DOE firming up schedule of penalties on violations of 'energy efficiency' rules
At A Glance
- The Energy Efficiency & Conservation Act promotes the prudent use of energy resources that could help bring down energy costs, pare the scale of yearly capacity additions in power projects and will also aid in the overall decarbonization target to abate the devastating impact of climate change.
The Department of Energy (DOE) is firming up processes on the filing of complaints as well as the schedule of fines and penalties that shall be meted against individuals and entities that will be violating rules prescribed under Republic Act 11245 or the Energy Efficiency and Conservation (EE&C) Act.
Prior to the enforcement of the rules, the energy department has been soliciting inputs from relevant stakeholders on the issuance of a Circular that will lay down the guidelines and procedures on the filing of administrative complaints against the violators of the law.
“The DOE will impose fines and penalties,” the agency emphasized, adding that such shall be reckoned on the provisions of the EE&C Act; and this shall be determined by the DOE’s Energy Utilization Management Bureau (DOE-EUMB) and other relevant units in the agency.
It was stipulated that the schedule of fines and penalties shall also be “periodically updated (by the DOE) every year or sooner as the need arises,” adding that “the DOE, through EUMB may issue the updated schedule of penalties which shall take effect after the public consultation and 15 days following its publication in a newspaper of general circulation.”
The propounded DOE Circular will guide all affected stakeholders on the parameters of complaint-filing and what are the corresponding procedures they will need to go through for the resolution of administrative cases being lodged against them.
The draft DOE Circular similarly stated that it “may motu proprio initiate an action or inquiry against any person or entity…upon receipt of a verified complaint from an interested party, upon endorsement by the EUMB, or upon referral by the concerned agency.”
And when specific violation of the law is established, the energy department is likewise empowered to issue a show cause order (SCO) – that may be done either by the DOE-EUMB Director, field offices, the monitoring team of the department or the Director of the Legal Services of the DOE.
“The show cause order should clearly state the specific provision of law or regulation violated by the respondent and direct the respondent to submit a written explanation/answer within 15 calendar days from each receipt of the order,” the department qualified.
Within the prescribed timeframe in the SCO, “the respondent shall file an answer under oath either admitting the offense/s mentioned in the show cause or denying the same citing the reason why respondent should not be penalized.”
It also rests upon the determination of the DOE if it will call for a hearing on the violation being complained about or “to impose an outright penalty based on the merits of the written explanation and other available evidence.”
The department specified that “the DOE Legal Services or authorized representative of the Secretary – in case of field offices, may conduct in-person hearings or virtual hearings at its discretion.”
The DOE further conveyed that “the administrative proceeding shall be deemed resolved upon issuance of an order or decision by the Director of the Legal Services or the authorized representative of the Secretary.”