the management of fisheries resources and the enforcement of fisheries laws with LGUs and DENR. DA-BFAR implements programs on coastal resources management through its Fisheries Sector Development Program. DAR is primarily administers the distribution of private agricultural lands and public lands in forestlands as part of its flagship CARP. It also provides agriculture support services to agrarian reform beneficiaries and regulates the conversion into other non-agricultural uses of prime agricultural lands identified by DA-BSWM. Two key agencies involved in water resources management functions include LWUA and MWSS. LWUA is vested with the authority to manage water resources. It acts primarily as a specialized lending institution to water districts. It is also issues certificates of conformance; and regulates water tariffs, water quality, and customer service. MWSS has the mandate to properly operate and maintain waterworks system, including sewerage systems. The agency is given the authority to operate and maintain dams, reservoirs, conduits, aqueducts, tunnels, purification plants, water pipes and other waterworks related to water supply. It can also construct and operate sewerage systems aside from its other numerous functions. LGUs implement ENR management functions devolved by DENR by virtue of the 1991 Local Government Code. Under DENR Administrative Order No. 30 Series of 1992, these devolved functions include: •

implementing community-based forestry projects (integrated social forestry projects and reforestation projects except in protected areas and critical watersheds);

managing and controlling communal forests with areas not exceeding 5,000 hectares;

managing, protecting, rehabilitating and maintaining small watershed areas which are sources of local water supply;

enforcing forest laws in community-based forestry project areas, small watershed areas and communal forests;

establishing, protecting, and maintaining tree parks, greenbelts, and other tourist attractions identified by DENR, except protected areas;

issuing ECCs for projects and businesses under Kalakalan 20;

adjudicating cases involving complaints against businesses under the Kalakalan 20;

apprehending and testing of smoke belching vehicles and collecting

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appropriate fees and charges; • •

implementing solid waste disposal and other related environmental services; abating noise and other forms of nuisance;

implementing cease-and-desist orders issued by PAB;

enforcing the small-scale mining laws;

issuing permits for guano collection and to extract sand, gravel and other quarry sources; and

verifying and adjudicating conflicts on and collection of fees and charges for guano collection and the extraction of sand, gravel and other quarry resources.

The conduct of cadastral surveys which was initially devolved to LGUs was taken back by DENR because of the lack of capacity by LGUs to subsume such function. Some of the foregoing devolved functions are not being carried out well by LGUs because of lack of technical capability, and institutional capacity including personnel, equipment and budget. Some functions (e.g., forestryrelated ones) are reportedly ignored by a number of LGUs because of simple lack of interest and the belief that these functions are still part of the DENR’s job. On the other hand, most LGUs actively implement devolved functions involving issuance of permits and collection of fees. LGUs are also tapped by DENR to assist in monitoring of land, air and water pollution from commercial and industrial operations in their areas of jurisdiction. They also assist DA-BFAR in enforcing the Fisheries Law within their municipal waters. Because of its anticipated growing responsibility in ENR management, LGUs are given the options under the Local Government Code to create an Environment and Natural Resources Office (ENRO). Through the ENRO, it is expected that LGUs will be able to improve the implementation of their mandated ENR management responsibilities. However, at the early stage of its development, ENRO would have to depend on DENR for guidance and training. Other agencies performing some functions related to ENR management are fully discussed in the sectoral reports for forest and water resources, biodiversity resources, coastal and marine resources, and environment management since they are too numerous to cover here.

Outstanding Issues in ENR Governance Due to the multitude of players in ENR governance, some issues and problems become inevitable: 1) overlap in functions among different agencies within DENR and other departments; 2) unclear jurisdictions and specific roles and responsibilities among agencies;

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3) lack of coordination and complementation among agency actors; 4) conflicting policies; and 5) redundancy in some programs and projects on ENR. The issue on devolution of some ENR functions to LGUs and other agencies has to be reexamined in the light of policy shifts of DENR from large to small scale users and from commodity-based or resource-based management to ecosystem management. In this case, DENR’s field offices (PENROs and CENROs) have to work closely and actively with LGUs to attain the successful transfer of some ENR management functions that can be more effectively performed by local authorities. To effect better coordination and control among DENR bureaus, the issue on reverting line bureaus to staff bureaus while enhancing the power and increasing responsibility of regional and field offices keeps cropping up and requires the immediate attention of DENR top executives. Further institutional study is imperative to resolve this organizational reform issue. An example is the case of EMB, which was transformed from a staff to line bureau by virtue of the Clean Air Act. It is expected that the transition from staff to line bureau is a step towards the eventual development of EMB into a separate authority (i.e., National Environmental Management Authority). However, if this organizational development proves to be politically and economically unfeasible and does not materialize, it is not clear whether EMB will revert to a staff bureau or remain as a line bureau. The intent of the law (CAA) needs to be reviewed and interpreted accordingly considering the grace period it provides for the organizational development of EMB. From the perspective of effective and efficient governance, the outstanding issues and problems confronting DENR and its bureaus are: 1) existence of graft and corrupt practices by some personnel; 2) bureaucratic red tape; and 3) rigid systems and procedures. Improving DENR’s service delivery would require a review and evaluation of its present organization and functions so that the necessary institutional reforms can be undertaken. It should also strengthen its performance evaluation system and introduce innovations in its administrative systems and procedures to improve their efficiency. At the policy level, DENR should clearly define it priority thrusts and programs to maximize the impacts of its limited resources. It is also imperative that the department conducts a full-fledged evaluation of its critical management strategies and flagship programs on CBFM, CRM, and Protected Areas System (PAS) before launching them on a wider-scale.

Legal Framework

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The legal framework for managing and developing ENR is provided in several provisions of the 1987 Philippine Constitution and translated into several legislations promulgated by Congress. The right of the people to a healthy and balanced ecology is explicitly recognized under Article II of the 1987 Philippine Constitution. Article II states that “The State shall promote the right to health of people; the State shall protect and advance the right of the people to a balanced and healthful ecology in accord with the rhythm and harmony of nature.” Other provisions of the Constitution related to ENR management are as follows: •

Article XII, Section 3 – In the management of the public domain, Congress should take “into account the requirements of conservation, ecology and development.”

Article XII, Section 4 – “forestlands and natural parks shall be conserved and may not be increased or diminished, except by law” and requiring measures to prohibit logging in endangered forests and watershed areas.”

Article II, Section 21 – promotion of the rights of indigenous cultural communities.

Article XIII Section 7 – State “protect, develop and conserve marine resources and protect “the rights of subsistence fishermen, especially of local communities, to the preferential use of the communal marine and fishing resources, both inland and offshore” (Constitution Annex 1).

Formulation of the ENR management framework shall be guided by the laws and regulations on ENR. The most important ones include: a) Forest and Biodiversity Resources Management •

Presidential Decree No. 705 or the Revised Forestry Code. Promulgated in 1975, this provides for a system of land classification based on topography. Lands of the public domain which are 18% in slope and above cannot be classified as A&D, nor any forestland 50% in slope or over as grazing land. Unclassified lands are considered public forestlands. As amended by PD 1559, PD 1775 and EO 277, the Code pushes for the implementation of critical strategies to include: management of productive forest through selective logging; reforestation of degraded areas; support to upland communities through issuance of community-based tenurial instruments; and strict protection of critical watershed.

RA 7586 or the National Integrated Protected Areas System Act of 1992. This aims to protect outstanding and biologically important public lands that are habitat to rare and endangered species of plants and animals. It established different categories of protected areas to include: strict nature reserve, national park, national monument, wildlife sanctuary, protected landscape and seascape, resource

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reserve, national biotic areas and other categories established by law, convention or international agreements to which the Philippine government is a signatory. RA 8371or the Indigenous Peoples Rights Act, 1997. This act provides for the identification and delineation of ancestral domains (areas generally belonging to indigenous cultural communities and/or indigenous peoples).

RA 9072 or the National Caves and Cave Resources Management and Protection Act. This act declares as a policy of the country, the conservation, and protection and management of caves and cave resources as part of the country’s natural wealth.

RA 9147 or the Wildlife Resources and Conservation and Protection Act of 2001. This act aims to conserve and protect wildlife species and their habitats to promote ecological balance and enhance biodiversity; regulate the collection and trade of wildlife; support Philippine commitment to international agreements; and support scientific studies on biodiversity conservation. It prohibits and penalizes unlawful acts which are detrimental to wildlife resources and their habitats such as: killing and trading wildlife, squatting or dumping of wastes in critical habitats, mineral exploration and or extraction, logging, quarrying, and other related acts.

b) Mineral Resources Management •

RA 7942 or the Philippine Mining Act of 1995. Its salient provisions related to environmental management include: creating environmental executive offices within mining organizations to set environmental priorities and marshal resources needed to implement environmental management programs; vesting of powers to the regional director to suspend mining and/or quarrying operations if these are not in accordance with anti-pollution laws and regulations; establishing the Mine Rehabilitation Fund for the physical and social rehabilitation of areas and communities affected by mining activities, as well, as for the conduct of research on the social, technical and preventive aspects of rehabilitation; and levying of the mine waste and tailings on lives and personal safety, lands, agricultural crops, forest products, marine life and aquatic resources, cultural and human resources and infrastructure, and to finance the cost of the revegetation and rehabilitation of silted farm lands and fishing areas.

RA 7076 or People’s Small Scale Mining Act. Passed in 1991, this act has the objective of rationalizing viable small-scale mining activities to generate more employment opportunities. It provides for the declaration of “people’s small-scale mining areas” exclusively for small-scale mining operations and the creation of provincial or city mining regulatory boards as the permitting and regulatory arm of the government for small-scale mining.

PD 1198. This provides for the restoration and rehabilitation of mined-

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out areas to their original condition. •

PD 1251. This imposes mine waste and tailings fees on mining firms as reserve fund for the compensation of mining related damages to agricultural and private lands.

c) Coastal and Marine Resources Management •

RA 8550 or the Fisheries Code. Its salient provisions related to ENR management include: establishing coastal area management as a national strategy; establishing the jurisdiction of municipal and/or city government for managing, conserving, developing, protecting, utilizing, and disposing all fish and fishery and/or aquatic resources within their municipal waters; authorizing local governments to enforce fishery laws, rules and regulations; authorizing local government to establish fishery refuge and sanctuaries; prohibiting and regulating fisheries within their jurisdiction. It sets the boundary of municipal waters to 15 km from the shoreline.

RA 8435 or AFMA. Passed in 1997, this act mainly promotes sustained increase in agriculture and fisheries production. Modernization of agriculture and fisheries will be carried out by improving production and marketing support services, human resource development, research development and extension, rural nonfarm employment, and trade and fiscal incentives. The law mandates the delineation of SAFDZs and provides the criteria for classifying various types of agriculture lands for protection. The SAFDZs are intended to serve as centers for the development of agriculture and fisheries.

d) Environment Management •

RA 8749 or the Clean Air Act of 1999. Among its salient provisions are: identifying and characterizing all airsheds in the country and establishing multisectoral air quality management boards for each airshed; developing a national air quality management framework that will guide LGUs in developing their local plans; establishing an air quality management fund to be earmarked for air quality management activities; imposing emission charges; improving quality of gasoline and diesel, and promoting alternative cleaner fuels.

RA 9003 or the Ecological Solid Waste Management Act. Passed in 2001, it provides for an ecological solid waste management program, creating the necessary institutional mechanisms and incentives, and declaring certain acts prohibited and providing penalties, and appropriating funds for other purposes. It promotes source separation, segregation, recycling and composting; adoption of sanitary landfill as the ultimate disposal site; and creation of the National Solid Waste Board headed by DENR, among other provisions.

RA 6969 Toxic Substances and Hazardous and Nuclear Wastes Act of 1990. This mandates the control and management of import, manufacture, process, distribution, use and transport, storage, treatment, and disposal

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of toxic substances and hazardous and nuclear wastes in the country. •

PD 1151 – Environmental Policy Decree of 1977. This declares the basic policy of the State to create, develop, maintain and improve conditions which man and nature can thrive in productive and enjoyable harmony with each other to fulfill the social, economic and other requirements of present and future generations of Filipinos and to insure the attainment of an environment that is conducive to a life of dignity and well-being. It also established the EIS system which requires all government and private entities to prepare an EIS for every project or activity which significantly affects the environment.

PD 1152 – Environmental Code. This mandates NEPC (now EMB) to implement a comprehensive program of environmental protection and management which includes air and water quality and waste management. It also provides for standards for air and water quality and their enforcement that includes monitoring, surveillance, licensing and permitting of pollution control facilities.

PD 1586 – Establishing the Philippine Environmental Impact Statement System. This mandates government agencies, government-owned and controlled corporations and private companies to conduct EIAs of any project or activity that affects environmental quality. It also decrees that all projects falling under the category of “environmentally critical projects” and projects located within “environmentally critical areas” submit EIS and must secure ECCs before they are allowed to construct.

PD 984 – Pollution Control Law. This provides the policy to prevent, abate, and control pollution of air, water and land. Ambient and effluent standards define the country’s water quality management regulations that require the classification of both fresh and marine water bodies.

e) Land Management •

Commonwealth Act No. 141 or the Public Land Act. Enacted in 1936 and valid until now, the law provides for the classification, delimitation, and survey of lands of the public domain. It also prescribes the forms of concession of agricultural lands, e.g., a) homestead, b) sale, c) lease, d) confirmation of imperfect titles, i.e., by judicial legalization or by administrative legalization (free patent).

RA 6657 or the Comprehensive Agrarian Reform Law. This provides for the acquisition and distribution of agricultural lands to qualified beneficiaries upon payment of just compensation. It covers all public and private agricultural lands, including other lands of the public domain devoted or suitable for agriculture.

f ) Water Resources Management •

Water Code (PD 1067) of the Philippines embodies the basic water policies which provide that the authority and responsibility for the control, conservation, protection, and regulation of the utilization of the

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water resources of the country belong to the state. It also mandates that all water development projects shall be undertaken on a multipurpose concept using the river basin approach. It gives the authority to NWRB to formulate guidelines, procedures, programs, rules and regulations to implement policies on water resources. •

EO 123 places the NWRB under the control and supervision of DENR. It provides for the formulation and implementation of an integrated water resources development and management. The new integrated water management system shall be tested and a gradual transition of NWRB into a water resources management bureau under DENR shall be effected.

g) Cross Sectoral •

RA 7160 or the Local Government Code of 1991. In relation to ENR management, the Code mandates local government to share with the national government the responsibility in managing and maintaining ecological balance within their territorial jurisdiction (Section 26).

RA 7192 or the Act Promoting the Integration of Women as Full and Equal Partners of Men in Development and Nation Building and For Other Purposes. This was passed by Congress in 1992, marking the full integration of gender issues into the agenda for development.

