August 31, 1995

DAR OPINION NO. 45-95

Alberto L. Pangcog

General Counsel

National Power Corporation

Corner Quezon Avenue & Agham Road

Diliman, Quezon City

Sir:

This has reference to your request for DAR opinion declaring that the sale to the National Power Corporation (NPC) of lots covered by Emancipation Patents (EPs) which have already been fully paid are exempt from DAR clearance.

You state that NPC acquired several small portions of parcel of land covered by Emancipation Patents (already fully paid) to be used as access road for the Pagbilao Coal-Fired Thermal Power Project (PCFTPP); that the Register of Deeds (ROD) requires the presentation of a DAR Clearance for the registration of the Deeds of Sale covering said lots; that the MARO and the PARO have declined to issue said clearance, in view of the directive in DAR Circular No. 4, Series of 1995 to suspend the issuance of clearances for the registration of transactions covering lands under PD 27/EO 228. You believe that subject sale to NPC, though covering farmlots under PD 27, are not subject to DAR Clearance as they are intended for a public purpose and were acquired for a government project, short of a full-blown judicial proceedings.

It is submitted that the registration of the sale of the farmlots may be effected without prior DAR Clearance, considering that said acquisition by NPC (though short of judicial proceedings) was undertaken by virtue of the expropriation powers of the government for its Thermal Power Project. This is anchored on the ruling of the Supreme Court in the case entitled "Province of Camarines Sur vs. Court of Appeals", which you aptly cited.

We hope to have clarified the matter with you.

Very truly yours,

(SGD.) HECTOR D. SOLIMAN
Assistant Secretary Legal Affairs Office

Copy furnished:

OSEC

Doc. No. 95080385

PARO Danilo Orbase

DAR, Pagbilao, Quezon

Municipal Agrarian Reform Office

Pagbilao, Quezon