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PHILIPPINE FOREST FRONTIERS: AN ANALYSIS OF THE 1987 CONSTITUTIONAL PROVISIONS AND THAT OF PRESIDENTIAL DECREE NO.

705 VIS--VIS THE DEMAND FOR RAW MATERIALS

A LEGAL RESEARCH PRESENTED TO THE FACULTY OF THE COLLEGE OF LAW AQUINAS UNIVERSITY OF LEGAZPI

IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF LAWS

By: Cardinal, Michelle P. Espares, Adrienne O. March 2013

Table of Contents Table of Contents List of Tables List of Graphs Acknowledgement Chapter I The Problem and Its Setting 1 14 14 15 17 i iv iv v

Introduction Statement of the Problem Scope and Delimitation Significance of the Study Definition of Terms Chapter II Review of Related Literature and Studies

Related Literature A. Foreign Literature B. Local Literature Related Studies Theoretical Paradigm of the Study Theoretical Framework Conceptual Paradigm of the Study Conceptual Framework Chapter III Research Design and Procedure Research Method
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20 27 49 53 54 55 56

57

Sources of Data Research Procedure Chapter IV Philippine Forest Frontier Chapter V Summary, Findings, Conclusions, Recommendations

58 58 60

Summary Findings Conclusions Recommendations Appendix

88 89 96 98

Presidential Decree No. 705 (Revised Forestry Code of the Philippines)

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List of Tables Table 1. Forest Area in Asia and the Pacific, 1990-2010 Table 2. Comparison of 1984 and 1994 Exports of Logs and Wood-Based Products (Value in 000 US Dollars) Table 3.1. Production of Major Forest Products (2008 Final Report) Table 3.2. Production of Major Forest Products (2009 Final Report) Table 3.3. Production of Major Forest Products (2010 Final Report) Table 3.4. Production of Major Forest Products (2011 Final Report) Table 3.5. Production of Major Forest Products (2012 Final Report) List of Graphs Figure 1. State of the Worlds Forests 2011Sub-regional Breakdown 24 Figure 2. Production, Export and Import of Major Forest Products: 1986-2009 (Volume in thousand cubic meters) 2.1. Log 2.2. Lumber 2.3. Plywood 2.4. Veneer Figure 3. Top Ten Forest-Based Products Exports: 2009 Figure 4. Unit Value of Exported Log and Processed Forest Products: 1975-2009 39 39 40 40 41 42 34 35 36 37 38 25 32

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Acknowledgement

This humble legal research would not have been feasible without the support and guidance of our mentors and acquaintances in the law school. It is only fitting therefore to recognize their roles and contributions. To Atty. Madonna Gay L. Escio for imparting her knowledge to make this research a more prolific output. To Prosecutor Dominador Barrameda and Atty. Dane Ani in sharing their time and expertise in order to make this research a more valuable contribution in the legal field. To their friends and families for extending their understanding and time so as to allow the researchers to freely conduct and organize this manuscript. And most of all, to the Almighty for giving the researchers the strength and wisdom in the pursuit of this study. Thank you very much.

To God Be All The Glory.

Chapter I THE PROBLEM AND ITS SETTING Introduction God created man and knew that he would have certain basic needs, such as food, clothing, and shelter. God created everything that was needed to meet those needs. One, God created natural resources. God not only created natural resources, but He also created man with human energy. God told him to "have dominion" or rule over the earth (Genesis 1:26). Man was placed in the garden to cultivate and keep it (Genesis 2:15), which required labor. After the fall, cultivating the ground required an additional "sweat of [man's] face" (Gen. 3:19).1 Natural Resources are gifts of nature to mankind. They include everything, from oil to fish in the sea to magnificent scenic vistas.1 Natural resources are derived from the environment. Some of them are essential for our survival while most are used for satisfying our wants. Natural resources are materials and components (something that can be used) that can be found within the environment. Every man-made product is composed of natural resources (at its fundamental level). A natural resource may exist as a separate entity such as fresh water, and air, as well as a living organism such as a fish, or it may exist in an alternate form which must be processed to obtain the resource such as metal ores, oil, and most forms of energy.
1

http://www.web-books.com/eLibrary/ON/B0/B63/067MB63.html

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Some natural resources can be found everywhere such as sunlight and air, when this is so the resource is known as an ubiquitous (existing or being everywhere) resource. However, most resources are not ubiquitous. They only occur in small sporadic areas; these resources are referred to as localized resources. There are very few resources that are considered inexhaustible (will not run out in foreseeable future) - these are solar radiation, geothermal energy, and air (though access to clean air may not be). The vast majority of resources are however exhaustible, which means they have a finite quantity, and can be depleted if managed improperly. Forest resources are within the ambit of the said avowal. These natural resources are materials, which living organisms can take from nature for sustaining their life or any components of the natural environment that can be utilized by man to promote his welfare is considered as natural resources.2 Recapping the aforesaid notion, part and parcel of the natural resources are forests. There are two major classifications of forest lands. The first are the protection forests. These are the protected areas and the proclaimed watersheds. They are called set-asides or protection forests because they have been legislated or proclaimed for the public good. Their primary purpose is for preservation and biodiversity conservation. They fall under the general category of national parks under Article XII, Section 3 of the 1987 Philippine Constitution. On the other hand, the second are the production forests. These
2

http://en.wikipedia.org/wiki/Natural_resource

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forests are to be sustainably managed primarily for the utilization of the resources therein such as timber and non-timber forest products. In the 1987 Philippine Constitution, they fall under the category of forest or timber lands. They are part of God's masterpieces as gifts to mankind for comfort and survival. A forest is a complex ecosystem which is predominantly composed of trees, shrubs and is usually a closed canopy. They are storehouses of a large variety of life forms such as plants, mammals, birds, insects and reptiles, etc. Forests have abundant microorganisms and fungi, which do the important work of decomposing dead organic matter thereby enriching the soil. Nearly four billon hectares of forest cover the earth's surface, roughly thirty (30) percent of its total land area.3 Forest lands include the public forest, the permanent forest or forest reserves, and forest reservations. 4 Specifically, the forest ecosystem has two components - the non-living (abiotic) and the living (biotic) component. Climate, soil type are part of the non-living component and the living component includes plants, animals and other life forms. Plants include the trees, shrubs, climbers, grasses and herbs in the forest. Depending on the physical, geographical, climatic and ecological factors, there are different types of forest like evergreen forest (mainly composed of evergreen tree species i.e. species having leaves all throughout the year) and deciduous forest (mainly
3 4

http://envis.maharashtra.gov.in/envis_data/files/Forests_.pdf Philippine Law on Natural Resources by Narciso Pena as Revised by Judge Ed Vincent S. Albano, 1997 Revised Edition

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composed of deciduous tree species i.e. species having leaf-fall during particular months of the year).5 On the practical aspect, we derive more than a good number of benefits from forests in almost all aspects of our day to day living. From the moment we eat our breakfast, to our daily routine of reading newspapers, doing household chores, transacting business matters and a lot more. It is not possible to sum up the importance of forests in just a few words. Forests impact on our daily lives in so many ways, even in the midst of a busy, noisy, concrete city centre.6 Forests provide a wide range of economic and social benefits. To mention some, through employment, value generated from the processing and trade of forest products, and the investments in the forest sectors are of great help to improve the livelihood of a certain community in its specific sense and translate into a bigger perspective by boosting the economic status of the state in general. Forest lands may be utilized for pasture purposes, which may be maintained with sufficient grass cover to protect soil, water and other forest resources.7 As to wildlife, the same may be destroyed, killed, consumed, eaten or otherwise disposed of, without the necessity of permit, for the protection of life, health, safety and property and the convenience of the people, subject,

5 6

http://envis.maharashtra.gov.in/envis_data/files/Forests_.pdf http://wwf.panda.org/about_our_earth/about_forests/importance/ 7 Philippine Law on Natural Resources by Narciso Pena as Revised by Judge Ed Vincent S. Albano, 1997 Revised Edition, p. 179

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however, to such regulations as may be issued by the Director of Forest Development.8 With respect to scenic areas in forest lands, which are potentially valuable for recreation and tourism, they shall be developed and protected in order to attract visitors and meet increasing demands thereof. The construction and operation of the necessary facilities to accommodate outdoor recreation may be undertaken by the Bureau.9 As to other special uses of forest lands, the same may be leased for twenty-five years, renewable for another twenty-five years, or held under permit, for the establishment of sawmills, lumber yards, timber depots, logging camps, rights-of-way, or for the construction of sanitaria, bathing establishments, camps, salt-works, or other beneficial purposes which will not in any way impair the forest resources therein.10 Economic benefits can usually be valued in monetary terms but the social functions of forests are more difficult to measure and can vary considerably among countries, depending on their traditions and level of development. For example, in developed, post-industrial societies, the benefits of forests for recreation and amenity values or the maintenance of a rural way of life may be most important, while in developing countries, the area of forests available for subsistence activities or the number of people employed in the sector may be a

8 9

Ibid. Ibid. 10 Presidential Decree No. 705, Sections 54, 55, 56, and 57

better indication of their social value. Given the difficulties of measuring the social benefits of forests, social functions are often measured in terms of inputs rather than outputs such as the area or proportion of forests used to provide various social functions.11 In addition to those already mentioned, forests provide habitats to diverse animal species, and they also form the source of livelihood for any different human settlements as well as for governments. They offer watershed protection, timber and non-timber products, and various recreational options. They prevent soil erosion, help in maintaining the water cycle, and check global warming by using carbon dioxide in photosynthesis.12 They provide renewable raw materials and energy, mitigate climate change, improve air quality and to a certain extent, help alleviate poverty.13 Forest products are used in our daily lives. All the above-mentioned activities directly or indirectly involve forests, its raw materials and its products. From fruits, paper and wood furniture from trees to the less obvious by-products such as medicines, cosmetics, detergents and other personal things, one cannot discount the fact that forests play a vital role for our comfort and survival. With reference with the fundamental concept of supply and demand, in the fast changing world of today and the rapid increase of the population,
11 12

http://www.greenfacts.org/en/forests/l-2/1-forests-sustainable-assessment.htm#0 http://wwf.panda.org/about_our_earth/about_forests/importance/ 13 http://www.greenfacts.org/en/forests/l-2/1-forests-sustainable-assessment.htm#0

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people have growing needs and wants. An increasing global population needs more resources but most resources are limited and exploitation has

consequences.14 One of the usual sources of raw materials from forest is mainly logs, timber and other processed wood products. Wood products are primary used for building houses, furniture, paper and other fixtures. The estimated projection of consumption of forest products in Asia is 1712622 (thousand CUM) as of 2010.15 The total area of forest land according to the Food and Agriculture Organization as of 2010 was over 4 billion hectares.16 The Food and Agriculture Organization have taken a study on the state of the worlds forest that there is a decrease in the total area of forest land especially in the subtropical regions and in tropical regions including South East Asia. The integration of environmental laws in countries has helped in the protection of the environment but also had not eradicated the illegal activities. The demands for natural resources will expand as a result of both continued economic development and population growth. 17 Thus, it can be gleaned therefrom that at present and more so in the nearby future, the provisions of our environmental laws are not and will not be adequate in addressing the issues as regards the utilization, extraction and production of the raw materials from our forests reserves. As the demand for the raw materials increases, the supply will become meagre, and the laws will stand scarce on its underlying intentions of securing our forests
14 15

http://www.bbc.co.uk/schools/gcsebitesize/geography/energy_resources/what_resources_rev1.shtml http://www.fao.org/docrep/003/X1607E/X1607E13.htm#TopOfPage 16 http://www.fao.org/docrep/013/i2000e/i2000e.pdf (state of the worlds forest 2011) 17 http://www.gnest.org/journal/Vol1_No3/Vachos.pdf

