WHEREAS, Section 2 of Republic Act No. 7638 or the "Department of Energy (DOE) Act of 1992" states that it is the policy of the State to ensure a continuous, adequate, reliable, and economic supply of energy through, among others judicious conservation, renewal, and efficient utilization of energy, to keep pace with the country's growth and economic development;

WHEREAS, Section 3 of the Republic Act No. 11285 or the “Energy Efficiency and Conservation Act” (EEC Act) mandates the establishment of a framework for introducing and institutionalizing fundamental policies on energy efficient, and conservation, including the promotion of efficient and judicious utilization of energy, increase in the utilization of energy efficiency and renewable energy technologies, and the delineation of responsibilities among various government agencies and private entities;

WHEREAS, Section 5 of EEC Act directs the DOE to initiate and maintain collaborative efforts with the business sector, particularly the commercial, industrial, transport, (CIT) and power sectors, to ensure compliance with the EEC Act and broaden and enhance their efficient and judicious utilization of energy;

WHEREAS, Section 49 of Department Circular No. DC2019-11-0014 or the “Implementing Rules and Regulations of EEC Act” (EEC-IRR) provides for the establishment of system for the assessment and certification of energy conservation officers and energy managers by relevant agencies towards raising the professional standards of those engaged in energy management;

WHEREAS, Section 54 of the EEC-IRR provides for establishment of guidelines for qualification, requirements, review, and evaluation process for Energy Auditors;

WHEREAS, Sections 63 and 66 of the EEC–IRR classifies Designated Establishments based on their respective energy consumption and provide for the obligations to conduct an energy audit, employ CECO and CEM, among others;

WHEREAS, Memorandum Circular No. MC2020-05-0001 entitled “Directing All Designated Establishments under the Commercial, Industrial and Transport Sectors to Submit Energy Consumption Reports” provided for the classification of Designated Establishments;

WHEREAS, a Call of Comments on the draft “Guidelines for the Assessment, Registration, and Certification for CECO, CEM and EA” was posted in the DOE Website on 12 June 2020 and comments were received until 29 June 2020; and

WHEREAS, the DOE conducted a Virtual Public Consultation attended by various stakeholders on 30 June 2020 on the draft “Guidelines for the Assessment, Registration, and Certification for CECO, CEM and EA”.

NOW THEREFORE, for and in consideration of the foregoing premises and pursuant to its mandate under the EEC Act and EEC-IRR, the DOE hereby orders the following:

Section 1. Title. This Department Circular shall be known as the “Certification Guidelines for CECO, CEM and EA.”

Section 2. Scope and Coverage. This Department Circular shall prescribe the guidelines on the assessment, registration, and certification of energy conservation officers, energy managers, and energy auditors covering Designated Establishments under Memorandum Circular No. MC2020-05-0001.

Section 3. Definition of Terms. As used in this Department Circular, the following terms shall be understood to mean:

3.1 “Certified Energy Conservation Officer (CECO)” refers to a professional who obtains a certification as a CECO after demonstrating high levels of experience, competence, proficiency, and ethical fitness in the energy management profession, and who shall be responsible for the supervision and maintenance of the facilities of Type 1 designated establishments for the proper management of energy consumption and such other functions deemed necessary for the efficient and judicious utilization of energy under the EEC Act;

3.2 “Certified Energy Manager (CEM)” refers to a professional who is a graduate of a four (4) year course, who obtains a certification as a CEM after demonstrating high levels of experience, competence, proficiency, and ethical fitness in the energy management profession, and who shall be chosen by Type 2 designated establishments to plan, lead, manage, coordinate, monitor, and evaluate the implementation of sustainable energy management within their organizations; and

3.3 “Energy Auditor (EA)” refers to an individual or entity with proven credibility and competence to conduct an energy audit.

Section 4. Qualifications of CECO, CEM and EA. The minimum qualifications for registration shall be as follows:

4.1 CECO must have at least two (2) years of continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 1 Designated Establishments.

4.2 CEM must be a graduate of a four (4) year course, preferably engineering , with at least three (3) years of continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 2 Designated Establishments.

4.3 EA must have at least one (1) year of continuous experience on energy audits.

Section 5. Responsibilities of CECO and CEM. The following shall be the responsibilities of CECOs and CEMs:

5.1 Manage the energy consumption of facilities, equipment, and devices;

5.2 Administer the following:

5.2.1 Implementation and improvement of energy efficiency measures;

5.2.2 Conduct of regular energy audit;

5.2.3 Energy monitoring and control; and

5.2.4 Preparation and regular review of periodic energy consumption and energy conservation program reports; and

5.3 Such other responsibilities under the EEC Act, EEC-IRR and this Department Circular.

Section 6. Responsibilities of EA. The following shall be the responsibilities for EAs:

6.1 Conduct energy audits to determine ways to optimize energy performance of Designated Establishments

6.2 Provide technical report to CECO and CEM; and

6.3 Such other responsibilities under the EEC Act, EEC-IRR and this Department Circular.

Section 7. Registration of CECO, CEM and EA. Towards raising the professional standards of those engaged in energy management, the following are required to register with the DOE - Energy Utilization Management Bureau (EUMB):

7.1 For CECOs, the registration shall be accompanied with a copy of Philippine Regulatory Commission (PRC) license (when applicable), and document/s that would provide proof on continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 1 Designated Establishments.

7.2 For CEMs, the registration shall be accompanied with a copy of Philippine Regulatory Commission (PRC) license or copy of the diploma for a four (4) year course or its equivalent, as the case may be, and document/s that would provide proof on continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 2 Designated Establishments.

7.3 For EA, the registration shall be accompanied by document/s that would provide proof on experience on energy audits.

7.4 Registrations made pursuant to Section 49 of the EEC IRR and IV. of Memorandum Circular No. MC2020-05-0001 is also deemed compliance under this Department Circular.

