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Timed transcript

DOE and ERC

Senate Committee on Finance · September 17, 2026

Timed working transcript

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Speaker names reflect the current reviewed attribution. Each turn retains its stable source ID.

Senator Pia S. Cayetano

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The entire energy, DOE attached agencies and corporations, welcome.

Senator Pia S. Cayetano

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As you all know, we had our extensive briefing two days ago, and most of your heads have been meeting with my staff as well. So today, our agenda is obviously the proposed budget for 2027 in the NEP. I know some of you, or all of you, have some kind of presentation. Whether you have visual aids, I leave that up to you. We start with DOE Office of the

Senator Pia S. Cayetano

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secretary and then ERC and then the NEA NPC Philippine National Oil Company um PNOC Exploration Corporation National Transmission Corporation and PSALM so given our limited capacity I think we also have resource persons online. Tama ba? In case but they won't be presenting right? They're just they're just there if we need some additional information. Um

Senator Pia S. Cayetano

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and uh when some of our colleagues start arriving, I will I would like us to continue with the presentation so we don't disrupt the flow and then uh I'll open the floor to questions later on. Um for your information I discussed with the Senate President who's the former chairman of the committee on energy uh that you have some amendments and I already asked for his support. um to so that we can um push for the amendments

Senator Pia S. Cayetano

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that I think uh as an energy sector you all you all agree that we we should prioritize so I hope we can make it because he really wanted to attend. So before we proceed um I'd like to acknowledge and put on record some recent developments. We welcome the removal of the VAT on system loss because even when I was still chairman of the committee on energy, marami hong uh dumadaing dito. So alam ko medyo madugo yung process. So, but thank you

Senator Pia S. Cayetano

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and congratulations for um making this happen. And then um we do have quite a few issues obviously the supply and I know the secretary will will bring that up. Syempre ang habol natin is energy security. Maybe maybe on a daytoday basis yung mga ordinary folks, ordinary moms out there, mga nanay, tatay na nila kayang isipin yun

Senator Pia S. Cayetano

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yung energy ano natin security they rely on us to make sure that that energy security is in place pero yung effect kasi sa kanila as we all know supply and demand 'di ba? So kung konti supply natin ah nagtataas y'yung presyo. So 'yun naman 'yung talagang uh bottom line nung mga kababayan natin. And of course when we speak of security as I mentioned during the briefing, yung concern ko din talaga is yung ah reliable consistent supply sa lalo na sa mga probinsya na um alam pa rin natin na

Senator Pia S. Cayetano

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may mga whether it's planned or um intermittent brown outs eh ang goal talaga natin is 24/7 yung access nila sa kuryente. So we do want uh reliable supply we want transmission and distribution um to be in place. Okay. So I'll mention my other concerns later on as we go along but I think we can

Senator Pia S. Cayetano

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proceed. Um sana hindi to mahabaan masyado but um I need to remind everyone I'm very conscious of your health. You are free to stand up. Sitting is the new smoking. So you can stand up without my permission. You may go to the restroom without my permission. You can stand up and stretch. Um and please drink water. Um hindi yata kami magse-serve ng food dahil tapos na lunch. But you can eat.

Senator Pia S. Cayetano

asr-000050

Walang problema lahat yan sa akin. Okay? As long as you're available to answer the questions uh when you're called or if you had to step out, just tell your seatmate. You'll be back in 2 minutes. Not a problem. Um and then uh if the principals here need access to their support staff also not a problem pass the notes talk to your principals but if you need them to take the floor then I just need them to uh

Senator Pia S. Cayetano

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introduce themselves para ma-record natin kung sino yung nagsasalita. Okay, so we are ready to start. We start with you, Secretary. Secretary Garin, and then after that ERC, be ready, Attorney Juan. Okay, please proceed.

DOE Secretary Sharon S. Garin

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Madam Chair, just for the brevity also, and because most of the companies we have here have their own budgets actually, so if you allow us, it will be just DOE that will report

DOE Secretary Sharon S. Garin

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and then you can ask questions if there are some clarifications needed.

Senator Pia S. Cayetano

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Better. We are doing that for most. And then they trust that you will bring to our attention their concerns naman, and our staff is still here even after the hearing if they want to provide more information. But that does make it simple because I also want to be sure if they are raising any concerns, dapat

Senator Pia S. Cayetano

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aware din kayo and aligned kayo. So mas okay din talaga sa akin yan. Thank you.

DOE Secretary Sharon S. Garin

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Thank you, Madam Chair. Usec Bacordo will be doing our presentation. Usec Bacordo, please. Usec,

Senator Pia S. Cayetano

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Usec.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Gracious budget sponsor and chairperson of the subcommittee, Honorable Senator Pia Cayetano, honorable members of the Senate Committee on Finance, chiefs of the government energy family led by our

DOE Undersecretary Giovanni Carlo J. Bacordo

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hyperactive Secretary Sharon Garin.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Ladies and gentlemen, good afternoon.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Allow me to

Senator Pia S. Cayetano

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Sir, pa ba na mas hyperactive siya sa akin?

DOE Undersecretary Giovanni Carlo J. Bacordo

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Allow me to present the Department of Energy's

DOE Undersecretary Giovanni Carlo J. Bacordo

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major accomplishments along

DOE Undersecretary Giovanni Carlo J. Bacordo

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with the proposed budget for fiscal year

DOE Undersecretary Giovanni Carlo J. Bacordo

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2027 and plans and

DOE Undersecretary Giovanni Carlo J. Bacordo

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programs for the budget year.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Let me begin with the Department's

DOE Undersecretary Giovanni Carlo J. Bacordo

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major accomplishments.

DOE Undersecretary Giovanni Carlo J. Bacordo

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In response to the energy

DOE Undersecretary Giovanni Carlo J. Bacordo

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emergency caused by the Middle East

DOE Undersecretary Giovanni Carlo J. Bacordo

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conflict, the DOE

DOE Undersecretary Giovanni Carlo J. Bacordo

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in coordination with other

DOE Undersecretary Giovanni Carlo J. Bacordo

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agencies employed the whole of

DOE Undersecretary Giovanni Carlo J. Bacordo

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government approach in securing fuel

DOE Undersecretary Giovanni Carlo J. Bacordo

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supply, implementing staggered

DOE Undersecretary Giovanni Carlo J. Bacordo

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fuel price adjustments, prescribing

DOE Undersecretary Giovanni Carlo J. Bacordo

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the price adjustments for oil companies,

DOE Undersecretary Giovanni Carlo J. Bacordo

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fuel subsidy programs,

DOE Undersecretary Giovanni Carlo J. Bacordo

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preventing hoarding and

DOE Undersecretary Giovanni Carlo J. Bacordo

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profiteering, enforcing

DOE Undersecretary Giovanni Carlo J. Bacordo

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energy efficiency and conservation

DOE Undersecretary Giovanni Carlo J. Bacordo

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measures, and setting up

DOE Undersecretary Giovanni Carlo J. Bacordo

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support measures for the transport

DOE Undersecretary Giovanni Carlo J. Bacordo

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and agriculture

DOE Undersecretary Giovanni Carlo J. Bacordo

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sectors.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The country maintains an

DOE Undersecretary Giovanni Carlo J. Bacordo

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average available supply of

DOE Undersecretary Giovanni Carlo J. Bacordo

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50 days.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Following the President's directive during

DOE Undersecretary Giovanni Carlo J. Bacordo

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the 2025 SONA,

DOE Undersecretary Giovanni Carlo J. Bacordo

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the DOE with NEA and

DOE Undersecretary Giovanni Carlo J. Bacordo

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ERC restored

DOE Undersecretary Giovanni Carlo J. Bacordo

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24-7 electricity service

DOE Undersecretary Giovanni Carlo J. Bacordo

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in Siquijor. The DOE

DOE Undersecretary Giovanni Carlo J. Bacordo

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also acted decisively

DOE Undersecretary Giovanni Carlo J. Bacordo

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to address the prolonged

DOE Undersecretary Giovanni Carlo J. Bacordo

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power interruptions in Catanduanes,

DOE Undersecretary Giovanni Carlo J. Bacordo

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working closely with

DOE Undersecretary Giovanni Carlo J. Bacordo

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NPC, NEA, and FISELCO

DOE Undersecretary Giovanni Carlo J. Bacordo

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to restore

DOE Undersecretary Giovanni Carlo J. Bacordo

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reliable

DOE Undersecretary Giovanni Carlo J. Bacordo

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electricity service across

DOE Undersecretary Giovanni Carlo J. Bacordo

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the province. The Department

DOE Undersecretary Giovanni Carlo J. Bacordo

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has also been unwavering

DOE Undersecretary Giovanni Carlo J. Bacordo

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in its disaster response efforts

DOE Undersecretary Giovanni Carlo J. Bacordo

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to ensure power restoration

DOE Undersecretary Giovanni Carlo J. Bacordo

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and continuity of fuel supply

DOE Undersecretary Giovanni Carlo J. Bacordo

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in affected areas.

DOE Undersecretary Giovanni Carlo J. Bacordo

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On household electrification,

DOE Undersecretary Giovanni Carlo J. Bacordo

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as of August 2026,

DOE Undersecretary Giovanni Carlo J. Bacordo

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the country's

DOE Undersecretary Giovanni Carlo J. Bacordo

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household electrification level

DOE Undersecretary Giovanni Carlo J. Bacordo

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has reached 95.1%

DOE Undersecretary Giovanni Carlo J. Bacordo

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with around

DOE Undersecretary Giovanni Carlo J. Bacordo

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29.2 million households

DOE Undersecretary Giovanni Carlo J. Bacordo

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energized.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Out of the 30.7 million

DOE Undersecretary Giovanni Carlo J. Bacordo

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potential households,

DOE Undersecretary Giovanni Carlo J. Bacordo

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our renewable energy

DOE Undersecretary Giovanni Carlo J. Bacordo

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or RE share

DOE Undersecretary Giovanni Carlo J. Bacordo

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in the generation mix

DOE Undersecretary Giovanni Carlo J. Bacordo

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increased to 25%

DOE Undersecretary Giovanni Carlo J. Bacordo

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in 2025, equivalent

DOE Undersecretary Giovanni Carlo J. Bacordo

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to 31.7 terawatt

DOE Undersecretary Giovanni Carlo J. Bacordo

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hours of generation.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Through the Green Energy Auction Program,

DOE Undersecretary Giovanni Carlo J. Bacordo

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we have already awarded

DOE Undersecretary Giovanni Carlo J. Bacordo

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20.7 gigawatts

DOE Undersecretary Giovanni Carlo J. Bacordo

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of RE capacity

DOE Undersecretary Giovanni Carlo J. Bacordo

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with another 25 gigawatts

DOE Undersecretary Giovanni Carlo J. Bacordo

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planned for auction

DOE Undersecretary Giovanni Carlo J. Bacordo

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from 2027 to 2035.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The RE sector

DOE Undersecretary Giovanni Carlo J. Bacordo

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continues to be the leading

DOE Undersecretary Giovanni Carlo J. Bacordo

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contributor to Green Lane investments

DOE Undersecretary Giovanni Carlo J. Bacordo

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with 187 endorsed

DOE Undersecretary Giovanni Carlo J. Bacordo

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projects amounting to

DOE Undersecretary Giovanni Carlo J. Bacordo

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5.46 trillion

DOE Undersecretary Giovanni Carlo J. Bacordo

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since 2023,

DOE Undersecretary Giovanni Carlo J. Bacordo

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accounting for 86%

DOE Undersecretary Giovanni Carlo J. Bacordo

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of investments under the

DOE Undersecretary Giovanni Carlo J. Bacordo

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Board of Investments Green Lane

DOE Undersecretary Giovanni Carlo J. Bacordo

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Program. From July

DOE Undersecretary Giovanni Carlo J. Bacordo

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2022 to July

DOE Undersecretary Giovanni Carlo J. Bacordo

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2026, the country's

DOE Undersecretary Giovanni Carlo J. Bacordo

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power capacity

DOE Undersecretary Giovanni Carlo J. Bacordo

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continued to grow

DOE Undersecretary Giovanni Carlo J. Bacordo

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with installed capacity increasing

DOE Undersecretary Giovanni Carlo J. Bacordo

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by 4,988 megawatts

DOE Undersecretary Giovanni Carlo J. Bacordo

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or an 18.4%

DOE Undersecretary Giovanni Carlo J. Bacordo

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increase

DOE Undersecretary Giovanni Carlo J. Bacordo

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while dependable capacity

DOE Undersecretary Giovanni Carlo J. Bacordo

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increased by 5,106

DOE Undersecretary Giovanni Carlo J. Bacordo

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megawatts

DOE Undersecretary Giovanni Carlo J. Bacordo

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or a 22.3%

DOE Undersecretary Giovanni Carlo J. Bacordo

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increase. To further support

DOE Undersecretary Giovanni Carlo J. Bacordo

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the timely delivery of committed power

DOE Undersecretary Giovanni Carlo J. Bacordo

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projects and ensure

DOE Undersecretary Giovanni Carlo J. Bacordo

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that capacity additions are brought

DOE Undersecretary Giovanni Carlo J. Bacordo

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online as scheduled, the

DOE Undersecretary Giovanni Carlo J. Bacordo

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DOE established task force

DOE Undersecretary Giovanni Carlo J. Bacordo

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200 pursuant to

DOE Undersecretary Giovanni Carlo J. Bacordo

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the President's pronouncements

DOE Undersecretary Giovanni Carlo J. Bacordo

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during the 2025 SONA.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The task force closely

DOE Undersecretary Giovanni Carlo J. Bacordo

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monitors and facilitates the

DOE Undersecretary Giovanni Carlo J. Bacordo

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implementation of 200

DOE Undersecretary Giovanni Carlo J. Bacordo

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committed projects. To date,

DOE Undersecretary Giovanni Carlo J. Bacordo

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51 power projects

DOE Undersecretary Giovanni Carlo J. Bacordo

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are now completed and

DOE Undersecretary Giovanni Carlo J. Bacordo

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commercially operational,

DOE Undersecretary Giovanni Carlo J. Bacordo

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adding 1,864.6

DOE Undersecretary Giovanni Carlo J. Bacordo

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megawatts to the grid.

DOE Undersecretary Giovanni Carlo J. Bacordo

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This includes

DOE Undersecretary Giovanni Carlo J. Bacordo

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12 BES projects

DOE Undersecretary Giovanni Carlo J. Bacordo

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with a combined capacity of

DOE Undersecretary Giovanni Carlo J. Bacordo

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129.4 megawatts

DOE Undersecretary Giovanni Carlo J. Bacordo

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that support grid stability

DOE Undersecretary Giovanni Carlo J. Bacordo

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and frequency regulation.

DOE Undersecretary Giovanni Carlo J. Bacordo

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In the upstream sector,

DOE Undersecretary Giovanni Carlo J. Bacordo

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the 14 petroleum

DOE Undersecretary Giovanni Carlo J. Bacordo

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service contracts recently

DOE Undersecretary Giovanni Carlo J. Bacordo

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signed by the President will

DOE Undersecretary Giovanni Carlo J. Bacordo

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generate $324

DOE Undersecretary Giovanni Carlo J. Bacordo

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million potential

DOE Undersecretary Giovanni Carlo J. Bacordo

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investments. The successful

DOE Undersecretary Giovanni Carlo J. Bacordo

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drilling of Camago 3

DOE Undersecretary Giovanni Carlo J. Bacordo

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and Malampaya East 1 wells

DOE Undersecretary Giovanni Carlo J. Bacordo

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under Service Contract 38

DOE Undersecretary Giovanni Carlo J. Bacordo

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yielded estimated

DOE Undersecretary Giovanni Carlo J. Bacordo

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reserves of 222

DOE Undersecretary Giovanni Carlo J. Bacordo

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billion cubic feet of

DOE Undersecretary Giovanni Carlo J. Bacordo

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gas.

DOE Undersecretary Giovanni Carlo J. Bacordo

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extending operations to 2034, and providing enough fuel to power 13.1 million households for one year.

DOE Undersecretary Giovanni Carlo J. Bacordo

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We now present the Department's proposed 2027 budget.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The DOE's revenue collection for the national government have consistently exceeded its approved budget.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Collections were driven mainly by the Malampaya Gas Fund.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Its decline, however, was offset by improved collections from RE sources.

DOE Undersecretary Giovanni Carlo J. Bacordo

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For 2026, the total projected revenue collection is 6.06 billion.

DOE Undersecretary Giovanni Carlo J. Bacordo

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For 2027, revenues are projected to reach 23 billion, mainly because of Malampaya Phase 4.

DOE Undersecretary Giovanni Carlo J. Bacordo

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RE collections are also expected to continue increasing.

DOE Undersecretary Giovanni Carlo J. Bacordo

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For fiscal year 2027…

Senator Pia S. Cayetano

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Sorry, before… Let's…

Senator Pia S. Cayetano

asr-000200

Since there's no other senator, I'll just ask my quick questions.

Senator Pia S. Cayetano

asr-000201

I think it's interesting to emphasize that the revenues of DOE are predominantly from Malampaya Gas Fund.

Senator Pia S. Cayetano

asr-000202

And then from 2026 to 2027, it's still very high, almost to the 2023 levels.

Senator Pia S. Cayetano

asr-000203

And then your others, what are they?

Senator Pia S. Cayetano

asr-000204

What are your other sources?

Senator Pia S. Cayetano

asr-000205

Other like fee permits.

Senator Pia S. Cayetano

asr-000206

So basically…

Senator Pia S. Cayetano

asr-000207

Basically, fee permits, no?

Senator Pia S. Cayetano

asr-000208

So talagang ang laking bagay nung sa Malampaya.

Senator Pia S. Cayetano

asr-000209

Of course, I have to say that because ako'y nag-sponsor niyan and pinaglaban natin niyan.

DOE Secretary Sharon S. Garin

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And in fact, 2028 will likely go up because of the new discovery.

Senator Pia S. Cayetano

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Okay, that's good.

Senator Pia S. Cayetano

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Okay.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Next slide.

DOE Undersecretary Giovanni Carlo J. Bacordo

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For fiscal year 2027, the DOE's total proposed budget is 5.58 billion, reflecting an increase of 1.14 billion or 25.7%.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Compared with fiscal year 2026 GA of 4.43 billion.

DOE Undersecretary Giovanni Carlo J. Bacordo

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From 2022 to 2026, new appropriations generally maintained the largest share in the DOE's total budget, from 59.4 to 68.9%, versus automatic appropriations of about 31.1 to 40.6%.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000217

But for 2027, new appropriations decreased by ₱935 million.

DOE Undersecretary Giovanni Carlo J. Bacordo

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And account for only 36.4% of the total recommended budget, while 63.6% comes from the SAGF.

DOE Undersecretary Giovanni Carlo J. Bacordo

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In other words, the department's budgetary requirements will be heavily supported through the SAGF, sourced from the revenues from energy service contracts and other collections of the department.

DOE Undersecretary Giovanni Carlo J. Bacordo

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This chart shows the DOE…

Senator Pia S. Cayetano

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Before you leave again, I just want to comment.

Senator Pia S. Cayetano

asr-000222

So, for the first time since 2022, which is the last six years, the new appropriations will actually be less.

Senator Pia S. Cayetano

asr-000223

This is very important because basically, DOE is more self-sustaining than you were in the past.

Senator Pia S. Cayetano

asr-000224

And I think compared to many other agencies, malaking bagay yun na.

Senator Pia S. Cayetano

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So, it's really something that I wanted to emphasize.

Senator Pia S. Cayetano

asr-000226

And as you said, the reason is, meron kayong revenues na pumapasok to support this.

Senator Pia S. Cayetano

asr-000227

So, I want to emphasize this because it's a good thing.

Senator Pia S. Cayetano

asr-000228

Hirap naman ang puro bad news.

Senator Pia S. Cayetano

asr-000229

So, may good news naman tayo.

Senator Pia S. Cayetano

asr-000230

If you want to add, Secretary?

DOE Secretary Sharon S. Garin

asr-000231

I wanted to add also, hindi pa nabibilang diyan the contributions of our GOCCs because, for example, PSALM is one of the highest contributors in dividends.

DOE Secretary Sharon S. Garin

asr-000232

I think just this…

DOE Secretary Sharon S. Garin

asr-000233

This year is about P30 billion.

DOE Secretary Sharon S. Garin

asr-000234

Magkano ba yung contribution mo?

PSALM President and CEO Dennis Edward de la Serna

asr-000235

Good afternoon, Senator Pia.

PSALM President and CEO Dennis Edward de la Serna

asr-000236

Secretary, our contribution for this year is about P4 billion.

PSALM President and CEO Dennis Edward de la Serna

asr-000237

For next year, we're projecting around P30 plus billion.

DOE Secretary Sharon S. Garin

asr-000238

So, the others are also contributing.

DOE Secretary Sharon S. Garin

asr-000239

Pero wala siya dyan kasi this is remittance lang sa katina.

Senator Pia S. Cayetano

asr-000240

Okay. Thank you. Go ahead.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000241

Next slide.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000242

Next slide.

DOE Undersecretary Giovanni Carlo J. Bacordo

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This chart shows the DOE's budget utilization rate.

DOE Undersecretary Giovanni Carlo J. Bacordo

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From 2022 to 31 August 2026.

DOE Undersecretary Giovanni Carlo J. Bacordo

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Upon completion of procurement of the mobile energy system and the DOE automation project, which are already undergoing procurement, the obligation rate will increase to 67%.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The DOE expects to reach at least 95.89% utilization rate for 2026.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000247

The increase in the DOE's recommended 2027 budget from the current year's budget level.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000248

It's in large part owing to increased funding for these three major projects.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000249

The Philippine Gradiometry and Seismic Survey Project, or simply the Gradiometry Project, the Mobile Energy Systems, or MES, under the Total Electrification Project, and the ISSP, which includes the DOE Automation Project.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000250

The Gradiometry Project is the department’s initiative to improve resource mapping and prospect

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000251

identification,

DOE Undersecretary Giovanni Carlo J. Bacordo

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Reduce exploration risk and help attract greater upstream energy investments in the Philippines by generating higher quality geophysical data across priority petroleum basins.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The Grid Geometry Project covers 120,000 square kilometers.

DOE Undersecretary Giovanni Carlo J. Bacordo

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The area could support up to 120 individual exploration service contracts.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000255

Using data from the recently awarded exploration contracts,

DOE Undersecretary Giovanni Carlo J. Bacordo

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just 10% of

DOE Undersecretary Giovanni Carlo J. Bacordo

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the potential 120 contracts alone would already account for approximately ₱16.8 billion of potential private-sector investments.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000258

And that is not even counting potential oil and gas discoveries.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000259

Under the Total Electrification Project, the department is procuring MES that will provide...

Senator Pia S. Cayetano

asr-000260

One last before you go to that again, let's go back to this because I was very interested in this when it was presented.

Senator Pia S. Cayetano

asr-000261

The Philippine Gradiometry and Seismic Survey Project investment is ₱2.7 billion.

Senator Pia S. Cayetano

asr-000262

And that's basically to be surveying that area that was blocked off.

Senator Pia S. Cayetano

asr-000263

And I think, Secretary, you explained that even the selection of the area,

Senator Pia S. Cayetano

asr-000264

because it's costly to survey the whole area, is very strategic.

Senator Pia S. Cayetano

asr-000265

Because these are the areas that there's a big chance of making a discovery, correct?

Senator Pia S. Cayetano

asr-000266

Yes.

Senator Pia S. Cayetano

asr-000267

So you want to be sure that this item is secured in the budget, right?

Senator Pia S. Cayetano

asr-000268

This is not an additional budget you're asking for. It's already in the NEP.

DOE Secretary Sharon S. Garin

asr-000269

Yes, ma'am.

DOE Secretary Sharon S. Garin

asr-000270

Okay.

DOE Secretary Sharon S. Garin

asr-000271

And just briefly, Sandy, our in-house expert on this, can explain why.

Senator Pia S. Cayetano

asr-000272

Yes, explain it very quickly on the record because our briefing is not live.

Senator Pia S. Cayetano

asr-000273

I want people to know that we're investing in this kind of exploration.

Senator Pia S. Cayetano

asr-000274

Yes.

DOE Undersecretary Alessandro O. Sales

asr-000275

So, first point really is [unclear] po ng department kung saan natin dadalhin itong bagong acquisition ng data.

DOE Undersecretary Alessandro O. Sales

asr-000276

So, for the information, the last major exercise like this was in the 80s

DOE Undersecretary Alessandro O. Sales

asr-000277

na nag-acquire ng data ang Philippine government over our basins.

DOE Undersecretary Alessandro O. Sales

asr-000278

And it was funded through a World Bank loan.

DOE Undersecretary Alessandro O. Sales

asr-000279

So, major milestone that after so many decades, we are again investing.

DOE Undersecretary Alessandro O. Sales

asr-000280

In our own basins.

DOE Undersecretary Alessandro O. Sales

asr-000281

The main criteria why we picked these basins is parang nakalimutan sila because the decision in the 70s and 80s was that these areas were gas-prone.

DOE Undersecretary Alessandro O. Sales

asr-000282

At that time, natural gas po ay mahirap gawing commercial.

DOE Undersecretary Alessandro O. Sales

asr-000283

Walang masyadong bumibili.

DOE Undersecretary Alessandro O. Sales

asr-000284

When gas became a very valuable commodity beginning in the 2000s and up to the present time.

DOE Undersecretary Alessandro O. Sales

asr-000285

And in fact, kailangan ng Pilipinas, [unclear] namin itong mga areas na ito, nakalimutan dahil gas-prone daw.

DOE Undersecretary Alessandro O. Sales

asr-000286

But it could really matter to the future of the country if we find more indigenous gas in this what we call forgotten areas.

DOE Undersecretary Alessandro O. Sales

asr-000287

Thank you po.

Senator Pia S. Cayetano

asr-000288

Thank you for that.

Senator Pia S. Cayetano

asr-000289

Kasi I remember when I sponsored our bill on NatGas, we put on record that sadly,

Senator Pia S. Cayetano

asr-000290

the height of exploration, investment was in the 70s.

Senator Pia S. Cayetano

asr-000291

And then, hindi na ho naulit yun.

Senator Pia S. Cayetano

asr-000292

So, you're tying in that information we have na 80s pala yung last data collection.

Senator Pia S. Cayetano

asr-000293

But it makes sense that at that time, since hindi pa NatGas yung uso, hindi muna tinuloy.

Senator Pia S. Cayetano

asr-000294

Tapos ngayon, kailangan na nating—NatGas is really a very valuable commodity now.

Senator Pia S. Cayetano

asr-000295

So, now's a good time.

Senator Pia S. Cayetano

asr-000296

For this to really be, for this to be the focus.

Senator Pia S. Cayetano

asr-000297

Okay.

Senator Pia S. Cayetano

asr-000298

But later on, you'll also mention the development also and what, exploration for geothermal, no?

Senator Pia S. Cayetano

asr-000299

Kasi malaki din yung investment natin dati.

Senator Pia S. Cayetano

asr-000300

So, later on, I think that's part of your presentation naman.

DOE Undersecretary Alessandro O. Sales

asr-000301

Madam Chair, if I may, one last point.

DOE Undersecretary Alessandro O. Sales

asr-000302

Actually, when we talk to investors, malaking push din yung nangyari sa NatGas law.

DOE Undersecretary Alessandro O. Sales

asr-000303

Because, ang nangyari doon,

DOE Undersecretary Alessandro O. Sales

asr-000304

it really bridged the gap between yung upstream, yung pag-explore,

DOE Undersecretary Alessandro O. Sales

asr-000305

and saan natin ibebenta.

DOE Undersecretary Alessandro O. Sales

asr-000306

What happened with our NatGas law was the market was assured

DOE Undersecretary Alessandro O. Sales

asr-000307

because we said in the law that preference ang indigenous gas.

DOE Undersecretary Alessandro O. Sales

asr-000308

So, very important factor when we go out and meet the investors.

DOE Undersecretary Alessandro O. Sales

asr-000309

Thank you po.

Senator Pia S. Cayetano

asr-000310

And for those just following now, I remember the discussion was,

Senator Pia S. Cayetano

asr-000311

the emphasis here, the reality here is it's such a big investment because,

Senator Pia S. Cayetano

asr-000312

yung investors tataya, may makahanap ka ba?

Senator Pia S. Cayetano

asr-000313

Hindi tayo sure, di ba?

Senator Pia S. Cayetano

asr-000314

Hindi tayo sure.

Senator Pia S. Cayetano

asr-000315

So, they may spend a lot and not get anything.

Senator Pia S. Cayetano

asr-000316

So, to be able to tell them that if you do find gas,

Senator Pia S. Cayetano

asr-000317

priority in the Philippines to purchase their own indigenous gas versus yung imported.

Senator Pia S. Cayetano

asr-000318

Importante yun.

Senator Pia S. Cayetano

asr-000319

Kasi, for investors, yun ang hinahanap nila na ano yung return of investment.

Senator Pia S. Cayetano

asr-000320

Pwede kasing zero talaga eh kung walang makita.

Senator Pia S. Cayetano

asr-000321

But, at least we're saying, pag may nakita,

Senator Pia S. Cayetano

asr-000322

then, I mean,

Senator Pia S. Cayetano

asr-000323

those who are investing are in the industry naman eh.

Senator Pia S. Cayetano

asr-000324

So, they know the risk.

Senator Pia S. Cayetano

asr-000325

But, to be assured that there will be a buyer is a big thing.

Senator Pia S. Cayetano

asr-000326

So, yeah.

Senator Pia S. Cayetano

asr-000327

So, I'm glad that you have this investment now for this project to proceed.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000328

Next slide.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000329

Under the total electrification project,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000330

the department is procuring MES

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000331

that will provide the renewable,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000332

rapidly deployable,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000333

and modular solutions,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000334

designed,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000335

for immediate,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000336

interim,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000337

and sustainable electricity access

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000338

for both disaster response and electrification purposes.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000339

For 2026,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000340

we are utilizing 500 million from current appropriations

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000341

and 21 million from continuing appropriations.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000342

For 2027,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000343

we are proposing 600 million budget

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000344

for at least 60 additional MES units.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000345

For 2027,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000346

we propose a budget of ₱950 million for

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000347

ISSP,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000348

of which

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000349

₱491 million

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000350

or 52%

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000351

is for automation,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000352

while ₱458 million

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000353

or 48%

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000354

is for other ICT

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000355

requirements.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000356

The DOE automation project

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000357

will transform fragmented

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000358

stand-alone systems

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000359

into a unified,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000360

streamlined,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000361

automated,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000362

and AI-enabled enterprise

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000363

platform.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000364

It will improve efficiency and transparency,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000365

strengthen accountability,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000366

and provide a reliable,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000367

and regulatory compliance

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000368

and reduce opportunities

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000369

for discretion, manipulation

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000370

and corruption.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000371

Finally, we present a summary

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000372

of the department's major plans and

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000373

programs.

Senator Pia S. Cayetano

asr-000373-split-2

Before you proceed, just

Senator Pia S. Cayetano

asr-000374

a quick comment on the automation

Senator Pia S. Cayetano

asr-000375

just to put on record what I also said

Senator Pia S. Cayetano

asr-000376

during the briefing, that make sure

Senator Pia S. Cayetano

asr-000377

that whatever

Senator Pia S. Cayetano

asr-000378

system you purchase

Senator Pia S. Cayetano

asr-000379

is interoperable

Senator Pia S. Cayetano

asr-000380

to the extent that you

Senator Pia S. Cayetano

asr-000381

may need to be connecting

Senator Pia S. Cayetano

asr-000382

like for example,

Senator Pia S. Cayetano

asr-000383

national ID system.

Senator Pia S. Cayetano

asr-000384

Kailangan yung ibang agencies that you may have

Senator Pia S. Cayetano

asr-000385

to be coordinating with.

Senator Pia S. Cayetano

asr-000386

Just a reminder kasi

Senator Pia S. Cayetano

asr-000387

it's not that difficult at this time

Senator Pia S. Cayetano

asr-000388

to make sure that that happens.

Senator Pia S. Cayetano

asr-000389

A few years ago, laging lumalabas na

Senator Pia S. Cayetano

asr-000390

issue yan eh, na hindi

Senator Pia S. Cayetano

asr-000391

aligned yung mga systems

Senator Pia S. Cayetano

asr-000392

ng gobyerno natin. So just be sure.

Senator Pia S. Cayetano

asr-000393

Thank you.

DOE Secretary Sharon S. Garin

asr-000394

Go ahead, Chair.

DOE Secretary Sharon S. Garin

asr-000395

Actually, we have

DOE Secretary Sharon S. Garin

asr-000396

a new use sector

DOE Secretary Sharon S. Garin

asr-000397

especially

DOE Secretary Sharon S. Garin

asr-000398

just for automation

DOE Secretary Sharon S. Garin

asr-000399

because we think that this will

DOE Secretary Sharon S. Garin

asr-000400

improve the lives of the

DOE Secretary Sharon S. Garin

asr-000401

people in DOE, make it easier

DOE Secretary Sharon S. Garin

asr-000402

and also make it

DOE Secretary Sharon S. Garin

asr-000403

streamline the process.

DOE Secretary Sharon S. Garin

asr-000404

I don't know if Yusexasa still

DOE Secretary Sharon S. Garin

asr-000405

wants to explain but that's the main

DOE Secretary Sharon S. Garin

asr-000406

objective that we want

DOE Secretary Sharon S. Garin

asr-000407

fully integrated

DOE Secretary Sharon S. Garin

asr-000408

among us and also with our

DOE Secretary Sharon S. Garin

asr-000409

stakeholders and also with our

DOE Secretary Sharon S. Garin

asr-000410

GOCCs para

DOE Secretary Sharon S. Garin

asr-000411

mas mabilis na yung trabaho.

Senator Pia S. Cayetano

asr-000412

Maybe later we can make a note na

Senator Pia S. Cayetano

asr-000413

pag natapos yung

Senator Pia S. Cayetano

asr-000414

main presentation, then you want to say

Senator Pia S. Cayetano

asr-000415

a few, we will put on record

Senator Pia S. Cayetano

asr-000416

whatever you want to add or

Senator Pia S. Cayetano

asr-000417

if not, then at least give me a paper

Senator Pia S. Cayetano

asr-000418

on it. Thank you.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000419

Okay.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000420

Next slide. Finally, we present

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000421

a summary of the department's major plans

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000422

and programs. First,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000423

we accelerate energy resource development.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000424

The biggest investment

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000425

of the DOE is on the

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000426

grid geometry project, which is

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000427

expected to significantly increase oil

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000428

and gas explorations in the country.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000429

We are implementing the

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000430

Philippine Geothermal Derisking Facility

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000431

to revive geothermal

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000432

exploration in the Philippines.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000433

We are also conducting additional

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000434

green energy auctions

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000435

such as waste to energy,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000436

onshore and offshore wind,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000437

geothermal, agro-solar,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000438

solar on stilts,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000439

solar on irrigation canals,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000440

and off-grid areas.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000441

Nuclear energy remains part of the

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000442

DOE's long-term energy strategy,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000443

functioning as cheaper

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000444

and more reliable base load

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000445

power. The mid-merit

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000446

natural gas capacity auction

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000447

is targeted to be completed

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000448

by December 2026.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000449

We also have major plans

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000450

to ensure energy security, including the deployment of MES, establishment of a state-owned strategic fuel reserve,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000451

formulation of the Visayas, Mindoro, and Palawan energy master plans,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000452

implementation of policies for generation companies' accountability, review of systems laws-related policies and programs,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000453

push for government-wide adoption of electric vehicles or EVs, and deployment of EV charging stations.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000454

We also have several key projects to strengthen governance, including the full digitalization, automation, and AI transformation of DOE,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000455

the establishment of the DOE Center for Energy Excellence, comprising of the Energy Museum, Energy Academy, and R&D Center,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000456

the strengthening of DOE Manpower, the modernization of the DOE Nationwide Command Center,

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000457

and the upgrading of DOE facilities to achieve net-zero energy consumption.

DOE Undersecretary Giovanni Carlo J. Bacordo

asr-000458

Madam Chair, Honorable Members of the Committee, this ends my presentation. Thank you for your kind attention.

Senator Pia S. Cayetano

asr-000459

Thank you. Before we go to Attorney Juan, I just had the—

Senator Pia S. Cayetano

asr-000460

I remembered…

Senator Pia S. Cayetano

asr-000461

In the energy industry, are there specific professions that are required, or even non-professional jobs that we have a shortage of?

Senator Pia S. Cayetano

asr-000462

I ask because, as you probably know, I'm very passionate about education, and one of the things we are lacking is the direct connection between the industry and CHED or TESDA.

Senator Pia S. Cayetano

asr-000463

So, meron ba? I'm just curious.

DOE Secretary Sharon S. Garin

asr-000464

Yes, ma'am.

Senator Pia S. Cayetano

asr-000465

You had mentioned electrical engineers. May kulang. I just assumed it's electrical.

DOE Secretary Sharon S. Garin

asr-000466

I have Usec Guevara, our Dean of UP Engineering.

Senator Pia S. Cayetano

asr-000467

Are you a dean?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000468

I was a dean from 2004 to 2010.

Senator Pia S. Cayetano

asr-000469

Saan na ba yan? Kasi when I was in UP, katabi pa yan ng lot. Hindi na, di ba? Nag-move na. Ah, hindi, yung RQ sa taas ang nag-move.

Senator Pia S. Cayetano

asr-000470

Pinalayas na namin sila.

Senator Pia S. Cayetano

asr-000471

May sarili nang building. Kasi UP Arki yung anak ko.

Senator Pia S. Cayetano

asr-000472

At doon pala sila.

Senator Pia S. Cayetano

asr-000473

May 6 na bago, pero kayo doon pa rin.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000474

Doon pa rin.

Senator Pia S. Cayetano

asr-000474-split-2

Ah, okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000475

May 6 na bagong buildings din po kami.

Senator Pia S. Cayetano

asr-000476

Ah, really?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000477

Yes.

Senator Pia S. Cayetano

asr-000478

In the area?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000479

In the science and engineering area on Velasquez Street.

Senator Pia S. Cayetano

asr-000480

Okay, okay. Anyway, go ahead.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000481

Anyway, depending on the technologies, for example, nuclear, because all our engineers left in 1987, the faculty members and so on, so we have to rebuild.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000482

Fortunately, DOST started about 5 years ago.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000483

They've sent people for PhD.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000484

Masters and so on.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000485

And then, for the offshore wind, this is the new technology among the renewables.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000486

Yes.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000487

So, we have a deal with the CHED and TESDA because there's specific job descriptions, no?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000488

That we need to convert perhaps a mechanical engineer into an offshore wind engineer and so on.

Senator Pia S. Cayetano

asr-000489

Mga bridge programs.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000490

Yes.

Senator Pia S. Cayetano

asr-000491

So, they're working that out with the universities?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000492

Yes.

Senator Pia S. Cayetano

asr-000493

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000494

And then, we also have—

DOE Undersecretary Rowena Cristina L. Guevara

asr-000495

We just discovered that many of our plants, coal-fired power plants, gas plants, and so on, are maintained by foreigners.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000496

So, every time there's a breakdown in a plant, we have to wait for the foreigner to come and do the repairs or assess, even the assessment.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000497

And we have what we call the maintenance program for these plants.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000498

And once we schedule it for a year, we cannot move the dates because they have to reserve the plants.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000499

Ahead of time.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000500

So, we need to develop that ability again in the Philippines.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000501

Otherwise, we cannot fix our plants right away.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000502

So, in terms of human resource, we do have a lot of engineers.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000503

And in fact, those foreign experts, when they come, sometimes they are Filipinos.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000504

We are not able to keep them, Madam Chair.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000505

So, we do have the talent pool.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000506

We have a lot of engineering graduates.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000507

We cannot retain them.

Senator Pia S. Cayetano

asr-000508

Just a quick response.

Senator Pia S. Cayetano

asr-000509

I'm actually happy with the bulk of your response because you're already communicating with Ched.

Senator Pia S. Cayetano

asr-000510

And that must be because of your experience as a dean.

Senator Pia S. Cayetano

asr-000511

Because in many other sectors that I talked to, parang wala.

Senator Pia S. Cayetano

asr-000512

So, you're already ahead.

Senator Pia S. Cayetano

asr-000513

And I'm happy to hear that.

Senator Pia S. Cayetano

asr-000514

Ito na bang yung maintenance na lang talaga.

Senator Pia S. Cayetano

asr-000515

So, Secretary, I'm happy to work with whoever will take over USEC Guevara's...

Senator Pia S. Cayetano

asr-000516

Ayan, sige.

Senator Pia S. Cayetano

asr-000517

No, because I want to be sure.

Senator Pia S. Cayetano

asr-000518

I want to be sure you get that done.

Senator Pia S. Cayetano

asr-000519

I mean, even among how many coal plants are there.

Senator Pia S. Cayetano

asr-000520

How many are there?

Senator Pia S. Cayetano

asr-000521

Di ba sila pwedeng mag-unite?

Senator Pia S. Cayetano

asr-000522

And I mean, it's just a matter of getting it done.

Senator Pia S. Cayetano

asr-000523

Di ba?

DOE Secretary Sharon S. Garin

asr-000524

We, actually, just timely enough.

DOE Secretary Sharon S. Garin

asr-000525

We just had a meeting with the...

DOE Secretary Sharon S. Garin

asr-000526

Anong tawag ko dun?

DOE Secretary Sharon S. Garin

asr-000527

Yeah.

DOE Secretary Sharon S. Garin

asr-000528

We are trying to do capacity building projects also with them.

DOE Secretary Sharon S. Garin

asr-000529

Para may pool tayo na accredited to do those things.

DOE Secretary Sharon S. Garin

asr-000530

But that's still in the initial stages.

DOE Secretary Sharon S. Garin

asr-000531

But yes, there's a...

