G.R. No. 173918 - REPUBLIC OF THE PHILIPPINES, represented by the DEPARTMENT OF ENERGY (DOE), vs. PILIPINAS SHELL PETROLEUM CORPORATION.D E C I S I O N - Supreme Court E-Library

Ruling

WHEREFORE , premises considered, the Decision of the Department of Energy, contained in its letters dated 15 March 1996 and 11 July 1996, is hereby AFFIRMED in toto . Respondent filed a Motion for Reconsideration of the Decision dated 19 August 2003 of the Office of the President, which was denied on 28 November 2003. [17] Respondent filed an appeal before the Court of Appeals wherein it presented Certifications dated 9 February 2004 [18] and 11 February 2004 [19] issued by ONAR stating that DOF Circular No. 2-94 and MOF Circular No. 1-85 respectively, have not been filed before said office. The Court of Appeals reversed the Decision of the Office of the President in O.P. CASE No. 96-H-6574 and ruled that MOF Circular 1-85, as amended, was ineffective for failure to comply with the requirement to file with ONAR. It decreed that even if the said circular was issued by then Acting Minister of Finance Alfredo de Roda, Jr. long before the Administrative Code of 1987, Section 3 of Chapter 2, Book 7 thereof specifies that rules already in force on the date of the effectivity of the Administrative Code of 1987 must be filed within three months from the date of effectivity of said Code, otherwise such rules cannot thereafter be the basis of any sanction against any party or persons. [20] According to the dispositive of the appellate courts Decision: [21] WHEREFORE , the instant petition is hereby GRANTED . The Decision dated August 19, 2003 and the Resolution dated November 28, 2003 of the Office of the President, are hereby REVERSED . ACCORDINGLY , the imposition of surcharges upon petitioner is hereby declared without legal basis. On 25 September 2006, petitioner filed the present Petition for Review on Certiorari , wherein the following issues were raised: [22] I THE SURCHARGE IMPOSED BY MINISTRY OF FINANCE (MOF) CIRCULAR No. 1-85 HAS BEEN AFFIRMED BY E.O. NO. 137 HAVING RECEIVED VITALITY FROM A LEGISLATIVE ENACTMENT, MOF CIRCULAR NO. 1-85 CANNOT BE RENDERED INVALID BY THE SUBSEQUENT ENACTMENT OF A LAW REQUIRING REGISTRATION OF THE MOF CIRCULAR WITH THE OFFICE OF THE NATIONAL REGISTER II ASSUMING THAT THE REGISTRATION OF MOF NO. 1-85 IS REQUIRED, RESPONDENT WAIVED ITS OBJECTION ON THE BASIS OF NON-REGISTRATION WHEN IT PAID THE AMOUNT REQUIRED BY PETITIONER. This petition is without merit. As early as 1986, this Court in Tañada v. Tuvera [23] enunciated that publication is indispensable in order that all statutes, including administrative rules that are intended to enforce or implement existing laws, attain binding force and effect, to wit: We hold therefore that all statutes, including those of local application and private laws, shall be published as a condition for their effectivity, which shall begin fifteen days after publication unless a different effectivity date is fixed by the legislature. Covered by this rule are presidential decrees and executive orders promulgated by the President in the exercise of legislative powers whenever the same are