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rather than harmonizing those two conflicting dynamics. These points apply to every aspect of our lives, from our day-to-day necessities up to the manufacturing needs of the various industries. Thus, it is imperative to associate our allocation of the natural resources particularly of forests with one of the fundamental concepts of supply and demand. The relationship between demand and supply underlie the forces behind the allocation of resources.18 A typical instance that clearly illustrates the abovementioned points is the demand for woods as raw materials. As a result of significant increases in demand for wood, the global wood market is undergoing rapid changes, putting considerable and increasing pressure on the world's remaining natural forests.19 As time goes by, increased attention and concern have concentrated on the state of the environment as well as on attempts for planning and management on an expanded scale and within an ecosystemic context. At the same time, the rapidity of change, the fast transforming technology, and the natural anthropogenic changes in the surrounding environment, they have accentuated both short and long-term consequences on both local and global

18 19

http://www.investopedia.com/university/economics/economics3.asp/#axzz25TwjPpSM http://siteresources.worldbank.org/EXTFORSOUBOOK/Resources/03-FSB-Ch03.pdf

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environments.20 At the global level, the world's forest resources appear to be doing relatively fine: changes in most variables are fairly small and the larger changes indicate more positive than negative trends. However, at the regional and subregional level, this picture changes dramatically revealing considerable differences, with alarming trends in several tropical subregions.21 Perchance, this is attributable to the diverse needs of the general population and of the local industries in certain geographical areas, particularly in the Philippines. Though with variance, they contribute to the larger spectrum on the waning condition of our forest reserves. These lead to the query on what are the factors causing and/or aggravating said deterioration. Over use and irrational use, technological and industrial growth, population growth and increasing consumption levels are major factors causing depletion of forest resources. Some other factors are mining, submergence due to big dams, shifting cultivation, use of forest land for rehabilitation, agriculture, transport and tourism. The forest wood is used up for construction, furniture, deriving energy (coal and firewood) and thus, the increasing demand for timber, energy, paper and paper products has led to massive forest degradation. Over-utilizing forest resources is an unsustainable way of using our limited forest resources. As the forest resources are exploited,
20 21

http://www.gnest.org/journal/Vol1_No3/Vachos.pdf http://www.greenfacts.org/en/forests/l-2/1-forests-sustainable-assessment.htm#0

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the forest canopy is opened up, the ecosystem is degraded, and its wildlife is seriously threatened.22 If this is the current state, then, it could be fitting to dwell on examining the provisions of our local environmental laws, for despite their passage and application, still, the situation has even worsen throughout time. Are they addressing effectively the concerns, or their provisions are in conflict with the human needs and wants, which explain why we have depleting forest resources in the Philippines. Interactions between human society and the environment are constantly changing, and likewise that of our environmental laws. The environment, while highly valued by most, is used and altered by a wide variety of people with many different interests and values. Difficulties remain on how best to ensure the protection of our environment and natural resources. There will always be tradeoffs and, many times, unanticipated or unintended consequences. However, a well-managed environment can provide goods and services that are both essential for our well-being as well as for continued economic prosperity.23 The year 2011 has been designated as 'The International Year of Forests' by the United Nations General Assembly. This builds on momentum already generated in other international arenas, such as those related to climate change and biodiversity, to bring even greater attention to forests worldwide.24 Our environment has become one of the most important issues of our time and
22 23

http://envis.maharashtra.gov.in/envis_data/files/Forests_.pdf http://www.enviroliteracy.org/category.php/5.html 24 Global Forest Resources Assessment 2010 - Main Report (FAO, 2010a)

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will continue to be well into the future. The challenge is to find approaches to environmental management that give people the quality of life they seek while protecting the environmental systems that are also the foundations of our wellbeing.25 One of the ways on how to efficiently address such issue is by pinning down the conflicting provisions of our environmental laws vis-a-vis the human needs and wants at the present background. In the local setting, the forestlands of the Philippines occupy about fiftythree (53) percent of the total land area of the country. The forestry situation in the Philippines has been shaped and continues to be shaped by a number of forces. Probably the combination of forces that had tremendous impact on the forestry sector is rapid population growth and destructive logging. The economy is also a driver of change. Since the middle of the 1990s the economy of the Philippines has been improving. This was brought about by the strides in industrialization wherein foreign investors established factories and

manufacturing facilities in the country. The improved economic condition of some families allowed them time for recreation. They also became aware of the health benefits of forests and made demands for recreational services. This also resulted in the establishment by the government of mini-parks especially in urban areas, the planting of green zones in government and school grounds and other spaces.26

25 26

http://www.enviroliteracy.org/category.php/5.html Asia-Pacific Forestry Sector Outlook Study II by Forest Management Bureau, 2009

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The deteriorating global environment and in particular the destruction of forest resources around the world has generated concern among governments. This has led to many conventions whose aims are to stop the destruction of biodiversity and habitats. The Philippines is a party to many of these conventions. The commitment of the Philippines to improve the environment of the country and pursue conservation and protection of biodiversity and its habitat saw the enactment of a number of laws. 27 In our country, forest lands have been protected by the implementation of Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines. It provides protection to forest land and the regulation of use forest products and provides penalties to violators of the said law. Its promulgation and implementation was in accordance to the constitutional provision of the right of the people to a balanced and healthful ecology which is in accord with the rhythm and harmony of nature.28 But time and history would suggest that even Presidential Decree No. 705 needs to be examined of its possible conflicting provisions with the needs and wants of the Filipino people and industries. Both the 1987 Philippine Constitution and Presidential Decree No. 705 serve as safeguards for the protection of our natural resources, particularly our forest resources and lay down significant provisions for reforestation to combat the excessive degradation of our forest resources. At the same time, they

27 28

Asia-Pacific Forestry Sector Outlook Study II by Forest Management Bureau, 2009 Article II, Section 16 of the 1987 Philippine Constitution

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provide limits on how the populace could utilize the extraction of raw materials from our natural resources. Such considerations tend to rationalize this legal undertaking to provide a significant analysis on how the provisions of the abovementioned statutes are in conflict with the present needs and demands of the people, and more importantly, on how we could help preserve our forests amidst the increasing utilization and production of its raw materials.

Statement of the Problem This study aimed to provide an in-depth analysis of the constitutional provisions and that of P.D. 705, and the need to balance the supply of natural resources and the demands of the populace for raw materials. Specifically, the study aimed to answer the following questions, to wit: 1. In what ways do the provisions of the 1987 Philippine Constitution and the provisions of Presidential Decree No. 705 are in conflict with the human needs and wants at present? 2. How can the provisions of the 1987 Philippine Constitution and that of Presidential Decree No. 705 be efficiently employed in relation to the increasing demand and utilization of raw materials from forest lands? 3. What is the extent of compliance with the provisions of the 1987 Philippine Constitution and the provisions of Presidential Decree No. 705 as observed on the decided cases by the Court?
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Scope and Delimitation This study focused on the provisions of the 1987 Philippine Constitution and the provisions of Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines. As regards the provisions of the 1987 Philippine Constitution, this legal undertaking will focus its scope on the provisions dealing with the natural resources enshrined therein which have in one way or another, relevance and impact on our forest resources. On the other hand, with regard to the provisions of Presidential Decree No. 705, the focus will only be in relation to forests as one of the natural resources, dealing with its provisions concerning its utilization and management such as in relation, inter alia, with the grant of timber license agreements, wood processing, and reforestation. The cases that are included deals primarily on the infractions of the constitutional provisions and of P.D. 705, the decisions of the Court in addressing said infractions, leading to the understanding on the extent of compliance by the authorities and violators with the various provisions therein which tackle the environment particularly our forest reserves.

Significance of the Study This study wishes to provide relevant information to the following: Students. To provide information with regard to their constitutional right to have the right to a balanced and healthy ecology and to provide them, if not
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increase, awareness of the existing laws that protect our forests and the regulations as regards the utilization and production of raw materials and forest products derived therefrom. Government authorities. The study wishes to provide up-to-date relevant information on how environmental concerns are being addressed by the constitutional provisions and that of P.D 705, as two of the leading laws enacted for our forest resources, to aid them in their approach in improving the areas of concerns regarding our natural resources. Advocates for the protection of the environment. The study wishes to provide germane information to boost their awareness on the present setting of our forests, as well as the provisions of the laws which are deemed in conflict with the increasing demands and needs of the people, in order for them to adapt their programs and activities to the situation so that they can properly address their advocacies. Businessmen/Entrepreneurs. To present to them a wider portrait on the impact of the rapid utilization of raw materials from our forest resources, in order for them to re-assess their strategies and platforms in maintaining their businesses vis--vis on schemes and programs on how to protect and conserve our forests. Lawmakers and implementors. To provide an overview and relevant information for future legislation and appropriate modifications as regards the conflicting provisions of our existing laws with that of the present setting for efficient forest management and protection.
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Definition of Terms 1. Ecosystem - A community of living organisms interacting with each other and with their physical environment.29 2. Forest - Land with an area of more than 0.5 hectare and tree crown cover (or equivalent stocking level) of more than 10%. The trees should be able to reach a minimum height of 5 meters at maturity in situ. It consist either of closed forest formations where trees of various storeys and undergrowth cover a high proportion of the ground or open formations with a continuous vegetation cover in which tree crown cover exceeds 10%. Young natural stands and all plantations established for forestry purposes, which have yet to reach a crown density of more than 10% or tree height of 5 meters are included under forest.30 3. Forest Degradation - Changes within the forest whether natural or humaninduced which negatively affect the structure of function of the stand or site, and thereby lower the capacity to supply products and/or services resulting to a degraded forest.31 4. Forest land - Includes public forest, permanent forest or forest reserves, and forest reservations.32

29

USDA Forestry Service. Available: http:// www.fs.fed.us FAO. 2000. Global Forest Resource Assessment 2000. Rome 31 DENR Forest Management Bureau. Harmonization Project. Land Use Group. 2004 32 PD 1559. Further Amending PD 705,otherwise known as The Revised Forestry Code of the Philippines. 1978
30

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5. Forestry - The profession embracing the science, art and practice of creating, managing, using and conserving forests and associated resources for human benefit in a sustainable manner to meet desired goals, needs and values.33 6. Land - Resources both man-made and natural, found on the surface, below, and above the ground including inland waters and the air therein.34 7. Lease - A privilege granted by the state to a person to occupy and possess, in consideration of a specified rental, any forest land of the public domain in order to undertake any authorized activity therein.35 8. Reforestation - The establishment of forest plantations on temporarily unstock lands that are considered as forest. Also called as artificial regeneration.36 9. Timber License Agreement - A long-term license executed by and between the Secretary of the DENR, on behalf of the government, and the grantee for the harvesting and removal from the public forest of timber and, in appropriate cases, also of other forest products.37

33 34

Helms, J. A. 1998. The Dictionary of Forestry. Society of American Foresters Alvarez, H.. House Bill No. 170. An Act Providing for the National Land Use Code of the Philippines and for Other Purposes. 1998 35 PD 705 Revising PD 389, Otherwise Known as The Revised Forestry Code of the Philippines. 1975 36 FAO. 2001. Global Forest Resources Assessment 2000. Main Report. FAO Forestry Paper No. 140. Rome 37 DENR Forest Management Bureau. 1977. Philippine Forestry Statistics. Manila

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Chapter II REVIEW OF RELATED LITERATURE AND STUDIES This chapter presents the review of literature and studies which have relevance and bearing to this legal undertaking. It also provides insights on the course of the study and on how it will be made. A synthesis of the state-of-theart and gaps to be bridged by the study dovetail the reviews. This chapter likewise contains the theoretical and conceptual framework and paradigm, respectively, as well as the definition of terms.