The government has fairly adequate laws to serve as a foundation for supporting the legitimacy of DENR’s envisioned environmental management strategies. However, some of these laws (e.g., PD 705 or Forestry Code, Public Land Act, Free Patent Law) may need to be updated to be responsive to recent developments and shifting policies on ENR while new laws require legislation (e.g., Clean Water Act, Land Use Code, Coastal and Marine Resources Management Act and Sustainable Forestry Act, etc.) to cover policy gaps in ENR management and sustainable development.

International Covenants and Agreements The country is signatory to various international conventions and agreements in joining the global community of nations in addressing global problems on environment and development. As part of government’s commitment to support the global efforts in addressing global environmental problems, the ENR framework plan shall give impetus to the implementation of the following key international covenants or multilateral environmental agreements (MEAs) by incorporating strategies and programs promoting them. 1) Rio Earth Summit of 1992 on Sustainable Development. The country was one of the first to set up a national council for sustainable development which prepared the Philippine Agenda 21 (PA21), as part of its commitment to pursue sustainable development together with the rest of the world. PA21 was officially adopted by the Philippine government in 1996 and since then became the basis for planning and implementing multisectoral (government,

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civil society and the private sector) efforts towards sustainable development. Initiatives have been undertaken to localize PA21 and its governing mechanism. 2) Basel Convention on the Control of Transboundary Movement of Hazardous Wastes and their Disposal. The agreement involves the adoption of means and measures to control the movement and disposal of hazardous wastes at the international and national levels, and the eventual reduction of their generation at a minimum level. The proper disposal and treatment of hazardous wastes shall be vigorously pursued under the framework plan in accordance with RA 6969 – Toxic Substances and Hazardous Wastes Control Act of 1990. 3) Montreal Protocol on Substances that Deplete the Ozone Layer. The protocol enjoins countries to reduce their emissions of CFCs which continually destroy the ozone layer and ultimately affecting all countries of the world. The protocol adopts a schedule for the reduction and eventual phase-out of ODS that also include chlorine and bromine compounds aside from CFCs. The government through DENR is now phasing out the use of ODS. 4) UN Convention on Biodiversity. The Philippines joined 180 other countries in signing the agreement to adopt measures to conserve their biodiversity resources, promote access to genetic resources, biosafety and regulate biological piracy, among other provisions. The framework plan shall continue to pursue strategies and programs aimed at conserving biodiversity and supporting the implementation of the NIPAS Act of 1992 and the National Biodiversity Strategy and Action Plan (NBSAP). 5) Bonn Convention on the Conservation of Migratory Species. An agreement to conserve and protect migratory species, and stipulates the restoration of important habitats in order to prevent, reduce or control factors that endanger affected species. Habitats of migratory species such as wetlands are being protected by PAWB as part of its commitment to this international agreement. 6) Convention on International Trade of Endangered Species (CITES). This aims to control the trade in threatened and endangered species, which severely threatens biodiversity worldwide. It calls for international cooperation to safeguard certain species of plants and animals from over-exploitation. The government has promulgated laws and regulations to prevent and control the trade of wildlife species under the CITES list. 7) Ramsar Convention. Signatories to the agreement are obliged to designate at least one wetland for the List of Wetlands of International Importance, adopt and implement a national wetlands policy, as well as establish nature reserves to preserve wetland sites. The government has complied with this agreement to identify internationally-significant wetlands for protection. It has designated four wetland sites as Ramsar sites (Agusan Marsh, Naujan lake, Olango island, and Tubbataha reefs).

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8) UN Convention on Climate Change. Signed by 154 countries, the agreement aims to reduce the emission of greenhouse gases (GHG) to a level that will not significantly interfere with the climate system. The agreement calls for the adoption of programs to mitigate climate change. Under the framework plan for the ENR sector, efforts to reduce reduction of GHGs such as research, information and education campaigns, reforestation and others shall be further strengthened. 9) Stockholm Convention on Persistent Organic Pollutants. An agreement was signed in September 2001 to cooperate in the global effort to eliminate production, trade, and use of 12 of the most dangerous toxic chemicals such as DDT, chlordane and PCBs. The government through DENR’s EMB has issued rules and regulations to support this agreement. 10) United Nations Convention on the Law of the Sea (UNCLOS), 1994. Its ratification has formally established the Philippine 200-mile Exclusive Economic Zone and substantially enlarged the country’s maritime jurisdiction. Under the UNCLOS, the Philippines is committed to protect and preserve the maritime environment under it jurisdiction through the adoption of appropriate measures, rules and regulations. Other international agreements related to environment protection, development and management include the following: International Convention for the Regulation of Whaling; International Convention for the Prevention of Pollution of the Sea by Oil; and the Vienna Convention on the Protection of the Ozone Layer. The Philippine Government has ratified and actively supported and implemented its international commitments on ENR conservation, protection and management through the issuance of policies, laws and regulations as can be gleaned from the foregoing inventory of policies and legislations. It has also undertaken programs and projects to support these international agreements.

Financing for ENR a) DENR budget In 2002, DENR received a budget of P6.53 billion, which is higher by P1.42 billion from its 2001 budget (Table 21). The annual budget received by DENR from the General Appropriations Act from 1992 to 1999 ranges from 0.18% to 0.27% of the gross national product (GNP) or 0.025% of the average 9% GVA contribution of forestry and mineral sectors to GNP for the same period. From 1992 to 1998, the annual budget of DENR grew by an average of 10.43% but from 1999 to 2001 it slid down to an annual average of negative 7.26%. The budget of DENR rose again by 27.9% in 2002. This growth pattern in

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DENR’s budget reflects the priority given by past and present administration to environmental management. During the Ramos administration (1992– 1998), the budget of DENR grew positively in 4 out of 6 years and maintained a stable average share of GNP at 0.24%. On the other hand, during the Estrada administration (1999 to 2001), DENR’s budget registered a negative growth rate in 2 out of 3 years (negative 11.26% in 1999 and negative 19.7% in 2001 and a positive growth of 13.34% in 2000). Table 21. DENR Budget, 1992–2002 (in PhP thousands, at current prices) Growth Rate (%)

Year

Total

% of GNP

OSEC

EMB

MGB

NAMRIA

1992

3,157,419

0.23

2,981,679

21,633

53,707

100,400

1993

3,665,127

16

0.24

3,491,629

22,327

48,798

102,373

1994

4,377,961

18

0.25

3,964,120

179,646

94,965

139,230

1995

4,300,686

(17.6)

0.22

3,822,184

223,776

102,393

152,333

1996

6,000,140

39.5

0.26

5,455,333

299,418

115,408

129,981

1997

6,910,575

15.17

0.27

6,202,636

309,480

200,184

198,275

1998

6,323,415

(8.49)

0.23

5,235,963

145,482

364,210

577,760

1999

5,610,868

(11.26)

0.18

4,784,969

171,809

394,906

259,184

2000

6,359,918

13.34

0.18

5,534,766

261,953

333,795

229,404

2001

5,106,216

(19.7)

4,327,303

275,254

293,014

210,645

2002

6,530,852

27.9

5,433,225

362,627

409,487

325,513

Source: DENR PPSO, 2002. GNP figures used in the computation were at current prices.

b) DENR Revenues Revenues generated by DENR from taxes, penalties and other fees and charges amounted to P296.4 million in 2000 and P356.8 million in 2001 or an increase of 20.4% (Table 22). In 2001, highest contribution comes from the regional offices (95.08%) followed by PAWB (3.1%), LMB (1.7%), FMB (0.22%) OSEC (0.05%), and ERDB (0.05%).

Table 22. DENR Revenues, 2000–2001 Year

Total

Percent of Total OSEC

FMB

LMB

PAWB

ERDB

Regions

2000

298,412,574

1.18

0.40

6.72

3.42

0.05

88.23

2001

356,826,401

0.05

0.22

1.7

3.1

0.05

95.08

Sources of revenues include: taxes, charges, fines and penalties, operating and miscellaneous revenues (operating and service income, business operations, interests, commissions, insurance/fiduciary bond premiums, rents, income from private enterprises/investments, dividend on stocks, sale of goods merchandise confiscated, sale of scrap construction materials, gain on foreign exchange, inventory adjustments, sale of waste materials, etc.).

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DENR’s Office of the Secretary (OSEC) and its three bureaus (FMB, LMB, PAWB) registered a decline in its collected revenues in 2001. OSEC collection went down by as much as 95% in 2001 while the share in total collections of the Regional Offices increased by 6.85% from its share in 2000. c) Foreign Assistance in ENR Sector Insufficient DENR regular budget to support its mandate is augmented by resources from foreign-assisted project. From 1992 to 1999, the Official Development Assistance (ODA) committed to the ENR Sector varied from a high of US$364.52 million in 1992 to a low of US$18.84 million in 1994 (Table 23). From 1994 to 1996, the ENR sector’s share of ODA was at its lowest at US$45 million annual average for the three-year period while the other five years registered an annual funding of above US$110 million. The percentage share of the ENR sector from the total ODA committed to the Philippines averaged 8.56% for 1992–1999 (Table 23).

Table 23. Total Official Development Assistance Committed to the Philippines: 1992–1999 (US$ million) Year

ODA for ENR Sector

Total ODA (All Sectors)

% ODA for ENR Sector

1992

364.52

1,504.15

24.23

1993

112.64

1,818.01

6.19

1994

18.84

1,927.05

0.97

1995

29.38

2,375.76

1.23

1996

85.59

1,397.46

6.12

1997

110.13

2,654.17

4.14

1998

183.38

1,862.02

9.84

1999

289.73

1,834.28

15.79

Source: NEDA-Public Investment Staff, April 13, 2000.

As of December 2001, 22 ongoing ENR programs and projects valued at US$446.26 million comprised funding assistance from donor agencies (Table 24). Another 15 ENR projects worth US554.56 million are in the pipeline (NEDA Report to Cabinet, National Environment Policy Framework, April 23, 2002). The inflow of donor money will certainly help improve DENR’s institutional capacity as well as those of its partner agencies and institutions in ENR management. The bulk of foreign assistance was allotted to forestry/upland projects (34.75%) followed by biodiversity projects (32.57%) while multisectoral projects and minerals/mine environment related projects have less than 1% each of the total foreign assistance. This investment profile reflects the high priority given by government to rehabilitating critical watersheds and protecting biodiversity-rich areas (Table 24). d) Trend in ENR Financing

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Table 24. Foreign Assistance in ENR Sector (US$ million) Ecosystem Forestry/Upland

Ongoing

Pipeline

Total

Percentage

228.11

119.74

347.85

34.75

Biodeiversity

63.64

262.36

326.00

32.57

Coastal/Marine

60.84

84.04

144.88

14.47

Land

10.29

-

10.29

1.02

Minerals/Mine

4.88

3.80

8.68

0.86

Environment

72.98

84.62

157.60

15.74

Multi-Sectoral

5.52

-

5.52

0.55

446.26

554.56

1,000.82

100.00

Total

Source: NEDA Report to Cabinet. National Environment Policy Framework. April 23, 2002.

The foregoing sections show that the government’s budget allocation for DENR has not substantially increased for several years despite being given additional tasks under recently enacted laws such as the Clean Air Act, Ecological Solid Waste Management Act, NIPAS Act and others. Funding support from donor institutions is viewed as insufficient as well to cover the wide concerns of the environment sector and sustain implementation of DENR’s programs in solving increasing environmental degradation problems. Fees and penalties collected are also not enough even if a large percentage of these will be placed in an Environmental Management Trust Fund. However, the absence of a reliable estimate on the total amount needed by DENR for the next 10 years to remedy critical environmental problems and bring them down to a significant level hampers its ability to effectively plan, program and source funds. In this regard, DENR has to set out clearly its priorities for the next 10 years and estimate the level of funding needed to carry out its programs. Meanwhile, DENR has to improve its revenue generation by streamlining and enhancing its collection system and while minimizing loss or leakage of resources through graft and corruption. It also needs to improve its use of appropriate economic instruments in encouraging the private sector to invest in environmental management.

Summary of Outstanding Progress Made in the ENR Sector Despite its many setbacks, DENR has managed to achieve a number of significant accomplishments and is still making progress in certain fields of endeavors. For the last 10 years (1992–2002), several outstanding developments have bolstered the capacity of DENR and its bureaus towards improving its management of ENR. Some of the following are breakthroughs while others were either not present 10 years ago or were given less attention by government: •

Greater recognition and support to biodiversity resources protection and conservation and declaration of protected areas.

Recognition of ancestral domains and provision of occupancy rights and

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titles to indigenous peoples. •

Greater access to ENR resources by marginalized groups through community-based programs to reduce poverty (CBFMA, CBMFM, expanded municipal fishing waters, small-scale mining).

Reduction of ODS and its eventual phase-out and stricter chemical control.

Phase out of lead in gasoline and promotion of cleaner fuels.

Strengthening of environmental management measures in solid waste management, mineral resources development, industrial and infrastructure development.

Heightened environmental awareness and public concerns on environmental issues brought about by better designed and widespread IEC campaigns by government, NGOs, academic institutions and private sector.

Integration of environmental considerations in the policy and planning of various government agencies through the adoption of environmental management tools such as EIA, Environment and Natural Resources Accounting (ENRA), market-based instruments (MBIs), risk assessment and others.

Wider adoption of ecotourism principles and practices and integration of environmental considerations in tourism industry management.

Government-private sector partnership in environmental pollution prevention and control and increased corporate investment in community development and sustainable development projects.

More active participation of civil society in environmental management and sustainable development program undertaking.

Strengthening of coastal resource management by supporting large-scale programs and projects and introducing the community-based coastal resources, particularly mangrove forest management.

Improvement of partnership between DENR and LGUs and greater DENR support to their capacity building for devolved ENR functions.

Support to Congress in the passage of landmark legislations to include the Clean Air Act, Ecological Solid Waste Management Act, Mining Act, IPRA, Wildlife Act and NIPAS Act.

Details of this progress were discussed under the Policy Response section of the Chapter on Situation Analysis and in the Sectoral Reports. Despite this progress made during the last 10 years or after the 1992 Rio Earth Summit, the factors greatly influencing the future of ENR and the continuing issues and setbacks confronting the sector remain the bigger challenge for DENR and its allied departments. These are discussed in the following sections.

