Presidential Decree No. 878 (PD 878) — Authorizing the National Development Company to Assist Local Shipbuilders and Persons and Entities Engaged in Interisland Shipping and Appropriating Funds Therefor.
WHEREAS, it is the current policy of the government to
assist the development of the shipping industry of the country, a
substantial portion of which is represented by interisland shipping;
WHEREAS, almost ninety per centum (90%) of the country's
interisland vessels are already twenty (20) years old or over
necessitating their replacement within a short period of time;
WHEREAS, there is a need to assist the interisland
ship-owners to acquire new and modern vessels in order to fully realize
the government's goal of a balanced and total development of the
country's shipping industry; and
WHEREAS, it is also necessary that in the development of the
shipping industry, the country's local shipbuilding capability should
likewise be enhanced in order to ensure our self-sufficiency in this
sector.
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers vested in me by the Constitution,
do hereby decree and order:
SECTION 1. Any provision of law, decree, order or
regulation to the contrary notwithstanding, there is hereby appropriated
out of any funds in the National Treasury not otherwise appropriated or
from loans which may be contracted locally for the purpose, the sum of
Two Hundred Million Pesos (P200M) for the National Development Company
to be used for the construction, purchase, or acquisition of interisland
vessels for the purpose of resale, lease, or charter to persons,
associations or corporations engaged in Philippine inter-island
shipping. Provided, that, only citizens of the Philippines or
associations or corporations sixty per centum (60%) of the capital of
which is owned by such citizens may be qualified under the provisions of
this Decree. The fund may also be invested in loans to such citizens,
associations or corporations for the purpose of financing the
construction, purchase, or acquisition and operation by such citizens,
associations or corporations of inter-island vessels.
SEC. 2. All vessels acquired and/or financed under the
provisions of this Decree shall be constructed by local shipowners
registered with the Board of Investments.
SEC. 3. All moneys representing payments of rental, purchase
price of vessels, and payments of principal and interest of loans made
pursuant to this Decree shall constitute a revolving fund to be used
exclusively to carry out the provisions of this Decree, the same to be
administered and disbursed by the National Development Company.
SEC. 4. Any law, decree, order, rule or regulation
inconsistent herewith is hereby repealed or amended accordingly.
SEC. 5. This Decree shall take effect upon approval.
Done in the City of Manila, this 22nd day of January, in the year
of Our Lord, nineteen hundred and seventy-six.
(Sgd.)
FERDINAND E. MARCOS
President
Republic of the Philippines
By the President:
(Sgd.)
JACOBO C. CLAVE
Presidential Executive Assistant
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
