DOE Opens 2026 PCECP Pre-Determined Areas Bid Round for Coal
Date published: Feb 27 2026 10:00 AM
MEDIA RELEASE
27 February 2026
DOE Opens 2026 PCECP Pre-Determined Areas Bid Round for Coal
The Department of Energy (DOE) today, 27 February 2026, officially opened the 2026 Philippine Conventional Energy Contracting Program (PCECP) Pre-Determined Areas (PDAs) Bid Round for Coal, offering qualified companies the opportunity to undertake coal resource development in selected areas through new Coal Operating Contracts (COCs), subject to stringent legal, work program, technical, and financial evaluation.
Under the bid round, the DOE is offering three (3) PDAs comprising eighteen (18) coal blocks across three locations, covering a combined 18,000 hectares:
- Semirara Island, Caluya, Antique - ten (10) coal blocks covering 10,000 hectares
- Amulung and Iguig, Cagayan - three (3) coal blocks covering 3,000 hectares
- Benito Soliven, Naguilian, and Cauayan, Isabela - five (5) coal blocks covering 5,000 hectares
The DOE said the areas being offered align with expiring or expired COCs, enabling a transparent and competitive contracting process for the next phase of development, including the application of updated safeguards and program requirements.
In Semirara Island, the ten coal blocks are currently covered by COC No. 5, held by Semirara Mining and Power Corporation (SMPC), with a 50-year contract term set to expire in July 2027. Meanwhile, the five coal blocks in Cauayan, Benito Soliven, and Naguilian, Isabela previously covered by PNOC Exploration Corporation (PNOC EC) under COC No. 122 had a contract term that expired in December 2022. The three coal blocks in Amulung and Iguig, Cagayan, previously covered by DM Wenceslao & Associates, Inc. under COC Nos. 116 and 123, had a contract term that expired in June 2024.
During the launch, DOE Assistant Secretary Myra Fiera R. Roa outlined the key guidelines for applicants seeking a COC for development and production. These include comprehensive submissions across legal, technical, and financial documentation to ensure that only capable proponents with credible development plans and safeguards can participate.
For the proposed work program, applicants must submit a five-year work program with corresponding annual expenditures and detailed plans covering, among others:
- a development and production plan with work commitments and a geotechnical program
- health and safety program
- social development program
- environmental protection program
- emergency preparedness and resiliency program
- progressive rehabilitation and mine decommissioning program
Applicants must also provide detailed methodologies for geological and geotechnical evaluation, including the data used, coal reserves analysis and potential resources, geohazard assessments with mitigating measures, and an economic and development concept for the coal reserves. This includes project economics such as internal rate of return (IRR) and net present value (NPV), cash flow projections, and projected markets for the coal to be produced.
For technical documentation, applicants are required to submit an overview of their upstream and coal mining projects, including company experience, achievements, and track record.
For financial documentation, the guidelines set specific requirements for: (a) corporations existing for more than two (2) years; (b) newly organized corporations existing for less than two (2) years; and (c) parent companies providing guarantees for applicants with insufficient working capital. Financial guarantees of foreign companies to subsidiaries that are shareholders of the applicant are limited to their equity participation, subject to the allowable maximum forty percent (40%) foreign capitalization.
Applicants must also meet the minimum working capital requirement equivalent to 100 percent of the financial commitment for the first contract year of the proposed work program and budget and must demonstrate that capital for each PCECP application is available separately from other applied PCECP areas, renewable energy service contract applications, and existing energy service or operating contracts.
A Pre-Submission Conference will be held on 19 March 2026, to provide prospective applicants with information regarding the legal, technical, and financial documentation requirements for applying for a COC. The conference will cover guidelines for submitting COC applications as well as the policies and procedures related to the selection, evaluation, and awarding of COCs. The deadline for submitting application documents is 28 April 2026, at 11:00 AM PST. On the same day, at 1:00 PM PST, the opening of the application documents will take place.
Energy Undersecretary Alessandro Sales underscored that the bid round is part of the DOE’s disciplined approach to resource governance, anchored on transparency, technical rigor, and accountability, while ensuring that energy planning remains responsive to national requirements.
“The government’s role is to ensure that any activity involving our energy resources is undertaken transparently, competitively, and with full accountability,” Undersecretary Sales said. “By opening this PDA Bid Round, we are setting a clear bar: proponents must demonstrate sound technical capability, strong financial capacity, and a credible plan that puts safety, environmental protection, community development, and progressive rehabilitation at the center of operations. This is how we uphold responsible resource development while we continue to strengthen energy security and accelerate the long-term transition of the power sector.”
The DOE emphasized that the 2026 PCECP PDA Bid Round for Coal is governed by detailed contracting and evaluation requirements designed to protect the public interest and ensure that development proposals are backed by verifiable competence, safeguards, and financial readiness.
For further information on the bid round guidelines and application requirements, interested parties may coordinate with the DOE–Energy Resource Development Bureau through telephone numbers 8840-2254 and 8479-2900 loc 266, or email cnmd@doe.gov.ph. xxx
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