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Vol. 2 Wednesday, December 3, 2014 No. 32 Congressional Record 16th CONGRESS, SECOND REGULAR SESSION HOUSE OF REPRESENTATIVES CALL TO ORDER At 4:00 p.m., Deputy Speaker Sergio A.F. Apostol called the session to order. THE DEPUTY SPEAKER (Rep. Apostol). The session is called to order. NATIONAL ANTHEM THE DEPUTY SPEAKER (Rep. Apostol). Everybody will please rise for the singing of the National Anthem. Everybody rose to sing the Philippine National Anthem. PRAYER THE DEPUTY SPEAKER (Rep. Apostol). Everybody will please remain standing for a minute of silent prayer. Everybody remained standing for the silent prayer. THE DEPUTY SPEAKER (Rep. Apostol). The Asst. Majority Leader is recognized. REP. LAGDAMEO (M.) Mr. Speaker, I move that we defer the calling of the roll. THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved. The calling of the roll is hereby deferred. REP. ATIENZA. Mr. Speaker. THE DEPUTY SPEAKER (Rep. Apostol). What is your problem? REP. ATIENZA. Mr. Speaker, here. THE DEPUTY SPEAKER (Rep. Apostol). Where? SUSPENSION OF SESSION REP. LAGDAMEO (M.). Mr. Speaker, I move that we suspend the session. REP. ATIENZA. Mr. Speaker. THE DEPUTY SPEAKER (Rep. Apostol). The session is suspended. It was 4:02 p.m. RESUMPTION OF SESSION At 4:47 p.m., the session was resumed with Speaker Feliciano Belmonte Jr. presiding. THE SPEAKER. The session is called to order. The Asst. Majority Leader is recognized. REP. ABAYA. Mr. Speaker, we would like to acknowledge the presence of some guests in the gallery. We would like to acknowledge the presence of Ms. Earth 2014, Ms. Jamie Herrell of the Philippines; Ms. Earth Air 2014, Ms. Andrea Nev of the United States of America; Ms. Earth Water 2014, Ms. Maira Alexandra Rodriguez of Venezuela; and Ms. Earth Fire 2014, Ms. Anastasia Trusova of Russia. (Applause) Also here are Ms. Lorraine Schuck, the EVP of Carousel Productions and Princess Lieza Manzon of the Ms. Earth Foundation. (Applause) THE SPEAKER. The House of Representatives officially welcomes our very own Ms. Earth from the Philippines, from Cebu, Philippines—iyong mga Cebuano dito palakpak naman (Applause)—and the rest of the winners, Ms. Russia, Ms. Venezuela, Ms. USA, in no particular order. All of them are here. We are very happy to welcome all of you, world beauties, to this Chamber. Let us all give them a big hand, my colleagues. (Applause) We will call a few minutes suspension in case you want to have your pictures taken with them.

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Page 1: Congressional Record fileVol. 2 Wednesday, December 3, 2014 No. 32 Congressional Record 16th CONGRESS, SECOND REGULAR SESSION HOUSE OF REPRESENTATIVES CALL TO ORDER At …

Vol. 2 Wednesday, December 3, 2014 No. 32

Congressional Record16th CONGRESS, SECOND REGULAR SESSION

HOUSE OF REPRESENTATIVES

CALL TO ORDER

At 4:00 p.m., Deputy Speaker Sergio A.F. Apostol called the session to order.

THE DEPUTY SPEAKER (Rep. Apostol). The session is called to order.

NATIONAL ANTHEM

THE DEPUTY SPEAKER (Rep. Apostol). Everybody will please rise for the singing of the National Anthem.

Everybody rose to sing the Philippine National Anthem.

PRAYER

THE DEPUTY SPEAKER (Rep. Apostol). Everybody will please remain standing for a minute of silent prayer.

Everybody remained standing for the silent prayer.

THE DEPUTY SPEAKER (Rep. Apostol). The Asst. Majority Leader is recognized.

REP. LAGDAMEO (M.) Mr. Speaker, I move that we defer the calling of the roll.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The calling of the roll is hereby deferred.

REP. ATIENZA. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Apostol). What is your problem?

REP. ATIENZA. Mr. Speaker, here.

THE DEPUTY SPEAKER (Rep. Apostol). Where?

SUSPENSION OF SESSION

REP. LAGDAMEO (M.). Mr. Speaker, I move that we suspend the session.

REP. ATIENZA. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Apostol). The session is suspended.

It was 4:02 p.m.

RESUMPTION OF SESSION

At 4:47 p.m., the session was resumed with Speaker Feliciano Belmonte Jr. presiding.

THE SPEAKER. The session is called to order. The Asst. Majority Leader is recognized.

REP. ABAYA. Mr. Speaker, we would like to acknowledge the presence of some guests in the gallery.

We would like to acknowledge the presence of Ms. Earth 2014, Ms. Jamie Herrell of the Philippines; Ms. Earth Air 2014, Ms. Andrea Nev of the United States of America; Ms. Earth Water 2014, Ms. Maira Alexandra Rodriguez of Venezuela; and Ms. Earth Fire 2014, Ms. Anastasia Trusova of Russia. (Applause) Also here are Ms. Lorraine Schuck, the EVP of Carousel Productions and Princess Lieza Manzon of the Ms. Earth Foundation. (Applause)

THE SPEAKER. The House of Representatives officially welcomes our very own Ms. Earth from the Philippines, from Cebu, Philippines—iyong mga Cebuano dito palakpak naman (Applause)—and the rest of the winners, Ms. Russia, Ms. Venezuela, Ms. USA, in no particular order. All of them are here. We are very happy to welcome all of you, world beauties, to this Chamber.

Let us all give them a big hand, my colleagues. (Applause)

We will call a few minutes suspension in case you want to have your pictures taken with them.

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2 WEDNESDAY, DECEMBER 3, 2014

SUSPENSION OF SESSION

THE SPEAKER. The session is suspended.

It was 4:49 p.m.

RESUMPTION OF SESSION

At 4:51 p.m., the session was resumed with Deputy Speaker Sergio A.F. Apostol presiding.

THE DEPUTY SPEAKER (Rep. Apostol). The session is resumed.

The Dep. Majority Leader is recognized.

REP. BINAY. Mr. Speaker, we are also joined today by the guests of the Hon. Jeffrey D. Khonghun: Punong Barangay Rowena Sawey, Barangay Kagawads Adonis Bobis, Bernard Espiritu, Hector Fabiala, Dante Echon, Elvira Jimenez, Fernando Figueroa, Felen Galvez, Barangay Secretary Melody Jansen, Barangay Treasurer Sylvia Karina Serdena, Record Keeper Rofelyn Valdez, Administrative Officer Jeanette M. Del Carmen, Barangay Clerk Eliza Seridon, and the Subikeña Officers San Isidro Chapter.

THE DEPUTY SPEAKER (Rep. Apostol). Welcome to the House of Representatives. (Applause)

The Dep. Majority Leader is recognized.

CONSIDERATION OF H. JT. RES. NO. 21Continuation

PERIOD OF SPONSORSHIP AND DEBATE

REP. BINAY. Mr. Speaker, I move to consider a matter in the Unfinished Business and direct the Secretary General to read the title of House Joint Resolution No. 21.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The Secretary General is ordered to read the title of the measure.

THE SECRETARY GENERAL. House Joint Resolution No. 21, entitled: JOINT RESOLUTION AUTHORIZING THE PRESIDENT OF THE PHILIPPINES, HIS EXCELLENCY BENIGNO S. AQUINO II I , TO PROVIDE FOR THE ESTABLISHMENT OF ADDITIONAL GENERATING CAPACITY AS MANDATED BY REPUBLIC ACT NO. 9136, ALSO KNOWN AS THE “ELECTRIC POWER INDUSTRY REFORM ACT (EPIRA),” TO EFFECTIVELY ADDRESS THE PROJECTED

ELECTRICITY SHORTAGE IN THE LUZON GRID ON MARCH 1, 2015 TO JULY 31, 2015.

REP. BINAY. Mr. Speaker, the parliamentary status is that we are in the period of interpellation. I move that we recognize the Hon. Henedina R. Abad to defend the House Joint Resolution and the Hon. Jonathan A. Dela Cruz to interpellate.

THE DEPUTY SPEAKER (Rep. Apostol). The beauteous Hon. Dina Abad is recognized to sponsor the measure.

Congressman Jonathan Dela Cruz—you are around, I can see you—...

REP. DELA CRUZ. Thank you.

THE DEPUTY SPEAKER (Rep. Apostol). … is recognized to interpellate.

REP. DELA CRUZ. Thank you, Mr. Speaker. Will the distinguished Deputy Speaker yield to a

few questions?

REP. ABAD. Opo, nakahanda po tayong sumagot sa inyong mga katanungan para higit na maipaliwanag po itong ating Joint Resolution.

REP. DELA CRUZ. Una sa lahat, nais ko pong banggitin na may pangangailangan po tayong magkaisa para tayo po ay hindi abutan ng blackout/brownout lalung-lalo na po dito sa Luzon. Ang akin lang pong ikinalulungkot, ang brownout at blackout ay daily, parang new normal na po ito pagdating po sa Visayas at lalung-lalo na sa Mindanao. Kaya nakalulungkot na tayo ay magpapasa ng isang joint resolution para mabigyan ng emergency powers ang Pangulong Aquino para mapunuan ang pangangailangan natin dito sa Luzon at parang hindi na nai-involve dito iyong iba pa nating mga kababayan na nasa ibang mga bahagi ng ating kapuluan.

Iyon po ba ay tamang pagtaya tungkol dito po sa Joint Resolution na ito, o ito po ay maaari ring gamitin pagdating ng araw na pangangailangan diyan sa Mindanao? Sa Mindanao po, kung matatandaan po ninyo, G. Isponsor, halos araw-araw ay mayroon pong brownout sila. Eh, tayo po, ang ating pinag-uukulan dito ay iyong March to July 2015 lamang po. Bakit po ganoon ang nangyari dito sa ating Joint Resolution? Ito po ba ay may pagkakataon pa na ito naman ay ating magamit, kung saka-sakaling bigyan ng emergency powers ang ating Pangulo, nang kaniyang maibsan ang mga problema ng Mindanao at Visayas?

REP. ABAD. Ito pong ating Joint Resolution pong ito na pinag-uusapan ay nakatutok po doon sa ating

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WEDNESDAY, DECEMBER 3, 2014 3

nakikitang mangyayaring shortage ng elektrisidad dito po sa Luzon sa panahon nga po ng tag-araw. Iyong tungkol naman po sa nararanasan na brownout sa Mindanao at Visayas, kagaya po ng nasabi natin kahapon, may pagtugon po na ginagawa o ginawa ang ating Department of Energy para ho matugunan iyong kanilang problema. Pero kung ito pong Joint Resolution na pinag-uusapan natin, ito po ay nakatukoy o nakatutok lamang dito sa Luzon.

REP. DELA CRUZ. Maraming salamat po.Iyan na nga po ang aking ipinagtataka at

ikinalulungkot sapagkat kausap ko po ang ating mga kaibigan, na hindi lamang mga Kongresista kung hindi mga kababayan natin sa Mindanao, at ang kanilang ipinagtataka, napakalimitado po yata itong pagbibigay natin ng emergency powers para maibsan ang mga problema dito sa Luzon. Kaya ang kanilang hinihingi, mayroon bang pagkakataon, sa pamamagitan na rin ng ating pagsisikap, na iyon namang mga problema sa Mindanao, na araw-araw ay mas matindi pa kaysa sa magiging problema dito sa Luzon, ay mabigyan ng kalunasan sa pamamagitan ng emergency powers na ito? Hindi po ba maaari na i-extend natin, kung saka-sakaling ito ay aprubahan, ang emergency powers ng Pangulo para iyan naman ay kanilang mapagbigyan at magawan ng kaparaanan iyong mga problema sa Mindanao? Wala po bang ganoong pagkakataon sa pamamagitan po ng Joint Resolution na ito?

REP. ABAD. Iyong dito po, ginagawa po natin ay—iyan po siguro ay sa panahon ng pag-aamyenda.

REP. DELA CRUZ. Maaari pong magkaroon ng amendment para iyan ay sakupin ng emergency powers na ito, iyan po ba ang paningin ng ating iginagalang na Deputy Speaker, ang Sponsor nitong Joint Resolution na ito?

REP. ABAD. Sa akin pong pagtingin, hindi po namin iyan napag-usapan sa aming committee. Dito po sa talakayan sa plenaryo, maaari pong pag-aralan ito sa tamang panahon.

REP. DELA CRUZ. Kung saka-sakali po, ang ating iginagalang na Deputy Speaker po ba ay aayon kung halimbawa mang ito ay i-extend, halimbawa, sa pangangailangan naman ng Mindanao?

REP. ABAD. Sa akin pong personal na paniniwala, ang emergency powers po ay nakatutok lamang dito sa Luzon at iyong mga problema po na kailangang tutukan sa Mindanao ay mayroon pong mga kagyat at mga pangmatagalang solusyon na ibinigay po ang Department of Energy.

REP. DELA CRUZ. Iyan nga po ang problema natin, sapagkat iyang nababanggit po ng ating distinguished Deputy Speaker ay matagal nang pangangailangan po ito. Kaya nagtataka po ako kung bakit magkakaroon tayo ng emergency powers para sa March to July na requirement natin sa Luzon, samantalang, gaya ng binabanggit ko po, mukhang new normal na po iyong araw-araw na may brownout/blackout sa napakalawak na bahagi ng Mindanao. Kaya ako po ay talagang nalulungkot na ito lamang ay ating ili-limit dito sa Luzon kung saka-sakali. Magkakaroon na rin lang tayo ng emergency powers ay bakit hindi pa natin tuluyan na bigyan ng emergency powers ang Pangulo para iyan ang magiging poder niya para magkaroon ng pagkakataon naman ang ating mga kababayan sa Mindanao, sa Visayas at sa iba pang bahagi ng ating bayan na maibsan ang kanilang mga problema pagdating po sa electric power.

Puwede po ba nating mapagbigyan iyon, o sa tingin po ng ating distinguished Deputy Speaker ay limitado lang talaga po ito sa Luzon?

REP. ABAD. Limitado po ito sa Luzon. At tungkol naman po sa pagtugon sa Mindanao, ayon po sa ating Kalihim ng Department of Energy, mayroon po silang pagtugon doon, bilang pagsagot sa mga brownouts at ito po ay sa pamamagitan ng mga gencos sa tulong po ng NEA na kanila pong inialok sa ating mga electric cooperatives.

REP. DELA CRUZ. Mme. Deputy Speaker, distinguished Sponsor, can you please advise this Representation, what kind of programs have the Department of Energy and the National Electrification Administration implemented or about to implement in the case of Mindanao so that we will be properly guided, so that this particular problem, this continuing dilemma that we have in Mindanao, will be properly addressed because we cannot, I think for our purposes, continue discussing emergency powers for the President for purposes of solving only the problems for a five-month period for Luzon. That will be quite impractical, number one; and number two, that will be really condemnable as far as our kababayans in Mindanao are concerned. So, is it possible for the distinguished Sponsor to give us that particular program that she is now saying, is about to be put in place or is already in place in Mindanao, so that the problem in Mindanao will be solved in the shortest possible opportunity?

REP. ABAD. Mayroon pong P4.5-billion assistance na ibinigay po ang NEA sa mga electric cooperatives in the form of loan and buyback po sa mga gensets at mayroon pong mga tatlong planta na nasa pipeline na mag-o-online na po sa 2015.

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REP. DELA CRUZ. So, mayroon pong P4.5 billion, P4.5 billion po ba ito?

REP. ABAD. P4.5 billion po iyan.

REP. DELA CRUZ. Maaari po bang malaman kung alin-aling mga electric cooperatives ang binigyan ng ganiyan nang sa ganoon ay masabi natin sa ating mga kababayan sa Mindanao na kayo po, by 2015, ayon sa Department of Energy at saka National Electrification Administration, ay wala na kayong problema sapagkat binigyan na kayo ng katumbas na P4.5 billion na generating sets at huwag na kayong reklamo nang reklamo na ang Luzon lamang ang nabibigyan ng pagtingin at pagkalinga ng Pangulong Aquino.

REP. ABAD. Kung mamarapatin po ninyo, Your Honor, Mr. Speaker, bibigyan daw po kayo ng listahan ng ating Kalihim.

