Clsu Abe Review Abe Laws

AGRICULTURAL ENGINEERING LAWS,
PROFESSIONAL ETHICS, ENGINEERING

CONTRACTS, SPECIFICATIONS AND LEGAL
DOCUMENTS
Aldrin E. Badua
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Outline of Presentation
A. Introduction
B. AE/ABE Laws
C. Code of Ethics of AEs/ABEs
D. Engineering Contracts
E. AE/ABE Documents to be Signed and Sealed
F. Laws, Circulars, Memoranda and Policies Relevant to
AE/ABE practice
A. Introduction
COMPETENCY
• Apply Agricultural Engineering Laws, Code of Ethics and other policy
issuances of the Board of Agricultural Engineering in the practice of
profession
• Be able to know the agricultural engineering documents to be prepared,
signed and sealed by licensed agricultural engineer and prepare bid
proposals, contract documents and other legal documents necessary in
the practice of agricultural engineering profession
• Apply and relate relevant laws such as AFMA Law, AFMECH Law, RTL,
Coco Levy Law, Renewable Energy Law, National Building Code, and
Environment Laws in the practice of agricultural engineering profession
“Ignorance of the law is no good excuse, where
every man is bound to take notice of the laws to
which he is subject”
Thomas Hobbes
B. AE/ABE Laws
AE/ABE Laws
• RA 3927 - The first republic act promulgated for the practice of agricultural engineering in the
Philippines. This Act shall be known as the "Philippine Agricultural Engineering Law." It was
enacted on June 18, 1964.
• RA 8559 - an act regulating the practice of agricultural engineering in the Philippines

approved on February 13, 1998. This Act shall be known as the "Philippine Agricultural
Engineering Act of 1998." It was enacted by the House of Representatives and the Senate.
The law aims to promote and upgrade the practice of the profession by instituting measures
that will result in relevant agricultural engineering education and better career prospects for
professional agricultural engineers.
• RA 10915 - This Act shall be known as the “Philippine Agricultural and Biosystems
Engineering Act of 2016”. An Act Strengthening, Modernizing and Aligning the Practice of
Agricultural Engineering in the Country into the Internationally Recognized Practice of
Agricultural and Biosystems Engineering, and for Other Purposes. Lapsed into law on July
21, 2016.
Coverage of RA 10915
1. Examination, registration and licensure of agricultural and biosystems engineers
2. Supervision, control and regulation of the practice of agricultural and biosystems
engineering;
3. Development, upgrading and updating of the curriculum of the agricultural and
biosystems engineering profession in coordination with the Commission on Higher
Education (CHED) and the concerned state universities and colleges (SUCs);
4. Development and improvement of the professional competence and practice of
agricultural and biosystems engineers through, among others, Continuing Professional
Development (CPD) and career progression and specialization; and
5. Integration of all agricultural and biosystems engineers under one national Accredited
Integrated Professional Organization (AIPO) of agricultural and biosystems engineers
which shall be recognized by the Board of Agricultural and Biosystems Engineering and
the Professional Regulation Commission (PRC).
Definition of Terms
Agricultural and Biosystems Engineering

• refers to the application of engineering science and designs to the
processes and systems involved in the sustainable production, post
production and processing of safe food, feed, fiber, timber and other
agricultural and biological materials and the efficient utilization,
conservation, and management of natural and renewable resources in
order to enhance human health in harmony with the environment.
• Agricultural and biosystems consist of crops, forestry and other plants,
poultry, livestock, fisheries and aquaculture resources and other animals,
wildlife and other living things;
Definition of Terms
• Agricultural and Biosystems Engineer refers to a person who is

registered and licensed to practice agricultural and biosystems
engineering in the country and who holds a valid certificate of
registration and professional identification card from the Board
of Agricultural and Biosystems Engineering and the PRC;
Definition of Terms
• Agricultural and Biosystems Power and Machinery refers to farm

power and machinery for the production, harvesting, processing, storage,
manufacture, preserving, transporting and distribution of agricultural and
biological products/materials and includes, but is not limited to, tractors
and their attachments, power tillers, seeders, transplanters, windmills,
harvesting machines, crop protection and maintenance equipment,
irrigation equipment and accessories, greenhouses and other thermal
conditioning equipment, livestock, poultry, fishery and forest equipment,
slaughtering equipment, meat/fishery and crop processing equipment,
postharvest machines such as milling machines, dryers, threshers, grain
and other strippers, agricultural transport machinery and storage;
Definition of Terms
• Agricultural and Biosystems Buildings and Structures refer to

buildings and structures for the production, harvesting, processing,
storage, manufacture, preserving, transporting and distribution of
agricultural and biological products/materials and includes, but is not
limited to, silos and its components, agricultural and biosystems machinery
and equipment sheds, farm houses, green/screen houses, poultry houses,
piggery houses, slaughterhouses, farm-to-market roads, farm bridges,
agricultural and biological products storage/warehouse, buildings and
structures for poultry, livestock, fishery, and forestry production and
processing, kiln drying and lumber treatment structure, farm equipment,
farm supplies, and other structures such as self-feeders, and soil and
water conservation structures
Definition of Terms
• Agricultural and Bio-Processing refers to local activity or

series of activities to maintain or raise the quality or change the
form or characteristics of agricultural, fishery, forestry and
biological products/materials and includes, but is not limited to,
cleaning, sorting, grading, treating, drying, dehydrating,
grinding, mixing, milling, canning, dressing, slaughtering,
freezing, pasteurizing, conditioning, packaging, repacking,
transporting of agricultural, fishery, forestry and other biological
products/materials;
Definition of Terms
• Agricultural and Biological Waste Utilization and

Management refers to the development of systems, processes,
and equipment for agricultural waste disposal and utilization
and environment-friendly technologies such as, but is not
limited to, compost plants, biogas plants, biomass utilization
technologies, systems and processes;
Definition of Terms
• Agricultural and Bio-Information System refers to utilization of

information systems, database, and other information management tools
for agricultural use, biological systems modeling to understand the mutual
response between life and the environment; and application of Geographic
Information System (GIS) technology for inventory, analysis, and
management of agricultural and biological resources, and remote sensing
technology for observation and examination of the landscape and its local
forms and agricultural activities;
Definition of Terms
• Agricultural and Biosystems Automation and Instrumentation refers

to the use and application of agricultural and biosystems sensors such as,
but is not limited to, computer models for control and automation in the
agricultural and fishery production industry and the biological systems and
likewise, robotics for farm operation when use of machines are difficult or
impossible, agricultural and biosystems machine design and automated
controls, precision farming systems, agricultural safety and controlled-
environment agriculture; and the development and application of
metrology equipment such as moisture meters, weighing scale and other
metrology equipment;
Definition of Terms
• Agricultural and Biosystems Resource Conservation and
Management refers to measures of conservation and proper management
of agricultural and biological resources such as, but is not limited to, area
development for agriculture, settlement and recreation; parks and plant
nurseries; beneficial ecosystem of life and environment; study and
analysis of agricultural system as an integrated component of landscape;
monitoring and conservation of natural resources; rehabilitation of forest,
lakes, rivers and idle lands; and the sustainable development,
management, and exploitation of the agricultural ecosystem;
Scope of Practice of Agricultural and Biosystems Engineering
1. Preparation of engineering designs, plans, specifications, project

studies, feasibility studies and estimates of irrigation and drainage, soil
and water conservation and management systems and facilities,
agrometeorological systems, agricultural and biosystems power, and
machinery, agricultural and biosystems buildings and structures,
renewable/bio-energy systems and farm electrification, agricultural and bio-
processing and postharvest facilities and system, agricultural and biological
waste utilization and management, agricultural and bio-information system,
agricultural and biosystems resource conservation and management, and
agricultural and bio-automation and instrumentation system;
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2. Supervision or management on the construction, operation, and

maintenance of irrigation and drainage, soil and water conservation and
management systems and facilities, agrometeorological systems,
agricultural and biosystems power and machinery, agricultural and
biosystems buildings and structures, renewable/bio-energy systems and
farm electrification, agricultural and bio-processing and post harvest facilities
and system, agricultural and biological waste utilization and management,
agricultural and bio-information system, agricultural and biosystems
resource conservation and management, and agricultural and bio-
automation and instrumentation system;
3. Valuation, appraisal, investigation, inspection, monitoring, and

technical audit on agricultural and biosystems machineries and equipment,
structures and facilities, and agricultural and biosystems engineering
projects;
4. Program/Project development and management, planning,
evaluation, and consultancy services on agricultural and biosystems
engineering undertakings;
5. Conduct of research and development, training and extension on
agricultural and biosystems engineering;
6. Testing, evaluation, and inspection of agricultural and biosystems

machinery, and other related agricultural and biosystems engineering
facilities, equipment and projects;
7. Manufacture, distribution, installation, and sale of agricultural and
biosystems machinery and other related agricultural and biosystems
engineering facilities and equipment;
8. Teaching and/or conduct of lecture of agricultural and biosystems
engineering subjects in institutions of learning in the Philippines;
9. Preparation and evaluation of farm development plans, farm

suitability maps and land use maps/reports for agricultural, livestock and
poultry, fishery, aquaculture and forest production and processing;
10.Training and supervision of agri-fishery machinery technicians and
operators of agri-fishery machinery service centers/pools, and agricultural
and biosystems engineering technicians and operators in agricultural and
biosystems plants, establishments, facilities, and projects;
11. Employment with the government and private firms and

establishments; Provided, That such item or position requires the
knowledge and expertise of an Agricultural and Biosystems Engineer, or its
duties and responsibilities covers the scope of practice in agricultural and
biosystems engineering; and
12. Participation in the preparation of environmental studies for
agricultural, fisheries, agro-industrial and biosystems projects and its
monitoring under the Environmental Impact Assessment (EIA) system.
Scope of Examination
• Agricultural and Biosystems Power, Energy and Machinery
Engineering which include agricultural power and bio-energy,
machine design and analysis, machinery management and
mechanization of agricultural and bioproduction systems
• Land and Water Resources Engineering which include
agrometeorology, irrigation and drainage engineering, soil and water
conservation, and aquaculture engineering;
• Agricultural and Biosystems Structures and Environment
Engineering which include agricultural structures engineering, forest
engineering, design and management of agricultural and biosystem
structures, and bio-environmental design;
Scope of Examination
• Agricultural and Bioprocess Engineering which include refrigeration and cold storage,
agri-industrial and biosystems application of electrical energy and electronics, agricultural
products process engineering, and food and bio-based products process engineering;
• Project Management, Feasibility Study Preparation/Evaluation, Research,
Development and Extension on Agricultural and Biosystems Engineering
• Fundamentals of Agricultural, Fishery, Ecological and Environmental Sciences;
• Mathematics and Basic Engineering Principles;
• Laws, Professional Standards and Ethics; and
• Other subjects within the areas of competencies required for the practice of agricultural
and biosystems engineering profession pursuant to Section 5 of this Act.
Issuance of Certificate of Registration and Professional Identification Card
• A certificate of registration (COR) shall be issued to