Senator Pia S. Cayetano

asr-000532

Because I remember when we visited the rig in Palawan, Malampaya,

Senator Pia S. Cayetano

asr-000533

when I visited it, what, almost two years ago, a year and a half ago,

Senator Pia S. Cayetano

asr-000534

that was also the issue that if we don't get assurance that there will be a continuity,

Senator Pia S. Cayetano

asr-000535

we'll also lose that very capable manpower that we have.

Senator Pia S. Cayetano

asr-000536

And there are all Filipino crew pa naman.

Senator Pia S. Cayetano

asr-000537

So...

Senator Pia S. Cayetano

asr-000538

So, let's get this going and let's try to maintain na talaga.

Senator Pia S. Cayetano

asr-000539

And yeah, the idea is later on when they're so good, sila naman...

Senator Pia S. Cayetano

asr-000540

Well, nangyari na nga.

Senator Pia S. Cayetano

asr-000541

Umalis na lahat dati.

Senator Pia S. Cayetano

asr-000542

So, let's rebuild again.

Senator Pia S. Cayetano

asr-000543

Okay.

Senator Pia S. Cayetano

asr-000544

So, we'll go now.

Senator Pia S. Cayetano

asr-000545

I think, wait, before I go to Attorney Juan, just very quick questions.

Senator Pia S. Cayetano

asr-000546

Very quick.

Senator Pia S. Cayetano

asr-000547

What's our current energy mix?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000548

We are currently coal.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000549

Is about 62%.

Senator Pia S. Cayetano

asr-000550

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000551

And then, renewables is about 25%.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000552

And then, you have the rest, the oil and gas and so on, as well as the others.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000553

And also, BES, battery energy storage system.

Senator Pia S. Cayetano

asr-000554

So, with the top two, that's already equivalent to 87%, no?

Senator Pia S. Cayetano

asr-000555

But I'll give you a minute to tell me how RE is doing.

Senator Pia S. Cayetano

asr-000556

Because we do know that RE use is going up and even the cost of RE is going down.

Senator Pia S. Cayetano

asr-000557

So, can you...

Senator Pia S. Cayetano

asr-000558

Can you make your little, you know, make that statement about it?

Senator Pia S. Cayetano

asr-000559

Because this is what so many environmentalists have been waiting to happen.

Senator Pia S. Cayetano

asr-000560

And it has happened in our lifetime.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000561

Madam Chair.

Senator Pia S. Cayetano

asr-000562

Let me just acknowledge Senator Erwin Tulfo.

Senator Pia S. Cayetano

asr-000563

Sir, I'll give you a minute to make an opening statement if you want.

Senator Pia S. Cayetano

asr-000564

I'll just let her finish this question.

Senator Erwin Tulfo

asr-000565

Go ahead.

Senator Erwin Tulfo

asr-000566

I don't have any opening statement, Madam Chair.

Senator Pia S. Cayetano

asr-000567

Sige.

Senator Pia S. Cayetano

asr-000568

So, go ahead and answer the question lang.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000569

Madam Chair, from 2022 to 2024,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000570

our renewable energy in the generation mix in megawatt hours was 22%.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000571

Last year, 2025, it jumped to 25%.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000572

It's a 3% increase.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000573

So, we figured based on our plans and the green energy auction results,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000574

by 2030, we will reach 35% of renewable energy in the generation mix.

Senator Pia S. Cayetano

asr-000575

And that's the target?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000576

Yes, ma'am.

Senator Pia S. Cayetano

asr-000577

Okay.

Senator Pia S. Cayetano

asr-000578

And in terms of pricing,

Senator Pia S. Cayetano

asr-000580

banggitin mo na,

Senator Pia S. Cayetano

asr-000581

kasi on record.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000582

Dati po yung coal, mas mura siya kesa sa solar.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000583

Ngayon, solar is cheaper than coal already.

Senator Pia S. Cayetano

asr-000584

So, I'll repeat.

Senator Pia S. Cayetano

asr-000585

Solar is now cheaper than coal.

Senator Pia S. Cayetano

asr-000586

So, in our desire to push for more RE, more renewables, more sustainable,

Senator Pia S. Cayetano

asr-000587

we are on track and it should happen because hindi na madaling sabihin na

Senator Pia S. Cayetano

asr-000588

mas mura ang coal, kailangan natin umasa sa coal.

Senator Pia S. Cayetano

asr-000589

And can you also add to the discussion?

Senator Pia S. Cayetano

asr-000590

So, people understand, no?

Senator Pia S. Cayetano

asr-000591

Because it's very rare that you get a full picture.

Senator Pia S. Cayetano

asr-000592

One of the reasons why RE, renewable energy, was difficult to push was because of the storage.

Senator Pia S. Cayetano

asr-000593

So, kung walang araw, hindi mo na-store yung na-collect mong energy,

Senator Pia S. Cayetano

asr-000594

wala kang magagamit, diba?

Senator Pia S. Cayetano

asr-000595

So, hindi siya nagagamit for base load.

Senator Pia S. Cayetano

asr-000596

But now, maybe you can update us on what is the scenario now with the batteries?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000597

Today, even households can have solar and battery.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000598

Solar para mag-charge siya ng battery.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000599

Para pati sa gabi, renewable siya.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000600

Because battery prices have gone down by 90% in the past 10 years.

Senator Pia S. Cayetano

asr-000601

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000602

And Madam Chair, to also add, yung pong ating mga renewables ngayon,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000603

people are worried na ang mahal naman niyang bagong technology na yan.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000604

I would like to remind people that when we started solar as fit in 2015,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000605

the price was ₱9.68

DOE Undersecretary Rowena Cristina L. Guevara

asr-000606

per kilowatt hour.

Senator Pia S. Cayetano

asr-000607

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000608

And today, it's 4.5.

Senator Pia S. Cayetano

asr-000609

Wow.

Senator Pia S. Cayetano

asr-000610

So, from 9.68 to 4.5.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000611

4.5.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000612

So, we would like to encourage people not to be afraid of the initial high price of new technologies

DOE Undersecretary Rowena Cristina L. Guevara

asr-000613

because it will really go down.

Senator Pia S. Cayetano

asr-000614

Okay. Thank you for that, ma'am.

Senator Pia S. Cayetano

asr-000615

So, energy mix.

Senator Pia S. Cayetano

asr-000616

And then, my other question is, what's the fastest growing?

Senator Pia S. Cayetano

asr-000617

So, solar na nga.

Senator Pia S. Cayetano

asr-000618

Solar.

Senator Pia S. Cayetano

asr-000619

So, yung aasahan ko sana dyan is geothermal din, no?

Senator Pia S. Cayetano

asr-000620

Sana.

Senator Pia S. Cayetano

asr-000621

Sana. Pero hindi pa.

Senator Pia S. Cayetano

asr-000622

Kasi sabi niyo, yung presentation kanina is binabalik pa lang natin ulit eh.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000623

We are going to borrow money from Asian Development Bank,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000624

$170 million to de-risk the exploration of wells for geothermal.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000625

Yun po kasi yung pinaka-risky part eh.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000626

Kailangan mong mag-drill ng tatlong wells, $6 to $8 million each.

Senator Pia S. Cayetano

asr-000627

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000628

Lahat sila successful bago mo sabihin na,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000629

bakit di ako mag-drill dito?

Senator Pia S. Cayetano

asr-000630

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000631

And since 2012, when we sold our geothermal plants,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000632

we have not had greenfield.

Senator Pia S. Cayetano

asr-000633

Since 2012.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000634

Because the private sector is afraid of the risk.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000635

So, the geothermal de-risking facility that we are borrowing from ADB

DOE Undersecretary Rowena Cristina L. Guevara

asr-000636

will basically say, 50% of the risk will be taken by the government.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000637

So, land bank, our partner, will lend money for exploration, drilling wells.

Senator Pia S. Cayetano

asr-000638

Okay.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000639

If the geothermal developer is successful,

DOE Undersecretary Rowena Cristina L. Guevara

asr-000640

repay land bank.

DOE Undersecretary Rowena Cristina L. Guevara

asr-000641

If they're not successful, it's a grant from the Philippine government.

Senator Pia S. Cayetano

asr-000642

So, tumaya ka, but 50% of that is secure ka.

Senator Pia S. Cayetano

asr-000643

So, yung risk mo is just 50%.

Senator Pia S. Cayetano

asr-000644

And it's a loan from ADB by the government?

Senator Pia S. Cayetano

asr-000645

Is that what it is?

DOE Undersecretary Rowena Cristina L. Guevara

asr-000646

Yes. Sovereign guaranteed loan.

Senator Pia S. Cayetano

asr-000647

Okay. So, that means, basically, yung government yung tumataya.

Senator Pia S. Cayetano

asr-000648

It's just that tinulungan tayo ng ADB to provide the funding.

Senator Pia S. Cayetano

asr-000649

Okay.

Senator Pia S. Cayetano

asr-000650

So, just for your information, Senator Tulfo,

Senator Pia S. Cayetano

asr-000651

there are just two presentations.

Senator Pia S. Cayetano

asr-000652

The first one is done by DOE.

Senator Pia S. Cayetano

asr-000653

The second one is going to be presented to us by Attorney Juan for ERC.

Senator Pia S. Cayetano

asr-000654

And then, after that, I'll open it to questions.

Senator Pia S. Cayetano

asr-000655

So, are you okay with that?

Senator Pia S. Cayetano

asr-000656

Dalawa lang naman tayo, no?

Senator Erwin Tulfo

asr-000657

Yes, Madam Chair.

Senator Pia S. Cayetano

asr-000658

Okay. So, Attorney Juan, please proceed. Thank you.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000659

Thank you, Madam Chair, Honorable Senator Erwin Tulfo,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000660

and my Secretary Sharon Garin, and my colleagues in the Energy Family.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000661

I am Attorney Juan, Chairperson and CEO of the ERC.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000662

And with me are the Commissioners of ERC, Commissioner Floresinda Baldo-Digal,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000663

Commissioner Amante Liberato, and Commissioner Paris Real.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000664

Our mandate in EPIRA is very clear, and that is to promote competition,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000665

ensure

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000666

consumer choice, protect consumer interests,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000667

and keep retail rates based on prudent and reasonable cost recovery,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000668

and penalize abuse of market power.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000669

Slide three.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000670

We regulate the full electricity value chain, the regulated sectors,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000671

transmission and distribution, and the competitive sector generation and supply.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000672

So, there can be better appreciation of the following slides as regards the ERC accomplishments

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000673

Let me just describe briefly how we regulate the transmission and distribution sector.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000674

Basically, we set the rates and performance standards for our transmission utility, the NGCP,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000675

and our distribution utilities, both the private utilities and the electric cooperatives.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000676

For our monitoring and oversight over the competitive sector, namely the generation and supply,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000677

we basically license it.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000678

These entities, the generation companies, through the issuance of certificates of compliance, as well as license the retail electricity suppliers through the issuance of the RES licenses to them.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000679

At the same time, we issue regulations that will govern the sector short of setting or regulating the prices at which these entities offer to their respective customers.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000680

Except that for generation companies that are selling to distribution utilities for their captive market, we review the power supply agreements.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000681

that they enter into, as well as for ancillary service providers that are offering ancillary services to the transmission service provider. We likewise review and approve the ancillary service procurement agreements or ASPAs that they enter into. Slide four: the industry we regulate is valued at ₱4.19 trillion, with the DOE projecting around

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000682

₱20 to ₱31 trillion in investment needs through 2050, and with this it is anticipated that 1.8 million jobs will be created. So this is the scale of the energy sector that our proposed budget of ₱940 million must support. Next slide, the ERC has awoken from its slumber: 5,149 decisions

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000683

and orders issued in the period which is more than double the 2,411 issued in the same months

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000684

a year earlier. With the National Lifeline Subsidy Program that ERC developed last year

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000685

in consultation with the DOE and the DSWD, lifeline rate subsidy coverage is up 85.33 percent.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000686

It now reaches 620,000 qualified marginalized end users. Net metering registrations are up

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000687

51.77 percent under the streamlined licensing procedures that ERC implemented also last year.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000688

Worthy to mention also is the completed rate reset of NGCP both for the fourth regulatory period

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000689

and the fifth regulatory period. This happened in 2024.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000690

And this happened after more than a decade of delays.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000691

And together with the rate reset of NGCP was the approval of 1,602 CAPEX projects worth 290 billion.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000692

Next slide.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000693

The ERC also approved 71.3 billion in refunds as of August 2026.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000694

More than triple the 21.3 billion.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000695

A year earlier, including the 69.95 billion that Meralco was asked to refund

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000696

under the true-up mechanism or the actual weighted average tariff mechanism that ERC devised

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000697

so it can address the period during which there were no rate reset that was conducted for our private distribution.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000698

So it is Meralco that was directed but soon because the ERC also directed other private distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000699

to file similar petitions, we will be acting on the other private distribution utilities' AWAT applications.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000700

The ERC also approved last year 292 power supply agreement applications, up from a mere

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000701

71

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000702

a year

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000703

earlier,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000704

and 184

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000705

of those

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000706

with final

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000707

authority or decision.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000708

Average

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000709

competitive retail

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000710

electricity

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000711

market, or this is the generation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000712

charge that is usually

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000713

offered by

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000714

retail electricity suppliers

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000715

to contestable customers,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000716

the CREM rates are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000717

₱5.33

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000718

to ₱5.73

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000719

per kilowatt-hour.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000720

So, all in all, we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000721

estimate that the CREM

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000722

delivered 19.87

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000723

billion in consumer

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000724

savings in 2025.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000725

And related to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000726

CREM is the lowering

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000727

of the threshold. That happened

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000728

also last year.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000729

From the threshold of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000730

500 kilowatt, we lowered

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000731

the contestability threshold

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000732

to 100 kilowatt,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000733

and then we started,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000734

and we restarted

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000735

the performance-based

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000736

rate setting for the private

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000737

distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000738

after more than

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000739

a decade of delays

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000740

and made our

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000741

filing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000742

mandatory, as I mentioned,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000743

for all private distribution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000744

utilities. In support

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000745

also of the targets of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000746

Department of Energy for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000747

the greater renewable

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000748

energy share in our total

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000749

generation mix, we set

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000750

the green energy auction reserve

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000751

price for offshore wind and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000752

pioneer waste-to-energy projects.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000753

We updated

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000754

the AMI rules or the advanced

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000755

metering infrastructure rules

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000756

for smart grid modernization,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000757

and addressed long-standing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000758

generation sector issues,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000759

including the public

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000760

offering requirement,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000761

the PSA and ASPA delayed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000762

approvals, point-to-point

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000763

transmission delayed approvals,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000764

fit adjustment, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000765

UCME.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000766

Every one of these was delivered

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000767

within our existing budget.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000768

Now, for our

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000769

priorities for 2027,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000770

they remain

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000771

one, fair

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000772

and evidence-based

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000773

rate setting, two,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000774

timely resolution of pending

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000775

cases, three,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000776

robust oversight to foster

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000777

competition, and four,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000778

a stable and enhanced regulatory

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000779

environment to attract

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000780

investment. All of these

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000781

are anchored in our most important

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000782

thrust, which is five, a proactive

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000783

consumer-focused leadership.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000784

Next slide.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000785

Under these five major

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000786

trusts are these activities,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000787

one, we will set

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000788

the reserve

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000789

prices for emerging technologies

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000790

under the Green Energy Auction

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000791

Program of the Department

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000792

of Energy whenever required,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000793

both for on-grid and off-grid,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000794

and build the framework

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000795

for the natural gas

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000796

auction and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000797

possibly nuclear technology

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000798

in the future, and force

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000799

the distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000800

least-cost supply obligations,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000801

including

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000804

More timely audits of their

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000805

pass-through charges, including

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000806

a fuel audit of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000807

their pass-through fuel charges.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000808

And restart and complete

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000809

the regulatory rate reset

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000810

proceedings for all regulated

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000811

entities, both

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000812

the private distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000813

and the electric cooperatives,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000814

both on-grid and off-grid.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000815

By the way, for the electric cooperatives,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000816

we have not had any

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000817

rate reset or rate adjustment

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000818

for our electric cooperatives.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000819

For more,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000820

for more than a dozen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000821

years. And so it is high time

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000822

that we look into their rates, especially

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000823

with the mandate of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000824

president now for these electric cooperatives

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000825

to shape up, operate more

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000826

efficiently, and bring down their

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000827

system losses.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000828

We also intend

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000829

in 2027 to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000830

consolidate our ERCify

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000831

and other apps into one ERC

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000832

app, ensure full compliance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000833

with the EVOSS Act

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000834

timelines and the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000835

135-day

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000836

Microgrid Systems Act

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000837

deadline. By the way, as far

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000838

as our performance in the EVOSS,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000839

we are delivering

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000840

on-time approvals for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000841

all the cases and matters under

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000842

EVOSS. We further

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000843

streamline our processes

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000844

under the 2026

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000845

Rules of Practice and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000846

Procedure of the ERC,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000847

which we just approved yesterday,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000848

and strengthen the monitoring and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000849

enforcement for RPS,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000850

net metering, DUR, FIT

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000851

allowance, and JEA allowance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000852

compliance. We will again

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000853

support the ASEAN

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000854

Power Grid and push for EPIRA amendments

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000855

to strengthen the ERC's

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000856

authority, issue

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000857

regulations and regulatory frameworks

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000858

where there are gaps,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000859

and align them

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000860

with the amendments to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000861

RE Act and EPIRA, including

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000862

the roadmap for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000863

removing the system loss charge,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000864

and ensure timely resolution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000865

of all DU and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000866

NGCP rate cases,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000867

PSA, ASPA, KPEX

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000868

applications, dispute resolutions,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000869

and consumer complaints.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000870

We will

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000871

soon have the new

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000872

or the 2026 Philippine

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000873

Grid Code, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000874

with this,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000875

we will also enforce

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000876

the new Magna Carta for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000877

Electricity Consumers, backed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000878

by a more vigorous information

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000879

campaign on the new rights that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000880

we've defined under this new

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000881

Magna Carta. We'll also

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000882

pursue and amend our rules on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000883

redistribution, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000884

pursue ISO certification

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000885

for the Commission.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000886

We will also enhance the consumer

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000887

complaints ticketing system, strengthen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000888

the ERC's energy prices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000889

response capability, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000890

fully implement and monitor the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000891

100 kilowatt retail competition

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000892

and open access threshold

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000893

with continuous public

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000894

education to encourage broader

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000895

participation. We

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000896

integrate this threshold into the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000897

retail market roadmap

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000898

alongside the Green Energy

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000899

Option Program and the Retail

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000900

Aggregation Program to lay the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000901

groundwork for eventual household sector

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000902

inclusion and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000903

support electric vehicle adoption

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000904

including, hopefully, in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000905

ERC's own fleet.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000906

For our budget, our GAA

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000907

grew modestly from

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000908

911 million in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000909

2024 to 931

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000910

million in 2026.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000911

Our proposal for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000912

2027 is 1.7

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000913

billion. It is significantly

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000914

higher, but it reflects

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000915

the workload, activities,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000916

and the mandate that we just presented.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000917

Next slide.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000918

Our 2027

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000919

budget is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000920

1.7 billion.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000921

However, the NEP

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000922

only reflects

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000923

944 million, or

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000924

a reduction of 44.6

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000925

percent.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000926

That disallowance is mainly

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000927

in MOOE and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000928

capital outlay, the very items

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000929

that will be funding our rate reset

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000930

consultancies,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000931

ICT modernization, and case

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000932

resolution capacity.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000933

This is the increase we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000934

respectfully ask or request of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000935

the Honorable Committee

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000936

to consider.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000937

Our overall utilization rate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000938

for the first half of each year

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000939

has climbed steadily from

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000940

28.08 percent

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000941

in June of 2021

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000942

up to 46.81

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000943

percent in June

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000944

2026. So this is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000945

evidence of stronger absorptive

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000946

capacity by the ERC

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000947

to responsibly manage a larger

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000948

budget. The full

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000949

year utilization

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000950

has also strengthened

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000951

84.2

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000952

percent by end of 2025.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000953

This is up from

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000954

a low of 62.0%

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000955

in 2023.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000956

For in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000957

2025, the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000958

ERC generated

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000959

2.354 billion

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000960

in revenue,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000961

a 121 percent increase

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000962

over our ₱1.065

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000963

billion projection,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000964

and above our entire budget

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000965

allocation for two years,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000966

2025 and 2026.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000967

As of June 30,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000968

2026, we have already

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000969

collected ₱958.3

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000970

million.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000971

And the bulk of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000972

SRF or supervision

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000973

and regulatory fee collections

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000974

are expected by end of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000975

September 2026.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000976

So we are expecting

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000977

that we will surpass the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000978

2.3 billion revenue

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000979

for the entire year.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000980

So as you can see, the ERC

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000981

is a net revenue generator,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000982

a cash machine for the government.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000983

This budget request

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000984

of 1.7 billion is more

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000985

than offset by what we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000986

return to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000987

Treasury. That will be the end

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000988

of my presentation, Madam Chair,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-000989

Honorable Senators.

Senator Pia S. Cayetano

asr-000990

Thank you so much,

Senator Pia S. Cayetano

asr-000991

Attorney Wan. I want to recognize

Senator Pia S. Cayetano

asr-000992

our Senate President,

Senator Pia S. Cayetano

asr-000993

Senator Sherwin Gatchalian,

Senator Pia S. Cayetano

asr-000994

former Chairman also of the Committee on Energy,

Senator Pia S. Cayetano

asr-000995

and of course, our Majority Floor Leader,

Senator Pia S. Cayetano

asr-000996

also former Senate President,

Senator Pia S. Cayetano

asr-000997

Migz Zubiri. Hindi pa naman

Senator Pia S. Cayetano

asr-000998

naging Chairman ng Committee on Energy.

Senator Pia S. Cayetano

asr-000999

But on that note,

Senator Pia S. Cayetano

asr-001000

Senator Subiri would like to make

Senator Pia S. Cayetano

asr-001001

some remarks.

Senator Juan Miguel "Migz" F. Zubiri

asr-001002

Okay, better.

Senator Juan Miguel "Migz" F. Zubiri

asr-001003

Much better. Thank you.

Senator Juan Miguel "Migz" F. Zubiri

asr-001004

I'm just here. I'm not going to ask any questions

Senator Juan Miguel "Migz" F. Zubiri

asr-001005

to the DOE and

Senator Juan Miguel "Migz" F. Zubiri

asr-001006

of course to ERC.

Senator Juan Miguel "Migz" F. Zubiri

asr-001007

As far as I'm concerned, they're doing the best

Senator Juan Miguel "Migz" F. Zubiri

asr-001008

that they can with whatever we have

Senator Juan Miguel "Migz" F. Zubiri

asr-001009

going on around the world

Senator Juan Miguel "Migz" F. Zubiri

asr-001010

nowadays with the war

Senator Juan Miguel "Migz" F. Zubiri

asr-001011

in the Middle East.

Senator Juan Miguel "Migz" F. Zubiri

asr-001012

I'd just like to greet Secretary Sharon

Senator Juan Miguel "Migz" F. Zubiri

asr-001013

Garin. A pleasant good afternoon,

Senator Juan Miguel "Migz" F. Zubiri

asr-001014

Madam. Of course,

Senator Juan Miguel "Migz" F. Zubiri

asr-001015

to the head of the ERC and all the

Senator Juan Miguel "Migz" F. Zubiri

asr-001016

members of the ERC.

Senator Juan Miguel "Migz" F. Zubiri

asr-001017

All the undersecretaries of the DOE.

Senator Juan Miguel "Migz" F. Zubiri

asr-001018

Just maybe one,

Senator Juan Miguel "Migz" F. Zubiri

asr-001019

'Yung Philatom

Senator Juan Miguel "Migz" F. Zubiri

asr-001020

hindi po sa kanila, Madam. There's a new

Senator Juan Miguel "Migz" F. Zubiri

asr-001021

agency called Philatom,

Senator Juan Miguel "Migz" F. Zubiri

asr-001022

and I know I'm assisting

Senator Juan Miguel "Migz" F. Zubiri

asr-001023

the DOE

Senator Juan Miguel "Migz" F. Zubiri

asr-001024

on certain

Senator Juan Miguel "Migz" F. Zubiri

asr-001025

treaties, which is

Senator Juan Miguel "Migz" F. Zubiri

asr-001026

the nuclear treaties, the four

Senator Juan Miguel "Migz" F. Zubiri

asr-001027

nuclear treaties, but we had to

Senator Juan Miguel "Migz" F. Zubiri

asr-001028

suspend, Secretary, we had to suspend

Senator Juan Miguel "Migz" F. Zubiri

asr-001029

the deliberation because the questions

Senator Juan Miguel "Migz" F. Zubiri

asr-001030

were actually on Philatom, and

Senator Juan Miguel "Migz" F. Zubiri

asr-001031

since we don't have yet, I think we don't have yet

Senator Juan Miguel "Migz" F. Zubiri

asr-001032

a, yeah, maybe we recognize

Senator Juan Miguel "Migz" F. Zubiri

asr-001033

Secretary, really just quick answer.

DOE Secretary Sharon S. Garin

asr-001034

Madam Chair, the Philatom

DOE Secretary Sharon S. Garin

asr-001035

ay naipasa nang batas,

DOE Secretary Sharon S. Garin

asr-001036

but the commissioners haven't been

DOE Secretary Sharon S. Garin

asr-001037

appointed yet. Technically,

DOE Secretary Sharon S. Garin

asr-001038

it's under

DOE Secretary Sharon S. Garin

asr-001039

the Office of the President.

DOE Secretary Sharon S. Garin

asr-001040

What's the role of DOE

DOE Secretary Sharon S. Garin

asr-001041

on this? DOE is involved

DOE Secretary Sharon S. Garin

asr-001042

because it is the chair of

DOE Secretary Sharon S. Garin

asr-001043

the NEPYAC,

DOE Secretary Sharon S. Garin

asr-001044

Nuclear Energy Program Interagency

DOE Secretary Sharon S. Garin

asr-001045

Committee, and the,

DOE Secretary Sharon S. Garin

asr-001046

the NEPYAC

DOE Secretary Sharon S. Garin

asr-001047

is the one overseeing

DOE Secretary Sharon S. Garin

asr-001048

everything that's nuclear-related. So, this is

DOE Secretary Sharon S. Garin

asr-001049

nuclear-related. We also,

DOE Secretary Sharon S. Garin

asr-001050

only to the extent of, like,

DOE Secretary Sharon S. Garin

asr-001051

capacity building, organizing the whole thing,

DOE Secretary Sharon S. Garin

asr-001052

but the appointments and the internals

DOE Secretary Sharon S. Garin

asr-001053

and the Philatom, that's not within the

DOE Secretary Sharon S. Garin

asr-001054

DOE. Maybe more of the OST path

DOE Secretary Sharon S. Garin

asr-001055

than DOE.

Senator Juan Miguel "Migz" F. Zubiri

asr-001055-split-2

Okay, thank you.

Senator Juan Miguel "Migz" F. Zubiri

asr-001056

Yeah, just, we'll have to remind, I guess,

Senator Juan Miguel "Migz" F. Zubiri

asr-001057

the executive that there's

Senator Juan Miguel "Migz" F. Zubiri

asr-001058

that law created Philatom, and

Senator Juan Miguel "Migz" F. Zubiri

asr-001059

we need to appoint

Senator Juan Miguel "Migz" F. Zubiri

asr-001060

the head of Philatom as soon as possible,

Senator Juan Miguel "Migz" F. Zubiri

asr-001061

so that we can discuss all these other

Senator Juan Miguel "Migz" F. Zubiri

asr-001062

policies. Yeah.

Senator Juan Miguel "Migz" F. Zubiri

asr-001063

Mahirap yun, ha? Napakahirap maghanap kaya ng

Senator Juan Miguel "Migz" F. Zubiri

asr-001064

nuclear physicist or

Senator Juan Miguel "Migz" F. Zubiri

asr-001065

some sort of expert on, what do you

Senator Juan Miguel "Migz" F. Zubiri

asr-001066

think? Wala akong kaibigan, actually.

Senator Pia S. Cayetano

asr-001067

Ako din, wala din akong kilala.

Senator Juan Miguel "Migz" F. Zubiri

asr-001068

But,

Senator Juan Miguel "Migz" F. Zubiri

asr-001069

except for Congressman

Senator Juan Miguel "Migz" F. Zubiri

asr-001070

Mark Cojuangco, who is a nuclear

Senator Juan Miguel "Migz" F. Zubiri

asr-001071

proponent. He's the only one

Senator Juan Miguel "Migz" F. Zubiri

asr-001072

I know whenever I think nuclear.

Senator Juan Miguel "Migz" F. Zubiri

asr-001073

But, yes, so that's it.

Senator Juan Miguel "Migz" F. Zubiri

asr-001074

But I'm here to support the budget of the DOE.

Senator Juan Miguel "Migz" F. Zubiri

asr-001075

to support them, not only

Senator Juan Miguel "Migz" F. Zubiri

asr-001076

financial support but also

Senator Juan Miguel "Migz" F. Zubiri

asr-001077

moral support because I know it's a difficult

Senator Juan Miguel "Migz" F. Zubiri

asr-001078

time and they're being

Senator Juan Miguel "Migz" F. Zubiri

asr-001079

ganged up but

Senator Juan Miguel "Migz" F. Zubiri

asr-001080

at no fault of theirs

Senator Juan Miguel "Migz" F. Zubiri

asr-001081

because really, we cannot control

Senator Juan Miguel "Migz" F. Zubiri

asr-001082

the factors that are happening in the Middle East

Senator Juan Miguel "Migz" F. Zubiri

asr-001083

Your Honors, and I'd like

Senator Juan Miguel "Migz" F. Zubiri

asr-001084

to also support the budget of the

Senator Juan Miguel "Migz" F. Zubiri

asr-001085

ERC and all the other attached agencies

Senator Juan Miguel "Migz" F. Zubiri

asr-001086

of the Department of Energy. Just

Senator Juan Miguel "Migz" F. Zubiri

asr-001087

ano lang, Madam Chair, really quick,

Senator Juan Miguel "Migz" F. Zubiri

asr-001088

this is for my Bukidnon Airport,

Senator Juan Miguel "Migz" F. Zubiri

asr-001089

we put funds, Sania.

Senator Juan Miguel "Migz" F. Zubiri

asr-001090

Good to see you, Chairman

Senator Juan Miguel "Migz" F. Zubiri

asr-001091

Administrator Almeda.

NEA Administrator Antonio Mariano C. Almeda

asr-001092

Permission to respond, Ma'am.

NEA Administrator Antonio Mariano C. Almeda

asr-001093

Sen,

NEA Administrator Antonio Mariano C. Almeda

asr-001094

just to give you a

NEA Administrator Antonio Mariano C. Almeda

asr-001095

update,

NEA Administrator Antonio Mariano C. Almeda

asr-001096

FIBEKO already

NEA Administrator Antonio Mariano C. Almeda

asr-001097

procured a 10

NEA Administrator Antonio Mariano C. Almeda

asr-001098

MVA substation

NEA Administrator Antonio Mariano C. Almeda

asr-001099

that will be situated in

NEA Administrator Antonio Mariano C. Almeda

asr-001100

Don Carlos, dedicated

NEA Administrator Antonio Mariano C. Almeda

asr-001101

to the Bukidnon Airport.

NEA Administrator Antonio Mariano C. Almeda

asr-001102

The congressional

NEA Administrator Antonio Mariano C. Almeda

asr-001103

initiative of 20 million

NEA Administrator Antonio Mariano C. Almeda

asr-001104

is about to be approved already

NEA Administrator Antonio Mariano C. Almeda

asr-001105

so about to be implemented

NEA Administrator Antonio Mariano C. Almeda

asr-001106

so initially, there was

NEA Administrator Antonio Mariano C. Almeda

asr-001107

a

NEA Administrator Antonio Mariano C. Almeda

asr-001108

there was a

NEA Administrator Antonio Mariano C. Almeda

asr-001109

forecast of

NEA Administrator Antonio Mariano C. Almeda

asr-001110

initial load projection of

NEA Administrator Antonio Mariano C. Almeda

asr-001111

3 megawatts and

NEA Administrator Antonio Mariano C. Almeda

asr-001112

eventually to increase to

NEA Administrator Antonio Mariano C. Almeda

asr-001113

5 megawatts. Let me assure you that

NEA Administrator Antonio Mariano C. Almeda

asr-001114

FIBEKO is ready to accommodate

NEA Administrator Antonio Mariano C. Almeda

asr-001115

the load demand.

Senator Juan Miguel "Migz" F. Zubiri

asr-001116

Thank you, Madam Chair,

Senator Juan Miguel "Migz" F. Zubiri

asr-001117

Sir Almeda. That's what you

Senator Juan Miguel "Migz" F. Zubiri

asr-001118

call the good initiatives done by the

Senator Juan Miguel "Migz" F. Zubiri

asr-001119

Senate. We put the

Senator Juan Miguel "Migz" F. Zubiri

asr-001120

funds just last year for

Senator Juan Miguel "Migz" F. Zubiri

asr-001121

20 million to the construction of

Senator Juan Miguel "Migz" F. Zubiri

asr-001122

distribution line for Bukidnon Airport.

Senator Juan Miguel "Migz" F. Zubiri

asr-001123

Thank you for that update. More power

Senator Juan Miguel "Migz" F. Zubiri

asr-001124

to you, Sir, and hopefully we can land.

Senator Juan Miguel "Migz" F. Zubiri

asr-001125

I will invite all of you to land there

Senator Juan Miguel "Migz" F. Zubiri

asr-001126

pag natapos na yung aming Bukidnon Airport.

Senator Juan Miguel "Migz" F. Zubiri

asr-001127

Thank you, Pa. Kung kailangan niyong

Senator Juan Miguel "Migz" F. Zubiri

asr-001128

bumisita ng North Cotabato,

Senator Juan Miguel "Migz" F. Zubiri

asr-001129

ng Wao, Lanosur,

Senator Juan Miguel "Migz" F. Zubiri

asr-001130

or even the southern part of

Senator Juan Miguel "Migz" F. Zubiri

asr-001131

Davao, which is the Buda area,

Senator Juan Miguel "Migz" F. Zubiri

asr-001132

dyan na po kayo mag-landing

Senator Juan Miguel "Migz" F. Zubiri

asr-001133

sa amin. So, once again,

Senator Juan Miguel "Migz" F. Zubiri

asr-001134

may salamat. I have nothing but

Senator Juan Miguel "Migz" F. Zubiri

asr-001135

full support to the budgets of these

Senator Juan Miguel "Migz" F. Zubiri

asr-001136

departments. Thank you.

Senator Pia S. Cayetano

asr-001137

Thank you. The Majority Floor

Senator Pia S. Cayetano

asr-001138

Leader might have to leave soon. So, before

Senator Pia S. Cayetano

asr-001139

I give the floor to the Chairman of the

Senator Pia S. Cayetano

asr-001140

Committee on Energy, sabi niya full support.

Senator Pia S. Cayetano

asr-001141

So, sasabihin ko na sa kanya at habang

Senator Pia S. Cayetano

asr-001142

nandito ang Senate President, ang

Senator Pia S. Cayetano

asr-001143

current Chairman ng Committee on Energy, and the

Senator Pia S. Cayetano

asr-001144

Majority Floor Leader, ako na magsasabi

Senator Pia S. Cayetano

asr-001145

para mabilis yung inyong mga budgetary requests.

Senator Pia S. Cayetano

asr-001146

Okay? Huwag kayong maingay

Senator Pia S. Cayetano

asr-001147

para full attention sila.

Senator Pia S. Cayetano

asr-001148

So, mas malaki ng

Senator Pia S. Cayetano

asr-001149

konti ito sa 20 milyon.

Senator Pia S. Cayetano

asr-001150

Yung sa, ano, NEA,

Senator Pia S. Cayetano

asr-001151

kay, ano, kay

Senator Pia S. Cayetano

asr-001152

Chairman Almeda,

Senator Pia S. Cayetano

asr-001153

they need 7 billion

Senator Pia S. Cayetano

asr-001154

for, to implement the Systems

Senator Pia S. Cayetano

asr-001155

Loss Reduction Program, kasi

Senator Pia S. Cayetano

asr-001156

tatamaan talaga dito yung mga

Senator Pia S. Cayetano

asr-001157

cooperatives. Now, this is

Senator Pia S. Cayetano

asr-001158

for the removal,

Senator Pia S. Cayetano

asr-001159

reduction of the non-technical

Senator Pia S. Cayetano

asr-001160

systems losses. And then, in

Senator Pia S. Cayetano

asr-001161

addition, they have a 3 billion request

Senator Pia S. Cayetano

asr-001162

for line enhancement of ailing

Senator Pia S. Cayetano

asr-001163

electric cooperatives. We can

Senator Pia S. Cayetano

asr-001164

ask later for details na lang. I'm just putting

Senator Pia S. Cayetano

asr-001165

it here now habang kumpleto

Senator Pia S. Cayetano

asr-001166

pa 'tong powerhouse natin.

Senator Pia S. Cayetano

asr-001167

And then,

Senator Pia S. Cayetano

asr-001168

ERC, nabanggit na, pero

Senator Pia S. Cayetano

asr-001169

uulitin ko na lang, it's

Senator Pia S. Cayetano

asr-001170

728 million lang naman.

Senator Pia S. Cayetano

asr-001171

Hindi man lang umabot sa billion

Senator Pia S. Cayetano

asr-001172

para, ano, magawa

Senator Pia S. Cayetano

asr-001173

nila lahat nitong, nothing

Senator Pia S. Cayetano

asr-001174

new, but yung mga kailangan nilang gawin.

Senator Pia S. Cayetano

asr-001175

This is for MOOE and

Senator Pia S. Cayetano

asr-001176

capital outlay. Hindi ko na iisahin,

Senator Pia S. Cayetano

asr-001177

pero the letter, I can

Senator Pia S. Cayetano

asr-001178

give everyone a copy. It's addressed to

Senator Pia S. Cayetano

asr-001179

Chairman J.V.

Senator Pia S. Cayetano

asr-001180

Ejercito. And then,

Senator Pia S. Cayetano

asr-001181

NPC, meron ba sa mga

Senator Pia S. Cayetano

asr-001182

GIDAS and ano?

Senator Pia S. Cayetano

asr-001183

Or may pera ka na?

NAPOCOR President and CEO Jericho Jonas B. Nograles

asr-001184

Wala pong pera. Hiningi sa special

NAPOCOR President and CEO Jericho Jonas B. Nograles

asr-001185

provision po.

Senator Pia S. Cayetano

asr-001185-split-2

Ah, special provision.

NAPOCOR President and CEO Jericho Jonas B. Nograles

asr-001186

Susulat po kami.

Senator Pia S. Cayetano

asr-001186-split-2

But with the special

Senator Pia S. Cayetano

asr-001187

provision, okay na.

NAPOCOR President and CEO Jericho Jonas B. Nograles

asr-001188

Just the special provision para lang

NAPOCOR President and CEO Jericho Jonas B. Nograles

asr-001189

mga chairperson.

Senator Pia S. Cayetano

asr-001189-split-2

Madali yun.

Senator Pia S. Cayetano

asr-001190

Okay. So, on that note, that's on

Senator Pia S. Cayetano

asr-001191

record. I will now give the floor

Senator Pia S. Cayetano

asr-001192

to the Chairperson.

Senator Pia S. Cayetano

asr-001193

Chairman of the Committee on Energy, Senator

Senator Pia S. Cayetano

asr-001194

Ay, did I forget something?

Senator Pia S. Cayetano

asr-001195

Senator Tulfo, you have the floor.

Senator Erwin Tulfo

asr-001196

Thank you, Madam Chair.

Senator Erwin Tulfo

asr-001197

I would just like to direct my question first.

Senator Erwin Tulfo

asr-001198

Dito po sa

Senator Erwin Tulfo

asr-001199

Administrator ng National

Senator Erwin Tulfo

asr-001200

Electrification Administration.

Senator Erwin Tulfo

asr-001201

Mr. Administrator,

Senator Erwin Tulfo

asr-001202

Almeda, yung pong

Senator Erwin Tulfo

asr-001203

7 billion, ano ho ito?

Senator Erwin Tulfo

asr-001204

Is this ikang

Senator Erwin Tulfo

asr-001205

subsidy? Is it a grant that you're

Senator Erwin Tulfo

asr-001206

asking? Or ito po ba ipatautang

Senator Erwin Tulfo

asr-001207

sa mga cooperative natin?

Senator Erwin Tulfo

asr-001208

Para saan po ito? Pakipaliwanag nga.

NEA Administrator Antonio Mariano C. Almeda

asr-001209

Your Honors,

NEA Administrator Antonio Mariano C. Almeda

asr-001210

the 7 billion is

NEA Administrator Antonio Mariano C. Almeda

asr-001211

a fund

NEA Administrator Antonio Mariano C. Almeda

asr-001212

in addition to the

NEA Administrator Antonio Mariano C. Almeda

asr-001213

loan equity fund of the

NEA Administrator Antonio Mariano C. Almeda

asr-001214

National Electrification Administration

NEA Administrator Antonio Mariano C. Almeda

asr-001215

to loan to the

NEA Administrator Antonio Mariano C. Almeda

asr-001216

electric cooperatives to cushion

NEA Administrator Antonio Mariano C. Almeda

asr-001217

the effect

NEA Administrator Antonio Mariano C. Almeda

asr-001218

of the elimination of the

NEA Administrator Antonio Mariano C. Almeda

asr-001219

non-technical system losses.

NEA Administrator Antonio Mariano C. Almeda

asr-001220

The elimination

NEA Administrator Antonio Mariano C. Almeda

asr-001221

of the non-technical system losses

NEA Administrator Antonio Mariano C. Almeda

asr-001222

would entail a lot of

NEA Administrator Antonio Mariano C. Almeda

asr-001223

expenditures.

NEA Administrator Antonio Mariano C. Almeda

asr-001224

Case in point,

NEA Administrator Antonio Mariano C. Almeda

asr-001225

the electric cooperatives will have

NEA Administrator Antonio Mariano C. Almeda

asr-001226

to do a lot of metering

NEA Administrator Antonio Mariano C. Almeda

asr-001227

requirements. May metrohan

NEA Administrator Antonio Mariano C. Almeda

asr-001228

po yung lahat ng walang metro.

