DAO NO.10-08 s2010
  Further amending the revised implementing rules and regulations of Act No. 3883, as amended, otherwise known as the Business Name Law.
   
   
   
   
   
   
   
 
   

Frequently Asked Questions

Product Standards

What is a Standard?

Standard is a document, established by consensus and approved by a recognized body, that provides, for common and repeated use, rules, guidelines or characteristics for activities or their results, aimed at the achievement of the optimum degree of order in a given context.

Standards should be based on the consolidated results of science, technology and experience, and aimed at the promotion of optimum community benefits

What are the types of Standards?

  1. Basic standard - standard that covers a wide range of services or establishes a general provision for a specific field

    NOTE: A basic standard may function as a standard for direct application or as a basis for other standards.
  2. Terminology standard - standard that deals with terms used, which often includes their definitions, and sometimes by explanatory notes, illustrations, examples, etc.
  3. Testing standard - standard that deals with test methods, sometimes supplemented with other provisions related to testing, such as sampling, use of statistical methods, sequence of tests.
  4. Product standard - standard that lays down the requirements to be accomplished by a product or a group of products, to certify its fitness for use
  5. Process standard - standard that lays down the requirements to be accomplished by a process, to establish its fitness for use
  6. Service standard - standard that lays down the requirements to be accomplished by a service, to establish its fitness for use. Service standards may be prepared in fields such as laundering, hotel-keeping, transport, car-servicing, telecommunications, insurance, banking, trading.
  7. Interface standard - standard that lays down the requirements dealing with the compatibility of products or systems at their points of interconnection
  8. Standard on data to be provided - standard that contains a list of characteristics for which values or other data are to be stated for specifying the product, process or service. Some standards, typically, provide for data to be stated by suppliers, others by purchasers.

Why are Standards Needed?

Standards are needed because they make life easier by increasing the realiability and effectiveness of products and services that we use.

What is Standardization?

Standardization is the act of establishing, with regard to actual or potential problems, provisions for common and repeated use, which aims to achieve the optimum degree of order in a given context. Specifically, the act consists of the following processes: formulating, issuing and implementing standards. Important benefits of standardization are improvement of the:

  • suitability of products, processes and services for their intended purposes,
  • prevention of barriers to trade and
  • facilitation of technological cooperation

What are the aims of Standardization?

Standardization may have one or more specific aims, to make a product, process or service fit for its purpose. Such aims can be, but are not restricted to, variety control, usability, compatibility, interchangeability, health, safety, protection of the environment, product protection, mutual understanding, economic performance, trade. They can be overlapping.

What are Philippine National standards? The International Standards?

Philippine National Standards (PNS) are documents established by consensus through technical committee and approved by the Bureau of Product Standards, that provides, for common and repeated use, rules, guidelines or characteristics for activities or their results, aimed at the achievement of the optimum degree of order in a given context.

International standards are standards that were developed by an International standardizing standards organization and made available to the public e.g. International standard published by International Organization for Standardization (ISO), International Electrotechnical Commission (IEC), Codex Alimentarius etc.

How are Philippine National Standards being developed?

Standards are prepared through Technical Committees method or Fast Track method.
Technical Committees Method Flow

Abbreviations:
PNS (Philippine National Standards)
CDPNS (Committee Draft Philippine National Standards)
DPNS (Draft Philippine National Standard)
FDPNS (Final Draft Philippine National Standard)
Fast Track Method
Abbreviations: PNS (Philippine National Standards)
BPS (Bureau of Product Standards)

How are Philippine National Standards being developed through Technical Committee Method?

Standards established via technical committee method usually undergo series of deliberation and then circulated for two months to all sectors concerned for their technical views and comment. In order to achieve the purpose of standardization, transparency and consensus, a technical committee shall, as much as possible, represent the following sectors: academe, research institution (s), trade / industry, government agencies, consumer, testing institution (s), and professional groups.

What is Product Certification?

