THE Department of Energy (DoE) said it expects no disruptions to its green energy auction (GEA) timetable, despite extensive personnel turnover in the agency responsible for setting ceiling prices.
Assistant Secretary Mylene C. Capongcol said that the DoE does not expect delay since the green energy auction reserve (GEAR) price for the fourth round of GEA (GEA-4) has been released and work on GEA-5 is ongoing.
“There are directors and other commissioners who are familiar with the GEAR pricing, the process is ongoing, but the final decision has to wait for the Commission to be complete,” Ms. Capongcol told reporters on Tuesday.
The DoE has launched two auctions, offering 10,478 megawatts (MW) of renewable energy capacity under GEA-4 and 3,300 MW of capacity under GEA-5.
GEA-4, which covers integrated renewable energy and energy storage systems as well as onshore wind, is scheduled for Sept. 2.
Meanwhile, GEA-5 for offshore wind has gone through public consultations on the terms of reference. It is currently working on the GEAR price to guide potential bidders.
The Energy Regulatory Commission (ERC) determines the GEAR price, or the maximum price in pesos per kilowatt-hour that will serve as the ceiling price for the auction.
ERC Chairperson and Chief Executive Officer Monalisa C. Dimalanta submitted her “irrevocable resignation” on July 10 to the Office of the President (OP).
Her resignation coincides with the concurrent end of term for two ERC’s commissioners on July 9, raising concerns that this would deprive the commission of a quorum to perform its regulatory functions.
“I doubt it will be paralyzed because there are still units within the ERC that are active and continuously performing their mandate under the GEA and other regulations,” Ms. Capongcol said.
At a Palace briefing on Tuesday, newly appointed Energy Secretary Sharon S. Garin believes that the OP will immediately appoint a new ERC chair and replacements for the two commissioners.
“ERC is not under the DoE, it’s our regulator. It’s under the OP. There will be complications now that she’s gone because the number of commissioners will now only be two, no quorum. I think the OP will act swiftly to address that,” Ms. Garin said.
“Unfortunately, I don’t want the stakeholders to think that there’s a major overhaul of the energy industry… We will continue with the policies that are effective. We will do away with policies that are not helpful to the country,” she added.
Ms. Dimalanta left four years earlier than the end of her seven-year term.
“I’m glad I’m leaving at a point when I know I have done all I could for the reforms needed at ERC and I have not done anything I would regret,” she said via Viber.
Ms. Dimalanta said her irrevocable resignation “does not put the appointing authority in a possibly legally tenuous position. At the same time, we protect the agency by not setting a precedent on courtesy resignations or Cabinet reshuffles affecting an independent institution like the ERC.” — Sheldeen Joy Talavera
