Tacloban: The Eastern Visayas Regional Development Council is advocating for the strategic use of energy regulation (ER) funds by host local government units in response to rising fuel prices amid tensions in the Middle East. During a recent meeting, the council's members passed a resolution urging the Department of Energy to issue a circular to rationalize the use of ER 1-94 funds.
According to Philippines News Agency, Meylene Rosales, the Department of Planning, Economy, and Development Regional Director and vice chair of the RDC, explained that the ER 1-94 facilitates the collection and distribution of funds to support development projects in energy-producing areas, fostering energy sustainability and community welfare. As of this month, these host communities have accumulated PHP3.37 million in ER funds.
Rosales stated, "Once approved, this is subject to guidelines that will be provided by the DOE, similar to what they did during the pandemic." During the Covid-19 pandemic, the DOE had issued guidelines to rationalize the utilization of ER funds by local government units in response to the public health crisis.
Rosales highlighted the urgency of the measure, noting that the current oil price crisis has led to a 42.9 percent increase in fuel pump prices in the region, with no sign of stabilization, impacting transportation and the regional economy. The proposal aligns with the Eastern Visayas Regional Development Plan 2023-2028 Midterm Update, aiming to ensure social protection and uphold the objectives of ER 1-94 to promote community welfare.
Leyte Governor Carlos Jericho Petilla, the RDC chairperson, acknowledged that while the funds available might be minimal, they could still aid local government units in addressing the crisis. "We still don't know how much we have, but whatever we have, it's going to be a very small amount compared to the problem we are facing right now," he stated, referring to the energy emergency.
Leyte's host communities, especially those with Energy Development Corporation geothermal plants, benefit financially under the DOE ER 1-94 program. As of 2026, the benefits amount to PHP0.03 per kilowatt hour sold for community-driven projects and electrification. These enhanced shares support projects tailored to each locality's needs, including livelihood development, environmental protection, healthcare, and educational initiatives. ER 1-94 is a national policy mandating energy developers to provide financial benefits to host communities.
