# DC2019-10-0013 — Omnibus Guidelines Governing the Award and Administration of Renewable Energy Contracts and the Registration of Renewable Energy Developers **Department Circular No. DC2019-10-0013** Signed: October 1, 2019 | Secretary Alfonso G. Cusi Effectivity: 15 days after complete publication in at least two newspapers of general circulation; copies filed with UP Law Center-ONAR **Status:** Superseded by DC2024-06-0018 (effective 4 July 2024). Partially amended by DC2022-11-0034 (repealed §§3.19, 4.2.1, 4.2.3 on nationality restrictions prior to supersession). Legal basis: RA 7638 §§2, 5(b) (DOE Act); RA 9136 §2 (EPIRA); JAO 2008-1 (Biofuels); RA 9513 §2 (RE Act); RA 9513 IRR DC2009-05-0008 §19(c) Rule 6; RA 11032 (Ease of Doing Business); RA 11234 §2 (EVOSS) Consolidates 13 prior issuances from DC2009-07-0011 through DO2019-07-0018. --- ## CHAPTER I — GENERAL PROVISIONS ## SECTION 1. TITLE "Omnibus Guidelines Governing the Award and Administration of Renewable Energy Contracts and the Registration of Renewable Energy Developers" --- ## SECTION 2. COVERAGE - 2.1 Pre-application, application, and award of RE Contracts; - 2.2 Conversion of existing service contracts to RE Contracts, subject to RA 9513 IRR §39 Rule 13; - 2.3 Issuance of Certificates of Registration (COR) for RE Developers of projects with or without RE Contracts; and - 2.4 Administration of RE Contracts. --- ## SECTION 3. DEFINITION OF TERMS 3.1 **BEOC (Biomass Energy Operating Contract)** — RE Contract for development and operation of RE Projects utilizing biomass as RE Resource. 3.2 **Blocking System** — subdivision of the Philippines for RE Applications (wind, geothermal, ocean resources) into RE meridional blocks of 30 seconds of latitude and 30 seconds of longitude using Philippine Reference System of 1992 (PRS'92). One block ≈ 81 hectares; each block has a unique DOE-assigned number. 3.3 **COCOC (Certificate of Confirmation of Commerciality)** — Certificate signed by the DOE Secretary confirming the RE Developer's Declaration of Commerciality; serves as notice to proceed for construction of the RE Project or installation of RE Facilities. The issuance date marks the commencement of the Development Stage. 3.4 **Commercial Operations** — phase commencing at the operation of the RE Project following successful testing and commissioning, confirming readiness to inject power into the grid to sell or supply energy, as confirmed by DOE and other relevant regulatory bodies. 3.5 **Commercial Quantities** — quantities of energy producible from RE Resources using commercially available technology that have a reasonable chance of being sufficient and technically compliant to support Commercial Operations. 3.6 **Contract Area** — total area subject to the RE Contract, as detailed and outlined in the map with its technical description, where the RE Developer has the exclusive right to explore, develop, and utilize the RE Resources. 3.7 **DOC (Declaration of Commerciality)** — written declaration by the RE Developer to the DOE stating that the RE Resource is of Commercial Quantities. 3.8 **Direct Application** — mode of RE Application whereby the RE Applicant identifies a Contract Area it wishes to explore or develop (must first be certified by DOE as free and open). 3.9 **EAMS (Energy Application Management System)** — intranet-based system using RFID technology to uniquely identify an application and monitor its real-time location. 3.10 **Financial Closing** — milestone in the Pre-Development or Development Stage when the RE Developer has secured a written commitment from financier(s) to provide full funding requirements. 3.11 **Financial Qualifications** — criteria and procedures set by DOE to establish the financial capability of the RE Developer to implement the RE Project. 3.12 **GSC (Geothermal Service Contract)** — RE Contract for exploration, development, and/or utilization of geothermal resources. 3.16 **HSC (Hydropower Service Contract)** — RE Contract for exploration, development, and/or utilization of hydropower resources. 3.17 **LOI (Letter of Intent)** — written notice submitted by a Person to the DOE indicating interest in the exploration, development, utilization, and commercialization of RE Resource. 3.18 **OESC (Ocean Energy Service Contract)** — RE Contract for exploration, development, and/or utilization of ocean resources. 3.19 **PDA (Pre-Determined Area)** — area with RE Resource potential through sufficient available technical data as determined by REMB and approved by the DOE Secretary for inclusion in the OCSP. 3.20 **Person** — natural or juridical person. 3.21 **Production Area** — portion of the Contract Area identified in metes and bounds by the RE Developer and approved by the DOE where RE Resources are utilized to produce electricity in Commercial Quantities. 