REM Governance

RENEWABLE ENERGY MARKET

The Philippine Renewable Energy Market (REM) is the venue for the trading of Renewable Energy Certificates (REC) equivalent to an amount of power generated from RE resources and is intended as a facility for Mandated Participants to comply with their Renewable Portfolio Standards (RPS) obligations. The RPS refers to a market-based policy that mandates electricity suppliers to source an agreed portion of their energy supply from eligible Renewable Energy (RE) resources contributing to the growth of the RE industry in the country.

The Renewable Energy Act (R. A. 9513) or the RE Act is the legislation that provides for the establishment of the REM. Pursuant to Section 8 of the RE Act, the Department of Energy (DOE) shall establish the REM and shall direct the Philippine Electricity Market Corporation (PEMC) to establish the Renewable Energy Registrar (RER) and incorporate changes to the Wholesale Electricity Spot Market (WESM) Rules for the operation of the REM under the WESM.

Furthermore, as stated in Section 4 of DC 2024-12-0031, the RER functions shall be transferred to the Independent Electricity Market Operator of the Philippines (IEMOP), effective 26 December 2024.

The objectives of the REM are to:

• Establish a fair and transparent market for the trading of RECs
• Facilitate compliance with RPS through mechanisms established under the REM Rules
• Ensure level playing field for all REM participants
• Ensure REC prices are governed as far as practicable by the fundamentals of supply and demand
• Ensure that the prices of RECs are, in the long-term, reflective of the benefits of bringing an additional MWh of RE generation into the Philippine electricity system
• Issue RECs only to actual RE generation from eligible RE generating facilities

 

REM GOVERNANCE COMMITTEE

REM operations will be supervised and monitored by the PEM Board through the REM Governance Committee (RGC). The RGC leads in the review, approval, and endorsement, through the PEM Board, of proposed rules and manuals changes to the DOE. Pursuant to DOE DC 2024-12-0031, IEMOP responsible for the provision of administrative and technical support to the RGC.

On the other hand, the other governance functions such as market audit and dispute resolution will be covered by the existing governance committees for the WESM under PEMC. PEMC’s Enforcement and Compliance Office (ECO) is responsible for the investigation of non-compliances of REM Members upon the report of the Renewable Energy Registrar (RER) of such failure to comply with any obligation in the REM Rules. The RGC also has the authority to recommend to the PEM Board the imposition of sanctions on REM Members if the breach of the REM Rules was proven.

Current Members of the REM Governance Committee

 

Independent Member

ANTERO JOSE M. CAGANDA - Chairperson
Managing Partner
Gruba Law

 

 

RE Registrar Representative

Independent Electricity Market Operator of the Philippines

 

 

Private Distribution Utility Representative

LAWRENCE S. FERNANDEZ (Principal)
Vice President & Head, Utility Economics
Manila Electric Company (MERALCO)

DENNIS S. VERALLO (Alternate)
Senior Assistant Vice President for Utility Economics
Visayan Electric Company

 

 

Electric Cooperative Representative

RENE M. FAJILAGUTAN (Principal)
General Manager
Romblon Electric Cooperative, Inc. (ROMELCO)

CRISTOPHER A. DULFO (Alternate)
General Manager
Bukidnon II Electric Cooperative, Inc. (BUSECO)

 

 

Retail Electricity Supplier Representative

JOSE ROMMEL ORILLAZA (Principal)
Operations and Technical Head
Kratos RES, Inc.

RIO INOCENCIO (Alternate)
ACEN Corporation

 

 

REM Generator Representative (5MW and above)

 

ANNE ESTORCO-MONTELIBANO (Principal)
President and Executive Director
Philippine Independent Power Producers Association, Inc. (PIPPA)

CHRISTOPHER KENNETH BALABBO (Alternate)
Head, Power Economics and Trading
First Gen Corporation

 

 

REM Generator Representative (5MW below)

MARIA THERESA CAPELLAN (Principal)
President and CEO
SunAsia Energy, Inc. and Philippine Solar and Storage Energy Alliance (PSSEA)

JOSE M. LAYUG (Alternate)

For updates on the RE Market, you may visit IEMOP's website at https://www.iemop.ph/re-market/