SPUG - Mindoro Romblon Operations Division

ADVISORY

New officials appointed by the President as Acting President and CEOs of the agencies attached to the Department of Energy (DOE):

Mr. Dennis Edward A. Dela Serna - PSALM

Dela Serna has over two decades of expertise in the Philippine energy sector. He supervised PSALM's Universal Levy, Tariff, and Financial Valuation Department from 2002 to 2008. He worked with and under then PSALM President and CEO Raphael P.M. Lotilla for a year during the initial implementation phase of the privatization program and the transfer of the National Power Corporation (NPC) tariff functions to PSALM and during Lotilla’s tenure as Secretary of the DOE from 2005-2007.

He will lead PSALM in effecting the privatization of the remaining NPC power generation and real estate assets, settling the outstanding financial obligations and liabilities of PSALM, and administering the Universal Charge.

Dr. Rowena Cristina L. Guevara - National Transmission Corporation (TransCo)

Dr. Guevarra has a Ph.D. in Electrical Engineering and was Undersecretary of the Department of Science and Technology (DOST) from March 2015 to June 2022, handling research and development and scientific and technological services. She also served as Dean of the UP College of Engineering and Executive Director of the National Engineering Center from July 2004 to July 2010. She was Chairman of the Department of Electrical & Electronics Engineering from 1997 to 2003. She chaired the Rules Change Committee of the Philippine Electricity Market Corporation (PEMC) from 2011 to 2015. She will coordinate the power sector.

Dr. Fernando Martin Y. Roxas - National Power Corporation (NPC)

Dr. Roxas has been a full-time faculty at the Asian Institute of Management since 2002. He obtained his Doctorate in Business Administration from the De La Salle University. He also served as Geologist/Principal Geophysicist in NPC from 1978 to 1990. He held various positions in the Corporation until 2001, the last of which was as Group Manager of the Privatization and Restructuring External Office.

As the new President and CEO of NPC, he will work on increasing access to sustainable energy in off-grid areas in the country and promote private sector participation.

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Energy Secretary Raphael P.M. Lotilla welcomes the Opinion of the Department of Justice - Philippines (DOJ), which allows the National Power Corporation (NPC) to draw on funding sources other than the Universal Charge for Missionary Electrification (UCME) to fulfill its mandate of energizing the areas in the country which are not connected to the main grid and ensure a stable and reliable power supply in these areas.

In its Opinion No. 20 Series of 2022 dated 23 September 2022, the DOJ indicated that NPC has the legal authority to borrow funds or contract loans to fulfill its missionary electrification function in the off-grid areas pursuant to its Charter and the mandate established under Section 70 of Republic Act No. 9136 or the Electric Power Industry Reform Act of 2001 (EPIRA).

Section 70 of the EPIRA states that NPC shall remain as a National Government-owned and-controlled corporation to perform the missionary electrification function through the Small Power Utilities Group (SPUG) and shall be responsible for providing power generation and its associated power delivery systems in areas that are not connected to the transmission system. NPC-SPUG is currently supplying two hundred twenty-nine (229) missionary areas throughout the Philippines, most of which have yet to attain a 24-hour electric power service.

“We express our appreciation to the DOJ for this very timely news. We are also grateful for the support of the entire NPC Board, particularly the Department of Finance as Chairman, the Department of Budget and Management, Agriculture, Environment and Natural Resources, Interior and Local Government, Trade and Industry, and the National Economic and Development Authority (NEDA) as members,” Secretary Lotilla said.

“The favorable Opinion will allow the NPC to establish a credit line with local banks that would enable it to manage the fuel price increase that has significantly affected the NPC’s financial position. The funds of NPC sourced from the UCME is not sufficient to support NPC’s current operation,” Secretary Lotilla said. “This underlines the efforts of NPC’s Board and Management to ensure timely payments to NPC’s New Power Providers (NPP),” he added.
Secretary Lotilla also said that this favorable Opinion would finally enable the NPC, after two decades, to ramp up renewable energy sources in the off-grid areas and improve island-wide transmission in the major off-grid islands, particularly through Public-Private Partnership (PPP) arrangements.