3.22 **RE Applicant** — any Person who applies for the assessment, exploration, harnessing, development, utilization, or commercialization of RE Resources. 3.23 **RE Application** — set of documents submitted by RE Applicants pertaining to their legal, technical, and financial qualifications to enter into an RE Contract (via OCSP or Direct Application); one (1) electronic copy and four (4) printed copies (one in original). 3.24 **RE Contract / FTAA (Financial and Technical Assistance Agreement)** — service agreement between the Government (through DOE or the President) and an RE Developer, granting the RE Developer the exclusive right to explore, develop, or utilize the RE Resource within a particular area for an appropriate period. 3.25 **RE Developer** — individual or juridical entity created, registered, and/or authorized to operate in the Philippines, engaged in the exploration, development, and/or utilization of RE Resources or the generation of electricity from RE Resources. 3.27 **RE Operating Contract** — service agreement between DOE and RE Developer for development and/or utilization of biomass, solar, and other RE Resources that, due to their inherent technical characteristics, need not go through Pre-Development Stage. 3.28 **RE Project** — power generation and related facilities utilizing RE Resources under an RE Contract or COR issued by DOE pursuant to the RE Act. 3.29 **RE Project for Non-Commercial Operations** — RE Project for demonstration purposes of new or modified RE technologies, covered by ODA grants, or other non-profit programs and projects. 3.30 **RE Project for Own-Use** — RE Project located within or contiguous to an End-User's premises, operated solely for the supply of a portion or all of the End-User's electricity requirements. 3.31 **RE Resource** — energy resources without an upper limit on total quantity to be used; renewed regularly at a rate that allows availability over an indefinite period; includes biomass, solar, wind, geothermal, ocean energy, hydropower, and other emerging RE technologies. 3.32 **RE Service Contract** — service agreement between the Philippine Government (through President or DOE Secretary) and RE Developer, in which the RE Developer has the exclusive right to explore, develop, and utilize geothermal, hydropower, wind, ocean, and other RE Resources within a particular area. 3.33 **REMB (Renewable Energy Management Bureau)** — DOE unit created under RE Act §32; implements policies, plans, and programs related to accelerated development, transformation, utilization, and commercialization of RE Resources and technologies. 3.34 **SEOC (Solar Energy Operating Contract)** — RE Contract for development and operation of RE Projects utilizing solar energy. 3.31 **WESC (Wind Energy Service Contract)** — RE Contract for exploration, development, and/or utilization of wind energy. 3.32 **Work Program** — plans and programs and related activities formulated for performance of work obligations under the RE Contract, with corresponding budgetary estimates, submitted to DOE for approval. --- ## CHAPTER II — RE SERVICE AND OPERATING CONTRACTS ## SECTION 4. RE CONTRACT — MODES OF AWARD AND QUALIFICATIONS 4.1 **Modes of Award:** - 4.1.1 **OCSP (Open and Competitive Selection Process)** — for selection and award of RE Service Contracts for Pre-Determined Areas (PDAs) covering any type of resource for commercial purposes (Chapter IV); - 4.1.2 **Direct Application** — for: (a) RE Operating Contracts; (b) RE Service Contracts covering PDAs following a failed OCSP (§13.7); and (c) RE Service Contracts in areas identified by the RE Applicant and verified by DOE-ITMS as available; - 4.1.3 RE Projects for Own-Use and/or Non-Commercial Purposes do not require RE Contracts but must comply with registration requirements (Chapter IX). 4.2 **Who May Apply:** - 4.2.1 RE Applicant must be a Filipino or, if a corporation, a Filipino corporation with at least 60% Filipino capitalization, unless the application is for biomass development and/or uses waste-to-energy technology (in which case the 60% requirement does not apply — retroactive to all pending biomass applications); - 4.2.2 For large-scale exploration/development/utilization of geothermal resources (a mineral resource under RE Act §4(s)), the Government through the President may enter into agreements with foreign-owned corporations for technical or financial assistance per Article XII, §2 of the Philippine Constitution; - 4.2.3 In case of a joint venture or consortium, parties shall organize as a corporation registered under the Corporation Code and comply with nationality requirements. 4.3 **Stages of an RE Operating Contract** — covers only Development/Commercial Stage (development, construction, installation, and commercial operation, including achievement of Financial Closing). 