Documente Academic
Documente Profesional
Documente Cultură
DECISION
MELO, J.:
Before the Court is a petition for review on certiorari under Rule 45 of the
Rules of Civil Procedure filed by petitioner Metropolitan Manila Development
Authority (MMDA), seeking to reverse and set aside the November 13, 2000
decision of the Court of Appeals declaring valid and perfected the waste
management contract entered into by the Republic of the Philippines,
represented by the Secretary of National Resources and the Executive
Committee to oversee the build-operate-transfer implementation of solid
waste management projects, and JANCOM Environmental Corporation.
The pertinent facts are as follows:
In 1994, then President Fidel V. Ramos issued Presidential Memorandum
Order No. 202 creating the Executive Committee (EXECOM) to oversee the
BOT implementation of solid waste management projects, headed by the
Chairman of the MMDA and the Cabinet Officer for Regional Development-
National Capital Region (CORD-NCR). The EXECOM was to oversee and
develop waste-to-energy projects for the waste disposal sites in San Mateo,
Rizal and Carmona, Cavite under the build-operate-transfer (BOT) scheme.
The terms of reference for the waste-to-energy projects provided that its
proponents should have the capability to establish municipal solid waste
thermal plants using incineration technology. This type of technology was
selected because of its alleged advantages of greatly reduced waste volume,
prolongation of the service life of the disposal site, and generation of
electricity.
While eleven (11) proponents submitted their pre-qualification documents,
most failed to comply with the requirements under Section 5.4 of the
Implementing Rules and Regulations (IRR) of Republic Act No. 6957,
otherwise known as the Build-Operate-Transfer Law. On July 21, 1995, the
Pre-qualification, Bids and Awards Committee (PBAC) recommended the pre-
qualification of three proponents, namely: i) JANCOM International Pty. Ltd.;
ii) First Philippine International W-E Managers; and iii) PACTECH
Development Corporation. On July 26, 1995, the EXECOM approved the
recommendation of the PBAC. On July 27, 1995, MMDA forwarded to the
Investment Coordinating Committee (ICC) Secretariat the pre-feasibility study
on the privatization of the Carmona and San Mateo landfill sites. The project
was later presented to the ICC-Technical Board (ICC-TB) and then endorsed
to the ICC-Cabinet Committee (ICC-CC).
On May 2, 1996, the PBAC conducted a pre-bid conference where it
required the three pre-qualified bidders to submit, within ninety (90) days, their
bid proposals. On August 2, 1996, JANCOM and First Philippines requested
for an extension of time to submit their bids. PACTECH, on the other hand,
withdrew from the bidding.
Subsequently, JANCOM entered into a partnership with Asea Brown
Boveri (ABB) to form JANCOM Environmental Corporation while First
Philippines formed a partnership with OGDEN. Due to the change in the
composition of the proponents, particularly in their technology partners and
contractors, the PBAC conducted a post pre-qualification evaluation.
During the second bid conference, the bid proposals of First Philippines for
the Carmona site and JANCOM for the San Mateo site were found to be
complete and responsive. Consequently, on February 12, 1997, JANCOM and
First Philippines were declared the winning bidders, respectively, for the San
Mateo and the Carmona projects.
In a letter dated February 27, 1997, then MMDA Chairman Prospero I.
Oreta informed JANCOMs Chief Executive Officer Jay Alparslan that the
EXECOM had approved the PBAC recommendation to award to JANCOM the
San Mateo Waste-to-Energy Project on the basis of the final Evaluation
Report declaring JANCOM International Ltd., Pty., together with Asea Brown
Boveri (ABB), as the sole complying (winning) bidder for the San Mateo
Waste Disposal site, subject to negotiation and mutual approval of the terms
and conditions of the contract of award. The letter also notified Alparslan that
the EXECOM had created a negotiating team composed of Secretary General
Antonio Hidalgo of the Housing and Urban Development Coordinating
Council, Director Ronald G. Fontamillas, General Manager Roberto
Nacianceno of MMDA, and Atty. Eduardo Torres of the host local government
unit to work out and finalize the contract award. Chairman Oreta requested
JANCOM to submit to the EXECOM the composition of its own negotiating
team.
Thereafter, after a series of meetings and consultations between the
negotiating teams of EXECOM and JANCOM, a draft BOT contract was
prepared and presented to the Presidential Task Force on Solid Waste
Management.
On December 19, 1997, the BOT Contract for the waste-to-energy project
was signed between JANCOM and the Philippine Government, represented
by the Presidential Task Force on Solid Waste Management through DENR
Secretary Victor Ramos, CORD-NCR Chairman Dionisio dela Serna, and
MMDA Chairman Prospero Oreta.
On March 5, 1998, the BOT contract was submitted to President Ramos
for approval but this was too close to the end of his term which expired without
him signing the contract. President Ramos, however, endorsed the contract to
incoming President Joseph E. Estrada.
With the change of administration, the composition of the EXECOM also
changed. Memorandum Order No. 19 appointed the Chairman of the
Presidential Committee on Flagship Programs and Project to be the EXECOM
chairman. Too, Republic Act No. 8749, otherwise known as the Clean Air Act
of 1999, was passed by Congress. And due to the clamor of residents of Rizal
province, President Estrada had, in the interim, also ordered the closure of
the San Mateo landfill. Due to these circumstances, the Greater Manila Solid
Waste Management Committee adopted a resolution not to pursue the BOT
contract with JANCOM. Subsequently, in a letter dated November 4, 1999,
Roberto Aventajado, Chairman of the Presidential Committee on Flagship
Programs and Project informed Mr. Jay Alparslan, Chairman of JANCOM, that
due to changes in policy and economic environment (Clean Air Act and non-
availability of the San Mateo landfill), the implementation of the BOT contract
executed and signed between JANCOM and the Philippine Government
would no longer be pursued. The letter stated that other alternative
implementation arrangements for solid waste management for Metro Manila
would be considered instead.
JANCOM appealed to President Joseph Estrada the position taken by the
EXECOM not to pursue the BOT Contract executed and signed between
JANCOM and the Philippine Government, refuting the cited reasons for non-
implementation. Despite the pendency of the appeal, MMDA, on February 22,
2000, caused the publication in a newspaper of an invitation to pre-qualify and
to submit proposals for solid waste management projects for Metro
Manila. JANCOM thus filed with the Regional Trial Court of Pasig a petition
for certiorari to declare i) the resolution of the Greater Metropolitan Manila
Solid Waste Management Committee disregarding the BOT Contract and ii)
the acts of MMDA calling for bids and authorizing a new contract for Metro
Manila waste management, as illegal, unconstitutional, and void; and for
prohibition to enjoin the Greater Metropolitan Manila Solid Waste
Management Committee and MMDA from implementing the assailed
resolution and disregarding the Award to, and the BOT contract with,
JANCOM, and from making another award in its place. On May 29, 2000, the
trial court rendered a decision, the dispositive portion of which reads:
WHEREFORE, in view of the foregoing, the Court hereby renders judgment in favor
of petitioners JANCOM ENVIRONMENTAL CORPORATION, and JANCOM
INTERNATIONAL DEVELOPMENT PROJECTS PTY., LIMITED OF
AUSTRALIA, and against respondent GREATER METROPOLITAN MANILA
SOLID WASTE MANAGEMENT COMM., and HON. ROBERTO N.
AVENTAJADO, in his Capacity as Chairman of the said Committee, METRO
MANILA DEVELOPMENT AUTHORITY and HON. JEJOMAR C. BINAY, in his
capacity as Chairman of said Authority, declaring the Resolution of respondent
Greater Metropolitan Manila Solid Waste Management Committee disregarding
petitioners BOT Award Contract and calling for bids for and authorizing a new
contract for the Metro Manila waste management ILLEGAL and VOID.
Moreover, respondents and their agents are hereby PROHIBITED and ENJOINED
from implementing the aforesaid Resolution and disregarding petitioners BOT Award
Contract and from making another award in its place.
Let it be emphasized that this Court is not preventing or stopping the government
from implementing infrastructure projects as it is aware of the proscription under PD
1818. On the contrary, the Court is paving the way for the necessary and modern
solution to the perennial garbage problem that has been the major headache of the
government and in the process would serve to attract more investors in the country.
(Rollo,p. 159.)
Section 1. Petition for certiorari. When any tribunal, board or officer exercising
judicial or quasi-judicial functions has acted without or in excess of its or his
jurisdiction, or with grave abuse of discretion amounting to lack or excess of
jurisdiction, and there is no appeal, or any plain, speedy, and adequate remedy in the
ordinary course of law, a person aggrieved thereby may file a verified petition in the
proper court, alleging the facts with certainty and praying that judgment be rendered
annulling or modifying the proceedings of such tribunal, board or officer, and granting
such incidental reliefs as law and justice may require.
The petition shall be accompanied by a certified true copy of the judgment, order, or
resolution subject thereof, copies of all pleadings and documents relevant and
pertinent thereto, and a sworn certification of non-forum shopping as provided in the
third paragraph of section 3, Rule 46.
Plain it is from a reading of the above provision that certiorari will lie only
where a court has acted without or in excess of jurisdiction or with grave
abuse of discretion. If the court has jurisdiction over the subject matter and of
the person, its rulings upon all questions involved are within its jurisdiction,
however irregular or erroneous these may be, they cannot be corrected
by certiorari. Correction may be obtained only by an appeal from the final
decision.
Verily, Section 1, Rule 41 of the 1997 Rules of Civil Procedure provides:
SEC. 1. Subject of appeal. An appeal may be taken from a judgment or final order that
completely disposes of the case or of a particular matter therein when declared by
these Rules to be appealable.
In all the above instances where the judgment or final order is not appealable, the
aggrieved party may file an appropriate special civil action under Rule 65.
There can be no dispute that the trial courts May 29, 2000 decision was a
final order or judgment which MMDA should have appealed, had it been so
minded. In its decision, the trial court disposed of the main controversy by
declaring the Resolution of respondent Greater Metropolitan Manila Solid
Waste Management Committee disregarding petitioners BOT Award Contract
and calling for bids for and authorizing a new contract for the Metro Manila
waste management ILLEGAL and VOID. This ruling completely disposed of
the controversy between MMDA and JANCOM. In BA Finance Corporation vs.
CA (229 SCRA 5667 [1994]), we held that a final order or judgment is one
which disposes of the whole subject matter or terminates a particular
proceeding or action, leaving nothing to be done but to enforce by execution
what has been determined. An order or judgment is deemed final when it
finally disposes of the pending action so that nothing more can be done with it
in the trial court. In other words, a final order is that which gives an end to the
litigation. A final order or judgment finally disposes of, adjudicates, or
determines the rights, or some right or rights of the parties, either on the entire
controversy or on some definite and separate branch thereof, and concludes
them until it is reversed or set aside. Where no issue is left for future
consideration, except the fact of compliance or non-compliance with the terms
of the judgment or doer, such judgment or order is final and
appealable (Investments, Inc. vs. Court of Appeals, 147 SCRA 334 [1987]).
