The Department of Energy (DOE) is expecting improvements in the country’s power sector policies with a proposal calling for the standardization of the local power generation sector’s accountability to ensure sufficient, reliable, affordable and secure power supply.
Based on a draft circular of the proposed Power Generation Accountability Policy available at the agency’s website, the government is looking at all generation companies in the country, both grid-connected and off-grid, to operate their facilities with valid certificates, licenses, authorizations and similar consents or documents from the DOE, Energy Regulatory Commission (ERC) and other relevant government agencies.
The draft circular also wants local power generation companies to comply with all the terms, conditions and commitments set from certificates, licenses, authorizations, agreement and similar documents, while maintaining their facilities “at par with the standards” set by regulatory rules and industry best practices.
The proposed policy also bestows the DOE with the mandate to monitor and audit generation companies, with the results to be used by the ERC to start further investigations and/or impose penalties.
Meanwhile, DOE added that a circular which provides guidelines on the priority use of indigenous natural gas over imported supply, has also been issued.
Based on DOE Department Circular 2025-09-0013, signed by Energy Secretary Sharon Garin on September 1, this move is needed as prioritized utilization of indigenous natural gas contributes to the country’s energy security. It reduces the Philippines’ “vulnerability to global disruptions and address future energy demands.”
The agency added that prioritized minimize costs “attributed to long-distance transportation and distribution” which in turn may pull down the cost of electricity.
DOE said the circular also highlights that all users of natural gas must first utilize available indigenous natural gas over imported supply, noting that a special committee was also made in order to make sure that all the provisions of the policy are followed.