4.4 **Stages of an RE Service Contract:** - 4.4.1 **Pre-Development Stage** — preliminary assessment and feasibility study through Financial Closing and DOC, including identification of proposed Production Area; - 4.4.2 **Development/Commercial Stage** — development, construction, commercial operation, production, and utilization of RE Resources. 4.5 **Transition** — RE Service Contract transitions from Pre-Development to Development/Commercial Stage only after DOE issues a COCOC (§29). --- ## SECTION 5. RE CONTRACT AREA Upon transition from Pre-Development to Development Stage of an RE Service Contract, the Contract Area shall be amended to cover the Production Area only. For RE Operating Contracts, Contract Area = Production Area. --- ## SECTION 6. CONVERSION OF EXISTING SERVICE CONTRACT Holders of contracts issued under prior laws or RE Act contracts issued before this Circular may elect to convert to an RE Contract under this Circular. The period of the new RE Contract shall be the balance of the remaining term under the existing and valid service/operating contract. Requirements and procedures for conversion are provided in §30. --- ## CHAPTER III — TYPES OF RE CONTRACT PER RESOURCE ## SECTION 7. BIOMASS ENERGY RESOURCE Covered by a BEOC (Annex A template). RE Developer given **5 years** from BEOC effectivity to achieve Commercial Operations. BEOC term: **25 years** from effectivity; renewable for the same period. Biofuel producers: accreditation governed by JAO 2008-1 per RA 9367 (Biofuels Act); may register with DOE as RE Developers to avail RE Act incentives. --- ## SECTION 8. GEOTHERMAL ENERGY RESOURCE Covered by a GSC (Annex B template). - 8.1 RE Developer given **7 years** from GSC effectivity to determine existence of geothermal resources in Commercial Quantities. - 8.2 GSC term: **25 years** (including Pre-Development Stage) from effectivity. Development/Commercial Stage commences upon COCOC issuance (before expiration of Pre-Development Stage) and continues for the remainder of the 25-year term. Renewable for another **25 years**. --- ## SECTION 9. SOLAR ENERGY RESOURCE Covered by a SEOC (Annex C template). - 9.1 Work Program depends on type: ground-mounted, rooftop, or floating. - 9.2 RE Developer given **5 years** from SEOC effectivity to achieve Commercial Operations. SEOC term: **25 years**; renewable for the same period. --- ## SECTION 10. HYDROPOWER RESOURCE Covered by an HSC (Annex D template). - 10.1 RE Developer given **5 years** from HSC effectivity to determine existence of hydropower resource in Commercial Quantities. - 10.2 HSC term: **25 years** (including Pre-Development Stage). Development/Commercial Stage commences upon COCOC issuance; continues for the remainder of the 25-year term. Renewable for another **25 years**. --- ## SECTION 11. OCEAN ENERGY RESOURCE Covered by an OESC (Annex E template). - 11.1 Work Program depends on type: tidal stream/current, tidal range, wave, ocean thermal, or salinity gradient. - 11.2 RE Developer given **7 years** from OESC effectivity to determine existence of ocean energy resource in Commercial Quantities. - 11.3 OESC term: **25 years** (including Pre-Development Stage). Renewable for another **25 years**. --- ## SECTION 12. WIND ENERGY RESOURCE Covered by a WESC (Annex F template). - 12.1 RE Developer given **5 years** from WESC effectivity to determine existence of wind energy resource in Commercial Quantities. - 12.2 WESC term: **25 years** (including Pre-Development Stage). Renewable for another **25 years**. --- ## CHAPTER IV — PROCEDURE FOR RE CONTRACTS UNDER OCSP ## SECTION 13. OPEN AND COMPETITIVE SELECTION PROCESS (OCSP) Interested parties may apply for RE Contracts for PDAs offered by DOE during a prescribed period (Annex G). 13.1 **Selection of PDAs** — REMB shall identify and submit list of PDAs to DOE Secretary for approval within **6 calendar months** of Circular effectivity and every year thereafter. 13.2 **Launch and Publication** — Approved PDAs published **at least once weekly for 2 consecutive weeks** in at least 2 newspapers of general circulation; posted on DOE website. 13.3 **Data Packages and Promotional Activities** — REMB arranges availability of data packages; conducts promotional activities. 13.4 **RE Contract Application** — Submitted from the day after first publication until the last day of submission (**60 calendar days** from first publication). Requirements: - 13.4.1 Submit LOI (Annex H) plus RE Application per Checklist of Requirements (Annex I); - 13.4.2 Each RE Application covers one PDA only; - 13.4.3 Paper and electronic (PDF flash drive) copies; Times New Roman 12pt, single spacing; figures/maps in A3 minimum (scale 1:10,000 for appendices); - 13.4.4 Application fee paid at submission; cash, manager/company cheque payable to "Department of Energy," or wire/bank transfer (net of charges). 