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PART I

Question: Does the agency assigned to your group have the legal mandate to protect, conserve and develop the natural resources within its jurisdiction? Answer: Yes, the Department of Energy (DOE) under the Republic Act No. 7683 Department of Energy Act of 1992, have the following powers and functions: (a) Formulate policies for the planning and implementation of a comprehensive program for the efficient supply and economical use of energy consistent with the approved national economic plan and with the policies on environmental protection and conservation and maintenance of ecological balance, and provide a mechanism for the integration, rationalization, and coordination of the various energy programs of the Government; (b) Develop and update the existing Philippine energy program which shall provide for an integrated and comprehensive exploration, development, utilization, distribution and conservation of energy resources, with preferential bias for environment-friendly, indigenous, and low-cost sources of energy. xxxxx (c) Establish and administer programs for the exploration, transportation, marketing, distribution, utilization, conservation, stockpiling and storage of energy resources of all forms, whether conventional or nonconventional; (d) Exercise supervision and control over all government activities relative to energy projects in order to attain the goals embodied in Section 2 of this Act; (e) Regulate private sector activities as provided under existing laws: Provided, That the department shall endeavor to provide for an environment conducive to free and active private sector participation and investment in all energy activities. xxxxx (k) Formulate such rules and regulations as may be necessary to implement the objectives of this Act; and (l) Exercise such other power as may be necessary or incidental to attain the objectives of this Act. As provided also on Executive Order No.473 issued on November 29, 2005, President Gloria Macapagal Arroyo tasked the DOE to pursue the immediate exploration, development and production of crude oil from the Camago-Malampaya reservoir, respecting the existing rights of the SC 38 Contractor over the area and with paramount consideration of the national interest.

The DOE shall undertake the these activities through the Philippine National Oil Company ("PNOC"), the government corporation mandated to undertake and transact business relative primarily to oil and petroleum operations, or its subsidiaries. For this purpose, the DOE and PNOC or its designated subsidiary shall at once commence discussions on and define the terms of service for the exploration, development and production of crude or black oil from the Camago-Malampaya Reservoir. In defining the terms of service thereof, the DOE and PNOC or its designated subsidiary may consult the SC 38 Contractor with the end in view of optimizing the joint operations of the concerned stakeholders in the production of natural gas and crude or black oil from the CamagoMalampaya Reservoir. (By Mr.Untalan) Question: policies? Does the agency have the capacity, legal, and technical to enforce the laws and

Question: What is the flagship program of that agency that would address the poverty situation in the Philippines? Evaluate the program will it meet its target? Has it met its target? (By: Mr. Robert Ramirez) DOE Rural Electrification Program In support of the Governments efforts to alleviate poverty, Department of Energy launched a massive and focused action to increase and accelerate access to electricity services by the countrys un-electrified communities. In 1999, the Accelerated Barangay Electrification Program (ABEP) was launched with the initial partnership of the following energy agencies: DOE, National Electrification Administration (NEA), National Power Corporation through its Small Power Utilities Group (NPC-SPUG), and PNOC-Energy Development Corporation (PNOC-EDC). Prior to the launching of ABEP, barangay electrification level only stood at 76.9%, having energized only 32,281 out of 41,945 total barangay coverage. In 2000 the ABEP was renamed the OIlaw Program. Under the OIlaw Program, the IPPs were encouraged to participate as part of their corporate social responsibility. To further strengthen and integrate efforts on rural electrification by both the Government and the private sector, and to further assist the DOE develop innovative and sustained policies and strategies consistent with the power sector reforms embodied in the Electric Power Industry Reform Act of 2001 or EPIRA, the Expanded Rural Electrification Program (ER Program) was established and an ER Program Team was created in April 2003. Unlike its predecessors, which focused was on barangay electrification; the ER Program involves the electrification of sitios and households. Program Evaluation: Current Performance ( Has it met its target?)

