Republic of the Philippineâ ENERGY REGULATORY COMMISSION San Miguel Avenue, Pasig City

IN THE MATTER OF THE APPLICATION FOR THE APPROVAL OF THE EMERGENCY POWER SUPPLY AGREEMENT (EPSA) BETWEEN I ELECTRIC COOPERATIVE, INC. (ISELCO I) AND STRATEGIC POWER DEVT. CORP. (SPDC), WITH PRAYER FOR CONFIDENTIAL TREATMENT OF INFORMATION

ERC CASE NO. 2019 - RC

C ISABELA I ELECTRIC a COOPERATIVE, INC. (ISELCO I) AND STRATEGIC POWER

DEVT. CORP. (SPDC), -

Applicants. x------x

JOINT APPLICATION WITH PRAYER FOR CONFIDENTIAL TREATMENT OF INFORMATION

• Joint Applicants ISABELA I ELECTRIC COOPERATIVE, INC. ("ISELCO I") and STRATEGIC POWER DEVT. CORP. ("SPDC"), through their respective undersigned counsel, respectfully state that:

1. ISELCO I is a non-stock, non-profit electric cooperative duly organized and existing under the Philippine Laws, with principal office at Victoria, Alicia, Isabela. It holds a franchise to operate light and power services in the Cities of Cauayan and Santiago, and in the Municipality of Alicia, Angandanan, Cabatuan, Cordon, , Jones, Luna, Ramon, Reina Mercedes, San Agustin, San Guillermo, San Isidro, and San Mateo, all in the province of Isabela (Franchise Area). It shall also be herein referred to as the "BUYER"; 4L7 060- Joint Application (ISELCO I and SPDC) Pacie2ofl9

2. SPDC is a corporation duly organized and existing under the laws of the Republic of the , with office address at 2/F, 808 Bldg., Meralco Ave. cor. Gen. Lim St., San Antonio Village, Pasig City. It shall also be herein referred to as the "SELLER";

3. SPDC is the Independent Power Producer Administrator ("IPPA") of the 345 MW San Roque Hydroelectric Power Plant in San Roque, San Miguel, Pangasinan (the "Plant") by virtue of an IPP Administration Agreement it executed with the Power Sector Assets and Liabilities Management Corporation ("PSALM");

4. The joint Applicants may be served with the orders, notices and other processes of the Honorable Commission through their respective undersigned counsels at the addresses indicated herein;

Nature of the Application

5. The Joint Application for approval of the Emergency Power Supply Agreement ("EPSA") dated 21 February 2019 entered into by and between ISELCO I and SPDC, is being submitted to the Honorable Commission for its review and approval pursuant to Sections 25 and 45(b) of Republic Act No. 9136, otherwise known as the "Electric Power Industry Reform Act of 2001" (EPIRA), Rules 5, Section 4(e) and 11, Section 5 of its Implementing Rules and Regulations (IRR), Rule 2 0(B) of its Rules of Practice and Procedure, and other pertinent rules and regulation;

6. Pursuant to ERC Resolution No. 13, Series of 2015, entitled "A Resolution Directing All Distribution Utilities (DUs) to Conduct a Competitive Selection Process (CSP) in the Procurement of their Supply to the Captive Market" adopted on 20 October 2015, all DUs are mandated to undertake a transparent and competitive selection process before contracting for the supply of electricity in their franchise areas;

7. However, under the Department of Energy's (DOE) Department Circular No. DC2018-02-0003 (Adopting and Prescribing the Joint Application (ISELCO I and SPDC) Paqe3ofl9

Policy for the Competitive Selection Process in the Procurement by the Distribution Utilities of Power Supply Agreement for the Captive Market") adopted on 01 February 2018 ("DOE CSP Circular"), all Power Supply Agreements ("PSAs") shall be procured, through CSP, except in some instances which warrant the issuance by the DOE of a Certificate of Exemption on the conduct of CSP;