13.5 **Opening** — Applications opened at exactly 13:00H on the last day of submission. 13.6 **Evaluation, Selection, and Award:** - 13.6.1 Applications with incomplete documents automatically disqualified at opening; no additional documents accepted after deadline; - 13.6.2 REMB Supervising Assistant Secretary informs applicants whether they passed completeness check; - 13.6.3 Evaluation criteria: Legal Qualification (Pass/Fail), Technical Qualification (20%), Financial Qualification (40%); specific qualification criteria per scoring item determined at the beginning of every OCSP round; - 13.6.4 Highest-ranked application meeting all legal, technical, and financial requirements selected; - 13.6.5 REMB Director transmits written endorsement of selected application to DOE Secretary; - 13.6.6 DOE Secretary approves and issues corresponding RE Contract. 13.7 **Failed OCSP** — declared when: (a) no application received; (b) no application passed legal requirements; or (c) no application met technical or financial requirements. The PDA shall be opened for Direct Applications; announcement of failed OCSP includes opening of area for Direct Application and commencement date. --- ## CHAPTER V — PROCEDURE FOR RE CONTRACTS UNDER DIRECT APPLICATION ## SECTION 14. COVERAGE Direct Application for RE Applications covering: (a) PDAs declared available under §13.7; and (b) RE Resources in areas other than PDAs. --- ### Part 1 — Pre-Application Process ## SECTION 15. SUBMISSION OF LETTER OF INTENT All interested participants submit LOI (per mapping requirements, Annex J) addressed to REMB Director, filed through DOE-Records Management Division (RMD). LOI submission does not commence the application process. Upon receipt, RMD attaches RFID tag, encodes in EAMS, forwards to REMB Assistant Director. --- ## SECTION 16. ORIENTATION OF INTERESTED PARTICIPANTS 16.1 Within **3 working days** of LOI receipt, concerned REMB Division issues acknowledgment letter and encodes in EAMS. 16.2 Interested participants informed of schedule of orientation/briefing on RE Application requirements and processes. 16.3 Interested participants may waive orientation in writing (in LOI or in response to orientation notice). --- ## SECTION 17. AREA VERIFICATION Determines whether any of the conditions under §23 apply to the identified area. 17.1 Concerned REMB technical division endorses LOI and attachments to ITMS within **2 working days** of receipt. For solar and biomass development, REMB Division also endorses to DOE-Legal Services (LS) a sworn affidavit of undertaking (proof of ownership/possessory rights or application to acquire possessory rights over public lands; submitted as part of application requirements in Annex I). 17.2 Within **5 working days** of LOI receipt, ITMS and LS complete area verification, encode in EAMS, provide verification report to REMB Division. 17.3 Within **2 working days** of verification results, REMB Division notifies interested participant in writing to proceed with RE Application filing. 17.4 If proposed area is partially occupied by another RE Developer developing the same type of RE Resource, interested participant may proceed with filing over the re-validated area (net of the occupied portion). --- ### Part 2 — Filing and Evaluation of RE Applications ## SECTION 18. RECEIPT OF RE APPLICATIONS 18.1 RE Applicant proceeds to concerned REMB Division for completeness check (in presence of applicant or authorized representative) before submission to RMD. No RE Application received and no order of payment issued unless all documentary requirements submitted. 18.2 After payment of fees, RE Application submitted to RMD with photocopy of official receipt. RMD attaches RFID tag, encodes in EAMS, forwards to REMB Assistant Director. Application filed and no further amendments allowed at this point. --- ## SECTION 19. EVALUATION OF RE APPLICATIONS 19.1 RMD forwards RE Application to concerned REMB Division within **1 working day** of receipt. REMB Division records filing date; distributes one copy each to LS (legal) and DOE-Financial Services (FS) (financial) on the same day. 19.2 REMB Division, LS, and FS evaluate simultaneously. Evaluations completed within **5 working days** of receipt. - 19.2.1 If RE Application passes all evaluations: REMB Division prepares (within **3 working days**) memorandum endorsing RE Application, draft RE Contract, and corresponding COR for REMB Director's concurrence of LS; endorsement includes original evaluation results and project area map; - 19.2.2 If RE Application fails any evaluation: REMB Division prepares (within **3 working days**) letter from REMB