Question & AnswerQ&A (PRESIDENTIAL DECREE NO. 1787)
The main purpose of Presidential Decree No. 1787 is to further revise the charter of the National Development Company (NDC) to enable it to act expeditiously and efficiently in undertaking priority projects necessary for accelerating national economic development.
The Board consists of the Minister of Industry as Chairman, the Minister of Finance, the Minister of Energy, the Chairman of the Development Bank of the Philippines, the General Manager of the Company, and two private sector representatives appointed by the President.
The Board has the power to formulate policies, direct management and operations, authorize expenditures, appoint and remove personnel and consultants, promote or transfer personnel, and exercise other powers necessary to accomplish the purposes of the Company.
Yes, the Board has exclusive and final authority to promote, transfer, assign, or reassign personnel of the Company, and these actions are deemed to be in the interest of the service and not disciplinary.
The National Development Company is considered as a government financial institution for compensation purposes, similar to the Central Bank and the Development Bank of the Philippines.
The Board decides the appointment and compensation of such personnel and consultants based on recommendations by the Chairman of the Company.
All laws, decrees, proclamations, executive orders, instructions, rules, or regulations inconsistent with PD No. 1787 are repealed and/or modified accordingly.
The decree took effect immediately upon its signing on January 15, 1981.
The Company is empowered to engage or invest in commercial, industrial, agricultural, mining, and other enterprises where government investment is necessary to foster economic development.
It means the Board's decisions regarding promotion, transfer, assignment, or reassignment of personnel are final and overriding, ensuring efficient personnel management within the Company without interference from other existing laws.