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FACTORS AFFECTING ENR STATUS In the last four decades, the degradation and depletion of natural resources was a result of high extraction rates that exceeded their regenerative or renewal capacity as typified by the failure of logging firms to reforest areas they cleared and the lack of concern on the part of the fishers (small and commercial scale) to sustain fishery stocks and conserve coastal resources. This phenomenon was brought about by policies during the 1960s and 1970s thatencouraged commercial exploitation of forest, fishery, and mineral resources to earn export revenues and generate more investment and employment in the sector. However, the expected “trickle down� effect of natural resources utilization did not materialize as inequitable economic growth and distribution of income then continued. As the population then further increased and employment in the agricultural sector became saturated while labor absorption in the service and industry sectors remained anemic, many unemployed rural people continued to eke out a living from exploiting open access resources. Waves of migrants continued to occupy the uplands and coastal areas, resulting in further depletion of natural stocks and degradation of ecosystem services. During the mid-1980s until the present, the government’s ENR policies shifted from large users to small-scale users to allow more equitable access to forest resources and subsequently improve the income of uplanders. The same trend is happening in agricultural lands as big landholdings are broken up and distributed to landless farmers. Likewise, small fishermen are now given a wider fishing area extending to 15 km from the shoreline to the exclusion of commercial fishers. In mining, small-scale miners have started to be given the opportunity and protection they need in exploiting mineral resources in their localities. The government through DENR and other departments is currently undertaking various programs and projects to support small-scale users of natural resources. Despite current government efforts to promote equitable access to natural resources, the problems of depletion and degradation are expected to continue in the future due to certain development trends that strongly affect the utilization of natural resources. The four significant development trends that have direct bearing on the state as well as the future of environment and natural resources are: 1) high population growth rate, 2) high poverty incidence, 3) industrialization, and 4) globalization.

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Unless the government fully addresses the environmental impacts of these development trends, ENR management efforts will be less effective in attaining its goals and objectives.

High Population Growth Rate The country ranks as the ninth most populous country in Asia and the fourteenth in the world. Its growth rate now is about 2.3%, and the population is projected to double to about 128 million by 2025. The percentage of urban population was reported to be about 47% in 1990 and is estimated to be about 58% in 2000. Metro Manila alone is reaching a crisis proportion, with a population close to 10 million. It is projected that by 2020, about 65% of the population will be living in urban areas. The high concentration of urban population will put pressure on social services, infrastructure facilities, and urban ecology resulting in urban environmental problems such as: 1) air pollution caused by increasing number of motor vehicles and the lack of efficient mass transport facilities; 2) water pollution caused by improper disposal of solid and liquid wastes from households, industries and commercial establishments; 3) toxic wastes contamination due to improper disposal and lack of effective technology to treat such wastes; and 4) illegal occupation of public lands, public easements (lakeshore, foreshore and riversides, railway buffer corridors, etc.) small islands and private vacant lots. In addition, a growing population will demand more energy, materials, and ecosystem services that will heavily tax our environmental resources. Urbanization leads to opening of new lands for settlements (housing, commercial and industrial facilities, infrastructures and other urban uses) resulting in the conversion of prime agricultural lands, reclamation of coastal areas affecting mangroves, wetlands, and coral reefs. Due to lack of space, housing subdivision development has even moved to critical slopes and unstable geological foundation, exposing residential communities to greater risks. The burgeoning population exerts tremendous pressure on the coastal areas seriously threatening coastal habitats and water quality. About 62% of the country’s population resides within the coastal zone, 17 of the 25 cities and 54% of the 1,495 municipalities are located within the coastal area. There is also now an estimated population of 12–14 million residing in the uplands and occupying public forestlands. About 67% of the upland population is indigenous peoples while the rest are migrants from the lowlands. The growth rate of upland population is about 3% and this is projected to increase pressure on remaining forest cover especially in critical watersheds. As clearing

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of forestlands for settlements and cropland expansion increases, the forest ecosystem services (i.e., water yield, carbon sequestration, climate control, etc.) and biodiversity resources become more seriously threatened.

High Poverty Incidence Poverty incidence now stands at about 40% of the population. The lack of employment and adequate income push the impoverished sector to migrate to: 1) cities and end up as squatters occupying public lands, river easements, coastal shore lands; 2) upland areas and clear forestlands for settlements and agriculture; 3) protected areas and disturb if not destroy critical habitats and biodiversity-rich ecosystems. Because of poverty, open access resources such as fisheries, wildlife, forest, mangrove, coral reefs, and other critical habitats are indiscriminately and illegally exploited, resulting in their destruction and depletion. The poorest of the poor are reported to be comprised of upland and fishing households. Both impoverished groups depend on open access resources to survive. Solutions to population and poverty problems cannot be provided by DENR alone considering their extent and magnitude, which cuts across the concerns of the whole bureaucracy. The root causes of high population growth, urbanization, and high poverty incidence must be addressed by the government while DENR acts on the environmental problems spawned by these social and economic trends. Moreover, DENR can also help address these trends, especially poverty-related problems, through the proper use and development of natural resources to create employment, improve income, and income distribution. Thus, while it manages ENR problems such as pollution, depletion, and degradation, DENR should simultaneously establish the enabling conditions for the conservation and development of natural resources to address poverty and contribute to the growth of forest, fishery and mining industries.

Industrialization Increasing industrialization is a welcome development in the country because of its potential to create more employment and wean away resource-users from exploiting fragile ecosystems. Proper siting of industries and their compliance to environmental laws and regulations will generate greater positive impacts on the economy and well-being of society. On the other hand, industries usually establish themselves in areas with adequate infrastructure support (communications, transportation, power),

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where land prices are reasonable, skilled and non-skilled labor is cheaper, and peace and order situation is good, among other criteria. The trend shows that industries choose urban and rapidly urbanizing areas, further competing for space with other land uses. As industries occupy urban fringes, they hasten the conversion of prime lands; contribute to water pollution of nearby rivers, lakes, and coastal waters due to poor monitoring and enforcement of environmental standards by DENR. For the last 10 years, industries which include manufacturing, construction, mining, petroleum, and utilities have somewhat stagnated and registered a declining GDP contribution from 37% in 1970 to 30% in 2000. The government is currently improving the policy environment and setting up programs to energize the industry sector to help boost the economy. Thus, in the next decades, it projected that the number of small and medium-sized industries will increase. Along with this, generation of wastes (air pollutants, effluents, solid and toxic wastes) will correspondingly escalate, further exposing communities to health hazards. DENR has limited capacity to monitor compliance and enforce punitive measures to the numerous and widely-scattered small and mediumscale industries that are unable or reluctant to meet the cost requirements of complying with environmental laws. Thus, pollution and deterioration of air, water, and land is expected to continue in the immediate future. Based on projections made under the ENRAP study, pollution from industries could increase by an average of 16% for water and 18% for air if adequate environmental management systems and appropriate environmental technologies are not put in place in the next few years.

Globalization Globalization is a double-edge sword that could bring good or bad to the socioeconomic welfare of people and the environment. Trade liberalization encourages industries to become more competitive and this means that they have to operate efficiently. This drives industries to use raw materials efficiently and introduce technological innovations to recycle wastes. Another positive outcome of globalization is the requirement of international markets for safe and green products. Electronic companies, for example, are required to be ISO 14000 certified before their products are accepted in the export market. More green products are produced as green consumer movements in developed countries increased in number and began to demand environment-friendly products. In the domestic market, the demand for green products is also projected to gain more ground as people become more environmentally literate. However, a negative environmental trend that may possibly be brought about by the elimination of trade barriers is the “dumping� of pollutive industries and dirty and cheap technologies in the country, as developed countries become stricter with their environmental quality standards. The present bureaucracy may not yet have the necessary mechanisms and institutional capability to screen, evaluate, and regulate the transfer of undesirable technologies

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in the country. In its bid to attract foreign investments and become more competitive with other Asian countries, the government may easily yield to the environmental tradeoff or externalities of the inflow of foreign industries into the country. Another perceived impact of globalization is the increase world market demand for biodiversity resources that could lead to overexploitation by large corporations, leaving behind environmental destruction. The government may not be able to cope in regulating rampant bioprospecting and biopiracy by politically and economically influential and powerful multinational companies.

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PRIORITY ENR MANAGEMENT PROBLEMS AND ISSUES The status and trends of ENR are reliable indicators in gauging improvements or further deterioration in their quality and quantity. Statistics show that the situation is generally not getting any better despite the collective efforts of the government, civil society, and the private sector to resolve and manage environmental problems and issues. The environmental pressure brought about by poverty (underdevelopment), industrialization, urbanization, and other factors are too much for the government to handle given its resource limitations, policy weaknesses, and ineffective governance. The country continues to experience issues and problems on rising concentration of pollutants, depletion of resource stocks, and modification or destruction of ecosystems and habitats that redound to dwindling natural capital, worsening poverty, and deteriorating social well-being. Many possible reasons why the situation becomes difficult to control and resolve include: 1) Lack of institutional capacity and inadequate resources to remediate existing problems. The extent and magnitude of the problems have enormously grown for the last 40 years and ENR agencies and institutions are not able to cope with their management. There are just not enough resources to significantly reduce the growing environmental problems within the next 10 or 20 years. 2) If adequate resources would be available through foreign loans and grants and increased government budget allocation and revenue generation, the institutional capacity of DENR to effectively utilize them for solving existing problems remains weak. Low effective utilization of funds is further compounded by bureaucratic protocols and donor impositions. 3) The main drivers of ENR problems such as high population growth and high incidence of poverty continue to be unabated and may possibly be exacerbated in the near future. As long as these twin problems continue to worsen, environmental problems are not far behind. 4) Lack of political will and systematic graft and corruption cripple the implementation of several measures to effectively manage ENR. When environmental rules and regulations are not seriously enforced and supported and rather continuously circumvented by influential people including government officials themselves, ENR policies and initiatives are bound to fail. 5) Policy conflicts among existing laws and regulations delay judicious allocation, disposition, and management actions towards critical issues.

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Poor policies on resource use leads to their over extraction and discourage private sector investments in resource management and renewal because of uncertainty in their future use.

Priority ENR Problems Drawing from the assessment of ENR trends and status and the results of the indicative sustainability rating, the environmental problems that need to be urgently addressed by DENR include: 1) air pollution in Metro Manila; 2) mine tailings pollution and non-rehabilitation of mined-out areas and abandoned mines; 3) groundwater depletion in urban growth areas especially Metro Manila; 4) very low forest cover in critical watersheds and continuing deforestation in forestlands and critical watersheds; 5) depletion and/or destruction of mangrove forest, live coral reefs and seagrass beds; 6) pollution of freshwater and coastal/marine waters; 7) erosion of upland soils and rapid conversion of forestlands into agricultural uses and prime agricultural lands into urban uses; 8) degradation of existing biodiversity and critical habitats in protected areas; 9) improper disposal of toxic wastes; and 10) loss of patrimonial properties and land conflicts due to fake titling. Many of the foregoing ENR problems are actually not new but rather have been with us for the last three to four decades. The only difference now is that most of them have grown from bad to worse. Effective and efficient resolution of these ENR problems requires DENR to undertake two critical reforms and improvement: 1) Policy and institutional reforms (good and strategic governance, devolution of environmental management functions, encouragement of private sector cooperation and investment, and institutional capacity-building); and 2) Adoption of appropriate financing schemes for ENR management (utilizing various economic instruments).

Priority ENR Management Issues Based on the ENR sector review, the environmental management issues that need to be prioritized within the next ten years include: 1) intensifying resource use conflict. Protection versus production (biodiversity vs. mining, tourism vs. industry, forest protection vs. agriculture, agriculture vs. urban, energy and infrastructure development vs. habitat preservation); 2) uncontrolled agriculture and settlements expansion in the uplands;

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3) unresolved policy conflicts (inconsistent and conflicting laws) that deter efficient and effective governance; 4) slow implementation of policies and programs because of lack of financial resources, institutional capacity and technical capability of implementing agencies and outdated information/data base (cadastral surveys, forest line, municipal coastal boundaries, land records, etc.); 5) outdated ENR laws (Forestry Code, Public Lands Act and Water Code); 6) poor and inadequate monitoring systems and weak enforcement of laws; 7) institutional overlaps (coastal zone management: DA and DENR; Land use: LGU and DENR) that weaken and dissipate shared governance over ENR; 8) undervaluation of resource rents (pasture lands, timber, minerals, foreshore lands, water resources) that promotes rapid and widespread exploitation of natural resources; 9) graft and corruption in DENR and other implementing agencies; and 10) lack of political will and reported conflict of interest by some politicians, bureaucrats and government executives (business interest in mining, real estate, forestry and fisheries).

Contentious Environmental Issues Four contentious environmental issues that divide key stakeholders’ decisions were identified by the PCSD secretariat during its various multistakeholders’ consultations that were held in the process of enhancing PA21. These issues, in most occasions, generate divergent views among civil society groups (NGOs and people’s organizations [PO]), the industry sector, and the government, and have remained totally unresolved until now because of the lack of consensus on the best way to handle them. These contentious issues are: 1) total commercial logging ban versus selective logging, 2) moratorium on mining, 3) moratorium on GMOs, and 4) legality of using modern incinerators. The four contentious issues presented below are a classic case exemplifying the tradeoffs between economic development and environmental management and challenge decision makers to choose the best solutions at hand to properly address them. a) Commercial logging ban versus Selective logging The proposed policy of total ban on commercial logging but at the same time allowing community-based forestry as a means of livelihood for impoverished upland communities is viewed by its proponents as an effective

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way of protecting remaining forest and curbing illegal logging. The proposed policy is believed by some groups including the wood industry sector to be theoretically ideal but practically not workable. The following are the merits of a commercial logging ban assuming that it is successfully enforced. 1) It will bolster DENR’s policy of shifting support from large scale to smallscale users of forest resources and allow more access and equitable benefits to upland communities dependent on forestry. It will also promote smallscale harvesting by CBFMA beneficiaries and encourage them to establish more forest plantations. 2) It will facilitate monitoring of illegal logging because any large-scale cutting is immediately deemed illegal and should be apprehended. 3) It will hasten regeneration of natural stands and improve forest cover in watershed areas. 4) It will maintain biodiversity integrity of protected areas and minimize threat from commercial illegal exploitation. On the other hand, commercial logging ban has several negative repercussions. 1) A total logging ban would effectively close down existing timber concessions including those companies practicing sustainable forestry and which are successful in regenerating natural stands. 2) It may cause shortage in local wood supply and increase the volume of imports and possibly increase prices of wood. 3) It will deter private sector reforestation/plantation development initiatives. 4) It will cease current efforts towards promoting timber corridor projects and the government may lose the opportunity to produce part of the country’s wood requirements and earn foreign exchange at the same time. 5) DENR loses the opportunity to implement a sustainable forest development program that is expected to produce the wood requirements of population while conserving forest resources and maintaining ecological balance. 6) Log ban is not an assurance that illegal logging would be stopped. Its success would depend more on the effective enforcement of laws and the capacity of DENR to closely monitor 5.4 million hectares of remaining forest. Because of the fast dwindling forest cover, environmental NGOs clamor for the total log ban on all natural stands (old growth and residual forest stands).