Director requiring supplementary documents within **10 working days** of notice. (a) Failure to submit = deemed abandonment; (b) If supplementary documents submitted, REMB immediately forwards to concerned units; re-evaluation results due within **2 working days**; (c) If RE Application still fails after re-evaluation, REMB Assistant Director recommends disqualification; formal notice issued to RE Applicant; REMB prepares memorandum to ITMS to re-open area. 19.3 All documents and activities encoded in EAMS during evaluation. --- ## CHAPTER VI — AWARD OF RE CONTRACTS ## SECTION 20. APPROVAL AND SIGNING OF THE RE CONTRACT 20.1 **Notification of Award** — DOE notifies selected (OCSP) or qualified (Direct Application) RE Applicant of award and schedule of contract signing. (Any FTAA-type RE Contract shall be approved and executed by the President upon DOE Secretary's recommendation per Article XII, §2 of the Philippine Constitution.) 20.2 **Signing Process:** Two stages: (a) pre-signing by RE Applicant; (b) signing by DOE Secretary. - 20.2.1 REMB Supervising Assistant Secretary reviews and endorses to Undersecretary within **2 working days**; Undersecretary acts within **2 working days**; within **1 working day** of Undersecretary concurrence, REMB Director requires RE Applicant to pre-sign original copies; - 20.2.2 Within **1 working day** of pre-signing, REMB Director prepares memorandum to DOE Secretary endorsing the award (with pre-signed RE Contract, corresponding COR, and all attachments); - 20.2.3 Within **3 working days**, LS reviews pre-signed RE Contract and reverts to REMB; - 20.2.4 Upon receipt of LS concurrence, REMB endorses to Supervising Assistant Secretary; - 20.2.5 Within **3 working days** total, REMB Supervising Assistant Secretary and Undersecretary review and endorse to DOE Secretary; - 20.2.6 DOE Secretary acts on documents within **7 working days** of receipt. 20.3 **Payment of Signing Fee** — REMB Director sends written notice to RE Applicant within **1 working day** of DOE Secretary's signing to pay signing fee and post performance bond (first Contract Year). Proof of payment submitted within **15 calendar days** of notice. Failure = deemed abandonment + revocation of COR and RE Contract. Non-posting of performance bond within **30 calendar days** = RE Contract void. 20.5 **Delivery of Signed RE Contract** — Notarized copy of RE Contract and COR furnished to RE Applicant upon submission of proof of payment. 20.6 **Duty to Maintain Records** — REMB Division maintains records of all LOIs in EAMS; RE Contracts in EVOSS system. ITMS makes area available to other applicants only when RE Applicant fails to qualify, or withdraws/abandons LOI or RE Application. --- ## CHAPTER VII — TECHNICAL GUIDELINES ## SECTION 21. CONFIGURATION OF RE CONTRACT AREA - 21.1 Solar and biomass: one parcel polygon; applicant specifies system type (ground-mounted, rooftop, or floating); - 21.2 Hydropower: indicates geographic coordinates of proposed weir (with elevation) and powerhouse; - 21.3 Wind, geothermal, and ocean: polygonal or in blocks following the Blocking System or a combination. --- ## SECTION 22. PROOF OF ACCESS TO PROPOSED/APPLIED AREA Solar and biomass RE Applicants shall submit proof of ownership or possessory rights over real property covered by proposed project area. For public lands, proof of application to acquire possessory rights suffices. --- ## SECTION 23. AREA VERIFICATION RESULTS ITMS verification report may indicate that the proposed Contract Area is: - 23.1 Covered by an existing PDA under OCSP, RE Contract, or pending RE Application for the same RE Resource; - 23.2 Within or overlaps an existing energy service or operating contract (Petroleum SC, COC, SSMP, or RESC) for a different resource or technology; - 23.3 Within or overlaps an existing energy service or operating contract application for a different resource or technology; - 23.4 Within protected areas under RA 11038 (Expanded NIPAS Act of 2018), ancestral domains with CADT or CADC, areas with Tenurial Instruments from other government agencies, or other areas with significant geospatial data identified in ITMS and NAMRIA Philippine Geoportal; - 23.5 Covered by the LOI of the same or other energy resource; or - 23.6 Open for RE Applications. --- ## SECTION 24. MULTIPLE RESOURCES IN AN AREA In instances of area overlap under §§23.2–23.3, the interested participant may still pursue the RE Application: - 24.1 Must submit notarized acknowledgment and undertaking recognizing the prior rights of existing applicants and/or developers; - 24.2 REMB informs both interested participant and applicant/contractor/developer of the overlap; latter given **5 working days** to file objections with justifiable reasons. - 24.2.2 If no objection filed: interested