Issuing authority and legal basis
- The President issues Executive Order No. 860 by virtue of powers vested in her by law, including Administrative Code of 1987, Section 31, Chapter 10, Title III.
- The reorganization aligns with prior statutory and executive frameworks governing water resources regulation and water rights.
- The reorganization reflects the historical transfer and reconstitution of the water-regulatory structure through earlier laws and executive orders.
Historical legal framework cited
- Act No. 2152 (1912) vested the power to grant appropriation of public waters in the Secretary of Commerce and Police upon recommendation of an Irrigation Council.
- Presidential Decree No. 198 (1973) provides that rates or charges established by a local water utility are subject to review by Local Water Utilities Administration (LWUA).
- Presidential Decree No. 424 (1974) created a National Water Resources Council, with regulatory and executory functions that include coordinating water resources development, adjudicating and granting water rights, and formulating rules for exploitation and optimum utilization of fees or charges.
- Presidential Decree No. 1067 (1976) (Water Code of the Philippines) subjects utilization, exploitation, development, control, conservation, or protection of water resources to government control and regulation through the Council.
- Presidential Decree No. 1067 provides that persons seeking a water permit must file an application with the Council, and it establishes that the Council has original jurisdiction over disputes relating to water appropriation, utilization, exploitation, development, control, conservation, and protection.
- Executive Order No. 124 (1987) renamed and reorganized the Council as the Natural Water Resources Board, and transferred its technical functions to the Bureau of Research and Standards of the Department of Public Works and Highways.
- Executive Order No. 292 (1987), Administrative Code of 1987 provides the continuing authority for presidential reorganization.
- Executive Order No. 123 (2002) reconstituted the NWRB membership to exclude those with direct claims on water resources and provided for a process to transfer NWRB to the Department of Environment and Natural Resources (DENR), while directing LWUA to desist from regulating water tariffs of Water Districts with an exception for districts where LWUA has financial exposure.
Policy, purpose, and reorganization intent
- The Order reorganizes the National Water Resources Board (NWRB) to redefine its composition and powers in relation to the broader water-regulatory framework.
- The Order aligns NWRB functions with the Water Code for control and regulation of water resources.
- The Order reaffirms the regulatory division regarding water tariffs of Water Districts, placing tariff regulation responsibility with LWUA.
- The Order implements the transfer of the NWRB Secretariat to the DENR.
NWRB Secretariat transfer and placement
- The NWRB Secretariat is transferred to the Department of Environment and Natural Resources (DENR) (Section 1).
- The Secretariat transfer takes place as part of the NWRB reorganization under Executive Order No. 860 (Section 1).
Composition of the NWRB Board
- The NWRB members are composed of the following officials (Section 2):
- Chair: Secretary of Environment and Natural Resources.
- Vice-Chair: Secretary of Socio-Economic Planning.
- Members:
- Secretary of Justice.
- Secretary of Science and Technology.
- Director, National Hydraulic Research Center, University of the Philippines.
- The composition rules in Section 2 govern the membership of the NWRB under Executive Order No. 860.
Primary function and regulatory mandate
- The primary function of the NWRB is to control and regulate the utilization, exploitation, development, conservation and protection of water resources.
- The NWRB carries out this primary function in accordance with the specific provisions of the Water Code (Section 3).
Water tariffs of Water Districts
- The NWRB must desist from regulating the water tariffs of Water Districts (Section 4).
- Water tariff regulation for Water Districts is undertaken by the Local Water Utilities Administration (LWUA) (Section 4).
- LWUA undertakes water tariff regulation in accordance with Presidential Decree No. 198, as amended by Executive Order 124-A, series of 1987 (Section 4).
Severability and repeal of inconsistent issuances
- Section 5 provides severability: if any provision of the Order is declared unconstitutional or invalid, the remaining provisions continue in full force and effect.
- Section 6 provides that all orders, executive issuances, rules and regulations, or parts thereof inconsistent with Executive Order No. 860 are repealed or modified accordingly.
- The effective rules of the Order govern the NWRB organization and functions from February 08, 2010, due to immediate effectivity (Section 7).