However, instead of appealing the decision, MMDA resorted to the
extraordinary remedy of certiorari, as a mode of obtaining reversal of the
judgment. This cannot be done. The judgment was not in any sense null and
void ab initio, incapable of producing any legal effects whatever, which could
be resisted at any time and in any court it was attempted. It was a judgment
which could or may have suffered from some substantial error in procedure or
in findings of fact or of law, and on that account, it could have been reversed
or modified on appeal. But since it was not appealed, it became final and has
thus gone beyond the reach of any court to modify in any substantive
aspect. The remedy to obtain reversal or modification of the judgment on the
merits is appeal. This is true even if the error, or one of the errors, ascribed to
the court rendering the judgment is its lack of jurisdiction over the subject
matter, or the exercise of power in excess thereof, or grave abuse of
discretion in the findings of fact or of law set out in the decision. The existence
and availability of the right of appeal proscribes a resort to certiorari, because
one of the requirements for availment of the latter remedy is precisely that
there should be no appeal (Mercado vs. CA, 162 SCRA 75 [1988]). As
incisively observed by the Court of Appeals:
The special civil action for certiorari is available only when there is no appeal nor any
plain, speedy and adequate remedy in the ordinary course of law (Sec. 1, rule 65, id.)
Admittedly, appeal could have been taken from the assailed RTC decision. However,
petitioners maintain that appeal is not a speedy remedy because the RTC decision
prohibiting them from conducting a bidding for a new waste disposal project has
adverse and serious effects on the citys garbage situation.
Since the RTC decision is not immediately executory, appeal would have stayed its
execution. Consequently, the adverse effects of said decision will not visit upon
petitioners during the appeal. In other words, appeal is a plain, speedy and adequate
remedy in the ordinary course of the law.
But as no appeal was taken within the reglementary period, the RTC decision had
become final and executory. Well-settled is the rule that the special civil action for
certiorari may not be invoked as a substitute for the remedy of appeal (BF Corporation
vs. Court of Appeals, 288 SCRA 267). Therefore, the extraordinary remedy of
certiorari does not lie.
Moreover, petitioners instituted the instant action without filing a motion for
reconsideration of the RTC decision. Doctrinal is the rule that certiorari will not lie
unless a motion for reconsideration is first filed before the respondent tribunal to
allow it an opportunity to correct its errors (Zapanta vs. NLRC, 292 SCRA 580).
(Rollo, p. 47-48.)
In the instant case, however, MMDA has not sufficiently established the
existence of any fact or reason to justify its resort to the extraordinary remedy
of certiorari. Neither does the record show that the instant case, indeed, falls
under any of the exceptions aforementioned.
The Court thus holds that the Court of Appeals did not err in declaring that
the trial courts decision has become final due to the failure of MMDA to
perfect an appeal within the reglementary period.
With the foregoing disquisition, it would appear unnecessarily to discuss
and resolve the substantive issue posed before the Court. However, the
procedural flaw notwithstanding, the Court deems it judicious to take
cognizance of the substantive question, if only to put petitioners mind to rest.
In its second assignment of errors, petitioner MMDA contends that there is
no valid and binding contract between the Republic of the Philippines and
respondents because: a) the BOT contract does not bear the signature of the
President of the Philippines; b) the conditions precedent specified in the
contract were not complied with; and that c) there was no valid notice of
award.
These contentions hold no water.
Under Article 1305 of the Civil Code, [a] contract is a meeting of minds
between two persons whereby one binds himself, with respect to the other, to
give something or to render some service. A contract undergoes three distinct
stages preparation or negotiation, its perfection, and finally, its
consummation. Negotiation begins from the time the prospective contracting
parties manifest their interest in the contract and ends at the moment of
agreement of the parties. The perfection or birth of the contract takes place
when the parties agree upon the essential elements of the contract. The last
stage is the consummation of the contract wherein the parties fulfill or perform
the terms agreed upon in the contract, culminating in the extinguishment
thereof (Bugatti vs. CA, 343 SCRA 335 [2000]). Article 1315 of the Civil Code,
provides that a contract is perfected by mere consent.Consent, on the other
hand, is manifested by the meeting of the offer and the acceptance upon the
thing and the cause which are to constitute the contract (See Article 1319,
Civil Code). In the case at bar, the signing and execution of the contract by
the parties clearly show that, as between the parties, there was a concurrence
of offer and acceptance with respect to the material details of the contract,
thereby giving rise to the perfection of the contract. The execution and signing
of the contract is not disputed by the parties. As the Court of Appeals aptly
held:
[C]ontrary to petitioners insistence that there was no perfected contract, the meeting
of the offer and acceptance upon the thing and the cause, which are to constitute the
contract (Arts. 1315 and 1319, New Civil Code), is borne out by the records.
Admittedly, when petitioners accepted private respondents bid proposal (offer), there
was, in effect, a meeting of the minds upon the object (waste management project)
and the cause (BOT scheme). Hence, the perfection of the contract. In City of Cebu vs.
Heirs of Candido Rubi (306 SCRA 108), the Supreme Court held that the effect of an
unqualified acceptance of the offer or proposal of the bidder is to perfect a contract,
upon notice of the award to the bidder.
(Rollo, p. 48-49.)
In fact, in asserting that there is no valid and binding contract between the
parties, MMDA can only allege that there was no valid notice of award; that
the contract does not bear the signature of the President of the Philippines;
and that the conditions precedent specified in the contract were not complied
with.
In asserting that the notice of award to JANCOM is not a proper notice of
award, MMDA points to the Implementing Rules and Regulations of Republic
Act No. 6957, otherwise known as the BOT Law, which require that i) prior to
the notice of award, an Investment Coordinating Committee clearance must
first be obtained; and ii) the notice of award indicate the time within which the
awardee shall submit the prescribed performance security, proof of
commitment of equity contributions and indications of financing resources.
Admittedly, the notice of award has not complied with these
requirements. However, the defect was cured by the subsequent execution of
the contract entered into and signed by authorized representatives of the
parties; hence, it may not be gainsaid that there is a perfected contract
existing between the parties giving to them certain rights and obligations
(conditions precedents) in accordance with the terms and conditions
thereof. We borrow the words of the Court of Appeals:
Petitioners belabor the point that there was no valid notice of award as to constitute
acceptance of private respondents offer. They maintain that former MMDA Chairman
Oretas letter to JANCOM EC dated February 27, 1997 cannot be considered as a valid
notice of award as it does not comply with the rules implementing Rep. Act No. 6957,
as amended. The argument is untenable.
The fact that Chairman Oretas letter informed JANCOM EC that it was the sole
complying (winning) bidder for the San Mateo project leads to no other conclusion
than that the project was being awarded to it. But assuming that said notice of award
did not comply with the legal requirements, private respondents cannot be faulted
therefore as it was the government representatives duty to issue the proper
notice.
In any event, petitioners, as successors of those who previously acted for the
government (Chairman Oreta, et al), are estopped from assailing the validity of the
notice of award issued by the latter. As private respondents correctly observed, in
negotiating on the terms and conditions of the BOT contract and eventually signing
said contract, the government had led private respondents to believe that the notice of
award given to them satisfied all the requirement of the law.
While the government cannot be estopped by the erroneous acts of its agents,
nevertheless, petitioners may not now assail the validity of the subject notice of award
to the prejudice of private respondents. Until the institution of the original action
before the RTC, invalidity of the notice of award was never invoked as a ground for
termination of the BOT contract. In fact, the reasons cited for terminating the San
Mateo project, per Chairman Aventajados letter to JANCOM EC dated November 4,
1999, were its purported non-implementability and non-viability on account of
supervening events, e.g., passage of the Clean Air Act, etc.
(Rollo, p. 49-50.)
MMDA also points to the absence of the Presidents signature as proof that
the same has not yet been perfected. Not only that, the authority of the
signatories to bind the Republic has even been put to question. Firstly, it is
pointed out that Memorandum Order No. 202 creating the Executive
Committee to oversee the BOT implementation of solid waste management
projects only charged the officials thereof with the duty of recommending to
the President the specific project to be implemented under the BOT scheme
for both San Mateo and Carmona sites. Hence, it is concluded that the
signatories, CORD-NCR Chairman Dionisio dela Serna and MMDA Chairman
Prospero Oreta, had no authority to enter into any waste management project
for and in behalf of the Government. Secondly, Section 59 of Executive Order
No. 292 is relied upon as authority for the proposition that presidential
approval is necessary for the validity of the contract.
The first argument conveniently overlooks the fact that then Secretary of
Environment and Natural Resources Victor Ramos was likewise a signatory to
the contract. While dela Serna and Oreta may not have had any authority to
sign, the Secretary of Environment and Natural Resources has such an
authority. In fact, the authority of the signatories to the contract was not
denied by the Solicitor General. Moreover, as observed by the Court of
Appeals, [i]t was not alleged, much less shown, that those who signed in
behalf of the Republic had acted beyond the scope of their authority.
In truth, the argument raised by MMDA does not focus on the lack of
authority of the signatories, but on the amount involved as placing the contract
beyond the authority of the signatories to approve. Section 59 of Executive
Order No. 292 reads:
Section 59. Contracts for Approval by the President. Contracts for infrastructure
projects, including contracts for the supply of materials and equipment to be used in
said projects, which involve amounts above the ceilings provided in the preceding
section shall be approved by the President: Provided, That the President may, when
conditions so warrant, and upon recommendation of the National Economic and
Development Authority, revise the aforesaid ceilings of approving authority.
Contrary to petitioners claim that all infrastructure contracts require the Presidents
approval (Petition, p. 16), Sec. 59 provides that such approval is required only in
infrastructure contracts involving amounts exceeding the ceilings set in Sec.
58. Significantly, the infrastructure contracts treated in Sec. 58 pertain only to those
which may be approved by the Secretaries of Public Works and Highways,
Transportation and Communications, Local Government (with respect to Rural Road
Improvement Project) and the governing boards of certain government-owned or
controlled corporations. Consequently, the BOT contract in question, which was
approved by the DENR Secretary and the EXCOM Chairman and Co-Chairman, is
not covered by Exec. Order No. 292.
(Rollo, p. 51-52.)
(Rollo, p. 94.)
ARTICLE 18
CONDITIONS PRECEDENT
xxx
18.2.1. The BOT COMPANY hereby undertakes to provide the following within 2
months from execution of this Contract as an effective document:
a) sufficient proof of the actual equity contributions from the proposed shareholders of
the BOT COMPANY in a total amount not less than PHP500,000,000 in accordance
with the BOT Law and the implementing rules and regulations;
b) sufficient proof of financial commitment from a lending institution sufficient to cover
total project cost in accordance with the BOT Law and the implementing rules and
regulations;
c) to support its obligation under this Contract, the BOT COMPANY shall submit a
security bond to the CLIENT in accordance with the form and amount required
under the BOT Law.
xxx
18.2.3 Completion of Documentary Requirements as per Schedule 4 by the BOT
Company
As regards the projected closure of the San Mateo landfill vis--vis the
implementability of the contract, Art. 2.3 thereof expressly states that [i]n the event
the project Site is not delivered x x x, the Presidential task Force on Solid Waste
Management (PTFSWM) and the Client, shall provide within a reasonable period of
time, a suitable alternative acceptable to the BOT COMPANY.
With respect to the alleged financial non-viability of the project because the MMDA
and the local government units cannot afford the tipping fees under the contract, this
circumstance cannot, by itself, abrogate the entire agreement.
Doctrinal is the rule that neither the law nor the courts will extricate a party from an
unwise or undesirable contract, or stipulation for that matter, he or she entered into
with full awareness of its consequences (Opulencia vs. CA, 293 SCRA 385). Indeed,
the terms and conditions of the subject contract were arrived at after due negotiations
between the parties thereto.
(Rollo, p. 54.)
SYNOPSIS
Petitioner and Isaac Arivas, President and General Manager, respectively, of the
Insular Oil Refinery Co., were charged by the Provincial Fiscal of Rizal before
respondent court with violation of Republic Act No. 3931 prohibiting the pollution
of waterway due to the discharge of industrial and waste matters from the
operation of said refinery. Petitioner filed a motion to quash the information on
the ground that the trial court has no jurisdiction and that the Provincial Fiscal
has no legal personality to file said information but said motion was denied.
