GOCC for renewable energy proposed to manage Agus-Pulangi hydro

A BILL has been filed at the House of Representatives calling for the creation of a new government-owned and -controlled corporation (GOCC) specializing in renewable energy which will be tasked to run Mindanao’s largest hydroelectric power complex.

House Bill 4205 proposes to concentrate the government’s efforts to promote renewable energy in the Philippine Renewable Energy Corp., the establishment of which will involve the takeover of functions currently exercised by a unit of the Philippine National Oil Corp. (PNOC), PNOC Renewables Corp.

“It is imperative for the government to take a more active role in assuring adequate supply of electricity with the use of RE sources, thereby reducing the country’s dependence on imported fossil fuels and mitigate the impact of climate change,” Cagayan de Oro Rep. Rufus B. Rodriguez said in the bill’s explanatory note. 

The proposed GOCC will operate the Agus-Pulangi Hydroelectric Power Plant complex, effectively keeping Agus-Pulangi in government hands, contrary to the broader trend of privatization of the power industry. Mindanao business leaders favor keeping the complex in government hands because it generates cheap power for the southern island.

The bill proposes a P7 billion initial appropriation to capitalize the new GOCC. — Matthew Carl L. Montecillo