Related Literature A. Foreign Literature The Environmental law is a complex and interlocking body of treaties (conventions), statutes, regulations, and common law that operates to regulate the interaction of humanity and the natural environment, toward the purpose of reducing the impacts of human activity.38 The topic may be divided into two major subjects: pollution control and remediation, and resource conservation and management. Laws dealing with pollution are often media-limitedi.e., pertain only to a single environmental medium, such as air, water (whether surface water, groundwater or oceans), soil, etc.and control both emissions of pollutants into the medium, as well as liability for exceeding permitted emissions and responsibility for clean-up. Laws

38

http://en.wikipedia.org/wiki/Environmental_law

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regarding resource conservation and management generally focus on a single resource, e.g., natural resources such as forests, mineral deposits or animal species, or more intangible resources such as especially scenic areas or sites of high archaeological value, and provide guidelines for and limitations on the conservation, disturbance and use of those resources. These areas are not mutually exclusivefor example, laws governing water pollution in lakes and rivers may also conserve the recreational value of such water bodies. Furthermore, many laws that are not exclusively "environmental" nonetheless include significant environmental components and integrate environmental policy decisions. Municipal, state and national laws regarding development, land use and infrastructure are examples.39 The study conducted by the Food and Agriculture Organization of the United Nations entitled State of the Worlds Forests 2011, drew attention to four key areas that warrant greater attention during the International Year of Forests and beyond, to wit: a. regional trends on forest resources; b. the development of sustainable forest industries; c. climate change of adaptation and mitigation; and d. the local value of forests. Chapter 1 of the said study presents the state of forest resources in a regional analysis. According to the Global Forest Resources Assessment 2010 -

39

Ibid.

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Main Report (FAO, 2010a), which was released in October 2010, the overall rate of deforestation remained alarmingly high, although the rate was slowing. Major trends in the extent of forests, and changes in the rates of forest loss, as well as the current state of productive and protective forests, show disparities between the six regions, namely: Africa, Asia and the Pacific, Europe, Latin America and the Caribbean, the Near East and North America. The highest forest area worldwide was found in Europe, primarily because of the vast swaths of forest in the Russian Federation, while Latin America and the Caribbean had the highest net forest loss over the last decade. According to the discussion found in Chapter II of the said study, over the last decade, there has been little analysis of what constitutes a 'sustainable forest industry' and the drivers that affect this sustainability. Of the factors identified for the said report, increasing population and economic growth, expansion of markets, and social trends related to social and environmental performance were found to be the most important drivers for the sustainability of the industry. Furthermore, over the last few years, forestry has become a critical part of the international climate change agenda.40 Since 1946, FAO in cooperation with its member countries has assessed the world's forests resources at five to ten year intervals. These global assessments provide valuable information to policy-makers at the national and international levels, members of the public and other groups and organizations

40

Ibid, p.13

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interested in forestry. The Global Forest Resources Assessment 2010 (FRA 2010) is the most comprehensive assessment to date. It examined the current status and trends for more than ninety variables related to the extent, condition, uses and values of all types of forests in two hundred thirty-three countries and areas for four points in time: 1990, 2000, 2005 and 2010. According to FRA 2010, the world's total forest area was just over four billion hectares, corresponding to thirty-one (31) percent of the total land area or an average of 0.6 ha per capita. The five most forest-rich countries (the Russian Federation, Brazil, Canada, the United States of America and China) accounted for more than half of the total forest area. Ten countries or areas had no forest at all and an additional fifty-four had forest on less than ten (10) percent of their total land area. A key message from FRA 2010 was that, while the rate of deforestation and loss of forest from natural causes was still alarmingly high, it was slowing down.41

Figure 1. State of the Worlds Forests 2011 Sub-regional Breakdown


(Based on the Records of the Food and Agriculture Organization of the United Nations)

41

Ibid, p.16

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In Asia and the Pacific, where Philippines is one of the countries therein, forests cover slightly less than one-third of the total land area of the Asia and the Pacific region. Based on estimates for FRA 2010, the region's forested area was 740 million hectares in 2010, accounting for about 18 percent of the global forest area.42

Table 1. Forest Area in Asia and the Pacific, 1990-2010


42

http://www.fao.org/docrep/013/i2000e/i2000e.pdf

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(Based on the Records of the Food and Agriculture Organization of the United Nations)

Despite the net increase in forest area reported at the regional level, deforestation continued at high rates in many countries, including the Philippines. Southeast Asia experienced the largest decline in forest area in the region in the last ten years, with an annual net loss of forests of more than 0.9 million hectares.43 The current state of forest areas around the world have been different, in European countries and in Africa there was an increase in forest areas while the extent of forests in Asia and the Pacific has changed dramatically over the past two decades. In the 1990s, the region experienced a net forest loss of 0.7 million hectares per year, while in the last decade the forest area increased by an average of 1.4 million hectares per year. The planted forest area also substantially increased through afforestation programmes, mainly as a result of programmes in China, India and Viet Nam. The area of primary forests decreased in all Asia and the Pacific subregions in the last decade, despite the fact that the area designated for
43

Ibid, p.8

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conservation of biodiversity increased in the same period. Mixed trends were observed in the sub-regions in the extent to which forests were set aside for soil and water protection.44 According to FAO the implementation of Forestry law requires initiative and cooperation with the government to address illegality in the forest sector. Strategies to address illegal forest activities must be specific to each country if they are to respond to particular needs. While it is not desirable or even possible to develop policy, legal and institutional schemes that can be applied across the board to improve forest law compliance, efforts in the following areas can yield positive results: 1. making forest laws and policies rational, equitable, transparent and streamlined; 2. improving forest monitoring and information gathering; 3. strengthening national institutional capacities to enforce laws; 4. formulating policies in the forest and other sectors that take into account the economic and social dynamics that underlie illegal logging.45 B. Local Literature The 1987 Philippine Constitution, as the fundamental law of the land, is founded upon certain fundamental principles of government which have

44 45

State of the Worlds Forests 2011. FAO http://www.fao.org/forestry/law/en/

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become part and parcel of our cherished democratic heritage as a people46 exists to afford protection to every right that a Filipino citizen has. One of the rights being protected therein is enshrined in Section 16 which states that 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. It takes cognizance of the continuing degradation of the Philippine environment which has become a matter of national concern.47 This serves as one of the basis for the pursuit of this study. The Regalian Doctrine, the universal feudal theory that all lands were held from the crown is adopted by the 1987 Constitution but ownership is vested in the state rather than the head thereof.48 The said doctrine can be found in Article 12, Section 2 which states that all lands of the public domain, waters, minerals, coal, petroleum, and other mineral oils, all forces of potential energy, fisheries, forests or timber, wildlife, flora, fauna, and other natural resources are owned by the state xxx.49 However, the doctrine is not absolute it has limitations and such limitations can also be found in the same constitutional provision. The following are the limitations: 1. Only agricultural land of public domain may be alienated; 2. The exploration, development, and utilization of all natural resources shall be under the full control and supervision of the state. Either by directly
46 47

Textbook on the Philippine Constitution, Hector S. de Leon, 2005 Ibid, p.64 48 Lee Hong Hok vs. David, l-30389, December 27, 1972 49 Section 2, Article 12 of the 1987 Constitution

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undertaking such exploration, development, and utilization or through coproduction, joint venture, or production-sharing agreements with qualified persons or corporations; 3. All agreements with the qualified private sector may be for only a period of twenty five years renewable for another 25 years. However the 25 year limit is not applicable to water rights for irrigation, water supply, fisheries or industrial uses other than the development of water power for which beneficial use may be the measure and the limit of the grant; 4. The use and enjoyment of the marine wealth of the archipelagic waters, territorial seas and exclusive economic zone shall be reserved for Filipino citizen; 5. Utilization of natural resources in rivers, lakes, bays and lagoons may be allowed on a small scale to Filipino citizens or cooperatives with priority for subsistence to fishermen and fish workers.50 The co-production, joint-venture, or production-sharing agreements as modes of exploration, development and utilization of inalienable lands effectively excludes the lease system with respect to mineral and forestlands. The qualifications of persons, corporations or associations who may enter or take part in the exploration, development and utilization of the natural resources are Filipino citizens, and corporations or associations which has at least 60% of capital is owned by Filipino citizen. However as to marine wealth only

50

Bernas, Philippine Constitution, Review Primer,. 4 th ed. 2002

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Filipino Citizens are qualified, also with respect to natural resources in rivers, bays, lakes, lagoons but with allowance for cooperatives.51 In reading and analyzing Section 2 of Article 12 of the 1987 Constitution it can be understood that the State is being protective of our natural resources. Thus it can be clearly seen in the wording of the provision itself that exploration, development and utilization of natural resources shall be under the full control and supervision of the state. In the same article, Section 4 thereof also provides a specific provision with regard to forest lands and national parks. Section 4 states that the Congress shall as soon as possible determine by law the specific limits of forest lands and national parks marking clearly their boundaries on the ground. Thereof such forest lands and national parks shall be conserved and may not be increased nor diminished, except by law. The Congress shall provide for such period as it may determine measures to prohibit logging in endangered forests and watershed. Presidential Decree No. 705 is a law that adheres to the mandate of the Constitution with regard to forestland and includes products derived thereof. The country's forest industry reached its peak in the 1960s and early 1970s. Based primarily on the export of logs and lumber, about $212 million worth of these products were exported in 1967, accounting for about 32% of the export earnings of the ten principal export earners, although the value of forest

51

Ibid.

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products exports rose to $ 339 million in 1973, their share declined to only 24% of the ten principal exports. 52 The Government's log and lumber export ban (1986 and 1989, respectively) attempted to stop illegal cutting and export of timber while also strengthening the national wood processing industry to increase foreign exchange receipts through export of value-added products. The forestry sector remains the principal supplier of the country's woodbased industries. During 1994, however, log imports (404, 065 cu.m) accounted for nearly 42% of legitimate domestic production. On the other hand, lumber imports (298, 363 cu.m), accounted for 73% of local production.53 Lumber and plywood remains to be the main wood products in the country in terms of demand. In 1994, it was estimated that the domestic demand for lumber was 990 thousand cu.m while that of plywood was 232 thousand cu.m. The most important consumer is the construction industry absorbing about 86% of total lumber and 92% of total plywood domestic consumption. The demand for lumber is expected to grow at an overall rate of 3.5% per annum achieving a predicated consumption of 1.17 million cu.m in year 2000. On the other hand, domestic consumption of plywood is predicted to increase by 32% to 306 thousand cu.m from its 1994 level. The 1994 log production was reported equal to 957 thousand cubic meters.54

52
53

http://www.fao.org/docrep/w7740e/w7740e03.htm Ibid. 54 Ibid.

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Table 2 - Comparison of 1984 and 1994 Exports of Logs and Wood-based Products (Value in '000 US Dollars)55
Products 1. Logs 2. Lumber 3. Veneer 4. Plywood 5. Plywood and Veneered Panel and Semi-Laminated Wood 6. Particleboard 7. Paper and Paperboard 8. Wood-based Manufactured Articles 9. Forest-based Furniture 10. Selected Forest Based Furniture Total Value '000 pcs. '000 pcs. 327,227 Unit '000 cu.m '000 cu.m '000 cu.m '000 cu.m '000 cu.m '000 kg. '000 kg. 1,294 930 52,339 2,387 1984 996 540 71 290 9 93,729 106,970 14,069 57,314 1,876 4 37 30 4 6 3,319 1994 202 6,116 11,891 2,101 2,300 2,535 130,049 4,461 188,606 91,552 468,585 Volume Value Volume Value

12,530 33,233

55

Ibid.

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The table above shows the decline in the export volumes of certain raw materials from the period of 1984 and that of 1994. The decline is attributed to the decreasing pool of our forests during the mentioned periods. This is despite the adoption of the 1987 Constitution and of Presidential Decree No. 705.