those who are registered after payment of fees prescribed
by the Commission. It shall bear the signatures of the
Chairperson of the Commission and of the Chairperson
and members of the Board, stamped with the official seal
of the Commission and of the. Board, certifying that the
person named therein is entitled to the practice of the
profession, with all the privileges appurtenant thereto. Until
withdrawn, revoked or suspended in accordance, with this
Act, the COR shall remain in full force and effect.
• A professional identification card bearing the

registration number and its validity and expiry dates duly
signed by the Chairperson of the Commission shall
likewise be issued to every registrant who has paid the
prescribed fees, and has submitted a certificate of
membership in good standing from the AIPO and proof of
completion of the CPD requirements. The said card shall
be renewed every three (3) years, subject to requirement/s
as the Board may thereafter prescribe and upon proof of
completion of the mandatory CPD requirements.
Signing and Sealing
• Each registrant shall, upon registration, obtain a seal of such

design as the Board may adopt and prescribe.
• Plans and specifications prepared by, or under the direct supervision of
a registered agricultural and biosystems engineer, shall be stamped
with said seal during the validity of the professional license.
• No person shall stamp or seal any document with the seal of a
registrant after his/her professional license has expired or lost its
validity unless he/she has been reinstated to the practice and/or unless
his/her license has been renewed.
Signing and Sealing
• No officer or employee of the government, chartered cities, provinces and municipalities now or
hereinafter charged with the enforcement of laws, ordinances or regulations relating to the
implementation, construction, repair, operation and maintenance, testing and evaluation of
agricultural and biosystems buildings, structures, machineries and equipment, irrigation, soil and
water conservation structures and other agricultural and biosystems engineering facilities, shall
accept or endorse any plans, designs, specifications or project studies which have not been
prepared and submitted in full accord with the provisions of this Act, nor shall any payment be
approved by any such Officer for any work, the plans and specifications of which have not been so
prepared, signed and sealed by a duly registered agricultural and biosystems engineer.
• This provision shall be implemented by the Department of Public Works and Highways (DPWH)
and Local Building Officials in the issuance of building permits and certificate of occupancy under
the National Building Code, and by all concerned national government entities and local
government units (LGUs) in the procurement and in the discharge of their regulatory and auditing
functions pertaining to agricultural and biosystems buildings, structures, machineries and
equipment, irrigation, soil and water conservation structures, and other agricultural and biosystems
engineering facilities/projects.
Signing and Sealing
• No agricultural and biosystems engineer shall sign his/her name, affix
his/her seal or use any other method of signature on plans, designs,
specifications or other documents made by or under another agricultural
and biosystems engineer’s supervision unless the same is made in such
manner as to clearly indicate the part of such work actually performed by
him/her, and no person, except the agricultural and biosystems engineer-
in-charge shall sign for any branch of the work or any function of
agricultural and biosystems engineering practice not actually performed by
him/her.
• The agricultural and biosystems engineer-in-charge shall be fully
responsible for all plans, designs, specifications and other documents
issued under his/her seal or authorized signature.
Signing and Sealing
• Drawings, plans, designs and specifications duly signed, stamped or
sealed as instruments of service are the property and documents of the
agricultural and biosystems engineer, whether the projects for which they
were made is executed or not. No person without the written consent of
the agricultural and biosystems engineer or author of said documents,
shall duplicate or make copies of said documents for use in the repetition
of and for other projects, whether executed partly or in whole
Signing and Sealing
• All drawings, plans, specifications and other documents and reports to be

used for the design, construction, test and evaluation, research and
extension of agricultural and biosystems buildings, structures, machineries
and equipment, irrigation, soil and water conservation structures and other
agricultural and biosystems engineering facilities/p rejects shall be signed
and sealed by a licensed agricultural and biosystems engineer.
National Career Progression and Specialization Program
• There shall be an institutionalized national agricultural and biosystems
engineering career progression and specialization program to be formulated by
the Board in consultation with the AIPO, Civil Service Commission and
concerned government agencies: Provided,
• That any agricultural and biosystems engineer before being allowed to work in
specialty areas to perform beyond generalist function or have specific specialties,
must finish the formal education or training towards specialization, possess
recognized practice competencies and must be certified by the Board and must be
a member of a relevant and accredited agricultural and biosystems specialty
organization;
Specialization
1. Agricultural and Biosystems Power and Machinery;
2. Irrigation and Drainage Engineering;
3. Soil and Water Conservation Engineering;
4. Agricultural and Biosystems Buildings and Structures;
5. Agricultural and Bio-process Engineering;
6. Food Engineering;
7. Renewable/Bio-Energy and Farm Electrification;
8. Agricultural and Biological Waste Management;
9. Aquacultural Engineering;
10.Forest Engineering;
11.Agricultural and Biosystems Automation and Instrumentation;
12.Agricultural and Bio-Information System;
13.Agrometeorology; and
14.Agricultural and Biological Resource Conservation and Management.
Code of Technical Standards
• The existing Philippine Agricultural Engineering Standards (PAES) shall be
transformed into a Philippine Agricultural and Biosystems Engineering
Standards (PABES) and shall serve as Code of Technical Standards of all
registered and licensed agricultural and biosystems engineers in the
practice of their profession.
• The Board, in collaboration with the AIPO of agricultural and biosystems
engineers, the DA, the Department of Science and Technology (DOST),
the DENR and other concerned government agencies and private
organizations, shall develop new standards and update the existing
standards under the PABES.
Continuing Professional Development (CPD)
• The Board and the Commission, in consultation with the academe, AIPO,
concerned government agencies and stakeholders, shall prescribe
guidelines in the implementation of the CPD programs for agricultural and
biosystems engineers.
• The CPD for every agricultural and biosystems engineer registered under
the PRC is hereby made mandatory for the practice of the profession.
• The CPD credit units earned by the professional shall be required in the
renewal of professional license and accreditation systems for advance
level of practice and for ASEAN Chartered Professional Engineers
(ACPE), Asia-Pacific Economic Cooperation (APEC) Engineers and other
international accreditations.
C. Code of Ethics for AEs/ABEs
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Code of Ethics and Professional Standards for
AE/ABEs. Approved on May 12, 2005.
• Pursuant to Section 9(h), Article III of Republic Act No. 8559,
the Board of Agricultural Engineering subject to approval by the
Professional Regulation Commission hereby adopts and
promulgates the hereunder Code of Ethics and
Professional Standards prescribed and issued by the
Philippine Society of Agricultural Engineers, Inc. (PSAE)
Definition of Terms
• Code - is the Code of Ethics and Professional
Standards for agricultural engineers which provides a
system of rules and regulations for the maintenance of
high standards of competence and integrity of
agricultural engineers in the performance of their
responsibilities in the practice of their profession.
Duties and Responsibilities
• Every registered agricultural engineer shall discharge their responsibilities
with highest sense of integrity, nationalism, and spiritual values and,
accordingly, shall:
• act with fidelity, fairness, and impartiality to their employers and clients;
• uphold the honor and dignity of the agricultural engineering profession
and avoid connection with any enterprise or individual with
questionable character;
• be ready to apply their technical knowledge for the benefit of mankind
and agro-industrial development of the country; and
• be fair and tolerant in his dealings with fellow agricultural engineers
Professional Life of Agricultural Engineers
• All agricultural engineers shall endeavor to make the agricultural
engineering profession, effective, relevant, and dignified through their
share of information and experiences with other agricultural engineers and
agricultural engineering students, their active participation, their support
and their contribution to the programs, projects, and activities of
agricultural engineering societies/ associations, school, and other related
organizations. In the pursuit of this endeavor, they shall:
• not advertise their work or merit in a self-laudatory manner and shall avoid such
conduct or practice that would discredit and do injury to the dignity and honor of their
profession;
• strive to continuously update and enhance their professional knowledge, skills and
competitiveness through their active and meaningful participation in the Continuing
Professional Education (CPE) programs required by the CPE Council for the
Registered Agricultural Engineers.
Relations with the Public
All Agricultural Engineers shall endeavour to establish and maintain good
public relation and accordingly shall:
• Endeavour to disseminate public knowledge on agricultural engineering,
and to discourage; if not curb, the spread of untrue, unfair and
exaggerated statements regarding agricultural engineering;
• Have direct responsibility for safeguarding the life and health of the public
and employees who may be affected by their work for which they are
responsible;
• Express only such opinions, that are founded on adequate knowledge and
honest conviction when serving as a witness before a court, commission,
or other tribunal;
• Refrain from publicly expressing opinions on any agricultural engineering
subjects unless they are well-informed on the facts relating thereto.
Relations with Clients and Employers
All agricultural engineers shall establish and maintain good relations with their clients
and employers and, accordingly, shall:
• act as faithful agents and trustees;
• exercise fairness and justice in the execution of contracts;
• make their position clear before undertaking an engagement, particularly when it
requires the use of inventions, agricultural engineering apparatus, and equipment
and/or other things which have financial interest;
• guard against conditions that are dangerous or threatening to life, or property on work
for which they are responsible;
• bring out clearly the consequences that might arise if deviations from their agricultural
engineering works or opinion would be overrules by nontechnical authority;
• assist or advise their clients or employers on matters pertaining to agricultural
engineering and cooperate with other experts and specialist whenever their clients or
employer’s interest will best be serves by such service;
• not disclose any information concerning the business affairs or technical processes of
client or employers without their consent unless in obedience to a lawful order of a
court.
Relations with Fellow Agricultural Engineers and Allied
Professionals
All agricultural engineers shall establish and maintain good relations with fellow agricultural
engineers and other allied professionals and, accordingly shall:
• endeavor either individually or collectively to protect and uphold the dignity, honor and
prestige of the agricultural engineering profession;
• see to it that credit for engineering work is given to those to whom credit is properly due;
• maintain the standards of the profession and observe the principles of reasonable or
adequate compensation for those engaged in agricultural engineering work; including
those employed in subordinate capacity;
• endeavor to create opportunity for the professional development and advancement of
agricultural engineers in his employ;
• refrain from committing acts that will injure or tend to injure the professional reputation,
prospects, or practice of their fellow agricultural engineers. However, if there are sufficient
grounds to believe that another agricultural engineer/s have committed unethical, illegal or
unfair acts in the practice of the agricultural engineering profession, they shall bring the
matter to the attention of the Board or to proper authorities for appropriate action;
Relations with Fellow Agricultural Engineers and
Allied Professionals
• restrain from, if not avoid entirely, criticizing another’s work in public, bearing in
mind the fact that the agricultural engineering societies and engineering press
should provide the proper forum for technical discussions and criticisms;
• not take away from another agricultural engineer a prospective employment after
becoming aware that the latter has taken definite steps towards its
consummation;
• not resort to unfair competition by under-bidding or reducing the usual fees after
acquiring information as to the fees offered by the other agricultural engineers
from similar services;
• not make advantage of his salaried position to compete unfairly with their fellow
agricultural engineers;
• refrain from associating with agricultural engineers who engage in unethical or
illegal practices, and who refuse to share responsibility for their work
General Rules in the Practice in Agricultural
Engineering Profession
• Persons as individuals, as members of a firm, as officers or
employees of a government, corporation, partnership, cooperatives,
and other concerned government and private agencies who are
engaged in the practice of agricultural engineering under Republic
Act No. 8559 and its Implementing Rules and Regulations shall be
guided by the following rules and principles:
• They shall advertise themselves or in any other manner which conveys the
impression to the public that they are skilled in the knowledge, science, and
practice of agricultural engineering, and are qualified to render professional
service as agricultural engineer/s for a fee or other reward or compensation
paid to them or to another in their behalf or even without such fee, reward, or
compensation.
• They shall maintain a regular office for the transaction of business as
registered agricultural engineers or render service such as in the office of
clients
General Rules in the Practice in Agricultural Engineering
Profession
• They shall perform for or in behalf of their clients, with or without compensation,
their professional services in the different areas of agricultural engineering,
namely: agricultural machinery, equipment and power units; agricultural buildings
and structures; agricultural (rural) electrification and energy; agricultural
processing and food engineering; soil and water conservation; irrigation, drainage
and water resources management; agricultural waste disposal, utilization and
environmental management; agricultural information resources and technologies;
agricultural instrumentation and control, fishery and aquaculture resources
engineering; and forest product resources engineering.
• They shall sign and seal agricultural plans, design, specifications, reports, and
other agricultural engineering documents prepared for their clients in accordance
with the Rules and Regulations on the design of seal and the signing and sealing
of plans, designs and other documents by registered agricultural engineers.
D. Engineering Contracts
Engineering Contracts
• Engineering contracts are legal agreements

