ENERGY POLICY AND DEVELOPMENT PROGRAM (EPDP) 2017 ENERGY POLICY AND DEVELOPMENT PROGRAM ANNUAL REPORT FISCAL YEAR 3 (OCTOBER 2016-SEPTEMBER 2017) ABOUT EPDP FOUR COMPONENTS The ENERGY POLICY AND DEVELOPMENT PROGRAM (EPDP) is a four-pronged program for research, policy development and advisory, capacity building, and communication launched in November 2014. POLICY DEVELOPMENT It aims to help strengthen RESEARCH AND ADVISORY the capacity of the Philippine government to formulate coherent Develops and uses theories, gathers evidence in the Philippines and other countries to support energy- Uses input from research to generate evidence-based and evidence-based policies and analysis and technical advice on energy policies strategies for the cost-effective related discussion and policy-making use of energy resources in order to achieve environmentally-sound energy development. EPDP’s products and services are used as input by the National Economic and Development Authority (NEDA), Department of Energy (DOE), other government agencies, the academe, and the private sector. EPDP is funded by the United States Agency for International Development CAPACITY BUILDING COMMUNICATION (USAID) and implemented by the UPecon Foundation, Inc. Conducts training, learning programs, and fora to Builds support for environmentally-sound energy increase the capacity of government, academe, development and communicates research, policies, EPDP is a research initiative that and the private sector to manage energy-related and capacity-building programs through fora, informs policy– and decision- programs and issues dialogues, online and print media making in the energy sector. It also informs private sector business strategies for cost- effective, sustainable, and broad- based growth and economic development. PROGRAM STEERING COMMITTEE Management & Research Fellows POSITION TITLES CURRENT MEMBERS FORMER MEMBERS Socioeconomic Sec. Ernesto Pernia Sec. Emmanuel Esguerra EPDP Program Director: Planning Secretary/ (July 2016 - present) (Feb. - June 2016) Dr. Majah-Leah Ravago, UP NEDA Director-General Sec. Arsenio Balisacan EPDP Program Advisor: (Chairperson) (Nov. 2014 - Jan. 2016) Dr. James Roumasset, UH EPDP Component Advisors: Department of Energy Sec. Alfonso Cusi Sec. Zenaida Monsada Prof. Ruperto Alonzo, UP (DOE) Secretary (July 2016 - present) (July 2015 - June 2016) Dr. Rolando Danao, UP Dr. Dennis Mapa, UP Sec. Carlos Jericho Petilla (Nov. 2014 - July 2015) Fellows: Dr. Raul Fabella, UP Dr. Ujjayant Chakravorty, Tufts U. USAID Mission Director Mr. Lawrence Hardy II Dr. Susan Brems Dr. Ramon Clarete, UP (Sept. 2017 - present) (Sept. 2015 - Aug. 2017) Dr. Kyle Emerick, Tufts U. Dr. Geoffrey Ducanes, UP Ms. Gloria Steele Dr. Laarni Escresa, UP (Nov. 2014 - Aug. 2015) Dr. Sarah Daway-Ducanes, UP Dr. Arlan Brucal, LSE UPecon Foundation Dr. Orville Jose Solon Dr. Ramon Clarete Dr. Karl Jandoc, UP Chairperson (May 2015 - present) (Nov. 2014 - April 2015) Dr. Romeo Balanquit, UP USAID Agreement Officer's Private Sector Mr. Romeo Bernardo Representative: Representative Mr. Gil Dy-Liacco EPDP Annual Report FY3 (October 2016 - September 2017) 5 ENERGY POLICY AND DEVELOPMENT PROGRAM (EPDP) ANNUAL REPORT 2017 5 CONTENTS Cross-Cutting Activities II. Achievements 35 Program Management Abbreviations for Fiscal Year 3 Financials 9 Executive Summary Intermediate result I: III. Key Challenges, Helped improve Constraints and 14 government capacity to 41 Opportunities 10 I. Program Description and Objectives guide energy-related policy IV. Lessons Learned and practice 43 Annex 1. Summary of Planned Intermediate result II: and Actual Activities Annex 2. Performance Increased government 46 Indicator Tracking Table in 21 capacity to undertake FY3 evidence-based policy and Annex 3. List of papers decision-making presented at the ECON 199 50 Class Conference under Dr. Ravago Intermediate result III: Annex 4: Gawad Pangulo Increased EPDP capacity to 51 certifications from the 32 share results Senate, NEDA, DOE and PCC ENERGY POLICY AND DEVELOPMENT PROGRAM MANAGEMENT COMMITTEE Dr. Majah-Leah Ravago EPDP Program Director Dr. James Roumasset EPDP Program Advisor Dr. Rolando Danao Capacity Building Advisor Prof. Ruperto Alonzo Policy Advisor Dr. Dennis Mapa Data Management Unit Head Ms. Belyn Rafael Deputy Program Director Ms. Maribel Testa Finance and Administrative Unit Head Mr. Gil Dy-Liacco USAID Agreement's Officer Representative FELLOWS Dr. Majah-Leah Ravago Dr. James Roumasset Dr. Rolando Danao Prof. Ruperto Alonzo Dr. Dennis Mapa Dr. Raul Fabella Dr. Ramon Clarete Dr. Geoffrey Ducanes Dr. Ujjayant Chakravorty Dr. Kyle Emerick Dr. Laarni Escresa Dr. Sarah Lynne Daway-Ducanes Dr. Arlan Brucal Dr. Karl Robert Jandoc PROGRAM MANAGEMENT Belyn Rafael Deputy Program