WHEREAS, Republic Act No. 11363, or the Philippine Space Act, was signed into law on August 8, 2019, creating the Philippine Space Agency (PhilSA);

WHEREAS, PhilSA was established to be the primary policy, planning, coordinating, implementing, and administrative entity of the Executive Branch of the government that will plan, develop, and promote the national space program in line with the Philippine Space Policy;

WHEREAS, the successful establishment, development and sustainability of the national space program require a vibrant ecosystem that encourages collaboration among PhilSA, other government agencies, academic institutions, international organizations, industry, and civil society;

WHEREAS, PhilSA, in coordination with the Department of Budget and Management (DBM), Civil Service Commission (CSC), and other relevant government agencies, was directed to promulgate the necessary rules and regulations for the effective implementation of the Philippine Space Act within 90 days from its effectivity.

NOW THEREFORE, the following Rules and Regulations implementing Republic Act No. 11363 are hereby promulgated, adopted, and prescribed for the information and guidance of all concerned:

(a) To safeguard Philippine sovereignty, territorial integrity, Philippine interest, and the right to self-determination as mandated by Article II, Section 7 of the 1987 Constitution;

(b) To support and commit to the development, application and utilization of science and technology (S& T) that will foster patriotism and nationalism and accelerate social progress, such as, the development of space technology and applications for its security and for the benefit of its citizens;

(c) To ensure access to space and its environs as a sovereign right in the promotion of national security towards the attainment and protection of national interest;

(d) To recognize that there is an urgent need to create a coherent and unified strategy for space development and utilization to keep up with other nations in terms of space S&T;

(e) To ensure that the Philippines has official representation in the international space community for establishing cooperation agreements and linkages on space development, as well as to contribute in the development of international frameworks, norms, policies and regimes in the peaceful uses of outer space; and

(f) To ensure that the Philippines abides by the various international space treaties and principles promulgated by the United Nations and is an active participant in the international space community, including international rules and procedures concerning the Outer Space Treaty and Liability Convention, among others.

(a) Collaborating Institution refers to a government agency or academic institution that performs specific functions of PhilSA during the transition period.

(b) National Space Development and Utilization Policy (NSDUP) refers to the strategic roadmap for national space development commissioned by the Philippine Council for Industry, Energy and Emerging Technology Research and Development of the Department of Science and Technology (DOST-PCIEERD), which will serve as a guide for the Philippine Space Development and Utilization Policy also known as the Philippine Space Policy.

(c) PhilSA refers to the Philippine Space Agency created by virtue of the Philippine Space Act.

(d) Satellites include all objects launched into earth orbit and artificial objects to be placed in orbit of celestial bodies for the conduct of space exploration and other applications.

(e) Space Economy refers to the broad range of activities in the development, management, utilization, and exploitation of space and space-enabled capabilities, facilities, systems, information, and services.

(f) Space Industry collectively refers to companies and organizations engaged in commercial or economic activity relating to the design, manufacture or production, and sale of space systems and their components. The space industry is part of the larger space economy.

(g) Space Science and Technology Applications (SSTA) refer to the scientific principles and their applications to space science, engineering, and other allied fields.

(h) Space Systems are vehicles and infrastructures working together to perform a task in the space environment.

(i) Transition Period refers to the period allotted for the smooth turnover and capacity building of PhilSA, which shall not exceed five (5) years from the effectivity of this Implementing Rules and Regulations (IRR).

a. It will embody the country's central goal of becoming a space-capable and space-faring nation within the next decade;

b. It shall focus on areas of SSTA that would address national issues;

c. It shall promote the efficient utilization of space assets and resources;

d. It shall establish capacity-building measures for human resources development;

e. It shall strengthen national defense; and

f. It shall enhance international cooperation.

(a) National Security and Development - The Philippines will focus on space applications that can preserve and enhance the country's national security and promote development that is beneficial to all Filipinos;

(b) Hazard Management and Climate Studies - The Philippines will develop and utilize SSTA to enhance its hazard management and disaster mitigation strategy as well as ensure the nation's resiliency to climate change;

(c) Space Research and Development - To spur rapid scientific growth, the Philippines will focus on conducting research and development (R&D) endeavors in vital areas of space science, technology, and allied fields;

(d) Space Industry Capacity Building - The Philippines will create a robust and thriving space industry to support the country's space program through private sector involvement and cooperation;

(e) Space Education and Awareness - The Philippines aims to establish a sustainable pool of trained space scientists, engineers, communicators, and other relevant experts that will be critical for the country's future space program and increasing public awareness on its value and benefits; and

(f) International Cooperation - Through international partnerships and collaborations, the Philippines will become a key player in the Association of Southeast Asian Nations (ASEAN), regional, and global space community by providing significant contributions and capabilities on SSTAs.