The government is bent on providing electricity access to barangays, households and sitios throughout the country. As such, it has targeted the achievement of 100 percent barangay electrification by 2012, 90 percent household electrification by 2017 and 100 percent sitio electrification by 2015. The overall barangay electrification level as of 31 October 2012 stood at 99.98 percent. Of the total 41,974 barangays, only nine (9) are left to be provided with electricity access. Most of these unenergized barangays are in Mindanao and are located in the Autonomous Region for Muslim Mindanao (ARMM) particularly in the provinces of Maguindanao (6 barangays) and Tawi-Tawi (3 barangays). Based on NEAs Status of Energization, Household electrification level as of 30 September 2012 was at 77.6 percent. About 9,549,145 of the potential 12,305,500 are with connections. This cover those under the franchise of electric cooperatives (ECs) and do not include those under private distribution utilities (DUs). NEAs data covers residential, commercial, industrial, public building, etc. DOE data for electrification (based on 2010 Census) that concerns only the residential (including those covered by NEA and DUs) is at 70.18 percent as of 31 December 2011. This means that 14.41 million of the potential 20.53 million are with electricity leaving 6.12 million more to be energized. As for sitio electrification, the energization level has reached 72.54 percent as of 30 September 20123 which means that 83,492 out of the potential 115,092 are with electricity service. Program Evaluation: Future and Possible Opportunities (Will it meet its target?) According to the Department of Energy (DOE) and Shell Philippines Exploration B.V. (SPEX), aggregate remittance to the controversial Malampaya Fund, via the National Treasury, already reached more than $6 billion (roughly P263 billion). Last year, the remittance to the Malampaya fund which accounts for the 60-percent royalty share of the national government from the gas project, hovered at $1.1 billion. It was expressly stated in the EO 848 that the collections in the fund shall be ''used to finance energy resource development and exploration programs and projects of the government and for such other purposes as may be directed by the President of the Philippines pursuant to Section 8 of P.D. (Presidential Decree) No. 910.'' Thus, with Malampaya Fund, theres no reason that the government cannot achieve its target for its Rural Electrification Program. Aside from its Rural Electirification Program, other poverty alleviation programs can be implemented with the proper use of the Malampaya Fund. Currently, as reported by the DOE Secretary, Jericho Petilla, disbursements from this fund include the P2.0-billion release for the fuel requirements of the National Power Corporation-Small Power Utilities Group (NPC-SPUG) to avert power interruptions in off-grid areas; P450 million for the Pantawid Pasada Program to aid the transport sector during relentless price spikes in petroleum prices; and other program such as the release of P423 million for the purchase of USS Hamilton cutter marine vessel which was deployed to reinforce security measures along basins where oil and gas exploration projects are

being undertaken, and primarily within the perimeters of the Malampaya gas production field. (By: Mr. Robert Ramirez)

Question: Cite a specific location where the program is implemented and assess its performance. Answer: One of the programs of the DOE is the use of the Compressed Natural Gas produced by Pilipinas Shell from the Malampaya project on the public utility buses. Currently, there are 41 operational compressed natural gas (CNG) public utility buses (PUBs) in the country plying the South Luzon routes, with terminals in Cubao and terminating as far as Batangas City. As of October 2012, sales of CNG to accredited buses reached a total of 110,376.66 Nm3. To provide legality on the franchise of the CNG daughter station, three (3) MOAs were signed on 11 April 2012 which provides for the: (1) take-over of the Philippine National Oil Company Exploration Corporation (PNOC-EC) of the rights and obligations of Pilipinas Shell Petroleum Corporation (PSPC) under the CNG Pilot Project MOA and construction/operation of the second Daughter Station; (2) transfer of the Gas Supply Purchase Agreement (GSPA) between SC38 Consortium for the supply of CNG gas to CNG buses to PNOC-EC; and the Extension of the Pilot Phase Project up to 2018. Through the said agreements, it is foreseen that major legal barriers will be removed to allow more gains for Natural Gas Vehicle Program for Public Transport (NGVPPT) in the near future. In May 2012, PNOC-EC has applied and was granted accreditation as Category IV refueling station program participant of NGVPPT to address the technical operation concerns on the lone and 1st CNG daughter station in Mamplasan, Bian, Laguna. In coordination with DOE, the PNOC-EC proposed on putting up two (2) mobile CNG stations in Bian, Laguna and Batangas City. With this program the commuting public in the area are enjoying a much lower fare. Because, CNG price is much lower than the gasoline or diesel. On top this, CNG is more environment friendly. The biggest advantage of CNG is that they reduce environmentally harmful emissions. Vehicles using Natural Gas can reduce the emission of harmful gases like carbon monoxide and various oxides of nitrogen and reactive hydrocarbons. PART II Question: Is the geothermal energy contributing to poverty reduction? Is there a co-relation between the PNOC exploration in Mt. Pintatubo and volcano eruption? Are geothermal corporations liable for environmental degradation due to excessive heat, vibration and noise?

Question: Which of the industries is the Philippine Government prioritizing? Which is it trying to shut down? Question: Case digest of Concerned Citizens of Manila Bay vs. MMDA. Choose one agency and submit latest activity in compliance with mandamus.

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