Energy Secretary Raphael Lotilla has been removed from President Ferdinand Marcos Jr.'s so-called "economic team" and reassigned to the Department of Environment and Natural Resources, Executive Secretary Lucas Bersamin announced Friday.

In a press briefing, Bersamin said Lotilla’s reassignment comes as part of a broader Cabinet reshuffle. He will replace DENR Secretary Maria Antonia Yulo-Loyzaga, who, according to Bersamin, will be taking a break following criticisms of her "frequent overseas trips and perceived underperformance."

The Department of Energy will be temporarily led by Undersecretary Sharon Garin as officer-in-charge. A CPA-lawyer by profession, Garin currently oversees the DOE’s Financial Services Bureau, Legal Services Bureau, and the Nuclear Energy Program Interagency Committee.

Bersamin also clarified that the President did not accept the courtesy resignations of several top economic officials, including Trade Secretary Cristina Roque, Finance Secretary Ralph Recto, Economy, Planning, and Development Secretary Arsenio Balisacan, Budget Secretary Amenah Pangandaman, and Special Assistant to the President for Investments and Economic Affairs Secretary Frederick Go. They were among the 52 Cabinet officials who submitted their courtesy resignations during the administration’s ongoing performance review.

Bersamin said the President’s marching orders for the retained economic team are to bolster the country’s image abroad and sustain domestic economic health.

To recall, Lotilla was slapped with a criminal complaint before the Office of the Ombudsman for alleged violations of the coal moratorium in favor of a power firm where he previously served as a board member. He also faces administrative charges for grave misconduct and conduct prejudicial to the best interest of the service under Republic Act No. 3019 or the Anti-Graft and Corrupt Practices Act.

Meanwhile, Loyzaga’s name was linked to a land dispute involving the Yulo King Ranch (YKR) in Palawan. She was accused of involvement in alleged land grabbing over 40,000 hectares of forests and ancestral domains in Coron and Busuanga. She has denied the allegations, asserting that her family does not own such land.

MBC stunned

The Cabinet shakeup drew mixed reactions from the business community.

The Makati Business Club expressed surprise over the replacement of Loyzaga with Lotilla.

“The Makati Business Club is surprised by the replacement of DENR Secretary Ma. Antonia Loyzaga with DoE Sec. Raphael Lotilla. We had considered both to be excellently qualified for their respective positions, and thought they were doing a good job,” said MBC Executive Director Apa Ongpin in a message to DAILY TRIBUNE.

“But nothing to suggest he is the best candidate for DENR. Loyzaga, meanwhile, had spent a lot of her career on environmental issues, and the private sector respected her firm stances regarding Manila Bay reclamation and the Masungi issue. However, this cabinet shuffle is the prerogative of the President, and we defer to his judgment on this,” he added.

The Philippine Chamber of Commerce and Industry (PCCI), on the other hand, welcomed the retention of the administration’s economic managers, calling it a positive signal of continuity and stability.

“Their retention signals commitment to the continuity of reforms and stability in governance, and boosts confidence in the administration,” said PCCI president Enunina Mangio in a Viber message.

Regarding Lotilla, Mangio said he had shown integrity and competence during his tenure at the DOE.

"His stint at the DoE was characterized by his commitment to accelerate the transition to clean energy while still ensuring security and affordability of electric power - the two critical components to industrial growth and economic development.  We are optimistic he will bring the same balanced perspective and pragmatic approach that considers both environmental and industrial perspectives to the DENR,” she added.