He also assured that with the oversight agencies in the NPC Board led by the Secretary of Finance as Board Chairman and the DBM and the NEDA as members, the necessary controls are now in place under the EPIRA for the judicious use of the power to contract loans. # # #

Taguig City - Energy Secretary Raphael P.M. Lotilla welcomes the Opinion of the Department of Justice - Philippines (DOJ), which allows the National Power Corporation (NPC) to draw on funding sources other than the Universal Charge for Missionary Electrification (UCME) to fulfill its mandate of energizing the areas in the country which are not connected to the main grid and ensure a stable and reliable power supply in these areas.

In its Opinion No. 20 Series of 2022 dated 23 September 2022, the DOJ indicated that NPC has the legal authority to borrow funds or contract loans to fulfill its missionary electrification function in the off-grid areas pursuant to its Charter and the mandate established under Section 70 of Republic Act No. 9136 or the Electric Power Industry Reform Act of 2001 (EPIRA).

Section 70 of the EPIRA states that NPC shall remain as a National Government-owned and-controlled corporation to perform the missionary electrification function through the Small Power Utilities Group (SPUG) and shall be responsible for providing power generation and its associated power delivery systems in areas that are not connected to the transmission system. NPC-SPUG is currently supplying two hundred twenty-nine (229) missionary areas throughout the Philippines, most of which have yet to attain a 24-hour electric power service.

“We express our appreciation to the DOJ for this very timely news. We are also grateful for the support of the entire NPC Board, particularly the Department of Finance as Chairman, the Department of Budget and Management, Agriculture, Environment and Natural Resources, Interior and Local Government, Trade and Industry, and the National Economic and Development Authority (NEDA) as members,” Secretary Lotilla said.

“The favorable Opinion will allow the NPC to establish a credit line with local banks that would enable it to manage the fuel price increase that has significantly affected the NPC’s financial position. The funds of NPC sourced from the UCME is not sufficient to support NPC’s current operation,” Secretary Lotilla said. “This underlines the efforts of NPC’s Board and Management to ensure timely payments to NPC’s New Power Providers (NPP),” he added.

Secretary Lotilla also said that this favorable Opinion would finally enable the NPC, after two decades, to ramp up renewable energy sources in the off-grid areas and improve island-wide transmission in the major off-grid islands, particularly through Public-Private Partnership (PPP) arrangements.

He also assured that with the oversight agencies in the NPC Board led by the Secretary of Finance as Board Chairman and the DBM and the NEDA as members, the necessary controls are now in place under the EPIRA for the judicious use of the power to contract loans. # # #

𝐍𝐏 𝐁𝐨𝐚𝐫𝐝 𝐝𝐞𝐬𝐢𝐠𝐧𝐚𝐭𝐞𝐬 𝐂𝐡𝐢𝐞𝐟 𝐋𝐞𝐠𝐚𝐥 𝐂𝐨𝐮𝐧𝐬𝐞𝐥 𝐚𝐠𝐚𝐢𝐧 𝐚𝐬 𝐍𝐚𝐩𝐨𝐜𝐨𝐫 𝐎𝐈𝐂 𝐏𝐫𝐞𝐱𝐲 𝐚𝐬 𝐌𝐚𝐫𝐜𝐨𝐬 𝐫𝐞𝐬𝐢𝐠𝐧𝐬

The National Power Board early this week has designated National Power Corporation (Napocor) Acting SVP & COO and Vice President/Legal Counsel Atty. Melchor Ridulme as Officer-in-Charge after sitting OIC DOE Undersecretary Donato Marcos tendered his resignation, effective immediately.

Marcos who stated health issues in his notice of resignation said that he also wants to concentrate on his role as career undersecretary at the Department of Energy in the meantime.

Atty. Ridulme will be Napocor’s OIC until a new Appointive Director is nominated by President-elect Ferdinand Marcos, Jr. and formally elected as President and CEO by the National Power Board.

The NP Board has given him authority to approve and act on pressing matters that confront Napocor. This includes but is not limited to the following: sign contracts relating to the procurement of goods and services, approve disbursements of the corporation’s financial transactions, release funds and approve payroll of employees and personnel, issue office orders, and memoranda, and sign promotional appointments of employees.

Meanwhile, Atty. Ridulme said that the Corporation has recently finalized its inputs for the transition report being prepared by the Department of Finance for the next administration.

“Napocor management and our Office of the Corporate Secretary are also updating documents and presentations for the incoming Cabinet Secretaries and their alternates who will make up Napocor’s Governing Board,” Ridulme said. ■