Prescribing guidelines and establishing a regulatory framework for the prospecting of biological and genetic resources, their by-products and derivatives, for scientific and commercial purposes; and for other purposes

Case Overview and Summary

Summary of Executive Order No. 247

Policy of the State (Section 1):
- Regulate the prospecting of biological and genetic resources to protect, conserve, develop, and sustainably use them for the national interest.
- Promote the development of local capability in science and technology.

Consent of Indigenous Cultural Communities (Section 2):
- Prospecting of biological and genetic resources within ancestral lands and domains of indigenous cultural communities requires their prior informed consent, obtained according to their customary laws.
- Prospecting of biological and genetic resources requires the prior informed consent of the concerned local communities.

When Research Agreement Is Necessary (Section 3):
- Prospecting of biological and genetic resources is allowed when the person, entity, or corporation undertaking such activities enters into a Research Agreement with the Philippine government, represented by DENR, DOH, DA, or DOST, depending on the nature of the activity.
- Traditional uses of biological resources by indigenous and local communities do not require a Research Agreement.
- If the research and collection are intended, directly or indirectly, for commercial purposes, a Commercial Research Agreement is required.
- If the prospecting is primarily for academic purposes, an Academic Research Agreement is required.
- Only Philippine universities, academic institutions, domestic governmental entities, and intergovernmental entities may apply for an Academic Research Agreement.

Application for Research Agreement (Section 4):
- The applicant must submit a research proposal to the Inter-Agency Committee on Biological and Genetic Resources through the Protected Areas and Wildlife Bureau (PAWB).
- The proposal must state the purpose, source of funds, duration, and a list of biological and genetic materials and the amount to be taken.
- A copy of the proposal must be submitted to the recognized head of the local or indigenous cultural community or communities that may be affected.

Minimum Terms of the Commercial Research Agreement and Academic Research Agreement (Section 5):
- Limit on samples that the Collector may obtain and export, and the approved list and amount must be followed strictly. (Section 5a)
- A complete set of all specimens collected must be deposited with the National Museum or a designated governmental entity. (Section 5b)
- Access to collected specimens and relevant data must be allowed to Filipino citizens and Philippine governmental entities. (Section 5c)
- The Collector or Principal must inform the Philippine Government and affected communities of all discoveries if a commercial product is derived. (Section 5d)
- Provision for payment of royalties to the National Government, local or indigenous cultural community, individual person, or designated beneficiary in case of commercial use. (Section 5e)
- Provision allowing the Philippine government to unilaterally terminate the agreement if the Collector has violated any terms or based on public interest and welfare. (Section 5f)
- Regular submission of a status report on the research and the ecological state of the area and/or species concerned. (Section 5g)
- If the Collector or Principal is foreign, Philippine scientists must be actively involved in the research, collection, and technological development, at the Collector's cost. (Section 5h)
- The Collector and/or Principal shall be encouraged to avail of the services of Philippine universities and academic institutions and transfer equipment to a Philippine institution or entity. (Section 5i)
- Payment of a fixed fee to the DENR according to a schedule of fees. (Section 5j)
- Maximum term of 3 years for a Commercial Research Agreement, renewable upon review. (Section 5k)
- For endemic species, a statement that the technology must be made available to a designated Philippine institution and can be used commercially and locally without paying royalty to the Collector or Principal. (Section 5l)
- For Academic Research Agreements, the agreement may be comprehensive in scope, covering multiple areas and affiliated scientists/researchers. (Section 5m)
- The Academic Collector must apply for a Commercial Research Agreement when the research and collection have commercial prospects. (Section 5n)
- Payment of a minimal fee to the Philippine government according to a schedule of fees. (Section 5o)
- Maximum term of 5 years for an Academic Research Agreement, renewable upon review. (Section 5p)

Composition and Functions of the Inter-Agency Committee on Biological and Genetic Resources (Section 6):
- An Inter-Agency Committee is created as the regulatory body to ensure the enforcement and implementation of the Executive Order.
- The Committee is composed of representatives from DENR, DOST, DA, DOH, DFA, National Museum, NGO, and People's Organization.
- The Committee is supported by a Technical Secretariat headed by the PAWB.

Powers and Functions of the Inter-Agency Committee (Section 7):
- Process applications for Research Agreements and recommend approval.
- Ensure that the conditions of the Research Agreements are strictly observed.
- Determine the list and amount of biological and genetic materials that may be taken.
- Deputize and train appropriate agencies to ensure compliance with the Research Agreements.
- Ensure the protection of the rights of indigenous and local communities, including verification of prior informed consent.
- Study and recommend appropriate laws on the utilization of biological and genetic resources, including intellectual property rights.
- Involve local scientists in the decision-making process.
- Develop a conceptual framework for increasing knowledge of Philippine biodiversity and establish mechanisms for information integration and dissemination.
- Coordinate with the National Committee on Biosafety when necessary.
- Issue rules and regulations to effectively carry out the provisions of the Executive Order.

Monitoring Implementation of the Research Agreement (Section 8):
- The Protected Areas and Wildlife Bureau (PAWB) of the DENR shall be the lead agency in monitoring the implementation of the research agreement, with participation from DENR regional offices.

Appeals (Section 9):
- Decisions of the Secretary (DENR, DA, DOH, or DOST) may be appealed to the Office of the President.
- Recourse to the courts is allowed after exhaustion of all administrative remedies.

Sanctions and Penalties (Section 10):
- Activities in violation of the Executive Order shall be subjected to criminal penalties under existing laws, including the National Integrated Protected Areas System Act of 1992 and the Revised Forestry Code.
- Failure to comply with the provisions of the Research Agreements shall be a valid cause for immediate termination of the Agreement and the imposition of a perpetual ban on undertaking prospecting of biological and genetic resources in the Philippines.

Existing Researches, Contracts, and Agreements (Section 11):
- Existing research projects, where allowed under existing law, may proceed pending the negotiation and entry into force of an appropriate research agreement.
- All valid and existing contracts and agreements entered into by the PAWB, National Museum, or other governmental entities shall remain valid and effective, provided that the parties shall be required to enter into a new agreement conforming to the Executive Order.

Official Depository (Section 12):
- The official depository of all original and official documents, such as agreements and minutes of meetings, is the PAWB.

Funding (Section 13):
- The activities of the Inter-Agency Committee on Biological and Genetic Resources shall be funded in accordance with law, which may include savings from the appropriate and concerned Departments and proceeds from the fees imposed on the Research Agreements.

Effectivity (Section 14):
- The Executive Order and Rules and Regulations take effect immediately upon publication in two newspapers of general circulation and upon filing of three certified copies with the U.P. Law Center.

Implementing Rules and Regulations (Section 15):
- The implementing rules and regulations shall be formulated by the Inter-Agency Committee and signed by the Secretary of DENR not later than three months after the effectivity of the Executive Order.