EXECUTIVE ORDER NO. 871
EXECUTIVE ORDER NO. 871 - CREATING
THE PHILIPPINE DENDRO GASIFIER CORPORATION AND PROVIDING FUNDS THEREFOR
WHEREAS,
there exists at present a global recession brought about by numerous
factors among which is the unpredictable price of oil;
WHEREAS, the country’s oil importations amount to billions of dollars
each year, constituting a substantial portion of our annual
expenditures and thereby jeopardizing other vital industries;
WHEREAS, the Government has embarked on an energy conservation program
aimed at reducing its oil importations and at the development and
utilization of other alternative sources of energy;
WHEREAS, the nationwide adoption and implementation of energy
conservation measures will result in large savings in the country’s
expenditures in oil importation, which savings may be utilized to
develop other vital industries;
WHEREAS, Executive Order Nos. 655 and 673 enjoin the promotion and
widespread application of gasifier equipment in transport vehicles and
farm machineries;
WHEREAS, extensive studies coupled with successful experiments show
that gasifiers can be utilized to run motor vehicles, bancas, farm
equipment and other machineries in order to considerably reduce the
country’s oil importations and immensely uplift the various sectors of
society dependent on oil;
WHEREAS, gasifiers are pollution-free and provide for a more economical
operation of vehicles and machineries being utilized for
transportation, agricultural, industrial and commercial purposes;
WHEREAS, the power of the President of the Philippines to reorganize
the national and other units of the Government includes the authority
to create new entities, agencies and instrumentalities of the
Government;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution and by
Presidential Decree No. 1416, as amended by Presidential Decree No.
1772, do hereby order:
Section 1. Creation of the PHILIPPINE DENDRO GASIFIER
CORPORATION. — There is hereby created a body corporate to be known as
the PHILIPPINE DENDRO GASIFIER CORPORATION, hereinafter referred to as
the CORPORATION, which shall be under the Ministry of Human
Settlements. The CORPORATION shall have its principal office in Metro
Manila, and may have such other branches or subsidiaries in other areas
in the Philippines as it may deem proper or necessary.
Sec. 2. Purposes and Objectives. — The CORPORATION
shall have the following purposes and objectives:
(a)
To develop, manufacture, produce, improve, distribute, market, sell,
repair and maintain gasifier equipment of all kinds and nature in line
with the Government’s program of reducing the country’s dependence on
imported oil and in pursuance of the State’s policy of securing the
well-being of the Filipino people;
(b) To finance
or assist fishermen, farmers, operators and other individuals or
cooperatives in obtaining financing terms for the lease, purchase or
acquisition of gasifier equipment, for the production of charcoal
and/or for the planting, harvesting and marketing of fuel-wood;
(c) To promote
scientific research on anti-pollution and ecological upliftment
measures, energy conservation and alternative sources of energy;
(d) To
encourage, assist and finance the invention, development and
utilization of gasifier and similar gas-saving devices, and to publish
and disseminate up-to-date information on gasifier equipment;
(e) To
sponsor, hold or coordinate or participate in conventions, seminars and
work-shops on energy conservation, anti-pollution and related projects
in the Philippines or abroad;
(f) To assist
universities and academic institutions in their studies on gasifier and
similar gas-saving devices, and to encourage and grant scholarships for
advanced studies in fields relevant to the Government’s anti-pollution,
energy conservation and ecological upliftment program;
(g) To assist
and coordinate with other appropriate government agencies in the
implementation of the Government’s anti-pollution, energy conservation
and ecological upliftment program; and
(h) To
coordinate with the appropriate government agencies in adopting and
implementing a program aimed to promote the use of gasifiers and other
gas-saving devices.
Sec. 3. Powers and Functions. — The CORPORATION
shall have the following powers and functions in addition to those
provided for in the other sections of this Executive Order:
(a)
To adopt and use a corporate seal;
(b) To sue and
be sued in its corporate name;
(c) To adopt
such rules and regulations as it may deem proper or necessary for
implementation of its purposes and objectives;
(d) To succeed
by its corporate name, and to acquire and possess properties, rights
and interests of whatever kind and nature, and mortgage, pledge,
alienate, encumber or otherwise dispose of the same;
(e) To award,
enter into, make, execute, perform and carry out domestic or foreign
contracts of whatever kind and nature;
(f) To invest
in, and purchase or otherwise acquire, own, hold, use, lease, grant,
mortgage, pledge, sell, assign, convey, transfer, exchange or otherwise
deal with, real and/or personal properties of every kind and nature,
including shares of stock, bonds, debentures, notes, securities and
other evidences of indebtedness or obligations of other corporations,
whether domestic or foreign, and whether government or
private;
(g) To act as
general or operating managers, representatives, or agents of
agricultural, commercial and/or industrial concerns of whatever kind
and nature, and to engage in the promotion, assistance, encouragement,
development and expansion of any lawful business in the Philippines or
abroad;
(h) To obtain
loans, borrow funds and/or arrange financing or credit assistance of
whatever kind and nature from all sources, whether domestic or foreign
and whether government or private, and to mortgage, pledge or otherwise
encumber any of its properties and assets for the purpose of securing
or guaranteeing the performance or fulfillment of any obligation it may
undertake for itself or for other entities in which it may be
interested;
(i) To levy,
assess and collect such fees, charges assessments as may be necessary
or proper to support, finance and maintain its operations;
(j) To perform
such other acts and transact such other business as may be incidental
or necessary to carry out its purposes and objectives; and
(k) To
exercise all the powers of a corporation under the Corporation Law,
insofar as these powers are not inconsistent with the provisions of
this Executive Order.
