Executive Order on Industrial Tree Plantations

Ministry, via Bureau of Forest Development (BFD), to identify and delimit suitable areas within timber concessions for ITP development.
Existing timber license holders have six months from the promulgation of implementing rules to:
- Apply for an ITP lease agreement for up to 30% of their Timber License Agreement (TLA) areas suitable for tree growing;
- Implement a 7-year reforestation plan approved by BFD;
- Or both.
Submission of a new seven-year reforestation program to cover areas not converted into ITP is required, focusing on dipterocarp, premium, and fast-growing species.

Timber license holders may form a new corporation with other investors to develop the ITP.
License holders guarantee strict development and implementation as per the ITP Lease Agreement.
Failure to develop within the agreed period leads to revocation of their license rights.

Failure to apply or implement reforestation plans results in waiver of priority option.
Available ITP areas can be offered to third parties, including regional cooperatives.
Non-compliance can lead to summary suspension of timber licenses and revocation of log export permits.
Deficiencies must be corrected within one year from notice.

Plantation of suitable dipterocarp, premium species, and fast-growing trees is mandatory.

Forest land with fewer than 20 dipterocarp or endangered species trees per hectare, with diameters under 20 cm at breast height.
Cutting of existing dipterocarp and endangered trees authorized only under BFD rules.

ITP zones must be contiguous; adequately stocked patches may be included if:
- They do not exceed 30% of total ITP area.
- 5% of total ITP area is maintained as permanent wilderness reserve.
- Remaining adequately stocked areas serve as buffer zones with regulated tree harvesting.

Suitable ITP areas within timber concessions are segregated upon issuance of a formal ITP Lease Agreement.
Areas outside concessions found suitable are also available for ITP development.

Lease term: 25 years, automatically renewable for another 25 years if conditions are met.
Lessee entitled to fair compensation for standing trees and improvements at lease expiration.
Compensation determined by mutually accepted third-party appraisal.
Subsequent lessees must reimburse the government for previous compensation.

National Development Company (NDC) may take equity in ITP corporations.
Ministry officials serve as non-voting ex-officio board members to uphold forest policies.
Government financial institutions provide long-term, low-interest loan assistance.

Employees working within ITPs classified as agricultural workers entitled to benefits under Ministry of Labor regulations.

Ministry of Natural Resources, in consultation with Ministry of Industry and wood sector, must promulgate implementing rules within 60 days.

BFD to approve or reject ITP applications within 120 days.
Upon approval, lease agreement to be executed within 30 days.
Minister of Natural Resources may amend lease terms if mutually agreed and consistent with the EO's intent.
Development must commence within one year from lease execution.