Product certification is a procedure that assesses whether a product is manufactured according to the requirements of a standard. The Product Certification Division, also known as Action Team 5 (AT5) is headed by a Division Chief and is backed by technically competent Product Managers and 3 Technical Support Staff. With the aim of providing confidence to products through an independent assurance of quality and safety, AT5 operates the Product Certification Scheme as follows:

  • Philippine Standard (PS) Quality Certification Mark License Scheme and
  • Import Commodity Clearance (ICC) Scheme
Under the PS Scheme, BPS issues a license to use the PS Mark to a company after its products have been determined, through audits, as meeting the requirements of the applicable Philippine National Standards (PNS).

On the other hand, importers of products covered by mandatory PNS are issued the ICC and allowed to use the ICC Mark after their import shipments (on a per Bill of Lading basis) have been evaluated by BPS as meeting the requirements of the applicable standard. Import shipments are subjected to sampling and testing. Product Certification covers the following: Building and construction materials, electrical and electronic home appliances, chemical products, consumer products, and fresh and processed food.

Why Product Certification?

There are numerous benefits that both entrepreneurs and consumers get from product certification: increased confidence in the products' reliability and more opportunities to increase market share are just two. In the past few years, there has been a an increase in demand in the global market for products with greater value but at competitive prices. A natural result of this demand is the need for firms to give assurance to consumers of their products' ability to meet expectations. Such assurances are conveyed to consumers through a certification or proof that proves that the product conforms to specific standards.

What are the benefits of Product Certification?

There are numerous benefit that consumers, manufacturers and trade get from product certification:

For manufacturer, it enhances competitiveness of products in domestic and export markets. As a result, there is improved sales and profitability.

Traders also benefit by acquiring improved reputation and attracting quality-conscious buyers. Product Certification also strengthens buyers' confidence in a product leading to increased sales.

Most importantly, consumers are assured of product quality, safety and reliability.

What are the Products under Mandatory Certification?

Products under mandatory certification are found in the list being maintained by the Product Certification Group (AT5) of BPS. There are 91 products as of 01 June 2005 that affect health and safety of consumers. Please click here to view the complete and updated list of products under mandatory certification.(http://www.bps.dti.gov.ph/BPS_Databases_PNSMandatory.php?formAction=list&alphaListBy=L&page=1)

What is PS Certification Scheme?

It is a product certification scheme in which a manufacturer obtains a license to use the Philippine Standard (PS) Quality and Safety Marks for its capability to consistently manufacture products in accordance with a specific Philippine National Standard (PNS) or an international accepted foreign standard. This scheme is covered by Department Administrative Order No. 01, Series of 1997: Revised rules and regulations concerning the Philippine Standard (PS) Quality and/or Safety Certification Mark Scheme.

The PS license is issued to a manufacturer whose product has successfully passed the requirements of a PNS. With the license, the manufacturer affixes the PS Mark on his product or product package.

The PS Quality Mark can be found on locally manufactured products and/or in products manufactured in foreign country with the existing bilateral arrangement with the Philippines from BPS. It assures consumers that the product they are buying conform to the specific Philippine National Standard or an internationally accepted foreign standard.

The PS Safety Mark, on the other hand, when found on a product, especially a household appliance or electrical products, guarantees the product's conformance with relevant safety requirements.

What are the types of audit conducted by BPS during the PS Quality and Safety Certification?

  1. Quality System Audit
    • During the quality system audit, BPS assessors conduct an actual visit to the company's plant to evaluate the company's effectiveness in managing its quality system for the manufacture and delivery of its products based on the requirements of the applicable PNS ISO 9000 series of standards or its future amendment.
  2. Product Audit
    • In-plant testing

      BPS assessors witness the actual testing of product samples using the company's own facilities and resources. This activity aims to check if the company is applying the requirements of the standard in the production of its product. This type of product audit will also initially determine if the product meets the requirements of the standard.
    • Independent testing

      BPS assessors draw samples of the product from the company's manufacturing site and submit these for testing by BPS or by BPS accredited testing laboratory. Independent product testing is BPS' means of affirming the results of the in-plant test.

What is an Import Commodity Clearance?

For imported products, the BPS runs the Import Commodity Clearance (ICC) certification scheme and is covered by Department Administrative Order No. 5:2001: Revised Rules and Regulations Concerning the Issuance of the Import Commodity Clearance.