Petitioner's motion for reconsideration having been denied, he filed the instant
petition with the Supreme Court seeking to annul the orders of the respondent
judge.
The Supreme Court held that the filing of the information in question by the
Provincial Fiscal is premature and unauthorized, there being no prior finding or
determination by the National Water and Air Pollution Control Commission that
the act of the petitioner had caused pollution of the waterway and, therefore, the
respondent judge is without jurisdiction to take cognizance of the offense
Questioned orders annulled and set aside.
SYLLABUS
DECISION
VASQUEZ, J : p
The issue posed for determination in this case is whether or not a Provincial
Fiscal has the authority to file an information for a violation of Republic Act No.
3931, entitled "An Act Creating a National Water and Air Pollution Control
Commission."
On March 11, 1975, petitioner Donald Mead and a certain Isaac Arivas were
charged by the Provincial Fiscal of Rizal with a violation of Section 9, in relation
to Section 10 of Republic Act No. 3931, under an information reading as follows:
"That on or about the 23rd day of August, 1972, and for some time prior
and subsequent thereto, in the municipality of Malabon, province of
Rizal, Philippines and within the jurisdiction of this Honorable Court, the
above-named accused, being then the president and the general
manager, respectively, of the Insular Oil Refinery Co. (INSOIL), a
corporation duly organized in accordance with existing laws, conspiring
and confederating together and mutually helping and aiding one another,
did then and there willfully, unlawfully and feloniously drain or otherwise
dispose into the highway canal and/or cause, permit, suffer to be drained
or allow to seep into such waterway the industrial and other waste
matters discharged due to the operation of the said Insular Oil Refinery
Co. so managed and operated by them, thereby causing pollution of
such waterway with the resulting damage and/or destruction to the living
plants in the vicinity and providing hazard to health and property in the
same vicinity."
The case was docketed as Criminal Case No. C-5984-75 and it was
subsequently assigned to Branch XXXV of the Court of First Instance of Rizal
(Caloocan City) presided over by the respondent Judge.
On August 11, 1975, petitioner Donald Mead, one of the accused in the criminal;
case, filed a motion to quash on the grounds that the trial court has no jurisdiction
and that the Provincial Fiscal of Rizal has no legal personality to file the above-
quoted information. The motion to quash was denied by the respondent Judge in
an Order dated September 5, 1975. A Motion For Reconsideration filed by the
petitioner was also denied by the respondent Judge in his Order of November 10,
1965. Hence, this petition for certiorari with preliminary injunction to annul the
said orders of the respondent Judge who allegedly acted in excess of or without
jurisdiction in issuing the same.
In Our Resolution dated November 28, 1975, the respondents were required to
comment on the petition and a temporary restraining order was issued to enjoin
the respondent Judge from enforcing his questioned orders until otherwise
directed by this Court.cdrep
It is the principal contention of the petitioner that the National Water and Air
Pollution Control Commission (hereinafter referred to as the "Commission") as
created under Republic Act No. 3931 has the exclusive authority to determine the
existence of "pollution" before a criminal case can be filed for a violation of the
said law; and that it has the exclusive authority to prosecute violations of the
same. Petitioner further avers that the Commission not having finally ruled that
the petitioner has violated Republic Act No. 3931, the Provincial Fiscal of Rizal
lacks the authority to prosecute the petitioner for a violation of said law.
The respondents, on the other hand, maintain that while Republic Act No.
3931 grants the power and duty to the Commission to investigate and prosecute
violations of Republic Act No. 3931, such grant of power and authority is not
exclusive, and does not deprive fiscals and other public prosecutors of their
authority to investigate and prosecute violations of the said law committed within
their respective jurisdictions.
Before discussing the main issue on its merits, We deem it necessary to resolve
a procedural question raised by the respondents in support of their prayer that
the instant petition should not be entertained. Respondents advert to the rule that
when a motion to quash filed by an accused in a criminal case shall be denied,
the remedy of the accused-movant is not to file a petition for certiorari or
mandamus or prohibition, the proper recourse being to go to trial, without
prejudice to his right to reiterate the grounds invoked in his motion to quash if an
adverse judgment is rendered against him, in the appeal that he may take
therefrom in the manner authorized by law. (Mill vs. People, et al. 101 Phil.
599; Echarol vs. Purisima, et al., 13 SCRA 309.)
There is no disputing the validity and wisdom of the rule invoked by the
respondents. However, it is also recognized that, under certain situations,
recourse to the extraordinary legal remedies of certiorari, prohibition or
mandamus to question the denial of a motion to quash is considered proper in
the interest of "more enlightened and substantial justice", as was so declared in
"Yap vs. Lutero", G.R. No. L-12669, April 30, 1969, 105 Phil. 3007:
"However, were we to require adherence to this pretense, the case at
bar would have to be dismissed and petitioner required to go through the
inconvenience, not to say the mental agony and torture, of submitting
himself to trial on the merits in Case No. 16443, apart from the expenses
incidental thereto, despite the fact that his trial and conviction therein
would violate one of this constitutional rights, and that, an appeal to this
Court, we would, therefore, have to set aside the judgment of conviction
of the lower court. This would, obviously, be most unfair and unjust.
Under the circumstances obtaining in the present case, the flaw in the
procedure followed by petitioner herein may be overlooked, in the
interest of a more enlightened and substantial justice."
To the same effect is the pronouncement in "Pineda and Ampil Manufacturing
Co., vs. Bartolome, et al." 95 Phil., 930-938, expressed as follows:
"While a denial of a motion to dismiss for lack of jurisdiction was held not
to be a proper basis for a petition for certiorari [Nico vs. Blanco, 46 Off
Gaz., Supp. (1) 88; 81 Phil., 213], or an appeal not certiorari is the
proper remedy for correcting an error which a lower court may commit in
denying a motion to set aside a judgment, or in setting aside an order of
dismissal, [Rios vs. Ros, et al., 45 Off. Gaz. (No. 3), 1265; 79 Phil. 243;
Santos vs. Pecson, 45 Off. Gaz. (No. 3), 1278; 79 Phil. 754] however, in
some instances, the Supreme Court has departed from the general rule
and has entertained the writ notwithstanding the existence of an appeal.
Thus, in one case the Supreme Court took cognizance of a petition for
certiorari notwithstanding the fact that the accused could have appealed
in due time when it found that the action was necessary to promote
public welfare and public policy (People vs. Zulueta, 89 Phil. 880). In
another case, a petition for certiorari to annul an order of the trial judge
admitting an amended information was entertained although the accused
had an adequate remedy by appeal 'inasmuch as the Surplus Property
cases have attracted nationwide attention, making it essential to proceed
with dispatch in the consideration thereof.' (People vs. Zulueta, supra.
Citing Arevalo vs. Nepomuceno, 63 Phil., 627.) And still in another case,
the writ was entertained where the appeal was found not to be adequate
remedy, as where the order which is sought to be reviewed is merely of
interlocutory or peremptory character, and the appeal therefrom can be
interposed only after final judgment and may therefore be of no avail.
(Rocha vs. Crossfield, 6 Phil., 355; Leung Ben vs. O'Brien, 38 Phil., 182.
See also Mendoza vs. Parugao, 49 Phil., 271; Dais vs. Court of First
Instance, 51 Phil., 36).LibLex
For analogous reasons it may be said that the petition for certiorari
interposed by the accused against the order of the court a quo denying
the motion to quash may be entertained, not only because it was
rendered in a criminal case, but because it was rendered, as claimed,
with grave abuse of discretion, as found by the Court of Appeals. It
would be indeed unfair and unjust, if not derogatory of their constitutional
right, to force the accused to go to trial under an information which, in
their opinion, as was found, accuses them of multiple offenses in
contravention of law. And so, in our opinion, the respondent court did not
err in entertaining the petition for certiorari instead of dismissing it, as
claimed.
The motion to quash filed by the accused in Yap vs. Lutero was on the ground of
double jeopardy. In Pineda vs. Bartolome, the ground invoked was duplicity of
offenses charged in the information. In the case at bar, the petitioner assails the
very jurisdiction of the court wherein the criminal case was filed. Certainly, there
is a more compelling reason that such issue be resolved soonest, in order to
avoid the court's spending precious time and energy unnecessarily in trying and
deciding the case, and to spare the accused from the inconvenience, anxiety and
embarrassment, let alone the expenditure of effort and money, in undergoing trial
for a case the proceedings in which could possibly be annulled for want of
jurisdiction. Even in civil actions, We have counselled that when the court's
jurisdiction is attacked in a motion to dismiss, it is the duty of the court to resolve
the same as soon as possible in order to avoid the unwholesome consequences
mentioned above. cdll
Section 9 in its first paragraph, supposedly the criminal act being imputed to the
petitioner, reads as follows:
"SEC. 9. Prohibitions. No person shall throw, run, drain, or otherwise
dispose into any of the water and/or atmospheric air of the Philippines,
or cause, permit, suffer to be thrown, run, drain, allow to see or
otherwise dispose into such waters or atmospheric air, any organic or
inorganic matter or any substance in gaseous or liquid form that shall
cause pollution of such waters or atmospheric air."
It will be noted from the above-quoted provision that the prohibited act is to
throw, run, drain or otherwise dispose into any of the water and/or atmospheric
air of the Philippines, any organic or inorganic matter or substance "that shall
cause pollution of such waters or atmospheric air." Stated in simpler terms, the
offense allegedly committed by the petitioner was the act of causing pollution of a
waterway (highway canal). Cdpr
The term "pollution" as used in the law is not to be taken in its ordinary
signification. In Section 2, paragraph (a), of Republic Act No. 3931, "pollution" is
defined in these words:
"(a) 'Pollution' means such alteration of the physical, chemical and/or
biological properties of any water and/or atmospheric air of the
Philippines, or any such discharge of any liquid, gaseous or solid
substance into any of the waters and/or atmospheric air of the country as
will or is likely to create or render such waters and/or atmospheric air
harmful or detrimental or injurious to public health, safety or welfare, or
to domestic, commercial, industrial, agricultural, recreational or other
legitimate uses, or to livestock, wild animals, birds, fish or other aquatic
life."
The power to determine the existence of pollution is vested by the law in the
Commission. Section 6, among others, gives the Commission the authority to
"determine whether a pollution exists in any of the waters and/or atmospheric air
of the Philippines." (Section 6(a), No. 1); to "hold public hearings, . . . make
findings of facts and determinations all with respect to the violations of this Act or
orders issued by the Commission." (Ibid., No. 3); to "institute or cause to be
instituted in the court of competent jurisdiction legal proceedings to compel
compliance with the provisions of this Act" (Ibid., No. 5); and, "after due notice
and hearing, revoke, suspend or modify any permit issued under this Act
whenever modifications are necessary to prevent or abate pollution of any water
and/or atmospheric air of the Philippines." (Ibid., No. 7.) Section 8 contains
explicit provisions as to the authority of the Commission to determine the
existence of pollution and to take appropriate court actions to abate or prevent
the same. It provides:
"SEC. 8. Proceedings before the Commission. The Commission may,
on its own motion, or upon the request of any person, investigate or may
inquire, in a manner to be determined by it, as to any alleged act of
pollution or the omission or failure to comply with any provisions of this
Act or any order of this Commission.