7.5 The streamlined registration guidelines shall be issued by the DOE – EUMB within sixty (60) days from the effectivity of this Department Circular.

Section 8. Certification of ECO, EM and EA. Consistent with Sections 49 and 54 of the EEC-IRR, the development of the certification system shall be issued within three (3) years from the effectivity of this Department Circular.

8.1 The DOE and the Technical Education and Skills Development (TESDA) shall develop the training module for the CECO certification system based on an approved scope of practice, a set of competency standards with a clear assessment and certification process, and a certification for the determined competency undertaken by the prescribed governance structure and quality assurance systems and aligned with the Philippine Qualifications Framework (PQF) and applicable international standards. Guidelines will be developed by TESDA in coordination with DOE on the training, assessment, and certification of workers for PQF qualification levels 1 to 5 and registration of Technical-Vocational Education and Training programs including that of nonprofit organizations and other private training institutions.

8.2 The DOE in consultation with relevant stakeholders shall develop a CEM certification and assessment system for licensed engineers which shall be a certificate program for energy managers on energy management to ensure availability of competencies and skills required to promote and achieve the country’s sustainable energy goals.

8.3 The DOE and the Technical Education and Skills Development (TESDA) shall develop the EA certification which includes qualification requirements, review and evaluation process.

8.4 Subject to Section 9 of this Department Circular, certification shall be granted to CECOs and CEMs upon passing the examination and assessment prescribed for CECO and/or CEM.

8.5. The DOE in consultation with the Technical Education and Skills Development (TESDA) shall issue certification to EAs upon assessment of qualification requirements, review and evaluation process.

Section 9. Continuing Qualification. As a continuing qualification, the CECO must undergo energy efficiency and conservation seminars conducted by TESDA or any third-party institutions duly approved by TESDA. Likewise, the CEM must undergo energy efficiency and conservation seminars conducted by the DOE or any third-party institution duly approved by the DOE.

Section 10. Energy Management Courses. Pursuant to Section 10 of the EEC-IRR, the DOE shall coordinate with the Commission on Higher Education (CHED) for the integration of energy management to relevant engineering courses. The DOE shall likewise work with CHED for the alignment of the requirements of the EEC Act with the development of curriculum on advanced energy and green building as mandated in Section 5 of Republic Act No. 11393 or the “Advanced Energy and Green Building Technologies Curriculum Act.”

Section 11. Prohibited Acts. A CECO, CEM or EA shall be subject to the penalties under Section 12 of this Department Circular for violation of the following:

11.1 Failure of CECOs to register with the required copy of a PRC license (when applicable) and other document/s that would provide proof on continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 1 Designated Establishments.

11.2. Failure of CEMs to register with the required copy of a PRC license (when applicable), and document/s that would provide proof on continuous hands-on experience in the installation, operation, and maintenance of energy-consuming machines and equipment in facilities with energy consumption for Type 2 Designated Establishments.

11.3 Failure of EA to register with the required document/s that would provide proof on experience on energy audits.

11.4 Failure of CECO to comply with the mandatory continuing energy efficiency and conservation and conservation seminars conducted by TESDA or any third-party institutions duly approved by TESDA.

11.5 Failure of CEM to comply with the mandatory energy efficiency and conservation seminars conducted by the DOE or any third-party institution duly approved by the DOE.

11.6 Failure to comply with issued orders of the DOE in the discharge of its enforcement powers.

Section 12. Fines and Penalties. The DOE is empowered to impose fines and penalties for any violation of the prohibited acts enumerated under Section 11 of this Department Circular. The schedule of fines and penalties is attached as Annex A of this Department Circular.

After due process, the revocation of the certification may likewise be accompanied by the blacklisting of the individual.

Section 13. Transitory Provision. Pending the issuance of the training modules and curricula, Designated Establishments are required to comply and register their CECOs and CEMs consistent with Section 7 of this Department Circular.

Upon the issuance of the training modules and curricula, the DOE shall provide for the timeline for compliance wherein registered CECO and CEM shall undergo trainings or seminars related to energy efficiency, energy conservation and/or energy management.

Section 14. Trainings and Seminars. The DOE and TESDA in parallel with the requirements under Section 8 of this Department Circular shall develop guidelines for the approval of third-party institutions for trainings or seminars in a separate issuance.

Section 15. Periodic Review. In light of the dynamic nature of the industry, the DOE shall regularly review, update and issue the necessary rules relative to the operation of the sector in consultation with the stakeholders.

Section 16. Information, Education and Communication Activities. Pursuant to Section 85 of the EEC IRR, the DOE shall develop and undertake a national awareness and advocacy program covering energy efficiency and conservation and pursue partnerships with relevant stakeholders for the appreciation of this Department Circular.

Section 17. Repealing Clause. The provisions of other circulars, orders, issuances, rules and regulations, which are inconsistent with the provisions of this Department Circular are hereby repealed, amended, modified or superseded accordingly.

Section 18. Separability Clause. If for any reason, any section or provision of this Department Circular is declared unconstitutional or invalid, such parts not affected shall remain in full force and effect.

Section 19. Effectivity. This Department Circular shall take effect fifteen (15) days following its publication in at least two (2) newspapers of general circulation. Copies of this Department Circular shall be filed with the University of the Philippines Law Center - Office of the National Administrative Register.

Issued at Energy Center, Bonifacio Global City, Taguig City.

ALFONSO G. CUSI
Secretary

Click to view file/download PDF file: DC2021-01-0001 | Annex A Schedule of Fines and Penalties

Date signed : 11 January 2021
Date of Effectivitity : 06 March 2021
Date Published : 19 February 2021
Published at : Business World and Daily Tribune