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Monday, May 5, 2025

Land use conversion exemptions

Here’s a comprehensive list of land and project categories that are exempt from land use conversion requirements in the Philippines, along with their corresponding legal bases:

I. Exempt Lands (No DAR Conversion Clearance Required)

1. Lands Already Classified as Non-Agricultural Before June 15, 1988

  • If land was zoned as residential, commercial, industrial, or institutional before the effectivity of the Comprehensive Agrarian Reform Law (CARL), it is exempt.
  • Legal Basis:
    • Section 65, RA 6657 (CARL)
    • DAR Administrative Order (AO) No. 1, Series of 2002, Section III(A)

2. Lands Reclassified by LGUs Under RA 7160 (Local Government Code)

  • Land reclassified from agricultural to non-agricultural by LGUs, after consultation with DAR and approval by HLURB/DHSUD, is exempt from DAR conversion, provided:
    • The reclassification was done within the limits of LGU authority; and
    • DAR was notified within 30 days.
  • Legal Basis:
    • RA 7160, Sections 20 and 447
    • DAR AO No. 1, Series of 2002, Section III(C)


II. Exempt Projects (Government or BOT Initiatives)

3. Government Infrastructure Projects

Includes:

  • Roads, highways, and irrigation systems
  • Public schools, hospitals, and government buildings
  • Transmission and communication lines
  • Disaster response or resettlement programs

Exempt from conversion if:

  • Implemented by a government agency or LGU
  • Located on land already acquired or owned by the government
  • Legal Basis:
    • DAR AO No. 1, Series of 2002, Section III(B)
    • DAR Memo Circular No. 7, Series of 201

4. Projects Under the Build-Operate-Transfer (BOT) Law

  • Public infrastructure is undertaken by private entities under government partnership programs.
  • Includes toll roads, power plants, water systems, etc.
  • Legal Basis:
    • RA 6957, as amended by RA 7718 (BOT Law)
    • DAR Memo Circular No. 18, Series of 1999

III. Other Specific Exemptions

5. Agrarian Reform Beneficiary (ARB) Housing Projects

  • ARBs may use awarded lands for housing purposes under DAR guidelines.
  • Conversion may not be required if housing supports agrarian reform objectives and gets DAR clearance.
  • Legal Basis:
    • DAR AO No. 5, Series of 2006

6. Ecozones, Resettlement, and Special Government-Designated Areas

  • Areas legally declared as economic zones, resettlement sites, or public development projects under national legislation or executive orders may be exempt.
  • Legal Basis:
    • Special laws (e.g., PEZA Law – RA 7916), proclamations, and Presidential Decrees

Summary Table of Exemptions and Legal Bases

Exempt Category

Legal Basis

Pre-1988 Non-Agricultural Zoning

RA 6657 §65; DAR AO 01-2002, Sec. III(A)

LGU Reclassification under RA 7160

RA 7160 §§20, 447; DAR AO 01-2002, Sec. III(C)

Government Infrastructure Projects

DAR AO 01-2002, Sec. III(B); DAR Memo Circular 7-2011

BOT and PPP Projects

RA 6957 as amended by RA 7718; DAR Memo Circular 18-1999

ARB Housing

DAR AO 05-2006

Ecozones or Legally Declared Public Projects

RA 7916 (PEZA Law); other enabling laws or proclamations


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