Two new bureaus created under energy department

The Department of Energy (DOE) will create two new bureaus pursuant to Administrative Order 38 signed by President Arroyo last Aug. 23.

Energy Secretary Vincent S. Perez said the two new agencies will be called Electric Power Industry Administration Bureau (EPIAB) and Oil Industry Administration Bureau (OIAB).

EPIAB will be tasked to supervise the restructuring of the electric power industry, with a view to establishing a competitive, market-based environment and encouraging private-sector participation.

The EPIAB will also formulate plans and programs that will ensure adequate, efficient and reliable supply of electricity as well as implement programs and strategies on rural electrification.

The OIAB will formulate and implement policies, programs and regulations on the downstream oil industry including the importation, exportation, stockpiling, storage, shipping, transportation, refining, processing, marketing and distribution of petroleum crude oils, products and by-products. It will also be tasked to strictly monitor developments in the downstream oil industry.

The functions of these two new bureaus used to be handled by the Energy Industry Administration Bureau (EIAB).

The Energy Resource Development Bureau (ERDB), Energy Utilization Management Bureau (EUMB), and the Energy Policy and Planning Bureau (EPPB) of the DOE will be retained.

The ERDB will be in charge of formulating and implementing policies, programs, regulations on the exploration, development and production of energy from indigenous petroleum, petrochemical, coal and geothermal energy resources.

The EUMB will focus on the development of new energy technologies, alternative fuels and the efficient, economical transformation, marketing and distribution of conventional and renewable energy resources.

The EPPB will serve as the main policy-making body that will develop, prepare and update an integrated national energy plan, among others.

Under new AO, there would be two new offices – Natural Gas Office (NGO) and Consumer Welfare Promotion Office (CWPO) – which will be established to exclusively concentrate on issues regarding the development of the emerging natural gas industry, consumer welfare as well as investment promotions.

The NGO will formulate and implement policies, programs and regulations on the development and promotion of natural gas, as well as undertake product and market development of natural gas. With the operation of Malampaya natural gas facility, which gave birth to this emerging industry, and the development of both the upstream and downstream natural gas activities, there is a need to have one dedicated unit in the DOE that will handle the plans, programs and policy.

The CWPO will formulate and implement policies, plans, and programs for consumer information, welfare promotion, empowerment and protection. This unit is being created to handle the formulation of policies for consumer empowerment and protection.