Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 415)
The primary objective is to achieve a self-reliant defense posture for the Philippines by authorizing the Secretary of National Defense to enter into contracts for projects under the Self-Reliant Defense Program.
The Secretary of National Defense, on behalf of the Government of the Republic of the Philippines, is authorized to enter into such contracts.
Contracts for the manufacture or procurement of supplies, equipment, components, facilities, utilities, and appurtenances necessary for the manufacture, servicing, or operation of defense materials.
No, contracts can be entered into with or without public bidding under this decree.
Yes, they may be registered and avail of incentives under Republic Act No. 5186 as amended, subject to recommendations from the Department of National Defense and NEDA.
Up to Three hundred million United States dollars or its equivalent in other foreign currencies at the exchange rate prevailing at the time of contracting.
Plans must be prepared by the Department of National Defense and approved by the President, the Commissioner of Budget must certify availability of funds to service the debt and cover the counterpart peso requirements, and terms of loans must be at least ten years.
The President may authorize the lending of proceeds to the Development Bank of the Philippines to administer for relending to contractors for the peso costs of projects, and the DBP may guarantee such loans with approval.
All revenues, after deducting actual and necessary expenses, must be turned over in full to the National Treasury by the Department of National Defense and appropriated for debt servicing.
Yes, upon recommendations of the Secretary of Finance and approval of the President, such contracts and loans may be exempted from taxes, fees, and other charges.
An amount of at least One hundred million pesos is appropriated yearly under the SRDP Program budget of the AFP for implementing this decree.
Yes, all provisions of existing laws, orders, and regulations contrary or inconsistent with this Decree are repealed or modified accordingly.