REP. DELA CRUZ. Maraming-maraming salamat po. Kaya ko po nababanggit ito, Your Honor, distinguished Deputy Speaker, ay sapagkat I want to find out from the Department of Energy, the issue is not just the situation, the possible blackout situation in Luzon come March up to July 2015, the situation can occur immediately thereafter. It will not just be an emergency from March to July of 2015. It can happen anytime after that because up to now, the promises and the commitments that were made under the EPIRA have not yet been fulfilled. That is the reason, Mr. Speaker, Your Honor, I would like to find out what has been the review of the commitments and promises made by the participating agencies as well as the private sector as far as the EPIRA is concerned because my understanding, when this EPIRA was passed, Your Honor, was that we are supposed to have sustainable, affordable and accessible power all over the country. What has been the record so far after 14 years, Your Honor? I would like to be educated so that we will be properly advised and so that our giving of emergency powers under Section 71 of the EPIRA will be properly recognized.

REP. ABAD. Siguro po, bigyan natin ng konteksto na iyon pong pag-aakda ng ating EPIRA, ang pinakalayunin niya ay gawing mas maayos ang pagpapalakad—it is basically restructuring the electric power industry primarily because before it was enacted, we were actually experiencing the need to develop our electric power industry, but this has been basically constrained primarily because of limited government funds, and because it was largely a public monopoly. So, again, like many other bills or like many other laws that seek to restructure, I am made to understand that this Bill, before it was enacted into a law, already went through many studies.

So, in the end po, it is really how to find the resources of the private sector to be able to develop the electric power industry basically to free the government or to reduce the subsidies given by the government to the electric power industry from general subsidies to more targeted subsidies.

The EPIRA also created several institutions, so it was not simply to privatize but also to put in place a number of institutions to be able to ensure and regulate the industry. For example po, we have our Energy Regulatory Commission that seeks to regulate the pricing of electric power. We have po the, which seeks to, basically, which manages the spot market, to allow the different generators to trade their electric power into the particular market without TSAs.

Again, another is, marami pa po. So, kagaya po nito, I think we have to agree that these problems are really part of the transition. Iyong Section 71 po was really meant for situations like these so that, with the wisdom of Congress and the coordination with the Executive, the government is empowered to intervene in terms of peculiar situations such as what we face or will be facing in summer 2015.

REP. DELA CRUZ. That is precisely my point, distinguished Sponsor, Mr. Speaker. It has been 14 years since the enactment of the EPIRA. The promises that were mentioned and are now being reiterated by the distinguished Sponsor are the promises that were made when this particular law was enacted.

That is the reason I wanted to find out whether the promises and the commitments made were actually undertaken or not because, on the basis precisely of our own experience so far, the promises have been broken and instead of us, citizens, having affordable, accessible power on a sustainable basis, we have been subjected to more problems than solutions to our power requirements, Your Honor. That is the reason I wanted to find out from the distinguished Sponsor if, in her own view, the EPIRA has actually been able to provide us the promises that it was based on when it was first brought to the attention of Congress for purposes of alleviating, as the distinguished Sponsor mentioned, our problems in the power sector.

REP. ABAD. In the recent meetings, the Chair of the Energy Committee mentioned that, in fact, we have to be part of that review. So, binanggit nga po ni Chairman Rey Umali na pagkatapos po, sa mga darating na committee meetings, iyan po ang isa sa mga pag-aaralan. Iyon pong ating Joint Congressional Power Commission, diyan po ay kasama ang Senado at Kongreso, ay kailangan po talagang pag-aralan ito. Kagaya po ng kahit anong batas, kailangan po talaga may period of review, at kung kailangang may baguhin, whether by legislation or by simple Executive, kailangan pong ayusin.

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WEDNESDAY, DECEMBER 3, 2014 5

REP. DELA CRUZ. Tama po iyon, G. Ispiker, Mme. Sponsor. Kaya nga po nais kong malaman, doon po ba sa EPIRA, kung halimbawa, dahil ibinigay po natin, we gave the private sector the sole monopoly. This is no longer the public monopoly that the distinguished Sponsor is mentioning, but the private monopoly, in effect, of generating power, because only the private sector can actually undertake power projects, Your Honor. The government sector is allowed to participate in the entire power industry only insofar as the distribution and regulation are concerned, but insofar as generation is concerned, it is the private sector that has been given the sole monopoly to undertake this.

What have been the commitments so far? If these commitments are not properly followed, what are the penalties if there are any? Mayroon po bang ganoon na nangyari? Kasi, 14 na taon na po tayo dito. Naipagbili na po natin ang karamihan sa mga assets natin pagdating sa power generation. E ngayon po ay nagtatayo na ng napakaraming mga power plants ang private sector, pero unti-unti pong lumalaki ang ating mga problema pagdating po sa power at saka elektrisidad. Bakit po nagkakaganoon? Wala po bang penalties? Wala po bang maibibigay na sasabihin ng gobyerno, “Aba, hindi na natin puwedeng—ganito pa ang magiging sitwasyon natin,” puwede nang pasukin ng gobyerno ang power generation. Wala po ba tayong penalties na puwede nating sabihin, “O, kayo, nangako kayo na magkakaroon tayo ng ganitong planta, sa ganitong araw, sa ganitong taon, pero hindi nangyari.” Ano pong mangyayari kung halimbawa hindi naibigay iyong ganoon? Halimbawa po, dito sa sinasabi natin sa Luzon, ilan po ba ang pangangailangan natin dito sa Luzon pagdating po sa power?

REP. ABAD. Iyon pong sinasabi nating ano ang ganansiya o ano po iyong mga hindi nasunod na commitments, iyon nga po ang kailangang lamnan noong ating pagsusuri ng batas, lalo na po iyong implementasyon ng batas.

Dito naman po sa Luzon, ayon po sa datos ng Department of Energy, iyong mga papasok po na total na megawatts na committed power projects ay 2,682.1 megawatts.

REP. DELA CRUZ. Ilan po ba ang pangangailangan natin sa Luzon?

REP. ABAD. Iyong pangangailangan po natin—ito pong sinabi kong 2,682, ito po ay hanggang 2018 na total megawatts of committed projects. Iyong pangangailangan naman po natin sa Luzon, sa panahon po ng tag-araw…

REP. DELA CRUZ. Hindi po. Iyong pangangailangan basically, iyong basic na pangangailangan ng Luzon.

REP. ABAD. A, iyong—hindi lang po …

REP. DELA CRUZ. At iyong sinasabi po ninyo na pangangailangan natin sa tag-araw, mamaya po natin idi-discuss iyon dahil mahaba-haba po ito.

Kaya ko po binabanggit ito, Gng. Isponsor, Mr. Speaker, kaya ko po binabanggit iyong tungkol sa kabuuan, dapat ilagay po natin in some kind of framework itong diskusyon natin tungkol sa emergency powers kasi, ang ayaw nating mangyari, Mr. Speaker, distinguished Sponsor, ay maulit ito, magkaroon na naman tayo ng panibagong pagkakataon na ito na naman, nagkaroon na tayo ng emergency powers, tapos hindi pa rin natin na-solve iyong mga pangangailangan natin. Kaya po, inilalagay ko po ito sapagkat nais kong maintindihan ng ating mga kababayan na 14 na taon na po itong EPIRA, at sa halip na solusyon ang naibibigay sa atin, sa halip na pagkalinga ang naibibigay sa atin, ang naibibigay sa atin ay problema. At ngayon nga po ay imminent na problema ito pagdating po ng Marso, at binabanggit po iyan ng Department of Energy. Kaya nais kong malaman po sa inyo, at kung maaari ay makapagbigay, kung wala pa pong maibibigay na report ang Joint Congressional Power Commission, baka mayroon na pong nagawa, na-review mismo ang Department of Energy, sapagkat 14 na taon na po itong EPIRA. Hindi po maaaring magkaroon tayo ng ganitong mga pagkakataon na aabutin tayo ng 14 na taon, hindi natin alam kung ano ang nangyayari. Hindi pupuwede iyong ganoon. Wala po bang report ang Department of Energy nang maintindihan natin kung ano talaga ang sitwasyon natin sa buong bayan, at maintindihan natin specifically kung ano ang problema natin sa Luzon? Nasaan po iyong report na iyon?

SUSPENSION OF SESSION

REP. ABAD. May I ask for a one-minute suspension of the session, Mr. Speaker?

THE DEPUTY SPEAKER (Rep. Apostol). The session is suspended for two minutes.

It was 5:15 p.m.

RESUMPTION OF SESSION

At 5:16 p.m., the session was resumed.

THE DEPUTY SPEAKER (Rep. Apostol). The session is resumed.

Where is the interpellator?

SUSPENSION OF SESSION

THE DEPUTY SPEAKER (Rep. Apostol). The session is suspended for two minutes.

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6 WEDNESDAY, DECEMBER 3, 2014

It was 5:17 p.m.

RESUMPTION OF SESSION

At 5:18 p.m., the session was resumed.

THE DEPUTY SPEAKER (Rep. Apostol). The session is resumed.

The Hon. Jonathan A. Dela Cruz is recognized to interpellate.

REP. ABAD. Your Honor, Mr. Speaker, we are ready to respond to the question.

REP. DELA CRUZ. Please, please, Your Honor, Mr. Speaker.

REP. ABAD. Batay po sa ating mga datos na galing sa Department of Energy, kung power demand po ang ating hinihingi dito po sa Luzon, batay po sa 2014 na ano natin ay 8,732 megawatts ang aktuwal; kung isasama po natin iyong ating reserve ay mga 9,000 plus po na megawatts.

REP. DELA CRUZ. Ang binabanggit po dito, ayon sa mga nabanggit na ng ating Sponsor kahapon at ang interpellation po ng ating kaibigang si Congressman Colmenares, ay ilan po ba talaga, iyong totoo, na magiging shortage po natin pagdating po ng March 2015 hanggang July 2015? Iyon pong expected na talagang shortage natin. Kaya ko po binabanggit ulit ito, Mr. Speaker, Mme. Sponsor, ay sapagkat hanggang ngayon ay hindi pa po natutuos kung magkano at ilan talaga ang talagang shortage natin. Kasi, kahapon po paiba-iba rin. Iba rin po iyong narinig ko kahapon at iba na naman ang naririnig ko sa ngayon. Ano po ba talaga ang talagang shortage na binabanggit po natin?

REP. ABAD. Wala pa ho tayong binabanggit na shortage. Ngayon po, ang binanggit lang po natin ay iyong demand.

Sa palagay ko po nasabi na po ito ni Cong. Reynaldo V. Umali noong siya po ay nag-introduce o nag-sponsor nitong panukalang batas na ito.

REP. DELA CRUZ. Opo. Kasi noon pong isang hearing, ang binanggit po ng National Grid Corporation of the Philippines ay ang talagang problema natin ay thinning reserves. At ang binabanggit nila na reserves na sa tingin nila ay kakulangan natin ay 34 megawatts. Ngayon, may lumalabas na 1,004 megawatts, e ang layo po noon. Ang layo po ng 34 megawatts sa 1,004 megawatts.

Kaya nga po nais lang po naming magkaroon ng figure na para naman mabanggit din po natin. Kung ito

po ay ating ipapasa, itong emergency powers na ito, ay iyan naman po ay masabi natin sa ating mga kababayan na ito ay napag-aralan at ito po ang pangangailangan talaga at ito po iyong justification dito.

Maaari po ba, Mr. Speaker, Mme. Sponsor, is it possible for us to get the final, final, final figure as far as the imminent shortage that we are expecting come March 2015?

REP. ABAD. Ayon nga po sa maraming technical working groups at pag-aayos po, ibig kong sabihin po, we are trying to reconcile all of the different figures, ito po iyong resulta ng mga maraming pulong at maraming pag-aaral, ayon nga din po sa sinabi ni Congressman Umali, 1,400 megawatts po, of which 600 megawatts are needed to meet the required dispatchable service, and 404 megawatts are needed to meet the required contingency—excuse me po, 1,429 megawatts, of which 135 megawatts are needed to meet the required regulating reserve and 1,294 megawatts are needed to meet the required contingency and dispatchable reserve.

REP. DELA CRUZ. Pakiulit lang po, Mr. Speaker, Mme. Sponsor. One thousand four hundred megawatts ang talagang iniisip natin na kailangang available sa atin, at 600 megawatts po diyan ay dispatchable, 400 megawatts ang contingency, at iyong iba pa ay, ano po ito? Maaari po bang pakiulit lang ito for the record para naman po maintindihan nating lahat at para maintindihan po natin kung ano iyong binabanggit natin na kokontratahin natin sa pamamagitan po ng ILP at sa ibang mga paraan.

REP. ABAD. Iyong bahagi po ng pagkatapos ng pag-aaral, ang final figures po ay 1,429 megawatts.

REP. DELA CRUZ. Opo, 1,429 megawatts. Ito po ang total na pangangailangan natin, divided into different levels of requirements.

REP. ABAD. Opo, of which …

REP. DELA CRUZ. Opo. So, 1,429 megawatts, 600 megawatts po ba ito ang dispatchable? Iyon po ba ang ibig sabihin niyan?

REP. ABAD. Doon po sa one thousand …

REP. DELA CRUZ. Four hundred twenty-nine.

REP. ABAD. … four hundred twenty-nine, 135 megawatts po ay kailangan to meet the required regulating reserve, and 1,294 megawatts are needed to meet the required contingency and dispatchable reserves.

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REP. DELA CRUZ. One hundred thirty-five megawatts, ito po iyong tinatawag natin na regulating power, 1,294 ay ito po iyong contingency. At iyong contingency, divided into what categories po ito? Sapagkat may nabanggit po kayo kanina na 600 megawatts at saka 400 megawatts. Ano po ang ibig sabihin nito?

REP. ABAD. Iyong atin pong contingency reserve, by law po, are 647 megawatts.

REP. DELA CRUZ. With the indulgence of the distinguished Sponsor, pakiulit lang po kasi iba na po iyong nababasa ko rito. Inuulit ko po, 1,429 megawatts of which 1,294 megawatts are called contingency reserve and 135 megawatts are called regulating power, iyon po ba? Tama po ba iyon?

REP. ABAD. Mayroon po tayong konting amyenda dito po sa ating Joint Resolution in terms of the figures. Dito po sa ating pag-uusap, ito na pong final figures ang ating sinasabi.

REP. DELA CRUZ. Opo, at ang binabanggit po natin ay 1,294 na contingency reserve at 135 na regulating power. Tama po ba iyon o hindi?

REP. ABAD. Opo. Itinatanong po ninyo sa akin, alin po dito, doon sa 1,294, ang contingency at dispatchable?

REP. DELA CRUZ. Opo.

REP. ABAD. Batay po sa ating Grid Code, 600 plus megawatts po ang contingency, so iyong sobra po noon ay dispatchable reserve.

REP. DELA CRUZ. So, dito po sa 1,294 na binabanggit natin na “contingency reserve” ay 600 megawatts dito ang—ano po ito, dispatchable, contingency? Ano po ang tawag dito sa 600 megawatts, at iyong balance na 494 ay ano po ang tawag doon?

REP. ABAD. Pakiulit lang po, Your Honor.

REP. DELA CRUZ. Yes, Madam. Ito po, distinguished Sponsor, Mr. Speaker, ang nabanggit po ninyo at nababanggit, at ito naman ay kinukumpirma ng Department of Energy, 1,429 megawatts ang binabanggit po natin na pangangailangan natin from March 2015 to July 2015, of which 1,294 megawatts are considered contingency reserve and 135 megawatts are considered regulating power, and of the 1,294 contingency reserve, 600 megawatts are considered contingency and 400 megawatts are considered dispatchable. Tama po ba iyon o hindi?

REP. ABAD. Iyong akin pong sinabi ay doon po sa 1,429 megawatts, iyan po iyan, ano po. Paano po natin ito bini-break down? One hundred thirty-five megawatts regulating, tapos po 1,294 megawatts ay required contingency at dispatchable reserves po.

REP. DELA CRUZ. So, hindi po iyong 600 megawatts at saka 400 megawatts, wala po iyon. Talagang 1,200 megawatts ang contingency and dispatchable reserves.

REP. ABAD. Opo.

REP. DELA CRUZ. Iyan po ang kategorya niyan, at lahat po ito, 1,429, iyan po ang binabanggit natin na pangangailangan natin at iyan po ang kukunin natin sa iba’t ibang mga sources, kasama na po diyan ang ILP.

REP. ABAD. Opo.

REP. DELA CRUZ. Iyon po ang ibig sabihin niyan. So, uulitin ko lang po for purposes of our discussion, Mr. Speaker, Mme. Sponsor. Ang talagang totoo at napapatunayan na pangangailangan po natin magmula March 2015 hanggang July 2015 for which the Joint Resolution is addressing, is 1,429 megawatts, of which 1,294 are considered contingency and dispatchable reserves and 135 megawatts are called regulating reserve. Ano po ang ibig sabihin noong 135 megawatts? Ang lumalabas po dito, kung naiintindihan ko po iyong nababanggit natin, ay iyong talagang totoo na parang kumbaga, ay pangangailangan natin, iyong walang-wala talaga, iyong tinatawag natin na regulating reserve ay 135 megawatts. Ang ibig sabihin po niyan, sa pagkakaintindi ko po, ay ito talaga ang actual na pangangailangan natin sapagkat iyong 1,294 ay parang, kumbaga, ay ina-anticipate lang natin na kailangan natin. In the event of some problems, it will be available and dispatchable. Is this correct or is this not correct?

