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HOME  ❯  SONA 2022 PROMISE TRACKER  ❯  Energy and Environment

Energy and Environment

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(UPDATED) President Ferdinand Marcos Jr.’s promise to boost local energy sources is anchored on private capital, so the government is courting investors to beef up the country’s natural gas and renewable energy industries amid a looming energy crisis.

This is evident in Marcos’ first year in office, when the government clarified that full foreign ownership of renewable energy projects is allowed under the Renewable Energy Act of 2008 (Republic Act No. 9513) and greenlighted 291 contracts for solar power farms all over the country.

It is scrambling to find possible incentives for petroleum service contractors by reviewing a provision in the Oil Exploration and Development Act of 1972 (Presidential Decree No. 87), enacted during the late president Ferdinand Marcos Sr.’s regime. PD No. 87 is said to have discouraged investors because of the required 60-40 net earnings sharing between the Philippine government and a service contractor.

There are plans to build over a  hundred power plants around the country, 48 of which are expected to start operation by year end. Of the total, Luzon takes the lion’s share with 74, while Visayas and Mindanao have 16 and 23, respectively. All are expected to be private sector-initiated.

VERA Files looked at how Marcos fared in his promises in the energy and environment sectors:

Promises

Check The Sources

VERA Files, Energy crisis looms as PH drops joint oil and gas exploration with China, June 26, 2022

The Philippine Star, Concerns raised over looming energy crisis, Jan. 23, 2023

Philstar.com, Giving president emergency powers to address energy crisis a ‘cop out’ – group, May 17, 2023

Department of Energy, Department Circular No. 002022-11-0034, Nov. 15, 2022

Official Gazette of the Philippines, Republic Act No. 9513, Dec. 16, 2008

Official Gazette of the Philippines, Presidential Decree No. 87, s. 1972, Dec. 31, 1972

Manila Bulletin, DOE sets ‘corrective policies’ to lure fresh oil exploration investments, Aug. 12, 2022

GMA News Online, DOE to seek ‘legislative articulation’ on Oil Exploration Act, July 26, 2022

The Philippine Star, Lotilla to clarify perks on upstream investments, July 27, 2022

On increasing energy production

On expanding solar power production

On providing investment incentives; clarifying, reviewing service contracts

On compliance with the International Atomic Energy Agency for nuclear power plants

On increasing use of renewable energy sources

On investments in accurate weather forecasting and on-time disaster alerts

On rehabilitating outdated water supply systems

On passing the Department of Water Resources

On passing the Enabling Law for the Natural Gas Industry

On passing Amendments to the Electric Power Industry Reform Act