between a business entity and an engineering
company/engineer detailing and providing
engineering services and payment for those
services.
From: https://www.upcounsel.com/engineering-contracts#what-is-a-contract
What Is a Contract?
• Contracts are agreements in which a person or business agrees
to specific terms and conditions that can be legally enforced.
• In a contract, responsibilities and obligations are outlined and
agreed upon by the two parties involved.
Four Functions of Engineering Contracts
• Engineering contracts cover four particular issues
of an agreement between an engineer and the
company/entity they are going to work on a project
for.
These functions are:

1. Scope of work
2. Period of performance
3. Payment
4. Termination
Scope of Work
• The first purpose of the contract is that it clearly lays out what is expected
of the contracted engineer.
• To be completely clear, the company proposing the work should outline
each task that is part of the project and provide deadlines.
• They should also be clear about their vision for the project and the end
goal.
• Any parts of the project that should not be handled by the contracted
engineer should be clearly stated in the contract.
Period of Performance
• Engineering contracts should give the expected time frame for
the project and a deadline for total completion.
• Companies usually provide payment for the project at its
beginning, so it is especially important to set deadlines in a
contract.
Payment
• Contracts make sure that products and services are paid for in
a timely manner.
• An engineering contract should outline when payments will be
received, from whom, and how much, as well as instructions for
invoicing.
• Some projects with a longer time span will be paid in
installments at preset milestones in the progress of the project.
• If this is the case, the contract should lay out these milestones
and payment amounts.
Termination
• Termination clauses are a common feature in standard engineering contracts.
• They identify the grounds on which the client or contractor may terminate the contractual
relationship.
• Termination may be for convenience or due to circumstances beyond the control of either party
that prevent completion of the task; natural disasters are one example of an event that could lead
to a contract termination.
• The contact also provides a framework for how to proceed if either party defaults or breaches
certain terms of the contract.
• These types of clauses specify how, and for what reasons, the contractor or customer can
terminate the agreement.
• Valid reasons for termination include:
• Convenience issues that prevent project progress or completion
• Natural disasters
• If one of the parties involved in the agreement breaches the contract or defaults on a part of it, the
engineering contract should outline how such an event should be handled.
Lump-Sum Contracts
• A common type of engineering contract is a lump sum contract, also
called a fixed price contract. This type of contract requires the
contractor to agree to perform the specified work outlined in the
contract for one fixed price.
• Lump-sum contracts have a fixed price for the work promised and
that price is only allowed to change under a change order.
• For a change order to take place, the client and the contractor need
to determine additional work to be performed and require additional
payment or remove some of the work originally agreed upon and
settle on a lower payment.
• If the client and contractor have agreed on a clear vision and
schedule for the project, a lump sum contract will likely work well for
their agreement.
Some advantages of a lump sum contract are:
• They offer fewer risks financially for the customer because they
can budget for the fixed cost and not worry about it changing
• There is less supervision needed for the contracted work
because a clear schedule has been set
• They encourage efficient work by the contractor to get done
earlier and to achieve a better pay rate
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Some disadvantages of a lump sum
contract are:
• If changes to the contract are needed it can be expensive and
complicated
• The design plans need to be definitively set before writing the
contract
• Fixed payment amounts can encourage contractors to choose
cheaper materials and methods to increase their profit
Measurement Contract
• Another common type of engineering contract is a measurement contract,
also called a re-measurement contract or a measure and value contract.
• This type of contract includes a Bill of Quantities (BOQ) that the employer
provides when the engineering design can be explained in detail, but the
quantity of work cannot.
• As a project is worked on, the contractor can create a BOQ quoting each
item used in the project.
• These will have unit rates and prices that will be added together to
determine the total price for the project.
• The contract will quote the price of the project based on the BOQ.
E. Agricultural engineering
documents to be prepared, signed
and sealed by licensed AE/ABE
Signing and Sealing
• Professional Regulatory Board of Agricultural and Biosystems
Engineering (PRBABE) Resolution No 04, Series of 2018 done
and signed on August 20, 2018
• Adopting and prescribing the seal of registered and licensed
agricultural and biosystems engineer.
The Board pursuant to RA 10915 adopts and prescribes the seal of Agricultural
and Biosystems Engineer as shown and described below:
• The seal of an agricultural and biosystems engineer shall be circular in
shape with 42mm diameter, drawn with dodecagon 5mm inward
measured from circumference to one of its sides. Top and bottom
sides of the dodecagon shall rest horizontally straight. A 5mm width
rectangular band shall be drawn horizontally across the middle part of
the seal with end points resting on the dodecagon.
•
• The name of the agricultural and biosystems engineer shall be written,
all in capital letters, at the upper part of the seal, middle center in
between the circle and the dodecagon. Two dots shall be placed
before and after the last name. The words “AGRICULTURAL AND
BIOSYSTEMS ENGINEER” shall be written at the lower part of the
seal middle center in between the circle and the polygon. All fonts
shall be readable and clear.
•
• Lastly, PRC registration number shall be printed inside the rectangle at
readable scale. The sides of the dodecagon represent the twelve (12)
functional scope of practice of agricultural and biosystems engineer
enumerated under Section 5 of RA 10915.
Commission on Audit (COA) Memorandum No 2004-026 dated
April 20, 2004,
• Instructing all CA Assistant Commissioners, CA Directors of Operating

Units, Regional Cluster Directors, Supervising Auditors, Team Leaders and
All Others Concerned for the promulgation of signing and sealing of
plans, designs, specifications, drawing, report and other
documents by a licensed AEs/ABEs.
Department of Agriculture (DA) Memorandum
dated February 17, 2004,
• To all undersecretaries, assistant secretaries, bureaus/service
and program directors, heads of agencies and regional
directors the enforcement of the rules and regulations on the
design of seal and the signing and sealing of plans,
design, specifications, drawing, reports and other
documents by Agricultural Engineers.
Signing and Sealing of Plans, Designs and Technical
Specifications by ABEs pursuant to RA 10915 provisions
• All drawings, plans, specifications and other documents and reports to be
used for the design, construction, test and evaluation, research and
extension of agricultural and biosystems buildings, structures, machineries
and equipment, irrigation, soil and water conservation structures and other
agricultural and biosystems engineering facilities/projects shall be signed
and sealed by a licensed agricultural and biosystems engineer.
Sample Bid Document
BOAE Memorandum Circular No 2000-18 series of 2008
Informing all City and Municipal Building Officials, all City

and Municipal Engineers regarding the Implementation of
RA 8559 in the processing and approval of building
permits for agricultural buildings and structures required
under Presidential Decree No 1096, the National Building
Code of the Philippines.
• To require the plans and designs of agricultural buildings and structures which are
submitted by building owner/s as part of their application for building permits be
prepared, signed and sealed by registered and licensed agricultural engineers.
• The plans and designs which the registered and licensed agricutral engineer shall
prepare, sign and seal include the following:
• Location and Vicinity Plan
• Site Development Plan
• Floor Plan
• Elevation
• Typical Section and Details
• Foundation and footings
• Lighting requirement and facilities
• Ventilation requirements and facilities
• Agricultural and fishery waste management and utilization plan
(biogas systems)
The agricultural buildings and structures shall include those listed in Table VII, I (Division j-1) of
the revised implementing Rules and Regulation of PD No 1096 but not limited to the following:
• Livestock and poultry houses