Whenever it appears to the Commission, after investigation, that there
has been a violation of any of the provisions of this Act or any order of
the Commission, it may order whoever causes such violation to show
cause before said Commission why such discharge of industrial wastes
or any waste should not be discontinued. A notice shall be served on the
offending party directing him or it to show cause before the Commission,
on a date specified in such notice, why an order should not be made
directing the discontinuance of such violation. Such notice shall specify
the time and the place where a public hearing will be held by the
Commission or its authorized representatives, and notice of such
hearing shall be served personally or by registered mail, at least ten
days before said hearing; and in the case of a municipality or corporation
such notice shall be served upon the major or president thereof. The
Commission shall take evidence with reference to said matter and may
issue an order to the party responsible for such violation, directing that
within a specified period of time thereafter, such violation be
discontinued unless adequate sewage works or industrial wastes
disposal system be properly operated to prevent further damage or
pollution.
cdll
WHEREFORE, the petition is hereby granted and the questioned Orders of the
respondent Judge are hereby annulled and set aside. The respondent Judge is
ordered to dismiss Criminal Case No. 5984-75 for lack of jurisdiction. No costs.
SO ORDERED.
Teehankee, Makasiar, Melencio-Herrera, Plana, Relova and Gutierrez, Jr.,
JJ., concur.
||| (Mead v. Argel, G.R. No. L-41958, [July 20, 1982], 200 PHIL 650-664)
G.R. No. 93891 March 11, 1991
RESOLUTION
FELICIANO, J.:
Petitioner Pollution Adjudication Board ("Board") asks us to review the Decision and Resolution
promulgated on 7 February 1990 and 10 May 1990, respectively, by the Court of Appeals in C.A.-G
R. No. SP 18821 entitled "Solar Textile Finishing Corporation v. Pollution Adjudication Board." In that
Decision and Resolution, the Court of Appeals reversed an order of the Regional Trial Court,
Quezon City, Branch 77, in Civil Case No. Q-89-2287 dismissing private respondent Solar Textile
Finishing Corporation's ("Solar") petition for certiorari and remanded the case to the trial court for
further proceedings.
On 22 September 1988, petitioner Board issued an ex parte Order directing Solar immediately to
cease and desist from utilizing its wastewater pollution source installations which were discharging
untreated wastewater directly into a canal leading to the adjacent Tullahan-Tinejeros River. The
Order signed by Hon. Fulgencio Factoran, Jr., as Board Chairman, reads in full as follows:
Respondent, Solar Textile Finishing Corporation with plant and place of business at 999
General Pascual Avenue, Malabon, Metro Manila is involved in bleaching, rinsing and dyeing
textiles with wastewater of about 30 gpm. being directly discharged untreated into the sewer.
Based on findings in the Inspections conducted on 05 November 1986 and 15 November
1986, the volume of untreated wastewater discharged in the final out fall outside of the
plant's compound was even greater. The result of inspection conducted on 06 September
1988 showed that respondent's Wastewater Treatment Plant was noted unoperational and
the combined wastewater generated from its operation was about 30 gallons per minute and
80% of the wastewater was being directly discharged into a drainage canal leading to the
Tullahan-Tinejeros River by means of a by-pass and the remaining 20% was channelled into
the plant's existing Wastewater Treatment Plant (WTP). Result of the analyses of the sample
taken from the by-pass showed that the wastewater is highly pollutive in terms of Color units,
BOD and Suspended Solids, among others. These acts of respondent in spite of directives to
comply with the requirements are clearly in violation of Section 8 of Presidential Decree No.
984 and Section 103 of its Implementing Rules and Regulations and the 1982 Effluent
Regulations.
WHEREFORE, pursuant to Section 7 of P.D. 984 and Section 38 of its Implementing Rules
and Regulations, respondent is hereby ordered to cease and desist from utilizing its
wastewater pollution source installation and discharging its untreated wastewater directly into
the canal leading to the Tullahan-Tinejeros River effective immediately upon receipt hereof
and until such time when it has fully complied with all the requirements and until further
orders from this Board.
SO ORDERED.1
We note that the above Order was based on findings of several inspections of Solar's plant:
The findings of these two (2) inspections were that Solar's wastewater treatment plant was non-
operational and that its plant generated about 30 gallons per minute of wastewater, 80% of which
was being directly discharged into a drainage canal leading to the Tullahan-Tinejeros River. The
remaining 20% of the wastewater was being channeled through Solar's non-operational wastewater
treatment plant. Chemical analysis of samples of Solar's effluents showed the presence of pollutants
on a level in excess of what was permissible under P.D. No. 984 and its Implementing Regulations.
A copy of the above Order was received by Solar on 26 September 1988. A Writ of Execution issued
by the Board was received by Solar on 31 March 1989.
Meantime, Solar filed a motion for reconsideration/appeal with prayer for stay of execution of the
Order dated 22 September 1988. Acting on this motion, the Board issued an Order dated 24 April
1989 allowing Solar to operate temporarily, to enable the Board to conduct another inspection and
evaluation of Solar's wastewater treatment facilities. In the same Order, the Board directed the
Regional Executive Director of the DENR/ NCR to conduct the inspection and evaluation within thirty
(30) days.
On 21 April 1989, however, Solar went to the Regional Trial Court of Quezon City, Branch 77, on
petition for certiorari with preliminary injunction against the Board, the petition being docketed as
Civil Case No. Q-89-2287.
On 21 July 1989, the Regional Trial Court dismissed Solar's petition upon two (2) grounds, i.e., that
appeal and not certiorari from the questioned Order of the Board as well as the Writ of Execution
was the proper remedy, and that the Board's subsequent Order allowing Solar to operate temporarily
had rendered Solar's petition moot and academic.
Dissatisfied, Solar went on appeal to the Court of Appeals which, in the Decision here assailed,
reversed the Order of dismissal of the trial court and remanded the case to that court for further
proceedings. In addition, the Court of Appeals declared the Writ of Execution null and void. At the
same time, the Court of Appeals said in the dispositive portion of its Decision that:
. . .. Still and all, this decision is without prejudice to whatever action the appellee [Board]
may take relative to the projected 'inspection and evaluation' of appellant's [Solar's] water
treatment facilities. 3
The Court of Appeals, in so ruling, held that certiorari was a proper remedy since the Orders of
petitioner Board may result in great and irreparable injury to Solar; and that while the case might be
moot and academic, "larger issues" demanded that the question of due process be settled. Petitioner
Board moved for reconsideration, without success.
The Board is now before us on a Petition for Review basically arguing that:
1. its ex parte Order dated 22 September 1988 and the Writ of Execution were issued in
accordance with law and were not violative of the requirements of due process; and
2. the ex parte Order and the Writ of Execution are not the proper subjects of a petition for
certiorari.
The only issue before us at this time is whether or not the Court of Appeals erred in reversing the
trial court on the ground that Solar had been denied due process by the Board.
Petitioner Board claims that under P.D. No. 984, Section 7(a), it has legal authority to issue ex
parte orders to suspend the operations of an establishment when there is prima facie evidence that
such establishment is discharging effluents or wastewater, the pollution level of which exceeds the
maximum permissible standards set by the NPCC (now, the Board). Petitioner Board contends that
the reports before it concerning the effluent discharges of Solar into the Tullahan-Tinejeros River
provided prima facie evidence of violation by Solar of Section 5 of the 1982 Effluent Code.
Solar, on the other hand, contends that under the Board's own rules and regulations, an ex
parte order may issue only if the effluents discharged pose an "immediate threat to life, public health,
safety or welfare, or to animal and plant life." In the instant case, according to Solar, the inspection
reports before the Board made no finding that Solar's wastewater discharged posed such a threat.
The Court is not persuaded by Solar's contention. Section 7(a) of P.D. No. 984 authorized petitioner
Board to issue ex parte cease and desist orders under the following circumstances:
(a) Public Hearing. . . . Provided, That whenever the Commission finds prima facie evidence
that the discharged sewage or wastes are of immediate threat to life, public health, safety or
welfare, or to animal or plant life, or exceeds the allowable standards set by the Commission,
the Commissioner may issue an ex-parte order directing the discontinuance of the same or
the temporary suspension or cessation of operation of the establishment or person
generating such sewage or wastes without the necessity of a prior public hearing. The said
ex-parte order shall be immediately executory and shall remain in force until said
establishment or person prevents or abates the said pollution within the allowable standards
or modified or nullified by a competent court. (Emphasis supplied)
We note that under the above-quoted portion of Section 7(a) of P.D. No. 984, an ex parte cease and
desist order may be issued by the Board (a) whenever the wastes discharged by an establishment
pose an "immediate threat to life, public health, safety or welfare, or to animal or plant life," or (b)
whenever such discharges or wastes exceed "the allowable standards set by the [NPCC]." On the
one hand, it is not essential that the Board prove that an "immediate threat to life, public health,
safety or welfare, or to animal or plant life" exists before an ex parte cease and desist order may be
issued. It is enough if the Board finds that the wastes discharged do exceed "the allowable
standards set by the [NPCC]." In respect of discharges of wastes as to which allowable standards
have been set by the Commission, the Board may issue an ex parte cease and desist order when
there is prima facie evidence of an establishment exceeding such allowable standards. Where,
however, the effluents or discharges have not yet been the subject matter of allowable standards set
by the Commission, then the Board may act on an ex parte basis when it finds at least prima
facie proof that the wastewater or material involved presents an "immediate threat to life, public
health, safety or welfare or to animal or plant life." Since the applicable standards set by the
Commission existing at any given time may well not cover every possible or imaginable kind of
effluent or waste discharge, the general standard of an "immediate threat to life, public health, safety
or welfare, or to animal and plant life" remains necessary.
Upon the other hand, the Court must assume that the extant allowable standards have been set by
the Commission or Board precisely in order to avoid or neutralize an "immediate threat to life, public
health, safety or welfare, or to animal or plant life.''
Section 5 of the Effluent Regulations of 1982 4 sets out the maximum permissible levels of physical
and chemical substances which effluents from domestic wastewater treatment plants and industrial
plants" must not exceed "when discharged into bodies of water classified as Class A, B, C, D, SB
and SC in accordance with the 1978 NPCC Rules and Regulations." The waters of Tullahan-
Tinejeros River are classified as inland waters Class D under Section 68 of the 1978 NPCC Rules
and Regulations 5 which in part provides that:
Sec. 68. Water Usage and Classification. The quality of Philippine waters shall be
maintained in a safe and satisfactory condition according to their best usages. For this
purpose, all water shall be classified according to the following beneficial usages:
(Emphases supplied)
The reports on the inspections carried on Solar's wastewater treatment facilities on 5 and 12
November 1986 and 6 September 1988 set forth the following Identical finding:
a. For legal action in [view of] implementing rules and regulations of P.D. No. 984 and
Section 5 of the Effluent Regulations of 1982. 6
Placing the maximum allowable standards set in Section 5 of the Effluent Regulations of 1982
alongside the findings of the November 1986 and September 1988 inspection reports, we get the
following results:
Records of the Commission show that the plant under its previous owner, Fine Touch
Finishing Corporation, was issued a Notice of Violation on 20 December 1985 directing same
to cease and desist from conducting dyeing operation until such time the waste treatment
plant is already completed and operational. The new owner Solar Textile Corporation
informed the Commission of the plant acquisition thru its letter dated March 1986 (sic).
The new owner was summoned to a hearing held on 13 October 1986 based on the adverse
findings during the inspection/water sampling test conducted on 08 August 1986. As per
instruction of the Legal Division a re- inspection/sampling text should be conducted first
before an appropriate legal action is instituted; hence, this inspection.