REP. ABAD. Kailangan po itong mga iba’t ibang reserves na ito dahil, kunwari po, kung wala na po tayo, at least, iyong regulating reserve, iyan po iyong mag—ang resulta po niyan ay talagang brownout. Kung ang contingency reserve naman po, iyan po iyong sinasabi nating yellow alert, iyon po iyong parang system stability naman po ang ating inaayos.

REP. DELA CRUZ. Bakit po magkaiba? Kasi po, ang binanggit at uulitin ko po, why is it that the National Grid Corporation of the Philippines is coming out with different figures? Saan po nanggaling iyong sinasabi ng National Grid Corporation of the Philippines na ang talagang pangangailangan natin ay 34 megawatts?

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REP. ABAD. Ano ho iyon, I guess, at the end of the day, iyan po talaga iyong ating pinag-aralan at ang nangyayari po ay nagkakaiba po iyong assumptions. Pag projections po, ’di po ba, mayroon kang sari-sariling assumptions at iyong formula magkakaiba. So, talaga pong, sa amin pong mga technical working groups, iyan po iyong amin talagang tinutukan para magkaroon lang po talaga. Kagaya po ninyo, Mr. Speaker, Your Honor, gusto rin po naming malaman kung ano ba talaga iyong final figures. So, eventually po, itong figures pong ito, ito na po iyong reconciled figures. Noon po, nagkakaiba, may pagbabago ng assumptions, halimbawa po, iyong mayroong contingency reserve, inihiwalay po doon sa power outages. So, marami pong iba’t ibang ganyan. So, finally, nag-reconcile po sila at ito na po iyong reconciliation.

REP. DELA CRUZ. At ito po ang inaasahan natin na maibibigay sa pamamagitan ng pagbibigay natin by way of the emergency powers that will be granted to the President in order that we will have no occasion for brownout or blackout by March to July 2015, iyong 1,429. Iyan po ngayon ang hinahanap natin at iyan po ang ating—this is going to be the mandate that will be given, specifically, for the Office of the President to undertake in order that, come March 2015 to July 2015, we will have no occasion for brownout. Is this correct?

REP. ABAD. Yes, that is correct.

REP. DELA CRUZ. Mr. Speaker, distinguished Sponsor, ito po bang 1,429 megawatts na ito, ilan po ang inaasahan natin na makukuha natin from the so-called Interruptible Load Program? Out of the 1,429 requirement as explained, how much of this will be coming from the ILP?

SUSPENSION OF SESSION

REP. ABAD. Can we have a one-minute suspension of the session just so we can sort out the documents here?

THE DEPUTY SPEAKER (Rep. Apostol). The session is suspended for two minutes to sort out the documents.

It was 5:34 p.m.

RESUMPTION OF SESSION

At 5:35 p.m., the session was resumed.

THE DEPUTY SPEAKER (Rep. Apostol). The session is resumed.

The Hon. Jonathan A. Dela Cruz is recognized.

REP. DELA CRUZ. Thank you.

REP. ABAD. If I may respond to the query of the honorable Gentleman, as of now, we have commitments from the Interruptible Load Program of 757 megawatts pero dine-derate po namin iyan e, we derated it up to around 50 percent so we have around 378.740 megawatts.

REP. DELA CRUZ. Ano po ang ibig sabihin noon, mayroon pong nag-commit, 757 megawatts but only 357 or so will be made available on a firm committed basis, ganoon po ba iyon?

REP. ABAD. Hindi po, para lang po ma-approximate namin kasi usually hindi mo naman po nakukuha iyong 100 percent. So, by practice, it is 50 to 70 percent iyong actual energy produced po.

REP. DELA CRUZ. Salamat po, distinguished Sponsor.

So, ang hinahanap talaga po rin natin, out of the 1,429 na pangangailangan po natin na nabanggit po ninyo ay 1,072 megawatts, iyan po ang hahanapin natin. Saan po manggagaling itong 1,072 megawatts na ito, kung mamarapatin po ninyo?

REP. ABAD. Dito po sa Interruptible Load Program, marami pa po ang nagpapalista. In fact, iyan po iyong isang kampanya o isang resulta din ng mga technical working groups at meetings po namin sa iba’t ibang stakeholders. So, lalaki po, inaasahan po na madadagdagan iyan. Iyong isa din po ay iyong mga committed na online. So, iyan din po iyong ibang inaasahan pa at saka po iyong sa energy conservation.

REP. DELA CRUZ. Dito po sa binabanggit po natin, kung mamarapatin po ninyo, Mr. Speaker, distinguished Sponsor, ilan pa po ang inaasahan natin na manggagaling sa ILP? Kasi, kung binabanggit po ninyo na 50 percent lamang ang talagang, kung baga itataga natin sa bato, ilan pa po ang inaasahan natin na makukuha natin from the ILP?

REP. ABAD. Iyong atin pong mga self-generating facilities ay 3,000 plus, 3,500 po. Ayon din po sa potential additional—so, basically po, iyon po, we are looking at generating the involvement of 3,500 self-generating facilities.

REP. DELA CRUZ. Maraming salamat po.

REP. ABAD. So, Your Honor, at some point, there is a level of confidence that we will be able to accomplish our targets.

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At this juncture, Deputy Speaker Apostol relinquished the Chair to Presiding Officer Banal.

REP. DELA CRUZ. Thank you very much, Your Honor, Mr. Speaker.

And, what are the arrangements that are being put in place in order that this commitment under the ILP will come into some kind of realization, Your Honor? We have to assign, it is already December 3, Your Honor, I understand, we have up to December, end of the year, in order for us to get these commitments in place, so we have to assign. You are now telling us, Your Honor, distinguished Deputy Speaker, that we already have, in effect, 757 megawatts from committed ILPs and then we are expecting an additional, probably an additional, and of which 50 percent is what we are looking at as truly available.

Under the terms and conditions we are putting together, that means 357 megawatts, and that we are now going to have an additional commitment from other ILPs. Ilan po iyon? Another 757 megawatts?

REP. ABAD. Sir, the 50 percent is conservative.

REP. DELA CRUZ. Opo.

REP. ABAD. It is 50 to 70 percent.

REP. DELA CRUZ. Opo.

REP. ABAD. So, in a sense, from 350 to 530. So, we just want to be conservative. So, iyong itinatanong po ninyo, ano na iyong mga hakbang na ginagawa? Sa totoo po, habang sa pag-uusap po nitong ating Joint Resolution, talagang pinag-uusap-usap at inaayos na po natin, lalung-lalo na po kasama ang Department of Energy at iba pa pong mga ahensiya dito po naka-involve in this particular problem. Nag-uusap-usap na po para talagang matiyak na iyon pong mga interesado ay finally magko-commit at hindi lang po iyong sabi-sabi na commitment, talagang handa pong pumirma. So, iyon po, may mga pa-grupo-grupo na, may mga tao na pong naka-assign para po matiyak na itong mga self-generating facilities natin na willing. So, we have undertaken discussions sa MERALCO. So, MERALCO is now putting together their own program to be able to ensure to sign up ILP participants, together po with the PEZA, talagang interesado rin po sila at iyong iba pa pong mga individual self-generating facilities. Kaya, importante rin po sanang maipasa natin itong Joint Resolution as early as possible para din po magkaroon ng kasiguruhan at umarangkada na rin po itong ating ILP beyond po the usual operation.

REP. DELA CRUZ. Ang ibig po ba ninyong sabihin, sa pakikipag-usap ng Department of Energy at ng ating

pamahalaan sa mga mayroong self-generating capacity, hindi sila mapaniwala na may pangangailangan po tayo kaya they are hesitating as a result, Mr. Speaker, to committing their respective capacities for this particular effort? I am asking this, Mr. Speaker, because I understand that in the Visayas, for example, the ILP has been in place. They have been able to do this without the need for an emergency power for the President. So, why is it happening in the Visayas and why can this particular process not happen in Luzon, for example? What is the difference between us, in Luzon, and those in Visayas? They were able to implement the ILP in the Visayas without the need for any emergency power, and now we are asking for emergency powers for purposes of Luzon. That is the reason I earlier mentioned, if we are asking for emergency powers for the President, we might as well give emergency powers for him to solve the problems in Mindanao because the blackout in Mindanao is a continuing problem, and the blackout in Mindanao is already the new normal, Mr. Speaker. So, why are we trying to make special mention of Luzon for an emergency purpose, for purposes of March 2015 to July 2015 and not for the entire country, so that the problem that we are now experiencing all over the place will be properly resolved and given some solutions, Mr. Speaker?

That is the reason I keep repeating this particular issue, Mr. Speaker, because we want to make sure that we are not arbitrarily coming out with some kind of a contrived situation whereby we will be promoting the interest of some sectors without the benefit of a long-term solution for our problems in the power industry. So, I wanted to find out.

REP. ABAD. So, unang tanong po ninyo, kung hindi naniniwala ang mga private sector na mga self-generating facilities doon sa pangangailangan ng dagdag na koryente, siguro, kabaligtaran po ang nangyari. Nakatutuwa po ang aming mga meetings dahil masipag po sila at tinitingnan po nila kung ano ang puwedeng maging response, kaya nga po nalaman namin kaagad na may future dito sa Interruptible Load Program. Tapos, isa ho talagang …

REP. DELA CRUZ. Ang tanong ko lang po …

REP. ABAD. … interesado diyan ay iyong ating PEZA. Palagay ko, marahil din ay dahil marami pong mga ecozones dito sa ating lugar. Iyong isang leksiyon po siguro doon sa Visayas, palagay ko po, umandar po ang kanilang ILP, pero ayon sa ating datos galing sa ating Kalihim ng Department of Energy, hindi po yata na-mobilize lahat. Gusto ko ho sana, kung mamarapatin ninyo, pero you have the right to your own set of perception, siguro ho, hindi ang kinikilingan ang Luzon, pero ang realidad lang po, I guess, 50 to 60 percent of

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our gross domestic product is produced in Luzon. That is the reality, that is why dito nga po ang lahat ng ating mga trabaho, gusto nating ilabas ang kaunlaran, na ilabas dito sa Luzon. Iyon po ang kagyat, pero nakikiisa po ako sa inyo dito po sa pagkakataong ito na talaga pong tunay, kailangan po nating hanapan ng pangmatagalan at sustainable na solusyon itong ating energy security.

REP. DELA CRUZ. Maraming salamat po, distinguished Sponsor, Mr. Speaker.

Kung mamarapatin po ninyo, pakibanggit lang po, ano kaya ang naging problema sa Visayas na hindi na sila nangailangan ng emergency powers, at dito po sa Luzon ay napakabigat yata ng problema at nangangailangan tayo ng emergency powers? Paano po nangyari iyon? Sila ay, on their own, they were able to implement an ILP program for the longest possible time without the need for an emergency power for the President. What seems to be the magic in the Visayas that is not available in Luzon?

REP. ABAD. Ayon po sa ating Department of Energy, mayroon pong tatlong power plants na pumasok, at konektado po sila sa Luzon, so kung mayroon pong excess sa Luzon in the past, nakakakuha po sila.

REP. DELA CRUZ. Ang binabanggit po ng Chairman ng Joint Congressional Power Commission at siya namang Chairman din po ng Committee on Energy sa Senado, si Senator Osmeña, kaya nga po siya ay parang nagkakaroon ng pagdududa pagdating po dito sa emergency powers. Babanggitin ko po sa inyo, babasahin ko lang po iyong kanyang nabanggit, ito po, pagdating po sa Senado, sabi niya, kukuwestiyonin talaga namin nang mabuti ito sapagkat kami sa Visayas, hindi kami nangailangan ng emergency powers, pero nagkaroon kami ng maayos na pag-i-introduce ng Interruptible Load Program. Kaya nga ang ikinakakaba ko, Mme. Sponsor, Mr. Speaker, is, madaliin po natin ito sa House, pagdating po sa Senado ay magkakaroon po ng malaking problema sapagkat ang mismong Chairman po ng Joint Congressional Power Commission ay, sa kanyang tingin, wala pong ganitong pangangailangan. Paano po ba iyon? Noon po ba sa mga meeting ninyo sa Joint Congressional Power Commission, nagkaroon na po kayo ng reconciliation nang sa ganoon naman po ay hindi naman tayo magmumukhang parang nagkukumahog nang wala sa lugar?

REP. ABAD. Si Congressman Rey Umali po ay co-Chairperson ng JCPC, so hindi lang po si Senator Osmeña ang Chairman so, ayon po sa pag-uulat po sa amin ni Congressman Umali bilang co-Chair ng Joint Congressional Power Commission, sila naman po ay nag-uusap ni Senator Osmeña bilang magkapareho po ng tungkulin sa Joint Congressional Power Commission.

REP. DELA CRUZ. At maaari po …

REP. ABAD. So, marahil po ay ito nga po siguro ang posisyon niya, hindi ko ho alam kung ito ay nagbabago. Sa amin pong pag-uusap sa House of Representatives panel ng JCPC, iba po ang aming pagtingin at iba po ang bunga o resulta ng aming pag-aaral, na ito po ay dumaan sa maraming technical working groups gaya nga po ng pag-uulat ni Chairman o Congressman Rey Umali.

REP. DELA CRUZ. Ako po ay naniniwala na kayo po ay nag-meeting. Ang akin lamang po ay ganito, kasi hindi naman po tayo puwedeng magpasa, we cannot pass a law, Mr. Speaker, without the concurrence of the Senate and the approval of the President later on. I just wanted to make sure that we will be able to meet the deadlines that are being foisted upon us in order that we will be able to address the so-called power crisis come March 2015. That is the reason I wanted to find out whether the House contingent, as you mentioned, Mr. Speaker, has been discussing this matter with the Senate contingent in order for us to abbreviate the process of lawmaking, and that is the reason I had wanted to find out if you have any knowledge about the discussions that happened in the Joint Congressional Power Commission where the Senators themselves were present, so that we will be able to abbreviate the process, as I mentioned earlier, and in order for us to be not going around and coming out with our own version, and then the Senate itself coming out with its own, then that will require an even more prolonged process of reconciliation.

So, is there any effort, Your Honor, Mr. Speaker, on the part of the House contingent to reach out, and if that has happened, whether we have the joint reports, if there are any at all, even if it is just initial, of this joint panel of the power commission, the Joint Congressional Power Commission.

REP. ABAD. Mr. Speaker, Your Honor, as our Chair of the Energy Committee in the House, Congressman Umali has consistently reported to us that there is close coordination with the Co-Chair of JCPC in the Senate so, in a sense, there is a discussion and there is an exchange of data or information to that effect.

Tayo po siguro ay nauuna lamang dahil sila ho ngayon, kung hindi po ako nagkakamali, ang kanilang pinag-uusapan noong nakaraan ay iyon pong budget. Kung hindi po rin ako nagkakamali, nabasa ko po sa pahayagan, dagdag na rin po siguro sa mga inuulat sa amin ni Congressman Umali, nakahanda pong ipasa ng Senado ang Joint Resolution pagkatapos po nilang maipasa ang 2015 budget.

REP. DELA CRUZ. Maraming-maraming salamat po. Now, to go back to the advisory mentioned by the

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distinguished Sponsor, there was mention for example, that we have committed 757 megawatts of which about 357 to 500 will be made available on a firm basis, Mr. Speaker. And then, it was also mentioned that the Department of Energy right now is in the process of firming up another batch of commitments coming from the self-generating entities, Mr. Speaker.

As of today, which is December 3, ilan na po ba ang nakuha ng Department of Energy na commitments from the self-generating entities, if that information is available, Mr. Speaker?

REP. ABAD. So, right now po, this is the data as of December 2, we have 676 megawatts from 408 participants.

REP. DELA CRUZ. And the expectation, Mr. Speaker, is that about 50 to 60 percent of this will actually be translated …

REP. ABAD. Mr. Speaker, this is the actual derated load.

REP. DELA CRUZ. So, this is the actual load that is expected from the ILP as of December.

REP. ABAD. Derated na po ito…

REP. DELA CRUZ. Hindi na po ito …

REP. ABAD. …from 408 participants.

REP. DELA CRUZ. Hindi na po ito iyong 50 percent, 60 percent ang ano, hindi na po ganoon?

REP. ABAD. Hindi na po. Kaya inaasahan pa ho natin na madadagdagan sila.

REP. DELA CRUZ. Maraming-maraming salamat po.

