Question & AnswerQ&A (DEPARTMENT ADMINISTRATIVE ORDER NO. 17-07)
The primary objectives include encouraging consumers to establish active consumer organizations (COs); laying down guidelines and procedures for CO recognition by the DTI; ensuring only legitimate COs are recognized; empowering COs to champion consumer welfare; fostering effective government-CO partnerships; and establishing guidelines for benefits and project assistance to sustain CO programs.
A Consumer Organization means an organized and independent group representing a substantial number of consumers with voluntary membership, whose primary objective is to protect consumer rights and promote their interests and welfare, duly registered with SEC or CDA.
There are two categories: Local Consumer Organization—based in a municipality or city with minimum memberships and two years of active operation; and National Consumer Organization—recognized by DTI, based in one major island group with at least 40 individual members and chapters active in the other two major island groups.
They must submit a completely filled application form signed and notarized/attested, certified true copies of SEC/CDA registration, articles of incorporation/by-laws, a list of trustees/officers/members, certificate of no derogatory record from SEC/CDA, proof of active consumer participation for at least two years, recent audited financial statements or affidavit on financial position, and an undertaking of independence from business or political parties.
NCR-based COs and National Consumer Organizations file with the DTI Consumer Protection and Advocacy Bureau (DTI-CPAB). Provincial-based COs file with the respective DTI Provincial Offices (DTI-PO). Applications may also be submitted online via the DTI website or Consumers Portal when available.
Suspension may occur for noncompliance with their responsibilities such as failure to participate in government programs, failure to submit reports, or financial documents. Suspension periods range from one to six months depending on the number of responsibilities not fulfilled.
Grounds include material misrepresentation in application requirements; acts prejudicial to members or consumers; promoting businesses violating consumer laws; receiving compromising monetary support; divulging confidential info detrimental to consumers; incurring two suspensions within 12 months; and engaging mainly in commercial or political activities.
They may apply for recognition again one (1) year after the date of cancellation.
Responsibilities include participating in policy consultations, promoting equality, timely advising DTI and consumers of issues violating consumer laws, establishing consumer assistance facilities, initiating consumer education activities, submitting accomplishment reports and financial statements, price monitoring, and participating in consumer-related event celebrations annually.