The series of tables below show the volume of productions of major forest raw materials namely log, lumber, veneer and plywood products from 2008 up to June 2012. The figures therein have their correlation with the level of demand of the populace for raw materials.56

56

Bureau of Forest Management

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Table 3.1
(Based on the Records of the Forest Management Bureau of the DENR)

xxxvi

Table 2.2
(Based on the Records of the Forest Management Bureau of the DENR)

xxxvii

Table 3.3
(Based on the Records of the Forest Management Bureau of the DENR)

xxxviii

Table 3.4
(Based on the Records of the Forest Management Bureau of the DENR)

xxxix

Table 3.5
(Based on the Records of the Forest Management Bureau of the DENR)

xl

Figures 1.1 to 1.4 show the volume of production of certain raw materials from the forests, the volume of exports and imports as well, covering the periods from 1986 up to 2009.57

Production, Export and Import of Major Forest Products: 1986-2009 (Volume in thousand cubic meters)
57

Bureau of Forest Management

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(Based on the Records of the Forest Management Bureau of the DENR)

Figure 2.1

LOG
4500 4000 3500 3000 VOLUME 2500 2000 1500 1000 500 0

1992

YEAR
Production Export Import

Figure 2.2

LUMBER
1400 1200 1000 VOLUME 800 600 400 200 0 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2008

Year
Production Export Import

Figure 2.3
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2008

1986

1988

1990

1994

1996

1998

2000

2002

2004

2006

PLYWOOD
600 500 400 VOLUME 300 200 100 0 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006 2006 2008 2008

YEAR
Production Export Import

Figure 2.4

VENEER
250 200 150 100 50 0

VOLUME

YEAR
Production Export Import

The top ten forest-based products exports in 2009 are shown in the figure below.

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2004

1986

1988

1990

1992

1994

1996

1998

2000

2002

Figure 3. Top Ten Forest-Based Products Exports: 2009


(Based on the Records of the Forest Management Bureau of the DENR)

On the other hand, the figure below shows the unit value of exported logs and processed forest products covering the period from 1975 up to 2009.58

Figure 4. Unit Value of Exported Log and Processed Forest Products: 1975-2009
(Based on the Records of the Forest Management Bureau of the DENR)

58

Bureau of Forest Management

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Conversely important, forest, as the pivotal concern of this study is considered a broad term by some authorities. It accepts various connotations depending on how it applies. The lexicographers define forest as a large tract of land covered with a natural growth of trees and underbrush; a large wood. The authorities say that the word forest has a significant, not an insignificant meaning, and that it does not embrace land only partly woodland. It is a tract of land covered with trees, usually of considerable extent. The foresters say that no legal definition of forest is practicable or useful. B.H. Baden-Powell, in his work on Forest Law of India, states as follows: Every definition of a forest that can be framed for legal purposes will be found either to exclude some cases to which the law ought to apply, or on the other hand, to include some with which the law ought not to interfere.59

59

Ramos v. Director of Lands, G.R. No. 13298, November 19, 1918, 39 Phil. 175

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There is a big difference between forest as defined in a dictionary and forest or timber land as a classification of lands of the public domain in the Constitution. (Section 3, Article XII of the 1987 Constitution, Section 10, Article XIV of the 1973 Constitution, as amended; and Section 1, Article XIII of the 1935 Constitution). One is descriptive of what appears on the land while the other is a legal status, a classification for legal purposes.60 As expounded by the Court in a case, a forested area classified as forest land of the public domain does not lose such classification simply because loggers or settlers may have stripped it of its forest cover. Parcels of land classified as forest land may actually be covered with grass or planted to crops by kaingin cultivators or other farmers. Forest lands do not have to be on mountains or in out of the way places.61 Within the executive branch of the government, the Department of Environment and Natural Resources provides the institutional mechanism for the implementation of state policy on the development and utilization of natural resources. Congress grants DENR the authority to promulgate appropriate rules and regulations that translate the generalities of law into concrete terms to promote a more effective implementation of forest-related legislation.62 Within the enactment of the Local Government Code, R.A. 7160 in 1991, certain DENR responsibilities were devolved to local government units. The code

60 61

Republic v. Court of Appeals and Carantes, G.R. No. L-56984, September 30, 1987, 154 SCRA 476 Heirs of Amunategui v. Director of Forestry, G.R. No. L-127873, November 29, 1983, 126 SCRA 69 62 Magallona and Malayang III, 2001, Phulin

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empowers LGUs to enforce forestry laws and engage in community-based and social forestry programmes. Traditionally, the role of the private sector in forestry has been primarily confined to the development of forestry and wood processing technologies to generate jobs, capital and timber-based products.63 With the evolving political and economic situation, however, the wood industry has become increasingly involved in the promotion and advocacy of policy that benefits the industry's interests. During the initial conception of community-based forest management (CBFM), there was considerable resistance from the wood industry in permitting local communities to utilize timber on a commercial scale. However, along with strengthening government support for CBFM, members of the private sector have increasingly accommodated the CBFM approach within the country's strategy for sustainable forest management. The law governing the management and utilization of forest lands is Presidential Decree No. 705, otherwise known as the Revised Forestry Code of the Philippines. Issued on May 19, 1975, it repeals Presidential Decree No. 389 or the Forestry Reform Code, CA No. 452 or the Pasture Land Act, and all other laws, orders, rules and regulations or any part thereof which are inconsistent therewith. The law places emphasis not only on the utilization of forest resources but more so on the protection, rehabilitation and development of forest lands, in order to ensure the continuity of their productive condition. It institutes the

63

Korten 1992

xlvii

proper classification and delimitation of the lands of the public domain, and the management, utilization, protection, rehabilitation, and development of forest lands.64 For the purpose of implementing the provisions of the Revised Forestry Code, the Bureau of Forestry, the Forestation Administration, the Southern Cebu Forestation Development Project, and the Parks and Wildlife Office were merged into a single agency known as the Bureau of Forest Development, with jurisdiction and authority over all forest lands, grazing lands, and all forest reservations including watershed reservations as previously administered by other government agencies or instrumentalities. This Bureau, which shall be under the control and supervision of the Secretary of Environment and Natural Resources, is held responsible for the protection, development, management, regeneration, and reforestation of lands, the regulation and supervision of the operation of licensees, lessees and permits for the taking or use of forest products therefrom or the occupancy or use thereof; the implementation of multiple uses and sustained yield management in forest lands; the protection, development and preservation of national parks, marine parks, game refuges and wildlife; the implementation of measures and programs to prevent kaingin and managed occupancy of forest and grazing lands; in collaboration with other bureaus, the effective, efficient and economic classification of lands of the public domain; and the

64

Law on Natural Resources by Justice Oswaldo D. Agcaoili, 2007, p.81

xlviii

enforcement of forest reforestation, parks, game and wildlife laws, rules and regulations. But as the records show, President Decree No. 705 was enacted way back in 1975. From the said period of time up to the current setting, several changes have already occurred. The present developments in terms of technology and industries are farfetched as compared to that in 1975. More so, reference with the forest conditions then, perhaps much better as compared today, leads us to the proposition that the provisions of P.D. 705 must now adapt and be reinvented to fit and efficiently address the contemporary situation of our forest reserves. The demands of the populace has changed and increased to a considerable extent as the time went by. Worthy to mention also is the statistical increase in the population. As a side point, it is the Secretary of Environment and Natural Resources, upon recommendation of the Director, promulgates the rules and regulations necessary to implement effectively the provisions of the Revised Forestry Code. 65 Under the Revised Forestry Code of the Philippines, certain grants or privileges may be made available to qualified persons by means of lease, license, license agreement or permit. Lease is a privilege granted by the State to a person to occupy and possess, in consideration of a specified rental, any forest land of the public domain in order to undertake any authorized activity therein. License is a privilege granted by the State to a person to utilize forest

65

Presidential Decree No. 705, Sections 4, 5, 7, and 9

xlix

resources within any forest land, without any right of occupation and possession over the same, to the exclusion of others, or establish and operate woodprocessing plant, or conduct any activity involving the utilization of any forest resources. License agreement is a privilege granted by the State to a person to utilize forest resources within any forest land with the right of possession and occupation thereof to the exclusion of others, except the government, but with the corresponding obligation to develop, protect and rehabilitate the same in accordance with the terms and conditions set forth in said agreement. Permit is a short-term privilege or authority granted by the State to a person to utilize any limited forest resources or undertake a limited activity within any forest land without any right of occupation and possession therein. No person may utilize, exploit, occupy, possess, or conduct any activity within any forest land, or establish and operate any wood-processing plant, unless he has been authorized to do so under a license agreement, lease, license or permit.66 In this study, it is noteworthy to take into consideration the infractions of the law pertaining to the utilization of our forest resources. Criminal offenses under the Revised Forestry Code of the Philippines include cutting, gathering, and/or collecting timber or other forest products without any authority under a license agreement, lease, license or permit is punishable as qualified theft under

66

Presidential Decree No. 705, Sections 3 and 20

Articles 309 and 310 of the Revised Penal Code, subject to deportation if the offender is an alien. Unlawful occupation or destruction of forest lands, including the making of kaingin for private use, without authority, is penalized by fine and imprisonment, aside from liability for ten times the rental fees and other charges, or eight times the legal charges due in case of kaingin violation. Other violations include destruction of wildlife resources; survey by unauthorized persons; misclassification and survey by government official or employee; permitting tax declaration on real property unless the area declared for taxation is alienable and disposable lands, or titled, or occupied by national cultural minorities; coercion and influence upon public officer or employee; unlawful possession of implements and devices used by forest officers; failure to pay forest charges or to collector remit the same; sale of wood products without having complied with the grading rules established by the government.67

Related Studies The Nepal Forestry Outlook Study (Nepal Forestry Outlook Study by Ministry of Forests and Soil Conservation Singha Durbar, Kathmandu, Nepal (Food and Agriculture Organization of the United Nations Regional Office for Asia and the Pacific, 2009) analyzed the current status of forest and forestry of Nepal, identified key drivers of change, developed probable scenarios for the future, provided strategies and priorities to reform the forestry sector and revealed the

67

Presidential Decree No. 705, the Revised Forestry Code of the Philippines

li

outlook for 2020. The same objectives were also sought by the Philippine Forestry Outlook Study (Philippines Forestry Outlook Study by Forest Management Bureau (Food and Agriculture Organization of the United Nations Regional Office for Asia and the Pacific, 2009). The issues that were examined were forest cover and changes in forest cover, supply and demand (including exports and imports) for timber and NWFPs, biodiversity conservation and protected area management, wood as an energy source, service and social functions of forests, forest policies and institutional framework in forest management. On the other hand, the Cambodia Forestry Outlook Study (Cambodia Forestry Outlook Study by The Forestry Administration, Phnom Penh (Food and Agriculture Organization of the United Nations Regional Office for Asia and the Pacific, 2010) focused on looking for better understanding on how the future and forestry is unfolding in Cambodia and in the Asia-Pacific region for the coming decades. The questions answered were on what would the Cambodian forest likely be in 2020 and if the forest be managed for the purpose of timber production, biodiversity conservation, or forestland conversion for other economic, national and local development. The study entitled 'Meeting China's Demand for Forest Products: An Overview of Import Trends, Ports of Entry, and Supplying Countries, with Emphasis on the Asia-Pacific Region,' (Meeting China's Demand for Forest Products: An Overview of Import Trends, Ports of Entry, and Supplying Countries, with Emphasis on the Asia-Pacific Region by Xiufang Sun, Eugenia Katsigris, Andy White)
lii

analyzed the trends of China's forest product imports by both product segment and ports of entry, as well as for each of the main Asia-Pacific countries supplying China. Historical accounts of forest use in the Philippines reveal how massive deforestation has depleted the once lush tropical rainforests of the country. A century of plunder of the forest resource can be traced to factors such as conversion of forest to agricultural land, commercial logging and the pressures of population growth.68 However, "one important thread... that [runs] through most of these realities [is] power politics: the influence of political power and vested interests on forest management policies and decisions as well as on their implementation."69 In order to address the decline of the forest resource, policy reform has been instituted, as has a shift in the direction of forest management, particularly since the end of dictatorial rule under Marcos.70 The paper of Pulhin entitled "Trends in Forest Policy of the Philippines," traces the evolution of forest policy in the Philippines from the period of Spanish rule up to the present day. It highlights the trend from the highly regulatory, centrally controlled and industry-based forest policy that was characteristic of the colonial period up until the end of the 1970s, towards a more decentralized, participatory and people-oriented approach that has typified the direction of

