DOE allows LGUs to use part of energy funds in virus fight

Energy Secretary Alfonso Cusi. INQUIRER FILE PHOTO / LYN RILLON

To help local governments respond to COVID-19, the Department of Energy (DOE) has issued rules on the “targeted use” of communities’ share in electricity sales for hosting power projects. According to the DOE, the department circular signed on April 6 was intended for the effective administration, management, as well as the immediate use and implementation of the so-called Energy Regulations 1-94 (ER 1-94) Program funds.

By law, communities that host power generation projects are entitled to a share of one centavo per kilowatt-hour of electricity sold and produced from such facilities. Also, the funds are meant to finance electrification, livelihood and development projects in those communities.“For our country to effectively and efficiently ‘flatten the curve,’ we must ensure that all our local government units (LGUs) have the resources that would aid in containing, mitigating and eventually eliminating the spread of COVID-19 in their respective jurisdictions,” Energy Secretary Alfonso Cusi said in a statement.

He said the new circular covered ER 1-94 funds, which could be used by the host LGUs to manage the effects of the new virus, in accordance with the Bayanihan to Heal as

One Act.

This includes the facilitation of mass testing by providing and constructing facilities and/or acquiring proper medical testing kits to detect the coronavirus. INQ

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