8. One of the aforesaid instances is the Negotiated Procurement of Emergency Power Supply, where the cooperation period of the PSA shall not exceed one (I) year, the rate shall not be higher than the latest ERC approved generation tariff for same or similar technology in the area. The grant of a Certificate of Exemption authorizes the DU to immediately implement the PSA, without prejudice to the evaluation and final decision of the ERC;

Statement of Facts

9. Pursuant to the aforesaid DOE CSP Circular, on 21 February 2019, ISELCO I and SPDC executed an Emergency Power Supply Agreement ("EPSA"), a copy of which is attached as Annex "P" and made an integral part hereof, which is the subject of the Joint Application;

10. The details leading to the execution of the EPSA are as follows:

ISELCO I entered into a PSA with Isabela Power Corporation ("IPC") for the supply of 19,000 kW energy starting 26 December 2018;

A Joint Application for the approval of the said PSA was filed on 29 April 2016 by ISELCO 'I and IPC with the Honorable Commission, docketed as ERC Case No. 2016- 070 RC;

The said PSA was provisionally approved by the Honorable Commission in an Order dated 08 July 2016; In a Letter of the Honorable Commission to ISELCO I and IPC dated 22 December 2016, the Honorable Commission Joint Application (ISELCO I and SPDC) Page 4 of 19

confirmed that with the grant of the provisional authority, the PSA may already be implemented and ISELCO I may already include in the computation of its generation charge the costs incurred for the supply coming from IPC, subject to the applicable Selling Rate of PhP5.90/kWh, a copy of the said Letter is hereto attached as Annex "0";

Meanwhile, the commercial operation of IPC Run-of-River 1-lydro Electric Power Plant has been moved from the expected date of 26 December 2018 to June 2020, thus, IPC would not be able to supply ISELCO I's 19,000 kW energy requirement by 26 December 2018;

ISELCO I would be compelled to source the 19,000 kW energy from other generating company to avoid exposure to the WESM where price of energy is volatile;

In light of the foregoing, ISELCO I wrote the DOE on 05 September 2018 requesting for the issuance of a Certificate of Exemption from the conduct of CSP to cover the aforesaid demand and energy requirement from IPC, a copy of the said letter is hereto attached as Annex "0-1" and made an integral part hereof;

In a Reply-letter dated 20 December 2018, the DOE approved ISELCO I's request for exemption and thus, issued a Certification that ISELCO I is exempted from the conduct of CSP and authorizing it to proceed with the negotiated procurement of emergency power supply for a cooperation period of one (1) year, copies of the DOE Reply-letter and Certification are hereto attached as Annexes "0-2" and "0-3", respectively;

Subsequently, ISELCO I negotiated with SPDC for the emergency supply of 19,000 kW starting 26 February 2019 until 25 February 2020;

The Board of Directors of ISELCO I issued Board Resolution r No. 006, Series of 2019 on 30 January 2019 approving the EPSA bet*een ISELCO I and SPDC and authorizing the Board President and General Manager to enter into and be Joint Application (ISELCO I and SPDC) Paae 5 of 19

the official signatories in, behalf of ISELCO I in the EPSA; and

In a Letter dated 28February 2019, ISELCO I informed the Honorable Commission regarding the EPSA it executed with SPDC and submitted documents pertinent thereto, a copy of which is hereto attached as Annex "04";

11. . The immediate supply from SPDC was intended to prevent power shortage/rotating brownouts in ISELCO I's Franchise Area and possible exposure of its member-consum?rs to the volatile prices of the WESM or to the higher , prices of its current supplier/s or other generators. This emergency power supply from SPDC redounds to the benefit of ISELCO I's member-consumers in terms of ensuring a stable, secure, continuous and reliable supply of electricity at a reasonable price;

12. The salient features of the EPSA are as follows:

12.1. Maximum Allowable Capacity (MAC). The SELLER shall make available to the BUYER the MAC of 19,000 kW energy requirement for the duration of the EPSA.