Sec. 4. The Board of Trustees; Composition; Term
and Compensation. — The CORPORATION shall be governed, and its
activities and properties shall be controlled and managed, by a Board
of Trustees, hereinafter referred to as the Board, which shall be
composed of a Chairman, a Vice-Chairman and five (5) members. The
Minister of Human Settlements shall be the ex-officio Chairman of the
Board. The President of the CORPORATION who shall be appointed in
accordance with Sec. 7 hereof, shall be the ex-officio Vice-Chairman
of the Board. The Minister of Trade and Industry, the Minister of
Natural Resources, the Administrator, Farm System Development
Corporation and the General Manager, National Dendrothermal Development
Corporation shall be ex-officio members of the Board.
The President of the Philippines shall appoint, as member of the Board,
a representative from the private sector who shall serve for a term of
three (3) years, unless sooner removed by the President of the
Philippines for any cause. The appointive member shall be eligible for
reappointment after the expiration of his term.
In the absence of the Chairman, the Vice-Chairman shall act as
Chairman. The Chairman, the Vice-Chairman and the ex-officio Board
members may designate their respective representatives to attend Board
meetings in their absence. Such representatives shall attend Board
meetings and the meetings of any committee assigned to their
principals, and receive the corresponding per diems.
The Board shall meet regularly once a month and as often as the
exigencies of the service demand. The presence of at least four (4)
members or their representatives shall constitute a quorum, and the
vote of a majority of the members or representatives present there
being a quorum shall be necessary for the adoption of any rule,
regulation, resolution, decision or any other act of the Board.
The Members of the Board or their representatives shall receive per
diems, as the Board may approve, for each Board meeting actually
attended by them; PROVIDED, That such per diems shall not exceed ONE
THOUSAND PESOS (P1,000.00) during any one (1) month for each member or
representative.
Sec. 5. Powers and Functions of the Board. — The
Board shall have the following powers and functions:
(a)
To formulate policies, guidelines and programs to effectively implement
and carry out the purposes and objectives of the CORPORATION;
(b) To
prescribe, review and revise the amount of the fees, charges and
assessments levied and collected for the support and maintenance of the
operations of the CORPORATION;
(c) To control
the management, operation and administration of the
CORPORATION;
(d) To
promulgate such rules and regulations as may be necessary or proper for
the effective exercise of powers and functions as well as the discharge
of the duties and responsibilities of the CORPORATION, its officers and
employees;
(e) To
authorize such expenditures of the CORPORATION as may be necessary or
proper for the effective management, operation and administration of
the CORPORATION;
(f) Upon the
recommendation of the President of the CORPORATION, to determine and
approve the CORPORATION’s organizational and administrative structure
or pattern, and to establish and fix, review, revise and adjust the
appropriate compensation scheme of the officers and employees of the
CORPORATION, with reasonable allowances, bonuses and other incentives
as may be recommended by the President of the CORPORATION;
(g) To adopt
the annual and supplemental budget of receipts and expenditures of the
CORPORATION;
(h) To
appoint, promote, transfer, remove, suspend or otherwise discipline the
Executive Vice-President and other officers of the CORPORATION
occupying executive and senior management positions;
(i) To
exercise all the general powers necessary or incidental to the
attainment of the purposes and objectives of the CORPORATION; and
(j) To do any
and all acts as may be necessary or proper for the exercise of the
powers and functions of the CORPORATION;
Sec. 6. Officers of the CORPORATION . — The
CORPORATION may have an Executive Vice-President and such
Vice-Presidents, Assistants Vice-President and other officials as may
be required for the effective operation of the CORPORATION. Except as
provided in Sec. 5(h) hereof, the officers of the CORPORATION shall
be appointed by the President of the CORPORATION, subject to
confirmation by the Board.
Sec. 7. The President; His Term and Remuneration.
— The President of the CORPORATION shall be appointed by, and shall
serve at the pleasure of, the President of the Philippines. The salary
of the President of the CORPORATION shall be fixed by the Board,
subject to the approval of the President of the Philippines.