68 69

Kummer 1992; Cruz 2000 Vitug 2000 70 Pulhin 1997; Sabban 1997

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policy implemented over the last two decades. It also discusses the different actors involved in policy-making and their roles in determining the course of current forest policy. A brief analysis of the current issues pertinent to forest policy in the Philippines, especially those that relate to participatory forestry, is also presented. The paper concludes by pointing out that reform in the policy process has to be accompanied by a corresponding shift in power if forest policies are to be more responsive to the needs of the local people whose lives are dependent on the forest for survival. A historical analysis of the development of forest policy in the Philippines highlights the trend from a highly regulatory, centrally controlled and industrybased forest policy characteristic of the colonial period, towards a more decentralized, participatory and people-oriented approach that has typified the direction of policy over the last two decades. A number of different stakeholders have played a crucial role at various levels in formulating policy that has placed increasing emphasis on community involvement in forest management.

liv

Theoretical Paradigm of the Study

lv

SUPPLY

DEM

lvi

Theoretical Framework This study will anchor on one of the fundamental concepts in economics which is the Law of Supply and Demand. However, modifications are fitting in order to suit the topic being focused by this study. Due to the increasing demand of the populace for raw materials which are needed for construction and day to day living, it has a correlative diminishing effect on the availability of our forest resources. Thus, as the demand goes high, the supply diminishes considering that our forests are limited in nature. To this end that the law serves its purpose. To balance the need and extraction of raw materials and the availability of forests as its primary resource, the law needs to be implemented according to its objectives. The environmental laws specifically covered by this undertaking must be adaptive and not be in conflict with the increasing demands for raw materials from our forest reserves; otherwise, its intentions would be futile and valueless. Without which initiative, there can be no equilibrium on how the populace are utilizing the resources that we have, and with the available resources.

lvii

Conceptual Paradigm of the Study

lviii

1987 Philippine Constitution and

lix

Conceptual Framework In Chinese philosophy, the concept of yin-yang is used to describe how polar opposites or seemingly contrary forces are interconnected and interdependent in the natural world, and how they give rise to each other in turn in relation to each other. As applied to this present undertaking, the supply of forests in relation to the demand for raw materials must meet halfway. They seem to be opposing concepts but they are correlated in terms of effects. Thus, there must be balance between the two and such is feasible through the efficient implementation of laws. In this study, the 1987 Philippine Constitution and Presidential Decree No. 705 have their own respective provisions which in one way or another are of great help to cause balance between the said two concepts. But the paramount concern is on determining the conflicting provisions of these laws with the present demands and needs of the people. Absence of such undertaking, these laws will not be efficiently implemented, considering that they were first enacted several decades ago, rendering some of their provisions unfitting to the contemporary background. If such laws are to be efficiently implemented by the local authorities and observance among the populace is visible, our environment will definitely

lx

benefit to a considerable extent, towards maintaining a continuing reserve for our next generations.

lxi

Chapter III RESEARCH DESIGN AND PROCEDURE This chapter presents the methods and procedures that were used in the conduct of the investigation for the attainment of the objectives of this study. Specifically, the research design, sources of data and research procedure were provided herein.

Research Method The study utilizes the descriptive expository case typed method of research. This method describes and analyzes the provisions of the 1987 Philippine Constitution and the provisions of Presidential Decree No. 705, otherwise known as the Revised Forestry Code of the Philippines in relation to the increasing demand of the populace for raw materials from forest resources. There are three phases involved, namely: first, determining the conflicting provisions of said laws with reference to forest resources vis--vis the demands and needs of the people; second, determining the ways on how to efficiently implement them at the contemporary setting; and third, analyse the extent of compliance with the provisions of the said laws as can be gleaned from various cases decided upon by the Court.

lxii

Sources of Data The primary sources of information to the conduct of this legal study are the published materials and studies which have relevance to the present undertaking. In addition, the researchers also utilize the used of secondary or supplemental sources of data such as books, theses, and internet articles. Particularly, the 1987 Philippine Constitution and Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines are used by the legal researchers as their primary sources of data in this study. Cases decided upon by the Court which are relevant with the problems sought to be answered by this study also served as sources.

Research Procedure The researchers purposively choose the materials relative to the problems being tackled by this study. Excerpts from notable authorities were cited to lay the foundation on the creation, benefits, trends and management of forests around the world. Specifically, the provisions of Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines served as the main source for the conduct of this undertaking. The Constitutional provisions were also explained to anchor the rationale why the researchers chose to venture into this study. To understand further and validate the data gathered, decided case by the Court are to be included to clearly explain the extent of implementation of
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the provisions of Presidential Decree No. 705 and to identify the conflicts between the said law and the demands of the populace for raw materials from our forest resources.

lxiv

Chapter IV Philippine Forest Frontiers Ways on how the provisions of the 1987 Philippine Constitution and that of President Decree No. 705 are in conflict with the human needs and wants at present. The 1987 Philippine Constitution embodies provisions for the protection of the rights of the people to a balanced and healthful ecology, specifically Section 16 of Article II thereof. The Constitution adopted the Regalian Doctrine (Section 2, Article XII) and empowered the Congress to determine by law the specific limits of forestlands and national parks. The State has the right to undertake on its own the development and utilization of natural resources, or enter into co-production, joint venture or production agreements to achieve sustainable development and natural resources conservation objectives (Agete 1998). The Constitution has virtually stopped the practice of awarding concessions, leases, or timber licenses. As much as the good intent of the Constitution to protect the interest of every individual, the result thereof has adverse effect on the economy and to the environment. A clear example is the strict issuance and banning of the timber license agreements (TLAs) since they had been abused by favoring only large-scale operations (Wallace 1993; Porter and Ganapin 1988; Vitug 1993). The Constitution has supported and strengthened the Governments efforts, to take drastic measures in dealing with holders of TLAs. Many TLAs were suspended, cancelled, modified or not

lxv

renewed. These drastic actions reduced the number of TLA holders from 159 in 1986, to 26 in 1997, and less than 20 in 1998 (FMB/DENR 2000).71 Due to the decrease in the timber license agreement forest land has become an open access for illegal loggers to randomly and rampantly cut down trees on areas not covered by the timber license agreement. These illegal loggers at times cannot be identified thus, abuses committed by them go unpunished and no one is held accountable. Between development and environment, the quality of the latter must occupy a higher plane in the scheme of priorities by our authorities. Rising domestic consumption, the growing export-oriented furniture industry, and economic recovery and expansion contributed to the surge in imports of lumber that started in 1993 when the Philippines imported more than 1 million m3 of wood. Furniture manufacturing consumes approximately 95 percent of the imported wood. The increase may be largely attributed to the shift in preference from domestic to imported logs by the domestic plywood and veneer industry. Imports of logs and lumber accounted for 67 and 29 percent of total imports from 1986 to 1997, respectively. Imports supplied most of the domestic demand when the AAC were reduced from 5 million m3 in 1990 to about 0.5 million m3 in 2000 (FMB/DENR 2000). The reduction in AAC was the most significant consequence of the logging ban in old-growth forests, the passage of the National Integrated

71

Impacts and effectiveness of logging bans in natural forests: Phillipines - Ernesto S. Guiang

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Protected Area System (NIPAS) law in 1992 (RA 7586) and a decrease in the number of active TLAs from 114 in 1989 to 21 in 1998. These restrictions on the harvest of natural forests and the limited supply of wood from forest plantations have turned the Philippines into a net importer of wood. The countrys increasing dependence on imports underlines its ongoing wood crisis. Domestic demand for wood products is growing at an average of 2 to 5 percent annually. By the end of 2000, domestic demand for industrial roundwood (mainly for sawntimber, plywood/veneer/blockboard,

fiberboard/particleboard, poles and paper and paperboard) as raw materials ranged between 4.5 to 5.8 million m3 per year.72 The implementation of P.D. 705 or the Revised Forestry Code of the Philippines seeks to protect, develop and aims for the rehabilitation of forest land as to ensure their continuity in productive condition.73 But throughout time, certain provisions therein are seen to be in conflict with the contemporary needs and demands of the people for raw materials from our forest reserves. Section 71, which talks about illegal occupation of our national parks system and recreation areas and vandalism, is not being observed properly for reality speaks of it otherwise. Cutting, destroying, damaging or removing timber and other natural resources found therein, and mutilating, defacing or destroying objects of natural beauty or of scenic value within the said areas are in existence. Informal settlers and vagrants due to various factors would tend to
72 73

Ibid. Sec. 2. Par. D., P.D. 705

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settle in national parks to the detriment of the natural resources that may be found therein. In this case, the demands and needs of the people are not just confined to the raw materials but also to other needs such as for lodging. Both Sections 20 and 57 of Presidential Decree No. 705 tackles the imperative need to have a grant of license agreement, license, lease and permit as regards the utilization, exploitation, occupation, possession and conduct of activities within forest lands. Moreover, forest lands may be subjected to a lease for a period not exceeding twenty-five (25) years, which is renewable upon its expiration for a similar period, or as held in the permit given, pursuant to special purposes such as for the construction of sanatoria, bathing establishments, camps, salt works, inter alia, provided that such will not in any way impair the forest resources that may be found therein. Considering that Presidential Decree No. 705 was enacted in May 19, 1975, or thirty-eight (38) years ago, the said limitation as to the allowable period may not be suitable and fitting in the contemporary setting. Records discussed in the earlier parts of this legal undertaking show the decline in the forest reserves of our country throughout the years due to several factors such as over use and irrational use, technological and industrial growth, population growth and increasing consumption levels of the populace. Having said so, the twenty-five (25) years applied at the present context will entail more serious impacts on our depleting resources for various possible reasons. Due to the advent of technological developments, numerous industries at present are now banking on the benefits
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and comfort in using highly developed machineries and tools. Employing modern schemes in the conduct of activities within forest lands, and more so, for a long period of time, would invariably cause our forests to be at the mercy of the grantees of licenses, in lieu of the earnings that may be derived therefrom by said concessionaires and operators. The caveat provided for by law that said activities therein must not in any way impair the forests is likely to be rendered futile. For as the needs increases, so as with the demands for raw materials, such will have a correlative effect on the supply. Under Section 59, it is mandated in P.D. 705 that in the evaluation of applications of corporations, increased Filipino equity and participation beyond the 60% constitutional limitation shall be encouraged xxx and that the applicant with more Filipino equity and participation shall be preferred. The statistical records provided for by this study clearly depict the export and import volumes of raw materials from our forest resources. At the present context, we Filipinos must be given not just the priority but the sole authority to utilize our own resources, thus, the 60% constitutional limitation is in conflict with our needs considering that foreign entities are given the chance to also engage into concerted activities within our forest lands while the local demand for the raw materials are not fully addressed by the authorities. Giving foreign entities with opportunities to make use of what we naturally have could be a source of violations and distractions.

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This is also true to the grant of service contracts to foreign person or entity for the exploration, development, exploitation or utilization of the forest resources, as provided for in Section 62. The law says that such will only be allowed if national interest dictates. Nonetheless, and given hypothetically the existence of such national interests, the participation of foreign entities in acts within our forest lands will never give us the assurance that the welfare of our environment will also be prioritized. History would speak for the long line of cases of violations by foreign entities of our environmental laws, but rarely that the proper sanctions are being implemented, or if they are being made accountable, it is only settled in making them liable to pay fines and damages. Assistance during cases of national interests may be proper in some other ways other than entering into service contracts with foreign entities.