Meron din pong nabanggit dito sa findings and recommendations na kakabit nitong ating Joint Resolution tungkol po sa bagong mga power-generating capacities na maaaring makasagip sa ating sitwasyon dito po sa iniisip nating problema. Ang nababanggit po dito ay mayroong 527 megawatts coming from these various sources. Ano na po ang sitwasyon nito at this point in time, Mr. Speaker, Your Honor? Kagaya po nito, JG Summit Holdings, 40 megawatts; Botocan, 20.8 megawatts; Millennium Energy, 36 megawatts; Majestic–Solar-Cavite Eco Zone, 21 megawatts; Bauang Rehabilitation, 20 megawatts; Avion, 100 megawatts; Petron-Limay, 10 megawatts; Altaphil, 90 megawatts and Millennium Energy-Navotas, 100 megawatts. Ano na po ang sitwasyon nitong mga new power generating capacities na hindi po nakasama doon

sa original assumptions ng Department of Energy? Makakasama na po ba sila dito sa ating iniisip ngayon na pangangailangan natin?

REP. ABAD. Ongoing na po lahat sila.

REP. DELA CRUZ. Makakasama po ba sila, Mr. Speaker, Your Honor? Kailan po natin malalaman kung itong 527 megawatts na available new power-generating capacities which were not included in the original assumptions of the Department of Energy, when do you think we will be able to get a firm commitment that these particular generating capacities will be made available as and when needed?

REP. ABAD. Except for Altaphil, all of them or most of them are already ongoing and they are committed to be ready by March 1.

REP. DELA CRUZ. Ilan po iyon, mga 500 megawatts po ba iyon?

REP. ABAD. Mga 400 megawatts po ayon sa Department of Energy.

REP. DELA CRUZ. Maraming-maraming salamat po.

Nabanggit po ninyo kanina na meron din tayong inaaasahan na pagbabawas dito sa ating pangangailangan na 1,429 megawatts. There will be a portion of this to be, in effect, scratched out for purposes of our computation as a result of conservation measures. Ano po ang inaasahan natin na makukuha out of conservation measures so that this will not be inputted in the 1,429 megawatts that the Department of Energy’s expectations of our power requirement come March 2015? So, ilan po at magkano ang inaasahan natin na makukuha out of conservation?

REP. ABAD. Around 40 to 70 megawatts.

REP. DELA CRUZ. Around 40 to 70 megawatts.

REP. ABAD. But these are all voluntary. So, if we have the emergency power and we will be able to enforce, then we would probably have more.

REP. DELA CRUZ. Bakit po ganoon? Akala ko po ba, I thought all the while, Mr. Speaker, Your Honor, that there is already an ongoing and there has been a continuing conservation program under the Department of Energy. As a matter of fact, my information is that we were able to get a loan as a result of a proposed or an ongoing conservation program. And that is the reason there was a loan coming from the Asian Development Bank regarding the LED and other such conservation

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measures. Are you trying to tell us, Mr. Speaker, Your Honor, that these particular conservation measures for which hundreds of millions of pesos were spent are not in place or these particular conservation measures have actually failed?

REP. ABAD. Hindi po ang pinag-uusapan natin iyong additional. Ang resulta po nitong mga programa ay nakapasok na po doon sa kasalukuyang kapasidad.

REP. DELA CRUZ. Ano po ba ang additional na conservation measures na pinag-uusapan po natin na hindi naisali, not included in the original conservation measures proposed or programmed by the Department of Energy?

Anu-ano po ba iyong mga pagkukunan natin na iyan na hindi nakasama doon? At kung maaari po, bigyan po ninyo kami ng ano, so that everybody will be educated. Can you please give us an idea what is the existing conservation program? How many megawatts have been reserved as a result of that particular conservation program, and how much was spent for purposes of that conservation program from the time that we started this conservation program under the administration of President Aquino?

At this juncture, Presiding Officer Banal relinquished the Chair to Deputy Speaker Apostol.

REP. ABAD. With your indulgence, Mr. Speaker, siguro iyong mga ibang tanong ninyo ho, maraming datos, so hinihingi po namin na marahil iyong iba ay puwedeng bigyan kayo ng impormasyon. Iyong tinutukoy po o binigyang tutok ngayon ay iyong retrofitting noong mga government buildings, the lightings, the use of air-conditioning, and the putting up of solar panels in some of the schools. I was told that the House is looking at the possibility of also using solar panels. So, with your indulgence, Mr. Speaker, the other data that the honorable Gentleman from the ABAKADA Party-List is asking, maybe we would request that we will just provide you with the information about the total budget, how much has been spent, and what is the expenditure per item or per program.

REP. DELA CRUZ. Thank you. Of course, the conservation program that is being proposed, that will come as a result of this Joint Resolution, Mr. Speaker. But, in any event, I will appreciate it if you can advise when this particular information will be made available because this has a serious implication on our discussions today regarding the provision of emergency powers for the President.

As I said earlier, Mr. Speaker, we have no objection to providing or to giving the President all the powers that are needed in order for us not to have this kind

of problem, this imminent problem visiting us come March 2015, but we will need all the information that we can get. If that particular information will be made available tomorrow, I will appreciate it if that can be made available so that I will be able to continue with my interpellation the next time around. In the meantime, I will have to request that my interpellation be deferred because I need all the information necessary for us to make an educated and informed discussion as far as this particular emergency power is concerned. I will have to request the distinguished Sponsor, Mr. Speaker, that I be given the opportunity to get all the information as advised by the distinguished Sponsor so that I will have a more informed discussion with her and with our colleagues insofar as this emergency power is concerned.

Thank you very much.

THE DEPUTY SPEAKER (Rep. Apostol). The Asst. Majority Leader is recognized.

REP. LAGDAMEO (M.). Mr. Speaker, I move ...

THE DEPUTY SPEAKER (Rep. Apostol). He is finished.

REP. DELA CRUZ. No, I wanted to find out how soon we will be able to get all the information we are requesting.

THE DEPUTY SPEAKER (Rep. Apostol). I was thinking you are already finished ...

REP. DELA CRUZ. No, not yet.

THE DEPUTY SPEAKER (Rep. Apostol). That is why I called the Asst. Majority Leader.

REP. DELA CRUZ. Mr. Speaker, I requested for information so that we can have some educated guess and interpellation because the conservation efforts, we were just looking at the figures, Mr. Speaker, and that is the reason I asked the distinguished Sponsor how soon we will be able to get all of these information regarding the conservation program and the conservation measures being proposed in order so we will have an additional 40-70 megawatts reserve out of these 1,429 megawatts. This has everything to do with the cost, Your Honor, of these particular emergency powers, and that is the reason I wanted to find out how soon we will be able to get all of these information so that we can have an educated exchange insofar as this particular thing is concerned.

REP. ABAD. Our co l l eagues f rom the Department of Energy, Mr. Speaker, said that

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they will make the information available to you tomorrow. They have also given the same set of information to the various committees, to the Committee on Appropriations during the budget hearing, so they will give you that same information by tomorrow.

REP. DELA CRUZ. Thank you very much, distinguished Sponsor, Mr. Speaker. On that note, I will have to request for a deferment of my interpellation so that I can study this particular program and incorporate it in our exchanges, so that we can have an educated and informed exchange as far as the emergency powers, this Joint Resolution, is concerned, Mr. Speaker.

REP. ABAD. I am looking forward to another exchange with the honorable Representative from the ABAKADA Party-List, Mr. Speaker.

REP. DELA CRUZ. Thank you very much.

THE DEPUTY SPEAKER (Rep. Apostol). The motion to defer the interpellation is granted.

The Asst. Majority Leader is recognized.

REP. LAGDAMEO (M.). Mr. Speaker, I move that we suspend the period of sponsorship and debate on the said Joint Resolution.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the period of sponsorship and debate is hereby suspended.

The Asst. Majority Leader may proceed.

ROLL CALL

REP. LAGDAMEO (M.). Mr. Speaker, I move that we call the roll.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The Secretary General will please call the roll.

The Secretary General called the roll, and the result is as follows per Journal No. 32, dated December 3, 2014.

PRESENT

Aglipay-VillarAgyaoAlbanoAlcalaAlejanoAlmarioAlmonteAmatong (I.)Amatong (R.)Angara-CastilloAntonino-NadresApostolAragonesArbisonArnaizAsiloAtienzaAumentadoBalindongBanalBarcelona-ReyesBataoilBatocabeBello (S.)Bello (W.)Belmonte (F.)Belmonte (J.)Belmonte (V.)BenitezBiazonBinayBondocBravo (A.)BrionesBulut-BegtangCabilaoCalixto-RubianoCamineroCasteloCastroCatamcoCayetanoCelesteCeraficaCerillesChipecoCoCojuangco (E.)CollantesColmenaresCortunaCosalanCruz-GonzalesCuaCuevaDalog

AbadAbayaAbayonAbellanosaAbuAbueg

AcedilloAcharonAcopAcosta-AlbaAdiongAdvincula

DayanghirangDe JesusDefensorDel MarDel Rosario (A.A.)Dela CruzDeloso-MontallaDimaporo (I.)DuranoEchiverriEriceErmita-BuhainEscuderoEspinaEstrellaFariñasFerriolFortunFortunoFuentebellaGarcia (E.)Garcia (G.)Garcia-AlbanoGarin (R.)Gatchalian (S.)GonzalesGonzalezGorricetaGuanlaoGuiaoGunigundo GutierrezHagedornHataman-SallimanHernandezHicapHoferIlaganIwayJavierKhoKhonghunLabadlabadLacson-NoelLagdameo (A.)Lagdameo (M.)LagmanLaneteLeachonLedesmaLeonardiaLeonen-PizarroLobregatLoongLopez (C.)Macrohon-Nuño

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MadronaMagsaysayManaloMendoza (J.)MercadoMercado-RevillaMirasolMontejoNava (J.)Nava (P.)NoelNogralesOaminalOcampoOngOrtega (F.)Ortega (V.)PadillaPaduanoPaezPagdilaoPanchoPanotesPaquizPernesPiamontePrimicias-AgabasPunoQuimboQuisumbingRadazaRamirez-SatoRamosRelampagosRevillaReyesRidonRiveraRobesRodriguez (M.)

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The Asst. Majority Leader is recognized.

CONSIDERATION OF H. JT. RES. NO. 21Continuation

PERIOD OF SPONSORSHIP AND DEBATE

REP. LAGDAMEO (M.). Mr. Speaker, I move that we resume the period of sponsorship and debate on House Joint Resolution No. 21, as contained in Committee Report No. 496.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The beauteous Dina Abad is recognized as the Sponsor. Who is interpellating?

REP. LAGDAMEO (M.). Mr. Speaker, I move that we recognize the Hon. Walden F. Bello to interpellate the honorable Sponsor.

THE DEPUTY SPEAKER (Rep. Apostol). Cong. Walden F. Bello is recognized.

REP. BELLO (W.). Yes, Mr. Speaker.Will the honorable Deputy Speaker be open to a

few questions regarding the Bill that is on the table right now?

REP. ABAD. Opo, handa po tayong sumagot sa mga katanungan, Mr. Speaker, Your Honor.

REP. BELLO (W.). Mr. Speaker, dear colleague, in the Joint Resolution, on page 3, Section 2, it says:

All entities with self-generating facilities or SGFs shall participate in the Interruptible Load Program x x x that the government shall reimburse the owners of SGFs or backup generators for fuel expenses and reasonable recovery for their use in accordance with the ERC rules.

Mr. Speaker, dear colleague, that means that basically this will be a subsidy for the ILP participants.

REP. ABAD. Yes, Mr. Speaker, Your Honor, it is going to be a subsidy.

REP. BELLO (W.). So, basically, for participation in the Interruptible Load Program or ILP, they will not be, in fact, paying their usual MERALCO rates

Rodriguez (O.)RomanRomualdezRomualdoRomuloRoqueSacdalanSahaliSalimbangonSalvacionSantiagoSarmiento (M.)SemaSeñeresSingson (E.)SuansingSy-AlvaradoTambuntingTan (A.)Tan (M.)TeodoroTevesTiangcoTingTinioTolentinoTupasUnabiaUngabUy (J.)Uy (R.)VargasVargas-AlfonsoVelascoVillanuevaVillarVillaricaYap (A.)YuZarate

THE SECRETARY GENERAL. Mr. Speaker, the roll call shows that 204 Members responded to the call.

THE DEPUTY SPEAKER (Rep. Apostol). With 204 Members present, the Chair declares the presence of a quorum.

The Asst Majority Leader is recognized.

REP. LAGDAMEO (M.). Mr. Speaker, with the unanimous consent of the House, I move for the change of referral of House Bills No. 388, 453, 1133, 1281, 2672, 3366, 4090, 4320, 4346, 4446 and 4587, from the Committees on Trade and Industry, and Economic Affairs, to the Committee on Economic Affairs.

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but, in fact, they will be provided with a government subsidy which will make, basically, this aspect of their operations quite profitable.

REP. ABAD. This is really just to cover the cost and there is already an ERC ruling on this.

Meron na pong—hindi po ito—nakalagay po dito na kagaya ng nakasaad diyan, ang pagbatay po dito ay ang ERC ruling. May ERC—may batayan na po ito kung papaano po ito pinepresyuhan. So, hindi po iyan—ito po iyong ano—fuel consumption rate is 0.34 liters per kilowatt hour. Pagkatapos po ay may konting maintenance cost of 0.32 centavos per kilowatt hour or not more than P23,548. So, may cap po siya at mayroon po siyang nakatakdang halaga na …

REP. BELLO (W.). Okay.

REP. ABAD. … na pinag-aralan na po ng ERC.

REP. BELLO (W.). Mr. Speaker, dear colleague, basically, the ERC will be the body regulating the relationship between the MERALCO and the ILP participants. Is that right?

REP. ABAD. Dito po, ang ano po diyan, dahil MERALCO po iyong distribution utility, sila po ang magpapatakbo noong Interruptible Load Program.

Iyong pagbabayad po ay nakatakda na nga po dito sa ERC ruling. Maliwanag po diyan na fuel cost lang po ito at iyong maintenance cost. At batay po sa maintenance cost ng ERC ruling ay mayroon pong P23,548 per month or 0.32 per kilowatt hour, whichever is lower.

REP. BELLO (W.). Yes.

REP. ABAD. So, ang ano po niyan, hindi po iiwan lang sa kanilang dalawa. Imporante po ang partisipasyon ng Department of Energy.

REP. BELLO (W.). So, let me just ask that, therefore, the ERC will be the principal regulator of the relationship between the ILP participant and MERALCO?

REP. ABAD. The ERC formula that has been approved—hindi ho ito iyong aaprubahan. Na-approve na po ito. Ito po iyong umiiral. Ito po iyong magiging batayan.

REP. BELLO (W.). Yes, I understand, Mr. Speaker, dear colleague.

I raised this because we have a situation where, owing to the events of last year including the charge, the highest rate raise in MERALCO history, and another 5.33 that was pushed in April that the ERC has been, in fact, accused of having been subjected to regulatory capture.

May I ask, Mr. Speaker, that what actually, if we are, in fact, to say that the ERC will play a very important role in this program, I think it is very important, Mr. Speaker, dear colleague, that we have somebody at the ERC that can, in fact, be trusted with such a major role in this program. Can I please know the state of the complaint that was demanded by a number of civil society actors regarding the dismissal of Ms. Zenaida Ducut who, in fact, has been a principal in the ERC fiasco over MERALCO? Napakahalaga ho nito kasi if the person on top of the ERC does not have the people’s confidence, then I think the way that the ERC will regulate this is something that might be called into question ho. May I please know the status of the request for dismissal of Ms. Ducut.

REP. ABAD. Hindi po sa Department of Energy iyong desisyon dito. Nasa opisina po ng appointing officer, sa opisina ng Presidente, but according to the Secretary of Energy, we will find out what is the status.

REP. BELLO (W.). Well, Mr. Speaker, dear colleague, I just want to underline this because the ERC has been so much involved in the scandal and has been accused of being captured by the forces it is supposed to be regulating and that we already had over one year complaint and a request for dismissal of Ms. Ducut and the President’s office has, in fact, said that they will move on this, and yet, despite consumer complaints, Ms. Ducut remains in office as a central figure in the management of the ILP. That is the reason I believe that this is not a question that is minor but it is a question that is major, given the important role of the ERC. If the person on top of the ERC is a controversial figure in many ways, then I think that it is very difficult for us to see that the ILP can be in fact managed in the way that it is being envisioned and presented by the DOE.

REP. ABAD. Siguro po, just to clarify, it was not very clear to me that what is being used is the ERC ruling on pricing, but for this particular purpose, because the cost is not passed on to the consumers, the ERC will not have a role. It would precisely be monitored by the Department of Energy and the different players. So maybe, it was not clear to me before, that is why I kept on repeating po that we will only be using the formula and primarily because in our Joint Resolution, there is no pass-on to the consumers, and the ERC will not have any role. But in terms of your question, the good Secretary will still inquire in terms of the status.

