Dec 25, 2008

Stiffer Penalties for Illegal Possession, Manufacture of Explosives Now a Law

President Gloria Macapagal-Arroyo has signed into law a bill imposing stiffer penalties for illegal possession and manufacture of explosives in the country.

Executive Secretary Eduardo Ermita said Republic Act (RA) 9516 was among four legislative measures signed into law by the President on Tuesday (Dec. 23).

RA 9516 amends Presidential Decree No. 1866 known as the Illegal Possession of Firearms and Explosives.

Under RA 9516, any person, companies or corporations found possessing or manufacturing illegal/unlawful explosives, dealing in, acquisition or disposition of firearms, ammunition or explosives or instruments used in the manufacture of firearms are subject to stiffer penalties.

The law also imposes reclusion perpetua for the following acts:

* Unlawful manufacture, sales, acquisition, disposition, importation, or possession of an explosive or incendiary device

* b) Unlawful manufacture, sale, acquisition, disposition, importation or possession of a part, ingredient, machinery, tool or instrument used or intended to be used for the manufacture, construction, assembly, delivery or detonation.
* c) To the owner, president, manager, director or other responsible officer of any public or private firm, company, corporation or entity who willfully or knowingly allow any explosive or incendiary device or parts thereof owned or controlled by such firm, company, corporation or entity to be used by any person or persons found guilty of committing the two preceding unlawful acts.

“Mere possession of any explosive or incendiary device shall be prima facie evidence that the person had knowledge of the existence and the explosive or incendiary character of the device, or the mere possession of any part, ingredient, machinery, tool or instrument directly used in the manufacture, construction, assembly, delivery or detonation of any explosive or incendiary device, by any person whose business,” the law states.

Ermita said President Arroyo also signed RA 9513 or the Renewable Energy Act of 2008 on Dec. 16, 2008; RA 9514 or the Fire Code of the Philippines of 2008 and the RA 9515, an Act Defining the Liability of Ship Agents in the Tramp Service on Dec. 19, 2008.

Under RA 9513, the Department of Energy is mandated to implement the provisions of the Act and to create the National Renewable Energy Board (NREB) which grants incentives to renewable energy projects and activities.

Among the incentives granted under RA 9513 are the following:

* Income Tax Holiday (ITH) for the first seven years of commercial operations.

* b) Duty-free importation of renewable energy machinery, equipment and materials within the first 10 years upon issuance of a certification of an renewable energy developer.

* c) Special realty tax rates on equipment and machinery of not more than 1.5 percent of their original cost less depreciation.

* d) Net Operating Loss Carry-Over (NOLCO) incurred within the first three years of commercial operation may be carried over as a deduction for the next seven consecutive taxable years.

* e) After 7 years of ITH, pay only a corporate tax of 10 percent of its net taxable income.

* f) Accelerated depreciation.

* g) 0 percent value-added tax rate of the sale of its fuel or power.

* h) Cash incentive or renewable energy developers for missionary. Electrification.

* i) Tax exemption of carbon credits.

* j) Tax Credit on Domestic Capital Equipment Services.

On the other hand, RA 9514 establishes a comprehensive Fire Code of the Philippines. RA 9514 repeals Presidential Decree 1185 (the old Fire Code passed on Aug. 26, 1977) while RA 9515 defines the liability of ship agents in the tramp service.

Source: Office of the President

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