If the BUYER requires energy beyond the MAC, the BUYER shall inform the SELLER. The SELLER, on best efforts basis; will provide the said requirement and declare it to the Wholesale Electricity Spot Market (WESM). Any consumption of the BUYER beyond the MAC not declared by the SELLER in the WESM, shall be deemed a WESM purchase (imbalance) and shall be for the account of the BUYER.

The BUYER shall furnish the SELLER with its monthly, weekly and binding day-ahead nominations of capacity in accordance with the Bilateral Contract Quantity (BCQ) Nomination Protocol.

The SELLER guarantees supply to the BUYER, with no Replacement Power Charges, throughout the duration of the EPSA even during outages (scheduled and Joint Application (ISELCO I and SPOC) Page6of 19

forced outages) of the SELLER's source power plants, except during Force Majeure Events.

12.2 Contract Term. The supply of power under the EPSA shall commence on 26 February 2019 until 25 February 2020, or for a period of twelve (12) Billing Periods.

12.3 Power Source. 345 MW San Roque Multipurpose Hydroelectric Power Plant or from other sources including the WESM.

12.4 Contract Charges.

12.4.1 Fixed Energy Rate (FER). The SELLER shall bill the BUYER's energy consumption at an energy rate of PhP5.90/kWh, not subject to any adjustment.

12.4.2 Taxes. All applicable existing taxes, including Value Added Tax (VAT), Excise Tax and other taxes under the TRAIN Law, as well as all other future taxes (except Corporate Income Tax and Local Business Tax), that may be imposed by the government and which may be legally passed on by the SELLER to the BUYER in connection with the SELLER's performance of its obligation under the EPSA, including any increase or adjustments thereon, shall be for the account of the BUYER.

12.4.3 Other Charges. WESM Charges, transmission line loss, site specific loss adjustment, any interconnection charges, among others, shall be for the BUYER's account.

125 Discounts. When warranted, the SELLER shall provide for both Prompt Payment Discount ("PPD") Joint Application (ISELCO I and SPDC) Paqe 7 of 19

and Collection Efficiency Discount ("CED"), as follows:

a) PPD. The Buyer may avail of a PPD equivalent to one percent (1 %) of the total of the generation charges, excluding the WESM charges and net of CED, if any, provided the same is paid in full on or before the 10th day of the calendar month following the current Billing Period; provided further that the BUYER has no outstanding obligation arising from previous power bills, including VAT, if any.

The BUYER shall not automatically deduct the PPD from the payments for its current power bill. Discount for the current power bill will be made available to the BUYER in the succeeding power bill.

b) CED. The BUYER shall be entitled to the following CED provided that the BUYER has no outstanding obligation arising from previous power bills, including VAT, if any, and the BUYER shall submit a copy of its Monthly Financial and Statistical Report ("MFSR") submitted to the National Electrification Administration ("NEA"):

Collection Efficiency Levels Discount, PhP/kWh 96.00% and above 0.20

86.00% - 95.99% 0.15

76.00% - 85.99% 0.10

66.00% - 75.99% 0.05 65.99% and below None

The formula to be used for the computation of the current Billing Period's Collection Efficiency Level is as follows:

Collection for the Current Month Collection Efficiency Level = Ending Accounts Receivable, previous month Joint Application (ISELCO I and SPDC) Page 8 of 19

Rate Impact on ISELCO I's Overall Generation Rate

13. The indicative rate impact on ISELCO I's overall generation rate with and without the supply from SPDC is as follows:

BLENDED GENERATION COST WITHOUT SPDC

SUPPLIER KWH RATIVKWH - AMOUNT PURCHASED KWH Generated 141,367 4.3648 P 617,039

II KWH Purchased-SMEC(forward) 9,099,515 5.7190 - 52,039,683

III KWH Purchased-SMEC(extension) 9,390,248 7.4829 - 70,266,530

IV KWH Purchased-ISELCO-il 2,062 14.0700 - 29,012

V KWH Purchased-WESM 14,723,090 5.4918 - 80,856,774 VI

TOTAL 33,356,282 203,809,038

Generation Computation of Generation Rate: w/o SPDC

Total cost of power purchased P 203,809,038

Less: Prompt Payment Discount (7,367,138.99) (PPD) PPD Availed by BC P (7,367,139)

