DOE Issues Guidelines on the Issuance of the Certificate of Energy Efficiency Cost Reductions

On 22 March 2022, the Department of Energy (“DOE”) issued Department Order No. DO2022-03-0005 (“DO2022-03-0005”) or the guidelines on the issuance of the Certificate of Energy Efficiency Cost Reductions (“EECR”). This is in furtherance of the provisions of the Government Energy Management Program (“GEMP”) Guidelines which provided for the implementation of GEMP and the issuance of EECR Certificates for qualified government entities (“GEs”). These certificates may be used by the GEs for improvements in energy efficiency and conservation in their facilities, and other incentives, subject to budgetary, civil service, and auditing laws, rules, and regulations. 

Under DO2022-03-0005, EECRs shall be derived from mandatory expenditures under the General Appropriations Act programmed for petroleum, oil, lubricants, illumination, and power services. EECRs that will be considered must be generated from recognized activities, initiatives, and projects under the GEMP Guidelines. The issuance does not cover EECR for advanced vehicles (e.g., electric and hybrid vehicles) as well as other vehicle types for land (e.g., farm machinery, heavy equipment, rail systems, etc.), air, and sea. 

GEs that would like to be issued EECR Certificates must attain a reduction of at least five percent (5%) for energy consumption from the base period of January to December 2015 or the applicable base period approved by the DOE. GEs that would opt to use a different base period must request for such change by submitting an Endorsement Letter for Change in Base Period (Annex B of DO2022-03-0005). EECR Certificates can only be computed for a 12-month period. For GEs with alternative work arrangements as approved by the Civil Service Commission, the request for an EECR Certificate shall be considered for those adopting a manpower complement of not less than fifty percent (50%) for more than six (6) months.

Interested GEs must submit an Endorsement Letter (Annex A of DO2022-03-0005) through their Energy Efficiency and Conservation (“EEC”) Officer and/or EEC Focal Person. The letter and its attachments may be submitted through email to gemp@doe.gov.ph for those GEs utilizing the GEMP Online System. On the other hand, those that prefer to submit the documents physically may do so by submitting the same to the DOE Records Management Division. The letter request for the issuance of the EECR Certificate may be filed from January to March of the year following the period covered.

Complete submissions will be processed by the DOE through the Energy Utilization Management Bureau (“EUMB”). Meanwhile, GEs with incomplete submissions will be given seven (7) days to comply, otherwise, the submissions will be returned. 

The EUMB shall maintain a registry of issued EECR Certificates and make reports to the Inter-Agency Energy Efficiency and Conservation Committee through the DOE Secretary annually. 

For a copy of the issuance and its annexes, please refer to this link.