(a) Assist the State in the creation, development, and implementation of national and international space policies. Toward this end, PhilSA shall ensure proper coordination with relevant government agencies and institutions on the adoption and/or implementation of various international space treaties and principles promulgated by the United Nations, including international rules and procedures concerning the Outer Space Treaty and Liability Convention, among others;

(b) Plan, implement, direct, and manage programs and projects relating to scientific space R&D and the application of space technology;

(c) Take hold of money, securities or other personal or movable property by gift or bequest and expend, administer or dispose of any such money, securities or property subject to the terms, if any, on which the gift or bequest was made in such manner as shall best promote the PhilSA's objectives;

(d) Implement the Philippine Space Policy in line with a coherent and unified strategy for space development;

(e) Coordinate all space activities of various sectors and stakeholders in the Philippines, in accordance with existing laws; and

(f) Provide appropriate and accurate advice to the President of the Philippines and other government agencies on space-related issues and concerns.

(a) Develop, construct, acquire, manage, maintain, and operate space research, development, and operation facilities and systems on behalf of the Philippine Government for use of various government agencies and other stakeholders; and

(b) Assist departments and other agencies of the State, as well as the private sector, in the utilization of SSTA and data/information to aid in the performance of their respective mandates and duties. Toward this end, PhilSA shall formulate and implement data management policies among institutions including open data sharing protocols, taking into account relevant privacy, security, and technical classification requirements.

These policies will promote and harmonize spaceborne information, knowledge, and capability-sharing, database-building, and network linkages.

(a) Perform basic and applied R&D relating to SSTA in collaboration with universities, industries, and other institutions in accordance with the agreed terms of cooperation;

(b) Design, develop, and construct space systems and facilities necessary thereof, as well as build, launch, track, and operate satellites on behalf of the Philippine Government; and

(c) Promote the growth of space S&T through R&D.

(a) Establish programs that would develop space education and promote public awareness;

(b) Provide grants and contributions in support of programs or projects relating to scientific or industrial space R&D and application of space technology;

(c) Provide services and facilities for the use by entities conducting academic R&D relating to SSTA;

(d) Promote equal opportunity and gender equality in space activities through capacity-building and science, technology, engineering, and mathematics (STEM) education; and

(e) During the transition period, funds appropriated to PhilSA for scholarships for baccalaureate and graduate degree programs in SSTA may be administered by the Science Education Institute of the Department of Science and Technology (DOST-SEI) and other institutions with similar scholarship programs.

(a) Promote the development of a robust and vibrant local space industry and economy;

(b) Promote the transfer and diffusion of space technology throughout the Philippine industry;

(c) Encourage the commercial exploitation of space capabilities, technology, information, facilities, and systems;

(d) License, sell, or otherwise make available any patent, copyright, industrial design, trademark, trade secret or other like property controlled;

(e) Disseminate the result of R&D activities and promote the utilization thereof, except when information is deemed confidential for national welfare and security and for the protection of intellectual property rights; and

(f) Encourage the responsible use of SSTAs to promote sustainable development.

(a) Cooperate with space-related agencies of other countries and international space organizations in the peaceful use and development of space;

(b) Maintain a national registry of space objects in accordance with the United Nations Convention on Registration of Objects Launched into Outer Space and other international guidelines. Likewise, furnish the United Nations Office for Outer Space Affairs with information contained in the National Registry of Space Objects as required under the Registration Convention;

(c) Enter into contracts, treaties, memorandum of understanding/agreement or other arrangements on behalf of the State, in consultation and coordination with the Department of Foreign Affairs and/or other concerned agencies which include bilateral, regional, and multilateral agreements and other forms of international cooperation to promote the development of Philippine SSTAs, foster the development of relevant and appropriate space capabilities, and facilitate the exchange of expertise and technology on a mutually acceptable basis;

(d) Establish and maintain linkages with other national space agencies and organizations; and

(e) Represent the Philippines in the United Nations Committee on the Peaceful Use of Outer Space and other similar space-related forums, assemblies, and organizations, ensuring that the Philippines is an active participant and contributor in the international space community.

