Law Summary
Scope of the Act
- Framework for policies on energy efficiency and conservation
- Promotion of energy-efficient technologies
- Roles defined for government agencies and private entities
Key Definitions
- Certified Energy Conservation Officer (CECO) and Certified Energy Manager (CEM) roles
- Designated establishments based on energy consumption
- Energy audit and energy auditor defined
- Concepts: energy conservation, energy efficiency, energy management, and others
- Energy Efficiency and Conservation Office (EECO) and related positions
- National Energy Efficiency and Conservation Plan (NEECP) and Database (NEECD)
Role of the Department of Energy (DOE)
- Lead agency for implementation
- Develop, update, and monitor NEECP
- Maintain NEECD with PSA
- Enforce Government Energy Management Program (GEMP)
- Develop Minimum Energy Performance (MEP) standards and energy labeling
- Support LGUs and different sectors
- Engage stakeholders and promote awareness
- Impose fees, provide reports to Congress
Roles of Other Government Agencies
- BOI: Include energy efficiency projects in investment plans
- CCC: Collaborate on greenhouse gas reduction targets
- COA: Recognize government energy efficiency projects as services
- CHED and TESDA: Integrate energy management education and certification
- DBM: Prioritize funding for government energy projects
- DepEd: Promote energy efficiency in curricula
- DOF: Coordinate fiscal incentives
- DENR: Waste management guidelines for energy devices
- DILG: Ensure LGU compliance
- DPWH: Implement energy conserving design guidelines
- DOST: Research and develop energy-efficient technologies
- DTI: Enforce energy standards and labeling
- DOTr: Enforce vehicle fuel economy standards
- GCG, GFIs, IC, NEDA, NCC: Various support roles
- PSA: Conduct energy consumption surveys
Role of Local Government Units (LGUs)
- Establish Energy Efficiency and Conservation Offices (EECOs)
- Develop and implement Local Energy Efficiency and Conservation Plans (LEECPs)
- Monitor compliance of designated establishments
Obligations of Energy End Users
- Efficient utilization of energy across sectors
- Promote new and renewable energy technologies
Inter-Agency Energy Efficiency and Conservation Committee (IAEECC)
- Composed of key government secretaries and heads
- Oversees government energy efficiency projects
- Provides strategic direction and evaluations
- Prepares annual assessments and reports
- Advises on energy conservation investments and policies
Government Energy Efficiency Projects
- Permitted to use various financial arrangements including procurement and joint ventures
Certification Systems
- CECO and CEM certification programs managed by DOE, TESDA, and CHED
- ESCO certification for companies providing multi-technology energy efficiency services
Minimum Energy Performance Standards and Labeling
- DOE develops standards for commercial, industrial, transport sectors, and products
- Mandatory compliance and labeling on energy-consuming products
- Energy efficiency rating system to inform consumers
Examination, Testing, and Verification of Products
- DOE authorized to examine and test products for compliance
- Can engage third-party suppliers following procurement rules
Fuel Economy for Transport Vehicles
- Labeling and fuel economy requirements enforced
- Testing standards developed by DOE
Energy Performance for Buildings
- LGUs ensure compliance with energy efficiency guidelines for new and retrofitted buildings
- State-owned buildings to follow Government Energy Management Program (GEMP)
Designated Establishments
- Classified into Type 1 and Type 2 based on annual energy consumption
- Obligations include setting policies, targets, audits, keeping records, and appointing CECO or CEM
- Other establishments have reporting requirements
- DOE authorized to conduct on-site inspections
Demand Side Management (DSM)
- DOE with ERC and PEZA to implement load management programs to reduce power demand
Incentives
- Energy efficiency projects included in BOI investment priority plans with fiscal incentives
- Awards and technical assistance as non-fiscal incentives
- Financial institutions to provide concessional financing packages
Waste Management Guidelines
- DENR, DOE, and DILG to establish guidelines for waste from energy devices
- Includes containment, recycling, and disposal
- Aligned with existing environmental laws
Strengthening Energy Utilization Management Bureau (EUMB)
- Reorganized divisions focusing on alternative fuels, program management, public sector, regulation, and enforcement
- Additional DOE support offices enhanced
Prohibited Acts
- Non-compliance with labeling, false information, refusal to appoint CECO/CEM
- Refusal to submit reports or inspection
- Non-compliance with DOE orders
Administrative Measures Before Penalties
- Opportunity for explanation and correction
- Recommendations and public disclosure for non-compliance
- Orders enforceable by fines and penalties
Fines and Penalties
- Range from PHP 10,000 to PHP 1,000,000
- Inclusive of other government agency penalties and criminal liability
Criminal Liability
- Imprisonment 1 to 5 years and fines PHP 100,000 to PHP 100 million
- Liability for principals, aids, and officers in corporations
Appropriations
- Funds from DOE current appropriations and future General Appropriations Act
Implementing Rules and Regulations
- DOE to promulgate IRR within 6 months
Codes and Guidelines
- DOE to develop within 6 months from IRR issuance
Congressional Oversight
- Joint Congressional Energy Commission to oversee implementation
Separability and Repealing Clause
- Invalid provisions do not affect the rest of the law
- Previous inconsistent laws repealed or modified
Effectivity
- Takes effect 15 days after publication in two newspapers