Energy Efficiency and Conservation (EEC)
The Philippine Energy Efficiency and Conservation (EEC) framework is anchored in RA 11285 (Energy Efficiency and Conservation Act of 2019) and operationalized through the National Energy Efficiency and Conservation Plan (NEECP) and Roadmap 2023–2050, under the coordination of the Inter-Agency Committee on Energy Efficiency and Conservation (IAEECC) [PEP 2023-2050 Vol. II, pp.54–59, 2023].
The 2050 objective is a measurable annual reduction in energy intensity and consumption versus business-as-usual (BAU) across six sectors: Government, Commercial, Residential, Industrial, Transport, and Utilities/End-Use [PEP 2023-2050 Vol. II, Figure 14, 2023]. EEC is one of the six pillars of the Philippine Energy Transition Program (PETP) and the second thematic focus of the CEFI Roadmap / CEFIM Programme .
See Energy Intensity and Efficiency Indicators for baseline metrics (3.1 TOE/MPhP in 2022; −2.6%) and scenario projections.
Statutory Basis (RA 11285, 2019)
Declaration of Policy (§2): Four goals — (a) institutionalize EEC as a national way of life; (b) promote efficient RE technologies; (c) reinforce related laws; (d) ensure a market-driven approach to EEC [RA 11285, Section 2, 2019].
Key statutory distinctions in §4:
| Term | Statutory clarification |
|---|---|
| CECO (Type 1 DE officer) | TESDA-certified (PQF Levels 1–5); handles Type 1 DEs; technical-vocational track |
| CEM (Type 2 DE manager) | CHED-certified; licensed engineers only; handles Type 2 DEs; professional engineering track |
| NEECP | Must result from multi-stakeholder consultative process; regularly reviewed and revised |
| LEECP | Must be aligned with NEECP; implemented through the LGU’s EECO |
| GEMP | Statutory definition: reduces monthly government consumption of electricity and petroleum |
| DE | Identified by DOE based on annual energy consumption thresholds specified in the Act and subject to DOE adjustment |
[RA 11285, Section 4, 2019]
CEM vs. CECO certification track (§12): The existing wiki data shows 488 CEMs vs. 184 CECOs — this reflects the statutory dual-track design: CEMs are licensed engineers (CHED system, higher barrier), while CECOs are TESDA-certified technicians (broader pool, technical-vocational). CEMs serve Type 2 DEs (higher consumption threshold); CECOs serve Type 1 DEs [RA 11285, Section 12, 2019].
Designated Establishments (DEs)
DEs are large energy consumers mandated under RA 11285 to implement energy management systems and report annual consumption data. Statutory classification (§19, §22) [RA 11285, Sections 19, 22, 2019]:
| Category | Annual Consumption | Professional Required | Key Obligations |
|---|---|---|---|
| Other Establishments | 100,000–499,999 kWh | None | Annual consumption report + ISO 50001; voluntary audit |
| Type 1 DE | 500,000–4,000,000 kWh | CECO | All 9 obligations in §20 |
| Type 2 DE | >4,000,000 kWh | CEM | All 9 obligations in §20 |
Thresholds subject to periodic DOE review and adjustment.
All Type 1 and Type 2 DEs must: implement ISO 50001 energy management system; set annual EE targets; keep monthly energy records; submit annual ECCR by April 15; conduct energy audit every 3 years (by certified auditor or accredited ESCO); employ the required professional; notify DOE within 10 working days of CECO/CEM personnel changes [RA 11285, Section 20, 2019].
As of December 2023:
- 4,730 DEs submitted annual energy consumption reports via the DOE DE Online Submission Portal (launched June 2023, developed in partnership with USAID)
- Breakdown: 3,197 commercial / 1,501 industry / 32 transport
- Aggregate electricity savings: 465.78 GWh
- Total investments from DEs: PhP 6.775 billion — on equipment acquisition, lighting conversion, system rehabilitation, RE projects, process automation, and electrical systems improvement
[PEP 2023-2050 Vol. II, pp.50–51, 2023]
Energy Service Companies (ESCOs)
ESCOs are DOE-registered/certified juridical entities that design, deliver, and guarantee EE projects and energy savings. As of 31 December 2023, 56 ESCOs are registered [PEP 2023-2050 Vol. II, p.51, 2023].