ICCs are issued to importers whose shipments have been found to conform to the requirements of the relevant Philippine National Standards or acceptable international or foreign standards. In addition to satisfactory test results of import shipments, BPS conducts random checks at market outlets to make sure that imported shipments consistently meet the requirements of the applicable Philippine standard.

What does the BPS Product Certification Scheme require from the Manufacturers?

Specific conditions from manufacturers of products under mandatory implementation are to be followed in the PS Certification Scheme. A manufacturer will not only apply for the PS Mark, but also align its system to ISO 9000 Series of QMS (Quality Management System). This internationally acclaimed standard is a user's mechanism to attune its procedures in the plant/factory/office in a very organized manner

What does the BPS Product Certification Scheme require from the Importers?

On the other hand, in the ICC Certification Scheme, an importer shall apply for an ICC per shipment of its product, from the BPS, before it can distribute in the market. If its product is NOT under mandatory implementation, BPS issues an exemption. If it IS under mandatory implementation, the importer shall subject a product sample from the shipment of the product to inspections to BPS. If the product passes all required test, then BPS issues the ICC to an importer for them to distribute the product in the market.

What is the PS License to a Manufacturer?

The PS License is a manufacturer's commitment to continuously conform to the requirements of a standard and the PS Certification Scheme. It serves as an authority to use the PS Mark on the products covered by the PS License.

How would we know if the product is certified by the Bureau of Product Standards?

Products sold in the market should bear the PS/ICC mark. PS is for products manufactured in the Philippines while the ICC is for imported products. Products that bear these markings signify that the product went through the quality requirements of the BPS.

How much is the penalty if we were caught selling uncertified products?

Penalty will be determined, according to the schedule of fines stipulated in DAO 2, series of 2002 including other administrative sanctions. Please refer to DAO 2 for more details of penalties.

What happens during the mediation hearing?

A mediation officer would discuss your violation, and you will be given the opportunity to settle the case amicably with a corresponding settlement fee and related administrative sanctions. This would happen if you accept your violation and is willing to settle. If the case is not settled in the Mediation stage it will be elevated to the Office of Legal Affairs.

What is a Private Emission Testing Center (PETC)?

Private Emission Testing Center or PETC is a privately owned facility for determining the level of opacity and testing the gaseous content of motor vehicle emissions. It determines the conformity of vehicle emissions to the standards set by the DENR under the Clean Air Act.

Why is the task of conducting emission testing given to the private sector?

It is delegated to the private sector to stress transparency and competitiveness. Emission testing centers present business opportunities for small and medium scale enterprises (SMEs), whose growth and development are being encouraged and supported by government. DTI believes that business is better managed by the private sector. In addition to this, a level playing field combined with healthy competition enhances successful business endeavors. More importantly, consumers get better service and value for money.

What vehicles are subject to emission testing?

  1. All vehicles subject to renewal of LTO registration.
    • Renewal of annual registration shall be allowed only upon presentation of a valid Certificate of Emission Compliance (CEC) from an accredited and authorized PETC.
  2. All motor vehicles found emitting excessive pollutants while operating in a public highway.
    • Owners of apprehended vehicles as a result of a roadside inspection by the LTO or its deputized agents have up to seven (7) days to have their vehicles repaired to meet the emission standards. The PETC will issue a CEC to release the impounded vehicle or its license plates.
  3. Imported second hand motor vehicles prior to initial registration with the LTO.

Who can operate a PETC?

Any natural person (at least 18 years of age) or any juridical person not disqualified by any existing law or regulation to engage in vehicle emission testing activity is qualified to apply for accreditation, provided that documentary requirements are complied with.

What are these documentary requirements for PETC accreditation application?

  • Duly accomplished application form, under oath.
  • Certified true copy of the following:
  • Certificate of Business Name Registration (for sole proprietorship)
  • SEC Certificate of Registration and Articles of Incorporation/Partnership and Board Resolution issued by Board Secretary specifying the name of authorized representative who must be an officer of the corporation/partnership (for corporation/partnership)

What are the fees charged to PETC applicants / owners?

