Financial benefits from hosting power companies

The Department of Energy (DoE) has issued a circular to guide indigenous communities in accessing the financial benefits from the hosting of power generation facilities and/or energy resource development projects pursuant to the Energy Regulations (ER) 1-94 Program.

Energy Secretary Alfonso Cusi said, “The DoE recognizes the right of our tribal and indigenous communities to optimize available social development opportunities and preserve their critical role as the stewards of our energy resources, particularly where the power plants and/or the energy resource development projects are located.”

Department Circular DC2019-06-0010 prescribes the “Administrative Operating Guidelines for the Availment and Utilization of Financial Benefits by the Indigenous Cultural Communities/Indigenous Peoples (ICC/IP), pursuant to DoE Department Circular DC2018-03-0005.”

Under the circular, the National Commission on Indigenous Peoples (NCIP) endorses all legitimateICC/IP beneficiaries to the DoE within 30 days from receiving all the necessary requirements from the ICC/IP. Thereafter, the DoE will notify the concerned generation company and/or energy resource developer of the inclusion of the host ICC/IP for the remittance of their financial benefits. The policy enables the host ICC/IP to utilize the funds for the implementation of social development projects.

“The host ICC/IP’ receipt of financial benefits from power plants situated within their ancestral domain is a symbolic way to mark the 25th year of implementing ER 1-94. This arrangement with the ICC/IP further strengthens the DoE’s commitment to boost their participation, cooperation and sustained partnership in power development projects,” Cusi said.

DC2019-06-0010 was published on 12 July 2019 in widely circulated newspapers and shall take effect 15 days from date of publication.