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But again, the issue on the production shortage of supply of wood is raised if this policy is strictly enforced. DENR sees the solution to the problem of deforestation as a matter of implementing effectively a sustainable forest management policy wherein a total log ban will be carried out in all protected areas (critical watersheds, biodiversity reserves, NIPAS and national parks), while other suitable areas will be devoted to producing wood (plantation and second or third generations of natural stands) and applying sustainable yield harvesting methods. Selective logging embodies a silvicultural prescription for natural dipterocarp forest that only allows the cutting of trees above 7 cm in diameter. It is therefore not averse to commercial logging ban, which adopts selective logging criteria. b) Moratorium on Mining Given the appropriate investment climate, mining is a potential foreign exchange earner. This is shown by its contribution to total exports. Mining’s contribution to total exports reached 11% in 1988 but declined to 3% in 1997 due to soft mineral prices in the world market and the lack of risk capital for exploration and development. The number of metallic mines operating in the country went down to 7 in 2002 from 17 in 1997, further losing the opportunity for the industry to earn much needed foreign revenues. Mining is viewed by the industry as a potential revenue generator when practiced in a sustainable manner (that means proper environmental management measures are put in place by the mining firms and that they comply strictly with environmental rules and regulations). On the other hand, some believe that in view of its environmental impacts and declining contribution to the economy, mining should now be relegated a low priority. According to its detractors, the damages created by mining are enormous that its social and environmental costs are far beyond the benefits derived from it. Moreover, detractors claim that much of the profits from mining go to foreign firms rather than reinvested in development projects in the country. The Mining Act of 1995 also conflicts with the NIPAS and IPRA laws inasmuch as a large portion of minable lands sits within ancestral domain lands and protected areas. Nonetheless, protection takes precedence in resource allocation when conflict between mining and biodiversity protection arises. In case of conflict, NIPAS and IPRA laws prevail over mineral resources development. The absence of a model mine that showcases best environmental and social management practices casts doubt on the social and environmental viability of mining and leads NGOs and local communities to oppose mining projects. Many view the survival of the mining industry to rest more on the support of politicians and government officials rather than on the public’s approval.

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The issue on whether sustainable mining is possible and implementable still hounds the minds of its detractors. c) Moratorium on GMOs GMOs were developed to boost agricultural production (i.e., increase crop yield), improve food quality (i.e., enhance protein content of crops) and reduce environmental pollution from the use of pesticides and herbicides (i.e., builtin resistance of GM crops to pest will cut down on chemical spraying). Biotech plants cover a total of 60 million hectares around the world particularly in Argentina, Australia, Canada, China, Germany, South Africa, and Spain. In the US alone, about 40 million hectares were planted to biotech crops in 2001. However, Bt corn is banned in Mexico, the seat of corn research. European Union requires the labeling of food products with more than 1% GM content to inform consumers of the product they are buying. Oppositors to GMOs claim that their use may produce harmful effects to people and the environment such as introducing allergens to foods, increasing insects’ resistance, building up of toxins in soils, and infecting related native or indigenous species. The risks and uncertainty of the possible long-term effects on human health and the environment of the propagation, production and consumption of GM crops and food products led a number of NGOs and other groups to oppose their wide use and distribution in the country. If one applies the precautionary principle in environmental management, GMO may face stiff opposition from environmentalists because of its unknown impacts and possibly hidden risks. Nonetheless, the government, through the DA, declared its policy to support GMO development. The DA officially endorsed the application of GMOs in farming, subject to certain guidelines. The recently enacted Wildlife Resources Conservation and Protection Act (RA 9147) embodies a provision on biosecurity which states that “All activities dealing on genetic engineering and pathogenic organisms in the Philippines, as well as activities requiring the importation, introduction, field release and breeding of organisms that are potentially harmful to man and the environment shall be reviewed in accordance with the biosafety guidelines ensuring public welfare and the protection and conservation of wildlife and their habitats.” Once this provision is fully enforced by DENR, it will hopefully screen out the entry of GMOs and GMO products in the country. Despite the government’s support to GMOs, its oppositors continue to doubt whether the application of biosafety and EIA regulations, including risk assessment is adequate to ensure the safe use of GMOs. They also question the institutional capability of government agencies concerned to screen, test, and assess the ecological and health risks of GM crops. Therefore, they strongly propose that a moratorium be declared on GM crop field testing until the safe use of GMOs has been empirically established. Others suggest that

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the government ban the use of engineered corn just like what Mexico did until its health and environmental safety have been established. It is still not clear whether the issue on GMO is a concern of ENR management or health agencies such as DOH and BFAD. Nonetheless, it is important that DA closely coordinates its decisions and activities regarding GMOs with DENR, DOH and BFAD because these are the agencies that would clean up any mess that may unexpectedly arise in the future. d) Legality in the use of modern incineration technology The legality or illegality of the use of modern incinerators has not been clearly answered by authorities concerned. The Clean Air Act prohibits the use of incinerators but a Supreme Court decision upheld the allowable use of incinerators, which do not emit toxic gasses or fumes that are hazardous to health. This decision possibly refers to incinerators that meet the standards for gaseous emission including dioxins imposed in the Clean Air Act. The primary objection to the use of incinerators that was raised by NGOs is its reported emission of cancer-inducing chemicals such as dioxins and furans. To avoid wide-scale exposure of population to such toxic emissions, the Clean Air Act bans the use of incineration. However, other groups claim that modern incinerators (i.e., state-of-the-art incinerators with two chambers and temperature higher than 1,000oC and fitted with air filters and wet scrubbers) emit very negligible amount of dioxin that meets allowable standard value. This type of incinerator is used by many countries around the world. The Philippines is the only first country to ban the use of incinerators (Katayama, 2002). The EMB presently is short in prescribing cost effective toxic waste treatment technologies to immediately substitute for incineration (Cabrido, 2000). Sanitary landfill is seen as less effective in containing the problem on toxic and hazardous wastes. Government is relying more on recycling and reuse but these only minimize the volume but are not effective in treating toxic and hazardous wastes. With the ban on incineration as a means to treat and dispose toxic and hazardous wastes, the government has to depend more on the use of sanitary landfills as a means of disposing solid and hazardous wastes. The main problem concerning opposition to sanitary landfill is its acceptability to surrounding communities aside from its questionable effectiveness (or ineffectiveness) in preventing toxic and hazardous wastes from leaking into the environment. Communities are united in opposing the location of sanitary landfill sites within their area because of the nuisances it brings such as odor pollution, possible contamination of soil and groundwater quality, road accidents caused by speeding dilapidated garbage trucks and health risks from exposed garbage piles. Because of the “not-in-my–backyard� attitude of affected residents and the lack

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of space in Metro Manila, sanitary landfills may not solve the immediate solid waste management problem in Metro Manila. Other alternative technologies (non-burn technologies such as plasma destructors) may have to be adopted to complement efforts in waste segregation, recycling and reuse of wastes. Most importantly, cost effective technologies have to be put in place to treat and dispose properly hazardous wastes including hospital wastes. Meantime, toxic and hazardous wastes are continued to be disposed improperly sometimes mixed with ordinary solid wastes (Cabrido, 2000). With the Supreme Court ruling, the government will face difficulties in enforcing the ban on modern incineration considering EMB’s current technical inability to monitor and measure dioxin emissions and the extremely high cost of monitoring it.

Summary of Outstanding Cross Sectoral Issues on ENR Management a) Conflict in resource use policies NIPAS and IPRA laws vs. Mining Act Most apparent in cases of resource use conflicts lies in the implementation of the Mining Act in areas effectively under the coverage of the NIPAS and IPRA laws. The Mining Act of 1995 states that all lands found with mineral deposits regardless of quantity and quality can be covered by FTAA and can be declared as mineral lands. On the contrary, the NIPAS Act protects biodiversity-rich areas and the IPRA law gives power to IPs in the use and disposition of their ancestral domain. In case of conflict, the IPRA and NIPAS laws shall prevail. The protection function and the interest of indigenous peoples shall be taken as superior to mineral extraction. More complicated cases of land use conflict should be decided by a land use adjudication board subject to EIA and extended cost-benefit studies. An adjudication body within DENR may also have to be established to handle resource use conflict of such nature. The initial components classified under protected areas will be subjected to a suitability assessment before they are officially declared as part of the NIPAS. These initial components include proclaimed watersheds, national parks, game refuge, and wildlife sanctuaries, etc. which were proclaimed before the passage of the NIPAS Act. Sites found to be no longer biodiversity important can be disestablished and allocated for other suitable uses including mining unless other existing laws limit their uses such as CADC/CADT areas. Extraction of mineral resources in core zones and old growth forests, however, is definitely prohibited.

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IPRA law vs. Forest Protection Laws The IPRA law has implications in the implementation of sustainable forest resources management. Policy conflict may arise in the use and management of land among FMB, PAWB, and NCIP. For example, lands issued CADCs may fall within NIPAS areas, which may pose administrative problems. Likewise, forestlands-issued CADC may be used for agriculture purposes that create soil erosion and other environmental problems such as loss of habitat for important wildlife species. Since indigenous peoples have the right to use their land, the forestlands they occupy may gradually be converted into agriculture farms and create environmental problems. In cases of conflict of such nature, FMB, PAWB and NCIP should work together in planning for the proper use of lands given to IPs. Protected Areas vs. A&D Lands For areas declared as protected areas but found to be titled, amendment of the presidential proclamation can be done by the President to revert the land for private use. According to a Bohol local official, this case happened in Bohol where the President amended three proclamations of protected areas inside A&D lands. National vs. Local Control over Fisheries Another case of policy conflict affecting ENR involves some provisions of the 1997 AFMA and the Philippine Fisheries Code. The AFMA introduces national control over strategic fisheries development zones that conflicts with the approaches and strategies in the management of municipal fisheries as described under the Philippine Fisheries Code, giving LGUs the power to manage municipal fisheries. This policy conflict has to be resolved by DA, in consultation with DENR and LGUs to avoid confusion in the planning and management of fishery resources within municipal waters. Upland Agriculture Expansion vs. Forest Protection A third typical case of potential policy conflict lies between forest protection laws and AFMA. AFMA encourages agriculture expansion into the uplands including forestlands through the creation of SAFDZs that promote the production of high value crops such as coconut, pineapple, and sugarcane. While there is a need to improve the income of upland farmers, the identification of suitable upland areas for commercial high value crop production should be given priority and be closely undertaken together with DENR to avoid on-site and off-site negative externalities. This means that DENR should participate in the identification of SAFDZ within its area of jurisdiction to prevent undesirable spread and expansion of commercial farming in unstable upland environments.

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Absence of a National Land Use Policy Conflict in the use of uplands by DENR, DA, LGUs and DAR exists because of the absence of a comprehensive national land use policy that provides the direction and guides the allocation of land to various land uses such as production, protection, settlements, and infrastructures, and defines institutional responsibilities and delineation of functions of various agencies involved in the use and management of land resources. Resolving land use conflict and competition remains a difficult task in the absence of a national land use that provides guidance for the proper allocation and development of land resources. b) Lack of institutional coordination and support in ENR management Consultation and coordination among DA, DENR, and LGUs in the implementation of laws and programs on ENR management (CRM, forestry, small-scale mining, NIPAS) is weak and non-systematized, leading to fragmented and less effective efforts. LGUs are given increasing responsibility in local resource management including ENR planning, law enforcement, program implementation, monitoring, and evaluation but do not receive adequate technical support from DA and DENR. Due to lack of capability and resources, LGUs are constrained to effectively perform their responsibilities in ENR management. Infusion of technical and management capability to LGUs also takes time and requires patience on the part of DA and DENR. Thus, slow progress in ENR management by LGUs is expected within the next 10 years and national agencies like DA and DENR have to continue providing technical assistance and support to them. c) Delineation of roles and responsibilities among government agencies with overlapping functions The role and responsibility of DENR agencies (PAWB, CMMO, LMB, MGB), LGUs, NCIP, BFAR and PNOC have to be clarified in the following cases to avoid confusion and mismanagement of ENR: 1) identifying and declaring ancestral domains within coastal zones; 2) identifying, declaring and protecting marine biodiversity (e.g., marine mammals) and protected areas; 3) protecting and managing caves; 4) managing and rehabilitating reverted fishpond leases to mangroves; 5) managing biodiversity within energy reserve and watersheds proclaimed under PNOC; and 6) regulating problematic small-scale mining. The lack of coordination among different actors responsible for protecting and managing ENR is the main cause of confusion and unnecessary overlaps in their functions.

