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PRESIDENTIAL DECREE NO. 1128
PRESIDENTIAL DECREE NO. 1128 -
FURTHER AMENDING REPUBLIC ACT NUMBERED SIX THOUSAND ONE HUNDRED
SEVENTY-THREE, AS AMENDED, OTHERWISE KNOWN AS THE OIL INDUSTRY
COMMISSION ACT
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WHEREAS, in
order to ensure prompt and effective execution and enforcement by the
Oil Industry Commission of its decision, orders, rules and regulations,
its power to punish summarily for contempt must be enlarged to include
instances of willful failure or refusal, without just cause, to comply
with its decisions, orders, rules and regulations;chanroblesvirtualawlibrary
WHEREAS, for the abovementioned purpose, it is likewise necessary that
the Commission be empowered to impose administrative fines for
violations of its decisions, orders, rules and regulations, and to
assess and collect surcharges on delinquent payments of fees;chanroblesvirtualawlibrary
WHEREAS, a procedure for appeal from decisions or orders of the
Commission in cases involving matters other than the fixing of prices
of petroleum products has to be provided;chanroblesvirtualawlibrary
WHEREAS, in view of the foregoing requisites, the charter of the Oil
Industry Commission needs to be amended;chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Republic of
the Philippines, by virtue of the powers vested in me by the
Constitution, do hereby order and decree, as part of the law of the
land, the following amendments of Republic Act Numbered Six Thousand
One Hundred Seventy-Three, as amended:cralaw:red
Section 1. Section two of the Act is hereby amended
to read as follows:cralaw:red
"Sec. 2. Definition of Terms. —chanroblesvirtualawlibrary
"(a) 'Commission' shall mean the Oil Industry
Commission.
"(b) 'Petroleum' shall be construed to mean a complex
mixture of 84 to 87 percent carbon, 13 to 11 percent hydrogen, and 1 to
4 percent impurities such as nitrogen, sulfur, and helium. It shall
include products commercially known as natural gas, gasoline and
kerosene in liquid form and a wide range of lubricating oils, asphalt
and pitch in solid state. chanroblesvirtualawlibrary
"(c) 'Petroleum products' shall mean products formed
in the course of refining crude petroleum through distillation,
cracking, solvent refining and chemical treatment, coming out as
primary stocks from the refinery like: LPG, naphtha gasolines,
solvents, kerosenes, aviation turbine fuels, automatic/industrial
diesel oils, industrial/residual fuel oils, waxes and petrolatums,
asphalts, bitumins, coke and refinery sludges, or such refinery
petroleum fractions which have not undergone any process or treatment
as to produce separate chemically defined compounds in a pure or
commercially pure state; and to which various substances may have been
added to render them suitable for particular uses, provided that the
resultant product contains not less than 50% by weight of such
petroleum products."
Section 2. Section 2 of the Act is hereby renumbered
as Section 3 and paragraph (d) thereof is amended to read as follows:cralaw:red
"Sec. 3. (d) To protect PETROLEUM dealers and
distributors from unfair and onerous trade conditions. chanroblesvirtualawlibrary
Section 3. Section 3 of the same Act is hereby
renumbered as Section 4 thereof.
Section 4. Section 4 of the same Act is hereby
renumbered as Section 5 thereof.
Section 5. Section 5 of the same Act is hereby
renumbered as Section 6 thereof and amended to read as follows:cralaw:red
"Sec. 6. Staff— The Commission shall appoint and
maintain an adequate staff, which shall include a Secretary-EXECUTIVE
DIRECTOR who shall be a member of the Philippine Bar with at least five
years experience in the active practice of law in the Philippines or in
the discharge of an office requiring as an indispensable requisite
admission to the practice of law in the Philippines. HE SHALL BE THE
RECORDER AND OFFICIAL REPORTER OF THE COMMISSION AND SHALL HAVE
AUTHORITY TO ADMINISTER OATH IN ALL MATTERS COMING UNDER THE
JURISDICTION OF THE COMMISSION. HE SHALL BE THE CUSTODIAN OF MINUTES OF
THE COMMISSION, AND OF REPORTS, DOCUMENTS AND PAPERS FILED IN
CONNECTION WITH ANY CASE OR PROCEEDINGS BEFORE THE COMMISSION. HE SHALL
LIKEWISE BE RESPONSIBLE FOR THE EFFECTIVE IMPLEMENTATION OF THE
POLICIES, RULES AND DIRECTIVES PROMULGATED BY THE COMMISSION, SHALL
COORDINATE AND SUPERVISE THE ACTIVITIES OF THE DIFFERENT OPERATING
UNITS AND SHALL PERFORM SUCH FUNCTIONS AS MAY BE ASSIGNED TO HIM BY THE
CHAIRMAN AND/OR BY THE COMMISSION.