Ways in which the provisions of the 1987 Philippine Constitution and Presidential Decree No. 705 be efficiently employed in relation to the increasing demand and utilization of raw materials from forest lands. Article XII, Section 2 of the 1987 Philippine Constitution, otherwise referred to as the Regalian Doctrine states that, "All lands of the public domain, waters, minerals, coal, petroleum and other mineral oils, all forces of potential energy, fisheries, forests or timber, wildlife, flora and fauna, and other natural resources are owned by the State. With the exception of agricultural lands, all other natural resources shall not be alienated." In view of that, "the exploration, development, and utilization of natural resources shall be under the full control
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and supervision of the State. The State may directly undertake such activities, or it may enter into co-production, joint venture, or production sharing agreements with Filipino citizens or corporations or associations at least sixty per centum of whose capital is owned by such citizens." One of the earliest notable recognition by the Philippine government of the importance of sustainable development taking into consideration the environment was set out in the Constitution which stipulates that, "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." The fundamental right to a healthy environment is enshrined in Section 16, Article II of the 1987 Constitution and environmental rights are viewed as part of basic human rights. In 2008, the United Nations Development Programme (UNDP) and the Supreme Court of the Philippines recognized that while environmental protection programs were on-going, there were few avenues to ensure accountability for effective resource management, to enforce

environmental laws, and to promote public awareness and prevention of environmental damage. From 2009 to 2011, in partnership with the UNDP, the Supreme Court became an implementing partner of the Enhancing Access to the Pillars of Justice Project, which included a major component on environmental justice. In 2009, the Supreme Court, supported by the UNDP, convened a Forum on Environmental Justice bringing together over 600 participants from
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government, non-government and private sectors to identify the difficulties associated with enforcing environmental laws based on actual cases and litigation experiences. A Memorandum of Agreement was signed during the Forum enjoining officials of agencies and institutions from the three branches of the government, representatives of people's organizations and citizen

organizations, local communities, indigenous peoples, and members of civil society to work together to protect the environment by consolidating efforts for the effective implementation of Philippine environmental laws. The Forum also validated the draft Rule of Law Procedure for Environmental Cases. The legislature promulgated in 2010 new Rules of Procedure for Environmental Cases, a landmark instrument representing a significant reform in environmental litigation and protection. The Rules lay down procedures governing the civil, criminal, and special civil actions in all trial courts regarding environmental cases, with a view to protecting and advancing the

constitutional right of the people to health and to a balanced and healthful ecology, and providing a simplified, speedy, and inexpensive procedure for the enforcement of environmental rights under Philippine law. The said set of rules empowers the courts to issue environmental protection orders as an immediate action to protect the environment and the communities affected. Other remedies and order direct government agencies to protect preserve or rehabilitate the environment or stoppage of destructive environment and development activities through the Citizen's Suit provision.
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While promulgation of the said set of rules was a landmark achievement, their effective implementation would not be assured without substantial awareness-raising on the new procedures, and capacity-building amongst the judiciary and other stakeholders. The Rules, known as the Writ of Kalikasan are regarded as the first of their kind in the world and a significant reform mechanism in environmental litigation and protection. They embody the judiciary's commitment towards upholding the environmental rights and development of people and the environment pursuant to the Philippine Constitution and the Johannesburg Principles on the Role of Law and Sustainable Development adopted during the Global Judges Symposium on Sustainable Development in 2002. While still at an early stage, the implementation experiences on environmental justice already show promising results. Since the promulgation of the Rules over a year ago, the newly adopted special remedies were applied in several environmental cases. The first Writ of Kalikasan in the country was issued by the Supreme Court following a major oil pipeline leak. The Court also issued the first Writ of Continuing Mandamus for the rehabilitation of Manila Bay, whereby the Supreme Court formed an advisory committee to monitor compliance of agencies concerned on the Writ. The first temporary environmental protection order involved a mining case in Surigao, and the second was against coal-fired power plants in Cebu.

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In March 2011, the Supreme Court granted a Writ of Kalikasan to three petitioners against Placer Domer, Inc. and the Barric Gold Corporation concerning the Marcopper mining disaster that took place in 1996 in Marinduque, and in July 2011, the Supreme Court ordered the Court of Appeals to hear and decide the case. In the said case, the Rules worked to provide more effective remedies, as there had been five failed attempts to bring the corporation before the courts.174 While the 1987 Constitution provides for the conservation of forest lands and parks, deforestation continues at an unsustainable rate. Yet since 1997, a decade after its promulgation, there has been little significant change in the annual rate of deforestation from the levels in the early 1980s. This state of diminishing forests is reflected in the rate of species loss, where more than half of the birds, amphibians, and mammals endemic to the Philippines - and a relocated in remaining forest lands - are either threatened or facing extinction. Article II, Section 16 of the 1987 Philippine Constitution outlines the State's duties to protect the people's right to our environment and national patrimony. It allows the State to fully control and supervise the ownership, exploration, development, and utilization of the country's natural resources in Article XII, Section 2, subject to the ideals of distributive justice and the common good. Yet massive natural resource extraction and exportation has been proceeding at

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an unsustainable rate. Forest denudation by corporate logging firms and woodbased industries continues.75 Environmental degradation is already occurring on a large scale in the Philippines. Sustainable green growth is critical in our country. Such

phenomenon is attributable to inconsistent laws, inadequate regulations, weak enforcement and lack of funding which in one way or another, are making forest conservation a major challenge. According to the speech of Mr. Renaud Meyer, UNDP Country Director, what make these harsh environmental conditions a travesty of justice is that those who are most affected are often the poor, the marginalized, and the disadvantaged. They lack the power to challenge those responsible for environmental violations, and they lack the means to restore, protect and preserve the environment. Thus, there is a need to broaden access to Environmental Justice. The absence of citizen-friendly procedural remedies is a challenge facing the authorities and the populace as regards addressing the present environmental issues. In reality, access to judicial remedy for environmental defenders and affected communities must be duly provided for, both in policy and procedure, in a not costly and lengthy legal means. As a result thereof, there is the need to popularize the awareness of environmental rights and

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legislation as well as basic human and civil rights among the populace, particularly in those ecologically-critical areas in the country. There are two major classifications of forest lands. The first refers to protection forests while the second are the production forests. Knowing these classification and boundaries is very important as management and activities will depend on what kind of forest is being managed. Unfortunately, the metes and bounds of the forest lines have not been delimited despite the mandate of Article XII, Section 4 of the 1987 Philippine Constitution which states: "The Congress shall as soon as possible, determine by law the specific limits of forest lands and national parks, marking clearly their boundaries on the ground. Thereafter, such forest lands and national parks shall be conserved and may not be increased nor diminished, except by law. The Congress shall provide, for such period as it may determine measures to prohibit logging in endangered forests and watershed areas." Furthermore, prior to the enactment of the 1987 Philippine Constitution, the modes of access to natural resources management was either through a lease, license agreement or permit. In other words, the government issues the permit, and in return, the logging company pays only fees and other charges, keeping for itself the enormous profits from the utilization of the natural resources. Be that as it may, the 1987 Constitution has so wisely moved away from the lease, license or permit system. Now, development and utilization of natural resources can only be done directly by the State, or through colxxvi

production, joint venture or production sharing agreements. The shift is obviously to ensure that the State is able to get a fair return on the utilization of natural resources. Unfortunately, there is as yet no working definition on what is the share of the government in joint venture, co-production or production sharing agreements in forest products utilization. As regards the provisions of President Decree No. 705, the problem lies on the non-implementation of the rewards to informers. Section 78-B thereof states that, "any person who shall provide any information leading to the apprehension and conviction of any offender for any violation of this Code or other forest laws, rules and regulations, or confiscation of forest products, shall be given a reward in the amount of twenty per centum (20%) of the proceeds of the confiscated forest products." This particular provision must be implemented in such ways as to encourage more individuals to take actions on issues regarding the offensive acts against forest lands and the improper utilization of raw materials derived therefrom. The concerned agencies shall engage themselves to diligently encourage the populace to become more vigilant, notwithstanding any monetary rewards that they may get. Furthermore, tax declarations are issued even inside forest lands. As stated in the 1987 Constitution, with the exception of alienable and disposable lands, all natural resources cannot be alienated. Thus, in a long line of cases, the Supreme Court has ruled that titles issued inside forest lands are void from the beginning, as even long, adverse and continuous possessions of these forest
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lands do not ripen into ownership. While this principle is quite clear, the reversion process is very slow. It is common knowledge that there are many forest lands where titles have been issued. Aside from anomalous titles obtaining in forest lands, another issue which affects forest management and leads to conversion of forest lands into other uses is the practice of local government units in issuing tax declarations inside forest lands. Accordingly, not for the forest lands but for the growing crops therein. Although tax declarations are not evidence of ownership, possession of tax declarations especially in the rural areas are treated almost as evidence of ownership. If tax declarations involving growing trees/crops in forest lands are issued, transfers of the same are often made, and after a little while, the use of the lands becomes agricultural or residential. Such is despite the mandate of Section 85 of P.D. No. 705 which reads: "Imprisonment for a period of not less than two (2) nor more than four (4) years and perpetual disqualification from holding an elective or appointive office, shall be imposed upon any public officer or employee who shall issue a tax declaration on real property, without a certification from the Director of the Forest Development and Director of Lands or their duly designated representatives that area declared for taxation purposes is alienable and disposable lands, unless the land is titled or has been occupied and possessed by members of the national cultural minorities prior to July 4, 1955." Lack of financial resources may also be considered as one of the factors that our government must give attention with at present. Budgetary
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requirements are necessary in funding the programs that the concerned agencies must undertake, and the personnel such as forest guards that must be employed, to help ensure the compliance of the populace with the environmental laws. This is in addition to more surveillance equipment that must be purchased such as helicopters and small planes. Another key point that may be considered by the authorities is the strengthening of the partnership agreements of the concerned government agencies with the various sectors in the society and locality, specifically. Local implementation may be easier through such endeavor. The environment has become such an important issue at present. It is indeed imperative that people should be fully informed on what the relevant environmental laws are so that they may be fully aware what are allowed and what are those which are prohibited in relation to the actions we take towards our environment, particularly our utilization of the raw materials that we get from our forest resources. As the number of our population increases, the rise as to the demand of raw materials will consequently have its increase. But through the effective implementation of the provisions of the 1987 Constitution and that of P.D. No. 705, we can control to a certain extent the utilization of our forest resources without compromising their availability for the succeeding years to come.

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Extent of compliance with the provisions of the 1987 Philippine Constitution and that of Presidential Decree No. 705 as observed on the decided cases by the Court. We have a long line of decisions involving disputes in natural resources utilization such as cases concerning ownership of timber resources and disputes over timber license agreements. All these cases, while certainly having environmental implications, dealt with the issue from a conflict-of-rights perspective, thus usually the ratio decidendi of these decisions were based on due process, property rights, the Regalian Doctrine or the law on agrarian reform. First among the cases is the case of People vs. Que (G.R. No. 120365, December 17, 1996). In this case, a ten-wheeler truck was apprehended for having loaded therein illegally cut tanguile lumber inserted in between coconut slabs. When the officers asked for the necessary documents, all the accused could show was a certification from CENRO that he legally acquired the coconut slabs. The accused was charged before the trial court with violation of Section 68 of Presidential Decree No. 705. The trial court found the accused guilty. Accused on appeal, argued that he cannot be convicted for violation of Section 68 because E.O. 277 which amended Section 68 to penalize the possession of timber or other forest products without the proper legal documents did not indicate the particular documents necessary to make the possession legal. Neither did the other forest laws and regulations existing at the time of its
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enactment. But the said argument was not given merit by the court. Section 68 of P.D. 705 provides:
Sec. 68. Cutting, Gathering and/or Collecting Timber, or other Forest Products Without License. Any person who shall cut, gather, collect, remove timber or other forest products from any forest land, or timber from alienable or disposable public land, or from private land without any authority, or possess timber or other forest products without the legal documents as required under existing forest laws and regulations, shall be punished with the penalties imposed under Articles 309 and 310 of the Revised Penal Code: Provided, That in the case of partnerships, associations, or corporations, the officers who ordered the cutting, gathering, collection or possession shall be liable and if such officers are aliens, they shall, in addition to the penalty, be deported without further proceedings on the part of the Commission on Immigration and Deportation.

