Second Division Pacific Steam Laundry, INC., Petitioner, G.R. No. 165299
Second Division Pacific Steam Laundry, INC., Petitioner, G.R. No. 165299
LAGUNA LAKE
Promulgated:
DEVELOPMENT
AUTHORITY,
December 18, 2009
Respondent.
x-------------------------------------------------
-x
DECISION
CARPIO, J.:
The Case
This is a petition for review[1] of the Decision[2] dated 30 June 2004 and
the Resolution dated 8 September 2004 of the Court of Appeals in
CA-G.R. SP No. 75238.
The Facts
Gentlemen:
This refers to the findings of the inspection and result of laboratory analysis of the
wastewater collected from your firm last 5 September 2001. Evaluation of the results
of laboratory analysis showed that your plants effluent failed to conform with the
1990 Revised Effluent Standard for Inland Water Class C specifically in terms of TSS,
BOD, Oil/Grease and Color. (Please see attached laboratory analysis)
(signed)
CALIXTO R. CATAQUIZ
General Manager
Petitioner submitted its application for LLDA Clearance and Discharge
Permit and informed LLDA that it would undertake the necessary
measures to abate the water pollution.[8] On 1 March 2002, a compliance
monitoring was conducted and the result of the laboratory analysis[9] still
showed non-compliance with effluent standards in terms of TSS, BOD,
Chemical Oxygen Demand (COD), and Oil/Grease Concentration. It was
reported that petitioners wastewater treatment facility was under
construction. Subsequently, another wastewater sampling was conducted
on 25 April 2002 but the results[10] still failed to conform with the effluent
standards in terms of Oil/Grease Concentration.
Meanwhile, on 15 April 2002, a Pollution Control and Abatement case
was filed against petitioner before the LLDA. During the public hearing
on 30 April 2002, LLDA informed petitioner of its continuous
non-compliance with the effluent standards. Petitioner requested for
another wastewater sampling which was conducted on 5 June 2002. The
laboratory results[11] of the wastewater sampling finally showed
compliance with the effluent standard in all parameters. On 9 August
2002, another public hearing was held to discuss the dismissal of the
water pollution case and the payment of the accumulated daily penalty.
According to LLDA, the penalty should be reckoned from 5 September
2001, the date of initial sampling, to 17 May 2002, the date LLDA
received the request for re-sampling. Petitioner manifested that its
wastewater discharge was not on a daily basis. In its position
paper[12] dated 25 August 2002, petitioner prayed that the Notice of
Violation dated 30 October 2001 be set aside and the penalty and fine
imposed be reckoned from the date of actual hearing on 15 April 2002.
SO ORDERED.[14]
Petitioner then filed with the Court of Appeals a petition for review under
Rule 43 of the Rules of Court. The Court of Appeals denied the petition,
as well as the motion for reconsideration filed by petitioner. Hence, this
petition.
The Court of Appeals held that LLDA has the power to impose fines,
thus:
Concededly, the power to impose administrative fines in pollution
abatement cases was expressly granted under Section 9 of P.D. 984 to
the now defunct National Pollution Control Commission (NPCC),
thus:
Section 9. Penalties. - (a) Any person found violating or
failing to comply with any order, decision or regulation
of the Commission for the control or abatement of
pollution shall pay a fine not exceeding five thousand
pesos per day for every day during which such violation
or default continues; and the Commission is hereby
authorized and empowered to impose the fine after
due notice and hearing.
Nonetheless, it may be well to recall that the LLDA was created under
R.A. 4850 with the end view of promoting and accelerating the
development and balanced growth of the Laguna Lake area and the
surrounding provinces, and carrying out the development of the
Laguna Lake Region with due regard and adequate provisions for
environmental management and control, preservation of the quality of
human life and ecological systems, and the preservation of undue
ecological disturbances, deterioration and pollution. To correct
deficiencies and clarify ambiguities that impede the accomplishment of
the Authorities goal, Former President Ferdinand E. Marcos
promulgated P.D. 813. Finally, to enable the LLDA to effectively
perform its role, Former President Marcos further issued E.O. 927,
which granted the LLDA additional powers and functions, viz:
xxx
xxx
The Issues
Petitioner asserts that LLDA has no power to impose fines since such
power to impose penal sanctions, which was once lodged with the
National Pollution Control Commission (NPCC), is now assumed by the
Pollution Adjudication Board pursuant to Executive Order No. 192 (EO
192).[18]
Presidential Decree No. 984 (PD 984)[19] created and established the
NPCC under the Office of the President. EO 192, which reorganized the
DENR, created thePollution Adjudication Board under the Office of the
DENR Secretary which assumed the powers and functions of the NPCC
with respect to adjudication of pollution cases.