participant given **3 working days** to file RE Application; - 24.2.3 If objection filed: DOE Secretary resolves within **10 working days**, taking into account the most beneficial use of resources. --- ## CHAPTER VIII — ADMINISTRATION OF RE CONTRACTS ## SECTION 25. POSTING OF A PERFORMANCE BOND RE Developer shall post a bond or other guarantee of sufficient amount (not less than minimum expenditures commitment for the first Contract Year) as a condition precedent for RE Contract effectivity. Valid and subsisting performance bond maintained annually until pre-construction phase. --- ## SECTION 26. UPDATING OF RE PROJECTS DATA TO EVOSS AND DOE WEBSITE 26.1 REMB-TSMD, in coordination with relevant REMB Divisions, collates and updates list of RE Contracts awarded and RE Applications pending on a quarterly basis; upon full EVOSS operation, updating follows system periods; 26.2 All concerned DOE units shall provide updates to EVOSS and DOE websites; 26.3 All RE Developers required to register with EVOSS for regular updating of their RE Projects. --- ## SECTION 27. AMENDMENT OF RE CONTRACTS 27.1 **When Required** — RE Contracts amended only: (a) when making changes to the RE Contract Area; or (b) under circumstances in §27.4. No amendment required when transitioning from Pre-Development to Development Stage; however, relinquishment of a portion of the Contract Area after identifying the Production Area results in issuance of a new annex to the RE Contract. 27.2 **Amendments to the RE Contract Area** — RE Developer submits written request to REMB Director; proposed amendment must: (a) have technical description for area verification; (b) cover an area contiguous to existing Contract Area that is available per §23; (c) be justified and reasonable (resource assessment results, proof of land rights, proof of compliance with RE Contract obligations, etc.); and (d) have an acceptable Work Program for the amended area. 27.3 RE Contracts with milestone period provisions may apply for Contract Area amendments during the milestone period, Provided all approved milestone activities have been accomplished. RE Contracts using templates prior to this Circular may apply for Contract Area amendments at any time up to **60 calendar days** before expiration of the Pre-Development Stage. If the DOC states viability is subject to a Contract Area amendment, such amendment may be allowed upon issuance of the COCOC. 27.4 **Other Amendments** — RE Contracts shall also be amended for: (a) increase or decrease in installed capacity; (b) change of type of feedstock for biomass operations; (c) change of location of project site (biomass and hydro only). A revised COR only (no contract amendment required) for: company name change; assignment of RE Contract to an entity with the same qualifications. 27.5–27.6 **Evaluation of Amendment Requests** — Request submitted to REMB through RMD. REMB Director forwards within **1 working day** to concerned REMB Division. Concerned REMB Division evaluates within **5 working days** (may endorse to FS, LS, and/or ITMS for additional financial, legal, or area re-plotting evaluation within **5 working days**). REMB Division provides recommendation to REMB Supervising Undersecretary and Assistant Secretary within **2 working days** of completion; Supervising Assistant Secretary and Undersecretary issue memorandum to DOE Secretary for approval within **3 working days**. 27.7 **Revision of Work Program** — same process flow as contract amendment requests (§27.6 steps). --- ## SECTION 28. ASSIGNMENT OF RE CONTRACTS 28.1 All assignments subject to prior written approval of the Department. 28.2 RE Developer may assign part or all rights/obligations to an Affiliate or third party: - 28.2.1 Submit written document showing agreement of parties to the assignment; - 28.2.2 In case of partial assignment, RE Developer guarantees in writing the performance of assigned obligations. 28.3 Assignment to a non-Affiliate allowed only once during: (a) the entire Pre-Development Stage (for RE Service Contracts); or (b) the entire term (for RE Operating Contracts). No assignment to a non-Affiliate during the **first 2 years** of the RE Contract from effectivity. --- ## SECTION 29. PROCEDURES FOR THE TRANSITION FROM PRE-DEVELOPMENT TO DEVELOPMENT STAGE 29.1 RE Developer submits DOC with documentary requirements (Annex L) to concerned REMB Division before expiration of Pre-Development Stage. REMB Division determines completeness. 29.2 Upon completeness determination, RE Developer submits DOC to RMD; RMD encodes in EAMS and EVOSS. 29.3 Failure to submit DOC within Pre-Development Stage is cause for RE Contract termination. Acknowledgment of receipt of DOC by DOE suspends the period for Pre-Development Stage. 