DC2019-12-0016 (Promulgating the Renewable Energy Market Rules)
Department Circular No. DC2019-12-0016 “Promulgating the Renewable Energy Market Rules” Issued: 1 December 2019 | Effective: ~16 December 2019 (15 days after publication) Secretary: Alfonso G. Cusi
Document Type
6-page enabling circular. The REM Rules themselves are attached as Annex A (not captured in the pdftotext extraction — Annex A is a separate physical document). This circular establishes the governance and transitory framework; the substantive market rules are in Annex A.
Key Provisions
| Section | Provision |
|---|---|
| §2 | Scope: 4 categories — Mandated Participants (on-grid and off-grid); RE GenCos in WESM; Net Metering participants; GEOP participants |
| §3 | REM Governance Committee (RGC) created; placed under PEM Board supervision |
| §4 | RGC responsibilities: oversee RE Registrar activities; ensure REM/RPS compliance; regular reports to PEM Board |
| §5(a)(i) | PEMC: submit Readiness Criteria to DOE within 30 days |
| §5(a)(ii) | PEMC: submit Certification on readiness within 6 months; REM starts upon DOE validation |
| §5(b) | FIT-All Fund Administrator: provide DOE and PEMC all data necessary for REC allocation before REM launch |
| §5(d) | PEMC: implement WESM Rules changes before REM launch |
| §6 | Mindanao and off-grid Mandated Participants: submit relevant data to RE Registrar |
| §7 | PEMC authorized to file structure and level of transaction fees with ERC |
| §8 | PEMC to develop REC Price Cap; approved by ERC |
| §9 | ERC to provide regulatory support including RE price mitigation |
| §10 | PEMC: annual REM performance report to DOE by end of June each year |
| §11–12 | Violations subject to administrative and/or criminal penalties under RE Act §§35–36 |
RE Registrar Transfer Provision
PEMC performs RER functions initially. Within one (1) year from the start of REM commercial operations, RER functions, assets, and liabilities transfer to the entity performing market operations. This provision anticipated the eventual separation of the RE Registrar from PEMC and its absorption by IEMOP.
Significance
DC2019-12-0016 is the founding document of the Philippine REM. It was promulgated 11 years after RA 9513 (2008) and 10 years after the RE Act IRR (DC2009-05-0008) both directed the DOE to establish the REM. The delay reflected the extensive consultations held from 2017 to 2019. The PREMS platform launched 17 December 2019 (16 days after this circular). Commercial operations began in June 2022 via DC2022-06-0019.
Wiki Target
- Updated: Renewable Energy Market (REM) — added “Founding Circular (DC2019-12-0016)” section
Full text: Cleaned copy