Based on the above findings, it is clear that the new owner continuously violates the directive
of the Commission by undertaking dyeing operation without completing first and operating its
existing WTP. The analysis of results on water samples taken showed that the untreated
wastewater from the firm pollutes our water resources. In this connection, it is recommended
that appropriate legal action be instituted immediately against the firm. . . .10
1. The plant was undertaking dyeing, bleaching and rinsing operations during the inspection.
The combined wastewater generated from the said operations was estimated at about 30
gallons per minute. About 80% of the wastewater was traced directly discharged into a
drainage canal leading to the Tullahan-Tinejeros river by means of a bypass. The remaining
20% was channeled into the plant's existing wastewater treatment plant (WTP).
2. The WTP was noted not yet fully operational- some accessories were not yet
installed. Only the sump pit and the holding/collecting tank are functional but appeared
1wphi1
seldom used. The wastewater mentioned channeled was noted held indefinitely into the
collection tank for primary treatment. There was no effluent discharge [from such collection
tank].
3. A sample from the bypass wastewater was collected for laboratory analyses. Result of the
analyses show that the bypass wastewater is polluted in terms of color units, BOD and
suspended solids, among others. (Please see attached laboratory resul .)11
From the foregoing reports, it is clear to this Court that there was at least prima facie evidence
before the Board that the effluents emanating from Solar's plant exceeded the maximum allowable
levels of physical and chemical substances set by the NPCC and that accordingly there was
adequate basis supporting the ex parte cease and desist order issued by the Board. It is also well to
note that the previous owner of the plant facility Fine Touch Finishing Corporation had been issued a
Notice of Violation on 20 December 1985 directing it to cease and refrain from carrying out dyeing
operations until the water treatment plant was completed and operational. Solar, the new owner,
informed the NPCC of the acquisition of the plant on March 1986. Solar was summoned by the
NPCC to a hearing on 13 October 1986 based on the results of the sampling test conducted by the
NPCC on 8 August 1986. Petitioner Board refrained from issuing an ex parte cease and desist order
until after the November 1986 and September 1988 re-inspections were conducted and the violation
of applicable standards was confirmed. In other words, petitioner Board appears to have been
remarkably forbearing in its efforts to enforce the applicable standards vis-a-vis Solar. Solar, on the
other hand, seemed very casual about its continued discharge of untreated, pollutive effluents into
the Tullahan- Tinerejos River, presumably loath to spend the money necessary to put its Wastewater
Treatment Plant ("WTP") in an operating condition.
In this connection, we note that in Technology Developers, Inc. v. Court of appeals, et al.,12 the Court
very recently upheld the summary closure ordered by the Acting Mayor of Sta. Maria, Bulacan, of a
pollution-causing establishment, after finding that the records showed that:
1. No mayor's permit had been secured. While it is true that the matter of determining
whether there is a pollution of the environment that requires control if not prohibition of the
operation of a business is essentially addressed to the then National Pollution Control
Commission of the Ministry of Human Settlements, now the Environmental Management
Bureau of the Department of Environment and Natural Resources, it must be recognized that
the mayor of a town has as much responsibility to protect its inhabitants from pollution, and
by virtue of his police power, he may deny the application for a permit to operate a business
or otherwise close the same unless appropriate measures are taken to control and/or avoid
injury to the health of the residents of the community from the emission in the operation of
the business.
2. The Acting Mayor, in a letter of February l6, 1989, called the attention of petitioner to the
pollution emitted by the fumes of its plant whose offensive odor "not only pollute the air in the
locality but also affect the health of the residents in the area," so that petitioner was ordered
to stop its operation until further orders and it was required to bring the following:
3. This action of the Acting Mayor was in response to the complaint of the residents of
Barangay Guyong, Sta. Maria, Bulacan, directed to the Provincial Governor through
channels (Annex A-B, petition).. . .
4. The closure order of the Acting Mayor was issued only after an investigation was made by
Marivic Guina who in her report of December 8, 1988 observed that the fumes emitted by the
plant of petitioner goes directly to the surrounding houses and that no proper air pollution
device has been installed. (Annex A-9, petition)
6. While petitioner was able to present a temporary permit to operate by the then National
Pollution Control Commission on December 15,1987, the permit was good only up to May
25,1988 (Annex A-12, petition). Petitioner had not exerted any effort to extend or validate its
permit much less to install any device to control the pollution and prevent any hazard to the
health of the residents of the community."
In the instant case, the ex parte cease and desist Order was issued not by a local government
official but by the Pollution Adjudication Board, the very agency of the Government charged with the
task of determining whether the effluents of a particular industrial establishment comply with or
violate applicable anti-pollution statutory and regulatory provisions.
Ex parte cease and desist orders are permitted by law and regulations in situations like that here
presented precisely because stopping the continuous discharge of pollutive and untreated effluents
into the rivers and other inland waters of the Philippines cannot be made to wait until protracted
litigation over the ultimate correctness or propriety of such orders has run its full course, including
multiple and sequential appeals such as those which Solar has taken, which of course may take
several years. The relevant pollution control statute and implementing regulations were enacted and
promulgated in the exercise of that pervasive, sovereign power to protect the safety, health, and
general welfare and comfort of the public, as well as the protection of plant and animal life,
commonly designated as the police power. It is a constitutional commonplace that the ordinary
requirements of procedural due process yield to the necessities of protecting vital public interests
like those here involved, through the exercise of police power. The Board's ex parte Order and Writ
of Execution would, of course, have compelled Solar temporarily to stop its plant operations, a state
of affairs Solar could in any case have avoided by simply absorbing the bother and burden of putting
its WTP on an operational basis. Industrial establishments are not constitutionally entitled to reduce
their capitals costs and operating expenses and to increase their profits by imposing upon the public
threats and risks to its safety, health, general welfare and comfort, by disregarding the requirements
of anti- pollution statutes and their implementing regulations.
It should perhaps be made clear the Court is not here saying that the correctness of the ex
parte Order and Writ of Execution may not be contested by Solar in a hearing before the Board itself.
Where the establishment affected by an ex parte cease and desist order contests the correctness of
the prima facie findings of the Board, the Board must hold a public hearing where such
establishment would have an opportunity to controvert the basis of such ex parte order. That such
an opportunity is subsequently available is really all that is required by the due process clause of the
Constitution in situations like that we have here. The Board's decision rendered after the public
hearing may then be tested judicially by an appeal to the Court of Appeals in accordance with
Section 7(c) of P.D. No. 984 and Section 42 of the Implementing Rules and Regulations. A
subsequent public hearing is precisely what Solar should have sought instead of going to court to
seek nullification of the Board's Order and Writ of Execution and instead of appealing to the Court of
Appeals. It will be recalled the at the Board in fact gave Solar authority temporarily to continue
operations until still another inspection of its wastewater treatment facilities and then another
analysis of effluent samples could be taken and evaluated.
Solar claims finally that the petition for certiorari was the proper remedy as the questioned Order and
Writ of Execution issued by the Board were patent nullities. Since we have concluded that the Order
and Writ of Execution were entirely within the lawful authority of petitioner Board, the trial court did
not err when it dismissed Solar's petition for certiorari. It follows that the proper remedy was an
appeal from the trial court to the Court of Appeals, as Solar did in fact appeal.
ACCORDINGLY, the Petition for Review is given DUE COURSE and the Decision of the Court of
Appeals dated 7 February 1990 and its Resolution dated 10 May 1990 in A.C.-G.R. No. SP 18821
are hereby SET ASIDE. The Order of petitioner Board dated 22 September 1988 and the Writ of
Execution, as well as the decision of the trial court dated 21 July 1989, are hereby REINSTATED,
without prejudice to the right of Solar to contest the correctness of the basis of the Board's Order and
Writ of Execution at a public hearing before the Board.
Fernan, C.J., Gutierrez, Jr., Bidin and Davide, Jr., JJ., concur.
[G.R. No. 93891. March 11, 1991.]
SYLLABUS
RESOLUTION
FELICIANO, J : p
The Board is now before us on a Petition for Review basically arguing that:
1. its ex parte Order dated 22 September 1988 and the Writ of
Execution were issued in accordance with law and were not
violative of the requirements of due process; and
2. the ex parte Order and the Writ of Execution are not the proper
subjects of a petition for certiorari.
The only issue before us at this time is whether or not the Court of Appeals erred
in reversing the trial court on the ground that Solar had been denied due process
by the Board. LibLex
Petitioner Board claims that under P.D. No. 984, Section 7(a), it has legal
authority to issue ex parte orders to suspend the operations of an establishment
when there is prima facie evidence that such establishment is discharging
effluents or wastewater, the pollution level of which exceeds the maximum
permissible standards set by the NPCC (now, the Board). Petitioner Board
contends that the reports before it concerning the effluent discharges of Solar
into the Tullahan-Tinejeros River provided prima facie evidence of violation by
Solar of Section 5 of the 1982 Effluent Code.
Solar, on the other hand, contends that under the Board's own rules and
regulations, an ex parte order may issue only if the effluents discharged pose an
"immediate threat to life, public health; safety or welfare, or to animal and plant
life." In the instant case, according to Solar, the inspection reports before the
Board made no finding that Solar's wastewater discharged posed such a threat.
The Court is not persuaded by Solar's contention. Section 7(a) of P.D. No.
984 authorized petitioner Board to issue ex parte cease and desist orders under
the following circumstances:
"P.D. 984, Section 7, paragraph (a), provides:
(a) Public Hearing . . . Provided, That whenever the Commission finds
prima facie evidence that the discharged sewage or wastes are of
immediate threat to life, public health, safety or welfare, or to animal or
plant life, or exceeds the allowable standards set by the Commission,
the Commissioner may issue an ex-parte order directing the
discontinuance of the same or the temporary suspension or cessation of
operation of the establishment or person generating such sewage or
wastes without the necessity of a prior public hearing. The said ex-parte
order shall be immediately executory and shall remain in force until said
establishment or person prevents or abates the said pollution within the
allowable standards or modified or nullified by a competent court."
(Emphasis supplied).
We note that under the above-quoted portion of Section 7(a) of P.D. No. 984,
an ex parte cease and desist order may be issued by the Board (a) whenever the
wastes discharged by an establishment pose an "immediate threat to life, public
health, safety or welfare, or to animal or plant life," or (b) whenever such
discharges or wastes exceed "the allowable standards set by the [NPCC]." On
the one hand, it is not essential that the Board prove that an "immediate threat to
life, public health, safety or welfare, or to animal or plant life" exists before an ex
parte cease and desist order may be issued. It is enough if the Board finds that
the wastes discharged do exceed "the allowable standards set by the [NPCC]."
In respect of discharges of wastes as to which allowable standards have been
set by the Commission, the Board may issue an ex parte cease and desist order
when there is prima facie evidence of an establishment exceeding such
allowable standards. Where, however, the effluents or discharges have not yet
been the subject matter of allowable standards set by the Commission, then the
Board may act on an ex parte basis when it finds at least prima facie proof that
the wastewater or material involved presents an "immediate threat to life, public
health, safety or welfare or to animal or plant life." Since the applicable standards
set by the Commission existing at any given time may well not cover every
possible or imaginable kind of effluent or waste discharge, the general standard
of an "immediate threat to life public health, safety or welfare, or to animal and
plant life" remains necessary. Cdpr
Upon the other hand, the Court must assume that the extant allowable standards
have been set by the Commission or Board precisely in order to avoid or
neutralize an "immediate threat to life, public health, safety or welfare, or to
animal or plant life."
Section 5 of the Effluent Regulations of 1982 4 sets out the maximum
permissible levels of physical and chemical substances which effluents from
domestic wastewater treatment plants and industrial plants must not exceed
"when discharged into bodies of water classified as Class A, B, C, D, SB and SC
in accordance with the 1978 NPCC Rules and Regulations." The waters of
Tullahan-Tinejeros River are classified as inland waters Class D under Section
68 of the 1978 NPCC Rules and Regulations, 5 which in part provides that:
"Section 68. Water Usage and Classification. The quality of Philippine
waters shall be maintained in a safe and satisfactory condition according
to their best usages. For this purpose, all water shall be classified
according to the following beneficial usages:
(a) Fresh Surface Water.