Less: PPD Granted to Customers - 3,683,569

Less: Recoveries from Pilferage for (114,800) the month P 200,010,669 Over the total KWH purchased for 33,356,282 the month Generation Rate for the Month (P1 5.9962 KWH)

Total Generation VAT P 19,675,020 Over the total KWH purchased for 33,356,282 the morith Generation VAT Rate for the 0.5898 Month (P1 KWH)

Total Generation Rate for the 6.5860 Month (P/KWH) BLENDED GENERATION COST WITH S1'DC KWH SUPPLIER RAT 1KWH AMOUNT PURCHASED I KWH Generated 141,367 4.3648 P 617,039

H KWH Purchased-SMEC(forward) 4,843,515 5.4800 - 26,542,581

ifi KWH Purchased-SMEC(extension) 5,134,248 7.4829 - 38,419,197

IV KWH Purchased-ISELCO-il 2,062 14.0700 - 29,012

V KWH Purchased-WESM 10,467,0901 4.0199 - 42,076,655

VI WITH SPDC 1 12,768,000 5.9000 - 75,331,200 TOTAL 33,356,2821 1 1 183,015,685 Joint Application (ISELCO I and SPDC) Pacie 9 of 19

Generation Computation of Generation Rate: w/ SPDC

Total cost of power purchased P 183,015,685

Less: Prompt Payment Discount (7,251,317.94) (PPD) PPD Availed by EC P (7,251,318)

Less: PPD Granted to Customers - 3,625,659 Less: Recoveries from Pilferage for -114,800 the month

P 179,275,226 Over the total KWH purchased for 33,356,282 the month Generation Rate for the Month (P/ 5.3746 KW}

Total Generation VAT P 10,399,807.39 Over the total KWH purchased for 33,356,282 the month Generation VAT Rate for the 0.3118 Month (P/KWH)

Total Generation Rate for the 5.6863 Month (P/KWH)

*The above rate impact computation shows that the proposed P5.9/kwh offer from SPDC will decrease the existing Average Generation Rate by P 0.89971kWh.

14. Environmental Compliance Certificate (ECC). On 26 November 1985, the Department of Environment and Natural Resources (DENR) has issued an ECC in favor of SPDC;

15. Board of Investments (BOl) Certificate. On 26 January 2011, the Power Plant Project was registered with the BOT which issued Certificate of Registration No. 2011-025;

16. Certificate of Compliance (COC). On 11 August 2014, the Honorable Commission issued a COC with COC No. 14-08- GN 1-0064L to SPDC for its 345 MW San Roque Multipurpose Hydroelectric Power Plant, for a term of five (5) years or until 17 August 2019; Joint Application (ISELCO I and SPDC) Paae 10 of 19

Compliance with the Pre-filing Requirements

17. Copies of the following documents and/or information are attached to the Joint Application as annexes and made integral parts hereof:

Annex Documents/Information "A" Articles of Incorporation and By-Laws of ISELCO I. "B" Board of Directors of ISELCO I. "C" Articles of Incorporation and By-Laws of SPDC. "D" Certification Stating the Applicability or Non- applicability of a Shareholders' Agreement of SPDC. "E" Certificate of Incorporation issued by the Securities and Exchange Commission ("SEC").