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c) Lack of a unifying framework and strategy for CRM DENR, DA and LGUs are the key actors in coastal resource management, which are actively pursuing CRM programs either jointly or separately. DA and DENR have their own separate CRM programs. In the process, both agencies came out with their model and strategy of CRM implementationthat had some divergence and confluence. The LGUs, being the critical implementing unit to sustain CRM activities initiated and established by the two agencies, participate in both their CRM programs. The existence of parallel CRM programs running in separate modes inevitably creates some redundancies, conflict and even confusion especially to LGUs. To address such problems, DA and DENR signed a Joint Memorandum of Agreement in 2000 to formulate jointly a common national strategy on CRM but this did not materialize and was overtaken by major political shakedown (EDSA II) in 2001. It is now timely and imperative to push for the crafting and passage of a national policy framework and plan for coastal area management that is officially accepted by key institutional stakeholders such as DA-BFAR, DENR and LGUs.

d) Disparate planning efforts on land and coastal water uses and zonation In their programs, both DA and DENR treat CRM planning as a separate exercise from the other planning activities conducted by LGUs such as preparing or updating CLUPs or municipal development plans. CRM planning becomes an added burden to the planning tasks of LGUs and the CRM plans prepared through the programs of DA and DENR. The CRM plans are not properly integrated into other development plans of LGUs because they follow a distinct and separate planning process. Hence, implementation of CRM plans may not be sustained by LGUs after program funding support from DA and DENR is terminated. Failure to integrate CRM plans and water use zonation with CLUPs, which has a land use zonation, sometimes leads to inconsistent and conflicting land and water uses. Advocates of CRM not familiar with the local planning regime tend to overlook and duplicate similar or related efforts already institutionalized in LGUs resulting in less effective and non-streamlined comprehensive local development planning. Thus, the CRM plan should be an integral part of CLUP, and not treated as a separate management and development plan for coastal resources. It is only through this process wherein terrestrial-based land using activities can be coherently integrated with coastal water uses and management measures. e) Institutional overlaps in water resources management Several agencies have responsibilities in managing water resources. DENR takes care of the watersheds, quality of water bodies, and survey of groundwater, among others; the National Irrigation Administration is responsible for irrigation development and harnesses surface water for this purpose; BSWM constructs small impounding dams for irrigation and small-

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scale irrigation system and taps both surface and groundwater for its projects; the National Power Corporation (NAPOCOR) generates electricity using hydropower produced in dams; MWSS and LWUA undertakes domestic water supply production and distribution; and NWRB is in-charge of coordinating the implementation of the Philippine Water Code and overseeing the overall development and management of water resources. Despite several agencies managing water resources, their efforts are fragmented, duplicative and sometimes conflicting. Streamlining institutional collaboration in water resources managementis needed, and a unified scheme in attacking the problems besetting the water sector needs to be produced. It is strongly proposed that DENR be given the mandate to oversee water resources management inasmuch as its responsibilities cover the protection of vital water-resource generators (i.e., watersheds and water bodies) and the maintenance of water quality. Thus, the basic and primordial function of managing water resources lies within DENR. It has a broader mandate related to water resources management compared with other agencies (DA, MWSS, LWUA, NAPOCOR) and at the same time has the network at the regional, provincial and community levels to effect water resources management compared with NWRB. At present, NWRB is not able to adequately perform its functions due to budget limitations and the absence of enforcement mechanisms and organizational infrastructure that reach deep down to the local level. f ) Inadequate data base for policy and planning The need to improve the ENR database through better monitoring and evaluation system is an important strategy for DENR to have empirical basis for policy formulation, planning, and resource allocation. At present, vital ENR statistics are outdated, incomplete, unreliable and sometimes conflicting. For example, updated statistical data on forest cover widely differ between those issued by FMB and NAMRIA. An updated forest resources inventory needs to be undertaken to resolve conflicting statistics on forest cover and land uses. Furthermore, the rate of forest denudation has not been recorded and compiled; latest reliable estimates on the size and distribution of upland population occupying forestlands especially protected areas are not available; ecological thresholds for forest cover, coral reefs, seagrass beds and mangrove have not yet been established; and data on groundwater depletion rates and areal extent of salt water intrusion are scanty. Monitoring system for ENR resources at the local level is lacking. Generation of information is also very slow. Cadastral surveys, river classification, forest line delineation, and municipal coastal water delineation are progressing slowly. Information gaps needed by DENR for effective resource use planning and management include:

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reliable estimate of population living within public forestland, NIPAS areas, population directly dependent on forest resources for livelihood, and population growth rate in forestlands;

actual forest cover in critical and proclaimed watersheds and total actual forest cover of forestlands;

updated forestland use;

resource thresholds and carrying capacity of watersheds and other ecosystems; and

rate of deforestation of upland and mangrove forests.

g) Need to strengthen research capability of DENR Agencies such as EMB and MGB undertake their own research program because of the lack of capability of ERDB to service their research needs. ERDB research caters to FMB, PAWB, and CMMO. ERDB’s role in coordinating and directing research in different DENR agencies is not clear. It is important to develop the capability of ERDB in coordinating and monitoring various research activities undertaken by different DENR agencies for a unified and coherent direction in support of DENR goals and objectives. It can also act as a storage and publication house for the research reports generated by DENR agencies. ERDB should also intensify its efforts in translating research results into IEC materials and technology packages. h) Exemption of CBFMA from EIA Requirements FMB wants CBFM areas to be excluded from the list of ECAs subject to EIA. FMB’s interpretation is that forestry activities referred to in PD 1586 only include extractive activities, particularly logging. Since CBFM is not extractive, certificate of non-coverage or IEE checklist may be required, instead. On the other hand, EMB contends that DENR cannot assume what is not written in the law. The law requires forestry projects to get ECC and this cannot be waived. Suggestions to resolve the issues are: •

To revisit and/or redefine ECAs/ECPs to exclude areas and projects which should not be in the list. Exclusion can be done thru presidential order. EMB is now drafting the EO to this effect.

To look into the possibility of Cluster IEE or EIA, similar to programmatic EIA. EMB is amenable to this as long as accountability is clear. This, according to FMB, is difficult to do. However, it may be possible to lodge accountability for the cluster or programmatic IEE or EIA to CENRO or PENRO.

i) Responsibility for validating and reconciling inconsistent data on land classification and land survey This issue is expected to be resolved once the merger of land management agencies takes effect. However, the LAMP’s proposed merger also creates

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some problems and issues affecting DENR. Under LAMP, agencies involved in land management will be merged. Some of the main issues arising from this are: •

Where to put the new office. DENR stand is to place it under the department, considering that it is responsible for resources management.

Exclusion of NAMRIA from the merger. NAMRIA should not be merged with other land management agencies because it is not only focused on land management. It has other ENR management functions.

Law requirements. It is unclear whether the merger requires an EO or Congressional Act.

Type of merger. It has to be decided whether a functional merger is more appropriate than an organizational merger.

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SECTION 3

ENR MANAGEMENT FRAMEWORK PLAN

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ENR MANAGEMENT FRAMEWORK Conceptual Framework This section describes the conceptual framework of ENR management within the context of sustainable development. The framework is used as a guide in the preparation of the framework plan for the ENR sector. a) Sustainable Development and ENR Sector Sustainable development as defined in PA21 refers to “the harmonious integration of a sound and viable economy, responsible governance, social cohesion/harmony and ecological integrity to ensure that development is a life-enhancing process.� As applied to ENR, sustainable development means the wise use and allocation of environmental resources to support the socioeconomic development needs of present and future generations of Filipinos. Sustainable development is primarily anchored on ecological sustainability, equity and people empowerment and focused on improving the lives of the poor and marginalized members of society. The definition of sustainable development supports the theory behind this conceptual framework that proper management of environmental resources sustains economic growth and that their destruction or despoliation eventually causes the collapse of the economy over the long term. The conceptual framework (Figure 8) graphically illustrates the significant role and contribution of ENR sector in the attainment of a sustainable socioeconomic growth and development. It charts the critical links between ENR conservation and wealth creation for the national good and between ENR protection and social welfare improvement. The constitutional right of every Filipino to have a clean and healthy environment that is conducive to their welfare is also recognized and upheld in the framework for sustainable development. The conceptual framework outlines the management imperatives to carry out the functions of conservation and protection. This framework aims to guide the preparation of an operational framework for the ENR sector.

b) Scope of ENR Environmental resources refer to natural resources such as forest, water, mineral, land, biodiversity and coastal and marine resources, and environmental media such as land, air, and water. They directly provide goods and services to society. As goods, environmental resources serve as natural capital or resource base for production and consumption needs of society. Environmental resources also render services to sustain life on earth. In particular, ecosystem services include: waste assimilation, nutrient recycling,

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ENR Forest, Biodiversity, and Water Resources Mineral Resources Land Resources Coastal/Marine Resource

Provides Goods & Services

Goods

Sustains ecological stability

Natural Capital Resource

Services

Life Support Services Sustains productive and regenerative capacity

Protection

Conservation Generate funds for ENR Management

Waste assimilation Nutrient cycling Water cycling Oxygen generation Carbon sequestration Climate balance control Wildlife habitat Pests and diseases control

Wealth Creation

Income and employment Savings and investments Foreign revenues

Economic Development

Investments in Physical capital (infrastructures, plants, equipment, etc.) Human capital (Knowledge and skills) Intellectual capital (technology and institutions, knowledge industries)

Waste assimilation Nutrient cycling Water cycling Oxygen generation Carbon sequestration Climate balance control Wildlife habitat Pests and diseases control

Ecosystem Stability Sustains production Sustains conservation & protection efforts

Ecological Balance

Stable ecological systems Clean air and water Productive resource base

Society’s Well-Being

Quality of life Peace and security Sustainable population Social Justice

Sustains ENR quality & quantity Improves human capital QOL, breaks poverty

Social Capital Formation

Management Framework Resource use planning and allocation Regulatory measures Economic measures Shared governance IEC/Info system development Rehabilitation measures Research and development Poverty reduction programs Technical advisory services

Improves economic productivity Sustained Economic Development

Sustained ENR Management

Figure 8. Environment and Natural Resources (ENR) Management Within the Context of Sustainable Development: A Conceptual Framework

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water cycling, oxygen generation, carbon sequestration, climate balance and control, wildlife habitat and others. These services are all vital in supporting life and in renewing the productive and regenerative capacity of natural resources. ENR management embraces all these aspects and ensures that they are sustained and protected. c) ENR Management Framework The conservation and protection of environmental resources requires the adoption of a management framework that essentially covers the following aspects: 1) resource use access, planning and allocation, 2) regulatory measures, 3) cconomic measures, 4) good and shared governance, 5) IEC/information system development, 6) rehabilitation measures, 7) research and development, 8) poverty reduction programs, and 9) technical advisory services. When properly conserved or utilized judiciously, natural resources as a capital good will continue to create wealth for society. Simultaneously, protection of the life support services that ecosystems provide will maintain ecosystem stability. Wealth created generates funds for both government and private sector to invest in environmental management. Better conservation and protection of natural capital maintains ecosystem stability, which in turn sustains production of natural capital. Thus, the conservation and protection of environmental resources remain crucial functions that the DENR has to intensify in order to sustain wealth creation that will support socioeconomic development. Sustainable development is only attainable when socioeconomic development activities stay within the bounds of ecosystem resiliency. Ecosystem resiliency here means “the propensity of an ecological system to retain its organization and functions (i.e., life support services) in essentially the same way following a significant disturbance created by economic activities.� In wealth creation, environmental resources support the production of food (crops, livestock, and fisheries), water (drinking, irrigation and source of power), industrial products and consumer goods (wood, chemicals, cement, steel, pharmaceuticals and other manufactured materials). Production and consumption of these goods create employment and generate income for society. When employment and income improves, people are able to save and their savings become investments to propel further growth in the economy. (Savings refers to resources not consumed but made available for adding to the stock of capital. Investment refers to the use of savings to create capital. Capital serves as a factor of production.)

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d) Socioeconomic Impacts of ENR Management An improved economy can sustain the conservation and protection efforts undertaken by government, civil society, and the private sector because of anticipated increase in awareness and concern about better quality of environment and better investments in natural resources management. Once gainfully employed in services, agro-, and manufacturing industries, impoverished sectors of society dependent on open access resources will relieve pressure and burden placed over environmental resources. In effect, economic development is projected over the long-term to improve the quality and quantity of environmental resources (e.g., improve forest cover, water flow and supply, fish stocks, etc.) as the quality of life of resource-dependent communities improve and their source of employment and income shifts to other economic sectors. A healthy environment breeds a healthy society. A healthy society is a more productive society that sustains economic growth and development. Economic development, in turn, catalyzes social capital formation such as investments in productive assets including physical capital (infrastructures, plants, equipment, etc.), human capital (knowledge and skills or betted educated Filipinos), and intellectual capital (technology and institutions, knowledge-based industries). Social capital formation is not possible without attaining a certain level of economic development. Investments in social capital improve society’s well-being in terms of better quality of life, peace and security and gender equality. Socioeconomic development that is characterized by equitable distribution of wealth and social justice is also believed to foster a sustainable level of population. Such improved social status generates a society which is more productive and bequeathed with an environment-friendly behavior. Natural capital is therefore vital in attaining economic development. The efficient and equitable transformation of the benefits from the use of natural capital to social capital is a prerequisite to attaining sustainable socioeconomic development. While ensuring this efficient and equitable transformation is outside the ambit of DENR, it certainly plays a pivotal role in keeping an adequate supply of natural capital, an equitable access to natural resources, and an environment conducive to the well-being of society. Managing environmental resources is also influenced by a host of factors within and outside the control of DENR. Effective management of environmental resources is affected by macroeconomic policies and programs of the government, politics, peace and order situation, international policies, global phenomena (climate change), and others. These factors have to be considered in the design of a management framework for ENR.

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Policy Framework a) Sustainable Development and ENR Management Sustainable development as defined under PA21 serves as the overarching framework for ENR management. Sustainable development envisions a better quality of life for all Filipinos through the development of a just, moral, creative, spiritual, economically vibrant, caring, diverse, yet cohesive society characterized by appropriate productivity, participatory and democratic processes, and living in harmony and within the limits of carrying capacity of nature and the integrity of creation. These parameters of sustainable development are operationalized in the ENR management framework. ENR sustainability is achieved by narrowing the trade-offs or minimizing the negative externalities of wealth creation or economic development to a level,which does not destroy or go beyond the limits of the natural capital base to perform its life support functions or services. Sustainability of life support system is threatened by the negative environmental impacts of economic activities. Thus, ENR management within the context of sustainable development relates to socioeconomic development subject to life support systems’ constraints. Sustainability means constraining economic activities so as to protect life support systems. These life support systems include: 1) atmospheric integrity, 2) biodiversity, and 3) renewable and non-renewable natural resources. The constraints on economic activity take the form of thresholds and standards provided in laws and regulations. ENR management strategies shall focus on maintaining ecological stability or the propensity of ecosystems to return to an equilibrium condition following some disturbances from human activities. ENR management strategies are courses of actions that are meant to prevent economic activities from taxing ecosystem’s integrity beyond its carrying capacity (i.e., its capacity to absorb development without affecting its life support functions). ENR management strategies are therefore designed to minimize the negative environmental impacts of economic development while allowing sustainable use of environment and natural resources for production and consumption purposes. b) Focus of ENR Management Strategies ENR management should now give equal impetus on resource users aside from the resources themselves. Managing the behavior of resource users will solve many of the ENR problems and attendant issues. The behavior and attitude of resource users are strongly influenced by their value system, i.e., fight for survival or greed for profit. For example, no amount of reforestation will successfully solve the clearing of lands for food production as a means of survival of the poor upland people. No amount of protection will successfully stop profit-oriented industries from committing over-extraction and pollution. DENR does not have all the means and adequate resources to safeguard environmental resources. Rehabilitation measures will not be