Classification Best usage
xxx xxx xxx
Class D For agriculture, irrigation,
live stock watering and
industrial cooling and
processing
xxx xxx xxx
(Emphases supplied)
The reports on the inspections carried on Solar's wastewater treatment facilities
on 5 and 12 November 1986 and 6 September 1988 set forth the following
identical finding:
"a. For legal action in [view of] violation of Section 103 of the
implementing rules and regulations of P.D. No. 984 and Section 5 of the
Effluent Regulations of 1982." 6
Placing the maximum allowable standards set in Section 5 of the Effluent
Regulations of 1982 alongside the findings of the November 1986 and
September 1988 inspection reports, we get the following results:
"Inland November September
Waters 1986 1988
It should perhaps be made clear the Court is not here saying that the correctness
of the ex parte Order and Writ of Execution may not be contested by Solar in a
hearing before the Board itself. Where the establishment affected by an ex
parte cease and desist order contests the correctness of the prima facie findings
of the Board, the Board must hold a public hearing where such establishment
would have an opportunity to controvert the basis of such ex parte order. That
such an opportunity is subsequently available is really all that is required by the
due process clause of the Constitution in situations like that we have here. The
Board's decision rendered after the public hearing may then be tested judicially
by an appeal to the Court of Appeals in accordance with Section 7(c) of P.D. No.
984 and Section 42 of the Implementing Rules and Regulations. A subsequent
public hearing is precisely what Solar should have sought instead of going to
court to seek nullification of the Board's Order and Writ of Execution and instead
of appealing to the Court of Appeals. It will be recalled that the Board in fact gave
Solar authority temporarily to continue operations until still another inspection of
its wastewater treatment facilities and then another analysis of effluent samples
could be taken and evaluated.
Solar claims finally that the petition for certiorari was the proper remedy as the
questioned Order and Writ of Execution issued by the Board were patent
nullities. Since we have concluded that Order and Writ of Execution were entirely
within the lawful authority of petitioner Board, the trial court did not err when it
dismissed Solar's petition for certiorari. It follows that the proper remedy was an
appeal from the trial court to the Court of Appeals, as Solar did in fact appeal.
ACCORDINGLY, the Petition for Review is given DUE COURSE and the
Decision of the Court of Appeals dated 7 February 1990 and its Resolution dated
10 May 1990 in A.C.-G.R. No. SP 18821 are hereby SET ASIDE. The Order of
petitioner Board dated 22 September 1988 and the Writ of Execution, as well as
the decision of the trial court dated 21 July 1989, are hereby REINSTATED,
without prejudice to the right of Solar to contest the correctness of the basis of
the Board's Order and Writ of Execution at a public hearing before the Board.
Fernan, C.J., Gutierrez, Jr., Bidin and Davide, Jr., JJ., concur.
(Pollution Adjudication Board v. Court of Appeals, G.R. No. 93891 (Resolution),
|||
TECHNOLOGY DEVELOPERS,
INC., petitioner, vs. COURT OF APPEALS, HON. NARCISO T.
ATIENZA as Presiding Judge, Bulacan, RTC, and HON.
VICENTE CRUZ, Acting Mayor and the MUNICIPALITY OF STA.
MARIA, BULACAN,respondents.
DECISION
GANCAYCO, J : p
The authority of the local executive to protect the community from pollution is the
center of this controversy. prcd
Reassessing all the evidence adduced, the lower court, on June 14,
1989, issued an order (a) setting aside the order dated April 28, 1989,
which granted a Writ of Preliminary Mandatory Injunction, and (b)
dissolving the writ consequently issued.
A motion for reconsideration dated July 6, 1989 was filed by petitioner.
Said motion drew an opposition dated July 19, 1989 from private
respondent.
Resolving the petitioner's motion for reconsideration, the respondent
judge issued an order dated August 9, 1989, denying said motion for
reconsideration. 1
Hence a petition for certiorari and prohibition with preliminary injunction was filed
by petitioner in the Court of Appeals seeking to annul and set aside (a) the order
issued by the trial court on June 14, 1989, setting aside the order dated April 28,
1989, and (b) the order of August 9, 1989, denying petitioner's motion for
reconsideration of the order of June 14, 1989. In due course the petition was
denied for lack of merit by the appellate court in a decision dated January 26,
1990. 2 A motion for reconsideration thereof filed by petitioner was denied on
August 10, 1990. LexLib
Thus, the herein petition for review on certiorari filed with this Court. Six errors
are alleged to have been committed by the appellatecourt which may be
synthesized into the singular issue of whether or not the
appellate court committed a grave abuse of discretion in rendering its questioned
decision and resolution.
The petition is devoid of merit.
The well-known rule is that the matter of issuance of a writ of preliminary
injunction is addressed to the sound judicial discretion of the trial court and its
action shall not be disturbed on appeal unless it is demonstrated that it acted
without jurisdiction or in excess ofjurisdiction or otherwise, in grave abuse of its
discretion. By the same token the court that issued such a preliminary relief may
recall or dissolve the writ as the circumstances may warrant.
To the mind of the Court the following circumstances militate against the
maintenance of the writ of preliminary injunction sought by petitioner:
1. No mayor's permit had been secured. While it is true that the
matter of determining whether there is a pollution of the environment that
requires control if not prohibition of the operation of a business is
essentially addressed to the then National Pollution Control
Commission of the Ministry of Human Settlements, now the
Environmental Management Bureau of the Department of Environment
and Natural Resources, it must be recognized that the mayor of a town
has as much responsibility to protect its inhabitants from pollution, and
by virtue of his police power, he may deny the application for a permit to
operate a business or otherwise close the same unless appropriate
measures are taken to control and/or avoid injury to the health of the
residents of the community from the emissions in the operation of the
business. LexLib
All these factors justify the dissolution of the writ of preliminary injunction by the
trial court and the appellate court correctly upheld the action of the lower court.
Petitioner takes note of the plea of petitioner focusing on its huge investment in
this dollar-earning industry. It must be stressed however, that concomitant with
the need to promote investment and contribute to the growth of the economy is
the equally essential imperative of protecting the health, nay the very lives of the
people, from the deleterious effect of the pollution of the environment. cdphil
DECISION
PARAS, J : p
The above new rules are made effective no earlier than June 30, 1986. In the
instant case, respondent Court's decision was received by plaintiffs on April 3,
1986. Plaintiffs or petitioners herein filed on April 15, 1986 a motion for extension
of 30 days from April 18, 1986 or up to May 18, 1986 to file a motion for
reconsideration. On May 10, 1986, plaintiffs filed their motion for reconsideration.
Plaintiffs' motion for extension of time was not intended for delay but upon
showing of good cause, to wit: "for lack of material time due to heavy pressure of
work on the part of petitioners' counsel presently taking charge thereof, what is
more the counsel handling this case was doing so for the first time in substitution
of Atty. Emmanuel Pelaez, who was recently appointed Philippine Ambassador
to the U.S."
It is clear therefore that petitioners' motion was based on good cause and was
filed opportunely making the act of respondent Courtunwarranted in denying
petitioners' motion for extension of time to file its motion for reconsideration. llcd
Another important issue raised by the petitioners is that the "subject decision
which purports to set aside the order of default rendered by the trial court is a
nullity because respondent court arbitrarily ignored in grave abuse of discretion
amounting to lack of jurisdiction 1) the conclusive effect of the trial court's final
and unappealed order denying defendant's motion to set aside the default order,"
and 2) the res judicata effect of the appellate court's final judgment in the
injunction case aforementioned upholding the trialcourt's order granting execution
of its judgment pending appeal and, necessarily, the default order as well 3) the
law of the case effect of the appellate court's express ruling in the said injunction
case sustaining the default order.
Petitioners' contentions merit our consideration.
It has been Our consistent ruling that a default order, being interlocutory, is not
appealable but an order denying a motion or petition to set aside an order of
default is not merely interlocutory but final and therefore immediately
appealable. 5
Since the trial court's order of November 13, 1981, denying defendant's motion to
set aside the order of default was appealable but was not appealed by
defendant, the necessary conclusion is that the default order became final.
Clearly therefore, respondent Courtcommitted a grave abuse of discretion in
disregarding the finality of the default order.
The validity and finality of the default order was upheld by the judgment of
the Appellate Court in the injunction case (which passed upon the merits of the
issuance of an order of execution pending appeal) by virtue of the principle of res
judicata and the doctrine re the law of the case.
There is no question that there were good reasons for the trial court to issue the
order of execution pending appeal. The order categorically stated that there was
a need for the closure and stoppage of the operation of defendant's (Daytona
Construction) cement batching plant because it posed "a great menace to the
neighborhood both in point of health and property." The trial court thus stated:
"From the uncontroverted evidence presented by the plaintiffs, there is
hardly any question that the cement dust coming from the batching plant
of the defendant corporation is injurious to the health of the plaintiffs and
other residents in the area. The noise, the vibration, the smoke and the
odor generated by the day and night operation of the plant must indeed
be causing them serious discomfort and untold miseries. Its operation
therefore violates certain rights of the plaintiffs and causes them
damage. It is thus a nuisance and its abatement justified." (Decision,
p. 5; p. 90, Rollo).
after taking into consideration evidence presented by plaintiffs (petitioners
herein) as follows:
"The evidence shows that the defendant is a domestic corporation duly
organized and existing under the laws of the Philippines with business
address of 252 Don Mariano Marcos Avenue (actually South
Zuzuarregui Avenue), Quezon City. It was issued by the Quezon City
government a business permit (Exhibit B) for the manufacture of road
and building concrete materials such as concrete aggregates, with
cement batching plant. Among the conditions set forth in the permit are
that the said batching plant shall (1) institute measures to prevent dust
emission during the manual charging of cement from bags to the
receiving hopper of the bucket elevator of the batching plant; (2) remove
all sediment deposit in the settling of tank for process water and proper
maintenance should be observed at all times. While the original permit
issued to the defendant stated that its operation at the place shall `not
(be) beyond Dec. 31, 1979' (Exhibit B-2), it was somehow allowed to
operate way beyond said period.
"Plaintiff Ernesto Ll. Rodriguez III testified that he has three parcels of
residential lots adjacent to the Daytona compound. He informed
the Court that his property, with an area of 8,892 square meters has
been over-run by effluence from the cement batching plant of the
defendant. The sediment settled on the lots and all forms of vegetation
have died as a result, and the land tremendously diminished in value.
His three lots are located in a prime residential zone and each square
meter in the area is easily valued at P500.00. While he would like to sell
at least a part of his property, he finds no buyer because of its condition.
It would cost him no less than P250,000.00 to be able to repair the
damage done to his property, and since its present condition has been
existing during the last five years, he claimed that the interest on his loss
would be about P5,000.00. He has agreed to his counsel's fee of
P200,000.00. Zenaida Rodriguez testified that she owns a lot with an
area of 1,500 square meters. Two thirds of this area has been damaged
by the cement dust, emanating from the defendant's cement batching
plant. The continuous flow of cement dust into her property affected her
deep well, their source of drinking water, and most of their fruit-bearing
and ornamental trees dried up. She also said that she has had sleepless
nights and became nervous as a result of the batching plant operation.
Even her previous pedigreed poodles have been afflicted by all sorts of
illnesses, many of them dying in the process. She claimed to have
sustained damages amounting to P370,000.00.