• Agri-Fishery Marketing Facilities
• Agri-Fishery Training/Demo Centers
• Agri-Fishery/Forestry Processing House
• Agri-Fishery Research Center
• Farm Houses
• Green/Screen Houses
• Storage Building/Facilities
• Lairage
• Hatcheries
• Packing Houses
• Farm Workshops and Machinery Sheds
• Agricultural and Fishery Laboratory Buildings
• Slaughterhouses
….. Cont’n
• To require the owner of a building who is issued or granted by a
building permit to engage the services of a duly licensed and
registered agricultural engineer/s to undertake the full
inspection and supervision of the construction work of
agricultural building and structures, and likewise, to require the
Certificate of Completion of the said project be prepared and
signed by licensed Agricultural Engineer/s stating that the
construction of the agricultural buildings and structures
conforms to the approved plans and specifications
….. Cont’n
• To engage or assign only a licensed agricultural engineer/s as
part of the staff of the Office of the City and Municipal Building
Officials to evaluate the agricultural engineering plans, designs
and other documents of agricultural buildings and structures as
to compliance with the Philippines Agricultural Engineering
Standards adopted and promulgated by the Board.
• Informing all City and Municipal Building Officials, all City and Municipal
Engineers regarding the Implementation of RA 8559, this is to supplement
to the Memorandum Circular No 2000-18 series of 2008, adopting the
“Agricultural Engineering Permit Form” to be used as part in the
processing and approval of building permit for agricultural buildings and
structures,
BOAE Memorandum Circular No. 2009-09 Series of 2009
• Informing the Secretaries of DA, DAR, DPWH and DENR, All heads of LGUs, Regional
Governor of ARMM and Regional Secretaries, regarding the implementation of RA 8559 in
the identification, validation, design and Construction of Farm-to-Market Roads.
• To engage or assign licensed agricultural engineer/s as part of the appropriate
units of the central, regional, provincial, district and foreign assisted offices of
DA, DENR, DAR, DPWH and offices in the provincial/city concerned offices in
the identification, validation, inspection, monitoring, coordination and
preparation or evaluation of feasibility studies, program of works and cost
estimates of farm-to-market road projects.
• To require the participating constructors in the public bidding of farm-to-market
roads projects to have a Philippine Constructors Accreditation Board (PCAB)
specially licensed on Agricultural Engineering Works or have licensed and/or
registered agricultural engineer/s as their Sustaining Technical
Employees/Project Engineers. The licensed and/or registered agricultural
engineers shall be responsible in the supervision and inspection on the
construction of farm-to-market roads projects of constructors.
BOAE Memorandum Circular No. 2005-09 Series of 2005
• Addressing all Chairmen and Members of the Bids and Awards Committee of DA, DAR,
SCUs, LGUs, ARMM and all concerned NGOs, Government Owned and Controlled
Corporations. Regarding the Implementation of RA 9184, the procurement of Agricultural and
Fishery Infrastructure facilities, machineries, equipment and consulting services on Agricultural
engineering in relation to RA 8559.
• The plans, designs, technical specifications, cost estimates and test report on
agricultural and fishery machinery and equipment, as part of the bidding
documents, be signed and sealed by a registered and licensed agricultural
engineer/s who are holders of valid certificate of registration and valid professional
identification card.
• The agricultural engineering plans and designs as part of the detailed engineering
of agricultural and fishery infrastructure projects be signed and sealed by a
registered engineer who are holders of valid certificate of registration and valid
identification card.
• The prospective bidders or contractors be manned by adequate number of
agricultural engineers as sustaining employee to serve as Project managers and/or
Project engineers of the agricultural and fishery infrastructure projects;
2
F. Relevant laws and policies in the
practice of agricultural
engineering profession
AFMA Law
AFMA Law – Republic Act No. 8435,
Approved, December 22, 1997.
• An Act Prescribing Urgent Related Measures To Modernize The Agriculture

And Fisheries Sectors Of The Country In Order To Enhance Their
Profitability, And Prepare Said Sectors For The Challenges Of
Globalization Through An Adequate, Focused And Rational Delivery Of
Necessary Support Services, Appropriating Funds Therefor And For Other
Purposes
• This Act shall be known as the “Agriculture and Fisheries Modernization
Act of 1997.”
Definition of Terms
• Agricultural Mechanization” is the development, adoption,
manufacture and application of appropriate location-specific,
and cost-effective agricultural technology using human, animal,
mechanical, electrical and other non-conventional sources of
energy for agricultural production and post-harvest operations
consistent with agronomic conditions and for efficient and
economic farm management.
• Example: development of village level impeller rice mill
Definition of Terms
• “Agriculture and Fisheries Modernization” is the process of
transforming the agriculture and fisheries sectors into one that
is dynamic, technologically advanced and competitive yet
centered on human development, guided by the sound
practices of sustainability and the principles of social justice.
Definition of Terms
• “Agro-Processing Activities” refer to the processing of raw
agricultural and fishery products into semi-processed or finished
products which include materials for the manufacture of food
and/or non-food products, pharmaceuticals and other industrial
products.
Definition of Terms
• Food Security” refers to the policy objective, plan and strategy
of meeting the food requirements of the present and future
generations of Filipinos in substantial quantity, ensuring the
availability and affordability of food to all, either through local
production or importation, or both, based on the country’s
existing and potential resource endowment and related
production advantages, and consistent with the overall national
development objectives and policies.
Agriculture and Fisheries Modernization Plan (AFMP)
• The Department, in consultation with the farmers and fisherfolk, the private
sector, NGOs, people’s organizations and the appropriate government
agencies and offices, shall formulate and implement a medium- and long-
term comprehensive Agriculture and Fisheries Modernization Plan.
• The Agriculture and Fisheries Modernization Plan shall focus on five (5)
major concerns:
a) Food security;
b) Poverty alleviation and social equity;
c) Income enhancement and profitability, especially for farmers and
fisherfolk;
d) Global competitiveness; and
e) Sustainability
Food Security, Poverty Alleviation, Social Equity and
Income Enhancement
• The Department, in coordination with other concerned departments
or agencies, shall formulate medium- and long-term plans
addressing food security, poverty alleviation, social equity and
income enhancement concerns based on, but not limited to, the
following goals and indicators of development:
a) Increased income and profit of small farmers and fisherfolk;
b) Availability of rice and other staple foods at affordable prices;
c) Reduction of rural poverty and income inequality;
d) Reduction of the incidence of malnutrition;
e) Reduction of rural unemployment and underemployment; and
f) Improvement in land tenure of small farmers.
Global Competitiveness and Sustainability
• The Department shall formulate medium- and long-term plans aimed at enhancing the
global competitiveness and sustainability of the country in agriculture and fisheries based
on, but not limited to, the following goals and indicators of development:
a) Increase in the volume, quality and value of agriculture and fisheries production
for domestic consumption and for exports;
b) Reduction in post-harvest losses;
c) Increase in the number/types and quality of processed agricultural and fishery
products;
d) Increase in the number of international trading partners in agriculture and fishery
products;
e) Increase in the number of sustainable agriculture and fisheries firms engaged in
domestic production, processing, marketing and export activities;
f) Increase in and wider level of entrepreneurship among farmers and fisherfolk in the
area;
g) Increase in the number of farms engaged in diversified farming; and
h) Reduced use of agro-chemicals that are harmful to health and the environment.
Global Climate Change
• The Department, in coordination with the Philippine
Atmospheric, Geophysical and Astronomical Service
Administration (PAGASA) and such other appropriate
government agencies, shall devise a method of regularly
monitoring and considering the effect of global climate changes,
weather disturbances, and annual productivity cycles for the
purpose of forecasting and formulating agriculture and fisheries
production programs.
AFMech Law
AFMech Law
• REPUBLIC ACT NO. 10601.
• AN ACT PROMOTING AGRICULTURAL AND FISHERIES
MECHANIZATION DEVELOPMENT IN THE COUNTRY.
• Approved: JUN 5, 2013
• This Act shall be known as the “Agricultural and Fisheries Mechanization