NEA Administrator Antonio Mariano C. Almeda

asr-001229

Lahat ho ng nagnanakaw

NEA Administrator Antonio Mariano C. Almeda

asr-001230

ay puputulan at lalagyan

NEA Administrator Antonio Mariano C. Almeda

asr-001231

ho ng panibagong metro.

NEA Administrator Antonio Mariano C. Almeda

asr-001232

Yun po ang aming

NEA Administrator Antonio Mariano C. Almeda

asr-001233

na-design yung plano

NEA Administrator Antonio Mariano C. Almeda

asr-001234

that will be involved

NEA Administrator Antonio Mariano C. Almeda

asr-001235

in four stages.

NEA Administrator Antonio Mariano C. Almeda

asr-001236

And the implementation

NEA Administrator Antonio Mariano C. Almeda

asr-001237

will be in phases.

NEA Administrator Antonio Mariano C. Almeda

asr-001238

Kinantify po namin

NEA Administrator Antonio Mariano C. Almeda

asr-001239

ang funding requirement

NEA Administrator Antonio Mariano C. Almeda

asr-001240

para maka-cope up

NEA Administrator Antonio Mariano C. Almeda

asr-001241

ang mga electric cooperatives

NEA Administrator Antonio Mariano C. Almeda

asr-001242

on phase 1, which will be

NEA Administrator Antonio Mariano C. Almeda

asr-001243

the reduction of the

NEA Administrator Antonio Mariano C. Almeda

asr-001244

non-technical system losses to 25%,

NEA Administrator Antonio Mariano C. Almeda

asr-001245

it will entail

NEA Administrator Antonio Mariano C. Almeda

asr-001246

more or less about

NEA Administrator Antonio Mariano C. Almeda

asr-001247

4 billion

NEA Administrator Antonio Mariano C. Almeda

asr-001248

in capital

NEA Administrator Antonio Mariano C. Almeda

asr-001249

expenditure.

NEA Administrator Antonio Mariano C. Almeda

asr-001250

Phase 2,

NEA Administrator Antonio Mariano C. Almeda

asr-001251

pagdating po ng phase 2,

NEA Administrator Antonio Mariano C. Almeda

asr-001252

ang pag-aaral,

NEA Administrator Antonio Mariano C. Almeda

asr-001253

ang projection po namin ay pwede

NEA Administrator Antonio Mariano C. Almeda

asr-001254

nang bawasan ng 50%

NEA Administrator Antonio Mariano C. Almeda

asr-001255

ang non-technical system losses.

NEA Administrator Antonio Mariano C. Almeda

asr-001256

It will again entail about 1 billion

NEA Administrator Antonio Mariano C. Almeda

asr-001257

of capital and expenditure.

NEA Administrator Antonio Mariano C. Almeda

asr-001258

And phase 3,

NEA Administrator Antonio Mariano C. Almeda

asr-001259

pagdumating na po sa phase 3,

NEA Administrator Antonio Mariano C. Almeda

asr-001260

pwede na po natin tanggalin ng 75%

NEA Administrator Antonio Mariano C. Almeda

asr-001261

ng non-technical system losses.

NEA Administrator Antonio Mariano C. Almeda

asr-001262

Another 1 billion.

NEA Administrator Antonio Mariano C. Almeda

asr-001263

And at the last phase,

NEA Administrator Antonio Mariano C. Almeda

asr-001264

where there will be a total elimination

NEA Administrator Antonio Mariano C. Almeda

asr-001265

of the non-technical system losses,

NEA Administrator Antonio Mariano C. Almeda

asr-001266

meaning 100% na po ang tatanggalin natin,

NEA Administrator Antonio Mariano C. Almeda

asr-001267

it will entail

NEA Administrator Antonio Mariano C. Almeda

asr-001268

another 1.5 billion.

NEA Administrator Antonio Mariano C. Almeda

asr-001269

A total of 7.5 billion, sir.

Senator Erwin Tulfo

asr-001270

Thank you po,

Senator Erwin Tulfo

asr-001271

Administrator Almeda.

Senator Erwin Tulfo

asr-001272

Now, when I came in,

Senator Erwin Tulfo

asr-001273

it was Yusek Ruena Guevara

Senator Erwin Tulfo

asr-001274

making a presentation

Senator Erwin Tulfo

asr-001275

about solar energy.

Senator Erwin Tulfo

asr-001276

Undersecretary,

Senator Erwin Tulfo

asr-001277

what is the lifetime of solar panels?

Senator Erwin Tulfo

asr-001278

Kasi mukhang

Senator Erwin Tulfo

asr-001279

papunta na po tayo doon eh.

Senator Erwin Tulfo

asr-001280

So ano po ang

Senator Erwin Tulfo

asr-001281

lifetime

Senator Erwin Tulfo

asr-001282

ng existence

Senator Erwin Tulfo

asr-001283

ng solar panels?

Senator Erwin Tulfo

asr-001284

Senator, yung mga bagong labas

Senator Erwin Tulfo

asr-001285

ay mga 25 years po.

Senator Erwin Tulfo

asr-001286

Okay. Kasi ma'am,

Senator Erwin Tulfo

asr-001287

meron na po ba tayong

Senator Erwin Tulfo

asr-001288

pinag-aaralan, how do we

Senator Erwin Tulfo

asr-001289

dispose them kung hindi

Senator Erwin Tulfo

asr-001290

natin ma-reuse? Because I was

Senator Erwin Tulfo

asr-001291

just talking to some Japanese

Senator Erwin Tulfo

asr-001292

legislators kanina

Senator Erwin Tulfo

asr-001293

and he is assigned with

Senator Erwin Tulfo

asr-001294

the Committee on Energy nila

Senator Erwin Tulfo

asr-001295

sa Senate. And ito po yung

Senator Erwin Tulfo

asr-001296

pinag-aaralan ng Senate nila,

Senator Erwin Tulfo

asr-001297

how to dispose them properly?

Senator Erwin Tulfo

asr-001298

Kasi nga may life,

Senator Erwin Tulfo

asr-001299

time lang po eh. Hindi naman daw po ito

Senator Erwin Tulfo

asr-001300

basta-basta ibabaon lang sa lupa

Senator Erwin Tulfo

asr-001301

o itapon lang.

Senator Erwin Tulfo

asr-001302

Kaya they're looking for ways.

Senator Erwin Tulfo

asr-001303

Are we doing that now? Are we studying?

Senator Erwin Tulfo

asr-001304

Paano pag 25 years

Senator Erwin Tulfo

asr-001305

tapos na ito, kailangan ko na palitan,

Senator Erwin Tulfo

asr-001306

itapon ito. Tatapon lang ba ito?

Senator Erwin Tulfo

asr-001307

Ibabaon? Pinag-aaralan nyo na

Senator Erwin Tulfo

asr-001308

at this point, how you will,

Senator Erwin Tulfo

asr-001309

how we will dispose all of

Senator Erwin Tulfo

asr-001310

this solar panels, ma'am?

DOE Undersecretary Rowena Cristina L. Guevara

asr-001311

Thank you for that question.

DOE Undersecretary Rowena Cristina L. Guevara

asr-001312

Meron po tayong Renewable Energy

DOE Undersecretary Rowena Cristina L. Guevara

asr-001313

Trust Fund wherein we fund

DOE Undersecretary Rowena Cristina L. Guevara

asr-001314

studies. May dalawa pong

DOE Undersecretary Rowena Cristina L. Guevara

asr-001315

universities na mag-uumpisang mag-aral

DOE Undersecretary Rowena Cristina L. Guevara

asr-001316

po niyan sometime before the

DOE Undersecretary Rowena Cristina L. Guevara

asr-001317

end of the year po. Tamang-tama,

DOE Undersecretary Rowena Cristina L. Guevara

asr-001318

2015 kasi po tayo nag-start

DOE Undersecretary Rowena Cristina L. Guevara

asr-001319

ng solar. Ay mga lifetime

DOE Undersecretary Rowena Cristina L. Guevara

asr-001320

ng mga yan, 15 to 20.

DOE Undersecretary Rowena Cristina L. Guevara

asr-001321

So by 2030, in place na po yung technologies

DOE Undersecretary Rowena Cristina L. Guevara

asr-001322

na gagamitin natin for

DOE Undersecretary Rowena Cristina L. Guevara

asr-001323

sometimes yung ibang parts kasi

DOE Undersecretary Rowena Cristina L. Guevara

asr-001324

pwedeng i-reuse. Yung ibang

DOE Undersecretary Rowena Cristina L. Guevara

asr-001325

parts pwedeng i-recycle. Tapos

DOE Undersecretary Rowena Cristina L. Guevara

asr-001326

yung ibang parts, you have to do something

DOE Undersecretary Rowena Cristina L. Guevara

asr-001327

else to change the form po.

Senator Erwin Tulfo

asr-001328

Yung something,

Senator Erwin Tulfo

asr-001329

something else, anong gagawin doon?

Senator Erwin Tulfo

asr-001330

Yung reuse, okay po tayo.

Senator Erwin Tulfo

asr-001331

Yung ika nga, recycle. Pero

Senator Erwin Tulfo

asr-001332

yung other parts na hindi mo pwedeng i-reuse,

Senator Erwin Tulfo

asr-001333

i-recycle, ano po mangyayari?

Senator Erwin Tulfo

asr-001334

Hindi naman natin pwedeng ibaon sa lupa

Senator Erwin Tulfo

asr-001335

o i-tapon.

DOE Undersecretary Rowena Cristina L. Guevara

asr-001335-split-2

Ang gagawin po

DOE Undersecretary Rowena Cristina L. Guevara

asr-001336

doon sa dalawang studies ay

DOE Undersecretary Rowena Cristina L. Guevara

asr-001337

ang tawag nila green

DOE Undersecretary Rowena Cristina L. Guevara

asr-001338

processing. Ipa-process po

DOE Undersecretary Rowena Cristina L. Guevara

asr-001339

para ma-extract yung mga

DOE Undersecretary Rowena Cristina L. Guevara

asr-001340

iba't ibang chemicals

DOE Undersecretary Rowena Cristina L. Guevara

asr-001341

na present doon sa hindi

DOE Undersecretary Rowena Cristina L. Guevara

asr-001342

ma-recycle at hindi ma-reuse.

Senator Erwin Tulfo

asr-001343

Alright, thank you Yusef.

Senator Erwin Tulfo

asr-001344

I'll direct my question now to

Senator Erwin Tulfo

asr-001345

Secretary Garin. Secretary,

Senator Erwin Tulfo

asr-001346

the Abu Dhabi National Oil Company

Senator Erwin Tulfo

asr-001347

is

Senator Erwin Tulfo

asr-001348

and na-mention ko

Senator Erwin Tulfo

asr-001349

ito sa last hearing po natin,

Senator Erwin Tulfo

asr-001350

is really volunteering to

Senator Erwin Tulfo

asr-001351

put up storage facilities.

Senator Erwin Tulfo

asr-001352

As a matter of fact,

Senator Erwin Tulfo

asr-001353

sa three main islands natin, isa sa

Senator Erwin Tulfo

asr-001354

Luzon, isa sa Visayas,

Senator Erwin Tulfo

asr-001355

sa Mindanao, ang kailangan

Senator Erwin Tulfo

asr-001356

lang nila po sa atin ay yung lupa

Senator Erwin Tulfo

asr-001357

kung saan sila maglalagay.

Senator Erwin Tulfo

asr-001358

And I was talking to them initially,

Senator Erwin Tulfo

asr-001359

they're saying they can put up like about

Senator Erwin Tulfo

asr-001360

50 million

Senator Erwin Tulfo

asr-001361

barrels

Senator Erwin Tulfo

asr-001362

dito po storage

Senator Erwin Tulfo

asr-001363

per area.

Senator Erwin Tulfo

asr-001364

Ang lupa, alam po kailangan, pero

Senator Erwin Tulfo

asr-001365

they will pay for all of it, construction,

Senator Erwin Tulfo

asr-001366

pati po yung paglalagay ng laman.

Senator Erwin Tulfo

asr-001367

And then sabi ko, what do we

Senator Erwin Tulfo

asr-001368

get out of that? Sabi nila,

Senator Erwin Tulfo

asr-001369

well, you will be, kung magkakaproblema

Senator Erwin Tulfo

asr-001370

man sa mga oil, kagaya nang

Senator Erwin Tulfo

asr-001371

nangyari ngayon, kayo ang unang

Senator Erwin Tulfo

asr-001372

makikinabang because nandyan sa lugar

Senator Erwin Tulfo

asr-001373

ninyo, it's a storage facility.

Senator Erwin Tulfo

asr-001374

Kung 50 million

Senator Erwin Tulfo

asr-001375

barrels, actually,

Senator Erwin Tulfo

asr-001376

that's about 150

Senator Erwin Tulfo

asr-001377

million po

Senator Erwin Tulfo

asr-001378

storage. And we consume

Senator Erwin Tulfo

asr-001379

about 450,000

Senator Erwin Tulfo

asr-001380

barrels per day. So,

Senator Erwin Tulfo

asr-001381

madiyak malaki ho. And then

Senator Erwin Tulfo

asr-001382

Saudi Arabia is also interested.

Senator Erwin Tulfo

asr-001383

Ano na ho nangyayari doon, ma'am?

DOE Secretary Sharon S. Garin

asr-001384

Madam Chair,

DOE Secretary Sharon S. Garin

asr-001385

yes,

DOE Secretary Sharon S. Garin

asr-001386

numerous yung

DOE Secretary Sharon S. Garin

asr-001387

advantages of having our own

DOE Secretary Sharon S. Garin

asr-001388

reserve or being a regional

DOE Secretary Sharon S. Garin

asr-001389

reserve also for

DOE Secretary Sharon S. Garin

asr-001390

ASEAN or ASIA.

DOE Secretary Sharon S. Garin

asr-001391

There are many advantages,

DOE Secretary Sharon S. Garin

asr-001392

not only for energy security, pero

DOE Secretary Sharon S. Garin

asr-001393

medyo protected tayo

DOE Secretary Sharon S. Garin

asr-001394

sa mga inflation, sa mga

DOE Secretary Sharon S. Garin

asr-001395

currency exchange na impact niyan.

DOE Secretary Sharon S. Garin

asr-001396

As to the

DOE Secretary Sharon S. Garin

asr-001397

interest, we are not

DOE Secretary Sharon S. Garin

asr-001398

lacking in interest in putting

DOE Secretary Sharon S. Garin

asr-001399

up the stockpiling

DOE Secretary Sharon S. Garin

asr-001400

here. I'll have, if

DOE Secretary Sharon S. Garin

asr-001401

you,

DOE Secretary Sharon S. Garin

asr-001402

Sandy Salas, can answer the rest of the

DOE Secretary Sharon S. Garin

asr-001403

question.

DOE Undersecretary Alessandro O. Sales

asr-001404

Yes, sir. Maraming

DOE Undersecretary Alessandro O. Sales

asr-001405

ang interesado. In fact,

DOE Undersecretary Alessandro O. Sales

asr-001406

ang

DOE Undersecretary Alessandro O. Sales

asr-001407

nag-meet po tayo with

DOE Undersecretary Alessandro O. Sales

asr-001408

Adnok at saka si Saudi

DOE Undersecretary Alessandro O. Sales

asr-001409

Aramco through the efforts din

DOE Undersecretary Alessandro O. Sales

asr-001410

ng Japanese government

DOE Undersecretary Alessandro O. Sales

asr-001411

na nagkaroon ng

DOE Undersecretary Alessandro O. Sales

asr-001412

separate meetings with Japan

DOE Undersecretary Alessandro O. Sales

asr-001413

sitting in as

DOE Undersecretary Alessandro O. Sales

asr-001414

the third party.

DOE Undersecretary Alessandro O. Sales

asr-001415

So, nakausap na natin ang

DOE Undersecretary Alessandro O. Sales

asr-001416

Saudi and the Saudi Aramco

DOE Undersecretary Alessandro O. Sales

asr-001417

for the second meeting kahapon lang po.

DOE Undersecretary Alessandro O. Sales

asr-001418

Nire-iterate po nila.

DOE Undersecretary Alessandro O. Sales

asr-001419

And then, in-schedule natin yung

DOE Undersecretary Alessandro O. Sales

asr-001420

second meeting with Adnok.

DOE Undersecretary Alessandro O. Sales

asr-001421

Along the same lines, ang

DOE Undersecretary Alessandro O. Sales

asr-001422

kanilang mga proposal na

DOE Undersecretary Alessandro O. Sales

asr-001423

maglagay ng forward

DOE Undersecretary Alessandro O. Sales

asr-001424

storage. This will

DOE Undersecretary Alessandro O. Sales

asr-001425

be their commercial storage

DOE Undersecretary Alessandro O. Sales

asr-001426

na mabibenta nila around the region

DOE Undersecretary Alessandro O. Sales

asr-001427

and they will

DOE Undersecretary Alessandro O. Sales

asr-001428

spend for the

DOE Undersecretary Alessandro O. Sales

asr-001429

setting up the facility

DOE Undersecretary Alessandro O. Sales

asr-001430

and yung produkto na

DOE Undersecretary Alessandro O. Sales

asr-001431

ilalagay sa mga tangke.

DOE Undersecretary Alessandro O. Sales

asr-001432

At ang ating

DOE Undersecretary Alessandro O. Sales

asr-001433

interest will be

DOE Undersecretary Alessandro O. Sales

asr-001434

it gives us the flexibility

DOE Undersecretary Alessandro O. Sales

asr-001435

for how we handle

DOE Undersecretary Alessandro O. Sales

asr-001436

yung ating National Strategic

DOE Undersecretary Alessandro O. Sales

asr-001437

Petroleum Reserve

DOE Undersecretary Alessandro O. Sales

asr-001438

because we could build alongside

DOE Undersecretary Alessandro O. Sales

asr-001439

para makatipid sa

DOE Undersecretary Alessandro O. Sales

asr-001440

sarili nating tangke

DOE Undersecretary Alessandro O. Sales

asr-001441

or we could just

DOE Undersecretary Alessandro O. Sales

asr-001442

have arrangement with them

DOE Undersecretary Alessandro O. Sales

asr-001443

to have access sa product

DOE Undersecretary Alessandro O. Sales

asr-001444

so hindi na tayo gagasto

DOE Undersecretary Alessandro O. Sales

asr-001445

sa tangke mismo.

DOE Undersecretary Alessandro O. Sales

asr-001446

Ang principal na

DOE Undersecretary Alessandro O. Sales

asr-001447

trabaho natin,

DOE Undersecretary Alessandro O. Sales

asr-001448

na ginagawa namin ngayon is

DOE Undersecretary Alessandro O. Sales

asr-001449

i-scout yung available

DOE Undersecretary Alessandro O. Sales

asr-001450

na lupa. Kasi

DOE Undersecretary Alessandro O. Sales

asr-001451

malaking lupa yung kailangan.

DOE Undersecretary Alessandro O. Sales

asr-001452

So normally, sa malalaking

DOE Undersecretary Alessandro O. Sales

asr-001453

tank, baka 1 million

DOE Undersecretary Alessandro O. Sales

asr-001454

barrels, mga 10 hectares po

DOE Undersecretary Alessandro O. Sales

asr-001455

ang kailangan because may mga

DOE Undersecretary Alessandro O. Sales

asr-001456

safety

DOE Undersecretary Alessandro O. Sales

asr-001457

considerations, yung layo nila,

DOE Undersecretary Alessandro O. Sales

asr-001458

magkakanal sa gitna

DOE Undersecretary Alessandro O. Sales

asr-001459

between the tanks. So

DOE Undersecretary Alessandro O. Sales

asr-001460

when you talk about that volume,

DOE Undersecretary Alessandro O. Sales

asr-001461

yung 50 million, malaking

DOE Undersecretary Alessandro O. Sales

asr-001462

area po yun. But we can

DOE Undersecretary Alessandro O. Sales

asr-001463

assure the committee

DOE Undersecretary Alessandro O. Sales

asr-001464

that yung interest

DOE Undersecretary Alessandro O. Sales

asr-001465

is very high and we are continually

DOE Undersecretary Alessandro O. Sales

asr-001466

engaging.

DOE Undersecretary Alessandro O. Sales

asr-001467

As per yung direction natin

DOE Undersecretary Alessandro O. Sales

asr-001468

ngayon, meron po ng

DOE Undersecretary Alessandro O. Sales

asr-001469

working group ang department,

DOE Undersecretary Alessandro O. Sales

asr-001470

DOE and PNOC,

DOE Undersecretary Alessandro O. Sales

asr-001471

which eventually

DOE Undersecretary Alessandro O. Sales

asr-001472

will be the implementing arm

DOE Undersecretary Alessandro O. Sales

asr-001473

para sa ating

DOE Undersecretary Alessandro O. Sales

asr-001474

petroleum reserve. In fact,

DOE Undersecretary Alessandro O. Sales

asr-001475

PNOC has already

DOE Undersecretary Alessandro O. Sales

asr-001476

spearheaded

DOE Undersecretary Alessandro O. Sales

asr-001477

even without pa itong

DOE Undersecretary Alessandro O. Sales

asr-001478

mga agreements natin sa foreign

DOE Undersecretary Alessandro O. Sales

asr-001479

crude oil suppliers,

DOE Undersecretary Alessandro O. Sales

asr-001480

they are committing to build a 1 million

DOE Undersecretary Alessandro O. Sales

asr-001481

barrel facility sa lupa

DOE Undersecretary Alessandro O. Sales

asr-001482

po nila sa Bataan,

DOE Undersecretary Alessandro O. Sales

asr-001483

which strategically po

DOE Undersecretary Alessandro O. Sales

asr-001484

e katabi ng refinery

DOE Undersecretary Alessandro O. Sales

asr-001485

sa Bataan din.

DOE Undersecretary Alessandro O. Sales

asr-001486

So maganda yung strategic position.

DOE Undersecretary Alessandro O. Sales

asr-001487

It was one of the points of

DOE Undersecretary Alessandro O. Sales

asr-001488

discussion po kahapon sa

DOE Undersecretary Alessandro O. Sales

asr-001489

Saudi Aramco about

DOE Undersecretary Alessandro O. Sales

asr-001490

also using yung

DOE Undersecretary Alessandro O. Sales

asr-001491

area ni PNOC.

DOE Undersecretary Alessandro O. Sales

asr-001492

Unfortunately,

DOE Undersecretary Alessandro O. Sales

asr-001493

yung interesting doon, pero

DOE Undersecretary Alessandro O. Sales

asr-001494

for the big 50 million,

DOE Undersecretary Alessandro O. Sales

asr-001495

maliit po yung lupa

DOE Undersecretary Alessandro O. Sales

asr-001496

ng PNOC kasi 150

DOE Undersecretary Alessandro O. Sales

asr-001497

hectares lang

DOE Undersecretary Alessandro O. Sales

asr-001498

ang available.

DOE Undersecretary Alessandro O. Sales

asr-001499

So if we just

DOE Undersecretary Alessandro O. Sales

asr-001500

ballpark 50 million

DOE Undersecretary Alessandro O. Sales

asr-001501

barrels, 10 hectares

DOE Undersecretary Alessandro O. Sales

asr-001502

per million barrels,

DOE Undersecretary Alessandro O. Sales

asr-001503

500 hectares po

DOE Undersecretary Alessandro O. Sales

asr-001504

para sa

DOE Undersecretary Alessandro O. Sales

asr-001505

50 million.

DOE Undersecretary Alessandro O. Sales

asr-001506

Hindi naman po sila, in our

DOE Undersecretary Alessandro O. Sales

asr-001507

mind, not mutually exclusive

DOE Undersecretary Alessandro O. Sales

asr-001508

kung gusto ni Saudi Aramco,

DOE Undersecretary Alessandro O. Sales

asr-001509

pwede pa rin si

DOE Undersecretary Alessandro O. Sales

asr-001510

Adnoc kasi ang

DOE Undersecretary Alessandro O. Sales

asr-001511

initial vision naman nila is

DOE Undersecretary Alessandro O. Sales

asr-001512

commercial storage nila to sell

DOE Undersecretary Alessandro O. Sales

asr-001513

product. So

DOE Undersecretary Alessandro O. Sales

asr-001514

these are not mutually

DOE Undersecretary Alessandro O. Sales

asr-001515

exclusive for the two

DOE Undersecretary Alessandro O. Sales

asr-001516

entities.

Senator Erwin Tulfo

asr-001517

My next question is,

Senator Erwin Tulfo

asr-001518

kailan ho kaya ito mangyayari? Because

Senator Erwin Tulfo

asr-001519

these people are

Senator Erwin Tulfo

asr-001520

volunteering na, they're just waiting

Senator Erwin Tulfo

asr-001521

for us kung makapag-provide

Senator Erwin Tulfo

asr-001522

po tayo ng land. Alam nyo naman

Senator Erwin Tulfo

asr-001523

siguro, ano yung

Senator Erwin Tulfo

asr-001524

ibig sabihin yan?

Senator Erwin Tulfo

asr-001525

meron tayong storage facilities

Senator Erwin Tulfo

asr-001526

ng mga Dubai

Senator Erwin Tulfo

asr-001527

dito ng Saudi Arabia,

Senator Erwin Tulfo

asr-001528

eh di na ho, magkagyera

Senator Erwin Tulfo

asr-001529

man doon, magbombahan sa

Senator Erwin Tulfo

asr-001530

Strait of Hormuz, sa

Senator Erwin Tulfo

asr-001531

Arabian Sea, etc.

Senator Erwin Tulfo

asr-001532

Eh meron ho tayong, ikang nandyan

Senator Erwin Tulfo

asr-001533

na sa ating lupa,

Senator Erwin Tulfo

asr-001534

di na ho tayong mangangamba,

Senator Erwin Tulfo

asr-001535

matataranta si Secretary Garin

Senator Erwin Tulfo

asr-001536

pag meron namang gyera na makikiusap

Senator Erwin Tulfo

asr-001537

magpapalimos, eh meron na tayo

Senator Erwin Tulfo

asr-001538

dito. And the assurance

Senator Erwin Tulfo

asr-001539

from this government, like,

Senator Erwin Tulfo

asr-001540

kayo yung una pagbibintahan namin.

Senator Erwin Tulfo

asr-001541

So, hindi tayo kakaba-kaba.

Senator Erwin Tulfo

asr-001542

So, when do you think this will be possible,

Senator Erwin Tulfo

asr-001543

Yusef?

DOE Undersecretary Alessandro O. Sales

asr-001544

Yes, uh, una, sir,

DOE Undersecretary Alessandro O. Sales

asr-001545

yung paghanap ng lupa, and we

DOE Undersecretary Alessandro O. Sales

asr-001546

are actively, ang una namin

DOE Undersecretary Alessandro O. Sales

asr-001547

tinignan actually was somewhere in

DOE Undersecretary Alessandro O. Sales

asr-001548

Northern Mindanao, but mukhang

DOE Undersecretary Alessandro O. Sales

asr-001549

hindi makukuha ng Department of Energy.

DOE Undersecretary Alessandro O. Sales

asr-001550

So, we have,

DOE Undersecretary Alessandro O. Sales

asr-001551

we're now looking at another

DOE Undersecretary Alessandro O. Sales

asr-001552

area in Zamboanga,

DOE Undersecretary Alessandro O. Sales

asr-001553

much larger. So,

DOE Undersecretary Alessandro O. Sales

asr-001554

pupuntahan na rin namin

DOE Undersecretary Alessandro O. Sales

asr-001555

jointly with the PNOC.

DOE Undersecretary Alessandro O. Sales

asr-001556

But ang agreement namin is

DOE Undersecretary Alessandro O. Sales

asr-001557

to fast-track, because meron po,

DOE Undersecretary Alessandro O. Sales

asr-001558

tama po kayo, may interested party.

DOE Undersecretary Alessandro O. Sales

asr-001559

So, pina-fast-track namin

DOE Undersecretary Alessandro O. Sales

asr-001560

yung identification at acquisition

DOE Undersecretary Alessandro O. Sales

asr-001561

ng lupa, para

DOE Undersecretary Alessandro O. Sales

asr-001562

mailagay po itong mga

DOE Undersecretary Alessandro O. Sales

asr-001563

strategic reserves

DOE Undersecretary Alessandro O. Sales

asr-001564

sa bansa po natin.

Senator Erwin Tulfo

asr-001565

Right, thank you. Let me now direct my next

Senator Erwin Tulfo

asr-001566

question, if you would please, Madam Chair.

Senator Erwin Tulfo

asr-001567

Uh, Attorney Juan.

Senator Erwin Tulfo

asr-001568

Sir, ang SAMELCO I,

Senator Erwin Tulfo

asr-001569

dito sa Samar,

Senator Erwin Tulfo

asr-001570

regarding the WESM,

Senator Erwin Tulfo

asr-001571

particular po yung

Senator Erwin Tulfo

asr-001572

exorbitant unjust pricing po.

Senator Erwin Tulfo

asr-001573

So, what are you doing

Senator Erwin Tulfo

asr-001574

with this? Ito po yung nakarating na ho ba

Senator Erwin Tulfo

asr-001575

sa inyo?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001576

Madam Chair,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001577

yes po, nakarating sa atin.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001578

Dalawa yung naging kadahilanan

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001579

ng mataas na

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001580

singilan sa WESM these past

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001581

few months.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001582

And for the case of Samelco

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001583

and the other

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001584

Visayas distribution utilities,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001585

for the past few years,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001586

whenever there's the congestion

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001587

of the interconnection lines,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001588

ito po yung line rental or yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001589

line loss and congestion charge

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001590

issue. And

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001591

more recently, because of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001592

the yellow and red alerts

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001593

in the Visayas and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001594

Mindanao regions,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001595

the spike in WESM prices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001596

that reached 18

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001597

pesos

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001598

for Mindanao, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001599

19 pesos for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001600

Visayas. So,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001601

we've actually acted

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001602

quickly in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001603

that case of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001604

the WESM spikes.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001605

We directed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001606

the implementation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001607

of the secondary

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001608

price cap by region

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001609

instead of system-wide

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001610

so that we were

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001611

able to temper WESM prices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001612

from as high as 19 pesos

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001613

down to around 8 pesos

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001614

for Visayas.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001615

We've directed IEMOP

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001616

to recalculate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001617

the WESM clearing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001618

prices for the August billing, and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001619

we intend to continue that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001620

for September since we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001621

anticipate that there'll still be some

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001622

supply deficit happening

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001623

in September for the Visayas.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001624

So, para po matemper

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001625

yung WESM prices.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001626

Pagdating po dun sa line rentals

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001627

or bilateral line

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001628

loss and congestion charges,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001629

we've issued the August 13th

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001630

order asking

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001631

also IEMOP

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001632

to recalculate the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001633

line rentals and NSS

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001634

allocations. Pagka meron po

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001635

kasing line rentals,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001636

meron din na

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001637

kukompute

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001638

na net settlement surplus,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001639

and supposedly this is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001640

return flow back to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001641

customers that paid

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001642

these higher

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001643

line rentals in the proportion of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001644

their contribution. We've seen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001645

some

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001646

inequity in the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001647

way the system, the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001648

CRSS that is used in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001649

WESM, computes for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001650

the NSS allocation.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001651

So, with that recalculation and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001652

the audit that will happen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001653

on the line rentals

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001654

paid by the distribution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001655

utilities, particularly in the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001656

Visayas, we anticipate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001657

that there'll be some distribution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001658

utilities, including Samelcoan,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001659

that may,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001660

may be entitled

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001661

to a reduction

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001662

or in this case, a refund

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001663

for whatever they have

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001664

paid earlier to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001665

WESM.

Senator Erwin Tulfo

asr-001666

Siguro, sir, ang unahong

Senator Erwin Tulfo

asr-001667

ninyong basahin, silipin,

Senator Erwin Tulfo

asr-001668

i-check po yung

Senator Erwin Tulfo

asr-001669

WESM. I'll tell you why later.

Senator Erwin Tulfo

asr-001670

Pero my next question is,

Senator Erwin Tulfo

asr-001671

bakit po lumundag ang

Senator Erwin Tulfo

asr-001672

LLCC, ito pong

Senator Erwin Tulfo

asr-001673

line loss and congestion cost

Senator Erwin Tulfo

asr-001674

noong July 2026,

Senator Erwin Tulfo

asr-001675

from P277

Senator Erwin Tulfo

asr-001676

million noong June,

Senator Erwin Tulfo

asr-001677

in one month's time,

Senator Erwin Tulfo

asr-001678

100% ang tinaas,

Senator Erwin Tulfo

asr-001679

P277 million

Senator Erwin Tulfo

asr-001680

to P570 million in July?

Senator Erwin Tulfo

asr-001681

Ano nangyari? I mean,

Senator Erwin Tulfo

asr-001682

ano yung line ba na yun?

Senator Erwin Tulfo

asr-001683

Dinto ang dinaanan ng kuryente

Senator Erwin Tulfo

asr-001684

na kailangan 100%?

Senator Erwin Tulfo

asr-001685

P277

Senator Erwin Tulfo

asr-001686

to P570

Senator Erwin Tulfo

asr-001687

million July billing

Senator Erwin Tulfo

asr-001688

in just 30 days,

Senator Erwin Tulfo

asr-001689

Mr. Chairman?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001690

Yung pong line rental,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001691

actually, hindi ito yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001692

bayad para doon sa

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001693

linya. This is just

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001694

the terminology that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001695

was initially used, but this was changed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001696

to line loss and congestion charge.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001697

Ang

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001698

impact po ng

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001699

LLCC depends

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001700

on each customer,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001701

where it is located, and where

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001702

it is sourcing its

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001703

power bilaterally.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001704

Ang nangyayari po kasi,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001705

since yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001706

WESM rules natin, provided for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001707

locational marginal pricing,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001708

and this can be, you can

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001709

research about locational marginal

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001710

pricing, ito yung gold standard

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001711

nung mga energy

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001712

markets all

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001713

over the world,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001714

yung locational marginal pricing.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001715

Dahil po, like in the case

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001716

of Samelco, siguro po yan,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001717

meron siyang kakontrata

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001718

from another region.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001719

Yung region, halimbawa, ay

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001720

from Visayas,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001721

meron siyang kakontrata from Mindanao.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001722

Doon po sa locational marginal pricing,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001723

yung po kakontrata niya in Mindanao,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001724

iba yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001725

LMP niya, kaysa doon sa

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001726

LMP where it is connected,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001727

o yung customer node.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001728

Yung pong line rental,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001729

nakocompute po yan,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001730

ang

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001731

binagamit na konsiderasyon,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001732

ay yung difference nung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001733

LMP ng generator

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001734

node, at saka yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001735

LMP ng customer node.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001736

At kung ganito nga po

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001737

ang sitwasyon ng isang distribution utility,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001738

malaki yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001739

ibabaya niya, kasi mas malaki

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001740

na lumabas yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001741

locational marginal price niya,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001742

at ito ang basis

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001743

ng trading amount na

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001744

sisingilin sa kanya ng

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001745

IEMOP or ng WESM operator.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001746

Pero po, supposedly,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001747

kung ano man niyang kinolekta sa kanya,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001748

hindi naman necessarily yun

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001749

ang ibabaya doon sa generator

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001750

na kakontrata niya,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001751

which will be paid based on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001752

the generator LMP.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001753

Kung mas mababa yung generator LMP,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001754

talagang magkakaroon at magkakaroon

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001755

ng mas malaking

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001756

line rental na kukolektahin sa kanya,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001757

pero magkakaroon ito ng

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001758

surplus. At itong net settlement

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001759

surplus na ito, dapat ay malaki

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001760

ang balik sa kanya. Kaya lang,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001761

hindi po yun

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001762

ang nangyari

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001763

doon sa kaso nung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001764

mga nakalipas na taon,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001765

na every time na nagkakaroon

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001766

ng price separation, o ibig sabihin,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001767

iba yung nagiging system

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001768

marginal price sa Mindanao,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001769

iba yung system marginal price sa

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001770

Visayas, hindi po ganun

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001771

ang naging NSS

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001772

allocation as intended sana

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001773

based on our rules.

Senator Erwin Tulfo

asr-001774

Alright, Mr. Chair. Let's move

Senator Erwin Tulfo

asr-001775

on now. How many

Senator Erwin Tulfo

asr-001776

percent itong mga

Senator Erwin Tulfo

asr-001777

power generators natin,

Senator Erwin Tulfo

asr-001778

power generation companies,

Senator Erwin Tulfo

asr-001779

ilang percent po ang gumagamit

Senator Erwin Tulfo

asr-001780

sa kanila ng coal?

Senator Erwin Tulfo

asr-001781

How many?

Senator Erwin Tulfo

asr-001782

How many percent using coal?

Senator Erwin Tulfo

asr-001783

And how many percent using

Senator Erwin Tulfo

asr-001784

bunker fuel? How many percent

Senator Erwin Tulfo

asr-001785

gumagamit na renewable energy?

Senator Erwin Tulfo

asr-001786

Do you have the breakdown,

Senator Erwin Tulfo

asr-001787

Mr. Chair?

Senator Pia S. Cayetano

asr-001788

I don't know.

Senator Pia S. Cayetano

asr-001789

I'm just following. Were you asking for a specific

Senator Pia S. Cayetano

asr-001790

area? Is that in an area?

Senator Erwin Tulfo

asr-001791

No, ma'am. Actually, in

Senator Erwin Tulfo

asr-001792

general, Madam Chair.

Senator Pia S. Cayetano

asr-001793

I can answer it 62 and 25.

Senator Pia S. Cayetano

asr-001794

O ba't ikalap niyo pa?

Senator Erwin Tulfo

asr-001795

Okay. Yeah. Well,

Senator Erwin Tulfo

asr-001796

I appreciate that, Madam Chair.

Senator Erwin Tulfo

asr-001797

Kaya ako po natanong, Madam Chair,

Senator Erwin Tulfo

asr-001798

is that may problema

Senator Erwin Tulfo

asr-001799

tayo. Meron po akong natalisod.

Senator Erwin Tulfo

asr-001800

I don't know

Senator Erwin Tulfo

asr-001801

kung nakita rin ng ERC

Senator Erwin Tulfo

asr-001802

o ng DOE ang problema.

Senator Erwin Tulfo

asr-001803

Problema po natin pala, nasa

Senator Erwin Tulfo

asr-001804

WESM, if I'm not mistaken.

Senator Erwin Tulfo

asr-001805

Sa WESM po, correct me

Senator Erwin Tulfo

asr-001806

if I'm wrong. Hindi po ba ang WESM ay parang

Senator Erwin Tulfo

asr-001807

spot market po yan? Diyan tayo,

Senator Erwin Tulfo

asr-001808

yung mga generation companies,

Senator Erwin Tulfo

asr-001809

diyan po bumibili ng power. Tama po.

Senator Erwin Tulfo

asr-001810

Okay. 60 percent

Senator Erwin Tulfo

asr-001811

ang karaniwang bumibili. 60 percent

Senator Erwin Tulfo

asr-001812

ng kuryente natin are

Senator Erwin Tulfo

asr-001813

through coal.

Senator Erwin Tulfo

asr-001814

Tama po ba?

Senator Erwin Tulfo

asr-001815

62 percent. Alright.

Senator Erwin Tulfo

asr-001816

Where do we get our coal,

Senator Erwin Tulfo

asr-001817

Madam Secretary?

DOE Secretary Sharon S. Garin

asr-001817-split-2

Madam Chair,

DOE Secretary Sharon S. Garin

asr-001818

our coal is

DOE Secretary Sharon S. Garin

asr-001819

more than 90 percent

DOE Secretary Sharon S. Garin

asr-001820

of that comes from Indonesia.

Senator Erwin Tulfo

asr-001821

Madam Chair. What about

Senator Erwin Tulfo

asr-001822

Semirara? Hindi po ba

Senator Erwin Tulfo

asr-001823

Semirara also produces coal?

Senator Erwin Tulfo

asr-001824

And then Semirara even

Senator Erwin Tulfo

asr-001825

exports coal. Bakit

Senator Erwin Tulfo

asr-001826

nage-export ang Semirara?

Senator Erwin Tulfo

asr-001827

I mean, I don't see the logic.

Senator Erwin Tulfo

asr-001828

Nage-export itong Filipino

Senator Erwin Tulfo

asr-001829

company na ito sa abroad.

Senator Erwin Tulfo

asr-001830

Bakit hindi nila natin gamitin

Senator Erwin Tulfo

asr-001831

yung coal ng Semirara? Can it

Senator Erwin Tulfo

asr-001832

supply? My next question to you, Madam

Senator Erwin Tulfo

asr-001833

Secretary, Attorney Juan.

Senator Erwin Tulfo

asr-001834

Can Semirara's production

Senator Erwin Tulfo

asr-001835

fulfill the needs

Senator Erwin Tulfo

asr-001836

or the need of the

Senator Erwin Tulfo

asr-001837

Filipino generation

Senator Erwin Tulfo

asr-001838

companies? Can it fulfill?

DOE Secretary Sharon S. Garin

asr-001839

Madam Chair,

DOE Secretary Sharon S. Garin

asr-001840

Semirara, kung uubusin

DOE Secretary Sharon S. Garin

asr-001841

siyang gagamitin sa Pilipinas,

DOE Secretary Sharon S. Garin

asr-001842

I think it can only,

DOE Secretary Sharon S. Garin

asr-001843

supply around 10 percent

DOE Secretary Sharon S. Garin

asr-001844

and konti lang.

DOE Secretary Sharon S. Garin

asr-001845

Hindi siya ganun

DOE Secretary Sharon S. Garin

asr-001846

kasi marami tayong

DOE Secretary Sharon S. Garin

asr-001847

coal plants.

DOE Secretary Sharon S. Garin

asr-001848

Can it be used

DOE Secretary Sharon S. Garin

asr-001849

in our coal plants?