"Sacha del Rosario testified that her house has to close its windows
most of the time because of the dust pollution and her precious plants
have been destroyed by the cement powder coming from the constant
traffic of trucks and other vehicles carrying the product of the batching
plant passing through her area. She claims damages amounting to more
than P100,000.00.
"A chemical engineer, Alexander Cruz, said that the effluence deposited
on the properties of Ernesto Ll. Rodriguez III and ZenaidaRodriguez has
a very high PH, 11.8, and the soil is highly alkaline and cannot support
plant life; that pollution coming from the batching plant can cause
stomach disorder and skin problems; that the place of Ernesto
Ll. Rodriguez III is bare of grass and the trees are dying, (Exhibits J, J-1
and J-2) and that there is also a high degree of calcium on the property
in question.
"Witness Guido L. Quiban, a civil engineer, testified that on the basis of
his examination of the property of Rodriguez III affected by the pollution,
it would cost at least P250,000.00 for the excavation filling, concreting of
canal and rental of equipment to repair it or restore it to its status quo
ante.
"Lawyer Ernesto R. Rodriguez, Jr., the 70-year old father of both Ernesto
III and Zenaida Z. Rodriguez, submitted a medical certificate that he had
recently been taken ill with acute bronchial asthma, hypertension and
atherosclerotic heart disease. (Exhibits L, L-1 to L-4). His physician, a
specialist graduate from the University of London and connected with
various hospitals in Manila, advised him against exposure to
environmental allegens, specifically cement dust and pollution. He also
submitted as exhibits various newspaper clippings (Exhibit M) and
excerpts from a book (Exhibits N and N-1) showing that pollution can
irritate the eye, sear lungs and destroy vegetation, raise blood pressure,
increase cholesterol levels, interfere with sleep, cause ulcer, trigger
heart attacks and the like; that it is the common denominator of
respiratory diseases, especially asthma chronic bronchitis, bronchial
asthma and emphysema; and that polluted air can develop abnormalities
in lung function.
"Dr. Raul I. del Rosario, a neighboring physician, testified that he had
treated several patients who traced their sickness to the pollution caused
by defendant Daytona batching plant. He said that cement dust
produces broncho-pulmonary obstructive diseases, broncho fibriotic
lesions which may produce cardio pulmonary complications, and the
people living in the neighborhood of the batching plant are the most
susceptible to these diseases. He reported many cases of bronchial
asthma in both children and adult who live in the vicinity of the cement
batching plant and these cases have been intermittently admitted and
discharged from the Quirino Labor Hospital where he presently works as
a resident physician. He had intended to open a medical clinic at his
residence but he could not do so because the washings from the cement
mixers are dumped on the access road in front of his house and when
these washings are dried up they pollute the neighborhood, rendering
his intended medical clinic unfit and impractical for the treatment of
patients, particularly those suffering from respiratory ailments.
"Another lawyer, Eliseo Alampay, Jr., who likewise resides a few meters
away from the site of the Daytona batching plant, testified that the said
plant is certainly injurious to the health; that the cement dust are agents
of lung ailments, impair the growth of plants and even kill the birds in
their cages; that it is a demonstrable nuisance because its uncontrolled
engine noise and nightlong pounding prevent the neighborhood from
being able to sleep soundly and peacefully. He told the court that there
was a time when he felt like organizing the whole neighborhood into a
demolition team to forcibly dismantle the entire Daytona plant because
`the authorities concerned apparently have chosen to close their eyes
and leave us to our miserable plight.' He said that the homes in the
community all look dirty and dusty because of the pollution that the
batching plant of the defendant causes." (Decision in Injunction Case,
AC-G.R. No. 14602-SP, pp. 10-14).
Anent the default order, the appellate court in the injunction case said:
"From the foregoing, it appears that petitioner was recreant in failing to
file an answer after respondent judge denied its motion to dismiss the
complaint. The motion to dismiss was denied in the order of the
lower court under date of April 3, 1981, a copy of which was received by
petitioner on April 23, 1981. A motion for reconsideration of the order of
denial filed by petitioner on May 7, 1981 was denied by said court on
July 7, 1981. Instead of filing an answer promptly, petitioner filed with the
Supreme Court a motion for extension of time to file a petition for
review, but it never filed one, prompting the Supreme Court to issue
a resolutiondated October 5, 1981 informing the parties that no petition
for review was filed within the period that expired on August 15, 1981.
Inspite of the Supreme Court's resolution, petitioner still failed to file any
answer or pleading to arrest the running of the prescriptive period. It was
only on July 23, 1982, when petitioner filed its Petition for Relief which
was nine (9) months after the Supreme Court's resolution was issued.
Petitioner's assertion in its Petition for Relief that the failure to file the
answer was caused by `the unforseen sickness of its corporate secretary
who has custody of the records necessary for the preparation of its
defense' cannot be taken without much doubt and hesitation. Petitioner
did not even point out who was the supposed corporate secretary or
explain why the records were in the possession of the corporate
secretary instead of the counsel handling the case." (Decision in
Injunction case, p. 16; emphasis supplied)
With reference to defendant's allegation that it thought that the period within
which to answer (after its motion to dismiss had been denied) had been
suspended by its having filed a petition for review before the Supreme Court,
same is without merit. The circumstances of the case point to a deliberate desire
to delay: the corporation, governed as it is by knowledgeable business
executives, should have taken steps to prevent its being declared in default. The
corporation waited six (6) months before verifying the status of the case: in the
meantime it had been declared in default, a judgment by default had been
rendered against it, execution was already pending before it woke up to file the
case at hand. Cdpr
We agree with Justice Luis A. Javellana in his concurring opinion in the injunction
case before the appellate court, thus:
"Petitioner's conduct here appears to me to be tainted with fraud and
intended simply to delay the disposition of the case. When its motion to
dismiss the complaint was denied, and its motion for reconsideration of
that denial was, likewise, denied, it manifested its intention to elevate
these orders to the Supreme Court on a petition for review. Yet, it did
nothing to this end. The purpose of the ploy is obvious. Once it had
announced its intention to go to the Supreme Court it effectively
suspended the proceedings in the trial court, or, at least, that was the
effect. This enabled it to continue with its operations and it would have
done so indefinitely if it had not been declared in default and private
respondents allowed to present their evidence. It is quite apparent that
petitioner really had no intention of elevating the case to the
Supreme Court, otherwise, it would not have allowed the extended
period given to it by the Supreme Court to lapse without filing the
petition. Or, if it was in good faith, then, it should have in formed the
trialcourt that it was no longer pursuing its remedy in the Supreme Court,
after it had decided that it was no longer availing of such remedy.
Instead, it concealed this fact from the trial court and the adverse party,
and allowed matters to take their course. It was not until it received the
adverse decision that it frantically sought to set things right. I do not think
that petitioner deserves any consideration for trifling with the
administration of justice." (pp. 3-4; emphasis supplied)
WHEREFORE, the assailed decision and resolution are hereby SET ASIDE, and
a new judgment is hereby rendered REINSTATING the decision of the
trial court with the modification that all awards for nominal damages are hereby
eliminated. Costs against private respondent.
SO ORDERED.
Fernan, Padilla and Cortes, JJ., concur.
Bidin, J., took no part. See footnote no. 1.
Se
(Rodriguez, Jr. v. Intermediate Appellate Court, G.R. No. 74816, [March 17,
|||
RESOLUTION
QUISUMBING, J : p
creates acid rain; and with ammonia, moisture and other compounds, it reacts to
form nitric acid and harmful nitrates. Fuel emissions also cause retardation and
leaf bleaching in plants. According to petitioner, another emission, carbon
monoxide (CO), when not completely burned but emitted into the atmosphere
and then inhaled can disrupt the necessary oxygen in blood. With prolonged
exposure, CO affects the nervous system and can be lethal to people with weak
hearts. 6
Petitioners add that although much of the new power generated in the country
will use natural gas while a number of oil and coal-fired fuel stations are being
phased-out, still with the projected doubling of power generation over the next 10
years, and with the continuing high demand for motor vehicles, the energy and
transport sectors are likely to remain the major sources of harmful emissions.
Petitioners refer us to the study of the Philippine Environment Monitor 2002 7,
stating that in four of the country's major cities, Metro Manila, Davao, Cebu and
Baguio, the exposure to PM10, a finer PM which can penetrate deep into the
lungs causing serious health problems, is estimated at over US$430
million. 8 The study also reports that the emissions of PMs have caused the
following:
Over 2,000 people die prematurely. This loss is valued at about
US$140 million.
Over 9,000 people suffer from chronic bronchitis, which is valued at
about US$120 million.
Nearly 51 million cases of respiratory symptom days in Metro Manila
(averaging twice a year in Davao and Cebu, and five to six times
in Metro Manila and Baguio), costs about US$170 million. This is
a 70 percent increase, over a decade, when compared with the
findings of a similar study done in 1992 for Metro Manila, which
reported 33 million cases. 9
Petitioners likewise cite the University of the Philippines' studies in 1990-91 and
1994 showing that vehicular emissions in Metro Manila have resulted to the
prevalence of chronic obstructive pulmonary diseases (COPD); that pulmonary
tuberculosis is highest among jeepney drivers; and there is a 4.8 to 27.5 percent
prevalence of respiratory symptoms among school children and 15.8 to
40.6 percent among child vendors. The studies also revealed that the children in
Metro Manila showed more compromised pulmonary function than their rural
counterparts. Petitioners infer that these are mostly due to the emissions of
PUVs. TEHIaA
emits 60 percent less PMs; and releases virtually no sulfur dioxide. Although,
according to petitioners, the only drawback of CNG is that it produces more
methane, one of the gases blamed for global warming. 11
Asserting their right to clean air, petitioners contend that the bases for their
petition for a writ of mandamus to order the LTFRB to require PUVs to use CNG
as an alternative fuel, lie in Section 16, 12 Article II of the 1987 Constitution, our
ruling in Oposa v. Factoran, Jr.,13 and Section 4 14 of Republic Act No.
8749 otherwise known as the "Philippine Clean Air Act of 1999."
Meantime, following a subsequent motion, the Court granted petitioners' motion
to implead the Department of Transportation and Communications (DOTC) as
additional respondent.
In his Comment for respondents LTFRB and DOTC, the Solicitor General, cites
Section 3, Rule 65 of the Revised Rules of Court and explains that the writ
of mandamus is not the correct remedy since the writ may be issued only to
command a tribunal, corporation,board or person to do an act that is required to
be done, when he or it unlawfully neglects the performance of an act which the
law specifically enjoins as a duty resulting from an office, trust or station, or
unlawfully excludes another from the use and enjoyment of a right or office to
which such other is entitled, there being no other plain, speedy and adequate
remedy in the ordinary course of law. 15Further citing existing jurisprudence, the
Solicitor General explains that in contrast to a discretionary act, a ministerial act,
which amandamus is, is one in which an officer or tribunal performs in a given
state of facts, in a prescribed manner, in obedience to a mandate of legal
authority, without regard to or the exercise of his own judgment upon the
propriety or impropriety of an act done.
The Solicitor General also notes that nothing in Rep. Act No. 8749 that
petitioners invoke, prohibits the use of gasoline and diesel by owners of motor
vehicles. Sadly too, according to the Solicitor General, Rep. Act No. 8749 does
not even mention the existence of CNG as alternative fuel and avers that unless
this law is amended to provide CNG as alternative fuel for PUVs, the
respondents cannot propose that PUVs use CNG as alternative fuel.
The Solicitor General also adds that it is the DENR that is tasked to
implement Rep. Act No. 8749 and not the LTFRB nor the DOTC. Moreover, he
says, it is the Department of Energy (DOE), under Section 26 16 of Rep. Act No.