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successful unless accompanied by behavioral change among resource users. Behavior-modifying management strategies for ENR are therefore crucial in the conservation and protection of ENR. These strategies include: 1) Good and shared governance and responsibility. Good governance means planning, managing, regulating and implementing activities with clear accountability and in ways that are participatory, democratic, transparent and efficient. Good governance is attained through an effective and efficient delivery of services which are devoid of graft and corrupt practices. Shared governance involves mainstreaming environmental concerns and management responsibilities in sectoral agencies, devolving ENR management and establishing partnership with LGUs, civil society and the private sector. 2) Better enforcement of command and control instruments. This involves land use planning and resource use allocation, improving enforcement and setting appropriate standards or thresholds. 3) Adoption and implementation of economic incentives and disincentives. This involves proper resource pricing, incentive system to encourage industries to shift to clean technologies and resource-users to adopt conservationoriented practices. 4) Improved information, education and advocacy campaigns. This involves increasing awareness, knowledge, and concerns of the public—both children and adults—leading to actions in support of the conservation and protection of environmental resources. Future leaders should be included as prime targets of environmental IEC. Academic institutions where prospective politicians and business executives usually get their education should be involved in developing a curriculum that integrates environmental management and sustainable development. Environmental education should start while the sons, daughters, and grandchildren of political clans, prominent families, and business tycoons are still in their formative years of schooling. A special IEC program should likewise be designed for open resources users and impoverished groups dependent on ENR as a primary source of livelihood. 5) Adoption and implementation of property rights reform or assets reform. This involves organizing and empowering local communities to take care of their environmental resources. People power should be transplanted to rural communities by organizing and rallying them to a common cause. Women should be given equal rights in owning lands, participating in local development decision-making, accessing livelihood opportunities and credit assistance and acquiring knowledge and skills through formal and informal education. Small-scale users should be provided with tenure security in the use of public resources and indigenous peoples should be given the necessary support systems to help them manage properly their ancestral lands. 6) Resettlement and employment in manufacturing and service industries of families occupying critical environments. This involves providing employment and resettlement opportunities to upland population occupying biodiversity-

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rich sites and highly critical ecosystems. The government presently provides housing, education, employment opportunities, and other social services to urban squatters because of their high visibility and glaring display of poverty unlike their impoverished counterparts in the uplands who are less visible and less heard of but whose activities are more menacing and impose greater threat to society’s well-being in terms of bringing destructive floods, widespread fires, water shortage and vulnerability to armed rebellion and/or uprising. DENR has to plan out this strategy with other departments such as the Department of Trade and Industry, Department of Labor and Employment, the Department of Education, TESDA, DA, and the Housing and Urban Development Coordinating Committee. 7) Public and private investment in poverty alleviation programs and alternative livelihood and/or enterprise development and environmental management. This involves requiring mining, wood-based and energy industries to invest in sustainable development projects (social development projects, alternative livelihood, enterprise development) in their areas of operations as part of their commitment to pursue community development and to support the country’s sustainable development strategy. These industries, together with manufacturing industries, should be encouraged through mutually beneficial agreements or covenants to invest in environmental management such as clean production technology, waste minimization and recycling, pollution control and remediation and rehabilitation and restoration of degraded ecosystems. These strategies should serve as DENR’s checklist to identify gaps and weaknesses in their current efforts to manage environmental resources.

ENR Management Principles The following principles are intended to guide DENR in formulating its framework plan and action agenda: 1) Give priority to protecting society’s well-being and promoting social justice. 2) Minimize negative impacts of economic activities on environment. 3) Maximize benefits of resource use to communities. 4) Ensure efficient use of ENR by maximizing rent. 5) Protect indigenous people’s right over access to natural resources. 6) Promote strategies that develop the potentials of women to manage ENR and benefit from its use. 7) Apply science and technology in ENR management and decisionmaking. 8) Disallow economic activities with unknown or uncertain impacts which are irreversible and impose greater risk to population and ecosystems (Precautionary principle). 9) Shift responsibility for controlling pollution and restoring damaged environmental resources to polluters (Polluters pay principle), where polluters internalize environmental and social costs through use of

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economic and command and control instruments. 10) Regulate resources use within sustainable yield to prevent resource degradation and depletion (Resource sustainability principle). 11) Stakeholders’ participation in resource use planning and decision making (Subsidiarity principle). 12) Allow local communities to have property rights over natural resources within their locality (usufructuary rights where a person or group of persons are granted limited use of the land and the enjoyment of its fruits without granting ownership to the land itself, with strict conditions on the care and protection of the resource). These principles shall serve as the basic elements in cementing the foundation for the sectoral framework plans and guide the formulation of ENR management strategies and priority action thrusts. The soundness of socioeconomic development policies and programs should be evaluated using the six tests of sustainability. DENR should adopt the sustainability tests in screening and appraising development policies and projects affecting ENR. Failing any of the following sustainability criteria renders the development policy or program being evaluated as non-sustainable or weakly sustainable and would therefore necessitate modifications to satisfy viability requirements. 1) Economic viability. The development policy or program will benefit the greater majority and not cause serious harm or permanent disbenefits to the affected minority. Proper safety nets and compensatory measures are put in place for the affected minority. The fruits of development are equitably shared among the population. 2) Ecological viability. Development will not significantly hamper or alter the ecological functions of the environment and the regeneration capacity of natural resources. 3) Technological viability. Development will adopt technologies that are cleaner, more efficient and environment-friendly. 4) Sociocultural viability. Development will enhance and not oppose core values, beliefs, and worldview of a community which are consistent with human ecological principles of life-giving and peace-keeping. Women are given equal opportunity to decide and participate in all facets of development in their locality and enjoy the benefits of nature. 5) Political viability. Development will enhance people empowerment and promote social justice, protect cultural diversity, encourage democratic participation and support good governance and shared responsibilities. 6) Institutional viability. Development will enhance the capacity of

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local institutions to sustain its initiatives and flow of benefits.

Linkage with National Framework for Physical Planning The objective of the National Framework for Physical Planning (NFPP) is to provide a national land use policy agenda that will guide physical planning at the national level by identifying issues along the major land use policy areas and providing policy directions and options in land use and its allocation. Four functional land uses are employed in the NFPP classification as follows: •

Protection land use. Refers to the rehabilitation, conservation, and management of sensitive critical ecosystems to preserve their integrity, allow degraded resources to regenerate, and protect the human population from environmental hazards. This includes protected areas under the NIPAS, wetlands, secondary growth forest reserved for protection purposes, buffer strips and/or public easement, tourism sites and areas prone to natural hazards.

Production land use. Refers to direct and indirect utilization of land resources for crop production, timber production, agroforestry, grazing and pasture, mining, fishing, industry and tourism. This includes agricultural lands, fishing grounds, forestlands, pasture lands, mining, and industrial and tourism areas.

Settlements land use. Areas where there is a greater concentration of population engaged in economic, political, social, business, cultural, trading and other related activities. This includes land used for residential, commercial, industrial, and institutional purposes.

Infrastructure. Includes lands used for transportation, communications, energy, water resources and social infrastructure.

The framework for physical planning provides the criteria and applies existing laws in allocating land uses to the four functional classifications. The same rule applies in ENR resource use planning and allocation. The guiding principles in the NFPF are also consistently integrated in the ENR framework. These NFPP principles, are relevant to ENR include the following: 1) Environmental stability and ecological integrity. The attainment of environmental stability and maintenance of ecological integrity are given primordial concern in the development of natural resources. Environmental stability shall be achieved through the observance of standards that regulate resources development and in effect curtail the degradation of the resource. Ecological integrity shall be pursued through effective natural resource management and by reconciling the demands of socioeconomic activities with the need to sustain and enhance the conditions of the various ecosystems. 2) Equitable access to physical and natural resources. In conjunction with the

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Constitutional mandate to protect and enhance the right of all the people to human dignity, reduce social, economic and political inequalities, and remove cultural inequalities, equitable access to resources shall be encouraged through a just distribution of the country’s resources and by providing equal opportunities to all members of society in the use and acquisition of land and other resources. 3) People empowerment. Building the capacity of people and local institutions in making the right development decisions towards managing natural resources shall be a paramount objective of the government. Given the complexity of managing land and natural resources, it is necessary to establish pragmatic, appropriate, flexible and dynamic structures or mechanisms involving key stakeholders. Local organizations shall serve as effective vehicles for people to express their community’s problems, needs and priorities as well as to initiate action that could transform their communities into self-reliant and self-managing units. 4) Recognition of the right of indigenous people. The rights of the indigenous people shall be protected particularly their ownership and possession of their ancestral domains. They shall have the right to develop, control, and use their lands within their ancestral domain and shall benefit from the profits accrued from the allocation and use of natural resources found therein, subject to the limitations imposed in view of national interest and overall national development. 5) Private-public sector partnership. The management and development of the natural and physical resources shall be a shared responsibility of the government and the private sector. Government bears the primary responsibility of providing the appropriate policy, legal and institutional framework where private sector can operate in the development and management of resources.

Integration of UN Millennium Development Goals and Johannesburg Agreements Formulation of the ENR management framework plan took into account the UN Millennium Development Goals (MDG) and the Johannesburg Agreements. Specifically, these were considered in the identification of management strategies and priority action thrusts for the framework plan. The strategies and priority action thrusts were crafted to support directly and indirectly the attainment of the MDG. The MDG is an eight-point agenda in which countries agreed to incorporate in their respective development goals. These goals are: 1) Eradicate extreme poverty and hunger; 2) Achieve universal primary education; 3) Promote gender equality and empower women;

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4) Reduce child mortality; 5) Improve maternal health; 6) Combat HIV/AIDS, malaria and other diseases; 7) Ensure environmental sustainability; and 8) Develop global partnership for development. The ENR framework plan was particularly designed to address goal number 7: ensuring environmental sustainability. However, it also directly and indirectly supports goals number 1: eradicating extreme poverty and hunger by strengthening various policies and programs to support marginal uplanders and fisherfolk; number 3: promoting gender equality and empowering women by integrating the concerns of women in natural resources utilization and management ; number 4: reducing child mortality by adopting measures to improve air and water quality and reduce their exposure to toxic and hazardous wastes; and number 8: developing global partnership for development by espousing and committing to actively participate in global efforts to combat climate change, protect biodiversity resources, control marine pollution, promote global trade and other related international efforts. The ENR Framework Plan also adopts the necessary strategic interventions that support the agreements that are related to environmental management in the recent World Summit on Sustainable Development held at Johannesburg in September 2002. These ENR related agreements are: 1) Achieved by 2010, a significant reduction in the current rate of biodiversity loss. 2) Reduce by half the proportion of the people unable to access or afford safe drinking water by 2015. 3) Increase investment incentives and support schemes for a cleaner production and ratify the Stockholm Conference on persistent organic pollutants by 2004. 4) Improve access to land and property for the urban and rural poor. 5) Immediate action on domestic forest law enforcement and illegal trade. 6) Address the economic, health and social impacts of mining.

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ENR MANAGEMENT FRAMEWORK PLAN Vision and Mission of ENR Sector a) Vision As provided in its report (DENR, 2002), DENR’s long-term vision is stated as follows: “The Philippines – a country of lush forest, clear skies and waters and bountiful land; a strong dynamic nation of empowered people living in dignity, at peace with each other and in harmony with nature.” In the context of sustainable development, ENR’s vision may simply be stated as “A healthy environment that is conducive to the well-being of society and productive ecosystems whose natural resources and their benefits are shared and enjoyed by present and future generations of Filipinos and an environment where society lives in peace and harmony with nature.” b) Mission In general terms, the mission of DENR is stated in its report (DENR, 2002) as follows: “The DENR shall be the dynamic force supporting the people’s initiatives in the protection, preservation and management of environment through strategic alliances and partnerships, participative processes, relevant polices and program and appropriate information technology towards sustainable development.” In more specific terms, the mission of DENR includes the following: 1) Formulation and implementation of policies for the protection, conservation and management of environment and natural resources. 2) Efficient and effective ENR management through good and shared governance and ensuring equitable access to its benefits. 3) Restoration of degraded ecosystems and maintenance of critical habitats and resources. 4) Establishment of enabling conditions to harness the potentials of natural resources for the common good.

c) ENR Goal and Objectives The goal of ENR management is to maintain an environmental quality that is conducive to the well-being of society, and to support socioeconomic development and break the poverty cycle through equitable access to resources and wealth creation within the bounds of ecological resiliency. ENR management schemes shall be undertaken to keep social and economic activities within the carrying capacity or thresholds of ecosystems. ENR shall also be used as a medium to promote social justice and to reduce poverty

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among disadvantaged sectors of society. Successful ENR management is expected to produce the following outcomes: 1) sustained and enhanced production, and 2) increased productivity of ecosystems and people. Key objectives of the ENR sector are to: 1) conserve the use of natural resources which serve as natural capital for economic development and source of livelihood and income for the impoverished sectors of society; 2) protect the life support system that nurtures the well-being of society and sustains the productive capacity of natural resources and environment; and 3) create wealth for the national good through the development of natural resources. DENR has five main objectives as provided in EO 192 (June 10, 1987) which reorganized the department. These objectives are to: 1) assure the availability and sustainability of the country’s natural resources through judicious use and systematic restoration or replacement, whenever possible; 2) increase the productivity of natural resources in order to meet the demands for forest, mineral, and land resources of a growing population; 3) enhance the contribution of natural resources for achieving national economic and social development; 4) promote equitable access to natural resources by the different sectors of the population; and 5) conserve specific terrestrial and marine areas representative of the Philippine natural and cultural heritage for present and future generations.

Strategies and Priority Action Thrusts Formulation of strategies and priority action thrusts was based on the gaps, issues, and problems identified under the sector review. ENR strategies are grouped into core and support strategies that mutually address the essential components of ENR management framework. The management framework that shall be adopted by DENR in conserving natural resources and protecting life support system (ecosystem functioning

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and environmental quality) for present and future generations of Filipinos involves the following fundamental strategies: • • • • • • • • • •

Proper resource use and allocation and equitable access to resources, Efficient and effective enforcement of environmental laws and regulations, Enhanced rehabilitation and restoration of degraded ecosystems, Intensified adoption and implementation of poverty reduction programs, Intensified adoption and implementation of conservation-oriented and ecologically sensitive farming practices and clean production technology Good and shared governance, Intensified adoption and implementation of MBIs and other economic measures to complement command and control (CAC), Improved research and development on environment and natural resources management Improved advisory and capability building support Intensified IEC and information system development.

Specific strategies and their corresponding priority action thrusts are described below. a) Core Strategies and Priority Action Thrusts 1) Proper resource use and allocation and equitable access to resources i) Strategies • •

Application of resource use planning to help resolve policy conflicts. Adoption of analytical tools such as extended cost-benefit analysis, ENRA, multicriteria analysis, risk assessment, sustainable yield assessment, carrying capacity assessment, and ecological foot printing, among others., to help decision making in resource use and allocation. Adoption of ecosystem-based or watershed planning approach to be able to formulate a holistic or comprehensive management measures to interrelated problems on ENR that cut across political boundaries. Formulation of plans and programs for the ENR sectors to meet present and projected future demand of society and the requirements for economic development (i.e., consumption and production requirements for socioeconomic development). Policy support to small scale users of public resources

ii) Priority Action Thrusts •

Integrate DENR’s forestland use in the plans and programs of DA, LGUs and DAR to avoid conflict in land uses.