DOE Secretary Sharon S. Garin

asr-001850

It depends on the coal

DOE Secretary Sharon S. Garin

asr-001851

plant, pero generally

DOE Secretary Sharon S. Garin

asr-001852

ang design ng ating

DOE Secretary Sharon S. Garin

asr-001853

mga, lalo ng mga lumang

DOE Secretary Sharon S. Garin

asr-001854

coal plants are designed for, let's say,

DOE Secretary Sharon S. Garin

asr-001855

Indonesian kind of

DOE Secretary Sharon S. Garin

asr-001856

coal. Now,

DOE Secretary Sharon S. Garin

asr-001857

we're trying to study that,

DOE Secretary Sharon S. Garin

asr-001858

Madam Chair. That's why

DOE Secretary Sharon S. Garin

asr-001859

we've been discussing

DOE Secretary Sharon S. Garin

asr-001860

about having a terminal or a

DOE Secretary Sharon S. Garin

asr-001861

blending, coal blending facility

DOE Secretary Sharon S. Garin

asr-001862

here. Kasi pwede mo siya imix

DOE Secretary Sharon S. Garin

asr-001863

ang Philippine coal

DOE Secretary Sharon S. Garin

asr-001864

with something else para

DOE Secretary Sharon S. Garin

asr-001865

parang maging Indonesian type of

DOE Secretary Sharon S. Garin

asr-001866

coal na rin siya. So that's what we're

DOE Secretary Sharon S. Garin

asr-001867

exploring now. Para hindi tayo

DOE Secretary Sharon S. Garin

asr-001868

learning from this din, Madam Chair,

DOE Secretary Sharon S. Garin

asr-001869

about what happened this past few

DOE Secretary Sharon S. Garin

asr-001870

months about our lack

DOE Secretary Sharon S. Garin

asr-001871

of energy security and fuel.

DOE Secretary Sharon S. Garin

asr-001872

So we're trying to build that up,

DOE Secretary Sharon S. Garin

asr-001873

looking for areas na rin kung saan siya

DOE Secretary Sharon S. Garin

asr-001874

ilalagay and getting some investors in.

DOE Secretary Sharon S. Garin

asr-001875

Pero yes, that's why

DOE Secretary Sharon S. Garin

asr-001876

I'm sorry, but that's why

DOE Secretary Sharon S. Garin

asr-001877

yes, I do agree na dapat yung coal

DOE Secretary Sharon S. Garin

asr-001878

natin as much as possible

DOE Secretary Sharon S. Garin

asr-001879

we use it domestically.

Senator Erwin Tulfo

asr-001880

Thank you, Secretary.

Senator Erwin Tulfo

asr-001881

I don't

Senator Erwin Tulfo

asr-001882

know if Secretary Juan can answer

Senator Erwin Tulfo

asr-001883

this. Sir, magkano po ang coal

Senator Erwin Tulfo

asr-001884

na galing po sa Indonesia?

Senator Erwin Tulfo

asr-001885

How much do they purchase it?

Senator Erwin Tulfo

asr-001886

How much does it cost?

Senator Erwin Tulfo

asr-001887

How much po ang landed cost dito

Senator Erwin Tulfo

asr-001888

sa ating bayan?

DOE Secretary Sharon S. Garin

asr-001889

Madam Chair, we'll check

DOE Secretary Sharon S. Garin

asr-001890

with our... Sandy, do you have it

DOE Secretary Sharon S. Garin

asr-001891

in your... Go ahead po, Yusek Salas.

DOE Undersecretary Alessandro O. Sales

asr-001892

Just from the...

DOE Undersecretary Alessandro O. Sales

asr-001893

Normally,

DOE Undersecretary Alessandro O. Sales

asr-001894

okay, two types po.

DOE Undersecretary Alessandro O. Sales

asr-001895

So, ang gamit po

DOE Undersecretary Alessandro O. Sales

asr-001896

natin, yung ginagamit po ng karamihan

DOE Undersecretary Alessandro O. Sales

asr-001897

ng pricing po will be

DOE Undersecretary Alessandro O. Sales

asr-001898

normally $60

DOE Undersecretary Alessandro O. Sales

asr-001899

pero FOB sa

DOE Undersecretary Alessandro O. Sales

asr-001900

Kalimantan.

Senator Erwin Tulfo

asr-001900-split-2

$16 po?

DOE Undersecretary Alessandro O. Sales

asr-001901

$60.

Senator Erwin Tulfo

asr-001902

$60 ang coal po natin

Senator Erwin Tulfo

asr-001903

per metric ton.

Senator Erwin Tulfo

asr-001904

60 US

Senator Erwin Tulfo

asr-001905

dots.

Senator Erwin Tulfo

asr-001906

Kung i-divide nyo po yan

Senator Erwin Tulfo

asr-001907

through kilowatt hour, ilan po yan?

Senator Erwin Tulfo

asr-001908

I want you to

Senator Erwin Tulfo

asr-001909

divide it in kilowatt hour

Senator Erwin Tulfo

asr-001910

yung 60 metric ton. Kasi po,

Senator Erwin Tulfo

asr-001911

kung i-divide mo yan sa pesos,

Senator Erwin Tulfo

asr-001912

correct me if I'm wrong,

Senator Erwin Tulfo

asr-001913

kung may mga mathematicians po tayo dito,

Senator Erwin Tulfo

asr-001914

it will run to around

Senator Erwin Tulfo

asr-001915

4 to 5 pesos per

Senator Erwin Tulfo

asr-001916

kilowatt hour. Landed

Senator Erwin Tulfo

asr-001917

cost po natin, shipping,

Senator Erwin Tulfo

asr-001918

taxes, etc. Kung anuman po yan.

Senator Erwin Tulfo

asr-001919

Sabihin na natin, maximum

Senator Erwin Tulfo

asr-001920

is 8 pesos per kilowatt hour.

Senator Erwin Tulfo

asr-001921

Lagi patong pa

Senator Erwin Tulfo

asr-001922

ng kumpanya, yung kanyang

Senator Erwin Tulfo

asr-001923

tubo dyan, aabot po siya ng

Senator Erwin Tulfo

asr-001924

10 pesos per kilowatt hour.

Senator Erwin Tulfo

asr-001925

Ngayon, ang tanong ko po, sir,

Senator Erwin Tulfo

asr-001926

sa WESM naman tayo,

Senator Erwin Tulfo

asr-001927

bakit pag tumaas po

Senator Erwin Tulfo

asr-001928

ang banker fuel

Senator Erwin Tulfo

asr-001929

nung nagkagyera sa

Senator Erwin Tulfo

asr-001930

Middle East,

Senator Erwin Tulfo

asr-001931

tumaas din ang

Senator Erwin Tulfo

asr-001932

ang coal? Eh dapat hindi po,

Senator Erwin Tulfo

asr-001933

diba? Because it came from Indonesia.

Senator Erwin Tulfo

asr-001934

Hindi naman po kasamang Indonesia

Senator Erwin Tulfo

asr-001935

sa gera. Ang pinag-uusapan

Senator Erwin Tulfo

asr-001936

natin is Middle East. Sige,

Senator Erwin Tulfo

asr-001937

banker fuel, diesel, etc.

Senator Erwin Tulfo

asr-001938

Dandong galing, straight of

Senator Erwin Tulfo

asr-001939

Hormuz. But this is coming

Senator Erwin Tulfo

asr-001940

from Indonesia, sir. Bakit?

Senator Erwin Tulfo

asr-001941

Pag binenta rito,

Senator Erwin Tulfo

asr-001942

tumaas ng 32 yata. At one point,

Senator Erwin Tulfo

asr-001943

tumabot pa ng 32. Pati

Senator Erwin Tulfo

asr-001944

yung coal natin, tumabot ng 32

Senator Erwin Tulfo

asr-001945

yung galing sa Indonesia. Correct me

Senator Erwin Tulfo

asr-001946

if I'm wrong, sir.

Senator Erwin Tulfo

asr-001947

Sa time, pumantay sila eh.

Senator Erwin Tulfo

asr-001948

Eh hindi naman po mas mura ang coal

Senator Erwin Tulfo

asr-001949

sa banker fuel,

Senator Erwin Tulfo

asr-001950

Yusek.

DOE Undersecretary Alessandro O. Sales

asr-001951

Tama po kayo. Ang effect dun sa coal

DOE Undersecretary Alessandro O. Sales

asr-001952

was mainly sa shipping cost.

DOE Undersecretary Alessandro O. Sales

asr-001953

So, kasi

DOE Undersecretary Alessandro O. Sales

asr-001954

tumaas yung diesel,

DOE Undersecretary Alessandro O. Sales

asr-001955

so yung shipping cost, yun ang main effect.

DOE Undersecretary Alessandro O. Sales

asr-001956

Pero hindi ganun kalaki

DOE Undersecretary Alessandro O. Sales

asr-001957

dahil maliit na portion

DOE Undersecretary Alessandro O. Sales

asr-001958

yung shipping cost. So nakikita

DOE Undersecretary Alessandro O. Sales

asr-001959

natin, yung mga ini-import dati,

DOE Undersecretary Alessandro O. Sales

asr-001960

ang FOB nila

DOE Undersecretary Alessandro O. Sales

asr-001961

a little below.

DOE Undersecretary Alessandro O. Sales

asr-001962

60 US dollars

DOE Undersecretary Alessandro O. Sales

asr-001963

per metric ton.

DOE Undersecretary Alessandro O. Sales

asr-001964

Ito po yung karamihan na quality ng coal na ginagamit natin, which is 4,200 kilocalories per ton.

DOE Undersecretary Alessandro O. Sales

asr-001965

So, nung nagkaroon ng gera, yung FOB pricing almost remains the same, nasa low 60s.

DOE Undersecretary Alessandro O. Sales

asr-001966

Pero ang landed cost, nadagdagan lang po doon sa shipping cost.

DOE Undersecretary Alessandro O. Sales

asr-001967

And kung titignan nga, historically, ang component ng fuel sa isang coal thermal plant is mga 3 to 4 pesos, pero fuel component lang po yun.

DOE Undersecretary Alessandro O. Sales

asr-001968

Sa mga coal-fired plants, normally, baka 40% of running or generating yung kuryente galing sa fuel, kasi mataas po ang maintenance cost ng mga coal plants.

DOE Undersecretary Alessandro O. Sales

asr-001969

So, tama po.

DOE Undersecretary Alessandro O. Sales

asr-001970

So, pwedeng umabot yung binibentang kuryente ng coal plant, depende sa condition, time of the year, pwedeng umabot ng 7 pesos, 8 pesos, pero ang fuel component noon, yung coal, mga 3 to 4 pesos lang.

Senator Erwin Tulfo

asr-001971

Who monitors this, sir? Yung mga pricing neto, yung mga mix neto? Is it ERC? Is it DOE? Who monitors it?

DOE Undersecretary Alessandro O. Sales

asr-001972

If it's the price of electricity, that would be ERC.

Senator Erwin Tulfo

asr-001973

ERC.

Senator Erwin Tulfo

asr-001974

Sir, how often do you check dito sa WESM? Kasi parang palengke ito, correct me if I'm wrong, di po ba ang WESM is like palengke?

Senator Erwin Tulfo

asr-001975

Iikot si generator, maghahanap doon sino may pinakamurang coal dito na binibenta. Di po ba? So, tama po ba yun yung explanation sa akin?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001976

Madam Chair, it's for parang stock exchange.

Senator Erwin Tulfo

asr-001977

Exactly, ma'am. So, my point is, bakit hindi maghanap si generator ng mas mura? Ito mas mura dito, di ba?

Senator Erwin Tulfo

asr-001978

Sa stock market naman, baligtad. Yung I mean, mura, di ba? Tapos alam mo na it will go up.

Senator Erwin Tulfo

asr-001979

The question is, hindi po ba natin na mamonitor yan na mas mura? Kasi doon na lang po kagad question mark eh.

Senator Erwin Tulfo

asr-001980

Bakit itong coal is very, very cheap, itong banker mahal, pero pumapantay po siya?

Senator Erwin Tulfo

asr-001981

E doon po tayo kaya sinasabi natin, and I found out yesterday, and I'm still doing my research right now, na kaya pala tayo,

Senator Erwin Tulfo

asr-001982

eh, we have the most expensive electricity rate in Southeast Asia because pumapayag tayo na yung coal,

Senator Erwin Tulfo

asr-001983

kung titignan mo 3 pesos per kilowatt hour, 6 pesos, hindi na nating 10 pesos per kilowatt hour, pero pumapayag tayo ng sobra.

Senator Erwin Tulfo

asr-001984

I'll give you an example also, sir. Bakit sa Visayas, Mindanao, 1859 per kilowatt hour.

Senator Erwin Tulfo

asr-001985

This is, we assume this is coal.

Senator Erwin Tulfo

asr-001986

Powered plant. Tama po ba? Itong 18.59 sa Visayas, 19.56 sa Mindanao?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001987

Ito po yung average na market clearing prices during this billing month of August.

Senator Erwin Tulfo

asr-001988

Bakit po sa Pampanga, sila doon, nasa 9 pesos lang po per kilowatt hour. Why is that?

Senator Erwin Tulfo

asr-001989

Bakit po sa Visayas, Mindanao, napakamahal?

Senator Erwin Tulfo

asr-001990

Sa Pampanga?

Senator Erwin Tulfo

asr-001991

Pampanga, nasa 9 pesos. Dito sa Metro Manila, hindi ko na alam. Magkano po ba ang singil sa atin sa Metro Manila, sir, per kilowatt hour?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001992

Depende na po yan doon sa utility at kung saan kumukuha yung utility.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001993

Yes, totoo po na nakita natin in August, yung lumabas nga na presyo market clearing sa Luzon is at around 4 pesos.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001994

And yet, doon sa Visayas and Mindanao, mabot ng 18.19.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001995

Yun pong ating WESM, ito po, bukod doon sa prinsipyo ng locational marginal pricing, meron po tayo yung tinatawag na gross pool.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001996

Ibig sabihin po, lahat ng generators obligado sila to offer yung kanilang available capacity sa WESM at kung ang offer nila ay papasok doon sa mga offers na makakasama sa dispatch schedule,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001997

depende kasi naman niya doon sa demand at that moment.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001998

Sila ay makakasama sa dispatch o doon sa mga ipapatakbo ng SO na mga planta.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-001999

Pero po ang bayaran sa kanila ay hindi base doon sa presyo necessarily na lalabas sa merkado dahil yung mga ibang generators dito ay contracted bilaterally.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002000

Kaya't yung kanilang naibentang or naisupply na kuryente during that interval, kung pwedeng ang presyo niyan ay yung kanilang bilateral contract with an off-taker and it will be settled.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002001

At pagdating naman po sa offers natin, wala po tayo yung nire-require na yung kanilang offer ay dapat base doon sa kanilang cost.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002002

Ito po ay kanilang desisyon na kung ano ang kanilang i-offer but normally in a competitive market, kung ikaw ay mag-offer at ang gusto mo ay makabawi ng at least yung marginal cost.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002003

So mag-offer ka ng at least yung fuel and operating cost.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002004

Ay mabawi mo itong gagastusin mo kapag ka ikaw ay natawag at nag-generate ng kuryente, yung iyong capital cost maaaring hindi mo mabawi.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002005

Pero during times naman na yung mag-clear na presyo ay mas mataas kaysa doon sa marginal cost mo at mas mataas kaysa dito na meron pang kasama na po pwedeng makarecover ka ng capital fee mo or cost mo, doon yung mga panahon na ikaw ay nakakarecover.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002006

Kaya't meron po tayong mga ilang coal plants na maaaring ang kanilang...

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002007

Ang presyo during the time na sila ay nakasama doon sa dispatch schedule ay mas mataas kaysa doon sa kanilang all-in na presyo nasa 6 o 7 dahil ang nag-clear na presyo ay mas mataas dito, mabot ng 32 which is our primary cap in WESM.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002008

Pero hindi necessarily na yun ang ibabayad sa kanila dahil po maaaring sila naman as sa baseload plants, kakailanganin naman po nila ng kontrata.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002009

Nang sa ganon, masisiguro nila na lagi silang kinakailangan tumakbo dahil hindi naman po sila po pwede na magpatay sinde ng kanilang planta at ito naman po ang makakapekto sa operasyon nila.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002010

Kaya't sisiguruhin nila na sila ay lagi makakasama doon sa dispatch dahil sila ay meron mga kontrata rin na kailangan servisyohan po.

Senator Erwin Tulfo

asr-002011

Tama po kayo pero will you agree with me na this is all market driven?

Senator Erwin Tulfo

asr-002012

Kung ano kasi the demand is great?

Senator Erwin Tulfo

asr-002013

Talagang tumakbo.

Senator Erwin Tulfo

asr-002014

Maski hindi naman po kinakailangan, wala pong iniwan. Parang po karne ng manok, karne ng baboy. May African swine fever isang lugar pero kailangan mo magdala doon dahil walang supply ng baboy so tataas ang baboy when in fact it's not supposed to.

Senator Erwin Tulfo

asr-002015

Or isang lugar na galunggong is so mura dahil walang supply ng galunggong pero may dumating na galunggong so tataas yung presyo because the demand is great.

Senator Erwin Tulfo

asr-002016

Yung po yung sinasabi ko Chairperson Juan and Madam Secretary, we have to check itong WESM. So po pwede ho eh kung titignan ho natin, pag-aralan lang ho siguro ninyo, take time na pag-aralan ho itong po ang problema natin sa generation, hindi po sa distribution.

Senator Erwin Tulfo

asr-002017

It's not Meralco, it's not Samelco, it's not the cooperative but the generator yung nagpo-produce ng kuryente para for distribution. Doon po ang problema because sobrang sipa ng presyo kagaya po niyan, full siya but then again parang banker fuel ang presyo niya.

Senator Erwin Tulfo

asr-002018

Sa sabihin po, barko. Kailangan pumantay dahil doon sa fuel ng barko kaya sobrang taas. Masyado pong exorbitant.

Senator Erwin Tulfo

asr-002019

I think once in a while you have to look into this siguro Atty. Juan kasi parang ang kawaba po dito yung mga tao. Kailangan lang po nalaga natin, imonitor siguro Atty. Juan para ikang pag-alam ng WESM na minomonitor sila, chinecheck sila, then siyempre magdadahan-dahan kasi po kailangan po natin ang goal po natin lahat tayo dito, si Chairperson Pia, si Senate President, we're all looking for ways.

Senator Erwin Tulfo

asr-002020

How to bring our electricity rate down. Lahat naman po tayo kasi tayo po pinakamahal sa Southeast Asia. I mean meron naman pa lang, meron pong pamamaraan. I know there's a way. If we just look, we just do natin simulan sa power generation.

Senator Erwin Tulfo

asr-002021

Huwag po natin sisihin ang Meralco, huwag po natin sisihin itong mga electric cooperatives dahil bumibili lang po sila ng power. Yung po nagma-manufacture. Doon po yun eh.

Senator Erwin Tulfo

asr-002022

Kasi 4 pesos, 5 pesos versus bunker fuel. I understand what Secretary Garin is saying. Noong nagkagira, tataas talaga pero coal galing ng Jakarta, coal galing ng Semirara dyan sa Antique. Why don't we use all this para po bumaba yung presyo natin? Siguro we can do something about it. That's all for me for now, Chairperson Pia. Thank you for your forgiveness.

DOE Secretary Sharon S. Garin

asr-002023

I understand because the WESM is really unusually high now. We anticipated that also. Ang problema kasi talaga, it's unregulated ang generation. So maybe once we revisit the EPIRA, we have to do something about it.

DOE Secretary Sharon S. Garin

asr-002024

But for now, Madam Chair, when the war happened, we did an intervention because of the emergency powers. We had a mandate. Nag-suspend kami ng market.

DOE Secretary Sharon S. Garin

asr-002025

Para yung mauna yung mga mas mura mabenta. So we've been studying this. Actually, we just had a meeting yesterday na rin kung ano pang pwedeng intervention. But good enough, ERC already issued a price cap. So from 18 magiging 11 na lang yata siya. Magiging 8 pesos.

DOE Secretary Sharon S. Garin

asr-002026

But still, the abuse of the market should not. Because these are public service.

DOE Secretary Sharon S. Garin

asr-002027

So in fact, hindi lang coal, Madam Chairman, kundi pati hydro, naging mahal na rin because they know there's lack of supply. So they can sell whatever they sell. So medyo may abuse rin. And we're checking what are the recourse na pwede natin gawin to put discipline in the market also.

Senator Erwin Tulfo

asr-002028

May pahabol ako, Madam Chairperson. Thank you po, Attorney Juan, for doing that. It's ika nga kahit papaano, you're looking for ways right now para matulungan po ang kababayan natin.

Senator Erwin Tulfo

asr-002029

Kasi yung mga arawan po ng mga kababayan natin, minimum wage below minimum wage. Parang hirap po magbayad ng kuryente. And kuryente should not be. It is already a necessity, hindi po luxury. Siguro noong dekada 80, noong college tayo, Secretary Garin, luxury ang kuryente. Pero ngayon po, it's a necessity. Kahit na po yung nakatira sa barong-barong, kailangan niya ng kuryente. Thank you, Madam Chair. Thank you po.

Senator Pia S. Cayetano

asr-002030

Thank you.

Senator Pia S. Cayetano

asr-002031

Chairman, Senator Erwin Tulfo. And now we'll give the floor to our Senate President. Are you ready for your questions? Okay.

Senator Sherwin "Win" T. Gatchalian

asr-002032

Thank you, Madam Chairperson. Sundan ko lang po yung sinabi ni mga tanong ni Chairman Erwin Tulfo. Tama po siya, no? Dahil pag titignan po natin in WESM rates from July 26 to August, no?

Senator Sherwin "Win" T. Gatchalian

asr-002033

Ang Luzon is only 4.80 pesos. Ang Visayas is 18 pesos. 18.59 pesos. And Mindanao is 19.56. So kung saan pa mataas ang poverty rates natin, sila pa yung nagbabayad ng pinakamataas na presyo ng kuryente. Paano nagkaganon?

Senator Sherwin "Win" T. Gatchalian

asr-002034

Obviously, shortage ng power. Kaya tumataas. Pero inimbestigahan ba natin kung sinasadyang nagkakaroon ng shortage? Dahil ang layo naman ng discrepancy from 4 pesos to 19 pesos.

Senator Sherwin "Win" T. Gatchalian

asr-002035

And ito yung actually tanong ko.

Senator Sherwin "Win" T. Gatchalian

asr-002036

In fact, in the last six months, 96 yellow alerts and 33 red alerts sa Visayas. This is Visayas lang alone.

Senator Sherwin "Win" T. Gatchalian

asr-002037

And paano nagkaganon?

Senator Sherwin "Win" T. Gatchalian

asr-002038

Yes, go ahead, Sekretary.

DOE Secretary Sharon S. Garin

asr-002039

Sir Senate President, first off, there are currently one, two, three, six plants that are down that are related to this.

DOE Secretary Sharon S. Garin

asr-002040

Ang Indalao, medyo naayos na siya. Pero as of today, TVI unit is still down at 169.

DOE Secretary Sharon S. Garin

asr-002041

Sa Ilo, 150 megawatt.

DOE Secretary Sharon S. Garin

asr-002042

SEDC sa Cebu is 82.

DOE Secretary Sharon S. Garin

asr-002043

Tapos sa Mindanao, meron tayong tatlong units, TSI 150, GNPK 103, and TSI 150.

DOE Secretary Sharon S. Garin

asr-002044

Why are these relevant?

DOE Secretary Sharon S. Garin

asr-002045

Kasi nag-i-import ang, first off, kulang si Visayas. In general, kulang siya.

DOE Secretary Sharon S. Garin

asr-002046

Walang enough base load sa Visayas.

DOE Secretary Sharon S. Garin

asr-002047

So what does it do? It imports 450 megawatts from Mindanao and then 250 from...

DOE Secretary Sharon S. Garin

asr-002048

So now, nag-down itong mga Mindanao na planta.

DOE Secretary Sharon S. Garin

asr-002049

So wala na siya mapapadala. So kumulang siya.

DOE Secretary Sharon S. Garin

asr-002050

So ginawa ng system operator natin, nag-red and yellow alert siya.

DOE Secretary Sharon S. Garin

asr-002051

And it continues until these plants are back on.

DOE Secretary Sharon S. Garin

asr-002052

So it's really the lack of supply.

Senator Sherwin "Win" T. Gatchalian

asr-002053

Two things, no?

Senator Sherwin "Win" T. Gatchalian

asr-002054

Obviously, yung presyo sumisipa sa market because court.

Senator Sherwin "Win" T. Gatchalian

asr-002055

Kulang ng supply. It's a supply issue.

Senator Sherwin "Win" T. Gatchalian

asr-002056

Pero meron rin tayong, sa ERC, meron na rin na promulgate before.

Senator Sherwin "Win" T. Gatchalian

asr-002057

Yung mga...

Senator Sherwin "Win" T. Gatchalian

asr-002058

reliability index ng planta.

Senator Sherwin "Win" T. Gatchalian

asr-002059

Kasi time and memorial na itong

Senator Sherwin "Win" T. Gatchalian

asr-002060

problema natin sa

Senator Sherwin "Win" T. Gatchalian

asr-002061

reliability ng planta.

Senator Sherwin "Win" T. Gatchalian

asr-002062

We can just say,

Senator Sherwin "Win" T. Gatchalian

asr-002063

ito nangyari na ito in the past rin.

Senator Sherwin "Win" T. Gatchalian

asr-002064

We cannot just say na pumalian planta,

Senator Sherwin "Win" T. Gatchalian

asr-002065

nag-force outage.

Senator Sherwin "Win" T. Gatchalian

asr-002066

They have to maintain their plants.

Senator Sherwin "Win" T. Gatchalian

asr-002067

And ERC,

Senator Sherwin "Win" T. Gatchalian

asr-002068

meron na rin mga resolutions

Senator Sherwin "Win" T. Gatchalian

asr-002069

in the past.

Senator Sherwin "Win" T. Gatchalian

asr-002070

Even though deregulated ang

Senator Sherwin "Win" T. Gatchalian

asr-002071

generation, alam naman natin deregulated

Senator Sherwin "Win" T. Gatchalian

asr-002072

yan. But we cannot rely

Senator Sherwin "Win" T. Gatchalian

asr-002073

so much on them

Senator Sherwin "Win" T. Gatchalian

asr-002074

maintaining

Senator Sherwin "Win" T. Gatchalian

asr-002075

the plants

Senator Sherwin "Win" T. Gatchalian

asr-002076

regularly.

Senator Sherwin "Win" T. Gatchalian

asr-002077

Because

Senator Sherwin "Win" T. Gatchalian

asr-002078

kung ganitong nagkakaroon ng

Senator Sherwin "Win" T. Gatchalian

asr-002079

outage, force outage,

Senator Sherwin "Win" T. Gatchalian

asr-002080

tayo naman lahat ang

Senator Sherwin "Win" T. Gatchalian

asr-002081

tinatamaan dito.

Senator Sherwin "Win" T. Gatchalian

asr-002082

Naimbestigahan ba kung meron, number one,

Senator Sherwin "Win" T. Gatchalian

asr-002083

may anti-competitive

Senator Sherwin "Win" T. Gatchalian

asr-002084

behavior, meron bang collusion,

Senator Sherwin "Win" T. Gatchalian

asr-002085

meron bang gaming the system.

Senator Sherwin "Win" T. Gatchalian

asr-002086

And then number two,

Senator Sherwin "Win" T. Gatchalian

asr-002087

napag-aralan ba kung nami-maintain

Senator Sherwin "Win" T. Gatchalian

asr-002088

yung planta nila? Is it within the

Senator Sherwin "Win" T. Gatchalian

asr-002089

reliability index?

Senator Sherwin "Win" T. Gatchalian

asr-002090

We have to compel these plants to maintain

Senator Sherwin "Win" T. Gatchalian

asr-002091

their plants. Dahil

Senator Sherwin "Win" T. Gatchalian

asr-002092

wala ka nang...

Senator Sherwin "Win" T. Gatchalian

asr-002093

Yan, tanong ng ating mga kababayan, Senator Erwin.

Senator Sherwin "Win" T. Gatchalian

asr-002094

Wala nang ang kuryente. 19 pesos pa yung binabayaran.

DOE Secretary Sharon S. Garin

asr-002095

Sir Chair,

DOE Secretary Sharon S. Garin

asr-002096

the plants,

DOE Secretary Sharon S. Garin

asr-002097

ang mga planta na ito, inisa-isa

DOE Secretary Sharon S. Garin

asr-002098

na talaga, the Joint Task Force of

DOE Secretary Sharon S. Garin

asr-002099

DOE and ERC,

DOE Secretary Sharon S. Garin

asr-002100

they're going around

DOE Secretary Sharon S. Garin

asr-002101

nasa mga planta,

DOE Secretary Sharon S. Garin

asr-002102

inisa-isa nila, visiting it

DOE Secretary Sharon S. Garin

asr-002103

and confirming kung ano ba talaga

DOE Secretary Sharon S. Garin

asr-002104

nangyayari.

DOE Secretary Sharon S. Garin

asr-002105

And

DOE Secretary Sharon S. Garin

asr-002106

there are

DOE Secretary Sharon S. Garin

asr-002107

some issues,

DOE Secretary Sharon S. Garin

asr-002108

for example, na

DOE Secretary Sharon S. Garin

asr-002109

most of the maintenance

DOE Secretary Sharon S. Garin

asr-002110

or even the repairs,

DOE Secretary Sharon S. Garin

asr-002111

kailangan pa

DOE Secretary Sharon S. Garin

asr-002112

magpapasok sila ng

DOE Secretary Sharon S. Garin

asr-002113

foreign equipments or foreign

DOE Secretary Sharon S. Garin

asr-002114

personnel para mag-ayos

DOE Secretary Sharon S. Garin

asr-002115

ng mga

DOE Secretary Sharon S. Garin

asr-002116

turbina nila or ng planta nila.

DOE Secretary Sharon S. Garin

asr-002117

And that really delays us. For example,

DOE Secretary Sharon S. Garin

asr-002118

one company had to send in

DOE Secretary Sharon S. Garin

asr-002119

their

DOE Secretary Sharon S. Garin

asr-002120

team from India

DOE Secretary Sharon S. Garin

asr-002121

para lang ayusin ito.

DOE Secretary Sharon S. Garin

asr-002122

So, that's what we have been

DOE Secretary Sharon S. Garin

asr-002123

checking kung there's something really

DOE Secretary Sharon S. Garin

asr-002124

intrinsically wrong in the how

DOE Secretary Sharon S. Garin

asr-002125

we do this. So,

DOE Secretary Sharon S. Garin

asr-002126

capacity building and all that. Pero,

DOE Secretary Sharon S. Garin

asr-002127

given that,

DOE Secretary Sharon S. Garin

asr-002128

I would

DOE Secretary Sharon S. Garin

asr-002129

based on the

DOE Secretary Sharon S. Garin

asr-002130

results of the visits,

DOE Secretary Sharon S. Garin

asr-002131

wala naman siyang collusion. It's just

DOE Secretary Sharon S. Garin

asr-002132

that

DOE Secretary Sharon S. Garin

asr-002133

na-overwork din natin yung mga planta,

DOE Secretary Sharon S. Garin

asr-002134

especially during the times

DOE Secretary Sharon S. Garin

asr-002135

ng crisis and also with the

DOE Secretary Sharon S. Garin

asr-002136

summer, na dapat magpahinga

DOE Secretary Sharon S. Garin

asr-002137

na siya, pinapatuloy-tuloy

DOE Secretary Sharon S. Garin

asr-002138

pa rin natin. So,

DOE Secretary Sharon S. Garin

asr-002139

there are reforms in the policies that

DOE Secretary Sharon S. Garin

asr-002140

we have done and we are doing

DOE Secretary Sharon S. Garin

asr-002141

right now. Ang isa sa mga

DOE Secretary Sharon S. Garin

asr-002142

major reforms namin is

DOE Secretary Sharon S. Garin

asr-002143

genco-accountability because there

DOE Secretary Sharon S. Garin

asr-002144

has never been any

DOE Secretary Sharon S. Garin

asr-002145

penalty on the side

DOE Secretary Sharon S. Garin

asr-002152

of DOE kung

DOE Secretary Sharon S. Garin

asr-002153

palagi kang nawawala

DOE Secretary Sharon S. Garin

asr-002154

or hindi ka-compliance sa mga requirements mo.

DOE Secretary Sharon S. Garin

asr-002155

So, we're doing that.

DOE Secretary Sharon S. Garin

asr-002156

And then, I think ERC is also

DOE Secretary Sharon S. Garin

asr-002157

doing some

DOE Secretary Sharon S. Garin

asr-002158

their own

DOE Secretary Sharon S. Garin

asr-002159

policies para mag-stricter

DOE Secretary Sharon S. Garin

asr-002160

yung performance nila.

DOE Secretary Sharon S. Garin

asr-002161

Kasi,

DOE Secretary Sharon S. Garin

asr-002162

you're correct,

DOE Secretary Sharon S. Garin

asr-002163

Sir Cher, na talagang

DOE Secretary Sharon S. Garin

asr-002164

people are suffering because of their

DOE Secretary Sharon S. Garin

asr-002165

inefficiency.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002166

Yes.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002167

Yes.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002168

We have the reliability

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002169

indices and based on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002170

our resolution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002171

and monitoring of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002172

outages, a lot of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002173

plants on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002174

outage have already exceeded

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002175

the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002176

allowance for them.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002177

And we've issued

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002178

notices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002179

of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002180

non-compliance to these

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002181

generating facilities.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002182

And after these notices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002183

based on our rules, we will shortly be

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002184

issuing at the end of the year

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002185

the show cost because our

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002186

reckoning of the outage

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002187

allowance compliance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002188

is on an annual basis.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002189

So, on the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002190

market behavior

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002191

of the participants,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002192

together with

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002193

our solution on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002194

mitigating the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002195

extraordinarily high

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002196

WESM prices in the Visayas and Mindanao,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002197

we have directed the governance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002198

body for WESM

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002199

which is PEMC.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002200

Attached to the PEMC

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002201

to the BEM Board is the Market

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002202

Surveillance Committee. We've

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002203

asked help from the Market Surveillance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002204

Committee for us to be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002205

validate yung behavior,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002206

yung conduct of the market

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002207

participants to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002208

verify really if

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002209

there was no

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002210

market power abuse that was

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002211

committed during this period.

Senator Sherwin "Win" T. Gatchalian

asr-002212

Two things, Chairman.

Senator Sherwin "Win" T. Gatchalian

asr-002213

One,

Senator Sherwin "Win" T. Gatchalian

asr-002214

yung mga, ano ba

Senator Sherwin "Win" T. Gatchalian

asr-002215

ang

Senator Sherwin "Win" T. Gatchalian

asr-002216

fine or penalty

Senator Sherwin "Win" T. Gatchalian

asr-002217

kung nag-exceed sa

Senator Sherwin "Win" T. Gatchalian

asr-002218

allowable allowance?

Senator Sherwin "Win" T. Gatchalian

asr-002219

That's number one. And then number

Senator Sherwin "Win" T. Gatchalian

asr-002220

two, after

Senator Sherwin "Win" T. Gatchalian

asr-002221

alerting the IEMOP,

Senator Sherwin "Win" T. Gatchalian

asr-002222

kailan natin

Senator Sherwin "Win" T. Gatchalian

asr-002223

malalaman kung merong

Senator Sherwin "Win" T. Gatchalian

asr-002224

collusion o walang collusion? Kasi

Senator Sherwin "Win" T. Gatchalian

asr-002225

manipis na ngayon ang

Senator Sherwin "Win" T. Gatchalian

asr-002226

supply. So napakadaling

Senator Sherwin "Win" T. Gatchalian

asr-002227

i-manipulate yung market

Senator Sherwin "Win" T. Gatchalian

asr-002228

kasi manipis yung supply sa

Senator Sherwin "Win" T. Gatchalian

asr-002229

Vismin. So

Senator Sherwin "Win" T. Gatchalian

asr-002230

wala naman akong sinasabi

Senator Sherwin "Win" T. Gatchalian

asr-002231

na merong

Senator Sherwin "Win" T. Gatchalian

asr-002232

nagkukulud or may anti-competitive

Senator Sherwin "Win" T. Gatchalian

asr-002233

behavior. But in the same manner,

Senator Sherwin "Win" T. Gatchalian

asr-002234

we want to get the comfort

Senator Sherwin "Win" T. Gatchalian

asr-002235

na walang nag-game

Senator Sherwin "Win" T. Gatchalian

asr-002236

ng system, walang

Senator Sherwin "Win" T. Gatchalian

asr-002237

inaabuso yung

Senator Sherwin "Win" T. Gatchalian

asr-002238

yung merkado. So we want to

Senator Sherwin "Win" T. Gatchalian

asr-002239

rule that out. May

Senator Sherwin "Win" T. Gatchalian

asr-002240

process of elimination, we want to rule that

Senator Sherwin "Win" T. Gatchalian

asr-002241

out.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002242

Yes, Mr. Chair. Karaniwan

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002243

in the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002244

analysis,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002245

ang tinitingnan po

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002246

ay yung mga pivotal

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002247

suppliers o yung mga marginal plants

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002248

that are able to set the prices

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002249

during times when there's

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002250

shortage. And what

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002251

is being analyzed is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002252

kung merong mga

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002253

consortium or mga

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002254

generation,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002255

companies that are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002256

owned in common by

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002257

some entities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002258

and see if the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002259

prices that are set by the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002260

pivotal supplier benefit

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002261

the other members

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002262

of the group. Yun po

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002263

yung

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002264

tinitingnan din doon sa aming

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002265

analysis. So we can

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002266

rule out nga if

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002267

some of, if there is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002268

anyone doing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002269

some market

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002270

manipulation, setting

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002271

the prices high so that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002272

other generators,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002273

not necessarily the pivotal supplier,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002274

would be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002275

benefit from the higher

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002276

prices.

Senator Erwin Tulfo

asr-002277

Mr. President, if I may

Senator Erwin Tulfo

asr-002278

be allowed, I have

Senator Erwin Tulfo

asr-002279

another, I have a budget briefing for

Senator Erwin Tulfo

asr-002280

another agency in my office. I would like

Senator Erwin Tulfo

asr-002281

to be excused, but I just want to

Senator Erwin Tulfo

asr-002282

inform the Secretary,

Senator Erwin Tulfo

asr-002283

Attorney Juan,

Senator Erwin Tulfo

asr-002284

Chairman Almeda, that I support,

Senator Erwin Tulfo

asr-002285

po, the budget request of

Senator Erwin Tulfo

asr-002286

the Department of Energy and all

Senator Erwin Tulfo

asr-002287

its attached agencies.

Senator Erwin Tulfo

asr-002288

I will support it. Kung meron pong

Senator Erwin Tulfo

asr-002289

kailangang idagdag sa plenary, I'll

Senator Erwin Tulfo

asr-002290

work on it. Tutulong

Senator Erwin Tulfo

asr-002291

po tayo based

Senator Erwin Tulfo

asr-002292

on sinabi po ng chairperson natin

Senator Erwin Tulfo

asr-002293

na I'm

Senator Erwin Tulfo

asr-002294

full support po ako, just like our

Senator Erwin Tulfo

asr-002295

majority floor leader. Thank you po.

DOE Secretary Sharon S. Garin

asr-002296

Mr. Chair,

DOE Secretary Sharon S. Garin

asr-002297

I just tanalang we would

DOE Secretary Sharon S. Garin

asr-002298

like to invite the two

DOE Secretary Sharon S. Garin

asr-002299

honorable senators

DOE Secretary Sharon S. Garin

asr-002300

to our Palawan meeting

DOE Secretary Sharon S. Garin

asr-002301

which will involve all the

DOE Secretary Sharon S. Garin

asr-002302

LGUs, including the congressmen

DOE Secretary Sharon S. Garin

asr-002303

and all the agencies

DOE Secretary Sharon S. Garin

asr-002304

because together with

DOE Secretary Sharon S. Garin

asr-002305

NEA, NAPO, CORE, TRANSCO, we

DOE Secretary Sharon S. Garin

asr-002306

have already formulated a

DOE Secretary Sharon S. Garin

asr-002307

master plan for Palawan to

DOE Secretary Sharon S. Garin

asr-002308

be completed first quarter

DOE Secretary Sharon S. Garin

asr-002309

of 2028 or last quarter

DOE Secretary Sharon S. Garin

asr-002310

of 2027. Fix

DOE Secretary Sharon S. Garin

asr-002311

all the generation distribution and

DOE Secretary Sharon S. Garin

asr-002312

transmission and your support

DOE Secretary Sharon S. Garin

asr-002313

would be really appreciated. It will

DOE Secretary Sharon S. Garin

asr-002314

be on September 25.

Senator Erwin Tulfo

asr-002315

Definitely, Secretary, we will be

Senator Erwin Tulfo

asr-002316

there. We will support

Senator Erwin Tulfo

asr-002317

just as I

Senator Erwin Tulfo

asr-002318

have stated earlier

Senator Erwin Tulfo

asr-002319

for us,

Senator Erwin Tulfo

asr-002320

Chairman Administrator Almeda.

Senator Erwin Tulfo

asr-002321

Like I said, I told the Secretary

Senator Erwin Tulfo

asr-002322

and Chairman Juan,

Senator Erwin Tulfo

asr-002323

this

Senator Erwin Tulfo

asr-002324

representation is

Senator Erwin Tulfo

asr-002325

in full support for the budget

Senator Erwin Tulfo

asr-002326

request of the DOE

Senator Erwin Tulfo

asr-002327

and all its attached agencies.

Senator Erwin Tulfo

asr-002328

Marami salamat po. I have to go because

Senator Erwin Tulfo

asr-002329

I have to be brief.

Senator Erwin Tulfo

asr-002330

Another agency. Thank you po and good afternoon.

Senator Sherwin "Win" T. Gatchalian

asr-002331

Thank you,

Senator Sherwin "Win" T. Gatchalian

asr-002332

Chairman Erwin.

