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DoE considering standard LGU power project approval process

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March 13, 2025
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DoE considering standard LGU power project approval process

THE Department of Energy (DoE) said it is seeking to standardize local government unit (LGU) ordinances for approving energy infrastructure projects.

“By implementing this standardized approach, the DoE seeks to create a more transparent regulatory environment and accelerate the development of critical energy infrastructure that supports the country’s long-term energy security and economic growth,” the DoE said in a statement on Thursday.

The DoE said it has consulted with LGUS on ways to streamline the permit process and “create a more investment-friendly environment for energy development.”

“By working closely with LGUs, we enhance regulatory transparency, improve coordination, and streamline approval processes. These efforts not only facilitate faster project implementation but also reinforce the government’s commitment to strengthening the country’s energy infrastructure and advancing sustainability initiatives,” Energy Undersecretary Sharon S. Garin said.

The DoE said Iloilo province is serving as a pilot area for the initiative due to its large number of existing and upcoming renewable energy (RE) projects.

It said that the province is positioning itself as a center for sustainable energy after passing the Iloilo Province Renewable Energy Ordinance (I-PORE) in 2022.

As the first LGU to pass such an ordinance, Iloilo has encouraged the development of renewable energy infrastructure, pushing barangays and municipalities to identify potential RE investment sites, and provided incentives under the provincial investment code.

Iloilo is currently hosting three operational renewable energy projects and is expecting 26 more.

According to the DoE, one of the most common bottlenecks in developing power projects is the “varying timelines for the issuance of permits” like the LGU Resolutions of Support, causing significant delays.

The proposed ordinance template recommends that these resolutions be issued “within a definite and transparent timeline” to ensure “a more predictable and efficient approval process.”

The DoE said that LGUs should also prioritize and allow parallel processing of applications for strategic investments in energy, as opposed to resorting to a step-by-step approval chain. They were also urged to issue provisional permits and publish and post their schedules of fees and charges. — Sheldeen Joy Talavera

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