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• •

• •

• •

• • •

• • •

• •

Update and adopt other criteria for classifying forestlands other than slope. Update the forestry master plan and strengthen its spatial dimension, improve planning assumptions and projection of wood supply and demand scenarios. Conduct forest resources inventory to resolve conflicting statistical data on forest cover. Extend assistance to LGUs institutionalize CRM as a basic service through integration of CRM plan in city/municipal CLUP and include coastal water use zonation in local zoning ordinance and synchronize CLUP and CRM planning and approval process. Prepare master plans for land management, coastal resources management and environment management. Implement ecological zoning and management planning for critical habitats and ecosystems (watersheds, NIPAS areas, coastal areas). Apply bay region cum watershed approach to coastal resources management at the provincial level and integrate into provincial land use plan. Prepare a unified national CRM policy framework incorporating an NICMMS jointly with DA and in close consultation with LGU representatives. Identify and map suitable sites in NIPAS areas for designation into multiple-use areas or buffer zones that will be used in the resettlement of communities occupying ecologically-sensitive areas. Identify and declare protected areas for marine mammals. Accelerate the process of delineating and mapping boundaries of municipal waters. Accelerate the process of delineating the final boundaries of forest resources and establishing a permanent forest line to fully implement forest management measures Intensify the conduct of survey of unclassified forestlands to identify potential A&D lands. Intensify the survey, mapping and declaration of biodiversity-rich areas which are not declared under NIPAS. Institutionalize and/or apply management tools such ENRA, extended cost-benefit analysis and risk assessment in resource use allocation and decision making. Complete cadastral survey of all municipalities and expedite survey of ancestral domain claims for CADT/CALT issuance of NCIP. Improve land record management and vigorously implement measures against fake titles. Require mining projects to submit extended cost benefit analysis and rehabilitation plan of mine sites as parts of EIA and risk assessment to serve as a basis for deciding on their social, economic and environmental viability. Adopt and implement guidelines on the reuse/redevelopment of

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• • •

mined-out areas. Prepare decision maps that reveal different land claims. Formulate guidelines on traffic impact assessment for integration in EIA scoping guidelines. Shift policy focus and programs to supporting small-scale users of public resources through asset reforms and tenure security instruments.

2) Efficient and effective enforcement of environmental laws and regulations i) Strategies • • • • • •

Improve standard setting and compliance monitoring to prevent or reduce environmental pollution and natural resources degradation. Intensify enforcement of regulations to protect critical ecosystems and natural resources. Regularly monitor compliance to EIA conditionalities and requirements. Mobilize local organizations to assist in enforcing fisheries and environmental laws. Revise and update inconsistent and outdated land, forestry and environmental laws. Promote multistakeholder monitoring of environmental quality and ecosystem integrity

ii) Priority Action Thrusts • •

• • • • • • •

• • • •

Complete the phase out the use of ODS. Fully implement recently-passed legislations: Clean Air Act and Solid Waste Management Act and lobby for the appropriation of budget as provided for in the law. Enhance control of international and national traffic of chemical and toxic substances. Undertake information exchange procedures with other countries on banned and regulated chemicals. Develop criteria for control of toxic chemicals. Require submission of toxicological data on toxic chemicals by importers. Advocate for the early passage of the Clean Water Act and assist in the implementation of its IRR. Take the lead role in creating a Water Regulatory Agency under DENR. Institute and strengthen measures to safeguard the country’s biodiversity resources against biopiracy and intensify enforcement of wildlife trade regulations. Strengthen measures to protect NIPAS areas and other biodiversity-rich areas to maintain their biodiversity and ecological services. Strengthen enforcement of fisheries laws and implementation of fish and marine sanctuaries. Acquire state-of-the art monitoring equipment and revive/establish new air and water quality monitoring network in highly urbanizing cities. Improve monitoring of river systems and fast track classification of water

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• •

• •

• • •

• • • • •

bodies. Implement toxic and hazardous waste management program. Set and enforce standards on mine safety and health protection; environmental standards for mine pre-construction, construction, operations and decommissioning; and standards for negotiating MPSA/ FTAA. Intensify monitoring and compliance to IRR of Mining Act of mining operations. Intensify campaign against fake/spurious land titles through vigorous investigation of fake titles, prosecution of responsible persons, sustained IEC campaign and use of cadastral maps at Register of Deeds (RODS) as reference for issued titles. Intensify monitoring and prosecution of illegal loggers. Intensify and sustain enforcement of anti-smoke belching campaign and prevention measures. Advocate for the passage of pending land management bills: Revised Public Land Act, Omnibus Land Code, Sustainable Forestry Management Act, and the National Land Use Act. Issue guidelines for cases involving conflicts in forestland uses. Deputize barangay police (barangay tanod) in monitoring groundwater abstraction in residential areas. Intensify LLDA’s anti-pollution campaign on domestic sources of pollution. Closely monitor the use of CADC lands in terms of their compliance to CLUP and zoning ordinance. Require the submission of EIA before LMB releases foreshore land leases and strictly enforce anti-fake titling in foreshore lands.

3) Rehabilitation and restoration of degraded ecosystems. i) Strategies • • •

Rehabilitation of degraded ecosystems such as reforestation of denuded watersheds, mangrove forests, seagrass beds and river system clean-up. Reclamation and reuse and/or redevelopment of mined-out areas, dumpsites and sanitary landfills, etc. Resettlement of upland dwellers occupying NIPAS areas and proclaimed watersheds in multiple use or buffer zones to prevent further encroachment and degradation of ecologically sensitive areas and provide agroforestry extension support (inputs, credit and market assistance).

ii) Priority Action Thrusts • •

Rehabilitate denuded priority watersheds, mangrove forest, and seagrass beds through the community-based resource management. Expand coverage of community-based forest area management to other degraded forestlands to hasten reforestation and protection of watersheds. Establish massive and extensive clonal nurseries as source of reforestation

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• • • • • •

• • • •

materials. Establish industrial forest plantation and timber corridors in denuded forestlands and watersheds. Encourage private sector investment in rehabilitation work through plantation development. Rehabilitate abandoned or problematic mines and reclaim mined-out areas to other valuable uses. Redevelop closed dumpsites and sanitary landfills into other viable land and/or site uses. Undertake massive river clean-up in identified critical river systems (heavily polluted segments of Pasig, Marikina and Tinajeros-Tullahan rivers). Establish and manage fish and marine sanctuaries in suitable sites to hasten regeneration of fishery stocks, coral reefs and mangrove forest stands. Establish urban forests and tree parks in open spaces, vacant and/or idle lands and public lands in cities. Implement adequate erosion and sediment control programs in river basins, mountain and volcanic areas Develop appropriate technologies for the rehabilitation of open, denuded and degraded grasslands Survey grasslands and assess alternative land uses (grazing, forestry, agroforestry, biodiversity protection, settlements, recreation, etc.).

4) Adoption and implementation of poverty reduction programs i) Strategies •

Promote alternative livelihood, work for conservation swap, food for conservation, conservation for education schemes, etc. to encourage resource-dependent communities practice conservation measures. Undertake direct investments and actions to reduce poverty such as asset reform (land distribution for the rural and urban poor), issuances of tenure security instruments, community-based management approaches in forestry and coastal/fisheries use. Establish upland and coastal livelihood enterprises that would provide technology, credit and marketing assistance.

ii) Priority Action Thrusts •

• • • •

Intensify efforts on land distribution and community-based resources management through providing beneficiaries with technical and financial assistance, appropriate technology, distribution, and marketing assistance. Undertake massive land titling and land distribution to landless small farmers and the urban poor. Implement a production sharing agreement in mining and forestry. Undertake alternative livelihood projects and enterprise development for upland and coastal communities. Establish timber, ornamental, and fruit-bearing trees in suitable areas as a

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• • •

• •

means of livelihood for upland settlers. Undertake occupational health protection measures and market assistance for small-scale miners. Promote community-based quarrying and mining (small-scale mining). Ensure the implementation of social development programs by mining companies and large scale industries in areas affected by their operations. Harness biodiversity potential for livelihood activities (e.g., ecotourism, animal stock farming, apiculture, orchid growing, medicinal plants, etc.). Adopt the community-based approach in the commercial production of seedlings as a source of livelihood in the uplands

5) Adoption and implementation of conservation-oriented and ecologically sensitive farming practices and clean production technology. i) Strategies • • • •

Adopt conservation-oriented technology such as agro-forestry, soil conservation farming, and integrated pest management (IPM) Promote clean technologies for manufacturing industries. Adopt biotechnology in seedling development. Promote indigenous technology in ENR management.

ii) Priority Action Thrusts • • • • • • • •

Establish clonal nurseries nationwide as source of materials for reforestation. Intensify implementation of soil conservation farming (SALT I, II, III) in sloping lands. Promote the adoption and implementation of IPM in upland agriculture. Promote the development and adoption of waste recycling technology for domestic and industrial wastes. Prescribe appropriate technology for treatment of toxic and hazardous wastes. Promote conservation breeding of endemic rare wildlife. Promote ecologically sensitive and compatible mariculture and aquaculture business ventures. Adopt and package indigenous technologies and best practices for wide dissemination

b) Support Strategies and Priority Action Thrusts 1) Good and shared governance i) Strategies •

Promote stakeholders’ participation in the management and protection of environment and natural resources through community-based resource management, property rights reform, government-private partnership in

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• • • • • • • •

environmental management. Institutionalize participatory process in ENR policy and decision-making, planning and program implementation. Create conflict resolution adjudication boards to settle issues on resource use conflicts. Decentralize some ENR management functions like monitoring and enforcement of environmental regulations to LGUs and NGOs. Coordinate and establish linkages with other government agencies in the implementation of the cross sectoral ENR programs. Establish close partnership with the private sector in promoting voluntary compliance and self-regulation in environmental protection. Enforce strict anti-graft and corruption measures in the department. Adopt ecosystem approach in governance (planning and management of ecosystems). Streamline and clarify institutional roles and responsibilities of key agency actors on ENR management to avoid and minimize overlaps, redundancies and conflicts in functions and wastage of resources. Streamline DENR organization and functions to be more responsive to present and anticipated challenges and opportunities in ENR management.

ii) Priority Action Thrusts • • • • • • • •

• •

• • •

Implement participatory management of IPAS. Establish civil society action network on environmental protection. Implement joint programs for clean air with partner organizations. Institutionalize industry self-monitoring programs. Establish Airshed Governing Boards in major cities. Reduce processing time for permits and clearances (e.g., ECC). Encourage self-regulation and voluntary actions by industries. Establish the necessary institutional mechanism to address resource use conflicts such as mining versus biodiversity protection, energy exploitation and development versus protected areas preservation, forestry versus agriculture and agriculture versus urban use. Promote corporate responsibility as a key strategy to mainstream the private sector in conserving natural resources, protecting environmental quality and assuming social responsibility in helping communities through investments in socioeconomic projects within their area of operations. Implement coastal resources management as a basic delivery service of LGUs. Establish bay region management councils to oversee the integration of terrestrial-based and coastal/marine-based uses and the implementation of ecosystem-based continuum planning and governance. Institute system of transparency and expediency in the processing of mining right applications. Facilitate the issuance of entry permit for mineral exploration and study the feasibility of devolving issuance of permit to LGUs. Streamline institutional responsibilities for land management and administration to resolve inter-agency conflicts and overlaps in functions and jurisdiction. FRAMEWORKPLAN ENR Management2006 |

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Improve land records management system through inventory of existing records, reconstituting missing/damaged records, upgrading of record equipment and storage facilities and implementation of a land records management Information system. Establish multisectoral review system in collaboration with DA and LGUs to identify and resolve overlapping, conflicting and inconsistent policies, laws and programs on ENR management. Conduct organization development study for DENR including its attached agencies and introduce necessary institutional reforms to improve the delivery of services of the department. Support the creation of a land administration authority that would merge all agencies directly involved in land administration. Pursue the strengthening and/or creation of a water resources management bureau under the DENR

2) Adoption and implementation of MBIs and other economic measures to complement CAC i) Strategies •

• •

Adopt and implement MBIs or economic incentives and disincentives (taxes, subsidies, grants, technical assistance) to direct behavior of resource users toward conservation and protection. Impose taxes and proper pricing of natural resources (raw water, mining, pasture, wood based industries) to reflect their growing scarcity. Establish an environmental trust fund for environmental management such as rehabilitation of degraded ecosystems, biodiversity protection, monitoring of environmental quality and compliance of users and compensation for affected communities.

ii) Priority Action Thrusts • •

• • • • • • • •

Implement environmental user’s fee for water quality and water abstraction. Adopt and implement a user fee scheme for watershed services (raw water use, irrigation user charge, hydropower plants, source of domestic water supply). Update user’s charges for pasture lands, mine tailings and timber extraction. Enforce mine wastes and tailings fee and revise provision to include compensation for damages on infrastructures (bridges and irrigation) Implement public disclosure program for industries. Institutionalize ENRA as an environmental management tool for DENR. Fully implement the mine rehabilitation fund under the Mining Act. Adopt FTAA as an instrument to attract foreign investment in mining and to promote technology transfer. Provide incentives for non-ODS use. Use NIPAS areas as capital asset in emissions trading with developed countries.

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• • • • • • • •

Establish a biodiversity protection trust fund from fees and charges collected from ecotourism and other services derived from biodiversity resources Promote sustainable financing for upland communities undertaking sustainable biodiversity resources management. Provide incentives for private sector involvement in biodiversity management. Rationalize valuation of lands and/or properties (patrimonial properties) under DENR administration. Improve method of technical evaluation of land for conversion and taxation purposes. Rationalize real property taxation and devolve it to local government Formulation of a uniform valuation standards and procedures for lands. Provide training of land valuators to facilitate negotiations and improve accuracy of estimates. Institute a royalty scheme for IPs and ICCS in of the use of their ancestral domains for mining, forestry, water resources abstraction, fisheries and aquaculture and ecotourism services.

3) Research and development on environment and natural resources management i) Strategies •

• •

Develop conservation technology (sustainable forestry, sustainable mining, sustainable fisheries) to maximize production without degrading and depleting the resource base. Develop cost-effective and efficient waste management schemes (waste disposal technology, recycling technology) that are socially acceptable and environmentally feasible. Undertake research and application of biotechnology for reforestation to improve species diversity of forest stands. Undertake research on ecosystem resiliency, stability and thresholds or carrying capacity to improve policy and decision making, planning and program implementation. Strengthen research capability of DENR bureaus on sustainable development modeling for forest, coastal and/or marine and mineral resources

ii) Priority Action Thrusts •

• • •

Promote research and development of clonal nurseries, carbon-sink reforestation and trading schemes with developed countries like the Netherlands Establish ecosystem thresholds for ecosystem resiliency and appropriate environmental quality standards. Establish sustainable yield levels for resource management Formulate policies and management schemes for sustainable mining and residuals management.

