LGUs get P140M funds from power firm, DOE

ABOITIZPOWER and the Department of Energy (DOE) have turned over about P140.1 million worth of Energy Regulations 1-94 (ER 1-94) funds to 36 host beneficiaries of the firm's business units AP Renewables Inc. (Apri) and San Carlos Sun Power Inc. (SacaSun).

The initial remittance is part of the total P351.6 million ER 1-94 funds generated by AboitizPower's geothermal and solar facilities. The remaining funds are still being processed and will likewise be turned over to the host beneficiaries as soon as available.

The host beneficiaries of Apri and SacaSun included 24 barangays, three municipalities, and two cities in the provinces of Albay, Batangas, Laguna, and Negros Occidental.

Calabarzo, Bicol and Western Visayas, through the Regional Development Council (RDC), will also be given shares that they can allocate to their chosen non-host local government units (LGUs) of Apri and SacaSun within their respective regions.

ER 1-94 is a program that gives benefit to host communities through the one centavo per kilowatt-hour (kWh) share in the total electricity sales of a power generating facility located within their locality.

The new DOE Circular DC2020-04-00080 mandates that the funds can now be utilized for coronavirus disease (Covid-19) response efforts, in support of the Bayanihan to Heal as One Act.

Covid-19 response initiatives that were so far implemented by the said LGUs included holding areas or distribution centers, medical and personal protective equipment (PPE) supplies, facility decontamination, and relief goods to feed low-income households during this prolonged quarantine period.

The said funding can also be utilized for mass testing, subsidy programs (non-food items), mobile market to ensure uninterrupted availability of essential goods, construction of quarantine centers, provision of cremation and burial services, electricity cost subsidies to newly constructed health facilities, and all other reasonable means or measure to mitigate, contain, and eliminate the transmission of Covid-19.

AboitizPower Geothermal and Solar Business Units President and Chief Operating Officer Dennis Jordan said "we don't know how long this crisis will last. I see the accrued ER 1-94 fund as a blessing."

"This is God's provision that our host communities can tap and utilize at this very difficult moment in our nation's history," he said, adding that "may they be able to use this resource to help contain, mitigate, and eventually eliminate the spread of Covid-19 in their respective areas." (PR)


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