Cumulative ESCO performance (Dec 2023):
- Electricity savings: 610.61 GWh
- Investment: PhP 6.38 billion
Top project types by investment (Table 28):
| Project Type | Investment (PhP) | Savings (kWh/yr) |
|---|---|---|
| Energy Audit | 3,123,396,142 | 260,568,085 |
| Installation of Energy Efficient Technology | 1,860,059,255 | 310,912,312 |
| Solar PV Systems | 1,041,639,351 | 10,856,512 |
| HVAC Retrofitting | 210,000,000 | 10,000,000 |
| Energy Performance Contract | 45,021,077 | 17,671,388 |
| Chiller System Upgrade | 22,018,000 | 395,775 |
| Vapor Absorption Machine | 20,000,000 | 164,250 |
[PEP 2023-2050 Vol. II, Table 28, 2023]
EEC Practitioners
Under DC2021-01-0001 (Guidelines for Certification of ECOs, CEMs, and EAs), 901 Energy Efficiency Practitioners are now certified [PEP 2023-2050 Vol. II, p.52, 2023]:
| Designation | Abbreviation | Count |
|---|---|---|
| Certified Energy Managers | CEM | 488 |
| Certified Energy Conservation Officers | CECO | 184 |
| Certified Energy Auditors | CEA | 229 |
| Total | 901 |
Training is conducted by Registry of Recognized Training Institutions (RTIs). DC2023-05-0009 (GEMP Guidelines) added a GEMP-specific RTI stream, resulting in two GEMP-certified RTIs: MERALCO Power Academy and PAMAV Training Institute and Technology Center, Inc. [PEP 2023-2050 Vol. II, p.52, 2023].
Fiscal Incentives for EE Projects (CREATE Act)
The Strategic Investments Priority Plan (SIPP) under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act covers EE projects. BOI endorsement guidelines issued via DCs 2021-05-0011 and 2022-03-0004, covering four project classifications [PEP 2023-2050 Vol. II, p.53, 2023]:
- Simple: Equipment-level upgrades (lighting retrofit, HVAC, boiler replacement)
- Complex: System-level upgrades (cogeneration, district cooling, DSM, BEMS)
- New: Innovative projects reducing energy consumption (green buildings, EVs)
- Expansion: Additional EE capacity on existing projects
As of December 2023: 3 active BOI endorsement applications (2 New + 1 Simple).
Energy Efficiency Excellence (EEE) Awards
DO 2021-09-0014 governs the EEE Awards program. In December 2023, 27 recipients were selected from 344 entries (16 government + 328 private). Combined energy savings from awardees: 20,148.24 MWh [PEP 2023-2050 Vol. II, p.53, 2023].
EEC Roadmap 2023–2050
The EEC Roadmap (Figure 14) establishes priority action plans across three time horizons [PEP 2023-2050 Vol. II, pp.55–57, 2023]:
| Horizon | Period | Key Actions |
|---|---|---|
| Short-term | 2023–2024 | Financing modalities for gov/private EE projects; adopt building design guidelines; expand PELP/MEPP; capacitate practitioners; develop NEECD |
| Medium-term | 2025–2028 | Rolling pipeline of gov EE projects; building energy efficiency indices; MEPP for motors; EV industry incentives; DSM policies; GEMP continuation |
| Long-term | 2029–2050 | EEC Institute; EE projects in low-income neighborhoods; congestion taxes exploration; R&D capacity; EEC Knowledge Management Framework |
Detailed strategic activities by sector (Table 32) are published in DC2023-05-0018 [PEP 2023-2050 Vol. II, p.56, 2023].