"The members of the technical staff, except for those performing purely
clerical functions, shall possess at least a bachelor's degree in the
line of specialization required by their respective positions:
Provided, That except as to positions which are policy-determining
highly technical or primarily confidential, all positions in the
Commission are subject to the provisions of the Civil Service Law and
Rules, but are exempt from the regulations of the Wage and Position
Classification Office."
Section 6. Section 6 of the Same Act as is hereby
renumbered as Section 7 and Paragraph (d) thereof is amended to read as
follows:cralaw:red
"Sec. 7. (d) To encourage and assist in the
organization of associations of Filipino Oil AND PETROLEUM dealers and
distributors throughout the Philippines, public utility operators, oil
AND PETROLEUM consumers, and other similar groups, through the
formation of cooperatives or through other group action."
Section 7. Section 7 of the Act is hereby renumbered
as Section 8 thereof.
Section 8. Section 8 of the Act is hereby renumbered
as Section 9 and paragraph (b) thereof is amended to read as follows:cralaw:red
"Sec. 9. (b) Require all persons, corporations and
other entities engaged in the petroleum industry and their associations
or institutes, to furnish it with such relevant information as it may
need to discharge its duties under this Act, and to exercise its
functions and powers under Section SEVEN, EIGHT AND TEN OF THIS ACT."
Section 9. Section 9 of the Act is hereby renumbered
as Section 10 thereof.
Section 10. Section 10 of the Act is hereby
renumbered as Section 11 thereof and amended to read as follows: chanroblesvirtualawlibrary
"Sec. 11. Commission Procedures. — All inquiries,
studies, hearings, investigations and proceedings conducted by the
Commission shall be governed by rules adopted by the Commission, and in
the conduct thereof the Commission shall not be bound by the technical
rules and evidence; Provided, that the Commission may summarily punish
for contempt by a fine not exceeding five hundred pesos or by
imprisonment not exceeding thirty days or both, any person guilty of
such misconduct in the presence of the Commission or so near thereto as
to seriously interrupt any hearing or session or any proceedings before
it, including cases in which a person willfully fails or refuses,
without just cause, to comply with a summons, subpoena, subpoena duces
tecum, DECISION OR ORDER, RULES AND REGULATIONS LEGALLY ISSUED OR
PROMULGATED by the Commission or being present at a hearing, session or
investigation, refuses to be sworn as a witness or to answer questions
when lawfully required to do so, or to furnish information required by
the Commission under this Act. The sheriff and other police agencies of
the place where the hearing or investigation is conducted shall, upon
the request of the Commission, assist it to enforce the provision of
this Section.
Section 11. Section 11 of the Act is hereby
renumbered as Section 12 thereof and amended to read as follows:cralaw:red
"Sec. 12. Review of Commission's Order; Commission's
Authority to Grant Provisional Relief— A party adversely affected by
a decision or any order of the Commission, may, within seven (7) days
from receipt of the said decision or order, appeal in writing, stating
clearly and distinctly the ground relied upon, to the Office of the
President, which shall have exclusive authority and jurisdiction to
review, reverse, modify or amend the same. The decision or order of the
Commission in such cases, shall be final, unless reversed, altered or
modified, either on appeal or on review motu propio within the period
hereinbelow stated.
"The office of the President shall likewise have the power to review,
motu propio, any decision or order of the Oil Industry Commission
fixing the prices of petroleum Products. For this purpose, certified
copies of such decisions or orders of the Commission shall be forwarded
to the Office of the President immediately upon promulgation thereof.
"The decision of the Office of the President, on appeal or after review
motu propio, shall be final. Unless the Office of the President directs
otherwise, appeal or motu propio review shall not stay execution or
implementation of the decisions or orders of the Oil Industry
Commission, which shall be executory upon the expiration of seven (7)
days after their promulgation.
"The Commission may, upon the filing of an application, petition or
complaint or at any stage thereafter, and without prior hearing, on the
basis of supporting papers duly verified or authenticated, grant
provisional relief or motion of a party in the case or on its own
initiative, without prejudice to a final decision after hearing, should
the Commission find that the pleadings, together with such affidavits,
documents and other evidence which may be submitted in support of the
motion, substantially support the provisional order." chanroblesvirtualawlibrary
Section 12. Section 12 of the same Act is hereby
renumbered as Section 13 thereof.