29.4 Within **20 working days** of DOC receipt, DOE shall either: - 29.4.1 Issue the COCOC (satisfactory results), marking transition to Development/Commercial Stage; or - 29.4.2 Issue written notice to RE Developer (signed by REMB Director) to correct deficiencies before expiration of Pre-Development Stage (unsatisfactory results). 29.5 Failure to correct deficiencies before Pre-Development Stage expiration is cause for RE Contract termination. --- ## SECTION 30. CONVERSION TO THE NEW RE CONTRACT TEMPLATE Holders of contracts/agreements prior to Circular effectivity may apply for conversion to new RE Contract templates (Annexes A–F). 30.1 **Requirements:** - 30.1.1 Must be fully compliant with approved Work Program and material terms for the past 6 months prior to conversion application (or, if less than 6 months old, from the date of RE Contract execution); - 30.1.2 Submit application letter with: (a) Work Program covering first 5 years of remaining term from old contract execution date; and (b) Revised Contract Area per Annex J mapping (for biomass and solar, Contract Area = Production Area only; remaining portion deemed relinquished); - 30.1.3 Conversion of RE Contracts awarded under the RE Act but before this Circular's effectivity is limited to projects under pre-commissioning/commercial operation phase. 30.2 **Application Procedures:** - 30.2.1 Application letter addressed to REMB Director, filed with RMD; - 30.2.2 RMD transmits to REMB Director within **1 working day**; incomplete requirements may be rectified within **5 working days** of notice; - 30.2.3 REMB Division evaluates within **10 working days** of receipt based on contractual compliance; - 30.2.4 REMB endorses mapping requirements to ITMS; ITMS prints Production Area map within **5 working days**; - 30.2.5 Qualified applications endorsed to REMB Supervising Undersecretary through Supervising Assistant Secretary for concurrence within **3 working days**; - 30.2.6 Upon concurrence, REMB notifies RE Developer and requires pre-signing; - 30.2.7 Within **1 working day** of pre-signing, REMB endorses pre-signed RE Contract to DOE Secretary through REMB Supervising Undersecretary and Assistant Secretary; DOE Secretary acts within **5 working days**; - 30.2.8 Upon DOE Secretary signing, REMB notifies RE Developer to pick up its copy. --- ## SECTION 31. TERMINATION OF RE CONTRACTS DOE has the power to terminate RE Contracts, after due notice to the RE Developer. 31.1 REMB Division recommends termination within: - 31.1.1 **5 working days** from lapse of Pre-Development Stage where RE Developer failed to submit DOC; - 31.1.2 **3 working days** from voluntary relinquishment; - 31.1.3 Before pre-construction phase, upon discovery that RE Developer failed to maintain required performance bond; or - 31.1.4 At any stage, upon findings of any grounds for RE Contract termination as stipulated in the contract. Failure of DOE to adhere to these periods shall not be construed as waiver of its power to evaluate and recommend termination at a later time. 31.2 For §§31.1.1 and 31.1.4: REMB Division prepares letter from REMB Director requiring RE Developer's written explanation within **30 calendar days** (non-extendible). Within **20 working days** of receiving explanation, REMB Division submits findings and recommendation to REMB Director. 31.3 Within **3 working days** of receipt, REMB Director recommends course of action to DOE Secretary through Supervising Assistant Secretary and Undersecretary. 31.4 If DOE Secretary approves termination, RE Developer notified in writing; REMB Division informs TSMD, ITMS, and IPO. 31.5 Terminated RE Contract areas declared open for development by DOE; if the area is a PDA, re-opened via OCSP; otherwise, available via Direct Application on a first-come, first-served basis. --- ## SECTION 32. REQUEST FOR RECONSIDERATION RE Developer whose RE Contract was terminated may file written reconsideration to REMB Director within **10 working days** of receipt of termination notice. REMB Director evaluates and endorses recommendations to DOE Secretary per §31 process. --- ## CHAPTER IX — REGISTRATION OF RE PROJECTS FOR OWN-USE AND/OR NON-COMMERCIAL OPERATIONS ## SECTION 33. CERTIFICATE OF REGISTRATION COR is proof of registration with DOE and is required to avail of incentives under the RE Act. An RE Contract is required for the issuance of a COR, except for RE Projects for Own-Use and/or Non-Commercial Operations. --- ## SECTION 34. ISSUANCE OF COR FOR RE PROJECTS FOR OWN-USE AND/OR NON-COMMERCIAL OPERATIONS COR issued to RE Developer only upon complete submission of requirements and after evaluation by REMB with recommendation to DOE Secretary. --- ## SECTION 35. DOCUMENTARY REQUIREMENTS 35.1 **Technical Requirements:** Application letter addressed to REMB Director; project description (technical design, financing structure, target commissioning date, location, RE Resource); proof of ownership of proposed project site. 35.2 **Legal Requirements:** Same legal requirements in the Checklist of Requirements (Annex I). REMB may provide a pre-filing conference/meeting/orientation prior to formal application submission. --- ## SECTION 36. PRE-QUALIFICATION, FILING, AND PROCESSING OF APPLICATION FOR REGISTRATION 36.1 REMB Division determines (pass/fail) whether all registration requirements have been complied with and issues order of payment. 