Case Summary (G.R. No. 194239)
Discovery and Escalation of the 2010 Leak
In May 2010 residents smelled fuel; by July 10 a leak in West Tower’s Basement 2 was confirmed. Initial two-drum spills escalated to 15–20 drums daily. Makati authorities shut the sump pit to prevent contaminated discharge, leading to evacuation on July 23, 2010.
Petition and Reliefs Sought
On November 15, 2010 West Tower Corp. petitioned for a Writ of Kalikasan, alleging FPIC’s negligence endangered life and ecology. They sought orders to cease negligent operations, inspect and replace the pipeline, report findings, rehabilitate affected areas, and establish a special environmental trust fund.
Issuance of Writ of Kalikasan and TEPO
The Supreme Court issued the writ and TEPO on November 19, 2010, enjoining FPIC and FGC from operating the WOPL, mandating structural integrity checks, preventive measures, and a 60-day report of findings.
Respondents’ Compliance and Contentions
FPIC directors submitted returns denying legal capacity and arguing the pipeline must operate for adequate petroleum supply. FPIC filed reports on integrity checks (borehole tests, pressure tests, in-line inspections, cathodic protection, patrols, pig runs, coordination with excavators). FGC disclaimed ownership/control of pipelines.
Court of Appeals Report and Recommendations
Remanded for expedited hearings, the CA conducted a preliminary conference, appointed technical amici, and issued a 156-page Report (Dec. 21, 2012). Key recommendations included:
• Implead qualified NGOs and groups as petitioners
• FPIC to secure DOE certification of WOPL’s safety before resuming operations, or face permanent TEPO
• DENR to monitor remediation in Barangay Bangkal and enforce permit conditions
• Deny special trust fund for future contingencies; exonerate FGC and individual directors absent veil-piercing allegations
DOE Certification and Detailed Testing Plan
Pursuant to SC’s July 30, 2013 Resolution, DOE consulted DOST and, on October 25, 2013, certified the WOPL as safe for commercial operation, subject to ongoing PIMS monitoring (mass input/output accounting, borehole monitoring, cathodic protection inspection, pressure testing) and further tests or inspections by DOE/DOST. On August 5, 2014, DOE outlined preparatory, test-run, and commissioning activities to validate structural integrity.
Real Parties-in-Interest and Standing
SC held that West Tower’s residents and Barangay Bangkal inhabitants are real parties-in-interest. West Tower Corp. validly represents its members. Accredited NGOs having filed proof of personality may intervene under Rule 7, Sec. 1 of the environmental rules.
Conversion of TEPO and Monitoring Role of DOE
SC adopted CA’s recommendation to defer PEPO issuance until DOE completes the detailed test protocol. DOE is ordered to oversee preparatory inspections, pig runs, pressure and leak tests on the entire WOPL, and issue an order for resumption or closure based on test results.
Special Trust Fund Request Denied
Petitioners’ request for a special trust fund for future contingencies was held outside the remedial scope of environmental rules, which allow funds only for restoration of already damaged environments. Damages claims remain subject to pending civil/criminal cases.
Liability of FGC and Directors and Officers
SC refrained from ruling on individual/director liability under the TEPO, noting environmental rules prohibit damages awards. Individual liability will be addressed in pending civil action (RTC Makati) and criminal reckless imprudence complaints.
Remediation and DENR Supervision
FPIC is directed to continue remediation, rehabilitation, and restoration of Barangay Bangkal under
Case Syllabus (G.R. No. 194239)
Nature of the Case
- Petition for the issuance of a Writ of Kalikasan and Temporary Environmental Protection Order (TEPO)
- Filed by West Tower Condominium Corporation on behalf of condominium residents, Barangay Bangkal communities, NGOs and public interest groups
- Sought reliefs against First Philippine Industrial Corporation (FPIC), First Gen Corporation (FGC), their boards, officers and unnamed John/Richard Does for massive petroleum leak
Factual Background
- FPIC operates two buried oil pipelines since 1969:
• White Oil Pipeline (WOPL): 117 km from Batangas to Pandacan Terminal, Manila (diesel, gasoline, jet fuel, kerosene)
• Black Oil Pipeline (BOPL): 105 km to Sucat, Parañaque (bunker fuel) - Pipelines designed with steel walls to exceed safety standards and buried 1.5 m deep
- May–July 2010: residents of West Tower Condominium detected fuel fumes; discovered a growing leak (from 2 drums to 15–20 drums/day) in Basement 2
- Makati City ordered sump pit shut and residents evacuated on July 23, 2010; condominium power shut off
- Residents bore costs of wastewater hauling; treatment plant installed locally
- UP–NIGS investigation (Oct 28, 2010) traced leak to FPIC’s WOPL some 86 m from West Tower
- FPIC closed the WOPL on Oct 24, 2010 but blamed nearby road construction and denied liability
Procedural History
- November 15, 2010: petition filed for Writ of Kalikasan and TEPO
- November 19, 2010: Supreme Court issued Writ of Kalikasan with TEPO enjoining FPIC and FGC from operating the WOPL and directing integrity checks and reports
- FPIC and some directors filed joint return; other FPIC officers filed verified return; FGC filed joint compliance report
- January 21, 2011: FPIC submitted a report on pipeline integrity checks and preventive maintenance measures
- April 15, 2011: Court conducted ocular inspection; no additional leaks found
- Civil Case No. 11-256 and criminal complaints for reckless imprudence filed separately by petitioners
- May 31, 2011: Court clarified TEPO covered only WOPL; BOPL could resume operations pending certification
- July 7 and September 9, 2011: petitioners filed omnibus motions to enjoin BOPL and invoke precautionary principle; alleged illegal wastewater discharge into Parañaque River
- September 28, 2011: FPIC sought leave for Bangkal realignment project; later denied by CA
- November 22, 2011: Supreme Court remanded to Court of Appeals (CA) for accelerated resolution
- March–December 2012: CA held hearings, appo