Senator Sherwin "Win" T. Gatchalian

asr-002333

So going back,

Senator Sherwin "Win" T. Gatchalian

asr-002334

ang naging dahilan

Senator Sherwin "Win" T. Gatchalian

asr-002335

is shortage. Maraming pumaliak

Senator Sherwin "Win" T. Gatchalian

asr-002336

kaya sumi pa yung presyo.

Senator Sherwin "Win" T. Gatchalian

asr-002337

Just submit to the

Senator Sherwin "Win" T. Gatchalian

asr-002338

committee,

Senator Sherwin "Win" T. Gatchalian

asr-002339

Chairman Juan, yung results

Senator Sherwin "Win" T. Gatchalian

asr-002340

ng kanyong inyong investigation

Senator Sherwin "Win" T. Gatchalian

asr-002341

to rule out anti-competitive

Senator Sherwin "Win" T. Gatchalian

asr-002342

behaviors kung mayroong collusion.

Senator Sherwin "Win" T. Gatchalian

asr-002343

Yung mga ganito ka lang,

Senator Sherwin "Win" T. Gatchalian

asr-002344

tignan lahat eh.

Senator Sherwin "Win" T. Gatchalian

asr-002345

Not just say na pumaliang

Senator Sherwin "Win" T. Gatchalian

asr-002346

yung planta tapos

Senator Sherwin "Win" T. Gatchalian

asr-002347

we leave the prices to go up.

Senator Sherwin "Win" T. Gatchalian

asr-002348

Hindi pwedeng ganun eh. Kailangan i-rule out

Senator Sherwin "Win" T. Gatchalian

asr-002349

one by one. And then second,

Senator Sherwin "Win" T. Gatchalian

asr-002350

just also

Senator Sherwin "Win" T. Gatchalian

asr-002351

yung penalty

Senator Sherwin "Win" T. Gatchalian

asr-002352

and

Senator Sherwin "Win" T. Gatchalian

asr-002353

fines. How much is the

Senator Sherwin "Win" T. Gatchalian

asr-002354

penalty and fines to those

Senator Sherwin "Win" T. Gatchalian

asr-002355

who exceed the limit?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002356

Our base

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002357

penalties would range

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002358

from P50,000 to P200,000.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002359

Depending on the size of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002360

the generation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002361

facility. And aside from

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002362

the base, on top of that,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002363

for every day

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002364

of non-compliance, because

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002365

there's the outage allowance, and every

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002366

day that they exceed that, there will

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002367

be a penalty of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002368

10% of the base

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002369

price. So

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002370

we are able

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002371

to impose now a

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002372

higher penalty based on

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002373

our amended resolution.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002374

By

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002375

considering in the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002376

calculation of the penalty, the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002377

duration of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002378

the non-compliance. So

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002379

we believe that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002380

this addresses the earlier

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002381

issue of our

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002382

penalties not being

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002383

commensurate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002384

enough for the violations.

Senator Sherwin "Win" T. Gatchalian

asr-002385

So na-increase

Senator Sherwin "Win" T. Gatchalian

asr-002386

na in other words?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002387

Opo. And that will incentivize

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002388

them to as much as possible.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002389

Limit their outages

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002390

to the allowance because every

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002391

day of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002392

addition to that

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002393

allowance is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002394

10% of the base

Senator Sherwin "Win" T. Gatchalian

asr-002395

penalty. Since the

Senator Sherwin "Win" T. Gatchalian

asr-002396

promulgation itong reliability

Senator Sherwin "Win" T. Gatchalian

asr-002397

index, meron ba napatawan

Senator Sherwin "Win" T. Gatchalian

asr-002398

na ng fines?

Senator Sherwin "Win" T. Gatchalian

asr-002399

Meron na.

Senator Sherwin "Win" T. Gatchalian

asr-002400

I assume yung revenues

Senator Sherwin "Win" T. Gatchalian

asr-002401

nyo, malaking part of that will be

Senator Sherwin "Win" T. Gatchalian

asr-002402

fines and penalties.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002403

This will be the first

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002404

year when we will

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002405

implement these new penalties.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002406

And as I mentioned earlier,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002407

our process is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002408

we first call the attention of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002409

the generation facility by issuing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002410

the notice of non-compliance within

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002411

the year. And so they

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002412

will be aware that they've already

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002413

exceeded the outage

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002414

allowance. And then at

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002415

the end of the year, we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002416

start issuing the show cause so we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002417

can proceed with the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002418

imposition of the penalties.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002419

And this time, we will be using

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002420

the new penalties. But in the past, meron na

Senator Sherwin "Win" T. Gatchalian

asr-002421

na-fine? Meron na napatawan

Senator Sherwin "Win" T. Gatchalian

asr-002422

ng fine? Yes.

Senator Sherwin "Win" T. Gatchalian

asr-002423

Have you ever imposed fines and penalties?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002424

Meron na. We were able to impose.

Senator Sherwin "Win" T. Gatchalian

asr-002425

Pero obviously, hindi

Senator Sherwin "Win" T. Gatchalian

asr-002426

nag-effect. Kasi mababa

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002427

siguro. Yes, Mr. Chair.

Senator Sherwin "Win" T. Gatchalian

asr-002428

So ngayon, tinaasan nyo na and this year

Senator Sherwin "Win" T. Gatchalian

asr-002429

will be the first time you will

Senator Sherwin "Win" T. Gatchalian

asr-002430

impose using the higher

Senator Sherwin "Win" T. Gatchalian

asr-002431

fines.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002432

Per day, that will be

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002433

10% of the base penalty.

Senator Sherwin "Win" T. Gatchalian

asr-002434

Okay. So just submit to us a report

Senator Sherwin "Win" T. Gatchalian

asr-002435

particularly

Senator Sherwin "Win" T. Gatchalian

asr-002436

on this Vismin. And I would

Senator Sherwin "Win" T. Gatchalian

asr-002437

assume itong Vismin, may mga

Senator Sherwin "Win" T. Gatchalian

asr-002438

mapapatawan ng fine to.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002439

So far, yes. Based

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002440

on our notice of non-compliance,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-002441

we have several generation

Senator Sherwin "Win" T. Gatchalian

asr-002442

facilities. Merong candidates to be

Senator Sherwin "Win" T. Gatchalian

asr-002443

fined. Yes, Mr. Chair. Okay. So

Senator Sherwin "Win" T. Gatchalian

asr-002444

just submit to us a

Senator Sherwin "Win" T. Gatchalian

asr-002445

report on that. But the bottom line

Senator Sherwin "Win" T. Gatchalian

asr-002446

here is we cannot allow

Senator Sherwin "Win" T. Gatchalian

asr-002447

18 pesos, 19 pesos,

Senator Sherwin "Win" T. Gatchalian

asr-002448

20 pesos.

Senator Sherwin "Win" T. Gatchalian

asr-002449

Mamamatay ang consumers

Senator Sherwin "Win" T. Gatchalian

asr-002450

natin sa ganyan. Papamatay

Senator Sherwin "Win" T. Gatchalian

asr-002451

negosyo, actually. I don't

Senator Sherwin "Win" T. Gatchalian

asr-002452

think businesses can

Senator Sherwin "Win" T. Gatchalian

asr-002453

survive with that kind

Senator Sherwin "Win" T. Gatchalian

asr-002454

of prices.

Senator Sherwin "Win" T. Gatchalian

asr-002455

Pagkausap mo nga yung mga negosyante,

Senator Sherwin "Win" T. Gatchalian

asr-002456

ang parating reaction nila,

Senator Sherwin "Win" T. Gatchalian

asr-002457

nagtatrabaho sila para doon sa

Senator Sherwin "Win" T. Gatchalian

asr-002458

utility na lang. Wala

Senator Sherwin "Win" T. Gatchalian

asr-002459

nang natitirang kita sa kanila kasi

Senator Sherwin "Win" T. Gatchalian

asr-002460

almost 40, 50, 60% of

Senator Sherwin "Win" T. Gatchalian

asr-002461

their

Senator Sherwin "Win" T. Gatchalian

asr-002462

cost goes

Senator Sherwin "Win" T. Gatchalian

asr-002463

to paying electricity.

Senator Sherwin "Win" T. Gatchalian

asr-002464

So,

Senator Sherwin "Win" T. Gatchalian

asr-002465

we cannot allow that.

Senator Sherwin "Win" T. Gatchalian

asr-002466

Basa ko rin na nag-impose na kayo

Senator Sherwin "Win" T. Gatchalian

asr-002467

ng CAP, albeit

Senator Sherwin "Win" T. Gatchalian

asr-002468

medyo late na. But

Senator Sherwin "Win" T. Gatchalian

asr-002469

nevertheless,

Senator Sherwin "Win" T. Gatchalian

asr-002470

importante rin na magkaroon ng

Senator Sherwin "Win" T. Gatchalian

asr-002471

disiplina among the generators.

Senator Sherwin "Win" T. Gatchalian

asr-002472

Matagal ng problema ito, Chairman.

Senator Sherwin "Win" T. Gatchalian

asr-002473

We need to make sure that there's

Senator Sherwin "Win" T. Gatchalian

asr-002474

also discipline. Alam ko, deregulated

Senator Sherwin "Win" T. Gatchalian

asr-002475

sila. But

Senator Sherwin "Win" T. Gatchalian

asr-002476

we cannot avoid it.

Senator Sherwin "Win" T. Gatchalian

asr-002477

Kung recurring na lang itong mga

Senator Sherwin "Win" T. Gatchalian

asr-002478

ganitong problema, we cannot avoid

Senator Sherwin "Win" T. Gatchalian

asr-002479

imposing rules.

Senator Sherwin "Win" T. Gatchalian

asr-002480

And then...

DOE Secretary Sharon S. Garin

asr-002481

Mr. Chair, we're actually

DOE Secretary Sharon S. Garin

asr-002482

checking the data so that we can

DOE Secretary Sharon S. Garin

asr-002483

pass it to PCC

DOE Secretary Sharon S. Garin

asr-002484

or market abuse if ever

DOE Secretary Sharon S. Garin

asr-002485

there is.

Senator Sherwin "Win" T. Gatchalian

asr-002486

Thank you for that, Secretary Chairman. I'll go to some

Senator Sherwin "Win" T. Gatchalian

asr-002487

items in the budget.

Senator Sherwin "Win" T. Gatchalian

asr-002488

I saw,

Senator Sherwin "Win" T. Gatchalian

asr-002489

Secretary Garin, na

Senator Sherwin "Win" T. Gatchalian

asr-002490

lumaki yung inyong special

Senator Sherwin "Win" T. Gatchalian

asr-002491

account.

Senator Sherwin "Win" T. Gatchalian

asr-002492

In 2025, it's only 800

Senator Sherwin "Win" T. Gatchalian

asr-002493

million. And then in

Senator Sherwin "Win" T. Gatchalian

asr-002494

2027, it's now

Senator Sherwin "Win" T. Gatchalian

asr-002495

3.7 billion.

Senator Sherwin "Win" T. Gatchalian

asr-002496

What is the reason for the

Senator Sherwin "Win" T. Gatchalian

asr-002497

increase?

Senator Sherwin "Win" T. Gatchalian

asr-002498

Ano ito? Malampaya?

Senator Sherwin "Win" T. Gatchalian

asr-002499

Royalty? Siguro ito eh, no?

DOE Secretary Sharon S. Garin

asr-002500

Mr. Chair, you mean

DOE Secretary Sharon S. Garin

asr-002501

for what it will be used?

Senator Sherwin "Win" T. Gatchalian

asr-002502

No, no. Anong source?

DOE Secretary Sharon S. Garin

asr-002503

Source niya. Ah, yung

DOE Secretary Sharon S. Garin

asr-002504

nag-increase.

Senator Sherwin "Win" T. Gatchalian

asr-002505

Sorry, siya.

Senator Sherwin "Win" T. Gatchalian

asr-002506

Hindi ko nakita.

DOE Secretary Sharon S. Garin

asr-002507

It's okay. It's malampaya.

Senator Sherwin "Win" T. Gatchalian

asr-002508

It's malampaya.

Senator Sherwin "Win" T. Gatchalian

asr-002509

And, um...

Senator Sherwin "Win" T. Gatchalian

asr-002510

Sa reko ba?

DOE Secretary Sharon S. Garin

asr-002511

at the other fees also that we collect

DOE Secretary Sharon S. Garin

asr-002512

kasi technically it's supposed to be

DOE Secretary Sharon S. Garin

asr-002513

like 20% of the

DOE Secretary Sharon S. Garin

asr-002514

of the collections

Senator Sherwin "Win" T. Gatchalian

asr-002515

but majority of that is at

Senator Sherwin "Win" T. Gatchalian

asr-002516

itong

DOE Secretary Sharon S. Garin

asr-002517

isa yan

DOE Secretary Sharon S. Garin

asr-002518

I think other collections

DOE Secretary Sharon S. Garin

asr-002519

no

Senator Sherwin "Win" T. Gatchalian

asr-002520

okay

Senator Sherwin "Win" T. Gatchalian

asr-002521

and

Senator Sherwin "Win" T. Gatchalian

asr-002522

and the reason for that

Senator Sherwin "Win" T. Gatchalian

asr-002523

that's the new well

Senator Sherwin "Win" T. Gatchalian

asr-002524

the increase

DOE Secretary Sharon S. Garin

asr-002525

yes sir

DOE Secretary Sharon S. Garin

asr-002526

pero there's also the increase

DOE Secretary Sharon S. Garin

asr-002527

on the renewable energy

DOE Secretary Sharon S. Garin

asr-002528

sa mga collections namin

DOE Secretary Sharon S. Garin

asr-002529

kasi dumadami din yung mga gen

Senator Sherwin "Win" T. Gatchalian

asr-002530

but this is

Senator Sherwin "Win" T. Gatchalian

asr-002531

what is this

Senator Sherwin "Win" T. Gatchalian

asr-002532

this is

Senator Sherwin "Win" T. Gatchalian

asr-002533

this is the collection

Senator Sherwin "Win" T. Gatchalian

asr-002534

pero hindi pa

Senator Sherwin "Win" T. Gatchalian

asr-002535

net

Senator Sherwin "Win" T. Gatchalian

asr-002536

net to government

Senator Sherwin "Win" T. Gatchalian

asr-002537

yun diba

Senator Sherwin "Win" T. Gatchalian

asr-002538

is that net to government

Senator Sherwin "Win" T. Gatchalian

asr-002539

yan yan yan

Senator Sherwin "Win" T. Gatchalian

asr-002540

bakit lumaki siya

Senator Sherwin "Win" T. Gatchalian

asr-002541

for 2027

Senator Sherwin "Win" T. Gatchalian

asr-002542

it's more than your

Senator Sherwin "Win" T. Gatchalian

asr-002543

new appropriation

Senator Sherwin "Win" T. Gatchalian

asr-002544

more than your

Senator Sherwin "Win" T. Gatchalian

asr-002545

appropriation

Senator Sherwin "Win" T. Gatchalian

asr-002546

sir

DOE Secretary Sharon S. Garin

asr-002547

it's more of a

DOE Secretary Sharon S. Garin

asr-002548

DBM

DOE Secretary Sharon S. Garin

asr-002549

ano na

DOE Secretary Sharon S. Garin

asr-002550

ni

DOE Secretary Sharon S. Garin

asr-002551

ni reallocate

DOE Secretary Sharon S. Garin

asr-002552

ang mga budget namin

DOE Secretary Sharon S. Garin

asr-002553

sa special account

Senator Sherwin "Win" T. Gatchalian

asr-002554

which is

Senator Sherwin "Win" T. Gatchalian

asr-002555

anong source

Senator Sherwin "Win" T. Gatchalian

asr-002556

our collections

Senator Sherwin "Win" T. Gatchalian

asr-002557

our collections

DOE Secretary Sharon S. Garin

asr-002558

our collections

DOE Secretary Sharon S. Garin

asr-002559

sir

DOE Secretary Sharon S. Garin

asr-002560

so yung slide na kanina

DOE Secretary Sharon S. Garin

asr-002561

yun yung source

DOE Secretary Sharon S. Garin

asr-002562

part of it

DOE Secretary Sharon S. Garin

asr-002563

yes

Senator Sherwin "Win" T. Gatchalian

asr-002564

part of it

Senator Sherwin "Win" T. Gatchalian

asr-002565

and

Senator Sherwin "Win" T. Gatchalian

asr-002566

ang tanong ko

Senator Sherwin "Win" T. Gatchalian

asr-002567

is that because

Senator Sherwin "Win" T. Gatchalian

asr-002568

of the new discovery

Senator Sherwin "Win" T. Gatchalian

asr-002569

is that

Senator Sherwin "Win" T. Gatchalian

asr-002570

is that the reason

Senator Sherwin "Win" T. Gatchalian

asr-002571

kasi tingnan nyo

Senator Sherwin "Win" T. Gatchalian

asr-002572

dati 30% lang

Senator Sherwin "Win" T. Gatchalian

asr-002573

ang automatic

Senator Sherwin "Win" T. Gatchalian

asr-002574

automatic includes

Senator Sherwin "Win" T. Gatchalian

asr-002575

ano dyan eh

Senator Sherwin "Win" T. Gatchalian

asr-002576

yung retirement

Senator Sherwin "Win" T. Gatchalian

asr-002577

parli

Senator Sherwin "Win" T. Gatchalian

asr-002578

pero malaki dito

Senator Sherwin "Win" T. Gatchalian

asr-002579

nakita ko special account

Senator Sherwin "Win" T. Gatchalian

asr-002580

so

Senator Sherwin "Win" T. Gatchalian

asr-002581

but I don't have the breakdown

DOE Secretary Sharon S. Garin

asr-002582

technically kasi

DOE Secretary Sharon S. Garin

asr-002583

that's a source of funding

DOE Secretary Sharon S. Garin

asr-002584

pero

DOE Secretary Sharon S. Garin

asr-002585

what will qualify

DOE Secretary Sharon S. Garin

asr-002586

under that special account

DOE Secretary Sharon S. Garin

asr-002587

or certain projects lang

Senator Sherwin "Win" T. Gatchalian

asr-002588

yes yes

Senator Sherwin "Win" T. Gatchalian

asr-002589

I understand

DOE Secretary Sharon S. Garin

asr-002590

but those certain projects

DOE Secretary Sharon S. Garin

asr-002591

are continuing

DOE Secretary Sharon S. Garin

asr-002592

or nag-increase

DOE Secretary Sharon S. Garin

asr-002593

ng budget siya

Senator Sherwin "Win" T. Gatchalian

asr-002594

ah

Senator Sherwin "Win" T. Gatchalian

asr-002595

manap chair

Senator Sherwin "Win" T. Gatchalian

asr-002596

yes I understand

Senator Sherwin "Win" T. Gatchalian

asr-002597

what is the driver

Senator Sherwin "Win" T. Gatchalian

asr-002598

of that

Senator Sherwin "Win" T. Gatchalian

asr-002599

increase

Senator Sherwin "Win" T. Gatchalian

asr-002600

is it malampaya

Senator Sherwin "Win" T. Gatchalian

asr-002601

is it

Senator Sherwin "Win" T. Gatchalian

asr-002602

geothermal

Senator Sherwin "Win" T. Gatchalian

asr-002603

is it

DOE Secretary Sharon S. Garin

asr-002604

it's mostly malampaya

DOE Secretary Sharon S. Garin

asr-002605

kasi

DOE Secretary Sharon S. Garin

asr-002606

because of the new discovery

DOE Secretary Sharon S. Garin

asr-002607

that's a new discovery

DOE Secretary Sharon S. Garin

asr-002608

it's slowly

DOE Secretary Sharon S. Garin

asr-002609

going up

DOE Secretary Sharon S. Garin

asr-002610

bumaba siya ng konti

DOE Secretary Sharon S. Garin

asr-002611

sa 26

DOE Secretary Sharon S. Garin

asr-002612

ah sa 25

DOE Secretary Sharon S. Garin

asr-002613

tapos paakyat na yun naman siya

DOE Secretary Sharon S. Garin

asr-002614

by

DOE Secretary Sharon S. Garin

asr-002615

by 27

DOE Secretary Sharon S. Garin

asr-002616

28

DOE Secretary Sharon S. Garin

asr-002617

I think it will hit

DOE Secretary Sharon S. Garin

asr-002618

it will

DOE Secretary Sharon S. Garin

asr-002619

keep on increasing

Senator Sherwin "Win" T. Gatchalian

asr-002620

so it's it's

Senator Sherwin "Win" T. Gatchalian

asr-002621

the new discovery

Senator Sherwin "Win" T. Gatchalian

asr-002622

ang

Senator Sherwin "Win" T. Gatchalian

asr-002623

ang

Senator Sherwin "Win" T. Gatchalian

asr-002624

driver

Senator Sherwin "Win" T. Gatchalian

asr-002625

tama

DOE Secretary Sharon S. Garin

asr-002626

yes

DOE Secretary Sharon S. Garin

asr-002627

the projections of the new discovery

DOE Secretary Sharon S. Garin

asr-002628

yes

Senator Sherwin "Win" T. Gatchalian

asr-002629

yeah because yung new appropriations

Senator Sherwin "Win" T. Gatchalian

asr-002630

stable siya 2 billion

Senator Sherwin "Win" T. Gatchalian

asr-002631

pero the

Senator Sherwin "Win" T. Gatchalian

asr-002632

the

Senator Sherwin "Win" T. Gatchalian

asr-002633

itong automatic appropriations

Senator Sherwin "Win" T. Gatchalian

asr-002634

ang nakita kong lumalaki

Senator Sherwin "Win" T. Gatchalian

asr-002635

okay

Senator Sherwin "Win" T. Gatchalian

asr-002636

um

Senator Sherwin "Win" T. Gatchalian

asr-002637

sige

Senator Sherwin "Win" T. Gatchalian

asr-002638

next will be

Senator Sherwin "Win" T. Gatchalian

asr-002639

ito na

Senator Sherwin "Win" T. Gatchalian

asr-002640

pag-usapan natin

Senator Sherwin "Win" T. Gatchalian

asr-002641

last year

Senator Sherwin "Win" T. Gatchalian

asr-002642

um

Senator Sherwin "Win" T. Gatchalian

asr-002643

pero

Senator Sherwin "Win" T. Gatchalian

asr-002644

ito galing sa

Senator Sherwin "Win" T. Gatchalian

asr-002645

LBR mo

Senator Sherwin "Win" T. Gatchalian

asr-002646

yung automatic

Senator Sherwin "Win" T. Gatchalian

asr-002647

automatic appropriations

Senator Sherwin "Win" T. Gatchalian

asr-002648

does not include

Senator Sherwin "Win" T. Gatchalian

asr-002649

malampaya

Senator Sherwin "Win" T. Gatchalian

asr-002650

...

Senator Sherwin "Win" T. Gatchalian

asr-002651

...

Senator Sherwin "Win" T. Gatchalian

asr-002652

...

DOE Secretary Sharon S. Garin

asr-002653

In the previous years,

DOE Secretary Sharon S. Garin

asr-002654

we weren't given

DOE Secretary Sharon S. Garin

asr-002655

although by law

DOE Secretary Sharon S. Garin

asr-002656

we should have like 20% of that

DOE Secretary Sharon S. Garin

asr-002657

but this is like the first time na

DOE Secretary Sharon S. Garin

asr-002658

hindi lang sa fees kami

DOE Secretary Sharon S. Garin

asr-002659

kundi pati sa malampaya

DOE Secretary Sharon S. Garin

asr-002660

kaya nag-increase siya.

Senator Sherwin "Win" T. Gatchalian

asr-002661

Ah, okay. Baka

Senator Sherwin "Win" T. Gatchalian

asr-002662

hindi pa recorded.

Senator Sherwin "Win" T. Gatchalian

asr-002669

nakita ko kasi dito

Senator Sherwin "Win" T. Gatchalian

asr-002670

secretary may mga

Senator Sherwin "Win" T. Gatchalian

asr-002671

may mga fees, mostly fees

Senator Sherwin "Win" T. Gatchalian

asr-002672

and then

Senator Sherwin "Win" T. Gatchalian

asr-002673

the other one is

Senator Sherwin "Win" T. Gatchalian

asr-002674

share from national wealth which is

Senator Sherwin "Win" T. Gatchalian

asr-002675

royalties.

Senator Sherwin "Win" T. Gatchalian

asr-002676

Kasama dito

Senator Sherwin "Win" T. Gatchalian

asr-002677

iba-iba. May geothermal,

Senator Sherwin "Win" T. Gatchalian

asr-002678

wind, hydro, solar,

Senator Sherwin "Win" T. Gatchalian

asr-002679

malampaya.

Senator Sherwin "Win" T. Gatchalian

asr-002680

Just submit lang to us.

Senator Sherwin "Win" T. Gatchalian

asr-002681

I just want to understand bakit

Senator Sherwin "Win" T. Gatchalian

asr-002682

biglang lumaki,

Senator Sherwin "Win" T. Gatchalian

asr-002683

wind jump

Senator Sherwin "Win" T. Gatchalian

asr-002684

from an average

Senator Sherwin "Win" T. Gatchalian

asr-002685

is about 800 million to 3 billion.

Senator Sherwin "Win" T. Gatchalian

asr-002686

And then next is

Senator Sherwin "Win" T. Gatchalian

asr-002687

ito na pag-usapan natin yung

Senator Sherwin "Win" T. Gatchalian

asr-002688

Philippine

Senator Sherwin "Win" T. Gatchalian

asr-002689

Gradiometry and Seismic Survey.

Senator Sherwin "Win" T. Gatchalian

asr-002690

We funded it last year

Senator Sherwin "Win" T. Gatchalian

asr-002691

I think about

Senator Sherwin "Win" T. Gatchalian

asr-002692

600 million.

Senator Sherwin "Win" T. Gatchalian

asr-002693

Tama ba?

Senator Sherwin "Win" T. Gatchalian

asr-002694

627 million.

Senator Sherwin "Win" T. Gatchalian

asr-002695

And then this year, there's a funding of

Senator Sherwin "Win" T. Gatchalian

asr-002696

1.3 billion.

Senator Sherwin "Win" T. Gatchalian

asr-002697

So,

Senator Sherwin "Win" T. Gatchalian

asr-002698

can you give us an update kung ano nang

Senator Sherwin "Win" T. Gatchalian

asr-002699

nangyari dito sa

Senator Sherwin "Win" T. Gatchalian

asr-002700

627?

Senator Sherwin "Win" T. Gatchalian

asr-002701

I support this.

Senator Sherwin "Win" T. Gatchalian

asr-002702

Tatama kayo, secretary, dahil

Senator Sherwin "Win" T. Gatchalian

asr-002703

mahirap naman mang benta kung wala tayong

Senator Sherwin "Win" T. Gatchalian

asr-002704

data.

Senator Sherwin "Win" T. Gatchalian

asr-002705

This is actually an

Senator Sherwin "Win" T. Gatchalian

asr-002706

insertion, sasabihin ko sa

Senator Sherwin "Win" T. Gatchalian

asr-002707

amendment.

Senator Sherwin "Win" T. Gatchalian

asr-002708

Amendment from the

Senator Sherwin "Win" T. Gatchalian

asr-002709

magandang insertion.

Senator Sherwin "Win" T. Gatchalian

asr-002710

No, it's a good

Senator Sherwin "Win" T. Gatchalian

asr-002711

addition.

Senator Sherwin "Win" T. Gatchalian

asr-002712

Senator P, magandang insertion

Senator Sherwin "Win" T. Gatchalian

asr-002713

slash amendment to dahil

Senator Sherwin "Win" T. Gatchalian

asr-002714

this will give us

Senator Sherwin "Win" T. Gatchalian

asr-002715

data. Itong mga, here, no?

Senator Sherwin "Win" T. Gatchalian

asr-002716

Binigyan tayo ng data so that

Senator Sherwin "Win" T. Gatchalian

asr-002717

we can go to the market

Senator Sherwin "Win" T. Gatchalian

asr-002718

and sell the

Senator Sherwin "Win" T. Gatchalian

asr-002719

service contracts right away. Dati kasi

Senator Sherwin "Win" T. Gatchalian

asr-002720

tatanungin nila kung may laman o wala.

Senator Sherwin "Win" T. Gatchalian

asr-002721

Hindi naman natin alam. So, ngayon,

Senator Sherwin "Win" T. Gatchalian

asr-002722

meron na tayong information and data.

Senator Sherwin "Win" T. Gatchalian

asr-002723

But I want to learn

Senator Sherwin "Win" T. Gatchalian

asr-002724

kung anong nangyari.

Senator Sherwin "Win" T. Gatchalian

asr-002725

First time kasi natin pinunduhan yan, eh, no?

Senator Sherwin "Win" T. Gatchalian

asr-002726

So, successful ba siya?

Senator Sherwin "Win" T. Gatchalian

asr-002727

Hindi successful? And I guess

Senator Sherwin "Win" T. Gatchalian

asr-002728

it's successful because we're

Senator Sherwin "Win" T. Gatchalian

asr-002729

also funding 1.3 billion.

DOE Secretary Sharon S. Garin

asr-002730

Madam Chair, again,

DOE Secretary Sharon S. Garin

asr-002731

we've been working

DOE Secretary Sharon S. Garin

asr-002732

on this budget

DOE Secretary Sharon S. Garin

asr-002733

since, well, as far as

DOE Secretary Sharon S. Garin

asr-002734

I'm concerned, since 2022.

DOE Secretary Sharon S. Garin

asr-002735

And this is the first time

DOE Secretary Sharon S. Garin

asr-002736

after three years it was funded.

DOE Secretary Sharon S. Garin

asr-002737

And we're very happy

DOE Secretary Sharon S. Garin

asr-002738

with the progress of this. And

DOE Secretary Sharon S. Garin

asr-002739

Yusex Halas will

DOE Secretary Sharon S. Garin

asr-002740

explain the progress and where

DOE Secretary Sharon S. Garin

asr-002741

we are at now. But this really

DOE Secretary Sharon S. Garin

asr-002742

gives us a boost on the interest

DOE Secretary Sharon S. Garin

asr-002743

of the international investors,

DOE Secretary Sharon S. Garin

asr-002744

especially since the

DOE Secretary Sharon S. Garin

asr-002745

announcement.

DOE Secretary Sharon S. Garin

asr-002746

of the new discovery of

DOE Secretary Sharon S. Garin

asr-002747

Malampaya. In addition

DOE Secretary Sharon S. Garin

asr-002748

to this, we are

DOE Secretary Sharon S. Garin

asr-002749

in the map now for exploration.

DOE Secretary Sharon S. Garin

asr-002750

Go ahead.

DOE Undersecretary Alessandro O. Sales

asr-002751

Thank you, Madam Chair.

DOE Undersecretary Alessandro O. Sales

asr-002752

With regards sa ating

DOE Undersecretary Alessandro O. Sales

asr-002753

Philippine Gradiometry

DOE Undersecretary Alessandro O. Sales

asr-002754

Survey, approved na and we are

DOE Undersecretary Alessandro O. Sales

asr-002755

implementing this year. So, yung

DOE Undersecretary Alessandro O. Sales

asr-002756

proseso humaba doon sa

DOE Undersecretary Alessandro O. Sales

asr-002757

pag-bid kasi the first time

DOE Undersecretary Alessandro O. Sales

asr-002758

we're bidding this magnitude and

DOE Undersecretary Alessandro O. Sales

asr-002759

all the bidders

DOE Undersecretary Alessandro O. Sales

asr-002760

were foreign bidders. So, we wanted

DOE Undersecretary Alessandro O. Sales

asr-002761

to be very extra careful.

DOE Undersecretary Alessandro O. Sales

asr-002762

The contract was awarded in

DOE Undersecretary Alessandro O. Sales

asr-002763

August. The airplane that's

DOE Undersecretary Alessandro O. Sales

asr-002764

going to be used in the survey

DOE Undersecretary Alessandro O. Sales

asr-002765

is currently finishing a job

DOE Undersecretary Alessandro O. Sales

asr-002766

in Japan. So,

DOE Undersecretary Alessandro O. Sales

asr-002767

ang scheduled arrival nung

DOE Undersecretary Alessandro O. Sales

asr-002768

equipment, the airplane,

DOE Undersecretary Alessandro O. Sales

asr-002769

is ngayon sometimes

DOE Undersecretary Alessandro O. Sales

asr-002770

before the end of September.

DOE Undersecretary Alessandro O. Sales

asr-002771

So,

DOE Undersecretary Alessandro O. Sales

asr-002772

they can start

DOE Undersecretary Alessandro O. Sales

asr-002773

October. Yung 40,000

DOE Undersecretary Alessandro O. Sales

asr-002774

square kilometers po

DOE Undersecretary Alessandro O. Sales

asr-002775

na popondohan itong 20,000.

DOE Undersecretary Alessandro O. Sales

asr-002776

So, by the end of the year,

DOE Undersecretary Alessandro O. Sales

asr-002777

ay matatapos ang

DOE Undersecretary Alessandro O. Sales

asr-002778

acquisition. Approximately

DOE Undersecretary Alessandro O. Sales

asr-002779

three months po. So, by the end

DOE Undersecretary Alessandro O. Sales

asr-002780

of the year, na-acquire yung data.

DOE Undersecretary Alessandro O. Sales

asr-002781

But the data now

DOE Undersecretary Alessandro O. Sales

asr-002782

has to be processed. So, yung processing

DOE Undersecretary Alessandro O. Sales

asr-002783

nito, mga another

DOE Undersecretary Alessandro O. Sales

asr-002784

three months. So, by the

DOE Undersecretary Alessandro O. Sales

asr-002785

end of the first quarter next year, yung

DOE Undersecretary Alessandro O. Sales

asr-002786

final product, makikita

DOE Undersecretary Alessandro O. Sales

asr-002787

na po at madideliver na po

DOE Undersecretary Alessandro O. Sales

asr-002788

sa Pilipinas.

DOE Undersecretary Alessandro O. Sales

asr-002789

And in fact, yung ating

DOE Undersecretary Alessandro O. Sales

asr-002790

pinopropose ngayon, which was part of the

DOE Undersecretary Alessandro O. Sales

asr-002791

original phase program,

DOE Undersecretary Alessandro O. Sales

asr-002792

is double the size.

DOE Undersecretary Alessandro O. Sales

asr-002793

So, ito po ay 80,000

DOE Undersecretary Alessandro O. Sales

asr-002794

square kilometers, located

DOE Undersecretary Alessandro O. Sales

asr-002795

in Central Visayas

DOE Undersecretary Alessandro O. Sales

asr-002796

region. And we have explained

DOE Undersecretary Alessandro O. Sales

asr-002797

why we chose those two regions

DOE Undersecretary Alessandro O. Sales

asr-002798

dahil ito yung mga parang

DOE Undersecretary Alessandro O. Sales

asr-002799

forgotten areas natin. Dahil

DOE Undersecretary Alessandro O. Sales

asr-002800

dati, inisip ng mga

DOE Undersecretary Alessandro O. Sales

asr-002801

geologists na

DOE Undersecretary Alessandro O. Sales

asr-002802

gas-prone niyang mga yan.

DOE Undersecretary Alessandro O. Sales

asr-002803

So, hindi pinag-aksayahan ng

DOE Undersecretary Alessandro O. Sales

asr-002804

panahon, noong 70s at 80s.

DOE Undersecretary Alessandro O. Sales

asr-002805

Ngayon, alam natin, importante ang

DOE Undersecretary Alessandro O. Sales

asr-002806

gas. So, nag-acquire.

DOE Undersecretary Alessandro O. Sales

asr-002807

Tayo dito sa dalawang lugar.

DOE Undersecretary Alessandro O. Sales

asr-002808

To jumpstart po yung

DOE Undersecretary Alessandro O. Sales

asr-002809

2027, we plan to do

DOE Undersecretary Alessandro O. Sales

asr-002810

early procurement.

DOE Undersecretary Alessandro O. Sales

asr-002811

Kasi merong, ang maganda doon ito

DOE Undersecretary Alessandro O. Sales

asr-002812

sa ginagawa natin, walang weather

DOE Undersecretary Alessandro O. Sales

asr-002813

window sa Mindanao, they can shoot

DOE Undersecretary Alessandro O. Sales

asr-002814

October, November, December.

DOE Undersecretary Alessandro O. Sales

asr-002815

Pero sa Central Visayas, we

DOE Undersecretary Alessandro O. Sales

asr-002816

want them to start shooting by

DOE Undersecretary Alessandro O. Sales

asr-002817

as early as

DOE Undersecretary Alessandro O. Sales

asr-002818

March para

DOE Undersecretary Alessandro O. Sales

asr-002819

nasa good weather window po

DOE Undersecretary Alessandro O. Sales

asr-002820

itong 2027 program

DOE Undersecretary Alessandro O. Sales

asr-002821

natin.

Senator Sherwin "Win" T. Gatchalian

asr-002822

Ito ba, Usec, may third-party contractor?

DOE Undersecretary Alessandro O. Sales

asr-002822-split-2

Meron po, there are a limited

DOE Undersecretary Alessandro O. Sales

asr-002823

number of companies in the world

DOE Undersecretary Alessandro O. Sales

asr-002824

na ginagawa itong ganitong klaseng

DOE Undersecretary Alessandro O. Sales

asr-002825

acquisition

DOE Undersecretary Alessandro O. Sales

asr-002826

ng airborne data.

Senator Sherwin "Win" T. Gatchalian

asr-002827

So, we contract them and

Senator Sherwin "Win" T. Gatchalian

asr-002828

they bring in their airplane.

DOE Undersecretary Alessandro O. Sales

asr-002828-split-2

Yes, sir.

Senator Sherwin "Win" T. Gatchalian

asr-002829

And then they do the survey and

Senator Sherwin "Win" T. Gatchalian

asr-002830

pati analysis.

DOE Undersecretary Alessandro O. Sales

asr-002831

Part of it, interpretation

DOE Undersecretary Alessandro O. Sales

asr-002832

but mag-onboard ang ating

DOE Undersecretary Alessandro O. Sales

asr-002833

mga tao sa DOE when

DOE Undersecretary Alessandro O. Sales

asr-002834

they process and interpret.

DOE Undersecretary Alessandro O. Sales

asr-002835

So, may part nung

DOE Undersecretary Alessandro O. Sales

asr-002836

ating agreement with

DOE Undersecretary Alessandro O. Sales

asr-002837

them. And in fact, if

DOE Undersecretary Alessandro O. Sales

asr-002838

I may just

DOE Undersecretary Alessandro O. Sales

asr-002839

point out

DOE Undersecretary Alessandro O. Sales

asr-002840

at this committee, maiksilang

DOE Undersecretary Alessandro O. Sales

asr-002841

sir, having done this

DOE Undersecretary Alessandro O. Sales

asr-002842

now, na gobyerno

DOE Undersecretary Alessandro O. Sales

asr-002843

ang nag-acquire, nakita namin na

DOE Undersecretary Alessandro O. Sales

asr-002844

mas marami palang

DOE Undersecretary Alessandro O. Sales

asr-002845

benepiso yung contractor natin

DOE Undersecretary Alessandro O. Sales

asr-002846

kesa pag gobyerno po ang

DOE Undersecretary Alessandro O. Sales

asr-002847

gumawa. Kasi

DOE Undersecretary Alessandro O. Sales

asr-002848

pag contractor ang gumawa, under

DOE Undersecretary Alessandro O. Sales

asr-002849

the law, tax-free lahat ang

DOE Undersecretary Alessandro O. Sales

asr-002850

importasyon.

DOE Undersecretary Alessandro O. Sales

asr-002851

So, ngayon... May reimburse them,

Senator Sherwin "Win" T. Gatchalian

asr-002852

di ba? Kasama yan sa

Senator Sherwin "Win" T. Gatchalian

asr-002853

reimbursement. They have to recover the cost,

DOE Undersecretary Alessandro O. Sales

asr-002854

in other words. No, I mean, pasok

DOE Undersecretary Alessandro O. Sales

asr-002855

mong equipment, hindi po papatawa

DOE Undersecretary Alessandro O. Sales

asr-002856

ng customs, duties, and taxes.

DOE Undersecretary Alessandro O. Sales

asr-002857

So, tax-free. Then, i-re-re-export

DOE Undersecretary Alessandro O. Sales

asr-002858

naman yan after project.

DOE Undersecretary Alessandro O. Sales

asr-002859

Pero ngayon,

DOE Undersecretary Alessandro O. Sales

asr-002860

sabi ng DOE sa amin,

DOE Undersecretary Alessandro O. Sales

asr-002861

walang legal basis na DOE

DOE Undersecretary Alessandro O. Sales

asr-002862

ang kakontrata,

DOE Undersecretary Alessandro O. Sales

asr-002863

tax-free and

DOE Undersecretary Alessandro O. Sales

asr-002864

duty-free ang importasyon.

DOE Undersecretary Alessandro O. Sales

asr-002865

So, baka patawang kami ng...

Senator Sherwin "Win" T. Gatchalian

asr-002866

But this is

Senator Sherwin "Win" T. Gatchalian

asr-002867

purely service naman, di ba?

Senator Sherwin "Win" T. Gatchalian

asr-002868

We pay them to do a

Senator Sherwin "Win" T. Gatchalian

asr-002869

service for us.

DOE Undersecretary Alessandro O. Sales

asr-002870

Pero yung physical equipment,

DOE Undersecretary Alessandro O. Sales

asr-002871

importasyon ng aeroplano,

DOE Undersecretary Alessandro O. Sales

asr-002872

may tax and duties yun.

DOE Undersecretary Alessandro O. Sales

asr-002873

Which

DOE Undersecretary Alessandro O. Sales

asr-002874

contractor po natin ang gumawa,

DOE Undersecretary Alessandro O. Sales

asr-002875

under law,

DOE Undersecretary Alessandro O. Sales

asr-002876

exempted sila. Hindi sila magbabayad.