"E-l" Certificate of Filing of Amended By-Laws issued by _____ SEC. "F" Latest General Information Sheet (GIS) of SPDC. "G" Corporate Structure of SMC Global Power and its subsidiaries. "H" BOI Certificate of Registration of SPDC. "I" ECC issued by the DENR to the 345 MW San Roque Multipurpose Hydroelectric Power Plant of SPDC. "J" COC issued by the Energy Regulatory Commission (ERC) in favor of SPDC. "K" Certification on the Non-Applicability of a Renewable Energy Service/Operating Contract and Certificate of Registration or Certificate of Commerciality by an RE Developer from the Department of Energy. (DOE); and

Certification stating the Consistency/Inconsistency of the San Roque Multi-purpose Hydroelectric Power Plant with the DOE's Philippine Development Plan (PDP) or Certificate of ______Endorsement (C0E). "L" Demand Side Management (DSM) Program of ISELCO I. "M" Explanation on the Non-Applicability of the National Power Corporation (NPC) Certification in relation to the Transition Supply Contract (TSC) by ______ISELCO I. Joint Application (ISELCO I and SPDC) Paqe 11 of 19

"N" Historical and Forecasted Supply and Demand and Scenario, and Daily Load Curve of ISELCO I. Series Competitive Selection Process (CSP) Documents of ISELCO I:

"0" ERC Letter to ISELCO I and IPC dated 22 December 2016.

"04" ISELCO I's Letter to the DOE dated 05 September 2018.

"0-2" DOE Reply-letter to ISELCO I and Certification both dated 20 December 2018.

"0-3" ISELCO I Board Resolution No. 006, Series of 2019.

"04" ISELCO I's Letter to ERC dated 28 February 2019. EPSA dated 21 February 2019 entered into by and between ISELCOIand SPDC. Transmission Service Agreement between NGCP and SPDC.

Transmission / Grid Connection Projects of SPDC "R" Executive Summary of the ISELCO I and SPDC PSA. Cost-based Calculation of SPDC's True Cost Generation Rate ("TCGR") including all cost analysis related to the pricing provisions in the contract such as the operating expenses. (Confidential)

"S-i" The Strategic Power Devt. Corp. as an IPPA Project "T" Schedule "I" of the IPPA Agreement between PSALM and SPDC. (Confidential) "U" Rate Impact Analysis of ISELCO I. "V" Explanation on the Non-applicability of Fuel Procurement Process of SPDC. "W" Relevant technical and economic characteristics of the generation capacity, installed capacity, mode of operation, dependable capacity, scheduled outage allowance, major maintenance outage, and forced outage_allowance_of SPDC. Joint Application (ISELCO I and SPDC) Paqe 12 of 19

"X" Latest Audited Financial Statements (AFS), Balance Sheet, Income Statement, and Statement of Cash Flows of SPDC.

"X-1" Certification on the Non-applicability of the Net Heat Rate in Liters per kWh from the engine manufacturer of SPDC.

"X-2" Explanation on the non-applicability of Potential Cost of Ancillary Services to SPDC.

"X-3" Explanation of the non-applicability of the MEOT provision on the SPDC EPSA.

"X4" Water Permit from the National Water Resources Board issued to San Roque Hydroelectric Power Plant "Y" Proof of Service to the San ggunian Panibayan of Alicia and and the San ggunian Panlalawigan of Isabela, of copies Series of the Joint Application including its annexes. Affidavit of Publication and complete issue of the and newspaper where the Joint Application was Series published. Proof of Service to the Sangguniang Panlungsod of Pasig City, of copies of the Joint Application including annexes. Additional Documentary Requirements in relation and to the 16 October 2018 letter of the ERC directing the Series Distribution Utilities to submit the following:

- List of power suppliers per month from January 2015 to September 2018.

- Annual historical and forecasted demand- supply scenario from years 2009 to 2028.

- Approved generation charges.

- Average daily load curve per month from January_2018_to_September_2018. "CC" Board Resolution no. 050s.-2019 dated 21 March 2019, duly signed by Dir. Eduardo S. Bayani, Board Secretary of ISELCO I and attested by Dir. Presley C. De Jesus, Board President, on authorizing the filing of Emergency Power Supply Agreement between Joint Application (ISELCO I and SPDC) Pacie 13 of 19

ISELCO I and SPDC before the Honorable Commission. "DD" Secretary Certificate on the:

a) authorized personnel of SPDC to sign and deliver contracts, agreements, instruments and/or securities; and

b) the authority of the authorized representatives of SPDC to appoint and designate representative to prosecute, defend, arbitrate, settle and/or collect in behalf of the company.