The Court shall further order the confiscation in favor of the government of the timber or any forest products cut, gathered, collected, removed, or possessed, as well as the machinery, equipment, implements and tools illegally used in the area where the timber or forest products are found. The phrase "existing forest laws and regulations" should be construed to refer to laws and regulations existing at the time of possession of timber or other forest products. Accused's possession of the subject lumber without any documentation clearly constitutes an offense under Section 68 of P.D. 705. Furthermore, the court rejected the argument that the law only penalizes possession of illegal forest products and that the possessor cannot be held liable if he proves that the cutting, gathering, collecting or removal of such forest products is legal. There are two distinct and separate offenses punished under
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Section 68, to wit:


1) Cutting, gathering, collecting and removing timber or other forest products from any forest land, or timbre from alienable or disposable public land, or from private land without any authority; and 2) Possession of timber or other forest products without the legal documents required under existing forest laws and regulations.

In the first offense, one can raise as a defense the legality of the acts of cutting, gathering collecting or removing timber or other forest products by presenting the authorization issued by the DENR. In the second offense, however, it is immaterial whether the cutting, gathering, collecting, and removal of the forest products is legal or not. Mere possession of forest products without the proper documents consummates the crime, Whether or not the lumber comes from a legal source is immaterial because E.O. 277, which amends Section 68, considers the mere possession of timber or other forest products without the proper legal documents as malum prohibitum. Another case involving issues regarding violations of P.D. No. 705 is the case of Epie, Jr. vs. Ulat-Marredo (G.R. No. 148117, March 22, 2007). Petitioners along a national highway in Benguet was found conspiring, confederating, and mutually aiding each other and without any authority of law or without any license or permit granted by the DENR, and with intent of gain and without the knowledge and consent of the owner thereof, did then and there willfully, unlawfully and feloniously possess and transport 870 bd. ft. of BenguetPine lumber. Allegedly the pieces of lumber were found concealed under the

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assorted vegetables like womboc and chili. Worthy of discussion is the case involving a CENRO officer being charged of violation of Section 68, P.D. No. 705. The case is that of Aquino vs. Republic (G.R. No. 165448, July 27, 2009). Petitioner was found remiss on his duty to properly supervise the cutting of the trees wherein he allowed more tress to be cut down not covered by the permit issued. He was held administratively liable. The provisions of P.D. No. 705 clearly punishes anyone who shall cut, gather, collect or remove timber or other forest products from any forest land, or timber from alienable or disposable public land, or from private land, without any authority. In this case, petitioner was charged by CENRO to supervise the implementation of the permit. He was not the one who cut, gathered, collected or removed the pine trees within the contemplation of Section 68 of PD 705. He was not in possession of the cut trees because the lumber was used by Teachers Camp for repairs. Petitioner could not likewise be convicted of conspiracy to commit the offense because all his co-accused were acquitted of the charges against them. In the case of Calub vs. Court of Appeals (G.R. No. 115634, April 27, 2000), private respondent was held liable under Section 68 of P.D. No. 705. Private respondent was apprehended for carrying illegally cut logs and the motor vehicle was seized by the CENRO officers, the vehicle was impounded but the private respondent forcibly took the motor vehicle from the

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impound. Subsequently private respondent was caught the second time around for carrying illegally cut log and their vehicle was seized. Under The Revised Forestry Code authorizes the DENR to seize all conveyances used in the commission of an offense in violation of Section 78. Section 78 states:
Sec. 78. Cutting, Gathering, and/or Collecting Timber, or Other Forest Products without License. Any person who shall cut, gather, collect, remove timber or other forest products from any forestland, or timber from alienable or disposable public land, or from private land, without any authority, or possess timber or other forest products without the legal documents as required under existing forest laws and regulations, shall be punished with the penalties imposed under Articles 309 and 310 of the Revised Penal Code. . . The Court shall further order the confiscation in favor of the government of the timber or any forest products cut, gathered, collected, removed, or possessed, as well as the machinery, equipment, implements and tools illegally used in the area where the timber or forest products are found.

This provision makes mere possession of timber or other forest products without the accompanying legal documents unlawful and punishable with the penalties imposed for the crime of theft, as prescribed in Articles 309-310 of the Revised Penal Code. In the present case, the subject vehicles were loaded with forest products at the time of the seizure. But admittedly no permit evidencing authority to possess and transport said load of forest products was duly presented. These products, in turn, were deemed illegally sourced. Upon apprehension of the illegally-cut timber while being transported without pertinent documents that could evidence title to or right to possession of

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said timber, a warrantless seizure of the involved vehicles and their load was allowed under Section 78 and 89 of the Revised Forestry Code. Note further that petitioners' failure to observe the procedure outlined in DENR Administrative Order No. 59, series of 1990 was justifiably explained. Petitioners did not submit a report of the seizure to the Secretary nor give a written notice to the owner of the vehicle because on the 3rd day following the seizure, Gabon and Abuganda, drivers of the seized vehicles, forcibly took the impounded vehicles from the custody of the DENR. Then again, when one of the motor vehicles was apprehended and impounded for the second time, the petitioners, again were not able to report the seizure to the DENR Secretary nor give a written notice to the owner of the vehicle because private respondents immediately went to court and applied for a writ of replevin. The seizure of the vehicles and their load was done upon their apprehension for a violation of the Revised Forestry Code. It would be absurd to require a confiscation order or notice and hearing before said seizure could be effected under the circumstances. Since there was a violation of the Revised Forestry Code and the seizure was in accordance with law, in our view the subject vehicles were validly deemed in custodia legis. It could not be subject to an action for replevin. For it is property lawfully taken by virtue of legal process and considered in the custody of the law, and not otherwise.
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The case of Director of Forestry vs. Villareal (G.R. No. L-32266, February 27, 1989) is concerned about the registration of a mangrove swamp. Private respondent registered a mangrove swamp which he and his predecessor in interest had been occupying for at least forty years. The Director of Forestry then came to this Court in a petition for review on certiorari claiming that the land in dispute was forest in nature and not subject to private appropriation. He asks that the registration be reversed. The court ruled in favour of the petitioner based on the legislative definition embodied in Section 1820 of the Revised Administrative Code of 1917, which remains not amended up to now, mangrove swamps or manglares form part of the public forests of the Philippines. As such, they are not alienable under the Constitution and may not be the subject of private ownership until and unless they are first released as forest land and classified as alienable agricultural land. Cutting of trees within a private property was the issue in the case of Roldan, Jr. vs. Hon. Madrona (G.R. No. 152989, September 4, 2002. Petitioner is the owner of a parcel of land consisting of about 60,000 square meters. Petitioner applied for a Private Land Timber Permit (PLTP) from the Department of Environment and Natural Resources for him to cut some trees for a proposed road and poultry farm in his property. He also paid all the fees required by the various government agencies.

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While waiting for the permit to be issued, petitioner was allegedly informed by some employees of the DENR that he could proceed with the cutting of trees even though his application was still awaiting approval. Consequently, petitioner proceeded with the cutting of trees and bulldozing of the roadway. He used the cut logs as materials to build his chicken cages. Three weeks later, representatives from CENRO, inter alia, raided petitioner's place, allegedly without a search warrant. An inventory of the cut trees was conducted. The logs were not confiscated but were entrusted to a barangay kagawad since there was allegedly no search warrant at that time. Thereafter, the CENRO representatives came back charging illegal logging but they failed to get the logs, again for alleged lack of search warrant. But they again returned after several days already armed with a search warrant and proceeded to confiscate 872 pieces of sawn lumber/flitches and three felled timber logs. Consequently, a complaint for violation of Section 68 of P.D. 705 was filed against petitioner. The prosecutor finds probable to convict petitioner. The issue, inter alia, that was resolved by the Court is whether a person who cuts trees for his own use within his property without the necessary permit from the DENR and without transporting the same outside said property, be criminally charged for violating P.D. 705.

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Section 68 of P.D. 705, other known as the Revised Forestry Code of the Philippines provides that: "Any person who shall cut, gather, collect, remove timber or other forest products from any forest land, or timber from alienable or disposable public land, or from private land, without any authority, or possess timber or other forest products without the legal documents as required under existing forest laws and regulations, shall be punished with the penalties imposed under Articles 309 and 310 of the Revised Penal Code; Provided, That in case of partnerships, associations, or corporations, the officers who ordered the cutting, gathering, collection or possession shall be liable, and if such officers are aliens, they shall, in addition to the penalty, be deported without further proceedings on the part of the Commission on Immigration and Deportation. The Court shall further order the confiscation in favor of the government of the timber or any forest products cut, gathered, collected, removed, or possessed, as well as the machinery, equipment, implements and tools illegally used in the area where the timber or forest products are found. Lastly, and the most celebrated case concerning the environment is the case of Oposa vs. Factoran (G.R. No. 101083, July 30, 1993). In a broader sense, the petition bears upon the right of Filipinos to a balanced and healthful ecology which the petitioners dramatically associate with the twin concepts of "inter-generational responsibility" and "intergenerational justice." Specifically, it touches on the issue of whether the petitioners have a cause of action to "prevent the misappropriation or
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impairment" of Philippine rainforests and "arrest the unabated hemorrhage of the country's vital life support systems and continued rape of Mother Earth. The principal parties in this case are all minors duly represented and joined by their respective parents, while the original defendant was Factoran, Jr., then Secretary of the DENR. The complaint was instituted as a taxpayers' class suit, and alleges that the plaintiffs are entitled to the full benefit, use and enjoyment of the natural resource treasure that is the country's virgin tropical forests. The minors further asseverate that they "represent their generation as well as generations yet unborn." They prayed to cancel all existing timber license agreements in the country; and order the defendants, his agents, representatives and other persons acting in his behalf to cease and desist from receiving, accepting, processing, renewing or approving new timber license agreements. The complaint focuses on one specific fundamental legal right - the right to a balanced and healthful ecology which, for the first time in our nation's constitutional history, is solemnly incorporated in the fundamental law. Section 16, Article II of the 1987 Constitution explicitly provides:
Section 16. 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.

While the right to a balanced and healthful ecology is to be found under the Declaration of Principles and State Policies and not under the Bill of Rights, it
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does not follow that it is less important than any of the civil and political rights enumerated in the latter. Such a right belongs to a different category of rights altogether for it concerns nothing less than self-preservation and selfperpetuation - aptly and fittingly stressed by the petitioners - the advancement of which may even be said to predate all governments and constitutions. As a matter of fact, these basic rights need not even be written in the Constitution for they are assumed to exist from the inception of humankind. The right to a balanced and healthful ecology carries with it the correlative duty to refrain from impairing the environment. What distinguishes Oposa v. Factoran however is that it is our first case which expressly interprets the constitutional right to a balanced and healthful ecology found in the 1987 Constitution. The case is also the first and so far the only Philippine case which deals with the issue of how to value our natural resources not only with respect to the present but also for the future generations. Hence, the Oposa case is a landmark decision for this reason.76

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A Malcolm Lecture on Constitutional Law, March 8, 1994 entitled "The Right to a Balanced and Healthful Ecology: The Odyssey of a Constitutional Policy" by Antonio G. M. La Vina, University of the Philippines

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Chapter V Summary, Findings, Conclusions and Recommendations This chapter presents the summary, findings, conclusions and

recommendations of the legal researchers after conducting the study.