8749, that is required to set the specifications for all types of fuel and fuel-related
products to improve fuel compositions for improved efficiency and reduced
emissions. He adds that under Section 21 17 of the cited Republic Act, the DOTC
is limited to implementing the emission standards for motor vehicles, and the
herein respondents cannot alter, change or modify the emission standards. The
Solicitor General opines that the Court should declare the instant petition
for mandamus without merit.
Petitioners, in their Reply, insist that the respondents possess the administrative
and regulatory powers to implement measures in accordance with the policies
and principles mandated by Rep. Act No. 8749, specifically Section 2 18 and
Section 21. 19 Petitioners state that under these laws and with all the available
information provided by the DOE on the benefits of CNG, respondents cannot
ignore the existence of CNG, and their failure to recognize CNG and compel its
use by PUVs as alternative fuel while air pollution brought about by the
emissions of gasoline and diesel endanger the environment and the people, is
tantamount to neglect in the performance of a duty which the law enjoins.
Lastly, petitioners aver that other than the writ applied for, they have no other
plain, speedy and adequate remedy in the ordinary course of law. Petitioners
insist that the writ in fact should be issued pursuant to the very same Section 3,
Rule 65 of the Revised Rules of Court that the Solicitor General invokes.
In their Memorandum, petitioners phrase the issues before us as follows:
I. WHETHER OR NOT THE PETITIONERS HAVE THE PERSONALITY
TO BRING THE PRESENT ACTION
II. WHETHER OR NOT THE PRESENT ACTION IS SUPPORTED BY
LAW
III. WHETHER OR NOT THE RESPONDENT IS THE AGENCY
RESPONSIBLE TO IMPLEMENT THE SUGGESTED
ALTERNATIVE OF REQUIRING PUBLIC UTILITY VEHICLES TO
USE COMPRESSED NATURAL GAS (CNG) HETDAC
Petitioners insist that since it is the LTFRB and the DOTC that are the
government agencies clothed with power to regulate and control motor vehicles,
particularly PUVs, and with the same agencies' awareness and knowledge that
the PUVs emit dangerous levels of air pollutants, then, the responsibility to see
that these are curbed falls under respondents' functions and a writ
of mandamus should issue against them.
The Solicitor General, for his part, reiterates his position that the respondent
government agencies, the DOTC and the LTFRB, are not in a position to compel
the PUVs to use CNG as alternative fuel. The Solicitor General explains that the
function of the DOTC is limited to implementing the emission standards set forth
in Rep. Act No. 8749 and the said law only goes as far as setting the maximum
limit for the emission of vehicles, but it does not recognize CNG as alternative
engine fuel. The Solicitor General avers that the petition should be addressed to
Congress for it to come up with a policy that would compel the use of CNG as
alternative fuel.
Patently, this Court is being asked to resolve issues that are not only procedural.
Petitioners challenge this Court to decide if what petitioners propose could be
done through a less circuitous, speedy and unchartered course in an issue that
Chief Justice Hilario G. Davide, Jr. in his ponencia in
the Oposa case, 24 describes as "inter-generational responsibility" and "inter-
generational justice."
Now, as to petitioners' standing. There is no dispute that petitioners have
standing to bring their case before this Court. Even respondents do not question
their standing. This petition focuses on one fundamental legal right of petitioners,
their right to clean air. Moreover, as held previously, a party's standing before this
Court is a procedural technicality which may, in the exercise of the Court's
discretion, be set aside in view of the importance of the issue raised. We brush
aside this issue of technicality under the principle of the transcendental
importance to the public, especially so if these cases demand that they be settled
promptly.
Undeniably, the right to clean air not only is an issue of paramount importance to
petitioners for it concerns the air they breathe, but it is also impressed with public
interest. The consequences of the counter-productive and retrogressive effects of
a neglected environment due to emissions of motor vehicles immeasurably affect
the well-being of petitioners. On these considerations, the legal standing of the
petitioners deserves recognition.
Our next concern is whether the writ of mandamus is the proper remedy, and if
the writ could issue against respondents.
Under Section 3, Rule 65 of the Rules of Court, mandamus lies under any of the
following cases: (1) against any tribunal which unlawfully neglects the
performance of an act which the law specifically enjoins as a duty; (2) in case
any corporation, board or person unlawfully neglects the performance of an act
which the law enjoins as a duty resulting from an office, trust, or station; and (3)
in case any tribunal, corporation, board or person unlawfully excludes another
from the use and enjoyment of a right or office to which such other is legally
entitled; and there is no other plain, speedy, and adequate remedy in the
ordinary course of law.
In University of San Agustin, Inc. v. Court of Appeals, 25 we said,
. . . It is settled that mandamus is employed to compel the performance,
when refused, of a ministerial duty, this being its main objective. It does
not lie to require anyone to fulfill contractual obligations or to compel a
course of conduct, nor to control or review the exercise of discretion. On
the part of the petitioner, it is essential to the issuance of a writ
of mandamus that he should have a clear legal right to the thing
demanded and it must be the imperative duty of the respondent to
perform the act required. It never issues in doubtful cases. While it may
not be necessary that the duty be absolutely expressed, it must
however, be clear. The writ will not issue to compel an official to do
anything which is not his duty to do or which is his duty not to do, or give
to the applicant anything to which he is not entitled by law. The writ
neither confers powers nor imposes duties. It is simply a command to
exercise a power already possessed and to perform a duty already
imposed. (Emphasis supplied.)
In this petition the legal right which is sought to be recognized and enforced
hinges on a constitutional and a statutory policy already articulated in operational
terms, e.g. in Rep. Act No. 8749, the Philippine Clean Air Act of 1999. Paragraph
(a), Section 21 of the Act specifically provides that when PUVs are concerned,
the responsibility of implementing the policy falls on respondent DOTC. It
provides as follows:
SEC 21. Pollution from Motor Vehicles. a) The DOTC shall implement
the emission standards for motor vehicles set pursuant to and as
provided in this Act. To further improve the emission standards, the
Department [DENR] shall review, revise and publish the standards every
two (2) years, or as the need arises. It shall consider the maximum limits
for all major pollutants to ensure substantial improvement in air quality
for the health, safety and welfare of the general public.
Paragraph (b) states:
b) The Department [DENR] in collaboration with the DOTC, DTI and
LGUs, shall develop an action plan for the control and management
of air pollution from motor vehicles consistent with the Integrated Air
Quality Framework . . . . (Emphasis supplied.)
There is no dispute that under the Clean Air Act it is the DENR that is tasked to
set the emission standards for fuel use and the task of developing an action plan.
As far as motor vehicles are concerned, it devolves upon the DOTC and the line
agency whose mandate is to oversee that motor vehicles prepare an action plan
and implement the emission standards for motor vehicles, namely the LTFRB.
In Oposa 26 we said, the right to a balanced and healthful ecology carries with it
the correlative duty to refrain from impairing the environment. We also said, it is
clearly the duty of the responsible government agencies to advance the said
right.
Petitioners invoke the provisions of the Constitution and the Clean Air Act in their
prayer for issuance of a writ of mandamuscommanding the respondents to
require PUVs to use CNG as an alternative fuel. Although both are general
mandates that do not specifically enjoin the use of any kind of fuel, particularly
the use of CNG, there is an executive order implementing a program on the use
of CNG by public vehicles. Executive Order No. 290, entitled Implementing the
Natural Gas Vehicle Program for Public Transport (NGVPPT), took effect on
February 24, 2004. The program recognized, among others, natural gas as a
clean burning alternative fuel for vehicle which has the potential to produce
substantially lower pollutants; and the Malampaya Gas-to-Power Project as
representing the beginning of the natural gas industry of the Philippines.
Paragraph 1.2, Section 1 of E.O. No. 290 cites as one of its objectives, the use of
CNG as a clean alternative fuel for transport. Furthermore, one of the
components of the program is the development of CNG refueling stations and all
related facilities in strategic locations in the country to serve the needs of CNG-
powered PUVs. Section 3 ofE.O. No. 290, consistent with E.O. No. 66, series of
2002, designated the DOE as the lead agency (a) in developing the natural gas
industry of the country with the DENR, through the EMB and (b) in formulating
emission standards for CNG. Most significantly, par. 4.5, Section 4 tasks the
DOTC, working with the DOE, to develop an implementation plan for "a gradual
shift to CNG fuel utilization in PUVs and promote NGVs [natural gas vehicles] in
Metro Manila and Luzon through the issuance of directives/orders providing
preferential franchises in present day major routes and exclusive franchises to
NGVs in newly opened routes. . ." A thorough reading of the executive order
assures us that implementation for a cleaner environment is being addressed. To
a certain extent, the instant petition had been mooted by the issuance
of E.O. No. 290.
Regrettably, however, the plain, speedy and adequate remedy herein sought by
petitioners, i.e., a writ of mandamus commanding the respondents to require
PUVs to use CNG, is unavailing. Mandamus is available only to compel the doing
of an act specifically enjoined by law as a duty. Here, there is no law that
mandates the respondents LTFRB and the DOTC to order owners of motor
vehicles to use CNG. At most the LTFRB has been tasked by E.O. No. 290 in
par. 4.5 (ii), Section 4 "to grant preferential and exclusive Certificates of Public
Convenience (CPC) or franchises to operators of NGVs based on the results of
the DOTC surveys."
Further, mandamus will not generally lie from one branch of government to a
coordinate branch, for the obvious reason that neither is inferior to the
other. 27 The need for future changes in both legislation and its implementation
cannot be preempted by orders from this Court, especially when what is prayed
for is procedurally infirm. Besides, comity with and courtesy to a coequal branch
dictate that we give sufficient time and leeway for the coequal branches to
address by themselves the environmental problems raised in this petition.
In the same manner that we have associated the fundamental right to a balanced
and healthful ecology with the twin concepts of "inter-generational responsibility"
and "inter-generational justice" in Oposa, 28 where we upheld the right of future
Filipinos to prevent the destruction of the rainforests, so do we recognize, in this
petition, the right of petitioners and the future generation to clean air. InOposa we
said that if the right to a balanced and healthful ecology is now explicitly found
in the Constitution even if the right is "assumed to exist from the inception of
humankind,. . . it is because of the well-founded fear of its framers [of the
Constitution] that unless the rights to a balanced and healthful ecology and to
health are mandated as state policies by the Constitution itself, thereby
highlighting their continuing importance and imposing upon the state a solemn
obligation to preserve the first and protect and advance the second, the day
would not be too far when all else would be lost not only for the present
generation, but also for those to come. . ." 29
It is the firm belief of this Court that in this case, it is timely to reaffirm the
premium we have placed on the protection of the environment in the landmark
case of Oposa. Yet, as serious as the statistics are on air pollution, with the
present fuels deemed toxic as they are to the environment, as fatal as these
pollutants are to the health of the citizens, and urgently requiring resort to drastic
measures to reduce air pollutants emitted by motor vehicles, we must admit in
particular that petitioners are unable to pinpoint the law that imposes an
indubitable legal duty on respondents that will justify a grant of the writ
of mandamus compelling the use of CNG for public utility vehicles. It appears to
us that more properly, the legislature should provide first the specific statutory
remedy to the complex environmental problems bared by herein petitioners
before any judicial recourse by mandamus is taken.
WHEREFORE, the petition for the issuance of a writ of mandamus is
DISMISSED for lack of merit. cSCADE
SO ORDERED.
Carpio, Carpio Morales, Tinga and Velasco, Jr., JJ., concur.
(Henares, Jr. v. Land Transportation Franchising and Regulatory Board, G.R.
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