Philippine Energy Policy Wiki

EO 137 (s. 2013) — Mindanao Modular Generator Sets (Gensets) Program

Status
operative
Confidence
high
Effective date
2013-07-12

Full title: The Mindanao Modular Generator Sets (Gensets) Program

Signed: July 12, 2013 | President: Benigno S. Aquino III

Context

The Mindanao Power Monitoring Committee (MPMC, created under EO 81/2012) and the DOE as Co-Chair concluded that the Interruptible Load Program (ILP) and Interim Mindanao Electricity Market (IMEM) Program were insufficient to address the deteriorating power situation in Mindanao. The MPMC recommended modular gensets as an immediate short-term solution until baseload plants came online by 2015 [EO 137, s. 2013, WHEREAS ¶1–2, 2013-07-12].

Key Provisions

§1 — Program creation: The Mindanao Modular Gensets Program established to provide additional power supply to Mindanao electricity end-users through loans to participating electric cooperatives (ECs) for acquisition of modular gensets. Lead agency: DOE; implementor: National Electrification Administration (NEA) [EO 137, s. 2013, §1, 2013-07-12].

§2 — Funding: DBM directed to release ₱4,500,000,000 (₱4.5 billion) sourced from the Malampaya Fund (SAGF-151 / Fund 151 of the DOE) [EO 137, s. 2013, §2, 2013-07-12].

§3 — Implementation: NEA, in consultation with MinDA, may seek assistance from AMRECO and other Mindanao stakeholders [EO 137, s. 2013, §3, 2013-07-12].

§4 — Reporting: NEA through DOE to submit monthly reports on implementation and fund disbursement to the Office of the President, copy to MinDA [EO 137, s. 2013, §4, 2013-07-12].

§5 — Guidelines: DOE to issue implementing rules within 15 days [EO 137, s. 2013, §5, 2013-07-12].

Policy Notes

  • ₱4.5 billion is one of the largest single Malampaya Fund disbursements on record; it drew subsequent controversy as part of the broader Malampaya Fund misuse allegations
  • Malampaya Fund (SAGF-151) derives from SC 38 government share (10% of gross output); authorized for energy resource development under PD 910 and EO 848 (2009)
  • See Malampaya Gas Field for Malampaya Fund context and Mindanao Modular Generator Sets (Gensets) Program for program detail

Full text: Cleaned copy