REP. BELLO (W.). Yes, okay. Thank you very much for the clarification.

REP. ABAD. You are welcome po.

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REP. BELLO (W.). With respect to the role of the ERC—so the ERC, therefore, provides formulas. The ERC in fact provides guidelines, but the DOE will be the watchdog in this matter. Is this in fact right?

REP. ABAD. Hindi ho provides, they have already provided. This is a formula that has been used and that has been existing, so we are using this as our reference. But for this particular period, because there is no pass-on, it is going to be the Department of Energy who will monitor, together with the other stakeholders. The ERC comes in only when there is a pass-on and there is a pricing required.

REP. BELLO (W.). Thank you very much. I just want—one last clarification. This formula that has been made, was this a formula that was, in fact, preexisting or is it something that has been devised particularly for this emergency period?

REP. ABAD. It has been preexisting. That is why, so we do not—it has been preexisting. It has not been devised simply for this.

REP. BELLO (W.). Thank you very much.With respect to MERALCO, I would just like to

be clarified. Is it not that the energy crisis, to a great extent, created by the inability of the Redondo Plant of MERALCO to come on stream?

REP. ABAD. It is part of it po, but there are other reasons.

REP. BELLO (W.). And that, indeed, there had been offers to MERALCO, instead of the Redondo Plant that MERALCO did not take. Is that, in fact, right?

REP. ABAD. I am sorry, Mr. Speaker, Your Honor, we are not privy to that transaction.

REP. BELLO (W.). No, I mean AES and another firm had, in fact, offered to build MERALCO plants but MERALCO refused and instead went for the Redondo option. Is it not the case?

REP. ABAD. The Sponsor does not have any personal knowledge nor my resource persons do; they do not have personal knowledge in terms of this particular transaction. I am sorry, Mr. Speaker, Your Honor.

REP. BELLO (W.). Thank you very much.

REP. ABAD. We cannot be more definite.

REP. BELLO (W.). Thank you very much, Mr. Speaker, dear colleague.

Is the issue a matter of national security, Mr. Speaker, dear colleague, the crisis, the projected crisis?

REP. ABAD. Yes, it is a crisis that would affect the economy and probably so the welfare and the health of the people.

REP. BELLO (W.). Yes, I think, we fully agree that it is a crisis.

Mr. Speaker, dear colleague, is MERALCO not, in fact, an Indonesian-owned and -controlled entity?

REP. ABAD. They are publicly listed and, essentially, they are listed as a Filipino company.

REP. BELLO (W.). Yes, Mr. Speaker, that is the general knowledge, but if we look at the SEC records, MERALCO is, in fact, a company that is controlled by the Beacon Electric, the First Philippine Holdings, the Metro Pacific and the First Pacific International, all of which are tied in to the Salim Family who is an Indonesian family. So, I repeat my question. This is a matter of national security. MERALCO controls 70 percent of the distribution of electricity in Luzon and we have an electricity distributor that is, in fact, an Indonesian-owned company. Is this not—I just wanted to know whether, in fact, this is something that has been taken into consideration by the Department of Energy?

REP. ABAD. I think, right now, when we are talking about the Joint Resolution, we are talking about working with current entities. This issue would probably need a DOJ opinion, so the Secretary of Energy is saying, we will inquire. But right now, we are working with the current entities that are allowed to operate.

REP. BELLO (W.). Thank you very much. I think the reason I raised this, Mr. Speaker, dear colleague, is that we must be very clear about the key actors in our energy system, and if, indeed, MERALCO is a foreign-owned and -controlled company, that is something that must, in fact, be brought to the public knowledge. This is my only purpose in raising this.

REP. ABAD. Well, they also—that is acknowledged, Mr. Speaker, Your Honor, but again, just to be very clear, from our end, these entities have been given a franchise, so this is beyond probably our scope of discussion. But your inputs are noted, Mr. Speaker, Your Honor.

REP. BELLO (W.). Thank you very much, dear colleague, Mr. Speaker.

With respect to the NGCP, is the NGCP not, in fact, controlled by a Chinese state corporation, the State Transmission Corporation of China?

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REP. ABAD. There is a Chinese component, but I believe it is not controlled, majority is still Filipino.

REP. BELLO (W.). Yes, I understand that, but I think that even the Secretary of the Department of the Interior and Local Government, our very own Mar Roxas, has complained about the way that the Chinese have, in fact, not diffused technology to the Filipino operators of the firm. Now, I raise this again because many of our estimates about the power crisis are being made by the NGCP. Is that—and if this is a matter of national interest and national security, is this not, in fact, a very important fact that must be brought to the public that the NGCP, in fact, is practically controlled by the State Transmission Corporation of China?

REP. ABAD. As I have stated, Mr. Speaker, Your Honor, it is not controlled by—the NGCP is still controlled by Filipinos although there is an investment from the State Grid of China.

REP. BELLO (W.). The State Grid Corporation of China…

REP. ABAD. Yes.

REP. BELLO (W.) . …which i s a s ta te corporation…

REP. ABAD. …of China.

REP. BELLO (W.). …which is owned by Beijing.

REP. ABAD. Yes.

REP. BELLO (W.). Yes, okay, thank you.Mr. Speaker, dear colleague, I want to come to the

question of Shell, Shell Corporation. May I just …

REP. ABAD. Yes, Your Honor.

REP. BELLO (W.). You see, a big problem here has been the role of Shell. And in the October 20 hearing, we requested that Shell, which is a principal in this case, be invited to the November 18 hearing that was held a few weeks ago, and yet Shell did not appear. May we please get the reason a very important player that was invited by the Committee, in fact, disdained the invitation of the Committee because, let me put it this way, I do not think that the details of the Shell plan for March and April should now be presented here before the whole Body. They should have been taken up in the Committee. So, I would like to ask why Shell refused to attend the November 18 hearing.

REP. ABAD. I think invitations had been sent but at

some point—there were also occasions when resource persons were invited but were not able to come. But, at least, I believe what is important is that they have given information and they are ready to present or give a presentation now or at some other time so that the public may know the specifics of the Malampaya gas project.

REP. BELLO (W.). Mr. Speaker, dear colleague, I think this is a bit too late. We are being pushed by Malacañang to approve this Bill as soon as possible, and yet, we do not know the details of a very important component. Shell Malampaya supplies 2,700 megawatts, it is 40 to 45 percent of the power needs of Luzon, and yet, Shell has told the Department of Energy that it is quite inflexible with respect to its schedule. And we raise this, in the interest of our dear colleagues, we raise this issue that has been raised by so many others, that Shell could, in fact, postpone the servicing of the Malampaya plant to later in the year when the peak demand would be rather low. And yet, Shell has basically told us that, “No, our corporate needs take precedence over your national security needs.” So, I think that this is putting Shell’s schedule, Shell’s needs, ahead of the needs of the Philippines. Should this not be something that is subject to investigation? I mean, parang ibinibigay na lang sa atin ng Shell na, “Ito ang kailangan naming oras para rito e.” Kasi mayroon daw silang 350 workers in a floating hotel. Kasi raw ito, kasi raw ito. At first they said it was the weather, and now they have maintenance needs. And then somebody was telling me, it is because Shell has so many contractors. What is the real story behind this thing because Shell and its push to hold its maintenance in March and April is, in fact, the one that is creating this crisis? Are we going to allow the internal needs for profitability of a transnational corporation like Shell that operates globally, and can, in fact, move its own maintenance needs? Are we going to sacrifice the energy security of the Philippines to this transnational corporation?

REP. ABAD. Iyan po ang inyong pananaw at nirerespeto po natin iyan, pero siguro ho, dalawang puntos lamang. Iyong una ho, kahit wala po ang Shell, sa akin pong pagkaalala ay ni minsan hindi po pinagtakpan. kung ano iyong tunay na—sa akin pong alam, sa atin pong mga technical working group meetings, sa ating mga pag-uusap ay sinagot po iyan ng ating mga kasamahan sa Department of Energy kung bakit po hindi puwedeng mabago ang schedule noong shutdown o iyong turnaround na kailangan.

Pangalawa po, hindi po siguro intensiyon na, at kailanman hindi po natin papayagan na ang maghari ng—we will not allow that the interest of a multinational firm will take precedence over the interest of our own people. In fact, I think we need to also recognize the

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work of the various agencies in trying to do oversight and to monitor. I believe our energy people do not simply take things at face value. Marami rin naman po silang—hindi naman po nila pinapabayaan at tinatanggap na lamang iyon. Iyon lang po iyong gusto kong masabi.

REP. BELLO (W.). Well, …

REP. ABAD. Pero kung iyon po iyong inyong paniniwala, respetuhin po natin iyan at kung gusto ho ninyong maghain ng resolusyon para magkaroon ng imbestigasyon, malaya rin po kayo kagaya na po ng nasabing maraming beses sa ating mga committee hearings.

REP. BELLO (W.). Maraming salamat ho. Pero ho, napakahalaga ho nito ngayon, kaya, can I just ask the, excuse me, could you please flash on the screen? Excuse me. I am flashing this on the screen to remind our friends in Shell that they have far more complex operations that they can handle than the Malampaya field, far deeper with greater depth, at sinabing pinagbo-boast ng Shell, kayang-kaya nila lahat ng mga ito. So, Stones in the Gulf of Mexico, which is the deepest Shell, well, at this point, 2,900 meters, it is about to go online; Perdido, Gulf of Mexico, 2,450 meters; Parque das Conchas, Campos Basin, Brazil, 1,780 meters; Gumusut-Kakap, South China Sea, 1,220 or 1,200 meters; Bonga, Nigeria 1,000 meters; Olympus, Gulf of Mexico, 914 meters; Mars, Gulf of Mexico, 96 meters; Alger, Gulf of Mexico, 872 meters; Malampaya, South China Sea, 850 meters. This is one of the shallowest and this is not a complex operation compared to these other Shell operations, and yet, they are telling us that they cannot adjust the schedule to a time that would better serve the interest of the Philippines. Is this what this transnational corporation is telling us, a relatively minor compared to gigantic operations that they cannot, in fact, move or change? Because that is the ultimatum you have given us, Shell. Kaya ho, this is a Shell-driven crisis, and I think our government should stand up to this transnational and tell them—in fact, I would like to ask, Mr. Speaker, dear colleague, does the President of the Philippines have the right to override the Shell decision?

REP. ABAD. First, I would like to address your question, Your Honor, Mr. Speaker. Lahat pong iyang sinasabi ninyong iyan, ayon po sa ating mga resource persons dito, ay ang kaibahan po niyan ay sa atin po, itong Malampaya ay konektado po iyan sa power plant. Ito pong mga ito, pwede silang iatras, iabante ang schedule kasi hindi po sila konektado sa power plant.

REP. BELLO (W.). Kailangan ho talaga na …

REP. ABAD. Kaya medyo may dagdag po na komplikasyon. Mayroon pong factor na ito po parang stand alone sila, pwede silang mangyari, walang connection po sa isang power plant. Iyon po.

REP. BELLO (W.). Well, …

REP. ABAD. Kaya, may ganoon pong pagkakaiba, Your Honor, Mr. Speaker.

At this juncture, Deputy Speaker Apostol relinquished the Chair to Presiding Officer Ortega (F.).

REP. BELLO (W.). Well, my point is this. First of all, we really need to go more into these kinds of distinction between being connected or not connected to power plants because I do not believe right now that the Shell people can tell us exactly what are the different connections of these different oil and natural gas ranges to the mainland. Kaya nga ho talaga, we were done a disservice na hindi tayo makatanong nito during the hearings, and they are just coming out with an answer right now na hindi konektado sa power plants. And I do not think that we can take that for an answer at this point. This is something that demands much more scrutiny, but my point here is this, that Shell has so much expertise and technology to be able to handle a modification of the schedule, hindi ho ba? The problem here is that, ang sinasabi ng Shell sa atin, mayroon silang mga internal needs, internal calculations na para sa kanila, it will hit the corporate bottom line kaya hindi sila makagalaw in this case, and yet, I think it is fairly clear that during the Amihan season, November to March, you do have a window of opportunity for Shell to be able to work in relatively good weather conditions, and that the key here is ano ba talaga iyong impact sa bottom line ng Shell. Ito ho talaga ang naghahari dito at this point.

So, we have an energy crisis that has been created by Malampaya going off the grid, and the reason it is going off the grid is because it has an inflexible maintenance schedule, that despite the entreaties of the Philippine government, it has decided to push through on its own.

So, I ask again, Mr. Speaker, dear colleague: Does the President of the Philippines have the right to override Shell, kasi we made a contract with Shell?

REP. ABAD. Yes.

REP. BELLO (W.). The authority to override Shell.

REP. ABAD. I think the President has the authority.

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REP. BELLO (W.). Yes. So, my point then, Mr. Speaker, dear colleague, is precisely this, that the energy needs of the Philippines must take precedence over the internal corporate needs of Shell Corporation, and that it must be Shell that must modify its schedule in order to accommodate our needs rather than push us with a maintenance program that involves, yes, we agree, putting a rig, putting up a platform. But you know, I think this is what is really at the nub of this whole problem, which is why it is very difficult for us to accept that Shell cannot modify its plans at this point, given the fact that it will be creating an energy crisis if it, in fact, goes offline.

REP. ABAD. As we have mentioned earlier po, the Malampaya is just one of the many reasons there is an impending energy crisis. Mayroon po tayo iyong delays in other committed power projects. Mayroon po tayong El Niño occurrence, the increased incidence in forced outages, as we have experienced it in summer 2014. So, Malampaya turnaround is just one of the reasons we have this impending energy crisis. Mayroon din po tayong breaking down of Malaya Unit I.

So, Mr. Speaker, Your Honor marami pong mga dahilan at hindi lang po itong Malampaya turnaround ang isang problema. Gaya po ng nasabi natin kahapon, batay po sa ating impormasyon at sa mahabang talakayan at presentasyon mismo ng ating mga kasama sa DOE, ito pong turnaround na ito na gagawin ng Malampaya ay hindi po iyong usual turnaround. Ito po ay kailangan para sa dalawang bagay. Iyong una po ay iyong tinatawag po nilang decompression po, pag-aayos po noong pressure dahil bumababa na po iyong pressure para sa operasyon noong natural gas kaya kailangan na po siyang itaas, and it requires a mobilization of equipment, of human resources, of many other things, to be able to do that. But, again, as I have stated, if the honorable Representative feels very strongly about these observations, then it would be best to, as he has always said, file a resolution to really inquire into the real operations of Shell in Malampaya.

REP. BELLO (W.). Well, let me just say, because I respect the Majority Leader’s decision to get us to move on, let me just say, therefore, that, one, is that ever since the beginning of the hearings, Shell was seen to be the principal factor, it is going offline in March and April. Wala namang denial na maaari riyan. Yes, there were other factors but it was the Shell going offline.

The second thing that I would just like to say is that we are talking about 2,700 megawatts responsible for 40 to 45 percent of the needs of Luzon. Malaki talaga ho iyan. So, it is hard to say that the Shell maintenance is not the problem.

The third thing that I would just like to say is that Shell is a global corporation that in fact has a number

of operations that it assesses and makes decisions on, and decisions with respect to its corporate bottom line. Ang sinasabi ko lang ho rito ay rational naman ho, reasonable ang request for us to have Shell delay it to the amihan season, and yet, Shell’s answer is that it is quite inflexible, it has to be done now. Now, for a transnational corporation like Shell that is capable of doing so many things, what is a relatively short postponement of the erection of a platform? What is that compared to the impact on the energy security of the country?

So, my proposal here, Mr. Speaker, dear colleague, is that we not, in fact, approve this bill but that we ask the President to exercise his authority to tell Shell that Shell should move its maintenance to that part of the year where the peak load would be lower and, therefore, there would not be an interruption on the energy supply of the country of the drastic sort that is now occurring.

So, let me thank the Lady from Batanes for the answers. I was hoping that my questions would in fact elicit answers that would satisfy me, but I am more convinced than ever that we cannot sacrifice our energy security to the needs of Shell Corporation. The proposal of the Deputy Speaker that we have an investigation of Shell, yes, we need to do that but we should have done that in the hearings leading up to the discussion of the bill, and Shell disdained the invitation from the committee, and now we are having this problem of lack of information, lack of transparency here.

So, with that, let me just thank the Lady from Batanes. And, Mr. Speaker, thank you.

THE PRESIDING OFFICER (Rep. Ortega, F). The Asst. Majority Leader is recognized.

REP. LAGDAMEO (M.). Mr. Speaker, I move that we recognize the Hon. Antonio L. Tinio, from the Party-List ACT TEACHERS for his interpellation.