Summary During the decades since the emergence of ecological degradation as an issue of great global concern, environmental law has been the primary mechanism used to promote natural resources conservation, control and other forms of environmental protection. This legal research entitled, Philippine Forest Frontiers: An Anal ysis of the 1987 Constitutional Provisions and that of Presidential Decree No. 705 vis--vis the Demand for Raw Materials, aims to provide an in-depth analysis of the directives of both the constitutional provisions and that of Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines. Specifically, it aims to provide enlightenments on the following main points, to wit: (1) in what ways do the provisions of the 1987 Philippine Constitution and that of Presidential Decree No. 705 are in conflict with the human needs and wants at present; (2) how can the provisions of the 1987 Philippine Constitution and that of Presidential Decree No. 705 be efficiently employed in relation to the increasing demand and utilization of raw materials from forest lands; and (3) what is the extent of compliance with the provisions of the 1987 Philippine
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Constitution and that of Presidential Decree No. 705 as observed on the decided cases by the Court. To answer the aforesaid legal problems, the legal researchers utilized the descriptive expository case typed method of research. Further, cases also serve as sources of valuable information in pursuing this legal research.

Findings Upon careful analysis of the data gathered from various sources, and based from the decided case by the Court, the legal researchers were able to come up with the following findings of this study, to wit: 1. On how the constitutional provisions and that of President Decree. No. 705 are in conflict with the human needs and wants at present. a) The 1987 Philippine Constitution embodies therein valuable mandates which are intended primarily for the protection and conservation of our natural resources, including our forest lands. Section 16 of Article II tackles about the rights of the people to a balanced and healthful ecology. Pursuant to the said provision, strict implementation as regards the issuance and banning of timber license agreements is inevitable despite the increasing demand of the populace for raw materials, particularly from the forest lands. In view thereof, violators often resort to stealthy schemes to perpetrate their desire to utilize our natural resources,
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notwithstanding the assured penalties attached to their acts and most, the drawbacks upon our natural resources. The decrease in the grant of timber licenses paves an open access for the illegal loggers to cut trees. b) The Regalian Doctrine being cherished under Section 2 of Article XII also runs aground with the increasing demand of the populace for raw materials. It is said that all lands of the public domain and all forces of potential natural resources are owned by the State. Corollary with the said declaration, the exploration, development and utilization of our natural resources shall be under the full control and supervision of the State. But proliferating proscribed undertakings such as illegal logging do exist on various parts of our country. Also, the State may directly undertake and enter into co-production, joint venture, or production sharing agreements with Filipino citizens or

corporations or associations having at least sixty per centum of whose capital is owned by such citizens. Known to such a considerable extent is the fact that the Philippines is a tropical country rich in natural resources. In view thereof, foreign players nowadays are being able to intrude against the blanket of protection for our resources provided for by our local laws. Having said so, the increasing demand to utilize the raw
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materials that we get from our ambiances is already impinging the interest of the populace at the pleasure of the uncontrolled individuals. c) Presidential Decree No. 705 otherwise known as the Revised Forestry Code of the Philippines is one of the special laws intended to provide protection to our natural resources through directives and sanctions provided therein. Section 71 mandates the protection of our national parks against destruction and of preserving the natural resources that may be found therein. But due to the proliferation in the urbanized places of informal settlers and vagrants, the increasing demands and needs of some are seen not only confined to the utilization of raw materials from our resources but also for things like lodging and accommodation. Moreover, Sections 20 and 57 deals with the grant of licenses and permits, and the conduct of activities within our forest lands for a period of twenty-five (25) years is considered as in conflict with the needs of the contemporary setting considering that with the advent of the modern schemes and tools and machineries in the conduct of operations, serious impacts will be caused to our forests. Worthy to mention in this instance is the fact that P.D. 705 was enacted thirty-eight years (38) years ago, thus, the effects of 25-year concession activities
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before may not be anymore the same as compared to the present context. Under Section 59, it is mandated in P.D. 705 that in the evaluation of applications of corporations, increased Filipino equity and participation beyond the 60% constitutional limitation shall be encouraged xxx and that the applicant with more Filipino equity and participation shall be preferred. At the present context, we Filipinos must be given not just the priority but the sole authority to utilize our own resources, thus, the 60% constitutional limitation is in conflict with our needs considering that foreign entities are given the chance to also engage into concerted activities within our forest lands while the local demand for the raw materials are not fully addressed by the authorities. Giving foreign entities with opportunities to make use of what we naturally have could be a source of violations and distractions. Lastly, Section 62 which provides the sixty (60) percent Filipino equity in the exploration, utilization and development of our resources for raw materials would not serve the best interest of the Filipino people considering that we must be the priority in the developing and consuming our own resources, without allowing any foreign entity venturing into it at the same time. The local demands and needs of the people must first be served above all.
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2. As regards the ways on how the constitutional provisions and that of Presidential Decree No. 705 can be efficiently employed in addressing the increasing demand and utilization of raw materials from forest lands. a) Anchored on the main premise that 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, the programs for the protection and conservation of our natural resources against its licentious utilization should be beyond being theoretical and must go in conjunction with enforcing the means to ensure accountability among those who in one way or another may go against the mandate of the law. b) In promoting environmental protection through the proper and efficient execution of both the constitutional provisions and that of President Decree No. 705, public awareness plays a dynamic role for its attainment. c) The Rules of Procedure for Environmental Cases enacted by the legislature must be observed to serve its purpose of advancing a simplified, speedy, and inexpensive procedure for the

enforcement of the environmental rights under the Philippine law.

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d) Rewards to informers under Presidential Decree No. 705 must be realised by engaging the concerned agencies to diligently encourage the citizens to become more vigilant, this for the existence of any remuneration in return. e) Furthermore, Presidential Decree No. 705 provides mechanisms directing the giving of rewards to informers as a form of remuneration for their being vigilant in reporting acts committed in violation of the law. The aforesaid law also mandates the limited utilization, exploitation, occupation or possession of any forest land as well as the conduct of activities therein. All forest reservations may be open only to uses that are not inconsistent with the principal objectives of the reservation. f) Budgetary requirements in funding the various programs and activities in lined with the protection of our natural resources must also be given ample attention by the government. g) Lastly, partnership agreements between the government and other institutions must be strengthened to ensure effective observance and enforcement of both laws in the local arena and nationwide in general. 3. Based from the cases decided upon by the Court throughout the years, the mandates and procedural requirements of both pioneering laws are consistently been transgressed. Most of the cases tackle the
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issues about the ownership and concerns about timber resources and disputes over timber license agreements. The cases included herein while certainly have environmental implications, dealt with the issue from a conflict-of-rights perspective, such on the point of view of due process, property rights, the Regalian Doctrine and right to a decent living. The cases also dwell on the procedural aspect in enforcing the laws such as the confiscation of the raw materials extracted and the other proceeds thereof. Among the cases, the case of Oposa vs. Factoran is the landmark case to discuss about the importance of the conservation of our natural resources anchored on the premise of maintaining them for the future generations.

Conclusions From the foregoing findings, the legal researchers arrived on the following conclusions, to wit: 1. Clearly, the laws must evolve and adapt with the increasing needs and demands of the people at a given setting. In the Philippines, the 1987 Constitution stands tall to serve as the fundamental law which guarantee the rights of every Filipino. On the other hand, Presidential Decree No. 705 otherwise known as the Revised Forestry Code aims to develop, protect and rehabilitate our forest resources in order to ensure their continuity in productive condition. These two chief
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environmental laws which are deemed fitting to address the concerns as regards the utilization and conservation of our forest resources contain conflicting provisions with the contemporary needs and demands of the populace. Particularly, Section 16, Article II, and Section 2 of Article XII of the 1987 Philippine Constitution are seen to be in conflict with the present demands of the populace and industries for raw materials from our forest reserves. On the other hand, Sections 71, 20 and 57, 59 and 62 of Presidential Decree No. 705 are identified as in conflict with the increasing needs and demands at the present context. Worthy to mention is the fact that it is almost more than 38 years ago when the Revised Forestry Code was enacted into law. The prevailing conditions then are much more different from what we have today in terms of the available resources and the demands of the people and industries for raw materials. Laws must be adaptive, thus, failure to address the needs render the said laws in consistent and stand in conflict with the former. 2. The provisions of both the 1987 Philippine Constitution and of Presidential Decree No. 705, despite the existence of the identified conflicting provisions, can be efficiently employed through intensive public awareness campaigns, strict compliance with the established rules of procedures concerning environmental cases, ensuring the existence of sufficient budgetary reserve for the implementation of the
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various programs, and venturing into further partnership agreements between the governing authorities and with other concerned institutions. Possible amendments of the said provisions should also be taken into consideration so as to responsively address their conflicting nature with that of the present context of utilization, where there is an increasing demand for raw materials from our forest reserves. 3. As elucidated in the cases, the provisions of both the 1987 Philippine Constitution and Presidential Decree No. 705 have consistently been transgressed through non-compliance with the mandates and

procedures required therein. From the cases employed by this legal research, it can be deduced that throughout time, from the passage of these two pioneering laws up to the present, issues about ownership of timber resources, timber license agreements are predominant. The cases dealt with the issue from a conflict-of-rights perspective.

Recommendations Protecting our forest resources will not only pave the way towards preserving our biodiversity and defend the rights of every individual. It is also one of the cost effective ways of halting climate change so that we may have sustainable years ahead of us. In light of the findings and conclusions presented by this study, the following are the recommendations of the legal researchers
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1. Education is the basic tool to conserve and protect our forests from degradation. The provisions of the 1987 Constitution as well as that of Presidential Decree No. 705 will be motionless if we will just allow them to be read from the texts. Education has all the power to change everything. The people, government, and other institutions must capitalize in programs aiming to educate the populace of the importance of our forest resources and the laws pertinent for its protection and conservation. Education is more than training. It is about learning in order to effectively address the environmental concerns. 2. As regards the programs of the government, ventures into the alternatives must be in the frontline. Although our forests to a certain extent are renewable resources, nonetheless, they dissipate on a fast pace. Thus, it is imperative that we consider the alternative resources in order to balance the needs and wants of the populace and the availability of our natural resources. For instance, in simple parlance, the use of lesser papers would mean cutting lesser trees. Lesser utilization of gasoline and plastic would mean reduced extraction of oils from our forests. 3. Afforestation and reforestation are only two of the various means to replenish our denuded forests. For every tree that has been cut would require years to allow another one to grow. Collaborative efforts must
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be instituted to mobilize the populace to do their fair share in restoring our forests for future generations to come. 4. Local Government Units have participation and task in the

implementation and enforcement of Environmental Laws. This is pursuant to a joint memorandum Circular no. 98-01 and Department of Environment and Natural Resources (DENR) Administrative Order no. 30 series of 1992. In the said administrative order, the DENR have delegated to the DILG and the LGUs the implementation and enforcement of environmental laws particularly P.D. 705. The

Department of Interior and Local Government should conduct periodic or annual inspection of LGUs compliance with their respective task in the implementation and enforcement of community based project based on the forestry laws. 5. Private corporations especially those involved in the exploration and exploitation of natural resources mainly for profit. They also have the duty to take into consideration the effects of their activities on the environment and the communities. It is called corporate social responsibility (CSR) these refers to CSR policy functions as a built-in, selfregulating mechanism whereby a business monitors and ensures its active compliance within the spirit of the law, ethical standards, and international norms. CSR is a process with the aim to embrace responsibility for the company's actions and encourage a positive
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impact

through

its

activities

on

the

environment,

consumers,

employees, communities, stakeholders and all other members of the public sphere who may also be considered as stakeholders. The Securities and Exchange Commission which is the government agency tasked to regulate private corporations activities must be able to formulate guidelines that would compel every private corporations in the country to institute corporate policies that incorporates corporate social responsibility. 6. Partial repeal of the conflicting provisions of the 1987 Constitution and of Presidential Decree No. 705, in relation to the increasing demands and needs for raw materials. 7. To conduct further researches as offshoot of this undertaking, anchored on the related environmental laws, and administrative orders and circulars, such as that which implements a moratorium in cutting off trees (Executive Order No.23).

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