18. Furthermore, the Joint Application is consistent and in (1st) ) accordance with the first and fifth (5th "Whereas clauses" of the DOE Circular No. 2003-12-11 which are quoted hereunder:

"WHEREAS, Section 2 of Republic Act No. 9136, also known as the Electric Power Industry Reform Act of 2001 or EPIRA, declared as a policy of the State, among others, [to ensure the civalitv, reliability, security and affordability of the suvvlv of electric power;" (first "whereas clause", Department of Energy Circular No. 2003-12-11. Underscoring supplied.)

"WHEREAS, pursuant to Section 23 of EPIRA, all distribution utilities, as defined in the law, SHALL HAVE THE OBLIGATION TO SUPPLY ELECTRICITY IN THE LEAST COST MANNER TO ITS CAPTIVE MARKET subject to the collection of retail rate duly approved by the Energy Regulatory Commission;" (fifth "whereas clause", ibid. Underscoring supplied.)

19. The Joint Application is, likewise, consistent with Section 1 of the same Department Circular which declares as State policy, that: Joint Application (ISELCO I and SPDC) Page 14 of 19

"All distribution utilities must henceforth take cognizance and assume full responsibility to forecast, assure and contract for the supply of electric power in the respective franchise areas to meet their obligations as a distribution utility." (Underscoring supplied.) -

20. By way of emphasis, Resolution No. 21, Series of 2005 of the Honorable Commission dated 19 October 2005 had directed all Distribution Utilities (DU5) "to enter into future bilateral power supply contract with power producers to be subjected to a review by the Commission." (Underscoring supplied.)

21. The EPSA with SPDC was made to ensure the continuous supply of power to ISELCO I and due to the former's competitive pricing structure and other favorable terms of its contract, which will redound to the benefit of the latter and its end-consumers in terms of reliable and affordable. power supply;

Allegations in Support of the Confidential Treatment of Annex "5" and Annex "T"

22. Rule 4 of the Honorable Commission's Rules of Practice and Procedure provides that ISELCO I and SPDC may request that information may not be disclosed;

23. SPDC prays for the confidential treatment of the information contained in the following annexes, and not disclosed except to the officers and staff of the Honorable Commission:

Annex Documents and/or Information "5" Cost-based calculation of SPDC's True Cost Generation Rate ("TCGR") including all cost analysis related to the pricing provisions in the contract such as the operating expenses. (Confidential) Joint Application (ISELCO I and SPDC) Paqe 15 of 19

Schedule "I" of the IPPA Agreement between PSALM and SPDC. (Confidential)

24. Annex "S" and Annex "T" contains the details of the power rate calculations and financial model of SPDC as well as the manner by which these were derived. These information is prOprietary in nature and should be protected as trade secrets as contemplated by law and jurisprudence. In the case of Air Philippines Corporation vs. Pennswell, Inc.', the Supreme Court defined a trade secret, as follows:

"A trade secret may consist of any formula, pattern, device, or compilation of information that: (1) is used in one's business; and (2) gives the employer an opportunity to obtain an advantage over competitors who do not possess the information. Generally, a trade secret is a process Or device intended for continuous use in the operation of the business, for example, a machine or formula, but can be a price list or catalogue or specialized customer list. It is indubitable that trade secrets constitute proprietary rights. The inventor, discoverer, or possessor of a trade secret or similar innovation has rights therein which may be treated as property, and ordinarily an injunction will be granted to prevent the disclosure of the trade secret by one who obtained the information "in confidence" or through a "confidential relationship". American jurisprudence has utilized the following factors to determine if an information is a trade secret, to wit:

(1) the extent to which the information is known outside of the employer's business;