Sec. 8. Powers and Duties of the President. — The
President of the CORPORATION shall be the Chief Executive Officer of
the CORPORATION. He shall exercise the following powers and duties:
(a)
To execute the policies, guidelines and programs approved by the Board,
and to be responsible for the efficient discharge of management and
operational functions;
(b) To submit
for the consideration and approval of the Board proposed measures,
policies, guidelines and programs as he may deem necessary or proper
for the effective implementation of the purposes and objectives of the
CORPORATION;
(c) To direct
and supervise the management, operation and administration of the
CORPORATION and, for this purpose, he may delegate any or some of his
administrative responsibilities and duties to the other officers of the
CORPORATION;
(d) To
execute, on behalf of the CORPORATION, all contracts and agreements
which the CORPORATION may enter into, and to execute, accomplish and
deliver any and all documents relative to such contracts and
agreements;
(e) To
represent the CORPORATION in all dealings with other offices, agencies
and instrumentalities of the Government, and with all other persons or
entities, whether domestic or foreign and whether government or
private;
(f) To
appoint, promote, transfer, remove, and suspend or otherwise discipline
the officers and employees of the CORPORATION, except those appointed
by the BOARD;
(g) To vote
all stocks owned or controlled by the CORPORATION; and
(h) To
exercise such other powers and perform such other duties as may be
vested or reposed upon him by the Board.
Sec. 9. Assistance from the Government. — The
CORPORATION may call upon any Ministry, Bureau, Office, Agency or
instrumentalities of the Government, including government-owned or
controlled corporations, for such assistance as it may need in the
pursuit of its purposes and objectives.
Sec. 10. Capitalization. — The CORPORATION shall
have an authorized capital stock of ONE HUNDRED MILLION PESOS
(P100,000,000.00), Philippine Currency, divided into One Hundred
Thousand (100,000) shares with a par value of One Thousand Pesos
(P1,000.00) per share. Of the authorized capital stock, TWENTY MILLION
PESOS (P20,000,000.00) divided into Twenty Thousand (20,000) shares
with par value of One Thousand Pesos (P1,000.00) per share shall be
subscribed to and paid by the Government of the Republic of the
Philippines. The said amount shall be set aside and appropriated out of
the Casino Trust Fund.
Subject to the approval of the President of the Philippines, the
remaining Eighty Thousand (80,000) shares shall be subscribed to by the
Government of the Republic of the Philippines out of available funds in
the National Treasury, or by any government financial institution or
government-owned or controlled corporation. A part of the said shares
may also be subscribed to by any interested private investor, whether
juridical or natural; PROVIDED; That in no case shall the Government
lose majority control over the total number of issued shares of the
CORPORATION.
Sec. 11. Joint Venture with the Private Sector. —
Notwithstanding any provision of law, rule or regulation to the
contrary, the CORPORATION is hereby authorized to enter into any joint
venture with any private entity, corporation, individual or group,
whether foreign or domestic, in the pursuit of its purposes and
objectives.
Sec. 12. Incentives for the Use of Gasifiers. —
The CORPORATION in coordination with the Kilusang Kabuhayan at
Kaunlaran (KKK) shall formulate a liberal lending program to finance
the lease, purchase or acquisition of gasifier equipment for all
livelihood projects. The CORPORATION and the KKK shall avail of the
facilities of the Philippine National Bank, the Development Bank of the
Philippines and the Land Bank of the Philippines, in the implementation
of the financing program designed to assist gasifier equipment
users.
All persons, whether natural or judicial, including cooperatives who
lease, purchase or acquire, and utilize and employ gasifier equipment
shall be given priority in their application for any franchise, permit
or certificate of public convenience issued by the appropriate
government agency.
Sec. 13. Auditor. — The Chairman of the Commission
on Audit, shall be the ex-officio Auditor of the CORPORATION. For this
purpose, he may appoint a representative who shall be the Auditor of
the CORPORATION, assisted by the necessary personnel in the performance
of his duties. The number and salaries of the Auditor and his personnel
shall be determined by the Chairman of the Commission on Audit and paid
by the CORPORATION.
Sec. 14. Legal Counsel. — The Office of the
Government Corporate Counsel shall be the Legal Counsel of the
CORPORATION. For the services of the staff of the Office of the
Government Corporate Counsel, the CORPORATION shall appropriate and pay
such amount as may be assessed by the Government Corporate Counsel to
defray the transportation and representation expenses of the lawyers in
the Office of the Government Corporate Counsel who may be assigned to
handle the legal matters of the CORPORATION.
Sec. 15. Annual Report. — The CORPORATION shall
render to the President of the Philippines an annual report on its
operations and accomplishments.
Sec. 16. Applicability of the Corporation Law. —
The provisions of the general corporation law, insofar as they are not
inconsistent with the provisions of this Executive Order or with the
purposes and objectives of the CORPORATION, shall apply to the
CORPORATION.
Sec. 17. Separability Clause. — The provisions of
this Executive Order are hereby declared to be separable, and if any
provision or section of this Executive Order or application thereof to
any person or circumstance should for any reason be held invalid for
unconstitutional, such invalidity or unconstitutionality shall not
affect the other provisions or section of this Executive Order.
Sec. 18. Effectivity. — This Executive Order shall
take effect immediately.
Done in the City of Manila,
this 12th day of February, in the year of Our Lord, nineteen hundred
and eighty-three.