Why did the Marcos administration seemingly sideline one of its steadiest-performing agencies – the Department of Energy (DOE)? Consider the ₱3.7 trillion worth of renewable energy (RE) investments just recently reported by the Board of Investments. Was this a misjudged piece of advice to the President, or is there a powerful, unseen lobby at work? Either way, someone is playing with fire, and the entire energy sector could get burned.

As of Friday, Energy Undersecretary Sharon Garin, who holds a permanent position at the agency, has been designated officer-in-charge (OIC). However, the entire industry remains uncertain, wondering who will permanently take the helm after Secretary Popo Lotilla’s unexpected reassignment as Secretary of the Department of Environment and Natural Resources (DENR) – a political twist few anticipated.

Being the DOE chief is a demanding, often thankless job, a ‘take all the blame’ scenario. You face criticism for every blackout/brownout, electricity rate hike, disaster-induced service disruption, and even global fuel price surges. Essentially, if a lightbulb flickers or a gas pump hesitates, you’re held accountable – even if grid issues and market forces are the real culprits.

Currently, industry whispers are direct: some groups reportedly wanted the Energy Secretary removed for not fulfilling their policy wish list, potentially a power play. This is why many of the brightest minds avoid government posts, where integrity can often be seen as a liability.

What awaits the next energy secretary?

This is the industry’s current guessing game. The push for upcoming policy agendas may be more telling than the appointment itself. It will not only reveal a vision but could also hint at the key player behind the scenes. Will there be a resurgence of coal plant investments? Will it involve gas aggregation or the proposed priority market dispatch for indigenous gas? Or is there another business interest the sector has yet to discover?

For any serious government, this should be fundamental policy: energy demands significant capital and even greater trust and confidence. Investors don’t pour billions into a sector swayed by political moods. Without stability and long-term leadership, confidence collapses faster than the grid during a blackout. Once that trust is broken, attracting those investment dollars back becomes incredibly difficult.

Cutting an Energy Secretary’s tenure mid-term is undoubtedly a major misstep, a reckless move that sends shockwaves through a sector built on long-term trust, not political whims. If the President genuinely desires strong governance, real investment, job creation, and lasting economic benefits for Filipinos, he should have known better. In energy, the only words that truly matter aren’t hype or headlines, but CONTINUITY and PREDICTABILITY!

Amid the noise and controversies of the previous administration, the stark truth is this: the DOE under former Secretary Alfonso Cusi delivered tangible results because he had a full six-year term to implement policies. These included steering the ₱52-billion Mindanao-Visayas Interconnection Project, laying the groundwork for the country’s nuclear program, enforcing the coal moratorium, operationalizing the green energy auction (GEA) for RE investments, and opening the geothermal sector to full foreign ownership, among other initiatives.

Under Lotilla’s leadership, he continued the viable policies of his predecessor while also pushing forward with crucial policy moves for the energy sector. He dismantled foreign ownership restrictions for wind and solar, established policy frameworks to unlock capital flow in the offshore wind sector, finalized and signed the pivotal 123 Agreement with the US to support the country’s nuclear ambitions, scheduled multiple rounds of RE capacity auctions to solidify investment in clean energy, and commercially launched the reserve and RE certificates trading markets, to name a few.

Unfortunately, his term was abruptly cut short, leaving industry players in the dark and scrambling to anticipate the next policy shift.

ERC chair also asked to resign?

Now, this is where it gets complicated! The Office of the President, through Executive Secretary Lucas Bersamin, also sent a memorandum to the Energy Regulatory Commission (ERC) requesting its chief to be among the government officials submitting their resignation.

The ERC, currently led by Chairperson Monalisa C. Dimalanta, was granted fixed terms as mandated under the Electric Power Industry Reform Act (EPIRA). Specifically, the ERC Chair serves a fixed seven-year term, with no reappointment allowed.

Regardless of personalities, the letter and intent of EPIRA’s Section 38 (b) is this: to insulate the ERC from political influence, ensuring regulatory independence, consistency, and credibility; which is especially critical in a highly technical and capital-intensive sector like energy, as politicizing these appointments would undermine investor confidence and regulatory stability. So, the major question in the power industry right now is: Is there a shadowy force attempting to remove the ERC chair as well?

The energy sector is a playground for Philippine billionaires and a ‘hot zone’ where major foreign companies are poised to invest heavily. Therefore, the next government move regarding the DOE and ERC leadership will not only set the tone but will also determine whether the country can unlock the floodgates of investment dollars it urgently needs to improve the quality of life for its people.

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