(2) the extent to which the information is known by employees and others involved in the business;

G.R. No. 172835, December 13, 2007

Joint Application (ISELCO I and SPDC) Page 16 of 19

(3) the extent of measures taken by the employer to guard the secrecy of the information;

(4) the value of the information to the employer and to competitors;

(5) the amount of effort or money expended by the company in developing the information; and

(6) the extent to which the information could be easily or readily obtained through an independent source." (citations omitted, emphasis supplied)

25. The interest of the consuming public is sufficiently • protected by the review and evaluation of the rates under the PSA by the Honorable Commission, without the need to disclose the contents of Annex "S". The reasonableness and transparency of the prices of electricity is to be assured by the Honorable Commission through its own review and verification of SPDC's operating costs and expenses;

26. More importantly, competitors of SPDC, should they obtain the information in Annex "5" and Annex "T", will gain undue advantage thereon and have the opportunity to use the same in their operations. The negotiating power of SPDC with parties it plans to contract with or who it is • currently doing business with, will clearly be thwarted if it is compelled to disclose such information.

27. Accordingly, ISELCO 1 and SPDC submit one (1) copy of Annex "5" and Annex "T", in a sealed envelope, with the said envelope and each page of the documents and/or information stamped with the word 'Confldential". Joint Application (ISELCO I and SPDC) Paqe 17 of 19

Prayer

WHEREFORE, the foregoing premises considered, the Joint Applicants ISABELA I ELECTRIC COOPERATIVE, INC. (ISELCO I) and STRATEGIC POWER DEVT. CORP. (SPDC) most respectfully pray that after due notice and hearing, the Honorable Commission:

ISSUE an Order treating Annex "5" and Annex "T" and all the information contained therein as CONFIDENTIAL, and in this regard, a) direct their non-disclosure to persons other than the Honorable Commission, its officers and staff; b) continuously protect the said information from public disclosure by maintaining the same separate and apart from the records of the case, and c) ensure that Annex "5" and Annex "T" and all the information contained therein are not divulged to unauthorized persons pursuant to Rule 4 of its Rules of Practice and Procedure; and

2. ISSUE a Decision approving the Joint Application and the EPSA between ISELCO I and SPDC, and authorizing ISELCO I to charge and collect the fees therein from its member-consumers; and

Other reliefs just and equitable under the premises are, likewise, prayed for.

Mandaluyong City for Pasig City, 04 April 2019. Joint Application (ISELCO I and SPDC) Paae 19 of 20

Isabela I Electric Cooperative, Inc. (ISELCO I)

By:

DECHAVEZ LERIOS-AMBOY AND EVANGELISTA LAW OFFICES2 Unit 2008, Tycoon Centre Pearl Drive, Ortigas Center, Pasig City 1605 Tel. Nos. 9101587/6387806

JEfl$IAH D. FRANCISCO ,bJof Attorneys No. 62302 PTR Nq241598, January 22, 2019, Pasig City IBP Lifetime Member Roll No. 018969, February 14, 2018 MCLE Compliance No. VI - 0017800 - February 13, 2019

2 Pursuant to Office of the Court Administrator Circular No. 56-2015, hereunder are the MCLE Compliance Numbers of the undersigned Firm's name partners, to wit: Partners MCLE Compliance No. Date of Issuance Joseph Ferdinand M. Dechavez Certification No. 000893 Sept. 18, 2018 Ditas A. Lerios-Amboy Certification No. VI-0022789 March 29, 2019 Nelson V. Evangelista I Certification on process Joint Application (ISELCO I and SPDC) Paae 19 of 19

Strategic Power Devt. Corp. (SPDC)

By:

JUPITER7fr€'ABAGUIO 23rd Floor, San Miguel Properties Centre, No. 7 St. Francis Street, Mandaluyong City Telephone No. (02) 702-4512 / [email protected] PTR No. 3823276 / 4 January 2019 / Mandaluyong City IBP No. 06372./ Lifetime / Makati City MCLE Compliance No. VI-0015891/ 13 December 2018 Roll No. 47112