(a) Provide executive direction and supervision over the entire operations of the PhilSA and its attached units;

(b) Establish policies and standards for the effective, efficient, and economical operation of the PhilSA, in accordance with the programs of the government;

(c) Review and approve requests for financial and manpower resources of all operating offices of the PhilSA;

(d) Designate and appoint officers and employees of the PhilSA, excluding the Deputy Directors General, in accordance with the civil service laws, rules, and regulations;

(e) Exercise disciplinary powers over officers and employees of the PhilSA in accordance with existing Civil Service rules and applicable laws, including their investigation and the designation of a committee or officer to conduct such investigation;

(f) Coordinate with other departments, agencies, and public and private interest groups, including non-government organizations (NGOs) and people's organizations (POs) on PhilSA policies and initiatives;

(g) Prepare and submit to the President through the Department of Budget and Management (DBM) an estimate of the necessary expenditures during the next fiscal year, on the basis of the reports and estimates submitted by the divisions and offices under him/her;

(h) Serve as a member of the Government Procurement Policy Board (GPPB) as established by Republic Act No. 9184;

(i) Serve as the Presidential Advisor on Space Matters and advise the President on the promulgation of executive and administrative orders and formulation of regulatory and legislative proposals on matters pertaining to SSTA development;

(j) Serve as Head Secretariat to the Philippine Space Council together with the support staff of the PhilSA;

(k) Administer all PhilSA funds, such as but not limited to the General Annual Appropriation (GAA) and the Philippine Space Development Fund, in accordance with existing government budgeting, accounting, and auditing rules and regulations;

(l) Formulate such rules and regulations and exercise such other powers as may be required to implement the objectives of the Philippine Space Act; and

(m) Perform such other tasks as may be provided by law or assigned by the President.

(1) Recommend and approve the implementation of Philippine space policies in accordance with international conventions;

(2) Ensure appropriate allocation of resources in support to the mandates of the PhilSA; and

(3) Approve strategic directions and decisions for the implementation of the PhilSA.

PhilSA shall undertake formal agreements with Collaborating Institutions that will cover joint supervision and management, outputs and deliverables, and other necessary work arrangements in line with the deployment of personnel.

Regardless of the maximum five-year period, PhilSA will ensure that the deployment of its personnel for the purpose of transition will not continue longer than necessary.

(a) The annual General Appropriation for the PhilSA; and

(b) Income, fees, royalties, and other revenues obtained from other sources.

The sum of One billion pesos (P1,000,000,000.00) is appropriated as initial operating fund of the PhilSA, taken from the current fiscal year's appropriation of the Office of the President. Thereafter, the amount needed for the operation and maintenance of the PhilSA shall be included in the General Appropriations Act.

The funds shall be administered by PhilSA Director General in accordance with existing government budgeting, accounting, and auditing rules and regulations. In supporting and committing to the development, application, and utilization of S&T, PhilSA shall endeavor that at least one-sixth of its funds will be allocated or used for Space Research and Development and Space Education and Awareness, which are two (2) of the six (6) KDAs of the Philippine Space Policy.

(a) The PhilSA shall also be authorized to use one hundred percent (100%) of its donations, bequests, grants, and all sums which may be appropriated for upgrading its physical and human resources, for the conduct of its activities, and for the augmentation of its budget in case of shortfalls.

(b) Seventy-five percent (75%) of its income shall be retained for the upgrading of its equipment and physical facilities and the remaining twenty-five percent (25%) shall be remitted to the National Treasury. The PhilSA may also solicit, receive, and retain donations, bequests, and grants.

(a) The amount of Ten billion pesos (P10,000,000,000.00) to be taken from the share of the National Government in the gross income of the Philippine Amusement and Gaming Corporation (PAGCOR)¹ and BCDA ² for five (5) years after the effectivity of the Philippine Space Act. For this purpose, an amount of Two billion Pesos (P2,000,000,000.00) per year shall be deposited to the Bureau of the Treasury (BTr) by PAGCOR and BCDA and released to PhilSA in accordance with the prescribed budgetary process. The entire amount of Ten Billion pesos (P10,000,000,000.00), including any interest income thereon shall be used exclusively for capital outlay. This shall be a Special Account in the General Fund (SAGF);

(b) Income from specialized products, services, and royalties produced by the PhilSA, to be treated as trust receipts and administered in accordance with applicable rules and regulations; and

(c) Loans, contributions, grants, bequests, gifts, and donations whether from local or foreign sources: Provided, That acceptance of grants, bequests, contributions, and donations from foreign governments shall be subject to the approval of the President upon the recommendation of the Director General of the PhilSA through the PSC.

---

1 The share of National Government in the gross income of the PAGCOR is stipulated in P.D. 1869, Consolidating and Amending Presidential Decree Nos. 1067-A, 1067-B, 1067-C, 1399 and 1632, Relative to the Franchise and Powers of the Philippine Amusement And Gaming Corporation (PAGCOR).

2 The share of National Government on income of BCDA is governed by RA 7656 entitled "An Act Requiring Government-Owned Or Controlled Corporations to Declare Dividends Under Certain Conditions to the National Government, and for other purposes."