Section 6, paragraphs (e), (f), (g), (j), (k), and (p) of PD 984 referred to
above states:
SEC. 6. Powers and Functions. The Commission shall have the
following powers and functions:
xxx
(e) Issue orders or decisions to compel compliance with the provisions of this Decree
and its implementing rules and regulations only after proper notice and hearing.
(f) Make, alter or modify orders requiring the discontinuance of pollution specifying
the conditions and the time within which such discontinuance must be accomplished.
(g) Issue, renew, or deny permits, under such conditions as it may
determine to be reasonable, for the prevention and abatement of
pollution, for the discharge of sewage, industrial waste, or for the
installation or operation of sewage works and industrial disposal
system or parts thereof: Provided, however, the Commission, by rules
and regulations, may require subdivisions, condominium, hospitals,
public buildings and other similar human settlements to put up
appropriate central sewerage system and sewage treatment works,
except that no permits shall be required of any new sewage works or
changes to or extensions of existing works that discharge only
domestic or sanitary wastes from a single residential building provided
with septic tanks or their equivalent. The Commission may impose
reasonable fees and charges for the issuance or renewal of all permits
herein required.
xxx
(j) Serve as arbitrator for the determination of reparations, or restitution of the
damages and losses resulting from pollution.
(k) Deputize in writing or request assistance of appropriate government agencies or
instrumentalities for the purpose of enforcing this Decree and its implementing rules
and regulations and the orders and decisions of the Commission.
xxx
(p) Exercise such powers and perform such other functions as may be necessary to
carry out its duties and responsibilities under this Decree.
On the other hand, LLDA is a special agency created under Republic Act
No. 4850 (RA 4850)[20] to manage and develop the Laguna Lake region,
comprising of the provinces of Rizal and Laguna and the cities of San
Pablo, Manila, Pasay, Quezon and Caloocan. RA 4850, as amended by
Presidential Decree No. 813 (PD 813),[21]mandates LLDA to carry out the
development of the Laguna Lake region, with due regard and adequate
provisions for environmental management and control, preservation of
the quality of human life and ecological systems, and the prevention of
undue ecological disturbances, deterioration and pollution.[22]
Under Executive Order No. 927 (EO 927),[23] LLDA is granted additional
powers and functions to effectively perform its role and to enlarge its
prerogatives of monitoring, licensing and enforcement, thus:
SECTION 4. Additional Powers and Functions. The
Authority [LLDA] shall have the following powers and
functions:
a) Issue standards, rules and regulations to govern the approval of plans
and specifications for sewage works and industrial waste disposal
systems and the issuance of permits in accordance with the provisions
of this Executive Order; inspect the construction and maintenance of
sewage works and industrial waste disposal systems for compliance to
plans.
b) Adopt, prescribe, and promulgate rules and regulations governing the Procedures
of the Authority with respect to hearings, plans, specifications, designs, and other data
for sewage works and industrial waste disposal system, the filing of reports, the
issuance of permits, and other rules and regulations for the proper implementation and
enforcement of this Executive Order.
c) Issue orders or decisions to compel compliance with
the provisions of this Executive Order and its
implementing rules and regulations only after proper
notice and hearing.
d) Make, alter or modify orders requiring the discontinuance of
pollution specifying the conditions and the time within which such
discontinuance must be accomplished.
e) Issue, renew or deny permits, under such conditions as it may
determine to be reasonable, for the prevention and abatement of pollution,
for the discharge of sewage, industrial waste, or for the installation or
operation of sewage works and industrial disposal system or parts
thereof: Provided, however, that the Authority, by rules and regulations,
may require subdivisions, condominiums, hospitals, public buildings and
other similar human settlements to put up appropriate central sewerage
system and sewage treatment works, except that no permits shall be
required of any new sewage works or changes to or extensions of existing
works that discharge only domestic or sanitary wastes from a single
residential building provided with septic tanks or their equivalent. The
Authority may impose reasonable fees and charges for the issuance or
renewal of all permits herein required.
f) After due notice and hearing, the Authority may also revoke,
suspend or modify any permit issued under this Order whenever the
same is necessary to prevent or abate pollution.
g) Deputize in writing or request assistance of appropriate government agencies or
instrumentalities for the purpose of enforcing this executive Order and its
implementing rules and regulations and the orders and decision of the Authority.
(h) Authorize its representative to enter at all reasonable times any property of the
public dominion and private property devoted to industrial, manufacturing processing
or commercial use without doing damage, for the purpose of inspecting and
investigating conditions relating to pollution or possible or imminent pollution.