Director Jane Alca Maureen Laborte Program Administrative Assistant FINANCE AND ADMINISTRATIVE UNIT Maribel Testa, CPA Finance and Administrative Unit Head Alfred David Recio, CPA Accountant Helen Santos Finance and Administrative Assistant Cristina Yoshida Finance and Admin Support Duchees Alvarez Finance and Admin Staff CAPACITY BUILDING AND POLICY COMPONENT Dr. Rolando Danao Capacity Building Advisor Jennylene Layaoen Policy and Capacity Building Associate Antoinette Santos Policy and Capacity Building Admin Assistant Vanessa Mae Pepino Policy and Capacity Building Technical Assistant RESEARCH COMPONENT J.Kathleen Magadia Research Coordinator Part-time RAs: Monica Castillo Donna Bajaro Research Assistant Shirra de Guia Renzi Frias Kenmore Espinoza Research Assistant Joshua Gapay COMMUNICATIONS COMPONENT Jean-Marie Isabelle Lau Wang Communications Associate ABBREVIATIONS AOR Agreement Officer's Representative AsLEA Asian Law and Economics Association CSP Competitive Selection Process DOE Department of Energy DTI Department of Trade and Industry EARE European Association of Environmental and Resource Economists EPDP Energy Policy and Development Program EPRT Energy Policy Research and Training ERC Energy Regulatory Commission EUMB Energy Utilization and Management Bureau EWC Energy World Corporation FY Fiscal Year GCLA Gender Collaboration, Learning and Adapting GPH Philippine Government ICSC Institute For Climate and Sustainable Cities IRR Implementing Rules and Regulations KPSPP Kalayaan Pumped Storage Power Plant LNG Liquefied Natural Gas LPG Liquefied Petroleum Gas M Million NEA National Electrification Administration NEDA National Economic and Development Authority NPC National Power Corporation ODC Other Direct Costs OVPPA Office of the Vice President for Public Affairs PCC Philippine Competition Commission PEMC Philippine Electricity Market Corporation PEP Philippine Energy Plan PERPI Philippine Energy Research and Policy Institute PES Philippine Economic Society PIDS Philippine Institute for Development Studies PITT Performance Indicator Tracking Table PMEP Performance Monitoring and Evaluation Plan PNOC-EC Philippine National Oil Company Exploration Corporation PSA Philippine Statistics Authority PSALM Power Sector Assets and Liabilities Management Corporation PSC Program Steering Committee RDMA Regional Development Mission for Asia RET Australian Renewable Energy Target SB Senate Bill TransCo National Transmission Corporation UP University of the Philippines UPSE University of the Philippines Diliman – School of Economics USAID United States Agency for International Development WESM Wholesale Electricity Spot Market WWF World Wildlife Fund ENERGY POLICY AND DEVELOPMENT PROGRAM (EPDP) ANNUAL REPORT 2017 9 EXECUTIVE SUMMARY EPDP has established itself as a reputable program --building a body of experts on energy and providing Intermediate result 2: EPDP helped increase capacity sound policy advice to its government partners based of government to undertake and sustain coherent on thorough research. Riding on the momentum and evidence-based policy and decision-making. gained in the second year of implementation, EPDP has demonstrated that it can effectively respond EPDP offered short- and long-term capacity building to the increasing demands for its service and even activities directed, respectively, to GPH officials for exceed most of its targets for fiscal year 3 (FY3), strengthened capacity and to the academe for the October 2016-September 2017. continuous supply of experts and professionals in the energy sector, which could sustain support for In FY3, EPDP increased its efforts to strengthen evidence-based policy formulation and decision by the Philippine Government’s capacity on energy by GPH. These activities include: conducting capacity building activities including trainings, lectures, policy forum and briefing; and ü Midlevel training course delivered to 12 government energy related events. The Program also continued to agencies fulfill its mandate in providing a neutral platform for the discussion of various energy issues, engaging in ü 11 EPDP lectures the process, almost a thousand energy stakeholders. ü 10 energy-related educational activities organized All these activities deepened the engagement of a (educational trips, class conferences and lectures) broad range of energy stakeholders in discussing electricity market, emerging technologies, policy ü Six (6) courses offered incorporating energy- reforms and regulations and the role of the energy related topics in two semesters sector on Philippine development. FY3 was also an ü Curriculum review ongoing, proposed courses for opportunity for EPDP to bridge research and policy the revised curriculum developed gap when it provided technical