What is a Designated Establishment?

Designated Establishments or DEs refers to a private entity in the commercial, industrial, transport, power, agriculture, public works, and other sectors identified as energy intensive industries.

The Classification for designated establishment shall be based on the annual energy consumption threshold express in kWh equivalent (for this purpose DOE will use kWhe) as the standard unit of energy. During normal business operation, industrial, commercial and transport establishments may be using a mixed source of energy, and therefore all of these energy sources will be converted and expressed into only one standard unit of energy which is kWhe.

The classification on DEs shall be based on the following thresholds:

Classification of Designated Establishments Annual Energy Consumption
threshold for the Previous Year

Other Designated
100,000 kWh but less than
500,000 kWh

Type 1 Designated
500,001 kWh to 4,000,000 kWh

Type 2 Designated
 More than 4,000,001 kWh
and higher