)O III 23rd Floor, San Miguel Properties Centre, No. 7 St. Francis Street, Mandaluyong City Telephone No. (02) 702-4509 / [email protected] PTR No. 3823277 / 4 January 2019 / Mandaluyong City IBP No. 010380 / Lifetime / PPLM MCLE Compliance No. VI-0011960 / 3 September 2018 Roll No. 54500 VERIFICATION AND CERTIFICATION OF NON-FORUM SHOPPING

I, Elenita D. Go, of legal age, Filipino and with office address at the 191h Floor, San Miguel Properties Centre, No. 7 St. Francis Street, Mandaluyong City, after having been duly sworn to in accordance with law, hereby depose and state, that:

1. I am the authorized representative and General Manager of Strategic Power Devt. Corp. ("SPDC") and have caused the preparation and filing of this Joint Application;

2. I have read and understood the contents thereof and all the allegations contained therein which are true and correct to the best of my personal knowledge and based on authentic and official records; and

3. I further certify that I have not filed any action involving the same issues in the Supreme Court, Court of Appeals, or any other courts or tribunals. If ever there is a case pending before the said courts or tribunals involving the same issues, I undertake to inform the Honorable Con -iniission of such fact within five (5) days from knowledge thereof.

IN WITNESS WHEREOF, I have hereunto affixed my sgnature this APR 082019 at Mandaluyong City, Philippines /

JITA D. GO Affiant

SUBSCRIBED AND SWORN to before me this APR U 82019 at Mandaluyong City. Affiant personally appeared and exhibited to me her Philippine Passport with No. EC7991445 issued on 10 June 2016 at the Department of Foreign Affairs (DFA), NCR East as her competent proof of identity.

Doc.No. PageNo. c iOut Book No. S Appoibneflt No. O47O18 Nobzy Ptd4 for Mandalnyong City Series of 2019. Until UecembeT 31.2019 N0.155 EDSA. Brgy4lack.Wacic MandalnyOns City Roll No, 57163 FIR 14o. 3823278; 01/04/2019; Mandaluyoflg city laP Ufetixne Member No, 012280; 6/17/14; Quaon City Chapter MCI.E Compliance No. V1416980; 12/22/2018; Pasig City 1.

Republic of the Philippines)

Province of Isabela ) 5.5.

VERIFICATION AND CERTIFICATION OF NON-FORUM SHOPPING

I, ENGR. VIRGILIO L. MONTANO, of legal age, Filipino and with office address at the main office of the Isabela I Electric Cooperative, Inc. (ISELCO I) Victoria, Alicia, Isabela, after having sworn to according to law, depose and state that:

2. I am the General Manager of the Isabela I Electric Cooperative, Inc. (ISELCO I), duly authorized to represent the cooperative in filing the instant application, copy of the corresponding Board Resolution is attached hereto and made integral part hereof;

2. I cause the preparation and filing of the foregoing application; have read the allegations contained therein, and certify that the same are true and correct based on my personal knowledge and on authentic records;

3. ISELCO I has not heretofore commenced any other action or proceedings involving the same issues and parties before any court, tribunal or quasi-judicial agency; to the best of my knowledge no such action or proceeding is pending, and if I should learn that the same or similar action or proceeding has been filed or is pending, I undertake to report such fact to this Honorable Commission, within five (5) days therefrom.

Further, affiant sayeth naught.

ffiant

SUBSCRIBED AND SWORN to before me in Echague, Isabela this 8th day of April 2019 affiant exhibiting to me his SSS I.D. bearing No.0104144037. 4 Doc. No. I AttY,E&A\AkkflA Page No. h NOTARY PUEXJC until DECEMBER *1, 2019 Book No. NC No. BR-24-2018-2 PTR No. 10606901 Series of 2019 Issued at ECHAGUE, ISABELA Issued on JANUARY 3,2019 tiCLE Compliance No. V-0014494