Question & AnswerQ&A (BFAR FISHERIES ADMINISTRATIVE ORDER NO. 197-1)
An Aquasilviculture Stewardship Contract (ASC) is a contract entered into by and between the Secretary of Agriculture and qualified fisherfolk cooperatives/associations and micro, small, and medium enterprises (MSMEs) for the use of public land specifically for mangrove-friendly aquaculture.
Qualified applicants for ASC include fisherfolk cooperatives or associations organized or registered under Philippine laws with at least 50% of members being registered voters of the municipality where the fishpond is located, MSMEs with principals and major workers as registered voters in the province, or in absence thereof, any Filipino citizen at least 21 years old and endorsed by the Municipal Fisheries and Aquatic Resources Management Council (MFARMC).
The maximum area granted through an ASC is 50 hectares for fisherfolk cooperatives/associations or MSMEs, while for individual applicants under FLA, the limit is 25 hectares. Corporations may also be granted up to 50 hectares through an FLA.
An FLA can be granted for 25 years and is renewable for another 25 years, subject to a maximum total of 50 years. Transfers are permitted only within this 50-year period, and no right of renewal exists after 50 years.
An abandoned fishpond is public land released for fishpond development where the lessee has no occupation, possession, or operational activity. This can be shown by failure to submit initial reports, subleasing, or absence of clear fish production operations.
Grounds include violation of fishery laws, death of the lessee (subject to heirs’ rights), dissolution of juridical persons, fraudulent information, failure to submit yearly reports, nonpayment of rentals for two consecutive years, subleasing, unauthorized transfer, non-adherence to Good Aquaculture Practices, failure to minimize environmental pollution, and abandonment or underutilization of the fishpond.
The Director or Regional Director issues a notice of violation based on inspection or reports. The case is raffled to a Hearing Officer who conducts the proceedings. The ASC/FLA holder is given 10 days to respond with verified answer and supporting documents. If no response, the holder is declared in default. The Hearing Officer submits a report and recommendation to the Regional Director who may dismiss or endorse cancellation to the Director. The Director may then recommend cancellation to the Secretary who issues the final cancellation order.
Starting January 1, 2013, annual rentals per hectare are: P1,000 in 2013; P1,100 in 2014; P1,200 in 2015; P1,300 in 2016; P1,400 in 2017; and P1,500 from 2018 onwards, subject to change based on resource rent studies. Rentals for areas allocated for mangroves or silviculture are set at P500 per hectare.
No, the contracting party or lessee is prohibited from using ASC or FLA rights as collateral to secure loans for the development of the area after the effectivity of this Order.
ASC or FLA holders must submit an annual report under oath relative to the development, operation, and production of the fishpond, including species and volume, duly verified by the Regional Director or authorized representative. Failure to submit this report may result in cancellation of the ASC or FLA.