(AFMech) Law”.
Definition of Terms
• Agricultural and fisheries machinery refers to machinery and equipment for
the production, harvesting, processing, storage, manufacture, preserving,
transporting and distribution of agricultural and fisheries products.
• It includes, but is not limited to, tractors and their attachments, power tillers,
seeders, transplanters, windmills, harvesting machines, crop protection and
maintenance equipment, irrigation equipment and accessories, greenhouses and
other thermal conditioning equipment, livestock equipment, fishery equipment,
slaughtering equipment, meat/fishery and crop processing equipment,
postharvest machines such as milling machines, dryers, threshers, grain and
other strippers, agricultural transport machinery and storage facilities including
cold storage, reefer vans, slaughter houses and fishing boats of three (3) gross
tons or less.
• New agricultural and fishery machinery includes newly imported as well as one
that has not been used since its date of manufacture;
Definition of Terms
• Agricultural and fisheries mechanization refers to the
development, adoption, assembly, manufacture and application
of appropriate, location specific and cost-effective agricultural
and fisheries machinery using human, animal, mechanical,
electrical, renewable and other nonconventional sources of
energy for agricultural production and
postharvest/postproduction operations consistent with
agronomic conditions and for efficient and economic farm and
fishery management towards modernization of agriculture and
fisheries
Definition of Terms
• Agro-industrial processing refers to the local activity or series
of activities to maintain or raise the quality or change the form
or characteristics of agricultural, fisheries and forestry products.
• It also includes, but not limited to, cleaning, sorting, grading,
mixing, milling, canning, dressing, slaughtering, freezing,
pasteurizing, conditioning, packaging, repacking and
transporting of said products; and
Definition of Terms
• Fishing boat refers to any boat, ship or other watercraft of
three (3) gross tons or less, equipped to be used for taking of
fishery species or aiding or assisting one (1) or more vessels in
the performance of any activity relating to fishing including, but
not limited to, preservation, supply, storage, refrigeration,
transportation and/or processing.
Scope and Application
• The provision of this Act shall apply to the research,
development and extension, promotion, distribution, supply,
assembling, manufacturing, regulation, use, operation,
maintenance and project implementation of agricultural and
fisheries machinery and equipment.
The National Agri-fishery Mechanization Program
There shall be formulated a National Agri-fishery Mechanization Program by the
Department of Agriculture (DA) with the following objectives:
(a) Promote and support through the provision of research grants, credit, transparent
and predictable regulation, the local development and manufacture of agricultural and
fisheries machinery by the private sector;
(b) Unify, lead and support the efforts of various institutions in the research, design
and development of agricultural and fisheries machinery;
(c) Establish quality, safety and performance standards for agricultural and fisheries
machinery;
(d) Support the establishment of quality, safety and performance testing centers for
the certification of agricultural and fisheries machinery in strategic localities in the
country;
(e) Establish guidelines for the registration of ownership of agricultural and fisheries
machinery; and
(f) Promote the adoption of certified agricultural and fisheries machinery for improving
agriculture and fishery productivity.
Program Implementation
The overall implementation of the National Agri-fishery Mechanization Program shall be
coordinated by the DA through the Undersecretary duly designated by the Secretary who
shall:
(a) Conduct the formulation and review of the five-year National Agri-fishery Mechanization
Program for the DA;
(b) Provide leadership in the formulation of guidelines for the registration of ownership of
agricultural and fisheries machinery;
(c) Ensure the formulation of quality, safety and performance standards for agricultural and
fisheries machinery;
(d) Ensure the formulation of accreditation guidelines for testing centers for agricultural and
fisheries machinery;
(e) Formulate and enforce guidelines for the credit program to include, but not limited to,
access, disbursement and repayment;
(f) Oversee the implementation of the National Agri-fishery Mechanization Program by the
various units of the Department; and
(g) Coordinate with other government agencies and local government units (LGUs) in the
implementation of measures provided for in this Act.
Unified National Research and Development (R&D) and
Extension Agenda
• A unified National Agricultural and Fisheries Mechanization Research and
Development and Extension (RDE) Agenda shall be formulated and
implemented by the DA: Provided,That the DA, through the Philippine
Center for Postharvest Development and Mechanization (PHilMech) as
focal agency,
• shall integrate and unify all agricultural and fisheries mechanization
RDE programs and projects of all concerned national government
agencies, Local Government Units (LGUs), state universities and
colleges (SUCs), which shall be geared towards development of
machineries and equipment, job generation, address market and
industry demands and help accelerate agricultural and fisheries
modernization in the countryside.
National Agricultural and Fisheries Mechanization RDE Agenda
The National Agricultural and Fisheries Mechanization RDE Agenda shall include, but not be limited, to the following:
(a) Development, pilot-testing and commercialization of appropriate, location-specific and cost-effective agricultural and
fisheries machinery and equipment in support to contiguous farming and machinery pooling;
(b) Design and testing of new machineries and equipment for agriculture and fisheries;
(c) Local manufacture and assembly of agricultural engines and equipment;
(d) Development and utilization of renewable and nonconventional energy resources such as wind, biomass, hydro, solar
and biofuels for agricultural and fisheries equipment and machineries;
(e) Development of efficient production and postproduction mechanization systems;
(f) Continuous development of technical standards and testing procedures for quality agricultural machinery and
components;
(g) Training of farmers, fisherfolk, manufacturers, extension workers, agricultural engineers, technicians and operators
engaged in the agricultural and fisheries mechanization;
(h) Promotion of technologies through agricultural and industrial extension activities and techno-demo centers;
(i) Development of prototype and fabrication of agricultural machinery and equipment; and
(j) Development and conduct of commercialization strategies involving all sectors representing the demand and supply
sides of agricultural and fisheries mechanization technologies.
Agri-fisheries Mechanization RDE Network
• An Agricultural and Fisheries Mechanization RDE Network is hereby
organized and composed of research and educational institutions, LGUs,
nongovernment organizations and the recognized and well-established
associations of agricultural and fisheries machinery assemblers,
manufacturers and distributors, agricultural engineers, farmers and
fisherfolk. The Agricultural and Fisheries Mechanization RDE Network
shall be responsible for the formulation and implementation of the National
Agricultural and Fisheries Mechanization RDE Agenda. The PHilMech
shall be responsible for organizing the Network and shall serve as
secretariat to the Network. The Network shall be chaired by the Director of
the PHilMech.
• Moreover, the Agricultural Mechanization Development Program of the
University of the Philippines, Los Baños (UPLB), which is part of the
Network, shall be strengthened and institutionalized to lead and coordinate
the agricultural and fishery mechanization RDE program of all academic
institutions in the country.
Agri-fisheries Machinery and Equipment Service Centers
• The DA and the LGUs shall encourage and support the private sector and
other rural entrepreneurs to establish and operate agricultural and fishery
machinery and equipment service centers
• The Agri-fisheries Machinery and Equipment Service Center’s shall be
operated as business enterprises that will provide the following services:
(a) After-sales service and warranty to their respective clients;
(b) Custom plowing, harrowing, harvesting, drying, milling and other farm
mechanization services;
(c) Repair and troubleshooting services of agricultural and fishery machinery
and equipment; and
(d) Training of maintenance and proper use of agricultural machineries and
equipment.
Agri-fisheries Mechanization and Engineering Resource
Network (AFMech ERN)
• The existing agricultural machinery information and database of the
PHilMech shall be strengthened into an agri-fishery mechanization and
engineering resource network.
• It will also be used or tapped as a facility for the online registration of agri-
fisheries machinery and equipment, and monitoring of agri-fisheries
mechanization and infrastructure projects.
• This network shall be linked to other existing information and database
networks of the DA, the Agricultural Machinery Information Network of the
Department of Science and Technology (DOST), the Agricultural
Mechanization Development Program of the UPLB and of other
government agencies.
Testing and Evaluation
• Agricultural and fisheries machinery and equipment to be sold in the
market shall pass through testing and evaluation by the Agricultural
Machinery Testing and Evaluation Center (AMTEC) in accordance
with the national policies and guidelines to be promulgated by the
Secretary.
• Specifically, before it can be assembled, manufactured and
commercially sold in the market, the model of the machine and any
modification thereof should be tested by the AMTEC and should
pass the prescribed quality and performance standards.
• The regular testing and evaluation of machinery sold shall be
undertaken by the AMTEC on new models and design.
• Field tests shall likewise be undertaken by the AMTEC to ensure
consistent quality of test units as well as on the commercial units.
• The BAFE shall maintain a certification registry of equipment and
machinery as well as a registry of those denied certification.
Registration of Ownership of Agricultural and Fishery
Machinery and Equipment
• All owners of agricultural and fishery machinery and equipment must
register these with the agriculture offices of municipal and city government
units.
• The agriculture offices of the LGUs shall establish and maintain a registry
of agricultural and fishery machinery at the municipal, city and provincial
levels.
• The DA Regional Agricultural Engineering Division shall maintain a registry
of agricultural and fishery machinery at the regional office whereas the
BAFE shall maintain a national database of all registered agricultural and
fishery machinery.
• Each office shall ensure that these registries and databases are available
through the internet.
• The Secretary shall promulgate national guidelines and procedures for the
registration of agricultural and fisheries machinery by the LGUs, including
the collection of registration fees in accordance with the Local Government
Code.
Registration of Manufacturers, Fabricators, Assemblers
and Importers
• Within six (6) months upon the enactment of this Act, all
manufacturers, fabricators, assemblers and importers must
register with the BAFE.
• Three (3) years upon the enactment of this Act, registrants must
provide certification by an accredited certifying body of all
products that they have in the market or intend to market and
withdraw all products that have no certification.
• One (1) year after the enactment of this Act, the registrants
must submit to the BAFE the list of equipment/machineries
manufactured/fabricated/assembled/ imported.
Standards Development and Enforcement
• The DA, through the Bureau of Agriculture and Fisheries Product
Standards (BAFPS), in coordination with the DTI, the DOST, the BoAE and
the AMTEC, and in consultation with the accredited associations of
farmers and fisherfolk, agricultural machinery assemblers, manufacturers
and distributors and agricultural engineers shall develop standards
specifications and test procedures of agricultural and fishery machinery
and equipment.
• These standards should be in conformity with the International Standards
Organization (ISO) and shall be part of the existing Philippine Agricultural
Engineering Standards (PAES).
Classification and Accreditation of Assemblers, Manufacturers, Importers,
Suppliers, Distributors and Dealers
• Agricultural and fisheries machinery assemblers,
manufacturers, importers and suppliers,
distributors and dealers shall be classified into
small, medium and large, and shall be
encouraged to have their manufacturing/service
facility build-up:
• Provided, That agricultural and fisheries
machinery assemblers, manufacturers,
importers, suppliers, distributors and dealers
shall be classified and accredited based on their
organizational strengths and track record, area
of operation, marketing and distribution network,
after-sales service and manufacturing
capabilities.
Agricultural and Fisheries Mechanization Committee
• The Agricultural and Fisheries Mechanization Committee (AFMeC) under the National
Agricultural and Fishery Council (NAFC) shall act as an advisory body to ensure the
success of the programs and activities of the DA concerning agricultural and fisheries
mechanization.
• It shall also serve as the consultative and feedback mechanism from the lowest possible
level to the top decision makers and to assist in defining and formulating the goals and
scope of the country’s agricultural and fisheries mechanization and infrastructure policies,
plans and programs.
• The agricultural and fisheries mechanization committees under the regional, provincial,
city, municipal and barangay agricultural and fishery councils shall integrate, coordinate,
unify and monitor the field implementation of the agri-fisheries mechanization and
infrastructure projects of various national government agencies, LGUs, banking and
financial institutions and the private sector.
Strengthening the DA Agricultural and Fishery
Engineering Groups
• Pursuant to Section 46 of Republic Act No. 8435, otherwise
known as the “Agriculture and Fisheries Modernization Act of
1997”, a Bureau of Agricultural and Fisheries Engineering
(BAFE) is hereby created as a regular bureau of the DA which
shall be under the supervision of the DA Undersecretary
Bureau of Agricultural and Fisheries Engineering (BAFE)
functions and responsibilities:
BAFE is hereby created as a regular bureau of the DA which shall be under the supervision of the DA Undersecretary and
shall have the following functions and responsibilities:
(a) Coordinate, oversee and monitor the national planning and implementation of agri-fisheries engineering, farm-to-market
road and other agri-fisheries infrastructure projects;
(b) Assist in the national planning, coordination and implementation of the national agri-fisheries mechanization programs;
(c) Prepare, evaluate, validate and recommend engineering plans, designs and technical specifications on agri-fisheries
mechanization and infrastructure projects;
(d) Oversee and provide technical assistance to the operations of the agricultural engineering divisions of the DA regional
field units;
(e) Coordinate and integrate all agricultural and fisheries engineering activities of the DA bureaus, attached agencies and
corporations;
(f) Coordinate and monitor the enforcement of standards and other regulatory policies on agricultural and fishery
engineering;
(g) Implement accreditation and registration scheme for agriculture and fishery machinery, tools and equipment, in
coordination with technology generators:
(h) Issue permits to operate to agriculture and fishery tools and equipment manufacturers, fabricators, assemblers and
importers; and
(i) Promulgate and implement accreditation guidelines for testing centers.
Philippine Center for Postharvest Development and
Mechanization (PHilMech)
• The PHilMech shall coordinate, plan and execute agricultural
and fishery mechanization and postharvest RDE programs and
projects of the DA
Bureau of Agriculture and Fisheries Product Standards
• The BAFPS, in addition to its functions under Sections 62 and