Senator Sherwin "Win" T. Gatchalian

asr-002877

Sige. That's a different

Senator Sherwin "Win" T. Gatchalian

asr-002878

discussion. Pero

Senator Sherwin "Win" T. Gatchalian

asr-002879

meron na ba

Senator Sherwin "Win" T. Gatchalian

asr-002880

tayong na-bid out na service contract

Senator Sherwin "Win" T. Gatchalian

asr-002881

na meron nitong mga

Senator Sherwin "Win" T. Gatchalian

asr-002882

geo...

Senator Sherwin "Win" T. Gatchalian

asr-002883

gradiometer surveys?

Senator Sherwin "Win" T. Gatchalian

asr-002884

Meron na ba tayong... And how's the reception?

Senator Sherwin "Win" T. Gatchalian

asr-002885

Tumaas ba yung

Senator Sherwin "Win" T. Gatchalian

asr-002886

presyo ng service contract?

Senator Sherwin "Win" T. Gatchalian

asr-002887

Bidding to eh. Di ba?

Senator Sherwin "Win" T. Gatchalian

asr-002888

Meron na bang ganyan?

Senator Sherwin "Win" T. Gatchalian

asr-002889

This is the first time

DOE Undersecretary Alessandro O. Sales

asr-002890

nag-acquire yung mga

DOE Undersecretary Alessandro O. Sales

asr-002891

contractor natin dati.

DOE Undersecretary Alessandro O. Sales

asr-002892

So, hawak na nila yung kontrata.

DOE Undersecretary Alessandro O. Sales

asr-002893

They used the technique. Inacquire nila.

Senator Sherwin "Win" T. Gatchalian

asr-002894

Yes, sir. Ibig sabihin itong

Senator Sherwin "Win" T. Gatchalian

asr-002895

studies na ginagawa na natin

Senator Sherwin "Win" T. Gatchalian

asr-002896

na gamit na ba

Senator Sherwin "Win" T. Gatchalian

asr-002897

natin ito in our

Senator Sherwin "Win" T. Gatchalian

asr-002898

auctions? Hindi pa po.

Senator Sherwin "Win" T. Gatchalian

asr-002899

Wala pa. When do we

Senator Sherwin "Win" T. Gatchalian

asr-002900

use that?

Senator Sherwin "Win" T. Gatchalian

asr-002901

When na natin mag-agap?

DOE Undersecretary Alessandro O. Sales

asr-002902

Final na process na. So, the earliest time,

DOE Undersecretary Alessandro O. Sales

asr-002903

itong first set natin,

DOE Undersecretary Alessandro O. Sales

asr-002904

end of first quarter next year.

DOE Undersecretary Alessandro O. Sales

asr-002905

So, available na. Final na yung

DOE Undersecretary Alessandro O. Sales

asr-002906

product. Then we can

DOE Undersecretary Alessandro O. Sales

asr-002907

use that in the...

Senator Sherwin "Win" T. Gatchalian

asr-002908

So, by second quarter next year.

Senator Sherwin "Win" T. Gatchalian

asr-002909

Yes, sir. Makikita na natin yan sa...

Senator Sherwin "Win" T. Gatchalian

asr-002910

Philippine Conventional

Senator Sherwin "Win" T. Gatchalian

asr-002911

Energy Contracting

Senator Sherwin "Win" T. Gatchalian

asr-002912

program natin.

DOE Undersecretary Alessandro O. Sales

asr-002913

Yes, sir.

Senator Sherwin "Win" T. Gatchalian

asr-002913-split-2

Okay.

Senator Sherwin "Win" T. Gatchalian

asr-002914

Alright. And

Senator Sherwin "Win" T. Gatchalian

asr-002915

my other question

Senator Sherwin "Win" T. Gatchalian

asr-002916

to DOE is

Senator Sherwin "Win" T. Gatchalian

asr-002917

the only way we can get

Senator Sherwin "Win" T. Gatchalian

asr-002918

out of this

Senator Sherwin "Win" T. Gatchalian

asr-002919

itong oil shock

Senator Sherwin "Win" T. Gatchalian

asr-002920

na nakikita natin is

Senator Sherwin "Win" T. Gatchalian

asr-002921

promotion of electric vehicles.

Senator Sherwin "Win" T. Gatchalian

asr-002922

And I saw in the news

Senator Sherwin "Win" T. Gatchalian

asr-002923

na nag-allocate ng

Senator Sherwin "Win" T. Gatchalian

asr-002924

amounts to encourage manufacturing

Senator Sherwin "Win" T. Gatchalian

asr-002925

here in

Senator Sherwin "Win" T. Gatchalian

asr-002926

our country, which I support.

Senator Sherwin "Win" T. Gatchalian

asr-002927

So, I want to

Senator Sherwin "Win" T. Gatchalian

asr-002928

understand from DOE,

Senator Sherwin "Win" T. Gatchalian

asr-002929

merong ano na ba ang

Senator Sherwin "Win" T. Gatchalian

asr-002930

strategies natin

Senator Sherwin "Win" T. Gatchalian

asr-002931

to improve the

Senator Sherwin "Win" T. Gatchalian

asr-002932

adoption of electric vehicles?

Senator Sherwin "Win" T. Gatchalian

asr-002933

That's the only way.

Senator Sherwin "Win" T. Gatchalian

asr-002934

If we want to get

Senator Sherwin "Win" T. Gatchalian

asr-002935

out of our addiction

Senator Sherwin "Win" T. Gatchalian

asr-002936

to oil, imported oil, we need to

Senator Sherwin "Win" T. Gatchalian

asr-002937

adopt electric vehicles.

Senator Sherwin "Win" T. Gatchalian

asr-002938

Electric vehicles as quick as possible.

Senator Sherwin "Win" T. Gatchalian

asr-002939

That's the only way. Wala naman ng ibang paraan.

Senator Sherwin "Win" T. Gatchalian

asr-002940

So, I want to understand from DOE,

Senator Sherwin "Win" T. Gatchalian

asr-002941

ano na ba yung mga strategies natin?

Senator Sherwin "Win" T. Gatchalian

asr-002942

And I remember during the

Senator Sherwin "Win" T. Gatchalian

asr-002943

LEDOC, Secretary, you were there.

Senator Sherwin "Win" T. Gatchalian

asr-002944

The President was

Senator Sherwin "Win" T. Gatchalian

asr-002945

going to issue an executive order

Senator Sherwin "Win" T. Gatchalian

asr-002946

to

Senator Sherwin "Win" T. Gatchalian

asr-002947

only allow electric

Senator Sherwin "Win" T. Gatchalian

asr-002948

vehicles for new

Senator Sherwin "Win" T. Gatchalian

asr-002949

purchases of government.

Senator Sherwin "Win" T. Gatchalian

asr-002950

Kumusta na yung

Senator Sherwin "Win" T. Gatchalian

asr-002951

ION na yun? So, that

Senator Sherwin "Win" T. Gatchalian

asr-002952

government itself,

Senator Sherwin "Win" T. Gatchalian

asr-002953

will be mandated to buy

Senator Sherwin "Win" T. Gatchalian

asr-002954

electric vehicles?

DOE Secretary Sharon S. Garin

asr-002955

First off, Madam Chair,

DOE Secretary Sharon S. Garin

asr-002956

transportation

DOE Secretary Sharon S. Garin

asr-002957

uses, is the

DOE Secretary Sharon S. Garin

asr-002958

biggest consumer of

DOE Secretary Sharon S. Garin

asr-002959

petroleum. It's 60%.

DOE Secretary Sharon S. Garin

asr-002960

So, tama yung

DOE Secretary Sharon S. Garin

asr-002961

direction na i-electrify siya.

DOE Secretary Sharon S. Garin

asr-002962

Right now, we have

DOE Secretary Sharon S. Garin

asr-002963

submitted a proposal

DOE Secretary Sharon S. Garin

asr-002964

to the Office of the President for the

DOE Secretary Sharon S. Garin

asr-002965

executive order na

DOE Secretary Sharon S. Garin

asr-002966

future procurement of the

DOE Secretary Sharon S. Garin

asr-002967

national government, except for some of the other things.

DOE Secretary Sharon S. Garin

asr-002968

cases na dapat

DOE Secretary Sharon S. Garin

asr-002969

ano na siya, electric

DOE Secretary Sharon S. Garin

asr-002970

vehicles na siya.

DOE Secretary Sharon S. Garin

asr-002971

There has been an upsurge in the sales of electric vehicles this past, this recent months.

DOE Secretary Sharon S. Garin

asr-002972

And I think if Madam Chair, Director Patrick can further explain what have we been doing and what we plan to do to build this momentum also.

DOE EUMB Director Patrick T. Aquino

asr-002973

Thank you, Madam Chair.

DOE EUMB Director Patrick T. Aquino

asr-002974

In relation to what the Secretary has said, we've been monitoring the increasing number of sales.

DOE EUMB Director Patrick T. Aquino

asr-002975

We ended 2025 with more than 60,000 registered motor vehicles per the DOTR LTO, Land Transportation Office.

DOE EUMB Director Patrick T. Aquino

asr-002976

This time, as of the end of August, we've reached already more than 60,000 electric vehicles by way of sales.

DOE EUMB Director Patrick T. Aquino

asr-002977

This is the combined sales figures coming from the CAMPI as well as EVA.

DOE EUMB Director Patrick T. Aquino

asr-002978

So we expect to end 2026.

DOE EUMB Director Patrick T. Aquino

asr-002979

With more than 100,000 registered electric vehicles.

DOE EUMB Director Patrick T. Aquino

asr-002980

If you're inquiring as to the breakdown of the electric vehicles for sale, the one out of four, around 25% of the 60,000 that has been sold in 2026 is already battery electric vehicles.

DOE EUMB Director Patrick T. Aquino

asr-002981

The next share would be our hybrid electric vehicles, around 31%.

DOE EUMB Director Patrick T. Aquino

asr-002982

And the remaining balance is the hybrid electric vehicles, Mr. Chair.

DOE EUMB Director Patrick T. Aquino

asr-002983

With the permission of the Secretary, we are constantly monitoring the developments right now.

DOE EUMB Director Patrick T. Aquino

asr-002984

We take note of the recent pronouncement on the part of a private shipping company on barring electric vehicles.

Senator Sherwin "Win" T. Gatchalian

asr-002985

I was going to ask that in Montenegro lines.

DOE EUMB Director Patrick T. Aquino

asr-002986

What we'd like to indicate, Mr. Chair, is that we've already coordinated with Marina on the matter.

DOE EUMB Director Patrick T. Aquino

asr-002987

There's an ongoing review at the interagency level to update the rules.

DOE EUMB Director Patrick T. Aquino

asr-002988

And regulations with respect to the transport of electric vehicles.

DOE EUMB Director Patrick T. Aquino

asr-002989

Right now, the existing regulations doesn't specifically prohibit the transport of electric vehicles.

DOE EUMB Director Patrick T. Aquino

asr-002990

It falls within the ambit of hazardous transport materials.

DOE EUMB Director Patrick T. Aquino

asr-002991

So we are now working with Marina for the issuance of specific regulations so that our shipping lines would be properly guided.

DOE EUMB Director Patrick T. Aquino

asr-002992

We also take note of the recent incident, I think, in Quezon City.

DOE EUMB Director Patrick T. Aquino

asr-002993

We're in a townhome.

DOE EUMB Director Patrick T. Aquino

asr-002994

It was possibly been subject to a fire due to an electric scooter.

DOE EUMB Director Patrick T. Aquino

asr-002995

We'd like to take this opportunity to put on record that we are in coordination using the Evida Technical Working Group with the Bureau of Fire Protection.

DOE EUMB Director Patrick T. Aquino

asr-002996

And today, the Bureau of Fire Protection, with DOE participating and other stakeholders, is presently updating the fire code implementing rules and guidelines

DOE EUMB Director Patrick T. Aquino

asr-002997

so that our fire protection personnel will also be able to reach the airport.

DOE EUMB Director Patrick T. Aquino

asr-002998

be appropriately guided for

DOE EUMB Director Patrick T. Aquino

asr-002999

those instances, Mr. Chair.

DOE EUMB Director Patrick T. Aquino

asr-003000

And then for the manufacturing,

DOE EUMB Director Patrick T. Aquino

asr-003001

we take note that

DOE EUMB Director Patrick T. Aquino

asr-003002

the President about a month ago

DOE EUMB Director Patrick T. Aquino

asr-003003

issued the Electric Vehicle

DOE EUMB Director Patrick T. Aquino

asr-003004

Incentive Strategy under Executive

DOE EUMB Director Patrick T. Aquino

asr-003005

Order 121.

DOE EUMB Director Patrick T. Aquino

asr-003006

The DOE is a member

DOE EUMB Director Patrick T. Aquino

asr-003007

of the Interagency Committee

DOE EUMB Director Patrick T. Aquino

asr-003008

under that, and we are

DOE EUMB Director Patrick T. Aquino

asr-003009

poised to convene with the designation

DOE EUMB Director Patrick T. Aquino

asr-003010

of the other agency heads

DOE EUMB Director Patrick T. Aquino

asr-003011

for that, Mr. Chair. We expect

DOE EUMB Director Patrick T. Aquino

asr-003012

that if the EVIS

DOE EUMB Director Patrick T. Aquino

asr-003013

is implemented in the

DOE EUMB Director Patrick T. Aquino

asr-003014

next two years, maximum

DOE EUMB Director Patrick T. Aquino

asr-003015

assistance for

DOE EUMB Director Patrick T. Aquino

asr-003016

end users, if it's

DOE EUMB Director Patrick T. Aquino

asr-003017

passed on to end users, will be up to

DOE EUMB Director Patrick T. Aquino

asr-003018

200,000 for locally

DOE EUMB Director Patrick T. Aquino

asr-003019

manufactured electric vehicles

DOE EUMB Director Patrick T. Aquino

asr-003020

in the country. The program

DOE EUMB Director Patrick T. Aquino

asr-003021

is good for three

DOE EUMB Director Patrick T. Aquino

asr-003022

companies, a maximum of two

DOE EUMB Director Patrick T. Aquino

asr-003023

models each.

DOE EUMB Director Patrick T. Aquino

asr-003024

With your permission,

DOE EUMB Director Patrick T. Aquino

asr-003025

I think you can inquire with the Board of

DOE EUMB Director Patrick T. Aquino

asr-003026

Investments being the lead agency,

DOE EUMB Director Patrick T. Aquino

asr-003027

but they have already

DOE EUMB Director Patrick T. Aquino

asr-003028

signified that at least one

DOE EUMB Director Patrick T. Aquino

asr-003029

car manufacturer is

DOE EUMB Director Patrick T. Aquino

asr-003030

interested in availing one or more

DOE EUMB Director Patrick T. Aquino

asr-003031

of the models for the EV

DOE EUMB Director Patrick T. Aquino

asr-003032

Incentive Strategy, Mr. Chair.

Senator Sherwin "Win" T. Gatchalian

asr-003033

Just two more questions,

Senator Sherwin "Win" T. Gatchalian

asr-003034

Director Patrick.

Senator Pia S. Cayetano

asr-003035

Yes, please. Before you leave the

Senator Pia S. Cayetano

asr-003036

topic on EVs, I don't know

Senator Pia S. Cayetano

asr-003037

if I missed it.

Senator Pia S. Cayetano

asr-003038

Did you mention anything

Senator Pia S. Cayetano

asr-003039

specifically on PUVs

Senator Pia S. Cayetano

asr-003040

or EVs lang in general?

DOE EUMB Director Patrick T. Aquino

asr-003041

Madam Chair,

DOE EUMB Director Patrick T. Aquino

asr-003042

for the PUV,

DOE EUMB Director Patrick T. Aquino

asr-003043

there is an ongoing updating

DOE EUMB Director Patrick T. Aquino

asr-003044

of the

DOE EUMB Director Patrick T. Aquino

asr-003045

plan from the

DOE EUMB Director Patrick T. Aquino

asr-003046

DOTR, the program, so that

DOE EUMB Director Patrick T. Aquino

asr-003047

the incentives provided

DOE EUMB Director Patrick T. Aquino

asr-003048

for the

DOE EUMB Director Patrick T. Aquino

asr-003049

modernization matches

DOE EUMB Director Patrick T. Aquino

asr-003050

the cost for public transport.

DOE EUMB Director Patrick T. Aquino

asr-003051

We also take note, based on

DOE EUMB Director Patrick T. Aquino

asr-003052

the monitoring, that

DOE EUMB Director Patrick T. Aquino

asr-003053

recently the Land Transportation

DOE EUMB Director Patrick T. Aquino

asr-003054

Franchising Regulatory Board,

DOE EUMB Director Patrick T. Aquino

asr-003055

LTFRB, issued

DOE EUMB Director Patrick T. Aquino

asr-003056

a call

DOE EUMB Director Patrick T. Aquino

asr-003057

for

DOE EUMB Director Patrick T. Aquino

asr-003058

7,000 to 8,000 franchises

DOE EUMB Director Patrick T. Aquino

asr-003059

exclusively for electric

DOE EUMB Director Patrick T. Aquino

asr-003060

vehicles in compliance with

DOE EUMB Director Patrick T. Aquino

asr-003061

the EVIDA itself that says

DOE EUMB Director Patrick T. Aquino

asr-003062

to provide preferential

DOE EUMB Director Patrick T. Aquino

asr-003063

licensing for electric

DOE EUMB Director Patrick T. Aquino

asr-003064

vehicles, Madam Chair.

Senator Pia S. Cayetano

asr-003065

So the lead agency is DOTR?

DOE EUMB Director Patrick T. Aquino

asr-003066

Madam Chair, for the

DOE EUMB Director Patrick T. Aquino

asr-003067

franchising, yes, but

DOE EUMB Director Patrick T. Aquino

asr-003068

for the EVIDA itself, it's

DOE EUMB Director Patrick T. Aquino

asr-003069

DOE. That's why we're able to report on this.

Senator Pia S. Cayetano

asr-003070

Thank you.

Senator Pia S. Cayetano

asr-003071

Yeah, and it's very thorough. Thank you for that.

Senator Pia S. Cayetano

asr-003072

I just want to

Senator Pia S. Cayetano

asr-003073

mention,

Senator Pia S. Cayetano

asr-003074

to you, and

Senator Pia S. Cayetano

asr-003075

I might have taken this up with

Senator Pia S. Cayetano

asr-003076

DOTR and not here, so

Senator Pia S. Cayetano

asr-003077

just remind me, Secretary Garin, if you've

Senator Pia S. Cayetano

asr-003078

heard me talk about this, but

Senator Pia S. Cayetano

asr-003079

this is

Senator Pia S. Cayetano

asr-003080

my other hat as a

Senator Pia S. Cayetano

asr-003081

former, ah, former

Senator Pia S. Cayetano

asr-003082

ba ko? Am I still the culture

Senator Pia S. Cayetano

asr-003083

and arts? Am I? No, I'm not. I'm former.

Senator Pia S. Cayetano

asr-003084

...

Senator Pia S. Cayetano

asr-003085

Okay, so I am handling the budget

Senator Pia S. Cayetano

asr-003086

of culture and arts. Di ko na maalala kung ano.

Senator Pia S. Cayetano

asr-003087

I wanted to ensure, and I've

Senator Pia S. Cayetano

asr-003088

discussed it in the past, that yung

Senator Pia S. Cayetano

asr-003089

jeepneys are a very colorful,

Senator Pia S. Cayetano

asr-003090

meaningful, vibrant

Senator Pia S. Cayetano

asr-003091

part of our

Senator Pia S. Cayetano

asr-003092

heritage and culture.

Senator Pia S. Cayetano

asr-003093

So when we, even before

Senator Pia S. Cayetano

asr-003094

talks of EV, yung mga modern,

Senator Pia S. Cayetano

asr-003095

wala na, hindi na inaabala,

Senator Pia S. Cayetano

asr-003096

nalagyan ng mga, ano,

Senator Pia S. Cayetano

asr-003097

ng mga artwork, yung mga

Senator Pia S. Cayetano

asr-003098

yung kapalit ng,

Senator Pia S. Cayetano

asr-003099

in fact, kahit yung ibang jeep nga, parang

Senator Pia S. Cayetano

asr-003100

stainless lang, pangit-pangit, and

Senator Pia S. Cayetano

asr-003101

there's enough evidence that tells us,

Senator Pia S. Cayetano

asr-003102

that when we see beautiful things, it makes us

Senator Pia S. Cayetano

asr-003103

happy. So nastuck ka na nga sa traffic,

Senator Pia S. Cayetano

asr-003104

lumanghap ka na nga sa katutak na

Senator Pia S. Cayetano

asr-003105

usok, at least may makita kang magagandang

Senator Pia S. Cayetano

asr-003106

kulay, di ba? So

Senator Pia S. Cayetano

asr-003107

can you make sure that's part of the

Senator Pia S. Cayetano

asr-003108

agenda? Because, and then

Senator Pia S. Cayetano

asr-003109

we'll employ local artists, so on

Senator Pia S. Cayetano

asr-003110

and so forth. Second point,

Senator Pia S. Cayetano

asr-003111

I read an article recently

Senator Pia S. Cayetano

asr-003112

that

Senator Pia S. Cayetano

asr-003113

there's a

Senator Pia S. Cayetano

asr-003114

jeepney manufacturer,

Senator Pia S. Cayetano

asr-003115

there's just a few in the country, no?

Senator Pia S. Cayetano

asr-003116

But not them pa nga.

Senator Pia S. Cayetano

asr-003117

The one I'm more familiar with, kasi it really

Senator Pia S. Cayetano

asr-003118

died na, is

Senator Pia S. Cayetano

asr-003119

a town in Cavite, na

Senator Pia S. Cayetano

asr-003120

known talaga. Like, it

Senator Pia S. Cayetano

asr-003121

was so inspiring,

Senator Pia S. Cayetano

asr-003122

President, kasi, I don't know if it

Senator Pia S. Cayetano

asr-003123

was 30, 50 years ago, like

Senator Pia S. Cayetano

asr-003124

the whole town was involved from

Senator Pia S. Cayetano

asr-003125

the, from those who can

Senator Pia S. Cayetano

asr-003126

have the funding to invest in the

Senator Pia S. Cayetano

asr-003127

manufacture to the specialization on

Senator Pia S. Cayetano

asr-003128

the machine and everything. They produced

Senator Pia S. Cayetano

asr-003129

jeepneys, tapos unti-unti nang namatay.

Senator Pia S. Cayetano

asr-003130

So it would be a great way,

Senator Pia S. Cayetano

asr-003131

you know, I think we have to, I'll

Senator Pia S. Cayetano

asr-003132

be happy to initiate talks

Senator Pia S. Cayetano

asr-003133

with DTI, pero I'm just

Senator Pia S. Cayetano

asr-003134

parking it with you. I'll tell you the name of the town later

Senator Pia S. Cayetano

asr-003135

kasi best friend ng son ko

Senator Pia S. Cayetano

asr-003136

dun, taga doon sa town na yan.

Senator Pia S. Cayetano

asr-003137

Na buhayin naman natin yung

Senator Pia S. Cayetano

asr-003138

industry na yun, diba? Kasi

Senator Pia S. Cayetano

asr-003139

the only, I mean the, what do you

Senator Pia S. Cayetano

asr-003140

call it, the hard shell of the

Senator Pia S. Cayetano

asr-003141

vehicle shouldn't really change,

Senator Pia S. Cayetano

asr-003142

right? And so anyway, I'm

Senator Pia S. Cayetano

asr-003143

just parking that because

Senator Pia S. Cayetano

asr-003144

these small economies,

Senator Pia S. Cayetano

asr-003145

you know, rely on our

Senator Pia S. Cayetano

asr-003146

vision to thrive. And in

Senator Pia S. Cayetano

asr-003147

this case, namatay na, buhayin natin ulit

Senator Pia S. Cayetano

asr-003148

in the same way na binubuhayin nyo yung geothermal,

Senator Pia S. Cayetano

asr-003149

yung natural gas,

Senator Pia S. Cayetano

asr-003150

dibuhayin din natin yung industry

Senator Pia S. Cayetano

asr-003151

na to. So yun lang.

DOE Secretary Sharon S. Garin

asr-003152

Yes, Madam Chair.

DOE Secretary Sharon S. Garin

asr-003153

For example,

DOE Secretary Sharon S. Garin

asr-003154

DOST is developing

DOE Secretary Sharon S. Garin

asr-003155

a technology na pwede nilang

DOE Secretary Sharon S. Garin

asr-003156

how do you call that?

DOE Secretary Sharon S. Garin

asr-003157

I-retrofit

DOE Secretary Sharon S. Garin

asr-003158

yung mga tricycle natin

DOE Secretary Sharon S. Garin

asr-003159

into electric.

DOE Secretary Sharon S. Garin

asr-003160

DOST is developing

DOE Secretary Sharon S. Garin

asr-003161

a technology na may kit sila,

DOE Secretary Sharon S. Garin

asr-003162

may i-retrofit mo yung tricycle mo

DOE Secretary Sharon S. Garin

asr-003163

into electric without changing the

DOE Secretary Sharon S. Garin

asr-003164

whole image.

DOE Secretary Sharon S. Garin

asr-003165

We'll coordinate with DOST and maybe

DOE Secretary Sharon S. Garin

asr-003166

developing it for jeepneys also.

Senator Pia S. Cayetano

asr-003167

My senior staff is reminding me,

Senator Pia S. Cayetano

asr-003168

yes, exactly, that was my amendment pala.

Senator Pia S. Cayetano

asr-003169

So I was, I

Senator Pia S. Cayetano

asr-003170

I'm trying to recall because

Senator Pia S. Cayetano

asr-003171

when I remember doing the amendment, then I

Senator Pia S. Cayetano

asr-003172

park it with the agencies, remind them of

Senator Pia S. Cayetano

asr-003173

it, and yan, binubuhay ko lang.

Senator Pia S. Cayetano

asr-003174

Naalala mo pa kaysa sa akin. Yes,

Senator Pia S. Cayetano

asr-003175

thank you. So nasa batas yan, required

Senator Pia S. Cayetano

asr-003176

yan. And the

Senator Pia S. Cayetano

asr-003177

agency to coordinate with is NCCA

Senator Pia S. Cayetano

asr-003178

kasi sila naman yung expert, hindi naman ako.

Senator Pia S. Cayetano

asr-003179

Thank you. Thank you. Go ahead,

Senator Sherwin "Win" T. Gatchalian

asr-003180

SP. Thank you,

Senator Sherwin "Win" T. Gatchalian

asr-003181

Chairperson

Senator Sherwin "Win" T. Gatchalian

asr-003182

Pia. Two things

Senator Sherwin "Win" T. Gatchalian

asr-003183

lang, Director

Senator Sherwin "Win" T. Gatchalian

asr-003184

Patrick. Itong

Senator Sherwin "Win" T. Gatchalian

asr-003185

itong nangyari

Senator Sherwin "Win" T. Gatchalian

asr-003186

sa Montenegro lines, isolated

Senator Sherwin "Win" T. Gatchalian

asr-003187

case to. It's a policy

Senator Sherwin "Win" T. Gatchalian

asr-003188

na bawal ang EV sa mga

Senator Sherwin "Win" T. Gatchalian

asr-003189

RORO. Kasi we're, our

Senator Sherwin "Win" T. Gatchalian

asr-003190

nation eh. Lahat dito

Senator Sherwin "Win" T. Gatchalian

asr-003191

gumagamit ng RORO, lalo na sa

Senator Sherwin "Win" T. Gatchalian

asr-003192

probinsya. E kung pagbabawalan

Senator Sherwin "Win" T. Gatchalian

asr-003193

ng EV, disincentive

Senator Sherwin "Win" T. Gatchalian

asr-003194

yun sa mga bibili sa

Senator Sherwin "Win" T. Gatchalian

asr-003195

probinsya. Is this an isolated case?

Senator Sherwin "Win" T. Gatchalian

asr-003196

May policy ba ang

Senator Sherwin "Win" T. Gatchalian

asr-003197

Marina sa ganyan?

DOE EUMB Director Patrick T. Aquino

asr-003198

Mr. Chair, as I mentioned,

DOE EUMB Director Patrick T. Aquino

asr-003199

the guidelines

DOE EUMB Director Patrick T. Aquino

asr-003200

right now of Marina doesn't have specific

DOE EUMB Director Patrick T. Aquino

asr-003201

rules for electric

DOE EUMB Director Patrick T. Aquino

asr-003202

vehicles. That's why we're

DOE EUMB Director Patrick T. Aquino

asr-003203

coordinating with them to come out

DOE EUMB Director Patrick T. Aquino

asr-003204

with a new guidance specifically

DOE EUMB Director Patrick T. Aquino

asr-003205

to address this concern.

DOE EUMB Director Patrick T. Aquino

asr-003206

Incidentally, Mr. Chair,

DOE EUMB Director Patrick T. Aquino

asr-003207

Madam Chair, this is not the first instance

DOE EUMB Director Patrick T. Aquino

asr-003208

wherein a shipping line has issued

DOE EUMB Director Patrick T. Aquino

asr-003209

something similar.

DOE EUMB Director Patrick T. Aquino

asr-003210

We saw this happen about a year

DOE EUMB Director Patrick T. Aquino

asr-003211

ago with another

DOE EUMB Director Patrick T. Aquino

asr-003212

shipping line as a knee-jerk

DOE EUMB Director Patrick T. Aquino

asr-003213

reaction whenever there is a fire.

DOE EUMB Director Patrick T. Aquino

asr-003214

I think the fire being referred

DOE EUMB Director Patrick T. Aquino

asr-003215

to here, Mr. Chair, for the

DOE EUMB Director Patrick T. Aquino

asr-003216

record is the one that happened

DOE EUMB Director Patrick T. Aquino

asr-003217

in Coron, but that is not

DOE EUMB Director Patrick T. Aquino

asr-003218

a vessel owned by Montenegro.

DOE EUMB Director Patrick T. Aquino

asr-003219

Based on our coordination,

DOE EUMB Director Patrick T. Aquino

asr-003220

the investigation is still ongoing.

DOE EUMB Director Patrick T. Aquino

asr-003221

What is factual

DOE EUMB Director Patrick T. Aquino

asr-003222

in that instance

DOE EUMB Director Patrick T. Aquino

asr-003223

for the committee and for the rest of the appreciation

DOE EUMB Director Patrick T. Aquino

asr-003224

is that there was an electric

DOE EUMB Director Patrick T. Aquino

asr-003225

vehicle in the vessel

DOE EUMB Director Patrick T. Aquino

asr-003226

in Coron, but there were also

DOE EUMB Director Patrick T. Aquino

asr-003227

internal combustion engines.

DOE EUMB Director Patrick T. Aquino

asr-003228

That's why there is no finding yet

DOE EUMB Director Patrick T. Aquino

asr-003229

that the fire

DOE EUMB Director Patrick T. Aquino

asr-003230

was caused by the electric vehicle.

DOE EUMB Director Patrick T. Aquino

asr-003231

But in any event, Mr. Chair,

DOE EUMB Director Patrick T. Aquino

asr-003232

the DOE, through the

DOE EUMB Director Patrick T. Aquino

asr-003233

EVIDA Technical Working Group, is coordinating

DOE EUMB Director Patrick T. Aquino

asr-003234

with Marina and the Bureau of Fire Protection.

DOE EUMB Director Patrick T. Aquino

asr-003235

To come out with updated guidance

DOE EUMB Director Patrick T. Aquino

asr-003236

so that all of our

DOE EUMB Director Patrick T. Aquino

asr-003237

government is aware on how to proceed

DOE EUMB Director Patrick T. Aquino

asr-003238

on this.

Senator Sherwin "Win" T. Gatchalian

asr-003239

Thank you for that. Itong binabasa ko yung Montenegro lines.

Senator Sherwin "Win" T. Gatchalian

asr-003240

Wherein the

Senator Sherwin "Win" T. Gatchalian

asr-003241

initial investigation indicates

Senator Sherwin "Win" T. Gatchalian

asr-003242

that the explosion might have

Senator Sherwin "Win" T. Gatchalian

asr-003243

originated, may have originated

Senator Sherwin "Win" T. Gatchalian

asr-003244

from an electric vehicle.

Senator Sherwin "Win" T. Gatchalian

asr-003245

So I think yun yung, yun ba

Senator Sherwin "Win" T. Gatchalian

asr-003246

ang initial investigation? Parang yun ang

DOE EUMB Director Patrick T. Aquino

asr-003247

That's based on

DOE EUMB Director Patrick T. Aquino

asr-003248

our coordination, Mr. Chair.

DOE EUMB Director Patrick T. Aquino

asr-003249

Is that, what is an established

DOE EUMB Director Patrick T. Aquino

asr-003250

fact is there was an electric vehicle

DOE EUMB Director Patrick T. Aquino

asr-003251

but that particular

DOE EUMB Director Patrick T. Aquino

asr-003252

portion has not yet come out

DOE EUMB Director Patrick T. Aquino

asr-003253

in any official government

DOE EUMB Director Patrick T. Aquino

asr-003254

investigation. So it's a, I think

DOE EUMB Director Patrick T. Aquino

asr-003255

a proactive approach of Montenegro

DOE EUMB Director Patrick T. Aquino

asr-003256

for their vessel safety and

Senator Sherwin "Win" T. Gatchalian

asr-003257

the riding. Well, hindi natin pwede

Senator Sherwin "Win" T. Gatchalian

asr-003258

isalang-alang yung safety

Senator Sherwin "Win" T. Gatchalian

asr-003259

ng mga pasahero. That's number one.

Senator Sherwin "Win" T. Gatchalian

asr-003260

But it's important to get

Senator Sherwin "Win" T. Gatchalian

asr-003261

clarity

Senator Sherwin "Win" T. Gatchalian

asr-003262

dahil nga

Senator Sherwin "Win" T. Gatchalian

asr-003263

iniisip ko buong,

Senator Sherwin "Win" T. Gatchalian

asr-003264

sa Cebu, Panay Island,

Senator Sherwin "Win" T. Gatchalian

asr-003265

lahat yan puro ro-ro eh.

Senator Sherwin "Win" T. Gatchalian

asr-003266

Buhol. It will be a

Senator Sherwin "Win" T. Gatchalian

asr-003267

disincentive to many buyers kung

Senator Sherwin "Win" T. Gatchalian

asr-003268

hindi sila papayagan.

Senator Sherwin "Win" T. Gatchalian

asr-003269

So ano lang, let's

Senator Sherwin "Win" T. Gatchalian

asr-003270

clear the

Senator Sherwin "Win" T. Gatchalian

asr-003271

investigation.

DOE EUMB Director Patrick T. Aquino

asr-003272

Copy po, Mr. Chair.

Senator Sherwin "Win" T. Gatchalian

asr-003273

My second is the charging stations.

Senator Sherwin "Win" T. Gatchalian

asr-003274

Dahil under the law,

Senator Sherwin "Win" T. Gatchalian

asr-003275

hindi talaga binigyan

Senator Sherwin "Win" T. Gatchalian

asr-003276

ng timetable yung rollout ng

Senator Sherwin "Win" T. Gatchalian

asr-003277

charging station. You know this, Director.

Senator Sherwin "Win" T. Gatchalian

asr-003278

We gave the power to the DOE.

Senator Sherwin "Win" T. Gatchalian

asr-003279

At marami na akong nakukuhang

Senator Sherwin "Win" T. Gatchalian

asr-003280

mga comments sa mga

Senator Sherwin "Win" T. Gatchalian

asr-003281

electric vehicle

Senator Sherwin "Win" T. Gatchalian

asr-003282

owners na yung

Senator Sherwin "Win" T. Gatchalian

asr-003283

condominium nila kulang ng

Senator Sherwin "Win" T. Gatchalian

asr-003284

charging station. Sa mall,

Senator Sherwin "Win" T. Gatchalian

asr-003285

kulang ng charging stations.

Senator Sherwin "Win" T. Gatchalian

asr-003286

The reason

Senator Sherwin "Win" T. Gatchalian

asr-003287

why we gave the DOE that power

Senator Sherwin "Win" T. Gatchalian

asr-003288

because we don't know how fast,

Senator Sherwin "Win" T. Gatchalian

asr-003289

how slow the adoption will

Senator Sherwin "Win" T. Gatchalian

asr-003290

be. Depending yan on

Senator Sherwin "Win" T. Gatchalian

asr-003291

the situation and many things.

Senator Sherwin "Win" T. Gatchalian

asr-003292

So we didn't put in

Senator Sherwin "Win" T. Gatchalian

asr-003293

the law the rollout of the

Senator Sherwin "Win" T. Gatchalian

asr-003294

charging station. We gave that power to

Senator Sherwin "Win" T. Gatchalian

asr-003295

the DOE. But right now, wala pa tayong

Senator Sherwin "Win" T. Gatchalian

asr-003296

ganun na circular.

Senator Sherwin "Win" T. Gatchalian

asr-003297

But now, I think we're in a point

Senator Sherwin "Win" T. Gatchalian

asr-003298

right now that people are looking for charging stations.

Senator Sherwin "Win" T. Gatchalian

asr-003299

And we can mandate

Senator Sherwin "Win" T. Gatchalian

asr-003300

under the law, DOE can mandate

Senator Sherwin "Win" T. Gatchalian

asr-003301

the installation of charging stations.

DOE Secretary Sharon S. Garin

asr-003302

After the circular is

DOE Secretary Sharon S. Garin

asr-003303

just

DOE Secretary Sharon S. Garin

asr-003304

about to be released,

DOE Secretary Sharon S. Garin

asr-003305

we just need to consider some

DOE Secretary Sharon S. Garin

asr-003306

comments lang because some

DOE Secretary Sharon S. Garin

asr-003307

of the commercial,

DOE Secretary Sharon S. Garin

asr-003308

commercial establishments need

DOE Secretary Sharon S. Garin

asr-003309

a little more grace period

DOE Secretary Sharon S. Garin

asr-003310

because of the cost of

DOE Secretary Sharon S. Garin

asr-003311

installing it also. So that's

DOE Secretary Sharon S. Garin

asr-003312

just the only part that we're considering.

DOE Secretary Sharon S. Garin

asr-003313

But the rest on the condominiums

DOE Secretary Sharon S. Garin

asr-003314

and all the other establishments,

DOE Secretary Sharon S. Garin

asr-003315

okay na siya. A few more months.

Senator Sherwin "Win" T. Gatchalian

asr-003316

A few more days.

Senator Sherwin "Win" T. Gatchalian

asr-003317

Let's follow up

Senator Sherwin "Win" T. Gatchalian

asr-003318

ko lang yung circular na yan.

Senator Sherwin "Win" T. Gatchalian

asr-003319

Again, I talked to

Senator Sherwin "Win" T. Gatchalian

asr-003320

the industry and

Senator Sherwin "Win" T. Gatchalian

asr-003321

meron na tayo kasing momentum.

Senator Sherwin "Win" T. Gatchalian

asr-003322

So ang hesitating

Senator Sherwin "Win" T. Gatchalian

asr-003323

na lang nung further

Senator Sherwin "Win" T. Gatchalian

asr-003324

momentum is the charging station.

Senator Sherwin "Win" T. Gatchalian

asr-003325

Kasi pila-pila raw sa

Senator Sherwin "Win" T. Gatchalian

asr-003326

kondo nila dahil iisa lang. So

Senator Sherwin "Win" T. Gatchalian

asr-003327

I think it's about time to

Senator Sherwin "Win" T. Gatchalian

asr-003328

already use that power so that

Senator Sherwin "Win" T. Gatchalian

asr-003329

establishments can

Senator Sherwin "Win" T. Gatchalian

asr-003330

be mandated.

Senator Sherwin "Win" T. Gatchalian

asr-003331

Also my condominium

DOE EUMB Director Patrick T. Aquino

asr-003332

doesn't.

DOE EUMB Director Patrick T. Aquino

asr-003333

With the permission po of the secretary,

DOE EUMB Director Patrick T. Aquino

asr-003334

I'll just state the figures po.

DOE EUMB Director Patrick T. Aquino

asr-003335

We now have

DOE EUMB Director Patrick T. Aquino

asr-003336

1,926 EV charging points

DOE EUMB Director Patrick T. Aquino

asr-003337

as of today.

Senator Sherwin "Win" T. Gatchalian

asr-003338

And our

DOE EUMB Director Patrick T. Aquino

asr-003339

target is

DOE EUMB Director Patrick T. Aquino

asr-003340

7,000 before

DOE EUMB Director Patrick T. Aquino

asr-003341

2028. So we're almost 25%

DOE EUMB Director Patrick T. Aquino

asr-003342

of the way there.

DOE EUMB Director Patrick T. Aquino

asr-003343

We expect with the issuance

DOE EUMB Director Patrick T. Aquino

asr-003344

of the joint memorandum circular

DOE EUMB Director Patrick T. Aquino

asr-003345

with DILG, ARTA,

DOE EUMB Director Patrick T. Aquino

asr-003346

DPWH and DOE

DOE EUMB Director Patrick T. Aquino

asr-003347

on the streamline permitting

DOE EUMB Director Patrick T. Aquino

asr-003348

and operation

DOE EUMB Director Patrick T. Aquino

asr-003349

for the electric vehicle charging station,

DOE EUMB Director Patrick T. Aquino

asr-003350

mas bibilis po yung

DOE EUMB Director Patrick T. Aquino

asr-003351

pag-rollout ng charging station,

DOE EUMB Director Patrick T. Aquino

asr-003352

Madam Chair.

DOE EUMB Director Patrick T. Aquino

asr-003353

Madam Chair,

DOE Secretary Sharon S. Garin

asr-003354

we're

DOE Secretary Sharon S. Garin

asr-003355

we're doing several things just to build

DOE Secretary Sharon S. Garin

asr-003356

on the momentum.

DOE Secretary Sharon S. Garin

asr-003357

We're doing, we plan to have

DOE Secretary Sharon S. Garin

asr-003358

CARAB

DOE Secretary Sharon S. Garin

asr-003359

funds for the EVs, and we're

DOE Secretary Sharon S. Garin

asr-003360

rolling out more

DOE Secretary Sharon S. Garin

asr-003361

government-funded

DOE Secretary Sharon S. Garin

asr-003362

charging stations, especially on

DOE Secretary Sharon S. Garin

asr-003363

SLEX and NLEX areas.

