The Act, conferred by Presidential Decree 87, provides the legal basis for the exploration and development of indigenous petroleum resources in the country authorizing the grant of service contracts entered into thru public bidding, or through negotiations.
This law amended certain sections of PD
87 offering improved fiscal and contractual terms to service contractors with
special reference to deepwater oil exploration.
DC 2003-05-006 provides the guidelines to the financial and technical capabilities
of a viable petroleum exploration and production company.
DOE Circular No. DC2005-04-004
Investment Promotion and contracting rounds
for Geothermal and Coal Prospective Areas.
Incentives
The sliding scale allowance from one and
one-half percent (1.5%) to seven and one-half percent (7.5) of the gross proceeds
granted to the Contractor when the aggregate participation in the Contract
by one or more Filipino citizens and/or companies is from fifteen percent
(15%) to thirty percent (30%).
The allowance of seven and one-half percent
(7.5%) of the gross proceeds granted to Contractor when the aggregate participation
in the Service Contract by one or more Filipino citizens and or companies
is at least fifteen percent (15%) in respect of a Deepwater Contract.
The allowance of seven and one-half percent
(7.5%) of the gross proceeds granted to Contractor when the aggregate participation
in the Contract by one or more Filipino citizens and/or companies is at least
fifteen percent (15%) in respect of the drilling of a well by the Contractor
in water depths beyond 200 meters, whether within or outside a Deepwater Area.
Other national measures
Enacted in 1977, this act requires the government and the private sector
to undertake environmental impact assessments of their project activities
which may significantly affect the quality of the environment.
The Code provides a detailed prescriptions on the management of air
quality, water quality, land use, natural resources and waste.
The decree which took effect in 1978 provides details on Environmental
Impact Statement System.
The act, by virtue of Republic Act No. 7586, provides for the establishment
and management of national integrated protected areas system, defining its
scope and coverage. Section 14 of the NIPAS Act specifies the survey of energy
resources in protected areas solely for data gathering. Any exploitation and
utilization of energy resources found within NIPAS areas shall be allowed
only thru passage of law by Congress.
Establishes implementing mechanisms to protect and promote the rights
of indigenous cultural communities/indigenous peoples.