63 of Republic Act No. 8435, shall develop standards for
agriculture and fishery machinery, tools and equipment in
coordination with accredited testing centers, and other
concerned government and private entities.
Agricultural Machinery Testing and Evaluation Centers (AMTEC)
• The AMTEC of the College of Engineering and Agro-Industrial Technology

(CEAT) of the UPLB is hereby institutionalized.
• The AMTEC is hereby designated as the premier and reference testing
center in the country, and for purposes of functional coordination and
integration, shall closely coordinate its activities with the BAFS and BAFE.
• As the premier testing center, it shall assist the BAFS in the formulation of
quality, safety and performance standards of agricultural and fisheries
machinery and of accreditation guidelines for testing centers.
• It shall also provide technical assistance in the establishment of testing
centers in other parts of the country.
Implementation by the LGUs
• The LGUs, pursuant to the provisions of Republic Act No. 7160,
otherwise known as the “Local Government Code of 1991”,
shall undertake applied research, extension, dispersal,
management and regulation of agricultural and fisheries
machinery and equipment, including the collection of fees.
Strengthening the Agricultural Engineering Groups of the LGUs
• The agricultural engineering division/section of the agriculture

offices of the LGUs organized under Executive Order No. 86,
Series of 1999 and Section 46 of Republic Act No. 8435 shall
serve as the planning, coordinating, regulating and
implementing bodies at the provincial, city and municipal levels
on agricultural and fisheries engineering, mechanization and
infrastructure programs and projects.
Rice Tariffication Law
Rice Tarification Law (Rice Liberalization Law)
• REPUBLIC ACT No. 11203.

• An Act Liberalizing the Importation, Exportation and Trading of Rice,
Lifting for the Purpose the Quantitative Import Restriction on Rice,
and for Other Purposes
• Approved: February 14, 2019.
Definition of Terms
• Tariff refers to a tax levied on a commodity imported from
another country.
• It earns revenues for the government and regarded as
instruments to promote local industries by taxing their
competitors.
Definition of Terms
• Quantitative Restrictions - Specific limits on the quantity or
value of goods that can be imported (or exported) during a
specific time period. (such as import quotas or prohibitions)
• Tariffication refers to the lifting of all existing quantitative

restrictions such as import quotas or prohibitions, imposed on
agricultural products, and replacing these restrictions with
tariffs.
Rice Competitiveness Enhancement Fund (RCEF)
• There is hereby created a Rice Competitiveness Enhancement Fund,

herein referred to as the ‘Rice Fund’.
• The Rice Fund shall consist of an annual appropriation of Ten billion pesos
(₱10,000,000,000.00) for the next six (6) years following the approval of
this Act and shall be automatically credited to a Special Account in the
General Fund of the National Treasury which shall be in place within ninety
(90)’ days upon the effectivity of this Act.
Rice Fund shall be allocated and disbursed to rice
producing areas, as follows
• Rice Farm Machineries and Equipment – Fifty percent (50%) of the Rice
Fund shall be released to and implemented by the Philippine Center for
Postharvest Development and Mechanization (PHilMech) as grant in kind
to eligible farmers associations, registered rice cooperatives and local
government units (LGUs), in the form of rice farm equipment, such as
tillers, tractors, seeders, threshers, rice planters, harvesters, irrigation
pumps, small solar irrigation, reapers, driers, millers, and the like, for
purposes of improving farm mechanization.
• Rice Seed Development, Propagation and Promotion –
Thirty percent (30%) of the Rice Fund shall be released to and
implemented by the Philippine Rice Research Institute
(PhilRice) and shall be used for the development, propagation
and promotion of inbred rice seeds to rice farmers and the
organization of rice farmers into seed growers associations
and/or cooperatives engaged in seed production and trade
• Expanded Rice Credit Assistance – Ten percent (10%) of the
Rice Fund shall be made available in the form of credit facility
with minimal interest rates and with minimum collateral
requirements to rice farmers and cooperatives, to be managed
equally by the Land Bank of the Philippines (LBP) and the
Development Bank of the Philippines (DBP); and
• Rice Extension Services – Ten percent (10%) of the Rice
Fund shall be made available for the extension services
provided by PHilMech. PhilRice. Agricultural Training Institute
(ATI) and Technical Education and Skills Development Authority
(TESDA) for teaching skills on rice crop production, modern rice
farming techniques, seed production, farm mechanization, and
knowledge/technology transfer through farm schools nationwide
as follows: seventy percent (70%) to TESDA, ten percent (10%)
each to ATI, PhilRice and PHilMech.
Beneficiaries of the Rice Fund
• The beneficiaries of the Rice Fund shall be those farmers and
farmworkers and their dependents listed in the Registry System
for Basic Sectors in Agriculture (RSBSA), and rice cooperatives
and associations accredited by the DA.
Rice Industry Roadmap
• Upon the effectivity of this Act, the DA, .together with the NEDA.
Department of Finance (DOF), DBM, DAR. National Irrigation
Administration (NIA), TESDA, PCIC, National Anti-Poverty
Commission (NAPC) Farmer Sectoral Council Representative
and other government agencies concerned, including rice
farmer representatives, shall be given a maximum of one
hundred eighty (180) days to formulate and adopt the rice
roadmap to restructure the government ‘s delivery of support
services for the agricultural rice sector.
Coconut Farmers and Industry Trust
Fund Act
(Coco Levy Law)
Coconut Farmers and Industry Trust Fund Act
• RA 11524
• An act creating the coconut farmers and industry trust fund,
providing for its management and utilization, reconstituting for the
purpose the Philippine Coconut Authority Board and for other
purposes.
• Approved on February 26, 2021.
• The new law mandates the Philippine Coconut Authority (PCA)
to craft the Coconut Farmers and Industry Development Plan
that will set the directions and policies for the development and
rehabilitation of the industry within 50 years.
Trust Fund
• P10 billion in the first year
• P10 billion in the second year
• P15 billion in the third year
• P15 billion in the fourth year
• P25 billion in the fifth year, and any amount accruing, including
interest, in the special account in the general fund to the Trust
Fund
The law sets forth a specific distribution of the yearly allocations from the
Trust Fund:
• Development of hybrid coconut seed farms and nursery for planting and replanting - 20%
• Training of farmers and their families on coconut production and technologies - 8%
• Research, marketing, and promotion - 5%
• Crop insurance - 4%
• Farm improvements through diversification or intercropping - 10%
• Shared facilities for processing - 10%
• Organizing and empowerment of coconut farmer organizations and their cooperatives - 5%
• Credit programs - 10%
• Infrastructure development in coconut producing local governments - 10%
• Scholarship program for farmers and their families - 8%
• Health and medical program for farmers and their families - 10%
CPD Law
Continuing Professional Development Act of 2016
• Republic Act No. 10912,

• An Act Mandating and Strengthening the Continuing Professional
Development Program for All Regulated Professions, Creating
Continuing Professional Development Council, and Appropriating
Funds Therefor, and for Other Related Purposes
Republic Act No. 10912
• Lapsed into Law on July 21, 2016 and it took effect on August
16, 2016.
• The implementation of R.A. No. 10912 started on March 15,
2017, upon the effectivity of Resolution No. 1032 or the
Implementing Rules and Regulations (IRR) of R.A. No. 10912.
Definition of Terms
• AIPO/APO refers to the Accredited Integrated Professional
Organization or the Accredited Professional Organization in a
given profession
Definition of Terms
• ASEAN Qualifications Reference Framework or AQRF refers to
the device that enables comparisons of qualifications across
ASEAN Member States;
Definition of Terms
• ASEAN Mutual Recognition Arrangement or ASEAN MRA
refers to a regional arrangement entered into by the ASEAN
Member States, predicated on the mutual recognition of
qualifications, requirements met, licenses and certificates
granted, experience gained by professionals, in order to
enhance mobility of professional services within the region;
Definition of Terms
• Continuing Professional Development or CPD refers to the
inculcation of advanced knowledge, skills and ethical values in
a post-licensure specialization or in an inter- or multidisciplinary
field of study, for assimilation into professional practice, self-
directed research and/or lifelong learning;
Definition of Terms
• Philippine Qualifications Framework or PQF refers to the
quality assured national system for the development,
recognition and award of qualifications at defined levels, based
on standards of knowledge, skills and values, acquired in
different ways and methods by learners and workers;
Strengthening the CPD Program
There shall be formulated and implemented CPD Programs in each of the
regulated professions in order to:
(a) Enhance and upgrade the competencies and qualifications of professionals for
the practice of their professions pursuant to the PQF, the AQRF and the ASEAN
MRAs;
(b) Ensure international alignment of competencies and qualifications of
professionals through career progression mechanisms leading to
specialization/sub-specialization;
(c) Ensure the development of quality assured mechanisms for the validation,
accreditation and recognition of formal, nonformal and informal learning outcomes,
including professional work experiences and prior learning;
(d) Ensure maintenance of core competencies and development of advanced and
new competencies, in order to respond to national, regional and international labor
market needs; and
(e) Recognize and ensure the contributions of professionals in uplifting the general
welfare, economic growth and development of the nation.
Nature of CPD Programs
The CPD Programs consist of activities that range from structured to
nonstructured activities, which have learning processes and
outcomes.
These include, but are not limited to, the following:
(a) Formal learning;
(b) Nonformal learning;
(c) Informal learning;
(d) Self-directed learning;
(e) Online learning activities; and
(f) Professional work experience.
ASEAN Mutual Recognition Arrangement
ASEAN MRA
• ASEAN Mutual Recognition Arrangement of
Engineering Services
• ASEAN Mutual Recognition Arrangement on
Engineering Services Kuala Lumpur, 9 December 2005
Member Countries of the ASEAN Member Countries committed
for the ASEAN Mutual Recognition Arrangement
• The Governments of Brunei Darussalam,