36.2 No order of payment issued unless all requirements submitted. 36.3 Prescribed application fee paid for each application; no application accepted without payment. 36.4 Application filed with REMB through RMD (3 sets of documentary requirements); RMD attaches RFID tag and encodes in EAMS. 36.5 Application processed within **20 working days** from receipt of complete documents and payment. --- ## SECTION 37. EVALUATION AND PROCESS FOR ISSUANCE OF COR 37.1 **Qualification Evaluation:** - 37.1.1 LS reviews and evaluates within **3 working days** of receipt from REMB Division; - 37.1.2 REMB Division completes technical evaluation within **3 working days**. If additional documents required for legal qualifications: LS notifies REMB Division; REMB Division notifies Applicant within **2 working days**; Applicant given **5 days** to submit required documents. If legally and technically qualified: Application submitted for final processing and COR issuance. 37.2 **Request for Reconsideration** — If not qualified: REMB Assistant Secretary issues written notice within **2 working days** of full evaluation results; Applicant may request reconsideration in writing to REMB Supervising Undersecretary within **10 working days** of receipt; Supervising Undersecretary resolves within **5 working days**. --- ## SECTION 38. VALIDITY OF THE REGISTRATION COR initial validity: **5 years**; renewable for the same period until end-of-project life or a maximum of **25 years**. --- ## SECTION 39. TERMS AND CONDITIONS OF THE REGISTRATION RE Developer and its Project issued a COR (Annex M) containing the terms and conditions thereof. --- ## CHAPTER X — TRANSITORY PROVISIONS ## SECTION 40. EVALUATION OF PENDING APPLICATIONS RE Applications filed prior to Circular effectivity governed by existing guidelines at time of filing. ITMS reports to REMB all areas covered by pending applications and RE Contracts within **15 working days** of this Circular. RE Applicants that passed legal, technical, and financial requirements under existing guidelines prior to Circular effectivity may choose which RE Contract template to adopt; new application requirements for a particular type of RE resource must be satisfied first. --- ## SECTION 41. RE-FILING OF APPLICATION Pending applications for RE Contracts or CORs may be re-applied (at RE Applicant's option) within **30 working days** of Circular effectivity without new or re-payment of application fees. Failure to re-file within the said period = submission to ongoing evaluation under prior rules. --- ## CHAPTER XI — FINAL PROVISIONS ## SECTION 42. EXTENSION OF TIMELINES Subject to RA 11032 provisions, timelines in Chapter VIII may be extended for the same period prior to lapse of the subject period; DOE shall notify affected party in writing of the reason and provide the final date of release. Only one extension allowed; shall not exceed **60 calendar days**. REMB Citizen's Charter shall be amended to reflect timelines herein. --- ## SECTION 43. INFORMATION, EDUCATION AND COMMUNICATION ACTIVITIES DOE, together with the National RE Board, shall develop and implement comprehensive IEC activities to increase public awareness and appreciation of this Circular and the RE industry. --- ## SECTION 44. RE RESOURCES UNDER NEW EMERGING TECHNOLOGIES For other RE Resources developed through emerging technologies not enumerated in Chapter III, REMB shall develop a regulatory framework. In the absence of such framework, procedures governing the most analogous RE Resource shall be adopted. --- ## SECTION 45. REGULATORY SUPPORT ERC shall provide the necessary regulations to support a harmonized and effective implementation of this Circular. --- ## SECTION 46. SEPARABILITY CLAUSE --- ## SECTION 47. REPEALING CLAUSE Provisions of other circulars, orders, issuances, rules, and regulations inconsistent with the provisions of this Circular are hereby repealed, amended, superseded, or modified accordingly. --- ## SECTION 48. EFFECTIVITY Takes effect 15 days following publication in at least 2 newspapers of general circulation. Copies filed with UP Law Center-ONAR. Issued on October 1, 2019 at Energy Center, Rizal Drive, Bonifacio Global City, Taguig City. Secretary Alfonso G. Cusi