MANILA, Philippines — Lopez-led Energy Development Corp. (EDC) has turned over P12.4 million to local government units (LGU) in Leyte hosting its geothermal plants to aid their pandemic response.
Checks were turned over to LGUs of Ormoc City and the Municipality of Kananga in Leyte, where the 726.7-megawatt (MW) Leyte Geothermal Project – the company’s biggest geothermal facility that also has the world’s largest geothermal steam field – is located.
The LGUs will still allocate a portion of the funds for their COVID-19 response and for some infrastructure projects in their respective areas.
This benefit follows the Department of Energy’s (DOE) Circular 2018-08-0021 that requires energy generation companies and/or energy resource developers to directly provide their Energy Regulations (ER) 1-94 equivalent to P0.01 per kilowatt-hour (kWh) of the total electricity sales to their host communities.
And in accordance with the DOE’s Department Circular 2020-04-0008, ER 1-94 funds can be utilized by host local government units to mitigate the effects of the COVID-19 health emergency, anchored on the Bayanihan to Heal as One Act.
The amendment intends to accelerate their socio-economic development and have more efficient utilization of funds.
For the past two years, both Ormoc City and Municipality of Kananga LGUs used the funds that they received quarterly for the construction of quarantine/isolation facilities and other initiatives during the COVID-19 pandemic such as the procurement of testing kits, personal protective equipment (PPEs), ambulances, stretchers, and other supplies.
“This strong partnership enables EDC to continue its mission of generating 100 percent renewable energy to decarbonize our country for its regenerative future,” EDC corporate relations and communications division head Allan Barcena said.
EDC’s Leyte geothermal facility supplies more than 30 percent of the country’s installed geothermal capacity.
The company is the largest pure renewable energy company in the Philippines, operating a total of 1,476.6 MW of clean and renewable energy from geothermal, wind, hydroelectric and solar.