THE PRESIDING OFFICER (Rep. Ortega, F). The Gentleman from ACT TEACHERS is recognized.

REP. TINIO. Thank you, Mr. Speaker.Magandang gabi po, at magandang gabi sa

kagalang-galang na Sponsor.Maaari po bang maghapag ng ilang mga katanungan

kaugnay sa joint resolution na ating tinatalakay ngayong gabi?

REP. ABAD. Maaari po.

REP. TINIO. Maraming salamat, Mr. Speaker.Mr. Speaker, bilang panimula, nais ko lang banggitin

for the record na ang Kinatawang ito po ay sumasang-ayon at kumakatig sa posisyon na ipinaliwanag ni Congessman Colmenares sa nauna niyang interpellation

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kaugnay doon sa pagkuwestyon sa pag-iral ng power supply shortage mismo, ng energy shortage sa summer ng 2015. Sumasang-ayon tayo na sa ganang amin ay hindi convincingly naipakita ng Department of Energy na magkakaroon nga ng power supply shortage. Ngunit hindi ko na po papasukin ang usaping iyan. Nais ko lang pong banggitin for the record.

Ngayon, noong unang buksan ng Malacañang ang usapin ng posibleng pagkakaroon ng power crisis sa summer ng 2015, inanunsyo rin ng Malacañang na intensyon nito, ang intensyon ng Presidente na humingi ng emergency powers. Iyon iyong term, in fact, na ginamit at ipinalaganap, emergency powers para sa Pangulo para matugunan ang looming power crisis. So, iyan ang term na ginagamit ng spokesperson ng Presidente. Iyan din ang ginagamit dito sa House, sa mga committee deliberations at kahit dito sa interpellation ngayon, we casually refer to the resolution as a resolution on emergency powers for the President.

Alam natin, Mr. Speaker, na mayroon tayong mapait na karanasan sa pagbibigay ng Kongreso ng emergency powers sa Presidente para tugunan ang isang energy crisis. Of course, puwede nating balikan, at nais ko lang balikan, briefly ang Republic Act No. 7648 na naging batas noong April 1993 kung saan ang Kongreso ay nagbigay ng ilang mga natatanging kapangyarihan kay dating Presidente Ramos para tugunan—iyon, talagang totoo na mayroong matinding power crisis. Alam nating lahat at nabubuhay na tayo noon, noong may mga araw-araw na brownout, noong mga huling taon ng panahon ng presidency ni dating Pangulong Cory Aquino hanggang sa early years ng Ramos administration. At mapait ang karanasan ng mamamayang Pilipino rito dahil through RA No. 7648, binigyan ng kapangyarihan ang Presidente na mangontrata directly. The President was given powers to negotiate contracts with independent power producers (IPPs). At alam natin, hanggang ngayon, nararamdaman pa rin natin, na mga Filipino consumers, kung ano ang naging epekto ng mga kontrata na pinasukan ni Presidente Ramos sa mga IPPs, ang mataas na presyo ng kuryente, sinasabi nga, second only to Japan ang presyo ng kuryente sa Pilipinas. At halos lahat nagsasabi, malaking dahilan dito ay dahil sa mga onerous provisions, sa mga di-pantay, mga unfair, masyadong pabigat, masyadong pabor sa mga pribadong kumpanya na mga probisyon ng mga IPP contracts. Nandoon iyong, alam natin, mga take-or-pay provisions. Sinang-ayunan ni Presidente Ramos iyong mga take-or-pay provisions. Ibig sabihin, babayaran ng gobyerno ang mga IPP whether or not gamitin ang kapasidad ng kuryente ng mga planta ng mga independent power producers. Nandiyan iyong, may provisions regarding force majeure. Sabi doon, kahit magkaroon ng kalamidad o, halimbawa, magkaroon ng labor problem, magkawelga sa mga IPP, hindi sila maka-produce ng kuryente, kailangan pa ring bayaran

sila ng gobyerno sa mga kontrata. Nandiyan iyong fuel cost guarantee na ang sabi, lahat ng fuel na gagamitin ng mga IPPs, sasagutin ng NAPOCOR, effectively insulating, which, in effect, made the government shoulder the fluctuating cost of fuel and often pataas nang pataas ang presyo ng fuel sa panahong iyon. Tapos, nandiyan din ang essentially foreign currency subsidy dahil ang mga kontrata ay denominated in US dollars, so ang gobyerno ang sumagot sa pagbagsak ng halaga ng piso kumpara sa dolyar sa mga panahong iyon, at alam naman natin, noong dekada 90, ang tindi ng naging pagbagsak ng piso kumpara sa dolyar, lalo na after the 1997 financial crisis.

So, lahat ng ito ay nagdulot sa pagpasa ng napakataas na presyo ng kuryente sa mga consumer. Initially, nasa anyo iyan noong PPA, Purchase Power Adjustments sa Meralco bill, up to mga 30 to 50 percent additional on top of the consumers’ actual electricity consumption para lang mabayaran ang mga obligasyon ng gobyerno sa mga IPP contract na pinasok ni Presidente Ramos by virtue of the emergency powers that were given him by Congress during the power crisis.

Pasensya na po, medyo mahaba ang pagbalik ko rito, pero sa tingin ko, importante at very relevant ang kontekstong ito sa kasalukuyang sitwasyon. In some ways, may mga similarities. Sabi, may looming power crisis, therefore, kailangan ng Presidente ng emergency powers. We have to learn from previous experience, hindi puwedeng maulit uli ito. Kaya kailangang suriin nating mabuti ang request na nakahapag sa atin ngayon, ang resolusyon na nakahapag sa atin ngayon.

Ngayon, kung titingnan po natin ang House Joint Resolution No. 21, sa resolusyon po may ilang mga bagay na ibibigay ito na papahintulutan ng Kongreso. Una, nakikita natin ito sa resolusyon: “Resolved by the House to authorize the President of the Philippines to provide for the establishment of additional power generating capacity.” So, iyon ang nasa unang bahagi. Pagkatapos niyan, may mga “RESOLVED, FURTHER.” Dito, “RESOLVED, FURTHERMORE.” So bukod sa mga kapangyarihan ng Presidente, sa portion na “RESOLVED, FURTHERMORE,” may mga iba pang inilista, including halimbawa, all national government agencies and local government units are hereby authorized to suspend the operability of pertinent laws, rules and regulations, et cetera. So, sa resolusyon, may hinihinging mga kapangyarihan para sa Presidente, may ibinibigay palang mga kapangyarihan para sa Presidente, tapos, mayroon ding ibinibigay na kapangyarihan sa national government agencies at sa local government units. So, ganoon po, ang more or less, ang nilalaman ng resolusyong ito.

Ngayon, sa title po ng joint resolution, babasahin ko po: JOINT RESOLUTION AUTHORIZING THE PRESIDENT OF THE PHILIPPINES, HIS

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EXCELLENCY BENIGNO S. AQUINO III, TO PROVIDE FOR THE ESTABLISHMENT OF ADDITIONAL GENERATING CAPACITY AS MANDATED BY REPUBLIC ACT NO. 9136, ALSO KNOWN AS THE “ELECTRIC POWER INDUSTRY REFORM ACT (EPIRA),” TO EFFECTIVELY ADDRESS THE PROJECTED ELECTRICITY SHORTAGE IN THE LUZON GRID ON MARCH 1, 2015 TO JULY 31, 2015.

Ngayon, Mr. Speaker, sa title pa lang direktang binabanggit na ang joint resolution na ito ay nakabatay sa EPIRA, Republic Act No. 9136, at sa unang bahagi noong resolusyon, specifically, ang binabanggit ay ang Section 71 ng EPIRA. Babasahin ko po iyong portion na iyon:

WHEREAS, pursuant to Section 71 of Republic Act No. 9136, also known as the Electric Power Industry Reform Act (EPIRA”), the Congress may, upon the determination by the President of an imminent shortage of a supply of electricity, authorize the President, through a joint resolution, to provide for the establishment of additional generating capacity under such terms and conditions as it may approve.

So, ang tinutuntungan po ng joint resolution ay ang Section 71. At dito, mayroon pang paraphrase noong Section 71. Pero, at pupunta na po ako sa unang tanong ko, Mr. Speaker, kung titingnan natin ang Section 71 mismo ay, actually, magkaiba, naiiba sa Section 71 as paraphrased in the joint resolution. Ano po iyong kaibahan?

Excuse lang, Mr. Speaker.

SUSPENSION OF SESSION

REP. TINIO. A minute suspension of the session, Mr. Speaker.

THE PRESIDING OFFICER (Rep. Ortega, F.). The session is suspended for a few minutes.

It was 7:16 p.m.

RESUMPTION OF SESSION

At 7:19 p.m., the session was resumed.

THE PRESIDING OFFICER (Rep. Ortega, F.). The session is resumed.

REP. TINIO. Section 71…Babasahin ko po ngayon iyong Section 71 as it

actually appears in the EPIRA:

Electric Power Crisis Provision – Upon the determination by the President of the Philippines of an imminent shortage of the supply of electricity, Congress may authorize, through a joint resolution, the establishment of additional generating capacity under such terms and conditions as it may approve.

Hindi po ba malinaw, Mr. Speaker, iyong pagkakaiba? Let me point it out. Sa Section 71, wala pong binabangit noon na ang Kongreso ay obligado, bilang tugon sa power crisis, na magbigay, specifically, ng emergency powers sa Presidente. Nowhere does it say in Section 71 that Congress, in response to an imminent shortage of power, should, through a joint resolution, authorize the President specifically. Section 71 just says that, well, the role of the President here is to determine whether or not there is a power crisis, and once that is done by the President, then, Congress, through a joint resolution, it says here, may now authorize the establishment of additional generating capacity. Hindi naman sinabing “may authorize the President.”

So, therefore, first of all, Mr. Speaker, ang tanong ko sa Sponsor, bakit po hindi naging eksakto ang pagkakasulat natin sa Section 71 sa resolusyong ito? Kasi ang nakalagay, uulitin ko, “Pursuant to Section 71,” I am reading the resolution, “xxx the Congress may, upon determination by the President. xxx authorize the President, through a joint resolution, xxx.” So, bakit mayroong ganoon, “may authorize the President”? Bakit po ganiyan ang pagkakasulat ng resolusyon?

REP. ABAD. Wala pong intensiyon na baguhin ang wordings, at kung mayroon pong—basahin ko po itong pinagbatayan: “upon the determination by the President of an imminent shortage of the supply of electricity, Congress may authorize, through a joint resolution, the establishment of additional generating capacity under such terms and conditions as it may approve.”

REP. TINIO. Yes, exactly, Mr. Speaker. And let me again point out in the EPIRA, Section 71, there is no mention of authorizing the President. So, in other words, ...

REP. ABAD. Mayroon po, baka ho …

REP. TINIO. … is mandated …

REP. ABAD. … interpretasyon lang, pero mayroon po.

REP. TINIO. Hindi po, sa aktuwal na wording po ng Section 71 wala pong “authorize the President”.

REP. ABAD. Mayroon po, e: “Congress may authorize”.

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REP. TINIO. Wala po, wala po, ‘di ba?

REP. ABAD. Mayroon po iyong salitang “authorize.”

REP. TINIO. Well, sa aktuwal na Section 71, wala po iyong phrase na “authorize the President.” Tama po ba?

REP. ABAD. Iba po iyong phrasing, opo.

REP. TINIO. Ano po iyong phrasing?

REP. ABAD. Gaya po ng sinabi ninyo.

REP. TINIO. Opo, “may authorize the establishment of additional generating capacity.”

REP. ABAD. Opo.

REP. TINIO. Opo. And I agree that that can—in other words, it is left to Congress to determine what measures may be taken by the government to establish additional generating capacity, and that may include authorizing the President to do certain things, hindi po ba? Pero ang nais ko pong ipakita rito ay, in the first place, hindi accurate iyong pag-cite at pag-paraphrase sa joint resolution. So, ang isang tanong ko po ay, amenable po ba ang Sponsor, at the proper time, na amyendahan ang bahaging ito ng resolusyon at gawin nating mas precise? Let us hew from the actual wording of Section 71 of EPIRA.

REP. ABAD. Wala pong problema at the proper time.

REP. TINIO. Okay. Very good. Pero, ngayon, sabi po ni, kasi po ang background ko po as an English major is, you know, literature and literary criticism. And one …

REP. ABAD. Kilala ko po ang ama ninyo.

REP. TINIO. Opo.

REP. ABAD. Popular po siya sa aming eskwela.

REP. TINIO. Yes, opo.

REP. ABAD. Hindi ninyo po siya kamukha.

REP. TINIO. Oo. One school of literary prism is iyong psychoanalytic, Freudian, ganyan. And Freud talked about …

REP. ABAD. Baka delikado na po iyang pinag-uusapan natin.

REP. TINIO. Opo, slips of the tongue and slips of the pen, you know. Sabi niya, mayroong psychoanalytic explanation for slips of the tongue, iyong nagkakamali ka ng pagsabi. Sabi niya, these were to be understood as the return of the repressed, sabi niya, desires ng isang indibidwal na maaaring hindi socially acceptable, including sexual desires, among others. As an individual grows up and becomes a member of society, the individual must learn to repress these desires that are considered socially unacceptable. However, they have a way of returning, and one would be through slips of the tongue, you know, works of art, and so on, iyong mga ganoon. So, ako, ina-approach ko ito ngayon from that perspective, that the imprecise paraphrasing of Section 71, which included the phrase “authorize the President,” as a slip of the pen and betrays a repressed desire, ganoon. In this case, the desire here is for Congress to grant the President, specifically, special or emergency powers.

So, ngayon, kailangan na nating suriin. Ang sabi ko nga kanina sa outline noong resolusyon, actually, dalawang set of powers ang ibinibigay ng Kongreso dito—isa para sa Presidente, tapos isa para sa mga ahensya ng gobyerno dito sa “RESOLVED, FURTHERMORE” part. In the “RESOLVED, FURTHERMORE” part, very broad and sweeping, in fact, iyong mga kapangyarihan na ibinibigay ng resolusyon ng Kongreso sa pamamagitan ng resolusyong ito, “All national government agencies and local government units,” hindi ba? So, lahat po ng unit ng gobyerno, binibigyan ng Kongreso ng kapangyarihan na i-suspend iyong pag-iral ng maraming mga batas. At sa ganang akin, napakasaklaw na nga nito.

Ang tanong ko nga, hindi pa ba sapat ito? So, bakit may hiwalay na kapangyarihan na ibibigay pa ang Kongreso specifically para sa Presidente? Ano iyong mga kapangyarihan na ito na hindi nasasaklaw noong ibibigay na sa iba pang mga ahensya ng gobyerno? So, kaya doon po ako, gusto ko kayong mag-focus doon. What specifically are the powers that will be granted by Congress, the special or emergency powers that will be given to the President? What are the parameters of these powers? How will things such as transparency and accountability in the use of powers be ensured, especially given our experience?

Kaya babalikan ko po iyong intro ko kanina, the experience of Congress in granting emergency powers to former President Ramos. Ang sabi nga, dahil diyan, ano ang nangyari? Hanggang ngayon nagbabayad pa tayo sa napakataas na presyo ng kuryente.

So, doon po, ano iyong special powers or emergency powers specifically na ibibigay sa Presidente, kay Presidente, Mr. Speaker?

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REP. ABAD. It is outlined here po sa aming resolution. I guess, if we are looking at the same document, it is page—it is line 7, after that particular paragraph that you read na “Whereas.” It outlines the different responsibilities covered under this resolution. The resolution, likewise, covers the timeframe and the actual, I would say, workings, particularly of the ILP program and the other measures.

I just want to say at this point, yes, we have learned from the previous efforts of the previous administration. That is why the House panel of the JCPC and the Committee on Energy technical working group took pains in really looking at this particular request for a joint resolution. Itong nilalaman po ng ating joint resolution ay wala po iyang take-or-pay. Tinanggal po natin ang capacity dahil naniniwala po tayo na hindi po iyan maganda. Kaya po tiningnan natin iyong mga iba’t ibang mga kaparaanan para matugunan po itong emergency na ito, at hindi po, mayroon po, kaya po dito nakalagay na ating ire-reimburse, kasi ayaw nga po nating ma-pass on sa ating mga consumers kung anuman iyong dagdag presyo.

So, tama po kayo doon na kailangang matuto tayo sa nakaraan at iyan po ang matitiyak natin. Kaya during those meetings of the technical working group led by Congressman Umali, we really took pains in assuring na wala pong take-or-pay transaction. Isa po iyan at wala pong ipa-pass on.

Salamat din po doon sa lecture ninyo tungkol sa repression, gaya ng sinasabi ninyo, bilang English teacher.

REP. TINIO. Opo.

