Deputy Speaker and Antique lone District Rep. Loren Legarda wants to tap local government’s share in the national wealth for “resilient” rural agricultural development to address the impact of climate change, natural disasters and public health crisis.
To this end, she is seeking to amend Section 294 of Republic Act No. 7160 or the Local Government Code, filing House Bill No. 7035.
In her bill’s explanatory note she said, “Threats from climate change, public health crises, and natural disasters will continue to be faced by the rural poor. A more open and flexible application of local government’s share in national wealth coming from the energy sources will help in meeting these threats and allowing resilient rural agricultural development."
Section 294 of the Local Government Code restricts the use of the proceeds from the LGUs’ share from energy sources.
Current law states that 80 percent of the proceeds derived from the development and utilization of hydrothermal, geothermal and other sources of energy shall be applied solely to lower the cost of electricity in the local government unit where such a source of energy is located.
“For an extractive industry such as coal mining, there is only so much that can be done to lower the cost of electricity short of subsidising their cost. If broadened, the funds can still be used for renewable energy options that will spur resiliency even after the depletion of the resources,” Legarda said.
HB 7035 provides that the share in national wealth of all energy utilization from extractive industries shall not be subject to the restrictions under the Local Government Code and shall instead be used for any and all rural development projects that address the threats from climate change, natural disasters. and public health crises.
These include projects that ensure food and water security, health promotion, and sufficiency of health facilities, and construction of multi-purpose evacuations centers that can also be used as activity centers for the conduct of training on green technology to address such threats.
“This representation seeks to ensure an economic stimulus package for local government hosting depletable resources that includes greening our supply chain and improving the agricultural sector for food and water security, disaster risk resiliency programs and developments and improving our health systems to ensure testing and contract tracing, and strengthening the capacity of the local government to address the peaks that may be expected after the lifting of enhanced community quarantine (ECQ) and in case of future pandemics,” Legarda said in the bill filed last June 26.