• The Kingdom of Cambodia,
• Republic of Indonesia,
• Lao People’s Democratic Republic,
• Malaysia,
• the Union of Myanmar,
• the Republic of the Philippines,
• the Republic of Singapore,
• the Kingdom of Thailand,
• and the Socialist Republic of Viet Nam
Registered Foreign Professional Engineer (RFPE)
• Registered Foreign Professional Engineer (RFPE) refers to

an ASEAN Chartered Professional Engineer (ACPE) who has
successfully applied to and is authorized by the Professional
Regulatory Authority (PRA) of a Host Country to work, not in
independent practice, but in collaboration with one or more
Professional Engineer of the Host Country.
RECOGNITION, QUALIFICATIONS, AND ELIGIBILITY
Qualifications to Become an ASEAN Chartered Professional Engineer (ACPE)
• A Professional Engineer who possesses the following qualifications:
• 3.1.1 completed an accredited engineering degree recognised by the professional engineering
accreditation body whether in the Country of Origin or Host Country or assessed and recognised as
having the equivalent of such a degree;
• 3.1.2 possess a current and valid professional registration or licensing certificate to practice
engineering in the Country of Origin issued either by the Professional Regulatory Authority (PRA) of
the ASEAN Member Countries and in accordance with its policy on registration/licensing/certification
of the practice of engineering or the Monitoring Committee pursuant to Article 4.2.2 and item 1.2
of Appendix II of this Arrangement;
• 3.1.3 acquired practical and diversified experience of not less than seven (7) years after graduation,
at least two (2) years of which shall be in responsible charge of significant engineering work as
stipulated in Appendix IV, D – Example IV;
• 3.1.4 in compliance with Continuing Professional Development (CPD) policy of the Country of Origin
at a satisfactory level; and
• 3.1.5 obtained certification from the Professional Regulatory Authority (PRA) of the Country of Origin
with no record of serious violation on technical, professional or ethical standards, local and
international, for the practice of engineering is eligible to apply to the ASEAN Chartered Professional
Engineer Coordinating Committee (ACPECC) to be registered as an ASEAN Chartered Professional
Engineer (ACPE) under the ASEAN Chartered Professional Engineers Register (ACPER).
ASEAN Chartered Professional Engineer (ACPE)
• ASEAN ACPE - A Professional Engineer who possesses the above

qualifications and complies with the Guidelines on Criteria and
Procedures as per Appendix II and satisfies the Assessment
Statement as per Appendix III, may, upon acceptance and payment
of fees, be emplaced on the ASEAN Chartered Professional
Engineers Register (ACPER) and accorded the title of ASEAN
Chartered Professional Engineer (ACPE).
• An ASEAN Chartered Professional Engineer (ACPE) shall practice
engineering only in the specific discipline or disciplines in which
he/she has been adjudged to be competent under this Arrangement.
Eligibility of an ASEAN Chartered Professional Engineer
(ACPE) to Practice in a Host Country
• An ASEAN Chartered Professional Engineer (ACPE) shall be eligible to apply to the

Professional Regulatory Authority (PRA) of a Host Country to be registered as a
Registered Foreign Professional Engineer (RFPE). The applicant shall submit with his
application a sworn undertaking to:
(a) be bound by local and international codes of professional conduct in accordance with
the policy on ethics and conduct established and enforced by the Country of Origin;
(b) be bound by prevailing laws and regulations of the Host Country; and
(c) work in collaboration with local Professional Engineers in the Host Country subject to
domestic laws and regulations of the Host Country governing the practice of engineering
thereto.
Mandanas Ruling
Mandanas-Garcia Ruling
• The Mandanas Ruling pertains to the Supreme Court decision in Mandanas et.al. vs.
Ochoa that assailed and clarified to the High Tribunal the manner in which the “just share”
in the national taxes of Local Government Units (LGUs) has been computed. Some of the
petitioners cited Article 10, Section 6 of the 1987 Constitution that should provide as the
basis of such computation.
• It has been contended that computation of Local Government Units’ share in national
collections should not just be limited to internal revenue, particularly cited in Local
Government Code, but should be based on all collections of national taxes including,
among others, those that are collected by the Bureau of Customs.
• In the 2018 Ruling that had been affirmed with finality in 2019, the Supreme Court
declared that indeed, as surmised by the petitioners, the basis of computation of LGUs’
just share must be from “all collections of the National Taxes except those that are
accruing to special purpose funds and special allotments for the utilization and
development of the national wealth.”
Mandanas-Garcia Ruling
• According to the petitioners, LGU shares should include all
national taxes. The Supreme Court affirmed that local
government units are entitled to a “just share” on all national
taxes collected and not only from the Bureau of Internal
Revenue (BIR).
• At present, LGU’s IRA comes from 40% of national internal
revenue taxes collected by the BIR. With the Mandanas-Garcia
ruling implementation in 2022, it is projected that LGUs will
have a 27.61% increase in the total IRA shares.
Effects of Mandanas Ruling
DA- 8 New Paradigm
Eight new paradigm of the DA by Secretary William D. Dar
The “New Thinking” is built around eight paradigms. These are:

(1) modernization of agriculture,
(2) industrialization of agriculture is key,
(3) promotion of exports is a necessity,
(4) consolidation of small- and medium-sized farms,
(5) infrastructure development would be critical,
(6) higher budget and investment for Philippine agriculture,
(7) legislative support is needed, and
(8) roadmaps development is paramount.
National Building Code of the
Philippines
National Building Code of the Philippines
• PRESIDENTIAL DECREE (P.D.) NO. 1096

• ADOPTING A NATIONAL BUILDING CODE OF THE
PHILIPPINES (NBCP) THEREBY REVISING
REPUBLIC ACT NUMBERED SIXTY-FIVE HUNDRED
FORTY-ONE (R.A. No. 6541)
• Approved on February 19, 1977.
Scope of the National Building Code
(a) The provisions of this Code shall apply to the design, location, siting,
construction, alteration, repair, conversion, use, occupancy, maintenance,
moving, and demolition of, and addition to, public and private buildings and
structures.
(b) Additions, alterations, repairs, and changes of use or occupancy in all
buildings and structures shall comply with requirements for new buildings
and structures except as otherwise herein provided.
(c) Where, in any specific case, different section of this Code specify
different materials, methods of construction, or other requirements, the most
restrictive shall govern.
Building permits
• Any person, firm, or corporation, including any department, office, bureau,
agency of instrumentality of the government intending to construct, alter, repair,
move, convert or demolish any building or structure, or cause the same to be
done, shall obtain a building permit from the Building Official for whichever
of such work is proposed to be undertaken for the building or structure, before
any such work is started.
• Appropriate rules and regulations shall be set by the Secretary concerning:
(1) Forms for application for building permits;
(2) Procedures to be observed in securing such permits;
(3) Procedures to be observed in the issuance, suspension, and revocation of such
building permits; and
(4) Type, nature, and scope of plans and specifications, and other requisite
documents, which shall be prepared and designed by a licensed architect or
engineer.
Inspection ad Certificates of Occupancy
Inspection.
• The duly licensed architect or engineer engaged by the owner to undertake inspection
and detailed supervision of the construction shall periodically certify that the construction
conforms to the plans and specifications submitted in the application for a building permit.
• Upon submission of such periodic certifications during the progress of construction, the
Building Official shall periodically issue the required authority to continue with the
subsequent phases of construction, without prejudice to his right to conduct on his own
initiative any inspection of the said construction.
• Upon completion of the construction, the said duly licensed architect or engineer shall
submit to the Building Official the final certification that the building conforms to the
provisions of the Code and with the detailed plans and specifications submitted.
Certificates of Occupancy
• The proper Certificate of Occupancy shall be issued to the applicant within seven
(7) days from completion of the requirements for inspection and occupancy and
payment of any and all fees therefor, unless the building Official or his Deputy
issuing the Certificate shall show cause in writing why the Certificate should not
be issued and shall indicate thereon the particular provisions of the Code violated
or the particular requirements not complied with.
• Within fifteen (15) days from receipt by the applicant of the advice from Building
Official or his Deputy authorized to issue the certificate why the certificate should
not be issued, or why the certificate is suspended or revoked, the applicant may
appeal the non-issuance, suspension, or revocation thereof, to the Mayor of the
chartered city or municipality, or the Governor of the province where the building
for which the certificate is being applied for is located.
• Said appeal shall be decided within fifteen (15) days from receipts thereof,
otherwise, the applicant may bring the matter to the proper Court of Justice for
final disposition. The building may be occupied only upon issuance of the
Certificate of Occupancy.
Copy of the Building Code
• https://www.dpwh.gov.ph/dpwh/references/laws_codes_orders/
national_law
Renewable Energy Act of 2008
Republic Act No. 9513
• Renewable Energy Act of 2008.
• AN ACT PROMOTING THE DEVELOPMENT, UTILIZATION AND
COMMERCIALIZATION OF RENEWABLE ENERGY RESOURCES AND
FOR OTHER PURPOSES
• This Act shall be known as the “Renewable Energy Act of 2008“. It shall
hereinafter be referred to as the “Act”.
• Approved on December 16, 2008
Definition of Terms
• Biomass energy systems” refer to energy systems which use
biomass resources to produce heat, steam, mechanical power
or electricity through either thermochemical, biochemical or
physico-chemical processes, or through such other
technologies which shall comply with prescribed environmental
standards pursuant to this Act
Definition of Terms
• Biomass resources” refer to non-fossilized, biodegradable organic
material originating from naturally occurring or cultured plants, animals and
micro-organisms, including agricultural products, by-products and residues
such as, but not limited to, biofuels except corn, soya beans and rice but
including sugarcane and coconut, rice hulls, rice straws, coconut husks
and shells, corn cobs, corn stovers, bagasse, biodegradable organic
fractions of industrial and municipal wastes that can be used in
bioconversion process and other processes, as well as gases and liquids
recovered from the decomposition and/or extraction of non-fossilized and
biodegradable organic materials;
Definition of Terms
• Geothermal energy” as used herein and in the context of this
Act, shall be considered renewable and the provisions of this
Act is therefore applicable thereto if geothermal energy, as a
mineral resource, is produced through:
(1) natural recharge, where the water is replenished by
rainfall and the heat is continuously produced inside the earth;
and/or
(2) enhanced recharge, where hot water used in the
geothermal process is re-injected into the ground to produce
more steam as well as to provide additional recharge to the
convection system;
Definition of Terms
• Geothermal Energy Systems” refer to machines or other