DOE Secretary Sharon S. Garin

asr-003364

We're allotting

DOE Secretary Sharon S. Garin

asr-003365

more funding for that from the

DOE Secretary Sharon S. Garin

asr-003366

DOE budget.

DOE Secretary Sharon S. Garin

asr-003367

And then also, we

DOE Secretary Sharon S. Garin

asr-003368

are trying to, we are entering

DOE Secretary Sharon S. Garin

asr-003369

into agreements with the LGUs

DOE Secretary Sharon S. Garin

asr-003370

because, for example, in

DOE Secretary Sharon S. Garin

asr-003371

Bataan, they had an

DOE Secretary Sharon S. Garin

asr-003372

exclusive agreement

DOE Secretary Sharon S. Garin

asr-003373

with one company, and the company will

DOE Secretary Sharon S. Garin

asr-003374

be the one putting up the

DOE Secretary Sharon S. Garin

asr-003375

charging stations, but at the same time,

DOE Secretary Sharon S. Garin

asr-003376

they procure their vehicles.

DOE Secretary Sharon S. Garin

asr-003377

But it works like that, and we're trying to find

DOE Secretary Sharon S. Garin

asr-003378

more LGUs that will be willing,

DOE Secretary Sharon S. Garin

asr-003379

especially here in Metro Manila.

DOE Secretary Sharon S. Garin

asr-003380

So, we're pushing and pushing

DOE Secretary Sharon S. Garin

asr-003381

because

DOE Secretary Sharon S. Garin

asr-003382

it's difficult to say at what

DOE Secretary Sharon S. Garin

asr-003383

point, how many

DOE Secretary Sharon S. Garin

asr-003384

charging stations do you need

DOE Secretary Sharon S. Garin

asr-003385

to have? Because

DOE Secretary Sharon S. Garin

asr-003386

in some areas, they charge at home.

DOE Secretary Sharon S. Garin

asr-003387

They don't need

DOE Secretary Sharon S. Garin

asr-003388

charging stations.

DOE Secretary Sharon S. Garin

asr-003389

We're just pushing lang sa mga highways

DOE Secretary Sharon S. Garin

asr-003390

lang muna, yung mga major

DOE Secretary Sharon S. Garin

asr-003391

thoroughfares, para they won't

DOE Secretary Sharon S. Garin

asr-003392

fear traveling to Baguio or going

DOE Secretary Sharon S. Garin

asr-003393

to Batangas.

DOE Secretary Sharon S. Garin

asr-003394

But I think

DOE Secretary Sharon S. Garin

asr-003395

at a certain point, it

DOE Secretary Sharon S. Garin

asr-003396

will be organically the,

DOE Secretary Sharon S. Garin

asr-003397

also the private stakeholders that

DOE Secretary Sharon S. Garin

asr-003398

will put it up.

Senator Sherwin "Win" T. Gatchalian

asr-003399

Well, yun na lang ang kulang,

Senator Sherwin "Win" T. Gatchalian

asr-003400

that circular. Ako, I believe

Senator Sherwin "Win" T. Gatchalian

asr-003401

once you release that circular,

Senator Sherwin "Win" T. Gatchalian

asr-003402

magkakaroon ng mas marami

Senator Sherwin "Win" T. Gatchalian

asr-003403

ng charging stations sa mga

Senator Sherwin "Win" T. Gatchalian

asr-003404

bahay, building, mall,

Senator Sherwin "Win" T. Gatchalian

asr-003405

offices, and that will encourage

Senator Sherwin "Win" T. Gatchalian

asr-003406

further adoption

Senator Sherwin "Win" T. Gatchalian

asr-003407

of electric vehicles.

Senator Sherwin "Win" T. Gatchalian

asr-003408

Thank you.

Senator Sherwin "Win" T. Gatchalian

asr-003409

Thank you, Secretary.

Senator Sherwin "Win" T. Gatchalian

asr-003410

I'll wait for my second round.

Senator Sherwin "Win" T. Gatchalian

asr-003411

Chairperson,

Senator Sherwin "Win" T. Gatchalian

asr-003412

makinig muna ako

Senator Sherwin "Win" T. Gatchalian

asr-003413

sa iyo.

Senator Pia S. Cayetano

asr-003414

Ganito din eh.

Senator Pia S. Cayetano

asr-003415

Okay na ako sa madaling salita.

Senator Pia S. Cayetano

asr-003416

Okay na ako.

Senator Pia S. Cayetano

asr-003417

Kuklosing lang ako. Pagtapos ka na.

Senator Sherwin "Win" T. Gatchalian

asr-003418

Sige, tuloy ko na,

Senator Sherwin "Win" T. Gatchalian

asr-003419

Chairperson.

Senator Pia S. Cayetano

asr-003420

I just had a question.

Senator Pia S. Cayetano

asr-003421

Follow up lang ako sa inyo.

Senator Pia S. Cayetano

asr-003422

Do we have

Senator Pia S. Cayetano

asr-003423

the numbers

Senator Pia S. Cayetano

asr-003424

of

Senator Pia S. Cayetano

asr-003425

during, ever since the crisis started,

Senator Pia S. Cayetano

asr-003426

do we know

Senator Pia S. Cayetano

asr-003427

how much fuel

Senator Pia S. Cayetano

asr-003428

we have saved

Senator Pia S. Cayetano

asr-003429

by virtue of those who are

Senator Pia S. Cayetano

asr-003430

using EVs, whether high

Senator Pia S. Cayetano

asr-003431

hybrid or not? If we do, it would be great.

Senator Pia S. Cayetano

asr-003432

If not, maybe you can find it. Because

Senator Pia S. Cayetano

asr-003433

you know, it's numbers that

Senator Pia S. Cayetano

asr-003434

support

Senator Pia S. Cayetano

asr-003435

this more sustainable lifestyle.

Senator Pia S. Cayetano

asr-003436

Do you have it?

DOE Secretary Sharon S. Garin

asr-003437

We'll generate.

Senator Pia S. Cayetano

asr-003438

You can estimate that naman, diba?

Senator Pia S. Cayetano

asr-003439

Kasi I was also asking my staff ito.

Senator Pia S. Cayetano

asr-003440

Ito yung tanong ko at ito yung sagot.

Senator Pia S. Cayetano

asr-003441

So, a hybrid car

Senator Pia S. Cayetano

asr-003442

typically cuts consumption by

Senator Pia S. Cayetano

asr-003443

35,000 pesos.

Senator Pia S. Cayetano

asr-003444

Tama ba?

Senator Pia S. Cayetano

asr-003445

35,000 pesos.

Senator Pia S. Cayetano

asr-003446

35,000 to 45,000 per year.

Senator Pia S. Cayetano

asr-003447

So, that's basically 3,000 to 4,000

Senator Pia S. Cayetano

asr-003448

pesos a month. And that's big

Senator Pia S. Cayetano

asr-003449

for a family or for

Senator Pia S. Cayetano

asr-003450

an individual. So,

Senator Pia S. Cayetano

asr-003451

with that in mind, on an individual

Senator Pia S. Cayetano

asr-003452

basis,

Senator Pia S. Cayetano

asr-003453

this is

Senator Pia S. Cayetano

asr-003454

meaningful and then we want to see it collectively

Senator Pia S. Cayetano

asr-003455

because it also helps you.

Senator Pia S. Cayetano

asr-003456

Yung stockpile mo na

Senator Pia S. Cayetano

asr-003457

45 days

Senator Pia S. Cayetano

asr-003458

or 50 days, how many yung na-extend

Senator Pia S. Cayetano

asr-003459

doon dahil nag-i-EV yung mga tao?

Senator Pia S. Cayetano

asr-003460

Diba?

DOE Secretary Sharon S. Garin

asr-003460-split-2

Madam Chair,

DOE Secretary Sharon S. Garin

asr-003461

pre-wire

DOE Secretary Sharon S. Garin

asr-003462

the savings of

DOE Secretary Sharon S. Garin

asr-003463

electric vehicle, the cost

DOE Secretary Sharon S. Garin

asr-003464

per kilometer of electric vehicle

DOE Secretary Sharon S. Garin

asr-003465

is one-third, na?

DOE Secretary Sharon S. Garin

asr-003466

One-third compared to diesel?

DOE Secretary Sharon S. Garin

asr-003467

Is that correct?

DOE EUMB Director Patrick T. Aquino

asr-003468

Correct. Just for the exact figures,

DOE EUMB Director Patrick T. Aquino

asr-003469

Madam Chair,

DOE EUMB Director Patrick T. Aquino

asr-003470

if we say

DOE EUMB Director Patrick T. Aquino

asr-003471

5 pesos per kilometer using an

DOE EUMB Director Patrick T. Aquino

asr-003472

internal combustion engine,

DOE EUMB Director Patrick T. Aquino

asr-003473

for a battery

DOE EUMB Director Patrick T. Aquino

asr-003474

electric vehicle,

DOE EUMB Director Patrick T. Aquino

asr-003475

that's only 1 pesos

DOE EUMB Director Patrick T. Aquino

asr-003476

and 50 centavos

DOE EUMB Director Patrick T. Aquino

asr-003477

to run, more or less.

DOE EUMB Director Patrick T. Aquino

asr-003478

And then for the PHEV

DOE EUMB Director Patrick T. Aquino

asr-003479

or HEV, it's about 3 pesos and

DOE EUMB Director Patrick T. Aquino

asr-003480

50 centavos per kilometer.

DOE EUMB Director Patrick T. Aquino

asr-003481

So, there's clearly savings as

DOE EUMB Director Patrick T. Aquino

asr-003482

mentioned by the Secretary.

Senator Pia S. Cayetano

asr-003483

I think to have,

Senator Pia S. Cayetano

asr-003484

you know those regular

Senator Pia S. Cayetano

asr-003485

tricycle na pag sa probinsya nakita mo,

Senator Pia S. Cayetano

asr-003486

parang sampu yung nakasakay doon. Parang mukha na

Senator Pia S. Cayetano

asr-003487

siyang mini-jeep, diba?

Senator Pia S. Cayetano

asr-003488

[unclear] na din EV

Senator Pia S. Cayetano

asr-003489

tricycle? Is it some? And if not,

Senator Pia S. Cayetano

asr-003490

these are things that we should really be

Senator Pia S. Cayetano

asr-003491

pushing. Kasi, when I talk about this,

Senator Pia S. Cayetano

asr-003492

sadly, this is probably

Senator Pia S. Cayetano

asr-003493

pang isang tao, yung nagda-drive

Senator Pia S. Cayetano

asr-003494

to work, at best, mag-asawa,

Senator Pia S. Cayetano

asr-003495

best, best, best case

Senator Pia S. Cayetano

asr-003496

scenario, pati mga anak hinahatin, sulit na yun,

Senator Pia S. Cayetano

asr-003497

apat sila, diba? Pero yung

Senator Pia S. Cayetano

asr-003498

sulit talaga is yung tricycle na pang

Senator Pia S. Cayetano

asr-003499

sampung tao.

DOE Secretary Sharon S. Garin

asr-003500

We do understand. And I think

DOE Secretary Sharon S. Garin

asr-003501

it will come. Because there are many

DOE Secretary Sharon S. Garin

asr-003502

companies with

DOE Secretary Sharon S. Garin

asr-003503

they have to design kasi yung mga,

DOE Secretary Sharon S. Garin

asr-003504

whether it's battery swapping or charging,

DOE Secretary Sharon S. Garin

asr-003505

stations, kailangan whole package yan eh.

DOE Secretary Sharon S. Garin

asr-003506

Kakausapin mo yung toda

DOE Secretary Sharon S. Garin

asr-003507

para doon sila magcha-charge and

DOE Secretary Sharon S. Garin

asr-003508

the facilities have to be

DOE Secretary Sharon S. Garin

asr-003509

there. So, I think it's coming because

DOE Secretary Sharon S. Garin

asr-003510

a few companies are already here

DOE Secretary Sharon S. Garin

asr-003511

exploring that concept.

Senator Pia S. Cayetano

asr-003512

So, I just want to make sure we

Senator Pia S. Cayetano

asr-003513

create that ecosystem that makes it easy

Senator Pia S. Cayetano

asr-003514

for them. Like, pati yung sa LGU,

Senator Pia S. Cayetano

asr-003515

equip sila with the knowledge to

Senator Pia S. Cayetano

asr-003516

help, you know, support yung mga

Senator Pia S. Cayetano

asr-003517

toda. Kasi, LGUs yung mga

Senator Pia S. Cayetano

asr-003518

nakatutok dyan sa mga toda, diba?

Senator Pia S. Cayetano

asr-003519

So, pag hindi rin nila alam kung paano,

Senator Pia S. Cayetano

asr-003520

matatagalan din. So, let's just

Senator Pia S. Cayetano

asr-003521

support. Okay, anyway, go ahead

Senator Pia S. Cayetano

asr-003522

and answer.

DOE Secretary Sharon S. Garin

asr-003522-split-2

Just as an example,

DOE Secretary Sharon S. Garin

asr-003523

it's with the

DOE Secretary Sharon S. Garin

asr-003524

initiative of the private stakeholders.

DOE Secretary Sharon S. Garin

asr-003525

For example, they're offering

DOE Secretary Sharon S. Garin

asr-003526

no down payment

DOE Secretary Sharon S. Garin

asr-003527

for buses

DOE Secretary Sharon S. Garin

asr-003528

na pwede nilang gamitin.

DOE Secretary Sharon S. Garin

asr-003529

So, that's, I mean, there

DOE Secretary Sharon S. Garin

asr-003530

are many packages now coming

DOE Secretary Sharon S. Garin

asr-003531

out. So, I think it's

DOE Secretary Sharon S. Garin

asr-003532

just a matter of time na

DOE Secretary Sharon S. Garin

asr-003533

magka-catch up na yung industry

DOE Secretary Sharon S. Garin

asr-003534

natin, yung transport industry. Because,

DOE Secretary Sharon S. Garin

asr-003535

local,

DOE Secretary Sharon S. Garin

asr-003536

domestic, and international

DOE Secretary Sharon S. Garin

asr-003537

companies are coming in, trying to explore

DOE Secretary Sharon S. Garin

asr-003538

where are the opportunities for electric

DOE Secretary Sharon S. Garin

asr-003539

vehicles.

Senator Sherwin "Win" T. Gatchalian

asr-003540

Thank you. Thank you, Chairperson.

Senator Sherwin "Win" T. Gatchalian

asr-003541

Autonomous

Senator Sherwin "Win" T. Gatchalian

asr-003542

vehicle na nga pinag-uusapan natin

Senator Sherwin "Win" T. Gatchalian

asr-003543

ngayon sa ibang bansa.

Senator Sherwin "Win" T. Gatchalian

asr-003544

So, pero hindi kaya

Senator Sherwin "Win" T. Gatchalian

asr-003545

dito. Loko-loko

Senator Sherwin "Win" T. Gatchalian

asr-003546

mga driver dito, mababangga lang.

Senator Sherwin "Win" T. Gatchalian

asr-003547

I'll go to

Senator Sherwin "Win" T. Gatchalian

asr-003548

PNOC. I saw some

Senator Sherwin "Win" T. Gatchalian

asr-003549

items in the budget. Sino na ba

Senator Sherwin "Win" T. Gatchalian

asr-003550

ang presidente?

Senator Sherwin "Win" T. Gatchalian

asr-003551

Mother.

DOE Secretary Sharon S. Garin

asr-003552

That would be

DOE Secretary Sharon S. Garin

asr-003553

President Chikoy.

Senator Sherwin "Win" T. Gatchalian

asr-003554

President Chikoy. I saw

Senator Sherwin "Win" T. Gatchalian

asr-003555

some items in the budget.

Senator Sherwin "Win" T. Gatchalian

asr-003556

Meron dito sa

Senator Sherwin "Win" T. Gatchalian

asr-003557

2027 NEP.

Senator Sherwin "Win" T. Gatchalian

asr-003558

Storage tank farm

Senator Sherwin "Win" T. Gatchalian

asr-003559

project with Maharlika Investment Corporation.

Senator Sherwin "Win" T. Gatchalian

asr-003560

8 billion.

Senator Sherwin "Win" T. Gatchalian

asr-003561

And then, there's also

Senator Sherwin "Win" T. Gatchalian

asr-003562

strategic petroleum

Senator Sherwin "Win" T. Gatchalian

asr-003563

reserve study with

Senator Sherwin "Win" T. Gatchalian

asr-003564

Japan Meti.

Senator Sherwin "Win" T. Gatchalian

asr-003565

8 billion.

Senator Sherwin "Win" T. Gatchalian

asr-003566

Can we get details

Senator Sherwin "Win" T. Gatchalian

asr-003567

on

Senator Sherwin "Win" T. Gatchalian

asr-003568

8 billion yung feasibility study?

Senator Sherwin "Win" T. Gatchalian

asr-003569

Mahal, ah?

Senator Sherwin "Win" T. Gatchalian

asr-003570

Is that the amount?

Senator Sherwin "Win" T. Gatchalian

asr-003571

8 billion na feasibility

Senator Sherwin "Win" T. Gatchalian

asr-003572

study? Madam Chair,

PNOC President and CEO Franz Josef George E. Alvarez

asr-003573

Senate President, wala na po

PNOC President and CEO Franz Josef George E. Alvarez

asr-003574

yung study na po na 8 billion.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003575

Yung 8 billion po na yan, gagamitin na lang po

PNOC President and CEO Franz Josef George E. Alvarez

asr-003576

para dun sa

PNOC President and CEO Franz Josef George E. Alvarez

asr-003577

storage tank farm na

PNOC President and CEO Franz Josef George E. Alvarez

asr-003578

first phase po na magiging 1 million

PNOC President and CEO Franz Josef George E. Alvarez

asr-003579

barrels po.

Senator Sherwin "Win" T. Gatchalian

asr-003580

So, wala na itong

Senator Sherwin "Win" T. Gatchalian

asr-003581

itong Meti?

PNOC President and CEO Franz Josef George E. Alvarez

asr-003582

Wala na po, Madam Chair.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003583

Nilagay lang po yan dyan para pwede pong magamit dun

PNOC President and CEO Franz Josef George E. Alvarez

asr-003584

kung kailangan for the study.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003585

And pwede rin siya gamitin for the

PNOC President and CEO Franz Josef George E. Alvarez

asr-003586

storage tank farm.

Senator Sherwin "Win" T. Gatchalian

asr-003587

We recognize the presence of the

Senator Sherwin "Win" T. Gatchalian

asr-003588

Chairman of the Finance Committee

Senator Sherwin "Win" T. Gatchalian

asr-003589

na hilong-hilo na.

Senator Sherwin "Win" T. Gatchalian

asr-003590

Chairman JV Ejercito.

Senator Sherwin "Win" T. Gatchalian

asr-003591

Chairman Alvarez, itong 8 billion tank farm, a project with Maharlika, this is a joint project with Maharlika Investment Fund.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003592

Supposed to be, Madam Chair, pero gagawin po namin yan, mauna na po yung PNOC kasi kung mag-aantayan pa po kami ng Maharlika matagal po.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003593

So, ang gagawin yan, mauna na po ang PNOC and then kung gusto po mag-buy in or pumasok ni Maharlika, pwede po siya na pumasok.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003594

Pero uunahan na po.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003595

So, ang gagawin na po ng PNOC para gumalaw na po tayo.

Senator Sherwin "Win" T. Gatchalian

asr-003596

Meron ba kayong, can you describe to us,

Senator Sherwin "Win" T. Gatchalian

asr-003597

tayo magpapatayo ng

Senator Sherwin "Win" T. Gatchalian

asr-003598

farm, tayo bibili

Senator Sherwin "Win" T. Gatchalian

asr-003599

ng inventory, tayo magbebenta

Senator Sherwin "Win" T. Gatchalian

asr-003600

ng inventory, how does that work?

Senator Sherwin "Win" T. Gatchalian

asr-003601

Alam mo yung presyo

Senator Sherwin "Win" T. Gatchalian

asr-003602

ng langis, up and down, up and down yan.

Senator Sherwin "Win" T. Gatchalian

asr-003603

Pag bumili ka ng mataas,

Senator Sherwin "Win" T. Gatchalian

asr-003604

bumaba yan, lugi ka agad gobyerno.

Senator Sherwin "Win" T. Gatchalian

asr-003605

So, we need to,

Senator Sherwin "Win" T. Gatchalian

asr-003606

this is a very specialized

Senator Sherwin "Win" T. Gatchalian

asr-003607

business. I do agree na

Senator Sherwin "Win" T. Gatchalian

asr-003608

kailangan may reserve, but the

Senator Sherwin "Win" T. Gatchalian

asr-003609

model of how to do the reserve is a

Senator Sherwin "Win" T. Gatchalian

asr-003610

very tricky one. Kaya nasabi

Senator Sherwin "Win" T. Gatchalian

asr-003611

kanina ni

Senator Sherwin "Win" T. Gatchalian

asr-003612

Senator Erwin, kung mayroong mamumuhunan,

Senator Sherwin "Win" T. Gatchalian

asr-003613

silang magbibili, silang maglalagay doon,

Senator Sherwin "Win" T. Gatchalian

asr-003614

may access lang tayo tuwing

Senator Sherwin "Win" T. Gatchalian

asr-003615

may merong aberration or may shock.

Senator Sherwin "Win" T. Gatchalian

asr-003616

I think that's a workable

Senator Sherwin "Win" T. Gatchalian

asr-003617

model. Pero yung tayo bibili, tayo

Senator Sherwin "Win" T. Gatchalian

asr-003618

mag-hold, that's a very

Senator Sherwin "Win" T. Gatchalian

asr-003619

risky, that 8 billion

Senator Sherwin "Win" T. Gatchalian

asr-003620

pwede mawala yan overnight.

Senator Sherwin "Win" T. Gatchalian

asr-003621

So, we need to study that carefully.

DOE Secretary Sharon S. Garin

asr-003622

Sir Chair,

DOE Secretary Sharon S. Garin

asr-003623

drawing from the experience of the oil,

DOE Secretary Sharon S. Garin

asr-003624

oil crisis,

DOE Secretary Sharon S. Garin

asr-003625

we bought our own

DOE Secretary Sharon S. Garin

asr-003626

reserves, let's say,

DOE Secretary Sharon S. Garin

asr-003627

for about, almost about

DOE Secretary Sharon S. Garin

asr-003628

20 billion. Hindi naman naubos

DOE Secretary Sharon S. Garin

asr-003629

yan. But

DOE Secretary Sharon S. Garin

asr-003630

since we don't have any tanks,

DOE Secretary Sharon S. Garin

asr-003631

we had to resort to renting

DOE Secretary Sharon S. Garin

asr-003632

or using the tanks of the

DOE Secretary Sharon S. Garin

asr-003633

private companies. And that's

DOE Secretary Sharon S. Garin

asr-003634

costly also.

DOE Secretary Sharon S. Garin

asr-003635

So,

DOE Secretary Sharon S. Garin

asr-003636

having learned

DOE Secretary Sharon S. Garin

asr-003637

na dapat talaga,

DOE Secretary Sharon S. Garin

asr-003638

government, or even a reserve

DOE Secretary Sharon S. Garin

asr-003639

should be optimized.

DOE Secretary Sharon S. Garin

asr-003640

Hence, we need

DOE Secretary Sharon S. Garin

asr-003641

tanks, the government itself.

DOE Secretary Sharon S. Garin

asr-003642

Kaya lang, sobrang siyang

DOE Secretary Sharon S. Garin

asr-003643

very, it's a very expensive endeavor.

DOE Secretary Sharon S. Garin

asr-003644

So, the idea is to have

DOE Secretary Sharon S. Garin

asr-003645

our own reserves, at least to

DOE Secretary Sharon S. Garin

asr-003646

target about

DOE Secretary Sharon S. Garin

asr-003647

60 plus 60 days.

DOE Secretary Sharon S. Garin

asr-003648

60 days.

DOE Secretary Sharon S. Garin

asr-003649

60 days.

DOE Secretary Sharon S. Garin

asr-003650

That will come over time because

DOE Secretary Sharon S. Garin

asr-003651

1 million is only 5 days.

DOE Secretary Sharon S. Garin

asr-003652

So, but we can

DOE Secretary Sharon S. Garin

asr-003653

scale it up over time.

DOE Secretary Sharon S. Garin

asr-003654

Para magkaroon tayo ng total

DOE Secretary Sharon S. Garin

asr-003655

of 60 days na

DOE Secretary Sharon S. Garin

asr-003656

reserve dito sa

DOE Secretary Sharon S. Garin

asr-003657

Aten. And then,

DOE Secretary Sharon S. Garin

asr-003658

including also

DOE Secretary Sharon S. Garin

asr-003659

the private

DOE Secretary Sharon S. Garin

asr-003660

reserve also. So, a total of

DOE Secretary Sharon S. Garin

asr-003661

60. Hopefully, we can scale that.

DOE Secretary Sharon S. Garin

asr-003662

So, as

DOE Secretary Sharon S. Garin

asr-003663

the entity na bagay

DOE Secretary Sharon S. Garin

asr-003664

dito, kasi it's Philippine National Oil Company,

DOE Secretary Sharon S. Garin

asr-003665

it's mandated for

DOE Secretary Sharon S. Garin

asr-003666

energy security. Hence, we

DOE Secretary Sharon S. Garin

asr-003667

assigned it to PNOC,

DOE Secretary Sharon S. Garin

asr-003668

my mother.

DOE Secretary Sharon S. Garin

asr-003669

At coincidentally, they have the

DOE Secretary Sharon S. Garin

asr-003670

property na rin. So, ang gagawin

DOE Secretary Sharon S. Garin

asr-003671

ng

DOE Secretary Sharon S. Garin

asr-003672

basic purpose ng reserve

DOE Secretary Sharon S. Garin

asr-003673

is just really to secure ourselves

DOE Secretary Sharon S. Garin

asr-003674

whenever things like this happens.

DOE Secretary Sharon S. Garin

asr-003675

And other countries are already doing that.

DOE Secretary Sharon S. Garin

asr-003676

They do it

DOE Secretary Sharon S. Garin

asr-003677

in crude oil

DOE Secretary Sharon S. Garin

asr-003678

or in petroleum products.

DOE Secretary Sharon S. Garin

asr-003679

We can do both

DOE Secretary Sharon S. Garin

asr-003680

because it's right beside the

DOE Secretary Sharon S. Garin

asr-003681

refinery of Petron.

DOE Secretary Sharon S. Garin

asr-003682

So, pwede siya maging crude na walang

DOE Secretary Sharon S. Garin

asr-003683

expiration.

DOE Secretary Sharon S. Garin

asr-003684

And part of it can be petroleum

DOE Secretary Sharon S. Garin

asr-003685

also. But that can come later

DOE Secretary Sharon S. Garin

asr-003686

nalang the decision of that.

DOE Secretary Sharon S. Garin

asr-003687

MIC can come in, but

DOE Secretary Sharon S. Garin

asr-003688

at the same time, we can also

DOE Secretary Sharon S. Garin

asr-003689

welcome Adnoc or Masdar

DOE Secretary Sharon S. Garin

asr-003690

or any other companies to partner

DOE Secretary Sharon S. Garin

asr-003691

with PNOC.

DOE Secretary Sharon S. Garin

asr-003692

Will it sell?

DOE Secretary Sharon S. Garin

asr-003693

Will it do the commercial?

DOE Secretary Sharon S. Garin

asr-003694

I think it will be more of

DOE Secretary Sharon S. Garin

asr-003695

renting it out rather than doing

DOE Secretary Sharon S. Garin

asr-003696

the commercial side of it na

DOE Secretary Sharon S. Garin

asr-003697

si PNOC mismo yung magiging

DOE Secretary Sharon S. Garin

asr-003698

core business siya yung magbibenta ng petroleum.

DOE Secretary Sharon S. Garin

asr-003699

I think it's more of the storage facility

DOE Secretary Sharon S. Garin

asr-003700

rather than the trading of it.

Senator Sherwin "Win" T. Gatchalian

asr-003701

Is that the reason bakit

Senator Sherwin "Win" T. Gatchalian

asr-003702

nasa contingency fund siya?

DOE Secretary Sharon S. Garin

asr-003703

Mr. Chair, we requested

DOE Secretary Sharon S. Garin

asr-003704

that kasi

DOE Secretary Sharon S. Garin

asr-003705

if PNOC

DOE Secretary Sharon S. Garin

asr-003706

kasi can only

DOE Secretary Sharon S. Garin

asr-003707

access it if it's under

DOE Secretary Sharon S. Garin

asr-003708

the GAA.

DOE Secretary Sharon S. Garin

asr-003709

So, para wala na kaming

DOE Secretary Sharon S. Garin

asr-003710

hihingin sa GAA, i-access na lang nila

DOE Secretary Sharon S. Garin

asr-003711

yung corporate funds.

Senator Sherwin "Win" T. Gatchalian

asr-003712

Kasi ang kanyang

Senator Sherwin "Win" T. Gatchalian

asr-003713

ah

Senator Sherwin "Win" T. Gatchalian

asr-003714

ah

Senator Sherwin "Win" T. Gatchalian

asr-003715

categories contingency fund eh.

Senator Sherwin "Win" T. Gatchalian

asr-003716

8 billion

Senator Sherwin "Win" T. Gatchalian

asr-003717

contingency fund.

Senator Sherwin "Win" T. Gatchalian

asr-003718

But

Senator Sherwin "Win" T. Gatchalian

asr-003719

contingency fund siya?

DOE Secretary Sharon S. Garin

asr-003720

It's already in a capital outlay. Parang baka

DOE Secretary Sharon S. Garin

asr-003721

baka hindi lang updated sa

Senator Sherwin "Win" T. Gatchalian

asr-003722

Ah, okay.

DOE Secretary Sharon S. Garin

asr-003723

Yes. It's already in a capital

DOE Secretary Sharon S. Garin

asr-003724

outlay of PNOC.

Senator Sherwin "Win" T. Gatchalian

asr-003725

Tama ba?

Senator Sherwin "Win" T. Gatchalian

asr-003726

Not by me?

Senator Pia S. Cayetano

asr-003727

Sorry.

Senator Sherwin "Win" T. Gatchalian

asr-003728

Hindi, pero nasa

Senator Sherwin "Win" T. Gatchalian

asr-003729

Capital outlay.

Senator Pia S. Cayetano

asr-003730

Capital outlay pa rin yung

Senator Pia S. Cayetano

asr-003731

object niya. Pero

Senator Pia S. Cayetano

asr-003732

contingency fund will work.

Senator Sherwin "Win" T. Gatchalian

asr-003733

Okay.

Senator Sherwin "Win" T. Gatchalian

asr-003734

Okay.

Senator Sherwin "Win" T. Gatchalian

asr-003735

Bakit contingency fund?

Senator Sherwin "Win" T. Gatchalian

asr-003736

What are we

Senator Sherwin "Win" T. Gatchalian

asr-003737

preparing for?

Senator Sherwin "Win" T. Gatchalian

asr-003738

Diba? Contingency ko.

Senator Sherwin "Win" T. Gatchalian

asr-003739

So,

Senator Pia S. Cayetano

asr-003740

capital outlay siya sir, under capital outlay?

Senator Sherwin "Win" T. Gatchalian

asr-003741

Okay. Hindi, dapat investment siya, hindi siya contingency.

Senator Pia S. Cayetano

asr-003742

Investment outlay yung object niya.

Senator Pia S. Cayetano

asr-003743

Okay.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003744

Madam Chair, ah, hindi na po siya kasi, ah,

PNOC President and CEO Franz Josef George E. Alvarez

asr-003745

contingency fund, nasa NEP level na po siya.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003746

So, ah, baka luma pa po yung nakalagay po diyan, ah,

PNOC President and CEO Franz Josef George E. Alvarez

asr-003747

ah, Mr. Senate President.

Senator Sherwin "Win" T. Gatchalian

asr-003748

So, hindi, kasi nasa capital outlay siya. So, bibili ka ng asset, diba?

Senator Sherwin "Win" T. Gatchalian

asr-003749

Ayun pa.

Senator Sherwin "Win" T. Gatchalian

asr-003750

So, bakit siyang contingency ang kanyang category?

Senator Sherwin "Win" T. Gatchalian

asr-003751

Eh, hindi na?

Senator Sherwin "Win" T. Gatchalian

asr-003752

Hindi na siya contingency.

Senator Sherwin "Win" T. Gatchalian

asr-003753

Ah, okay.

Senator Sherwin "Win" T. Gatchalian

asr-003754

So, bibili tayo ng asset, ah, and that, those are the tanks.

Senator Sherwin "Win" T. Gatchalian

asr-003755

Tama?

Senator Sherwin "Win" T. Gatchalian

asr-003756

We are, we're, we're spending 8 billion to build tanks in the PNOC facility.

DOE Secretary Sharon S. Garin

asr-003757

Yes, Madam Chair.

DOE Secretary Sharon S. Garin

asr-003758

So, ah, tanks, the port, everything else that's needed.

Senator Sherwin "Win" T. Gatchalian

asr-003759

And how many, ah, barrels of oil are we thinking of holding?

PNOC President and CEO Franz Josef George E. Alvarez

asr-003760

Um, initially po, um, Madam Chair, diyan po sa, ah, 8 billion,

PNOC President and CEO Franz Josef George E. Alvarez

asr-003761

makakagawa po tayo ng 1 million barrels po.

Senator Sherwin "Win" T. Gatchalian

asr-003762

1 million?

Senator Sherwin "Win" T. Gatchalian

asr-003763

1 million barrels, ah, in any given time?

PNOC President and CEO Franz Josef George E. Alvarez

asr-003764

Ah, yes, ma'am.

Senator Sherwin "Win" T. Gatchalian

asr-003765

An ang consumption natin?

Senator Sherwin "Win" T. Gatchalian

asr-003766

So, nga, ba 200?

Senator Sherwin "Win" T. Gatchalian

asr-003767

Ma 200?

Senator Sherwin "Win" T. Gatchalian

asr-003768

300?

Senator Sherwin "Win" T. Gatchalian

asr-003769

200,000?

Senator Sherwin "Win" T. Gatchalian

asr-003770

400 a day?

Senator Sherwin "Win" T. Gatchalian

asr-003771

So, we're just talking about, ah, 2 days, 3 days, no?

Senator Pia S. Cayetano

asr-003772

Okay.

Senator Pia S. Cayetano

asr-003773

Yes.

Senator Sherwin "Win" T. Gatchalian

asr-003774

And, yeah, alam ko mahal, no?

Senator Sherwin "Win" T. Gatchalian

asr-003775

I, I know it's, ah.

Senator Sherwin "Win" T. Gatchalian

asr-003776

So, it's a hindi maliit na bagay yan.

Senator Sherwin "Win" T. Gatchalian

asr-003777

But I'm thinking we're spending 8 billion to have an inventory of 2 days, 3 days.

Senator Sherwin "Win" T. Gatchalian

asr-003778

Is that a wise decision?

Senator Sherwin "Win" T. Gatchalian

asr-003779

8 billion kasi malaking amount.

Senator Sherwin "Win" T. Gatchalian

asr-003780

But in oil terms, maliit yung amount.

Senator Sherwin "Win" T. Gatchalian

asr-003781

So, I don't know how 2 days, 3 days worth of inventory can help.

DOE Secretary Sharon S. Garin

asr-003782

Madam Chair, eventually, the private stakeholders can build it.

Senator Sherwin "Win" T. Gatchalian

asr-003783

Okay.

DOE Secretary Sharon S. Garin

asr-003784

We are hoping that eventually, this will give the government its own storage.

DOE Secretary Sharon S. Garin

asr-003785

But we want to develop the Philippines as one of the regional hubs for oil.

DOE Secretary Sharon S. Garin

asr-003786

But they come in, they can build their own tanks, or we can build a tank for them.

DOE Secretary Sharon S. Garin

asr-003787

And they rent.

DOE Secretary Sharon S. Garin

asr-003788

So, there are many possibilities with this project.

DOE Secretary Sharon S. Garin

asr-003789

Pwede sila yung, pwede naman mag-partner si PNOC with some of the supplier countries,

DOE Secretary Sharon S. Garin

asr-003790

or we can partner with MIC.

DOE Secretary Sharon S. Garin

asr-003791

But what we wanted is just to prove a concept that we can do it in the Philippines

DOE Secretary Sharon S. Garin

asr-003792

and we can develop more because PNOC has the area naman in Bataan.

Senator Sherwin "Win" T. Gatchalian

asr-003793

Thank you for that.

Senator Sherwin "Win" T. Gatchalian

asr-003794

But submit na lang kasi we've been talking about this.

Senator Sherwin "Win" T. Gatchalian

asr-003795

Strategic Petroleum Reserve or Reserve for a very long time.

Senator Sherwin "Win" T. Gatchalian

asr-003796

And medyo nabulaga tayo nung Iran conflict.

Senator Sherwin "Win" T. Gatchalian

asr-003797

And now, I can see that we're doing some concrete actions to build actual tanks this coming year.

Senator Sherwin "Win" T. Gatchalian

asr-003798

This coming 2027.

DOE Secretary Sharon S. Garin

asr-003799

The target of Chico is 2020, ano?

PNOC President and CEO Franz Josef George E. Alvarez

asr-003800

June 30, 2028.

PNOC President and CEO Franz Josef George E. Alvarez

asr-003801

At least one tank by the end of next year po.

Senator Sherwin "Win" T. Gatchalian

asr-003802

So, just submit to us a write-up.

Senator Sherwin "Win" T. Gatchalian

asr-003803

A concept paper on this Strategic Petroleum Reserve that will be built by PNOC.

Senator Sherwin "Win" T. Gatchalian

asr-003804

Lastly, sa PNOC, gusto ko lang mag...

Senator Sherwin "Win" T. Gatchalian

asr-003805

I just want to commend PNOC.

Senator Sherwin "Win" T. Gatchalian

asr-003806

Then finally, yung RC na parang limang...

Senator Sherwin "Win" T. Gatchalian

asr-003807

Chairperson P, parang six years ako naging chairman ng energy family.

Senator Sherwin "Win" T. Gatchalian

asr-003808

At parati kong sinasabi, itong PNOC, RC, i-wind down na dahil nalulugi.

Senator Sherwin "Win" T. Gatchalian

asr-003809

After six years, nangyari na rin.

Senator Sherwin "Win" T. Gatchalian

asr-003810

So, but I would like to commend PNOC for moving for that.

Senator Sherwin "Win" T. Gatchalian

asr-003811

Sayang eh. Sayang yung pera.

Senator Sherwin "Win" T. Gatchalian

asr-003812

We're losing 200, 300 million a year.

Senator Sherwin "Win" T. Gatchalian

asr-003813

Sayang yung pera.

Senator Sherwin "Win" T. Gatchalian

asr-003814

So, with that, I'll yield to our chairperson, our chairman, Chairman JV Ejercito.

Senator Joseph Victor "JV" G. Ejercito

asr-003815

Thank you, Sir President, Madam Chair.

Senator Joseph Victor "JV" G. Ejercito

asr-003816

Anyway, I'm here, of course, to...

Senator Joseph Victor "JV" G. Ejercito

asr-003817

I guess all the issues were already discussed extensively.

Senator Joseph Victor "JV" G. Ejercito

asr-003818

At aputan ko naman yung issue about the reserves, which are...

Senator Joseph Victor "JV" G. Ejercito

asr-003819

I'm also interested to wait for yung inyong study or yung inyong special...

Senator Joseph Victor "JV" G. Ejercito

asr-003820

Also, yung special provision that you would need, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003821

Alam ko ano kailangan ito.

Senator Joseph Victor "JV" G. Ejercito

asr-003822

So that it can...

Senator Joseph Victor "JV" G. Ejercito

asr-003823

So that the budget of the PNOC can be utilized, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003824

Para magamit ito for the use of the reserve.

Senator Joseph Victor "JV" G. Ejercito

asr-003825

Yun lang siguro.

Senator Joseph Victor "JV" G. Ejercito

asr-003826

Siguro, quickly lang, Sec.

Senator Joseph Victor "JV" G. Ejercito

asr-003827

So, yung ating reserve, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003828

Bago nung oil crisis, pag-usapan niya, mga 60 days ang total natin, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003829

Meron.

Senator Joseph Victor "JV" G. Ejercito

asr-003830

So, with this, yung inyong pong plan, to add some more,

Senator Joseph Victor "JV" G. Ejercito

asr-003831

ilan yung magiging total natin, yung target natin in the coming year,

DOE Secretary Sharon S. Garin

asr-003832

Actually, our proposal in Congress on their bill kasi is 60 plus 60.

DOE Secretary Sharon S. Garin

asr-003833

30 plus 60.

DOE Secretary Sharon S. Garin

asr-003834

30 sa private, 60 sa government.

DOE Secretary Sharon S. Garin

asr-003835

That's the long-term objective.

DOE Secretary Sharon S. Garin

asr-003836

If we build...

DOE Secretary Sharon S. Garin

asr-003837

So, now we're asking the private na i-30 nila kasi iba niyan 15 lang eh.

DOE Secretary Sharon S. Garin

asr-003838

So, gagawin na nalang 30.

DOE Secretary Sharon S. Garin

asr-003839

Pumayag na sila.

DOE Secretary Sharon S. Garin

asr-003840

Ang gobyerno nalang.

DOE Secretary Sharon S. Garin

asr-003841

Magbibuild up.

DOE Secretary Sharon S. Garin

asr-003842

Now, we cannot build 60 days of reserve.

DOE Secretary Sharon S. Garin

asr-003843

We don't have the funds for that.

DOE Secretary Sharon S. Garin

asr-003844

We will use the interest, no?

DOE Secretary Sharon S. Garin

asr-003845

May interested companies na gusto nila magpatayo.

DOE Secretary Sharon S. Garin

asr-003846

We will help them build their tanks here.

DOE Secretary Sharon S. Garin

asr-003847

And with the condition na in case of times like the crisis,

DOE Secretary Sharon S. Garin

asr-003848

there's a preferential treatment to the host country.

