Title
Transfer of PADC to Department of National Defense
Law
Executive Order No. 78
Decision Date
Mar 15, 2019
Rodrigo Roa Duterte's Executive Order No. 78 mandates the transfer of the Philippine Aerospace Development Corporation from the Department of Transportation to the Department of National Defense to enhance national defense capabilities and promote the local aerospace industry.
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Mandate and Functions of PADC

  • PADC is empowered to design, manufacture, and sell all forms of aircraft and aerospace devices, equipment, or contraptions.
  • It develops local capabilities in maintenance, repair, and modification of aviation equipment to enhance national aerospace capacity.

Previous Attachment and Governing Framework

  • Prior to this Order, PADC was attached to the DOTr as per EO No. 546 (s. 1979).
  • Transfer to DND reflects a strategic policy shift recognizing aerospace as critical to defense and technology self-reliance.

Policy Rationale and National Development Goals

  • Aerospace sector prioritized under PDP 2017-2022 to bolster emerging local aerospace industry competitive advantage.
  • Addressing internal and external security threats and achieving defense equipment self-reliance are key drivers.
  • Promotes technology transfer from neighboring countries to advance local capabilities.

Coordination and Management Requirements

  • Policies, programs, and activities of PADC shall be coordinated with the DND to ensure effectiveness, efficiency, and economy.
  • Government programs and agencies must work cohesively to realize PDP 2017-2022 objectives related to aerospace and defense sectors.

Constitutional Authority and Effectivity

  • The President’s constitutional power under Section 17, Article VII of the 1987 Constitution underpins the transfer.
  • This Executive Order revokes or amends inconsistent prior issuances, particularly EO No. 546 (s. 1979).
  • The Order takes effect immediately upon issuance on March 15, 2019.

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