PE2: Energy efficiency in the public sector should optimize innovation in procurement and financing models
TAGUIG CITY, 21 February 2025 – Philippine Energy Efficiency Alliance (PE2) president Alexander Ablaza told management and staff of the Philippine National Oil Company (PNOC) today that scaled-up deployment of energy efficiency solutions in the government sector would certainly involve new procurement modalities and financial mechanisms. PE2 made this statement as invited resource person during PNOC’s Ignition Talk no. 14 held earlier today at the PNOC Corporate Center.
PNOC President and CEO Oliver B. Butalid led the PNOC staff in thanking PE2 for the talk and announced that energy efficiency in the public sector is fast shaping up to become one of the company three growth pillars in the short term.
Ablaza explained that, while enabling policies are in place, government energy efficiency projects (GEEPs) in support of the Government Energy Management Program (GEMP) should leverage private sector capital and know-how through direct procurement of energy service company (ESCO) performance contracts under the life-cycle-cost-based procurement modalities of the New Government Procurement Act (NGPA), public-private-partnership transactions under the Build-Operate-Transfer law and Public-Private-Partnership (PPP) laws and the joint venture agreements of government-owned and controlled corporations (GOCCs) under the NEDA Guidelines.
The PE2 president estimates that up to PHP 252 billion in private capital may be mobilized for energy efficiency improvements in public buildings and public services such as water treatment and distribution and street lighting through 2040.
Ablaza began the 45-minute talk by saying, “By the end of this talk, we should have over a hundred PNOC employees who would bring the energy efficiency imperative across more and more stakeholders and even in their households.”
On the first Friday of each month, PNOC hosts the “Ignition Talks” as a platform for employees’ professional development. Renowned speakers and leaders are invited to share their expertise and visionary perspectives on various topics. The topics aims to stimulate creative thinking amongst PNOC employees. Overall, the Ignition Talks aims to empower PNOC employees to be agents of change in the energy sector.