DOE Secretary Sharon S. Garin

asr-003849

Yun yung ini-envision namin for this project.

DOE Secretary Sharon S. Garin

asr-003850

So, we start with the...

DOE Secretary Sharon S. Garin

asr-003851

2-3 days muna na sa reserve.

DOE Secretary Sharon S. Garin

asr-003852

And then we'll build it up over the years once magkaroon ng funding or investors that come in.

DOE Secretary Sharon S. Garin

asr-003853

So, mga 40, 50 tayo on average now.

DOE Secretary Sharon S. Garin

asr-003854

So, hopefully, we reach double that someday.

Senator Joseph Victor "JV" G. Ejercito

asr-003855

Yes, because as you all know, we found out how important it was, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003856

Especially during itong start ng Middle East conflict.

Senator Joseph Victor "JV" G. Ejercito

asr-003857

And now,

Senator Joseph Victor "JV" G. Ejercito

asr-003858

but kasi we really have to be prepared for this, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003859

Hindi natin alam kung anong magiging gising na naman ni Trump kasi, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003860

So, we really have to prepare for this and be...

Senator Joseph Victor "JV" G. Ejercito

asr-003861

We have to do it already.

Senator Joseph Victor "JV" G. Ejercito

asr-003862

Kaya nga kung kinakailangan natin gawin ito.

Senator Joseph Victor "JV" G. Ejercito

asr-003863

Hindi naman kaya naman agad-agad ito because we know that it entails a big amount, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003864

But kung kaya natin i-multi-year ganon or at least to start,

Senator Joseph Victor "JV" G. Ejercito

asr-003865

because these are things that we really need to do, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003866

So, I support yung sinabi na ating Senate President to give us so that we can review.

Senator Joseph Victor "JV" G. Ejercito

asr-003867

In the same manner, parang ano tayo lagi eh.

Senator Joseph Victor "JV" G. Ejercito

asr-003868

That, ano, talagang nag-reactive tayo lagi, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003869

And the same, kakagali ko lang rin sa NIA na meron pa lang yung mga,

Senator Joseph Victor "JV" G. Ejercito

asr-003870

for example, yung pagwan-pagawa sila ng kung ano-anong ma-irrigation,

Senator Joseph Victor "JV" G. Ejercito

asr-003871

pero wala naman tayong bulk water.

Senator Joseph Victor "JV" G. Ejercito

asr-003872

Kasi kailangan natin retention, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003873

During the dry days.

Senator Joseph Victor "JV" G. Ejercito

asr-003874

Hindi ginagawa.

Senator Joseph Victor "JV" G. Ejercito

asr-003875

Ngayon lang gagawin.

Senator Joseph Victor "JV" G. Ejercito

asr-003876

Dapat should have been done years ago.

Senator Joseph Victor "JV" G. Ejercito

asr-003877

So, that's in the same way that kung kahit balik,

Senator Joseph Victor "JV" G. Ejercito

asr-003878

but if we really have to do it,

Senator Joseph Victor "JV" G. Ejercito

asr-003879

if we can start on it already,

Senator Joseph Victor "JV" G. Ejercito

asr-003880

sabihin nyo lang kung next, kung 2027,

Senator Joseph Victor "JV" G. Ejercito

asr-003881

if we have to at least start the ball rolling already.

DOE Secretary Sharon S. Garin

asr-003882

Madam Chair,

DOE Secretary Sharon S. Garin

asr-003883

the good thing about this project is it will not be from GAA.

DOE Secretary Sharon S. Garin

asr-003884

It will be from the corporate funds of PNOC, kaya hindi siya dagdag.

DOE Secretary Sharon S. Garin

asr-003885

But at the same time, there is a huge possibility na

DOE Secretary Sharon S. Garin

asr-003886

private investors ang papasok eventually.

DOE Secretary Sharon S. Garin

asr-003887

So, we'll put it at a minimum cost to the government

DOE Secretary Sharon S. Garin

asr-003888

on the national coffers, no?

DOE Secretary Sharon S. Garin

asr-003889

Para hindi siya magagagastos ng government.

DOE Secretary Sharon S. Garin

asr-003890

Because this is a very good commercial activity anyway

DOE Secretary Sharon S. Garin

asr-003891

for those.

DOE Secretary Sharon S. Garin

asr-003892

So, I'm most interested to put it here in the Philippines.

DOE Secretary Sharon S. Garin

asr-003893

But yes, we have assessed as a reaction also to the Middle East, guys.

DOE Secretary Sharon S. Garin

asr-003894

We are insecure in terms of our fuel,

DOE Secretary Sharon S. Garin

asr-003895

specifically on petroleum products,

DOE Secretary Sharon S. Garin

asr-003896

even on gas,

DOE Secretary Sharon S. Garin

asr-003897

and on coal.

DOE Secretary Sharon S. Garin

asr-003898

So, those are the three fuels na

DOE Secretary Sharon S. Garin

asr-003899

we're trying to develop some kind of terminal or storage

DOE Secretary Sharon S. Garin

asr-003900

so that we can have at least some security

DOE Secretary Sharon S. Garin

asr-003901

for a certain number of days when things happen like this.

Senator Joseph Victor "JV" G. Ejercito

asr-003902

Thank you, Madam Chair.

Senator Joseph Victor "JV" G. Ejercito

asr-003903

Thank you, Sigur.

Senator Joseph Victor "JV" G. Ejercito

asr-003904

Just two points, Madam Chair.

Senator Joseph Victor "JV" G. Ejercito

asr-003905

Yung siguro, ano lang naman,

Senator Joseph Victor "JV" G. Ejercito

asr-003906

just to give us an idea,

Senator Joseph Victor "JV" G. Ejercito

asr-003907

ilang power plants na madadagdag

Senator Joseph Victor "JV" G. Ejercito

asr-003908

bago matapos yung termino ng Presidente.

Senator Joseph Victor "JV" G. Ejercito

asr-003909

Kasi during the,

Senator Joseph Victor "JV" G. Ejercito

asr-003910

I remember during the height of the crisis,

Senator Joseph Victor "JV" G. Ejercito

asr-003911

this was this,

Senator Joseph Victor "JV" G. Ejercito

asr-003912

I mean, we discussed this earlier

Senator Joseph Victor "JV" G. Ejercito

asr-003913

in previous hearings, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003914

Na 31 projects pa lang yung ginagawa

Senator Joseph Victor "JV" G. Ejercito

asr-003915

out of the 200 generation projects

Senator Joseph Victor "JV" G. Ejercito

asr-003916

that are intended to be started, no?

Senator Joseph Victor "JV" G. Ejercito

asr-003917

So, update na lang po, Sig.

DOE Secretary Sharon S. Garin

asr-003918

Yes, Madam Chair.

DOE Secretary Sharon S. Garin

asr-003919

We started with 200, no?

DOE Secretary Sharon S. Garin

asr-003920

And then, where are we now?

DOE Secretary Sharon S. Garin

asr-003932

About 48.

DOE Secretary Sharon S. Garin

asr-003933

But we're quite confident, Madam Chair,

DOE Secretary Sharon S. Garin

asr-003934

that we will complete the 200

DOE Secretary Sharon S. Garin

asr-003935

before the end of this administration

DOE Secretary Sharon S. Garin

asr-003936

because most of these are actually renewable energy

DOE Secretary Sharon S. Garin

asr-003937

in a total of 10 gigawatts.

DOE Secretary Sharon S. Garin

asr-003938

So, this is highly possible.

DOE Secretary Sharon S. Garin

asr-003939

Just as an example, Madam Chair,

DOE Secretary Sharon S. Garin

asr-003940

Tera Solar by itself is 3,500.

DOE Secretary Sharon S. Garin

asr-003941

So, it will complete by next year.

DOE Secretary Sharon S. Garin

asr-003942

So, this is very feasible, yung 10 gigawatts

DOE Secretary Sharon S. Garin

asr-003943

by the end of this term, Madam Chair.

Senator Joseph Victor "JV" G. Ejercito

asr-003944

According also to NGCP,

Senator Joseph Victor "JV" G. Ejercito

asr-003945

18 power plants are operating on derated capacity

Senator Joseph Victor "JV" G. Ejercito

asr-003946

at present.

Senator Joseph Victor "JV" G. Ejercito

asr-003947

So, any updates on the rehab plans and measures

Senator Joseph Victor "JV" G. Ejercito

asr-003948

with regards to these power plants?

DOE Secretary Sharon S. Garin

asr-003949

Madam Chair, hindi lang derated.

DOE Secretary Sharon S. Garin

asr-003950

Yung iba are not working.

DOE Secretary Sharon S. Garin

asr-003951

Hence, for the problem in Visayas,

DOE Secretary Sharon S. Garin

asr-003952

there are currently,

DOE Secretary Sharon S. Garin

asr-003953

there are about six plants,

DOE Secretary Sharon S. Garin

asr-003954

big plants,

DOE Secretary Sharon S. Garin

asr-003955

that are still under repair.

DOE Secretary Sharon S. Garin

asr-003956

And we have already set out a schedule

DOE Secretary Sharon S. Garin

asr-003957

kung kailan sila babalik.

DOE Secretary Sharon S. Garin

asr-003958

The latest return,

DOE Secretary Sharon S. Garin

asr-003959

the last plan to return is November 27.

DOE Secretary Sharon S. Garin

asr-003960

And that's very,

DOE Secretary Sharon S. Garin

asr-003961

very critical for Visayas and Mindanao.

DOE Secretary Sharon S. Garin

asr-003962

So, we are,

DOE Secretary Sharon S. Garin

asr-003963

ERC is doing its monitoring and policing also.

DOE Secretary Sharon S. Garin

asr-003964

They can discuss that.

DOE Secretary Sharon S. Garin

asr-003965

But on the side of DOE,

DOE Secretary Sharon S. Garin

asr-003966

we are currently monitoring,

DOE Secretary Sharon S. Garin

asr-003967

actually going around the plants

DOE Secretary Sharon S. Garin

asr-003968

and as a relief

DOE Secretary Sharon S. Garin

asr-003969

until all the plants are back.

DOE Secretary Sharon S. Garin

asr-003970

We are bringing in some barges

DOE Secretary Sharon S. Garin

asr-003971

and some batteries to the area of Visayas.

DOE Secretary Sharon S. Garin

asr-003972

But yes, it is true.

DOE Secretary Sharon S. Garin

asr-003973

It's true that many of our plants,

DOE Secretary Sharon S. Garin

asr-003974

it's either,

DOE Secretary Sharon S. Garin

asr-003975

it's not just the age.

DOE Secretary Sharon S. Garin

asr-003976

It's, I think,

DOE Secretary Sharon S. Garin

asr-003977

it's also has to,

DOE Secretary Sharon S. Garin

asr-003978

something to do about their maintenance and operation.

DOE Secretary Sharon S. Garin

asr-003979

So, that,

DOE Secretary Sharon S. Garin

asr-003980

because I think for the engineers,

DOE Secretary Sharon S. Garin

asr-003981

kahit ano mang age yan,

DOE Secretary Sharon S. Garin

asr-003982

kung well-maintained,

DOE Secretary Sharon S. Garin

asr-003983

a 10% or 20% deration is not really,

DOE Secretary Sharon S. Garin

asr-003984

should not happen.

DOE Secretary Sharon S. Garin

asr-003985

So, we're investigating and monitoring.

DOE Secretary Sharon S. Garin

asr-003986

But yes,

DOE Secretary Sharon S. Garin

asr-003987

this is still reactive.

DOE Secretary Sharon S. Garin

asr-003988

In that sense,

DOE Secretary Sharon S. Garin

asr-003989

Madam Chair.

Senator Joseph Victor "JV" G. Ejercito

asr-003990

Okay, thank you.

Senator Joseph Victor "JV" G. Ejercito

asr-003991

Guys, that's about it.

Senator Joseph Victor "JV" G. Ejercito

asr-003992

Madam Chair.

Senator Sherwin "Win" T. Gatchalian

asr-003993

Chair,

Senator Sherwin "Win" T. Gatchalian

asr-003994

I just have a few questions to ERC.

Senator Sherwin "Win" T. Gatchalian

asr-003995

I think,

Senator Sherwin "Win" T. Gatchalian

asr-003996

just to follow up lang questions.

Senator Sherwin "Win" T. Gatchalian

asr-003997

To ERC,

Senator Sherwin "Win" T. Gatchalian

asr-003998

yung RCOA natin,

Senator Sherwin "Win" T. Gatchalian

asr-003999

right now,

Senator Sherwin "Win" T. Gatchalian

asr-004000

we are 100 kilowatts

Senator Sherwin "Win" T. Gatchalian

asr-004001

contestability.

Senator Sherwin "Win" T. Gatchalian

asr-004002

So, isong plano na after

Senator Sherwin "Win" T. Gatchalian

asr-004003

Chairman,

Senator Sherwin "Win" T. Gatchalian

asr-004004

because ako nakikita ko isang paraan para bumaba talaga ang presyo ng kuryente sa atin is to allow us,

Senator Sherwin "Win" T. Gatchalian

asr-004005

the consumers to choose our generators.

Senator Sherwin "Win" T. Gatchalian

asr-004006

Ginagawa na yan sa Singapore,

Senator Sherwin "Win" T. Gatchalian

asr-004007

ginagawa na yan sa UK,

Senator Sherwin "Win" T. Gatchalian

asr-004008

ginagawa na yan sa Amerika.

Senator Sherwin "Win" T. Gatchalian

asr-004009

So,

Senator Sherwin "Win" T. Gatchalian

asr-004010

and yan talaga we bring true competition literally to the doorsteps of our household,

Senator Sherwin "Win" T. Gatchalian

asr-004011

to our consumers.

Senator Sherwin "Win" T. Gatchalian

asr-004012

Sila nalang pumili

Senator Sherwin "Win" T. Gatchalian

asr-004013

ng kanilang generator.

Senator Sherwin "Win" T. Gatchalian

asr-004014

I know it's a very technical

Senator Sherwin "Win" T. Gatchalian

asr-004015

endeavor.

Senator Sherwin "Win" T. Gatchalian

asr-004016

It's not as easy as what

Senator Sherwin "Win" T. Gatchalian

asr-004017

we think.

Senator Sherwin "Win" T. Gatchalian

asr-004018

But,

Senator Sherwin "Win" T. Gatchalian

asr-004019

I just want to see

Senator Sherwin "Win" T. Gatchalian

asr-004020

and to hear

Senator Sherwin "Win" T. Gatchalian

asr-004021

kung ano bang plano natin

Senator Sherwin "Win" T. Gatchalian

asr-004022

to

Senator Sherwin "Win" T. Gatchalian

asr-004023

achieve true competition

Senator Sherwin "Win" T. Gatchalian

asr-004024

almost to the household level.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004025

Thank you, Madam Chair.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004026

As regards our

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004027

plans,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004028

one is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004029

we are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004030

currently evaluating the performance of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004031

CREM

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004032

with the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004033

lowering of the threshold

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004034

to 100 kilowatt

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004035

and the switch became effective

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004036

June 26.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004037

We are also

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004038

at the moment

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004039

drafting

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004040

the roadmap

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004041

so we can

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004042

provide guidance

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004043

to the entire industry

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004044

as to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004045

what will happen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004046

after the 100 kilowatt threshold

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004047

has commenced.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004048

And together with that roadmap

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004049

would be the updating of our Omnibus retail rules.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004050

And to complement the updating of our Omnibus retail rules

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004051

would be the rollout of the proposed CAPEX projects of our utilities.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004055

Right now,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004056

we're doing the rate reset

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004057

of the Group A

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004058

of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004059

under the power

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004060

under the performance-based regulation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004061

and we're seeing right now

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004062

the proposed CAPEX

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004063

of our Group A utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004064

dealing with

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004065

their AMI and smart grid

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004066

because this will be important also

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004067

in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004068

the implementation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004069

of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004070

RCOA

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004071

down to the household level.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004072

We have already

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004073

the infrastructure

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004074

and the metering

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004075

for the utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004076

to be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004077

accommodate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004078

the increasing number

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004079

of contestable

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004080

market.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004081

We're also

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004082

addressing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004083

or looking for ways

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004084

to address the issue

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004085

of the stranded

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004086

contract capacities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004087

of our distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004088

coupled with

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004089

of course

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004090

the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004091

possible

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004092

increase

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004093

in the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004094

export

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004095

energy

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004096

coming from

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004097

those with

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004098

net metering

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004099

and distributed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004100

energy resources

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004101

because this may also add

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004102

to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004103

these

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004104

stranded

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004105

contract capacities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004106

of distribution utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004107

and one

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004108

possible

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004109

alternative to the distribution

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004110

utility having to absorb

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004111

the export energy from the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004112

self-gen and the DER

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004113

would be to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004114

allow for the aggregation

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004115

or the purchase of this

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004116

export energy by third parties

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004117

like an

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004118

RES for their

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004119

requirements to supply

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004120

to their contestable market

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004121

and also for their RPS

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004122

compliance.

Senator Sherwin "Win" T. Gatchalian

asr-004123

Can you give us a sneak peek of

Senator Sherwin "Win" T. Gatchalian

asr-004124

that roadmap?

Senator Sherwin "Win" T. Gatchalian

asr-004125

Like from

Senator Sherwin "Win" T. Gatchalian

asr-004126

100 kilowatt this year,

Senator Sherwin "Win" T. Gatchalian

asr-004127

mayroon bang

Senator Sherwin "Win" T. Gatchalian

asr-004128

how much

Senator Sherwin "Win" T. Gatchalian

asr-004129

is the reduction next year and how much

Senator Sherwin "Win" T. Gatchalian

asr-004130

is the reduction the following year?

Senator Sherwin "Win" T. Gatchalian

asr-004131

Kasi malaking bagay yan ngayon, mga

Senator Sherwin "Win" T. Gatchalian

asr-004132

hospitals, schools, office,

Senator Sherwin "Win" T. Gatchalian

asr-004133

manufacturing

Senator Sherwin "Win" T. Gatchalian

asr-004134

can now choose their own

Senator Sherwin "Win" T. Gatchalian

asr-004135

generator.

Senator Sherwin "Win" T. Gatchalian

asr-004136

I'm getting good feedback rin.

Senator Sherwin "Win" T. Gatchalian

asr-004137

Talagang nakakatulong sa negosyo.

Senator Sherwin "Win" T. Gatchalian

asr-004138

I'm getting good feedback.

Senator Sherwin "Win" T. Gatchalian

asr-004139

So, in other words,

Senator Sherwin "Win" T. Gatchalian

asr-004140

if you really

Senator Sherwin "Win" T. Gatchalian

asr-004141

want true competition,

Senator Sherwin "Win" T. Gatchalian

asr-004142

dapat in household may capability

Senator Sherwin "Win" T. Gatchalian

asr-004143

rin to choose their own generators.

Senator Sherwin "Win" T. Gatchalian

asr-004144

Again, it's easier

Senator Sherwin "Win" T. Gatchalian

asr-004145

said than that. Alam ko may

Senator Sherwin "Win" T. Gatchalian

asr-004146

mga technicalities. That's why

Senator Sherwin "Win" T. Gatchalian

asr-004148

I agree that it should be done

Senator Sherwin "Win" T. Gatchalian

asr-004149

in a very

Senator Sherwin "Win" T. Gatchalian

asr-004150

orderly manner,

Senator Sherwin "Win" T. Gatchalian

asr-004151

technically.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004152

Yes,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004153

the phase in

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004154

that we're looking at

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004155

is lowering the threshold

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004156

further to 50 kilowatts

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004157

until

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004158

we reach the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004159

household level and everyone

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004160

would have the right of choice

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004161

after that. So, we're

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004162

just trying to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004163

firm up as the when

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004164

the readiness of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004165

stakeholders, of all

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004166

stakeholders to be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004167

manage the switch

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004168

or the migration of the captive

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004169

customers to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004170

contestable market. And it is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004171

true, Madam Chair, that we're

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004172

looking at actual cost savings

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004173

by those that are able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004174

switch now. And that is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004175

actually not limited to the 100

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004176

kilowatt. If we take into account

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004177

those

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004178

that are able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004179

aggregate and avail of the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004180

retail aggregation program,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004181

where even households,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004182

ordinary households, if they are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004183

located in a continuous area

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004184

or in a subdivision,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004185

if they aggregate

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004186

themselves and they are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004187

able to look for a

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004188

supplier, they are able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004189

avail of

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004190

much lower generation charges

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004191

than those

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004192

being offered to their

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004193

neighbors. Like in one case,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004194

we've come across the average

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004195

generation charge of the utility

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004196

is at 8 pesos, but the charge

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004197

of the RES to these

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004198

households that were able to enroll

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004199

in the program would be at

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004200

around 5 pesos to 6 pesos or

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004201

a percentage or a discount

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004202

to the existing generation charge

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004203

of the utility which, by itself,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004204

already cost savings for these

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004205

CREM or RAP

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004206

participants.

Senator Sherwin "Win" T. Gatchalian

asr-004207

By next year, kaya na ba to 50 kilowatt

Senator Sherwin "Win" T. Gatchalian

asr-004208

2027?

Senator Sherwin "Win" T. Gatchalian

asr-004209

Are you looking at that possibility?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004210

Yes, Madam Chair.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004211

It is possible

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004212

because as we have seen

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004213

in the lowering

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004214

of the 100 kilowatt

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004215

the switch doesn't

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004216

happen all at once for

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004217

all those that will

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004218

be

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004219

within the threshold as we've seen.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004220

The switch would

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004221

initially be

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004222

slow until there is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004223

that experience

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004224

that is

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004225

broadcasted

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004226

among those that may

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004227

be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004228

also participate and that will

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004229

now

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004230

increase

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004231

the switch

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004232

in time and as we

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004233

move forward since we are

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004234

able to address

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004235

the metering requirements

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004236

now with the CAPEX approvals

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004237

the rate resets that we're also

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004238

doing for the utilities

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004239

including the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004240

electric cooperatives

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004241

by early next year they'll have

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004242

their new rates.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004243

And they'll be able to

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004244

update their

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004245

metering facilities to be able

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004246

to cater to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004247

contestable market including

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004248

those that will belong to the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004249

lower threshold of 50 kilowatts.

Senator Sherwin "Win" T. Gatchalian

asr-004250

We'll wait na lang for that

Senator Sherwin "Win" T. Gatchalian

asr-004251

reduction next year and

Senator Sherwin "Win" T. Gatchalian

asr-004252

once you have that

Senator Sherwin "Win" T. Gatchalian

asr-004253

roadmap, pasubmit na lang sa

Senator Sherwin "Win" T. Gatchalian

asr-004254

committee, Chairman.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004255

Yes, Mr. Chair.

Senator Sherwin "Win" T. Gatchalian

asr-004256

Ito na open up ko na last time

Senator Sherwin "Win" T. Gatchalian

asr-004257

yung fuel audit, no?

Senator Sherwin "Win" T. Gatchalian

asr-004258

And I heard in your presentation

Senator Sherwin "Win" T. Gatchalian

asr-004259

kanina that

Senator Sherwin "Win" T. Gatchalian

asr-004260

it's part of your activity.

Senator Sherwin "Win" T. Gatchalian

asr-004261

So where are we now in the

Senator Sherwin "Win" T. Gatchalian

asr-004262

fuel audit?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004263

After our hearing,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004264

one of the hearings of the Committee

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004265

on Energy, we formed

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004266

an audit, fuel

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004267

audit TWG

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004268

within ERC headed by

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004269

our Executive Director and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004270

we came out with the

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004271

audit procedure for how

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004272

we will be able to conduct

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004273

such audit and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004274

for our audit procedure,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004275

we will be doing it in batches

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004276

and we have started already

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004277

with the first batch and

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004278

the TWG is just completing

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004279

the report to be submitted

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004280

to the Commission.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004281

And as soon as this report

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004282

is submitted, we will submit

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004283

that also to the Senate.

Senator Sherwin "Win" T. Gatchalian

asr-004284

Ang resolution, there's a

Senator Sherwin "Win" T. Gatchalian

asr-004285

mechanism and a resolution

Senator Sherwin "Win" T. Gatchalian

asr-004286

on how to conduct.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004287

Yes, Madam Chair, we have

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004288

already come out with the audit procedure.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004289

And included in that is the data request. So our team has already identified the first batch and issued out the letters directing them to submit.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004290

And some of those that were issued the letters already submitted so they proceeded with the audit now of those.

Senator Sherwin "Win" T. Gatchalian

asr-004291

Mayroon rin ng mga corresponding penalties or fines if ever di mag-cooperate? Kasi this is a very, you'll rely on the information that they will give eh. Tama?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004292

Yes.

Senator Sherwin "Win" T. Gatchalian

asr-004293

So paano kung hindi sila magbigay ng information?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004294

Next time we will make sure that they will be compelled if they will not voluntarily give these documents or we will consider,

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004295

we will not consider any.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004296

Any allowable cost for those without any supporting document. So that by itself will be their penalty because they will have to absorb that later on when we do their confirmation of their pass-through charges.

Senator Sherwin "Win" T. Gatchalian

asr-004297

So mayroon na yun, kumpleto na. May penalties, fines, mechanism, when to submit, how the audit procedures, kumpleto na yun.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004298

Yes po. We issued that and informed the utilities of this audit procedure.

Senator Sherwin "Win" T. Gatchalian

asr-004299

Okay. And also the GENCOs?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004300

Yes.

Senator Sherwin "Win" T. Gatchalian

asr-004301

Everyone?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004302

Oo.

Senator Sherwin "Win" T. Gatchalian

asr-004303

I filed a resolution to that effect, Resolution 581. So once na may movement na doon sa audit, hingi kami ng update and information.

Senator Sherwin "Win" T. Gatchalian

asr-004304

So we want to see. Ang importante, Chairman, kung mayroon man nakita kayong discrepancy, meaning the fuel is only this much but it's passed on 2, 3, 4 times higher,

Senator Sherwin "Win" T. Gatchalian

asr-004305

what will be the penalty to that?

Senator Sherwin "Win" T. Gatchalian

asr-004306

Ano bang penalty pag ganoon?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004307

First, we will disallow the cost that is not duly supported.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004308

And second, we'll issue the show cause against the erring entity if it is the generation that is at fault that submitted their cost or supporting documents that are falsified.

Senator Sherwin "Win" T. Gatchalian

asr-004309

But can they do the refund?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004310

Yes.

Senator Sherwin "Win" T. Gatchalian

asr-004311

And so far,

Senator Sherwin "Win" T. Gatchalian

asr-004312

Diba?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004313

Yes, pwede.

Senator Sherwin "Win" T. Gatchalian

asr-004314

You can command a refund because it's the price they passed on is exorbitant.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004315

Yes. Yes, SPN. We will make sure that they will refund on top of the imposition of the penalties.

Senator Sherwin "Win" T. Gatchalian

asr-004316

Thank you. Thank you for that. And last question, Madam Chairperson. Ano na ang weighted average cost of capital natin, yung sa WACC?

Senator Sherwin "Win" T. Gatchalian

asr-004317

Kasi that's also another way of lowering down electricity. One number has a far-reaching effect in lowering down electricity.

Senator Sherwin "Win" T. Gatchalian

asr-004318

Matagal yan na pa ako sa mataas eh. So, because hindi nagre-reset, hindi nare-revisit, but ngayon nakita ko nagre-reset na tayo. So, how much is it right now? What is it?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004319

Yes, the last, before we were able to finally complete one rate reset for Group A.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004320

Just a few weeks ago, we, the WACC that was being implemented based on the last rate reset set more than a decade ago was 14.57.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004321

But in our last decision for one of the Group A DUs, the WACC that we approved was only 13.79.

Senator Sherwin "Win" T. Gatchalian

asr-004322

Pagkaunti lang binawas, dapat single digit na yan.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004323

It reflects the current cost. It reflects the current cost of capital we have now.

Senator Sherwin "Win" T. Gatchalian

asr-004324

Because that's a factor on what return do we give, what return the government allows the utility to make.

Senator Sherwin "Win" T. Gatchalian

asr-004325

So, dapat reasonable lang naman. Dapat may return sila, but it should be reasonable within the market range.

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004326

Yes, Madam Chair. It is within the market range, except that in the past few months, we've seen interest rates go up and also the cost of capital for equity brought about by a lot of the uncertainties and risks that the investors...

Senator Sherwin "Win" T. Gatchalian

asr-004327

I hope na umabot yan to single digit. Andito yung mga commissioners natin.

Senator Sherwin "Win" T. Gatchalian

asr-004328

So, kompleto ba yung mga commissioners?

ERC Chairperson and CEO Francis Saturnino C. Juan

asr-004329

One who's on sick leave.

Senator Sherwin "Win" T. Gatchalian

asr-004330

Ako yung usap ko, mapababain natin to single digit.

Senator Sherwin "Win" T. Gatchalian

asr-004331

Tingin ko kaya.

Senator Sherwin "Win" T. Gatchalian

asr-004332

If you talk about T-bills, that's 4-5%.

Senator Sherwin "Win" T. Gatchalian

asr-004333

Country risk, about 7, maybe another 2-3%.

Senator Sherwin "Win" T. Gatchalian

asr-004334

So, that's about 8%.

Senator Sherwin "Win" T. Gatchalian

asr-004335

Sabihin mo ng Philippines has more risk, so about 9%.

Senator Sherwin "Win" T. Gatchalian

asr-004336

So, I think kaya.

Senator Sherwin "Win" T. Gatchalian

asr-004337

I think kaya.

Senator Sherwin "Win" T. Gatchalian

asr-004338

So, just put that on the table para pag-aralan lang ng regulator.

Senator Sherwin "Win" T. Gatchalian

asr-004339

Because that's one of the fastest way to lower down electricity rates.

Senator Sherwin "Win" T. Gatchalian

asr-004340

Madam Chair.

Senator Sherwin "Win" T. Gatchalian

asr-004341

Thank you.

Senator Sherwin "Win" T. Gatchalian

asr-004342

Thank you, Madam Chair.

Senator Sherwin "Win" T. Gatchalian

asr-004343

Thank you for the opportunity to propound questions.

Senator Sherwin "Win" T. Gatchalian

asr-004344

Thank you.

Senator Pia S. Cayetano

asr-004345

Thank you, Mr. Senate President, for being here because I need your help with the budgetary support.

Senator Pia S. Cayetano

asr-004346

So, you have the energy sector needs.

Senator Pia S. Cayetano

asr-004347

So, on that note, everyone, I know with the crisis, you have somehow been in survival mode.

Senator Pia S. Cayetano

asr-004348

But I want to take the opportunity to thank you and congratulate you for navigating.

Senator Pia S. Cayetano

asr-004349

May kuryente pa naman tayo.

Senator Pia S. Cayetano

asr-004350

But of course, the goal is to really make it 24-7.

Senator Pia S. Cayetano

asr-004351

Even without the energy crisis, they have their...

Senator Pia S. Cayetano

asr-004352

were challenges.

Senator Pia S. Cayetano

asr-004353

But I would be remiss in my

Senator Pia S. Cayetano

asr-004354

job as

Senator Pia S. Cayetano

asr-004355

the chairman of the committee on sustainable

Senator Pia S. Cayetano

asr-004356

development goals, innovation, and futures

Senator Pia S. Cayetano

asr-004357

thinking if I don't

Senator Pia S. Cayetano

asr-004358

bring up and emphasize

Senator Pia S. Cayetano

asr-004359

and end this hearing on

Senator Pia S. Cayetano

asr-004360

an SDG note. And

Senator Pia S. Cayetano

asr-004361

SDG 7 is

Senator Pia S. Cayetano

asr-004362

mag-exam ba ako? Mag-quiz ba

Senator Pia S. Cayetano

asr-004363

ako? Kung alam nyo kung ano yun, ha?

Senator Pia S. Cayetano

asr-004364

Clean and affordable energy.

Senator Pia S. Cayetano

asr-004365

So SDG 7 is clean and

Senator Pia S. Cayetano

asr-004366

affordable energy, everyone.

Senator Pia S. Cayetano

asr-004367

And I think we are on track

Senator Pia S. Cayetano

asr-004368

for the clean, no?

Senator Pia S. Cayetano

asr-004369

So congratulations

Senator Pia S. Cayetano

asr-004370

for that. I mean, it's not just something

Senator Pia S. Cayetano

asr-004371

atin lang kasi the same

Senator Pia S. Cayetano

asr-004372

way we're so affected by what happens

Senator Pia S. Cayetano

asr-004373

globally, yun nga yung pagbabaan ng presyo

Senator Pia S. Cayetano

asr-004374

ng battery, ng solar,

Senator Pia S. Cayetano

asr-004375

we benefit

Senator Pia S. Cayetano

asr-004376

from it. So dapat pababain pa

Senator Pia S. Cayetano

asr-004377

natin to the consumer.

Senator Pia S. Cayetano

asr-004378

Pero yung affordable,

Senator Pia S. Cayetano

asr-004379

medyo dyan

Senator Pia S. Cayetano

asr-004380

pa tayo pwedeng

Senator Pia S. Cayetano

asr-004381

mag-improve

Senator Pia S. Cayetano

asr-004382

kasi yung mix,

Senator Pia S. Cayetano

asr-004383

nga natin, it's not purely

Senator Pia S. Cayetano

asr-004384

renewable. If it was purely renewable, then

Senator Pia S. Cayetano

asr-004385

we're on track for clean and affordable,

Senator Pia S. Cayetano

asr-004386

correct? But it is not purely

Senator Pia S. Cayetano

asr-004387

renewable. We still have 62%

Senator Pia S. Cayetano

asr-004388

of coal. So

Senator Pia S. Cayetano

asr-004389

and then the remaining balance

Senator Pia S. Cayetano

asr-004390

is, what, mga 17%

Senator Pia S. Cayetano

asr-004391

of others. So we can still

Senator Pia S. Cayetano

asr-004392

improve on that.

Senator Pia S. Cayetano

asr-004393

For energy security, it's not enough

Senator Pia S. Cayetano

asr-004394

that we are in survival mode, no?

Senator Pia S. Cayetano

asr-004395

We have to really look into the future.

Senator Pia S. Cayetano

asr-004396

And I need us to see

Senator Pia S. Cayetano

asr-004397

and I'd like you to submit this to me.

Senator Pia S. Cayetano

asr-004398

Nothing fancy,

Senator Pia S. Cayetano

asr-004399

because you do have the energy plan.

Senator Pia S. Cayetano

asr-004400

10, 20, 30,

Senator Pia S. Cayetano

asr-004401

50 years, because if you haven't

Senator Pia S. Cayetano

asr-004402

heard me say this before,

Senator Pia S. Cayetano

asr-004403

there are countries that have a plan

Senator Pia S. Cayetano

asr-004404

for seven generations

Senator Pia S. Cayetano

asr-004405

to come.

Senator Pia S. Cayetano

asr-004406

So kahit hindi naman siguro seven generations,

Senator Pia S. Cayetano

asr-004407

kahit two to three,

Senator Pia S. Cayetano

asr-004408

hindi na talaga natin naabutan yun, but siguro

Senator Pia S. Cayetano

asr-004409

that's what our grandchildren,

Senator Pia S. Cayetano

asr-004410

something like that.

Senator Pia S. Cayetano

asr-004411

It's being done.

Senator Pia S. Cayetano

asr-004412

So it's not something I'm inventing.

Senator Pia S. Cayetano

asr-004413

That is a practice of countries that

Senator Pia S. Cayetano

asr-004414

are truly

Senator Pia S. Cayetano

asr-004415

future-proofing their country.

Senator Pia S. Cayetano

asr-004416

So

Senator Pia S. Cayetano

asr-004417

By investing in long-term security, then we'll have to make tough decisions. That's for sure. And we'll have to allocate limited funds. That's also sure that limited lang yung funds natin. But these are for the programs that will ensure that the average Filipino has, again, access to clean and affordable energy.

Senator Pia S. Cayetano

asr-004418

So, on that note, Mr. President, I am happy to [unclear] siguro, no? Wala nang? Yes, Secretary.

DOE Secretary Sharon S. Garin

asr-004419

Before you wrap up, I know we have sent a letter with all the possible requests for funding. This includes the system loss for NEA and all that.

DOE Secretary Sharon S. Garin

asr-004420

But as a priority, Madam Chair, we would rather have?

DOE Secretary Sharon S. Garin

asr-004421

If there's available funding, then that the increase in the ERC funding be done.

DOE Secretary Sharon S. Garin

asr-004422

Because sila yung kailangan nila ng faster resolution of all the issues will help also.

Senator Pia S. Cayetano

asr-004423

That's the 720 million. We noted that.

Senator Pia S. Cayetano

asr-004424

Yun lang yung…

Senator Pia S. Cayetano

asr-004425

And kayang-kaya ni SP yan, saka ni Chairman.

DOE Secretary Sharon S. Garin

asr-004426

We'll give way to them first. Kung may natirapay, then we can request.

Senator Sherwin "Win" T. Gatchalian

asr-004427

Quick question lang.

Senator Sherwin "Win" T. Gatchalian

asr-004428

Yung system loss, non-technical yun sa NEA?

DOE Secretary Sharon S. Garin

asr-004429

Non-technical, yeah.

Senator Sherwin "Win" T. Gatchalian

asr-004430

Non-technical. And so, the concept, gobyerno mag-absorb yung non-technical?

Senator Sherwin "Win" T. Gatchalian

asr-004431

Saka pa-absorb rin ng private sector sa atin, private DU sa atin.

Senator Sherwin "Win" T. Gatchalian

asr-004432

Libre nga.

NEA Administrator Antonio Mariano C. Almeda

asr-004433

SP, the non-technical system loss fund request was to add up to the equity loan facility of NEA

NEA Administrator Antonio Mariano C. Almeda

asr-004434

to extend loans to electric cooperatives.

NEA Administrator Antonio Mariano C. Almeda

asr-004435

Hindi po subsidy yun. Yun po ay pandagdag sa equity loan namin para maipautang namin sa mga electric cooperatives

NEA Administrator Antonio Mariano C. Almeda

asr-004436

to upgrade their facilities mainly on their metering requirements.

NEA Administrator Antonio Mariano C. Almeda

asr-004437

So, we found it palatable na hindi po namin ibibigay as a subsidy.

NEA Administrator Antonio Mariano C. Almeda

asr-004438

Pautangin po nila as their CAPEX requirement to upgrade their facility para mawala ho yung non-technical system loss.

Senator Sherwin "Win" T. Gatchalian

asr-004439

Non-technical yun.

NEA Administrator Antonio Mariano C. Almeda

asr-004440

Sa non-technical po.

Senator Sherwin "Win" T. Gatchalian

asr-004441

Non-technical is pilferage, di ba?

NEA Administrator Antonio Mariano C. Almeda

asr-004442

Well, nung previous hearings po, prinisinta namin, meron po kasi kaming isang case in point na isang electric cooperative

NEA Administrator Antonio Mariano C. Almeda

asr-004443

na napakataas ng system loss, total system loss.

NEA Administrator Antonio Mariano C. Almeda

asr-004444

And we identified po, much of that is non-technical pilferage.

NEA Administrator Antonio Mariano C. Almeda

asr-004445

I am talking about referring to Zamboanga City Electric Cooperative.

NEA Administrator Antonio Mariano C. Almeda

asr-004446

So, when we implemented it,

NEA Administrator Antonio Mariano C. Almeda

asr-004447

a pilot plan from January to July, from 23%, we brought it down to 13%.

NEA Administrator Antonio Mariano C. Almeda

asr-004448

Ang ginawa lang ho namin, hinanap lang ho namin yung walang metro at saka yung mga koneksyon na iligal, minetrohan ho namin.

NEA Administrator Antonio Mariano C. Almeda

asr-004449

So, the same formula po, yun ang gagawin ho namin sa mga ibang electric cooperative.

Senator Sherwin "Win" T. Gatchalian

asr-004450

Pilferage, in other words, lalagyan ng metro para magbayad.

NEA Administrator Antonio Mariano C. Almeda

asr-004451

Opo.

NEA Administrator Antonio Mariano C. Almeda

asr-004452

Opo.

Senator Sherwin "Win" T. Gatchalian

asr-004453

Okay.

Senator Sherwin "Win" T. Gatchalian

asr-004454

Ganun kasimple lang.

NEA Administrator Antonio Mariano C. Almeda

asr-004455

Ganun.

NEA Administrator Antonio Mariano C. Almeda

asr-004456

Ganun kasimple lang.

Senator Sherwin "Win" T. Gatchalian

asr-004457

Okay.

Senator Sherwin "Win" T. Gatchalian

asr-004458

Thank you.

DOE Secretary Sharon S. Garin

asr-004459

Thank you, Madam Chair.

DOE Secretary Sharon S. Garin

asr-004460

Madam Chair, on your comment on the future proofing, we can submit, other than the Philippine

DOE Secretary Sharon S. Garin

asr-004461

energy plan, we also have recently finished the fuel transition plan that will give us

DOE Secretary Sharon S. Garin

asr-004462

energy security in a sense na less dependence in petroleum products.

DOE Secretary Sharon S. Garin

asr-004463

So, we'll submit it to your office also.

Senator Pia S. Cayetano

asr-004464

Thank you.

Senator Pia S. Cayetano

asr-004465

So, with no more questions.

Senator Pia S. Cayetano

asr-004466

The budget of DOE and its attached corporations and the ERC are deemed submitted to plenary

Senator Pia S. Cayetano

asr-004467

subject to, of course, any of our colleagues, if they have questions, we'll facilitate so

Senator Pia S. Cayetano

asr-004468

you can provide answers to them.

Senator Pia S. Cayetano

asr-004469

So, on that note, congratulations, everyone.

Senator Pia S. Cayetano

asr-004470

Be ready for the plenary.

Senator Pia S. Cayetano

asr-004471

Dahil ako na yung sasagot doon.

Senator Pia S. Cayetano

asr-004472

So, be ready na ready ako.

Senator Pia S. Cayetano

asr-004473

Thank you.

Senator Pia S. Cayetano

asr-004474

Thank you, Mr. President.