REP. ABAD. Pero, gaya po ng sinabi natin, wala po tayong Freudian slips at wala po tayong intensyon na kung ano man po ang underlying tone.

REP. TINIO. Well, …

REP. ABAD. Kung sa panahon po ng pag-aamyenda, …

REP. TINIO. Opo.

REP. ABAD. … maganda po sigurong itama nga natin batay po doon sa sinabi ninyo.

REP. TINIO. Okay. Salamat po doon.So, ngayon po, gusto ko nang himayin, ano exactly

iyong additional o special powers or emergency powers na ibibigay sa Presidente? Ang sabi po rito, “To authorize the President x x x, to provide for the establishment of additional power generating capacity,” tapos, “x x x under the following terms and conditions:”

Doon muna tayo sa number one:

The government, through the Department of Energy (DOE), shall administer and implement the remedial measures under this Joint Resolution, as well as the subsidy for the compensation for the actual energy generated to address the power shortage.

Ito po, actually, ay mas nagpapatungkol sa Department of Energy, hindi po ba, Mr. Speaker? Ano ang magiging direktang papel ng Presidente sa number one, mayroon po ba? In other words, i-extend ko na po iyong tanong ko, nagpapatungkol ito, halimbawa, mainly sa ILP, hindi po ba? Tama po ba, Mr. Speaker?

REP. ABAD. Ilagay lang po natin sa konteksto. Maniwala man po tayo sa EPIRA o hindi, ito po iyong konteksto: Sa EPIRA po, tinanggal po ang katungkulan na maging responsable sa generation ng electricity. Iyan po ay dati-rati nga ay monopolyo ng gobyerno. So, tinanggal po iyan at inilagay po sa pribadong sektor. So sa halip po na may direct intervention, ang papel po ng gobyerno ay naiwan sa regulatory functions. Wala na po silang karapatan at katungkulan to intervene directly in generation. Pero iyong mga may akda po ng batas ay nakita nila, baka may mga pagkakataon na kailangang mag-intervene ang gobyerno sa generation, kaya po naisip nila iyong Section 71. At dito po, syempre, kapag sinabi nating Executive at gobyerno, ang pinuno po niyan ay ang Pangulo, at kung sasabihin po natin iyong mga ahensya na involved sa energy, Department of Energy po iyan, kasi ang Department of Energy po, siyempre, alter ego po iyan ng Presidente. So kapag binigyan natin ng otoridad ang Presidente, automatically, ang kanyang instrumento po o ahensya para magampanan niya ang tungkulin o iyong responsibilidad na ibinigay sa kanya ay iyong Presidente.

REP. TINIO. So iyong terms and conditions na ito, particularly iyong number one, mas Department of Energy po talaga ang magiging responsable para, halimbawa, iyong ILP, sa pag-manage, pag-administer noong ILP, at hindi po ang Presidente? Tama po bang intindi ko, Mr. Speaker?

REP. ABAD. Bilang alter ego po ng Presidente, iyon po iyong ibig sabihin nito.

REP. TINIO. Yes, opo, Mr. Speaker. So in other words, puwede rin naman na ang joint resolution na ito ay i-authorize na lang ng DOE, ganoon, ano?

REP. ABAD. Paano po natin i-authorize ang DOE na ang poder po niya ay nanggagaling po sa Presidente?

REP. TINIO. Well, that is understood, Mr. Speaker.

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REP. ABAD. So ang accountability po ng DOE, kapag titingnan po—pasensya na po kayo, teacher po ako ng Public Management, kung kayo ay teacher ng English Literature, ano po..

REP. TINIO. Opo.

REP. ABAD. Ano po kasi, hindi ba, ang kanya pong accountability in terms of functions, doon po sa Presidente, hindi po ba?

REP. TINIO. Okay, sige po.

REP. ABAD. Kaya doon po manggagaling kahit sino po ang—bukod sa atin, oversight, pero iyong orders po niya, manggagaling sa Presidente. Iyon po iyon.

REP. TINIO. Okay, sige, malinaw po iyang number one. Provision No. 2, under the terms and conditions, “provision of additional generation capacity shall be available on or before 01 March 2015.” Okay, malinaw po iyon.

Iyong number 3 naman po, “Additional generating capacity shall be sourced from the Interruptible Load Program,” marami na pong nasabi at natalakay tungkol dito sa ILP. Gusto ko pong mag-focus dito sa mga sumusunod: fast-tracking of new committed projects, and plants for interconnection and rehabilitation. Specifically, ano po ba ang kapangyarihan, poder, responsibilidad ng Presidente sa mga ito? Iyong sa ILP, naintindihan natin—President through the Department of Energy. Pero dito po sa fast-tracking of new committed projects, and plants for interconnection and rehabilitation, what powers will the President wield? What are the parameters that are imposed upon the President, if any?

At didiretsuhin ko po, sa condition number three po ba na ito, binibigyan po ba ang Presidente na pumasok at magsara ng mga kontrata? So, in other words, parang iyong Republic Act No. 7648 where the President was given the power to negotiate contracts in behalf of the Philippine government, ganoon din po ba ito? Kasi, sa isang interpretasyon, puwedeng ganoon iyan, hindi po ba?

At this juncture, Presiding Officer Ortega (F.) relinquished the Chair to Deputy Speaker Apostol.

REP. ABAD. Opo. Kagaya siguro noong naisagot natin kahapon kay Congressman Colmenares, ito pong tumutukoy sa fast-tracking of new committed projects, alam ninyo po iyong nakakaantala sa pagtatayo ng mga power plants ay iyon pong mahabang proseso. Kaya ang sinasabi po at nakalagay po iyan dito sa ating resolusyon at inaasahan namin—so, iyon po ang nakalagay doon sa resolusyon—ay i-suspend po doon sa panahon na

iyon iyong ilang mga requirements. Pero kagaya po ng sinabi ko rin po kahapon, may pasubali iyon, suspension lamang doon sa period na we are concerned, pero kailangan din na makamit nila iyon at makuha din nila iyong mga requirements kung gusto nilang mag-operate permanently afterwards,. Ang gusto lang po natin, ma-fast-track at they be operational to serve us during that time period sa halip po na kumuha tayo ng take-or-pay. Iyon po kasi ang palaging ipinaglalabanan doon e.

So, ito na po iyong mga proyekto. Para po bang nakasilip na sila, nakaumang na sila, pero mabagal pa rin dahil marami pong requirements. So, hindi natin sinasabing ibabalewala natin iyong mga requirements. Ang sinasabi lang ho natin, suspindehin natin iyong mga requirements sa panahon na iyon. Pero, kagaya nga po nang sinabi ng ating Kalihim kahapon sa akin pong pagpapaliwanag, ibabalik din iyon. Kailangan pa rin nilang ma-comply iyon; kung hindi, hindi sila mabibigyan ng permit, o babawiin iyong kanilang permit. So, may agreement po iyan. Maliwanag po iyon.

Bakit po natin ginawa ito? Inuulit ko po, ayaw natin ng take-or-pay. Ayaw po natin iyon. Ayaw nating mauwi o mapilitan, iyon ang ating gawing kasagutan dahil nga po sinabi ninyo noong nag-umpisa kayo, iyong premise ninyo, aral po natin iyan noong nakaraan pero hindi natin mababalewala, may posibleng krisis tayo kung iyan po ang ginawa namin.

REP. TINIO. Salamat po sa sagot.So, ang sinasabi ninyo po, iyong fast-tracking

of new committed projects, iyong fast-tracking, nagpapatungkol po doon sa suspensyon ng mga umiiral na batas, environmental laws, and so on and so forth, para…

REP. ABAD. At saka iyong mga nakaumpisa na, pero parang hindi makagalaw-galaw.

REP. TINIO. Pero, so, kaya nga ang tanong ko po, Ma’am, hindi po ba covered nga noong “RESOLVED FURTHERMORE”, iyong pagbibigay ng otoridad sa national government agencies and local government units na magsuspinde ng aplikasyon noong mga naturang batas? ‘Andiyan na po iyan e. Kasi, ang lumalabas po dito, may kapangyarihang ibinibigay sa Presidente, tapos may kapangyarihan pa kasi, “RESOLVED, FURTHERMORE”, may kapangyarihang ibinibigay pa sa mga ahensiya. Hindi ba makasasapat na itong nasa “RESOLVED, FURTHERMORE”, natutugunan na ang mga binanggit ninyong posibleng balakid sa pagtatayo ng bagong planta? So, bakit may otorisasyon na ibinibigay pa sa Presidente? So, iyon po, iyon po ang isang…

REP. ABAD. Iyong sa amin po siguro, doon sa pag-compose noong ating joint resolution, siguro mas

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masinop kayo kasi Literature at English teacher kayo. (Laughter) Ang pagnanasa lang po namin kaya namin inilathala at inilabas iyan, precisely, ulit po, doon sa sinasabi nating kailangan transparent, kailangan hindi general. So, this is the effort to become more transparent and a little bit more specific. It might not meet your standards because you are really an English teacher.

REP. TINIO. Well, hindi lang po, you know, this is not just a matter of style, but the concern is, siguro baka maging mas direkta, ang tanong ko na po ay kung ang resolusyon ba na ito ay nagbibigay ng kapangyarihan sa Presidente na mag-negotiate ng mga contracts katulad nga noong ibinigay ng Kongreso sa Presidente, kay Presidente Ramos noong RA 7648?

REP. ABAD. Wala po, wala po, tinanggal po natin, hindi po iyan kasama diyan.

REP. TINIO. So, halimbawa, Mr. Speaker, kung sakaling itinuloy ito, nagkaroon ng ILP, et cetera, pero nakita na kukulangin pa rin pala, puwede po bang, halimbawa, tawagin muli iyong Aggreko, hindi ba? Iyong Aggreko, halimbawa, iyan iyong British company na nagpakita sa ilang mga hearings ng Energy Committee.

REP. ABAD. Hindi po, kaya po, para lang po sagutin na natin.

REP. TINIO. Opo.

REP. ABAD. Doon po kami malinaw, hindi po.

REP. TINIO. Okay. So, malinaw po na hindi maaaring, hindi nagbibigay ang resolusyong ito ng kapangyarihan sa Presidente na makipag-negotiate at kumontrata sa mga kumpanya katulad nga noong Aggreko which is a company that provides, that rents, generator sets, hindi po ba? So, hindi puwede …

REP. ABAD. Hindi po kasali iyan.

REP. TINIO. Malinaw na hindi puwede?

REP. ABAD. Kaya po natin inilista ng malinaw.

REP. TINIO. Hindi rin puwedeng mag-negotiate ng mga contracts with independent, you know, parang iyong independent power producers noon?

REP. ABAD. Hindi po.

REP. TINIO. Hindi rin po.

REP. ABAD. Kaya po nakalagay dito kung ano po iyong mga iba’t-ibang measures na puwedeng pasukan.

REP. TINIO. Para mas mapalalim po ang pang-unawa natin, ano po ba iyong mga new committed projects na tinutukoy dito? Puwede po bang mabigyan kami ng listahan, anu-ano po ba iyan, Mr. Speaker? At isa pang tanong, iyong new committed projects po ba na ito na tinutukoy dito na saklaw ng joint resolution, when will they go online? When will they go online?

REP. ABAD. Palagay ko po nabanggit na namin ito kahapon, e.

REP. TINIO. Sige po.

REP. ABAD. Pero sige po, pagkatapos po, tapos na po.

REP. TINIO. Opo.

REP. ABAD. Masakit na po ang aking binti, e. Anyway, nabanggit na po namin ito kahapon, pero,

anyway, Millennium Energy Incorporated po, ang inaasahan po namin diyan ay 100 megawatts, rehab po is ongoing, target completion po, March 2015. Iyong isa po ay MEI, Millennium din po iyan, uprating, 36 naman po iyan, inaasahan na early March 2015 maipasok na ho siya. Tapos, rehab po ng Bauang, 20 megawatts po iyan, uprating din po, hopefully with additional, iyon nga po, 20 megawatts, hopefully early March. Tapos, for interconnection naman po, JG Summit, 40 megawatts naman po iyan; Botocan sa Laguna, 20 megawatts, so may listahan po; Majestic Solar Project po, 21 megawatts po iyan; tapos, Avion po, 100 megawatts po iyan.

REP. TINIO. Maraming salamat po roon. So, mayroon na pong tiyak na listahan ng mga new committed projects, at lahat po iyan ay dapat online na by March 1, 2015, ganoon po ba?

REP. ABAD. Early March. Iyong iba po April. Kaya po inaasahan sana na bago po tayo magbakasyon, maipasa na ito para po matulungan iyong pagpapatuloy para online at on time po sila.

REP. TINIO. At nabanggit ninyo na po iyong—kasi ang susunod na itatanong ko, ano iyong sinasaklaw nitong plants for interconnection and rehabilitation?

REP. ABAD. Iyon po. Iyon po.

REP. TINIO. So, iyong mga nabanggit ninyo.

REP. ABAD. Opo.

REP. TINIO. Puwede po bang maipaliwanag lang iyong interconnection, ano po ba iyan?

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REP. ABAD. Ikakabit po siya sa transmission line kasi ngayon, mas embedded po siya, hindi siya nakakabit. So, kapag nakakabit po siya, magagamit, magiging on grid ang daloy noong kuryente.

REP. TINIO. Okay. At iyong rehabilitation ay nabanggit ninyo, may mga ilang planta for rehabilitation. These are all private sector plants?

REP. ABAD. Opo. Opo.

REP. TINIO. Okay. Sinasaklaw po ba nito iyong, halimbawa, rehabilitation, et cetera, ng mga government assets? Halimbawa, iyong Malaya, hindi po ba hawak pa iyan ng Napocor at saklaw po ba nito ang rehabilitation nito?

REP. ABAD. Opo. Kaya lang po, ongoing na po yata siya.

REP. TINIO. Ongoing na po. Ongoing na po ba?

REP. ABAD. Hindi po siya additional capacity.

REP. TINIO. Ah, hindi additional.

REP. ABAD. Existing capacity po siya. So, ire-rehab siya para siguradong iyong existing capacity niya will continue to exist, hindi po ba?

REP. TINIO. So, covered po ba ng joint resolution iyong mga government-owned plants? Kasi, ang susunod na tanong ko po ay, ibig po bang sabihin nito, suspended, halimbawa, iyong procurement laws? Halimbawa, kung kailangan ng rehabilitation ng isang government plant, aba, ay wala ng bidding-bidding. Kami na lang ang magtatakda. Ang Presidente na lang ang magtatakda, o, sige, ‘eto na.

REP. ABAD. Permitting lang po. Permitting lang po. Permitting.

REP. TINIO. Sorry po.

REP. ABAD. Permitting. Hindi po procure. Permitting.

REP. TINIO. Okay. Ano po ang ibig sabihin noong permitting?

REP. ABAD. Iyong kagaya po ng sinabi ko kanina, iyong suspension po ng mga ano, doon sa mga permits.

REP. TINIO. Ah, sa permits.

REP. ABAD. Kasi iyon po talaga, kasi para po magtayo ng isang power plant, kailangan mo ng 100 lagda na galing po sa iba’t ibang batas. Iyon po talaga. Tapos siyempre iyong mga ibang ay ano po, may mga ordinansa. So, iyan lang po talaga iyong nakakaantala. Pero iyong procurement po, hindi ho iyan kasali kasi mayroon naman pong sariling batas iyong procurement. Kasi iyong procurement, iyong batas po kasi ng procurement takes care of some of these things so you do not actually need to suspend, hindi po ba?

REP. TINIO. Well, hindi po malinaw iyan kasi kahit sa joint resolution, ang sabi po dito, “To suspend the operability of pertinent laws, rules and regulations including but not limited to,” iyong mga …

REP. ABAD. Sa panahon po ng amyenda, kapag amendment, puwede po nating i-propose na we be more specific than we are specific now. Wala pong ano iyan.

REP. TINIO. Opo. So, iyon po ang nais kong ilinaw. Kasi puwede pong sumaklaw dito iyong procurement laws, e.

REP. ABAD. Sige po. Sige po.

REP. TINIO. Opo. So, okay. Mabuti po kung bukas kayo.

REP. ABAD. Sa period of amendments para po sigurado tayo at tiyak tayo, puwede ho nating i-introduce iyon para we will be clearer, para hindi assumed. Wala pong problema diyan.

REP. TINIO. Opo. Mas maganda po iyon kasi, again, if I may refer to the experience under Ramos, ayon sa PCIJ, and let me just go back to history, “The contract to rehabilitate the Binga Hydroelectric Plant in Benguet was the original fast-track IPP deal, the first one Ramos approved using his emergency powers. The contract was awarded to Catalino Tan, a former military supplier known to be close to Ramos.” So, may ganoon pong konteksto.