Section 13. Section 13 of the same Act is hereby
renumbered as Section 14 thereof.
Section 14. Section 14 of the same Act is hereby
renumbered as Section 15 thereof and amended to read as follows:cralaw:red
"Sec. 15. Appropriations. — For the proper
implementation of this Act, the sum of one million five hundred
thousand pesos is hereby appropriated out of any funds in the National
Treasury not otherwise appropriated for the operating expenses of the
Commission for the fiscal years nineteen hundred and seventy-one and
nineteen hundred and seventy-two. Any unobligated balance of this
initial appropriation may, however, still be used by the Commission in
subsequent fiscal years.
"Beginning with fiscal year nineteen hundred and seventy-three, the
operational expenses of the Commission shall be drawn from fees and
charges collected under the authority of Section 15, hereafter to be
cited as Section 16 of this Act and from application, licensing,
registration and other fees or charges AND ADMINISTRATIVE FINES AND
SURCHARGES WHICH THE COMMISSION IS HEREBY AUTHORIZED TO IMPOSE OR
COLLECT.
"ALL APPLICATION, LICENSING, REGISTRATION AND OTHER FEES OR CHARGES
HEREBY AUTHORIZED TO BE IMPOSED OR COLLECTED SHALL BE PAYABLE ON OR
BEFORE THE DATES PRESCRIBED BY THE COMMISSION. IF THE SAID FEES OR
CHARGES ARE NOT PAID WITHIN THE PRESCRIBED TIME, THE AMOUNT THEREOF
SHALL BE INCREASED BY TWENTY-FIVE PER CENTUM, THE INCREMENT TO BECOME
PART OF THE FEE OR CHARGE.
"IN THE EXERCISE OF ITS FUNCTIONS AND ENFORCEMENT AND IMPLEMENTATION OF
THIS LAW, ITS DECISIONS, ORDERS, AND REGULATIONS, THE COMMISSION MAY
REQUIRE THAT AMOUNTS UNREFUNDED TO PURCHASERS BY DEALERS FOUND GUILTY
OF OVERPRICING IN THE SALES OF PETROLEUM PRODUCTS, BE DEPOSITED WITH
ITS CASHIER AS A TRUST FUND OF THE COMMISSION, SAID AMOUNTS TO BE
DISPOSED OF AS FINANCIAL ASSISTANCE TO THE BARANGAY OF THE LOCALITY
WHERE THE OVERPRICING WAS COMMITTED OR TO OTHER BARANGAYS IN
COORDINATION WITH THE DEPARTMENT OF LOCAL GOVERNMENTS AND COMMUNITY
DEVELOPMENT. THE FUNDS AND MONIES THAT MAY COME TO THE POSSESSION OF
THE COMMISSION FROM ADMINISTRATIVE FINES OR VIOLATIONS OF ITS
DECISIONS, ORDER, RULES AND REGULATIONS AND FROM SURCHARGES ON
DELINQUENT PAYMENT OF PRESCRIBED FEES, AS WELL AS FROM PAYMENT OF
APPLICATION, REGISTRATION AND LICENSE FEES SHALL BE DISBURSED BY THE
COMMISSION FOR THE HEALTH, WELFARE AND OTHER SIMILAR BENEFITS OF ITS
EMPLOYEES, PROVIDED THAT THE ADDITIONAL AMOUNTS SO DISTRIBUTED DO NOT
EXCEED FIFTY PER CENTUM (50%) OF THE ANNUAL BASIC SALARY OF EACH
EMPLOYEE, AND PROVIDED, FURTHER; THAT SUCH DISBURSEMENTS SHALL BE
SUBJECT TO EXISTING RULES AND REGULATIONS." chanroblesvirtualawlibrary
Section 15. Section 15, 15-A, 16, 17 and 18 of the
same Act are hereby renumbered as Sections 16, 17, 18, 19 and 20,
respectively, thereof.
Section 16. Any provision of law, Presidential
Decree, Executive Order, Letter of Instruction, Administrative Order,
rules and regulations or parts thereof which are inconsistent herewith
are hereby repealed or amended accordingly, except the provisions of
Letters of Instructions Nos. 400 and 360 relative to the instructions
given to the Philippine National Oil Company on the importation of
petroleum products.
Section 17. This Decree shall take effect immediately.
Done in the City of Manila,
this 25th day of April, in the year of Our Lord, nineteen Hundred and
seventy-seven.
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