(i) Exercise such powers and perform such other
functions as may be necessary to carry out its duties and
responsibilities under this Executive Order. (Emphasis
supplied)
SEC 9. Penalties. x x x
(b) Any person who shall violate any of the previous provisions of
Section Eight of this Decree or its implementing rules and regulations,
or any Order or Decision of the Commission, shall be liable to a penalty
of not to exceed one thousand pesos each day during which the
violation continues, or by imprisonment of from two years to six years,
or by both fine and imprisonment, and in addition such person may be
required or enjoined from continuing such violation as hereinafter
provided.
x x x (Emphasis supplied)
ANTONIO T.
CARPIO
Associate Justice
WE CONCUR:
TERESITA J. LEONARDO-DE CASTRO
ASSOCIATE JUSTICE
ROBERTO A. ABAD
ASSOCIATE JUSTICE
ATTESTATION
I ATTEST THAT THE CONCLUSIONS IN THE ABOVE DECISION
HAD BEEN REACHED IN CONSULTATION BEFORE THE CASE
WAS ASSIGNED TO THE WRITER OF THE OPINION OF THE
COURTS DIVISION.
ANTONIO T. CARPIO
Associate Justice
Chairperson
CERTIFICATION
Pursuant to Section 13, Article VIII of the Constitution, and the
Division Chairpersons Attestation, I certify that the conclusions in
the above Decision had been reached in consultation before the
case was assigned to the writer of the opinion of the Courts
Division.
REYNATO S. PUNO
Chief Justice
*
Designated additional member per Special Order No. 776.
[1]
Under Rule 45 of the 1997 Rules of Civil Procedure.
[2]
Penned by Associate Justice Japar B. Dimaampao with Associate Justices Josefina Guevara-Salonga
and Eduardo F. Sundiam, concurring.
[3]
Rollo , p. 74; Indorsement dated 6 June 2001.
[4]
Id. at 77-78.
[5]
Under Section 3(d) of the Effluent Regulations, DENR Administrative Order No. 35, Series of 1990,
effluent is defined as any wastewater, partially or completely treated, or in its natural state,
flowing out a manufacturing plant, industrial plant or treatment plant.
[6]
Rollo, p. 79; Result of Analysis dated 18 September 2001.
[7]
Id. at 33.
[8]
Id. at 81. See petitioners letter dated 15 November 2001 addressed to General Manager Cataquiz
of LLDA.
[9]
Id. at 82-83.
[10]
Id. at 84-85.
[11]
CA rollo, p. 23.
[12]
Id. at 24-33.
[13]
Rollo, pp. 45-46.
[14]
Id. at 46. Although the LLDA mistakenly stated in its Order that the imposable fine is P5,000 per
day instead of P1,000 per day, the dispositive portion of the Order imposing a total penalty
of P172,000 is based on the correct daily penalty of P1,000 multiplied by 172 days during
which the pollutive wastewater discharge occurred.
[15]
Id. at 50-51.
[16]
Id. at 24-26.
[17]
Id. at 103.
[18]
PROVIDING FOR THE REORGANIZATION OF THE DEPARTMENT OF ENVIRONMENT,
ENERGY AND NATURAL RESOURCES; RENAMING IT AS THE DEPARTMENT OF
ENVIRONMENT AND NATURAL RESOURCES, AND FOR OTHER PURPOSES.
[19]
Otherwise known as the National Pollution Control Decree of 1976.
[20]
AN ACT CREATING THE LAGUNA LAKE DEVELOPMENT AUTHORITY, PRESCRIBING
ITS POWERS, FUNCTIONS AND DUTIES, PROVIDING FUNDS THEREFOR, AND
FOR OTHER PURPOSES.
[21]
AMENDING CERTAIN SECTIONS OF REPUBLIC ACT NUMBERED FORTY EIGHT
HUNDRED FIFTY, OTHERWISE KNOWN AS THE LAGUNA LAKE DEVELOPMENT
AUTHORITY ACT OF 1966.
[22]
Section 1 of RA 4850, as amended by PD 813.
[23]
FURTHER DEFINING CERTAIN FUNCTIONS AND POWERS OF THE LAGUNA LAKE
DEVELOPMENT AUTHORITY.
[24]
Republic of the Phils. v. Marcopper Mining Corp., 390 Phil. 708 (2000).
[25]
G.R. No. 110120, 16 March 1994, 231 SCRA 292.
[26]
G.R. No. 169228, 11 September 2009.
[27]
Supra note 25.