  1. The fees and charges to be paid for accreditation and authorization of a PETC would depend on its size.
  2. PETCs are classified based on asset size:
    • Small - with an asset of over P1M up to P15M
    • Medium - over P15M up to P100M
    • Large - over P100M

What are the schedule of fees to be charged by DTI and DOTC / LTO for PETC application?

Below is the schedule of fees to be charged by DTI and DOTC/LTO:

1. DTI Schedule of Fees (for accreditation)

  • Application Fee P300.00
    (Non-refundable, payable upon issuance of application form)
  • Assessment Fee: payable within 15 days after billing (including document review, follow-up and review visits)
    Small - P8,000.00
    Medium - P16,000.00
    Large - P24,000.00
  • Re-Assessment Fee
    Small - P4,000.00
    Medium - P8,000.00
    Large - P12,000.00
  • Basic Accreditation Fee
    Small - P3,000.00
    Medium - P4,000.00
    Large - P5,000.00
  • Annual Accreditation Fee
    Small - P1,000.00
    Medium - P2,000.00
    Large - P3,000.00
  • Other Fees Certified copy of certificate of accreditation - P500.00
    Any other Certifications - P100.00
2. DOTC/LTO Schedule of Fees (for authorization)
  • Application Fee - P300.00
  • Basic Authorization Small - P3,000.00
    Medium - P4,000.00
    Large - P5,000.00
  • Annual Authorization Fee
    Small - P1,000.00
    Medium - P2,000.00
    Large - P3,000.00
  • Other Fees Certified copy of certificate of authorization - P500.00
    Any other certifications - P100.00

What are the prescribed testing equipment for a PETC?

The basic testing equipment are as follows:

  • Gas analyzer (for gasoline-driven vehicles)
  • Opacimeter (for diesel-driven vehicles)
All emission testing equipment should be properly calibrated. All must be certified by the DENR.

Are there any other standards / rules prescribed in PETC application?

  1. A testing lane (work area) should be within a permanent site with a maneuvering area of at least 6 meters wide and 6 meters long. A PETC may have any number of testing lanes.
  2. PETCs should employ an adequate number of TESDA-certified Motor Vehicle Emission Control Technicians (MVECT). Other personnel performing specific tasks must be qualified on the basis of appropriate education, training, experience and/or demonstration skill.
  3. PNS ISO/IEC 17025 Compliance
    • All PETCs must comply with the provisions of PNS ISO/IEC 17025 within one year from its initial accreditation and authorization. This ensures that quality of services, expertise and facilities are consistent with international standards of testing laboratories

What is the estimated capital outlay needed to put up a PETC?

A business enterprise would need an estimated P1.42 million to set-up a PETC, broken down as follows:

Item/Cost

  • Equipment - 500,000*
  • Rent (1 year) - 120,000
  • Supplies (1 year) - 60,000
  • Personnel salaries - 264,000
  • Other expenses - 105,600
  • Total - P1,049,600
* Minimum cost of equipment

How often should a PETC renew its Certificate of Accreditation and Authorization?

A Certificate of Accreditation and Authorization is valid for three (3) years. There are grounds for cancellation specified in Article 15 of the DTI-DOTC Joint Administrative Order (JAO). Applications for renewal of accreditation and authorization must be filed within three (3) months prior to its expiry date.

What are the prohibitions stated in Article 15?

The following are grounds for cancellation of Certificate of Accreditation and Authorization:

  • Operating a PETC or engaging in emission testing business without proper accreditation and/or authorization.
  • Violation of condition/s of accreditation and/or authorization.
  • Misrepresentation for purposes of securing a license or renewal (giving false statements in the application or submitting falsified documents).
  • Obstructing (or attempting to do so) inspection by the Assessment Team or visits by the authorized representative/s of DTI or DOTC/LTO.
  • Engaging in activities outside the scope of accreditation and/or authorization.
  • Tampering of test results or entering any false information about the vehicle being tested.
  • Any acts similar to the ones cited.

What are the sanctions for PETCs found guilty of committing the prohibited acts?

The following are sanctions to be imposed by DTI (upon due notice and hearing):

  • A fine of not less than P30,000; or
  • Cancellation of license of both the technician and the center; or
  • Both, as may be determined by DTI;
  • Forfeiture of bond