REP. ABAD. Kaya nga po sinabi ko na kanina pa, ito pong ating joint resolution, ito po ay siguro nagsasalamin din po noong mga aral na sinabi ninyo. Kaya very clear po sa amin, we will explore all other options. So, hindi tayo magte-take-or-pay, we will be as transparent as we can be, we will not pass on the burden to the consumers directly. As you always say, you know, we all bear the burden because we will still be using public funds for the subsidy. But anyway, iyon po, we do not want to directly burden through passing on the costs.

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REP. TINIO. Okay. So, maganda po na bukas ang Sponsor …

REP. ABAD. Sir, mayroon pa, Sir? Marami pa ba, Sir?

REP. TINIO. Maganda po na bukas ang Sponsor …

REP. ABAD. Your Honor? Marami pa ba?

REP. TINIO. (Laughter) Konti na lang po. Maganda po na ang Sponsor ay bukas sa mga amendment na maglilinaw na, una, walang kapangyarihang mangontrata ang Presidente, na hindi masususpinde ang mga procurement laws, halimbawa, ng Pilipinas, at iba pa. So, perhaps at the proper time, puwedeng …

REP. ABAD. Iyong hindi po pangongontrata ay maliwanag na po iyan kasi wala siya dito.

REP. TINIO. Okay. Ngayon, nabanggit ninyo po na iyong isang layunin nito ay huwag maipasa sa consumer iyong additional cost that might be incurred by this emergency measure. So, punta po tayo doon sa usapin ng subsidy, binabanggit po iyan sa—actually, isa lang po ang pagbanggit sa joint resolution na ito, as well as the subsidy for the compensation for the actual energy generated to address the power shortage. Hinahanapan ko po ng appropriation provision, wala po. So, iyon ang isang katanungan. Eh, sinasabi ng mga Sponsor na walang ipapasa sa consumer at may subsidy, pero, hindi naman malinaw sa resolusyong ito kung saan manggagaling ang subsidy. Ito po ba ay manggagaling sa 2014 appropriations or sa, proposed pa rin, 2015 appropriations? Ano po ba ang panggagalingan? Una, magkano ba ang pinag-uusapan natin? I think, kailangang malaman ng mamamayan. Dahil subsidy ang pinag-uusapan, ibig sabihin, pondo ng taongbayan, magkano nga ba sa proposal na ito ang tinatantiyang gagastusin? Pangalawa, saan manggagaling ito?

REP. ABAD. Iyong amount po, o iyong batayan po ng subsidy kagaya ng pagpapaliwanag kanina ay batay po sa ERC formula. Sa amin pong kuwenta, hindi po, most likely ho iyong pinakamataas would be a little bit more than half a billion, half a billion lang po. A little bit more, iyan po iyong pinakamalaki na. Basta hindi ho siya aabot ng isang bilyon. Iyon po iyong aming kuwenta. Ang pinaka-minimum daw po, zero, pero iyon po talaga, kasi nagkuwenta po kami based on certain assumptions using the ERC formula. So, you look at six to 12 billion, and then, less than a billion, hindi ho ba? So, you will totally, really explore.

REP. TINIO. Okay.

REP. ABAD. So, saan po siya mangagaling? Kagaya po ng sinabi namin kahapon, naalala ko, tinanong din po siguro ito, ang isa pong, sa period of amendments, ang isang ipinapanukala ay kukuhanin po natin iyan sa Malampaya Funds.

REP. TINIO. Okay. Isa-isahin ko lang iyong sagot ninyo. Una, iyong, hindi ito six to 12 billion, iyong six to 12 billion, iyon iyong lease, tama po ba?

REP. ABAD. Opo.

REP. TINIO. So, hindi na po iyon. So, ang sabi ninyo, P500 million at hindi na po aabot ng P1 billion, so puwedeng lumagpas pa sa P500 million. Pero, sabi rin po ninyo, puwede ring zero, ayon kay Department of Energy Secretary.

REP. ABAD. Joke na lang ho siguro niya iyon, huwag ninyo nang seryosohin.

REP. TINIO. Ah, joke lang po ba iyon? Hindi.

REP. ABAD. Hahaba pa po tayo.

REP. TINIO. Again, joke is like akin to a slip of the tongue. So, ano’ng ibig pong sabihin noon?

REP. ABAD. Slip of the tongue, Sir, because I am just really tired.

REP. TINIO. Ang ibig pong sabihin ng zero, ibig pong sabihin, there is still the possibility that there will be no shortage, ganoon po ba iyon? In other words, the Department of Energy is, in fact, acknowledging that there is still the possibility that there will be no need for an ILP, there is no need for subsidy, no cost to the government, tama po ba?

REP. ABAD. Anything is possible, but so far, all our projections point that there is an impending shortage.

REP. TINIO. Okay. Well, doon lang po …

REP. ABAD. Sorry po for the slip of whatever you call it. I was just trying to make fun. So, …

REP. TINIO. I understand po, opo. So, I will wind up as soon as possible.

REP. ABAD. Thank you very much, Your Honor, Mr. Speaker.

REP. TINIO. Opo. Pero iyon lang po ang point, na kahit mismo ang Department of Energy, nakikinikinita

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pa rin nila ang scenario na zero, ibig sabihin, walang shortage, Mr. Speaker. Iyon lang ang gusto kong idiin doon.

Ngayon, nabanggit ninyo po iyong Malampaya Fund, iyong Malampaya Fund as a possible source, and you will consider putting in that provision, during the period of amendments. Pero ngayon po, again, kailangang i-raise natin, of course, when we talk about Malampaya Fund, we are talking about PD No. 910. And let me just refer to PD No. 910. Ano po ba ang sabi sa Section 8 ng PD No. 910? It says:

All fees, revenues and receipts of the Board from any and all sources including receipts from service contracts and agreements such as application and processing fees, signature bonus, discovery bonus, production bonus; all money collected from concessionaires representing unspent work obligations, fines and penalties under the Petroleum Act of 1949; as well as the government share representing royalties, rentals, production share on service contracts and similar payments on the exploration, development and exploitation of energy resources, shall form part of a Special Fund to be used to finance energy resource development and exploitation programs and projects of the government and for such other purposes as may be hereafter directed by the President.

As we know, in Belgica vs. Ochoa, the PDAF decision, that last clause, “and for such other purposes as may be hereafter directed by the President”, was struck down as unconstitutional, hindi po ba? So, we are now left with “to be used to finance energy resource development and exploitation programs and projects of the government.”

Ngayon, Mr. Speaker, palagay ko, malinaw naman po na iyong proposal na gamitin ang at least, P500 million na kukunin mula sa Malampaya para ipambayad sa ILP, hindi po ito—hindi po otorisado ito, hindi po pinapahintulutan ito ng PD No. 910 dahil hindi naman po ito energy resource development and exploitation program, Mr. Speaker.

So, hindi po ba may problema tayo kung iyan ang magiging source of fund?

REP. ABAD. Hindi po.

REP. TINIO. Bakit hindi po?

REP. ABAD. Hindi po tayo magkakaroon ng problema. Sa dalawang puntos po siguro, batay din po sa desisyon ng Belgica vs. Ochoa, puwede po nating tingnan at ituon natin ang pagtingin natin. Kapag sinabi ho nating energy resource development, it involves the activation

and utilization of energy sources within the Philippine electrical system. It does not necessarily mention that it is limited to natural resources. So, generating an energy resource development through the ILP is in itself a program, so, papasok po siya doon. At bahagi po nitong ating batas, inilalagay po natin iyong Malampaya Fund because, in effect, we are actually authorizing that it be used as Congress for this particular purpose which is also cited in the decision. I think this has been expressed many times in the hearings. And I am not so certain if in one of the committee hearings, that even our Chair, Cong. Reynaldo V. Umali, believes it is so. So, that may be your set of ano po, but it is very clear here that if the program can be considered, that the funds would be used to finance energy resource development and exploitation programs and projects of the government, but when we look at the Energy Resource Development and Exploitation Program, the energy resource mentioned in PD No. 910 is not limited to natural resources. So, we still believe that it is right, and it is not wrong to use the Malampaya Fund because it is energy related. This is an energy resource as explained in the decision of the Supreme Court.

REP. TINIO. Well, I believe that that interpretation of energy resource development to assert that the ILP, basically the renting of private sector generators by the government, falls under energy resource development. Medyo stretched po iyon sa palagay ko. And I think it would be a mistake for Congress or the administration to rely on such, you know, at best questionable interpretation of PD No. 910 for funding the subsidy.

Ngayon nabanggit ninyo na, well, bilang Kongreso puwede nating gawing batas na magamit ito. So, ibang usapan na po iyon. So, I think maganda lang po na ma-highlight iyan. In other words, importante na mayroong malinaw na appropriation provision.

Well, Mr. Speaker, naitanong ko na po ang mga nais kong itanong at alam ko pong pagod na din ang ating butihing Sponsor kaya tatapusin ko na po ang aking interpellation, Mr. Speaker.

REP. ABAD. Marami pong salamat, Mr. Speaker, Your Honor.

THE DEPUTY SPEAKER (Rep. Apostol). Tapos ka na ba? O sige.

REP. ORTEGA (F.). Mr. Speaker, I move that we suspend the period of sponsorship and debate on the said measure.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The period of sponsorship and debate is hereby suspended.

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SUSPENSION OF CONSIDERATION OF H. JT. RES. NO. 21

REP. ORTEGA (F.). Mr. Speaker, I move that we suspend the consideration of House Joint Resolution No. 21.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The consideration of House Joint Resolution No. 21 is hereby suspended.

The Dep. Majority Leader is recognized.

APPROVAL OF THE JOURNAL

REP. ORTEGA (F.). Mr. Speaker, I move that we approve the Journal of the previous session.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The Journal of the previous session is hereby approved.

REP. ORTEGA (F.). Mr. Speaker, I move that we proceed to the Reference of Business.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The Secretary General will please read the Reference of Business.

REFERENCE OF BUSINESS

The Secretary General read the following House Bills and Resolution on First Reading and Committee Report, and the Deputy Speaker made the corresponding references:

BILLS ON FIRST READING

House Bill No. 5232, entitled:“AN ACT DECLARING AS AGRICULTURAL

LAND PORTIONS OF FORESTLAND LOCATED IN THE MUNICIPALILTY OF MALAY, PROVINCE OF AKLAN”

By Representative HarescoTO THE COMMITTEE ON NATURAL

RESOURCES

House Bill No. 5233, entitled:“AN ACT CONVERTING THE ROAD

STRETCHING FROM BRGY. DAO IN THE CITY OF PAGADIAN, PROVINCE

O F Z A M B O A N G A D E L S U R T O BRGY. BOKONG, MUNICIPALITY OF LABANGAN, PROVINCE OF ZAMBOANGA DEL SUR INTO A NATIONAL ROAD, OTHERWISE KNOWN AS THE DAO – BOKONG NATIONAL HIGHWAY AND APPROPRIATING FUNDS THEREFORE”

By Representative YuTO THE COMMITTEE ON PUBLIC WORKS

AND HIGHWAYS

House Bill No. 5234, entitled:“AN ACT PROVIDING FOR THE EXEMPTION

FROM PAYING TAXES OUT OF THE PRIZES FROM WINNINGS AND/OR MONEY BENEFITS DERIVED FROM WINNINGS OF FILIPINO BOXERS”

By Representative OngTO THE COMMITTEE ON WAYS AND

MEANS

House Bill No. 5235, entitled:“AN ACT MOVING THE OBSERVATION OF

NATIONAL HOLIDAYS FALLING ON A SUNDAY ON TO THE IMMEDIATELY SUCCEEDING MONDAY”

By Representative CasteloTO THE COMMITTEE ON REVISION OF

LAWS

House Bill No. 5236, entitled:“ A N A C T P R O V I D I N G F O R T H E

MODERNIZATION OF THE PHILIPPINE COAST GUARD (PCG) AND FOR OTHER PURPOSES”

By Representatives Alejano and AcedilloTO THE COMMITTEE ON TRANSPORTATION

House Bill No. 5238, entitled:“AN ACT EXPANDING THE GROUNDS FOR

LEGAL SEPARATION, AMENDING FOR THE PURPOSE ARTICLE 55 OF THE FAMILY CODE OF THE PHILIPPINES”

By Representatives De Jesus and IlaganTO THE COMMITTEE ON REVISION OF

LAWS

RESOLUTION

House Resolution No. 1724, entitled:“A RESOLUTION CONGRATULATING FIL-AM

JONATHAN CHRISTOPHER HOFWEGEN FOR WINNING THE FIRST GLOBAL DENIM AWARDS IN AMSTERDAM”

By Representative CasteloTO THE COMMITTEE ON RULES

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ADDITIONAL COAUTHORS

Rep. Benjamin C. Agarao Jr. for House Bill No. 4864;

Rep. Marlyn L. Primicias-Agabas for House Bills No. 355, 4231, 5099, 5155, 5157, 5159, 5165, 5184, 5199 and 5214;

Rep. Gerald Anthony V. Gullas Jr. for House Bills No. 5158 and 5159;

Rep. Roy V. Señeres Sr. for House Bills No. 4396 and 5140;

Rep. Ferdinand Hernandez for House Bill No. 151;

Rep. Xavier Jesus “XJ” D. Romualdo for House Bills No. 5060 and 5187;

Rep. Gavini C. Pancho for House Bills No. 5201 and 5202;

Rep. Evelio “Bing” Leonardia for House Resolution No. 1516;

Rep. Marlyn L. Primicias-Agabas for House Joint Resolution No. 21; and

Rep. Joseph Stephen S. Paduano for House Bill No. 5058.

COMMITTEE REPORT

Report by the Committee on Women and Gender Equality (Committee Report No. 498), re H. R. No. 1725, entitled:“A RESOLUTION EXPRESSING THE

S U P P O RT O F T H E H O U S E O F REPRESENTATIVES OF THE REPUBLIC O F T H E P H I L I P P I N E S A N D I T S COMMITTEE ON WOMEN AND GENDER EQUALITY TO THE FAMILIES OF THE GIRLS ABDUCTED BY BOKO HARAM IN CHIBOK TOWN IN BORNO, NIGERIA AND URGING FOR THEIR SAFE AND IMMEDIATE RETURN”

recommending its adoption in substitution of House Resolution No. 1512

Sponsors: Representatives Villarica, Cruz-Gonzales and Santiago

TO THE COMMITTEE ON RULES

ADDITIONAL REFERENCE OF BUSINESS

RESOLUTION

House Resolution No. 1743, entitled:“RESOLUTION EXPRESSING THE PROFOUND

CONDOLENCES OF THE HOUSE OF REPRESENTATIVES ON THE DEMISE OF ATTY. JUNE LIMKAICHONG-IWAY,

WIFE OF THE HONORABLE MANUEL M. IWAY, REPRESENTATIVE OF THE FIRST DISTRICT OF NEGROS ORIENTAL”

By Representatives Belmonte (F.), Gonzales, Zamora (R.) and Del Mar

TO THE COMMITTEE ON RULES

CONSIDERATION OF H. RES. NO. 1743

REP. ORTEGA (F.). Mr. Speaker, I move that we consider House Resolution No. 1743.

May I ask that the Secretary General be directed to read only the title of the measure.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.*

The Secretary General is directed to read only the title of the measure.

With the permission of the Body, and since copies of the measure have been previously distributed, the Secretary General read only the title thereof without prejudice to inserting its text in the Congressional Record.

THE SECRETARY GENERAL. House Resolution No. 1743, entitled: RESOLUTION EXPRESSING THE PROFOUND CONDOLENCES OF THE HOUSE OF REPRESENTATIVES ON THE DEMISE OF ATTY. JUNE LIMKAICHONG-IWAY, WIFE OF THE HONORABLE MANUEL M. IWAY, REPRESENTATIVE OF THE FIRST DISTRICT OF NEGROS ORIENTAL.

REP. ORTEGA (F.). Mr. Speaker, I move that we adopt House Resolution No. 1743.

VIVA VOCE VOTING

THE DEPUTY SPEAKER (Rep. Apostol). As many as are in favor of House Resolution No. 1743, please say aye.

SEVERAL MEMBERS. Aye.

THE DEPUTY SPEAKER (Rep. Apostol). As many as are against, please say nay. (Silence)

ADOPTION OF H. RES. NO. 1743

THE DEPUTY SPEAKER (Rep. Apostol). The ayes have it; the motion is approved.

House Resolution No. 1743 is adopted.

** See MEASURES CONSIDERED (printed separately)

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ADJOURNMENT OF SESSION

REP. ORTEGA (F.). Mr. Speaker, I move that we adjourn the session until Monday, December 8, 2014, at four o’clock in the afternoon.

THE DEPUTY SPEAKER (Rep. Apostol). Is there any objection? (Silence) The Chair hears none; the motion is approved.

The session is adjourned.

It was 8:11 p.m.