NEECP Formal Adoption (DC2023-05-0018)
DC2023-05-0018 (25 May 2023) is the adopting circular that officially enacts the NEECP and Roadmap 2023–2050 as DOE policy. Key provisions [DC2023-05-0018, §§1–5, 2023-05-25]:
- EUMB leads the NEECP and is responsible for updates every three (3) years
- IEC campaign mandate flows from EEC-IRR §85 (DC2019-11-0014); EUMB must develop and undertake national EEC awareness programs in partnership with stakeholders
- The NEECP was developed through multi-stakeholder consultations: public comment period January–February 2023; virtual public consultation on April 17, 2023
- The substantive NEECP document is an Annex to the circular; the OCR-extracted text captures only the adopting provisions and not the full annex content
NEECP Emissions Avoidance Targets (Table 31)
Sectoral GHG emissions avoidance from EEC programs across the planning horizon [PEP 2023-2050 Vol. II, Table 31, 2023]:
| Sector | Program | Short-Term (2023–24) | Medium-Term (2025–28) | Long-Term (2029–50) |
|---|---|---|---|---|
| Government | GEMP | 1.87 MtCO₂e | 3.31 MtCO₂e | 25.06 MtCO₂e |
| Commercial | PELP/MEPP | 7.51 MtCO₂e | 13.28 MtCO₂e | 100.50 MtCO₂e |
| Residential | PELP/MEPP | 18.56 MtCO₂e | 32.79 MtCO₂e | 248.21 MtCO₂e |
| Industrial | PELP/MEPP | 17.43 MtCO₂e | 30.81 MtCO₂e | 233.18 MtCO₂e |
| Transport | VFELP/FEPR | Pending | Pending | Pending |
| Transport | EVCS | Pending | Pending | Pending |
| Transport | 10% EV penetration by 2040 | N/A | N/A | 116.54 MtCO₂e |
| Utilities/End-Use | Power Sector Efficiency | 4.34 MtCO₂e | 7.53 MtCO₂e | 54.03 MtCO₂e |
Data gap: Transport sector VFELP/FEPR and EVCS avoidance targets are listed as “Pending” in the 2023 PEP — no quantified transport EE reduction target beyond the 10% EV penetration goal by 2040.
Investment Requirements (Table 33)
Total EEC investment 2023–2050: PhP 41.66 billion — dominated by private-sector DE and ESCO spending [PEP 2023-2050 Vol. II, Table 33, 2023]:
| Program | Gov Inv (PhP M) | Private Inv (PhP M) | Jobs |
|---|---|---|---|
| GEMP | 147.57 | — | 921* |
| PELP | 74.46 | 184.55 | 343 |
| VFELP | 338.01 | 92.27 | 631 |
| Designated Establishments | — | 25,296.18 | 370 |
| Energy Service Companies | — | 15,529.66 | 350 |
| Total | 560.04 | 41,102.66 | 2,615 |
(*2023 data only for GEMP jobs)
Government investment (PhP 560M) is primarily VFELP program development. DE and ESCO private spending (PhP 40.8B combined) drive 98% of total EEC investment.
Governance Structure
- IAEECC — Inter-Agency Committee on Energy Efficiency and Conservation; issues resolutions directing gov-wide EEC implementation (e.g., Resolution No. 5 s.2022 on GEMP); coordinates across agencies
- NEECO — National Energy Efficiency and Conservation Office; to be established under DOE as primary EEC coordination body; will coordinate with LGUs on EEC project identification and evaluation
- NEECD — National Energy Efficiency and Conservation Database; planned for monitoring, verification, enforcement, and evaluation of EEC progress across all sectors
See Government Energy Management Program (GEMP) for the government-sector EEC program, Philippine Energy Labeling Program (PELP) for appliance labeling, and Vehicle Fuel Economy Labeling Program (VFELP) for vehicle fuel economy labeling.