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• • • • •

• • • • • •

• • •

Conduct assessment of species-site suitability for reforestation Undertake assessment studies on the environmental impacts of GMOs such as Bt corn and other genetically engineered crops. Identify and study medicinal plants for patenting and bio-prospecting. Undertake studies on rehabilitation techniques for abandoned mines. Conduct research on cost-effective and environmentally safe and socially acceptable technology for the treatment and disposal of toxic and hazardous wastes. Conduct study on projection of resources (optimum budget) necessary for the effective and efficient management of ENR and establish optimum threshold cost of remediating critical environmental issues and problems. Conduct study on the forms of corruption practiced in the DENR and measures to prevent and address them. Conduct carrying capacity studies on forest/upland and coastal ecosystems to establish thresholds for policy and planning. Conduct research on identifying appropriate species for urban forestry. Conduct research studies on air pollution impacts on morbidity and mortality Develop and apply practical tools for measuring the value of biodiversity resources on-site and off-site. Strengthen the capability of ERDB in conducting research on ecosystembased management, urban environment management and coastal and/ or marine resources management. Improve ERDB’s technology packaging and adopt other more effective technology transfer modalities Develop seed production areas and seedling seed orchards nationwide for reforestation and afforestation purposes. Establish (in situ, ex-situ) arboretum, gene medicinal banks and forest parks (e.g., Philippine teak, kalantas, batikuling, narra, malapapaya, Benguet pine, etc.). Apply, adopt and integrate indigenous modern technologies, as well as soil and water conservation oriented farming techniques and use of high value crops in the farming enterprise, development and management of the uplands, including production areas with buffer zones. Evaluate the effectiveness of the PAMBs in the management of protected areas.

4) Advisory and capability building support i) Strategies •

Provide technical assistance for the screening, assessment and selection of environmental management technology to solve critical environmental problems such as solid waste disposal and treatment, industrial pollution control facilities, etc. Extend technical assistance to the legislative branch of the government in the review, formulation and evaluation of proposed policies for legislation.

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Develop LGUs’ capacity to manage their environment and natural resources

ii) Priority Action Thrusts • •

• •

Extend technical assistance in the review and refinement of the proposed Clean Water Act and other ENR-related pending bills in Congress. Extend technical assistance and training to NEDA ICC staff in assessing the environmental costs and benefits of socioeconomic development projects, and to the NEDA Policy and Planning Staff in evaluating the environmental impacts of the socioeconomic development programs under the MTPDP. Conduct training and extend technical advisory services to legislative staff, business/private sector, other government agencies, LGUs, civil society and POs on ENR policy formulation and management including planning, monitoring and evaluation of programs and projects. Provide extension services for small-scale mining to improve their economic viability and minimize exposure to health risks of mining. Provide technical assistance and information support to LGUs in the preparation of their CRM plans, monitoring and evaluation of coastal resources use. Retrain DENR planners, program implementers and field staff on ecosystem-based management.

5) IEC and information system development i) Strategies • •

Increase awareness, knowledge, and advocating action through an aggressive IEC campaign and training of ENR managers. Improve ENR database and information system for policy, decision making, planning and program implementation.

ii) Priority Action Thrusts • • • • • • •

Develop and upgrade databases for industry monitoring and chemicals/ toxic substances tracking and control. Establish an environmental museum in La Mesa Dam to showcase ENR management. Implement e-commerce to facilitate permitting and licensing aside from its administrative and management applications. Undertake massive IEC campaign for biodiversity conservation in country’s hotspots. Improve land resource information for land use planning. Establish a web-based system of monitoring and evaluating ENR sustainability status at the regional and provincial levels. Institute a computer-based ENR information system at DENR main office to store and retrieve vital information (statistical and spatial data) for planning and decision-making. Encourage the mining industry to undertake IEC campaign showcasing

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• • • • • •

model mine and best practices on environmental management. Forge a covenant with private sector in instituting voluntary compliance and self-monitoring and corporate environmental and social reporting. Improve records management and implement a land records management information system. Promote adoption by industries of ISO 14000 or EMS. Update critical ENR data on forestland use, actual forest cover, upland and coastal demographics, and deforestation rates. Validate and reconcile conflicting forestry statistics with the participation of a third party expert’s group. Improve land information system including record management.

Mainstreaming Women and Development in the ENR Management Framework A special concern of DENR is the integration of gender and development in all its policies and programs on ENR management. It is committed in ensuring that the concerns of all women are integrated in all its policies, programs and projects. Accomplishments of DENR along this line include: 1) formulating policies that incorporate women’s concerns and contributions to various forestry projects and activities; 2) institutionalizing gender parity in the CBFM process, 3) including women as members of PAMBs, and 4) supporting projects that establish the empirical evidence on the critical role of women in communitybased forestry and biodiversity projects. In further support to this cause, the ENR Management Framework Plan shall adopt the following strategies and actions: a) Environment Management 1) Develop a course module on gender roles related to environmental management. 2) Generate statistical data on the type of environmental hazards that affect women and formulate the necessary measures to protect them from these environmental and occupational health hazards. 3) Promote and encourage women’s leadership in community waste recycling programs. 4) Appoint women members in PAB, 5) Encourage women to participate in pollution monitoring and enforcement of environmental laws and regulations b) Land Resources Management 1) Encourage women’s participation in IEC on fake titling by linking with the women leaders in barangays. 2) Involve women farmers in training on soil conservation and agro-forestry,

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multiple cropping and poultry and livestock production and marketing to maximize benefits from the use of their lands. 3) Inform and educate women about their rights to own and dispose land properties. c) Forest, Water and Biodiversity Resources Management 1) Provide equal opportunity to female heads of households in accessing training, extension, and credit assistance for farming and alternative livelihood activities. 2) Encourage and define the role of women in CBFM, industrial tree plantation, protected area management and other flagship programs of DENR. 3) Provide access to potable water to upland communities to reduce the burden on women in fetching water from distant sources. 4) Tap women’s organization to monitor and enforce laws on bioprospecting and wildlife conservation. 5) Encourage women’s participation in PAMBs and similar peoples’ organizations. 6) Link with other agencies (DOH, LGUs) in providing health and natal care assistance for women in upland communities. d) Coastal and/or Marine Resources and Habitat Management 1) Extend credit and marketing assistance to women’s organization in food processing and marketing of their fish products. 2) Encourage the participation of women’s organizations in the planning and management of mangroves and fish sanctuaries. 3) Extend assistance to women in organizing and operating fishing cooperatives. 4) Encourage and train women’s cooperatives to venture into aquaculture projects. e) Mineral Resources Management 1) Conduct IEC on mining safety for both male and female heads of households in mining communities. 2) Tap women’s organization to help monitor compliance of mining firms to environmental safety standards and pollution control. 3) Ensure that mining firms comply with the EIA conditionalities to provide health and education facilities and alternative livelihood opportunities to mining communities. DENR acknowledges that most Filipino women are overworked and carry so much responsibility at home yet still contribute income to the family. In the language of sustainable development, Filipino women are a national treasure. The foregoing strategies do not mean to add more burden to them but rather give them equal opportunity to be heard, benefit and participate in ENR management and development. These strategies extol the rights, potentials, and equal opportunities of women in ENR policy and decision making,

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management, and development.

Legislative Agenda A number of important laws and regulations need to be enacted to resolve the gaps and issues on ENR management that were identified in this plan. These proposed laws will not only replace outdated ones but will likewise address conflicts and clarify roles and responsibilities of different government agencies, promote greater stakeholder participation in ENR management, and enhance the capacity of DENR and its partner agencies in implementing ENR management measures. These proposed legislations are: •

Sustainable Forest Management Act. Aims to replace the Philippine Forestry Code (PD 705) because it is no longer responsive to the present forest management scheme adopted by DENR. PD 705 which was geared to large-scale commercial exploitation of the natural forests is now rendered obsolete as DENR shifts it forest management approach to peopleoriented, small-scale community-based forest management. The proposed Act should provide a comprehensive and clear policy for the sustainable management of forest resources, watersheds and biodiversity. Land Use Code or Act. Bill pending in Congress for a long time now that aims to guide the allocation, utilization, management and development of the country’s land and water resources. This will guide various land using sectors on the proper use and allocation of lands and avoid conflict and confusion. Clean Water Act. Bill that aims to streamline processes and procedures in the prevention, control and abatement of pollution of the country’s water resources, promote environmental management strategies, economic instruments and mechanisms, and formulate a holistic national program of water quality management that supports water supply, public health and sanitation and ecological protection. Water Resources Management Act. Aims to establish the National Water Authority or the Water Resources Authority of the Philippines that will consolidate and streamline watershed management and water resources management. Omnibus Land Code. This will replace the outdated Public Land Act and incorporate new provisions responsive to changing land administration challenges such as the creation of a Land Adjudication Board. The law will consolidate or codify all land administration laws and provide for the merger of LMB/LMS, LRA and NAMRIA into a Land Administration Authority. The code will also incorporate the key policy/and or legal reforms recommended by the LAMP Study. Coastal Zone Management Act. Aims to consolidate policies on the utilization, conservation and protection of coastal resources and habitats in support to the sustainable development goals of the government.

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REFERENCES xii

Alvarez, H. T. 2001. A Report to the President and the Nation: DENR Accomplishment Report under the Macapagal-Arroyo Administration. December. New Thrusts and Directions for Environment and Natural Resources. A Report to President Gloria Arroyo and the Cabinet. April 2002. Manila: Department of Environment and Natural Resources. Asian Development Bank. 2001. Asian Environment Outlook: 2001. ADB. Manila. Broad, R. and J. Cavanagh. 1993. Plundering Paradise: The Struggle for the Environment in the Philippines. University of California Press: Oxford. Bugna, S. 2001. An Overview of ASEAN Protected Area Systems. ASEAN Biodiversity Vol. 1 Nos. 1 & 2. pp. 27. January–June. Bugna, S. and T. Blastique. 2001. Description and Analysis of the Protected Area System in the Philippines. ASEAN Biodiversity. Vol. 1 Nos. 1 & 2. January–June. pp. 28–31. Cabrido, C. 2000. Assessment Study on the Use of Incinerators. Center for Integrative Development Studies. Quezon City: University of the Philippines. March. 1999. Ebbing Coasts: Coastal Area Planning. Philippine Planning Journal. 3(2):1–12. 1999. Environmental Performance Measurement: Case Study on Fisheries. Consultant’s Report to Harvard University and Asian Development Bank. July. Delos Angeles, M. 2000. Natural Resources Management. Draft Report submitted to the National Economic Development Authority. Department of Environment and Natural Resources. 2000. Proposed National Coastal Resource Management Policy for the Philippines. Report prepared by the Coastal Resource Management Project. 1998. Ang Bagong Bayanihan: Gender and Development in Environmental Governance. Manila: DENR Gender and Development Focal Point System. Agency Profile and Program Targets. FY 2002-National Expenditure Program. Environmental Management Bureau. 1999 Environmental Management Services Statistical Update. 1998 Environmental Management Services Statistical Update.

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1996. Philippine Environmental Quality Report:1990–1995. Department of Environment and Natural Resources: Manila. Flora and Fauna International (FFI). 2001. Mindoro Biodiversity Conservation Programme. Manila: FFI-Philippines Biodiversity Conservation Programme. Forest Management Bureau. 1999 Philippine Forestry Statistics. Manila: Department of Environment and Natural Resources. 2000. Philippine Forestry Statistics. Manila: Department of Environment and Natural Resources. Johnston, J. 1998. Emissions Trading for Global Warming. Regulation. Vol. 21. No. 4 pp. 19–23. Katayama, Y., edited by Ohmachi, T., and E. Roman. 2002. Weak State and Strong Civil Society: Politics of the Clean Air Act. in Metro Manila: In Search of a Sustainable Future. Impact Analysis of Metropolitan Policies for Development and Environmental Conservation. Japan Society for the Promotion of Science and the University of the Philippines Press. Kinnear, S. and C. Cabrido. 2002. Pilot Testing of Local Development Watch Indicator System: Final Report. SAGRIC Internationale. June. 2002. Users Manual on Local Development Watch Indicator System. Bureau of Local Government Supervision, Department of Interior and Local Government. July. www.manila.sagric.com/devwatch/ldw/index.html Kummer, D. 1992. Deforestation in the Postwar Philippines. Ateneo de Manila University Press: Manila. Ministry of Foreign Affairs, Danida, DENR-FMB. 1998. Formulation of a Watershed Management Strategy and Investment Programme. Final Report: Review of Policy and Legal Framework. July. National Economic and Development Authority. 2002. Safeguarding the Environment: Towards Sustainable Development. A Report to the Cabinet. Manila, April 23. 2001. Medium-term Philippine Development Plan: 2001–2004. Manila. 2000. Draft National Framework for Physical Planning 1998–2028. National Land Use Committee. May. 2000. National Urban Policy Agenda. Manila. March. 2000. Total Official Development Assistance (ODA) Committed to the Philippines: 1992–2000. Manila. April 13.

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1999. Medium-term Philippine Development Plan: 1999–2004 (Angat Pinoy). Manila. September. 1998. Environment and Natural Resources in Plan 21. Manila. 30 pp. National Statistical Coordination Board. 1997. Philippine Water Resources: A Case Study on Natural Resource Accounting. Manila: Integrated Environmental Management for Sustainable Development. July 1997. Parreno, R. 2001. The ASEAN Regional Centre for Biodiversity Conservation. ASEAN Biodiversity. Vol. 1 Nos. 1 & 2. pp. 8–11 January– June. Philippine Council for Sustainable Development. 1997. Philippine Agenda 21: A National Agenda for Sustainable Development for the 21st Century. Simpson, S. and S. Bugna. 2001. Biodiversity Conservation and the Community. A Literature Review and Inputs from NIPAP Experience. Essentials of Protected Area Management in the Philippines. Vol. I. Philippines: NIPAP, PAWB-DENR. Sustainable Ecosystems International Corp. and Desarollo Internationale Consult, Inc. 2001. Final Report. Review of Forestry Policies vis-à-vis the Watershed and Ecosystem Management Framework and the CBFM Strategy and Program. Manila: Department of Environment and Natural Resources. .Vol I. September. Vesilind, P. 2002. Hotspots: The Philippines. National Geographic. Vol. 202, No.1. pp. 62–81. July. World Bank. 2001. World Bank Monitor 2001. Washington, DC: World Bank. 2000. Philippines Environment Monitor 2000. Washington, DC: World Bank. 1989. Forestry, Fisheries, and Agriculture Resource Management Study (farm study). Washington, DC: World Bank. January 17. 169 pp.

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