equipment that converts geothermal energy into useful power;
Definition of Terms
• Geothermal Resources” refer to mineral resources, classified
as renewable energy resource, in the form of:
(i) all products of geothermal processes, embracing
indigenous steam, hot water, and hot brines;
(ii) steam and other gases, hot water, and hot brines
resulting from water, gas, or other fluids artificially introduced into
geothermal formations;
(iii) heat or associated energy found in geothermal
formations; and
(iv) any by-product derived from them;
Definition of Terms
• Solar Energy refers to the energy derived from solar radiation
that can be converted into useful thermal or electrical energy;
• Solar Energy Systems” refer to energy systems which convert

solar energy into thermal or electrical energy;
Definition of Terms
• “Wind Energy” refers to the energy that can be derived from
wind that is converted into useful electrical or mechanical
energy;
• “Wind Energy Systems” refer to the machines or other related

equipment that convert wind energy into useful electrical or
mechanical energy
Adoption of Waste-To-Energy Technologies
• The DOE shall, where practicable, encourage the adoption of waste-
to-energy facilities such as, but not limited to, biogas systems. The
DOE shall, in coordination with the DENR, ensure compliance with
this provision.
• As used in this Act, waste-to-energy technologies shall refer to
systems which convert to biodegradable materials such as, but not
limited to, animal manure or agricultural waste, into useful energy
through processes such as anaerobic digestion, fermentation and
gasification, among others, subject to the provisions and intent of
Republic Act No. 8749 (Clean Air Act of 1999) and Republic Act No.
9003 (Ecological Solid Waste Management Act of 2000).
PRESIDENTIAL DECREE No. 1159
PRESIDENTIAL DECREE No. 1159
• PRESCRIBING INCENTIVES FOR INVESTMENTS IN
AGRICULTURAL ENTERPRISE,
• This Decree shall be known and cited as the "Agricultural
Investments Incentives Act.“
• Approved: June 3, 1977
Incentives to Investors in Agricultural Registered Enterprise. An investor,
with respect to his investment in a registered enterprise, shall be granted
the following incentives benefits:
• Protection of Patents and Other Proprietary Rights. The right to be

protected from infringement of patents, trademarks, copyrights, trade
names and other proprietary rights, have been registered with the Board
and the appropriate agencies of the Government of the Philippines.
• Capital Gains Tax Exemption. Exemption from income tax on that portion
of the gains realized from the sale, disposition, or transfer of capital assets,
as defined in Section 34 of the National Internal Revenue Code
Incentives to Philippine Nationals Investing In Pioneer Agricultural Enterprise. In addition to
the incentives provided in the preceding sections, Philippine nationals investing in a pioneer
agricultural enterprise shall be granted the following incentive benefits:
• Tax-Allowance for Investments. An investment allowance to the extent of his actual

investment, paid in cash or property shall be allowed as a deduction from his taxable
income but not to exceed twenty (20%) percent thereof.
• Capital Gains Tax Exemption. Exemption from income tax on the portion of the gains
realized from the sale, disposition or transfer of capital assets, as defined in Section 34 of
the National Internal Revenue Code.
Incentives to a Registered Agricultural Enterprise. A registered enterprise, to
the extent engaged in a preferred of investment, shall be granted the
following incentive benefits:
• Deduction of Organizational and Pre-operating Expenses. All capitalized organizational and pre-operating
expenses attributable to the establishment of a registered enterprise may be deducted from its taxable income
over a period of not more than ten years beginning with the month the enterprise begins operations
• Accelerated Depreciation. At the option of the taxpayer and in accordance with the procedure established by
the Bureau of Internal Revenue, fixed assets and capital equipment including breeding stock may be (1)
depreciated to the extent of not more than twice as fast as normal rate of depreciation or depreciated at normal
rate of depreciation if expected life is ten years or less; or (2) depreciated over any number of years between
five years and expected life if the latter is more than ten (10) years; and the depreciation thereon allowed as a
deduction from taxable income:
• Net Operating Loss Carry-over. A net operating loss incurred in any of the first ten years of operations may
be carried over as a deduction from taxable income for the six years immediately following the year of such
loss.
• Tax Exemption on Imported Capital Equipment. Within seven years from the date of registration of the
enterprise, importations of machinery and equipment, and spare parts shipped with such machinery and
equipment, shall not be subject to tariff duties and compensating tax;
. Incentives to a Pioneer Agricultural Enterprise. In addition to the incentives
provided in the preceding section, pioneer agricultural enterprises shall be
granted the following incentives:
• Tax Exemption. Exemption from all taxes under the National Internal Revenue Code, except
income tax, from the date the area of investment is included in the Agricultural Investments
Priorities Plan, to the following extent:
(1) One hundred per cent (100%) for the first three years;
(2) Seventy-five per cent (75%) for the fourth through the fifth years;
(3) Fifty per cent (50%) for the sixth and seventh years;
(4) Twenty-five per cent (25%) for the eight and ninth years; and
(5) Ten per cent (10%) for the tenth year.
• Employment of Foreign Nationals. Subject to the provisions of Section 29 of Commonwealth Act
613, as amended, a registered enterprise may, with five (5) years from the date it has began
operating, employ and bring into the Philippines foreign nationals under the following conditions:
(1) That such foreign nationals shall be registered with the Board;
(2) That the employment of all foreign nationals shall cease and they shall be repatriated after the
above-mentioned period;
Special Export Incentives for Registered Agricultural
Enterprises
• Special Tax Credit. A tax credit equivalent to the sales, compensating and specific taxes
and duties on the supplies, raw materials and semi-manufactured products used in the
manufacture, processing or production of its export products and forming part thereof.
• Reduced Income Tax. Registered agricultural enterprises shall be entitled for the first five
years from its registration, to deduct from its taxable income an amount equivalent to the
sum of the direct labor cost and local raw materials utilized in the manufacture of its
export products.
Intellectual Property Code
Intellectual Property Code
• REPUBLIC ACT NO. 8293.
• AN ACT PRESCRIBING THE INTELLECTUAL PROPERTY CODE AND
ESTABLISHING THE INTELLECTUAL PROPERTY OFFICE,
PROVIDING FOR ITS POWERS AND FUNCTIONS, AND FOR OTHER
PURPOSES.
• This Act shall be known as the “Intellectual Property Code of the
Philippines.”
• Approved on June 6, 1997.
DA-Department Circular No 05, Series of 2017
DA-Department Circular No 05, Series of 2017
• National Guidelines on Testing and Evaluation of

Agricultural Fisheries Machinery. Approved and
promulgated on May 16, 2017.
JOINT MEMORANDUM CIRCULAR No 2
DA, DBM, CSC and DILG
Thank You and
God Bless You!!!

James 1:5 If any of you lacks wisdom, you should ask God, who
gives generously to all without finding fault, and it will be given
to you.

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AGRICULTURAL ENGINEERING LAWS,

PROFESSIONAL ETHICS, ENGINEERING

1. Use Key Words. Underlining key words by using different colors

4. Study Collaboratively. Students should always devote time

• RA 8559 - an act regulating the practice of agricultural engineering in the Philippines

Agricultural and Biosystems Engineering

• Agricultural and Biosystems Engineer refers to a person who is

• Agricultural and Biosystems Power and Machinery refers to farm

• Agricultural and Biosystems Buildings and Structures refer to

• Agricultural and Bio-Processing refers to local activity or

• Agricultural and Biological Waste Utilization and

• Agricultural and Bio-Information System refers to utilization of

• Agricultural and Biosystems Automation and Instrumentation refers

1. Preparation of engineering designs, plans, specifications, project

2. Supervision or management on the construction, operation, and

3. Valuation, appraisal, investigation, inspection, monitoring, and

6. Testing, evaluation, and inspection of agricultural and biosystems

9. Preparation and evaluation of farm development plans, farm

11. Employment with the government and private firms and

• A certificate of registration (COR) shall be issued to

• A professional identification card bearing the

• Each registrant shall, upon registration, obtain a seal of such

• All drawings, plans, specifications and other documents and reports to be

• Engineering contracts are legal agreements

These functions are:

• Instructing all CA Assistant Commissioners, CA Directors of Operating

Informing all City and Municipal Building Officials, all City

• Livestock and poultry houses

• An Act Prescribing Urgent Related Measures To Modernize The Agriculture

• Approved: JUN 5, 2013

• This Act shall be known as the “Agricultural and Fisheries Mechanization

• The BAFPS, in addition to its functions under Sections 62 and

• The AMTEC of the College of Engineering and Agro-Industrial Technology

• The agricultural engineering division/section of the agriculture

• REPUBLIC ACT No. 11203.

• Tariffication refers to the lifting of all existing quantitative

• There is hereby created a Rice Competitiveness Enhancement Fund,

• Republic Act No. 10912,

• The Governments of Brunei Darussalam,

• Registered Foreign Professional Engineer (RFPE) refers to

• ASEAN ACPE - A Professional Engineer who possesses the above

• An ASEAN Chartered Professional Engineer (ACPE) shall be eligible to apply to the

The “New Thinking” is built around eight paradigms. These are:

• PRESIDENTIAL DECREE (P.D.) NO. 1096

• Geothermal Energy Systems” refer to machines or other

• Solar Energy Systems” refer to energy systems which convert

• “Wind Energy Systems” refer to the machines or other related

• Protection of Patents and Other Proprietary Rights. The right to be

• Tax-Allowance for Investments. An investment allowance to the extent of his actual

• National Guidelines on Testing and Evaluation of

God Bless You!!!

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