DOE now open to proposals for coal contracts

By Lenie Lectura - October 23, 2017

https://businessmirror.com.ph/doe-now-open-to-proposals-for-coal-contracts/

THE Department of Energy (DOE) is now accepting proposals for the exploration, development and production of the country’s indigenous coal resources through coal-operating contracts (COCs) with contractors.

DOE Circular 2017-09-10 states that the DOE “desires to implement a simpler and faster public contracting program by nomination through publication to facilitate the acceptance of applications for COCs from interested applicants at any given time, which is deemed to be more responsive if the development of the country’s coal resources is to be intensified.”

This took effect on October 22.

“We can now accept application for coal-operating contracts through nomination by publication at any given time. The development of indigenous energy resources like coal will contribute to our ultimate goal of energy self-sufficiency,” DOE Head of Energy Resource Development Bureau Melita Obillo said.

As such, the agency came out with a selection process in the awarding of COCs and the creation of a review and evaluation committee (REC).

The circular states that applicants for COC will be the ones to formally nominate the area/s of their interest for the REC consideration.

The DOE, through the REC, may publish identified coal area/s not covered by any application for nomination for the purpose of inviting interested applicants.

In case there are two or more applicants over the same area, the highest-ranked applicant who meets the legal, technical and financial requirements shall be selected.

The REC shall approve the nomination of areas of interest for publication. It will also review the legal, technical and financial capabilities of the applicants and their applications. It will also recommend the award and issuance of COC. The REC will be headed by Obillo, who will also be assisted by a technical working group.

“The DOE intends to effectively administer, supervise and regulate the implementation of awarded COCs to ensure the sustainable development of the country’s coal resources,” it said.