DoE says Villar-led SIPCOR must secure new permit before resuming
VILLAR-LED S.I. Power Corp. (SIPCOR) must secure a new permit and comply with Department of Energy (DoE) requirements before it can resume operations, Energy Secretary Sharon S. Garin said. “They have to go through the process and they have to qualify and justify to us. And also, they have to clear up some issues also on what happened in Siquijor,” Ms. Garin told reporters on the sidelines of a site visit in Batangas on Thursday. She said the requirement is part of new DoE guidelines establishing an accountability policy for entities engaged in power generation. Under the rules, entities are required to operate generation facilities only with valid certifications, permits, and clearances, and to maintain continuous compliance with the conditions of these authorizations. She said violations of the guidelines could prompt the DoE to cancel a certificate of endorsement, which is a prerequisite for obtaining a provisional authority to operate (PAO). “There’s a process. First is a stern warning. Second is suspension. And if you have a third violation, then we do suggest for blacklisting or cancellation,” Ms. Garin said. SIPCOR earlier told Premiere Island Power REIT Corp. (PREIT) that the Court of Appeals (CA) had granted its petition for review and reversed an Energy Regulatory Commission (ERC) decision revoking the PAOs of its generating units. Citing the CA’s July 24 decision, SIPCOR said the court ruled that the ERC “failed to afford procedural due process in revoking the PAOs of SIPCOR’s generating units” for various reasons. SIPCOR said it has been preparing to resume operations by repairing its generating units, restoring and testing electrical systems, planning fuel purchases, renewing permits, and recruiting operations and maintenance personnel. “These measures demo
Published Aug 21, 2026 · 7:00 PMOriginal source: BusinessWorld3 reads
VILLAR-LED S.I. Power Corp. (SIPCOR) must secure a new permit and comply with Department of Energy (DoE) requirements before it can resume operations, Energy Secretary Sharon S. Garin said. “They have to go through the process and they have to qualify and justify to us. And also, they have to clear up some issues also on what happened in Siquijor,” Ms. Garin told reporters on the sidelines of a site visit in Batangas on Thursday. She said the requirement is part of new DoE guidelines establishing an accountability policy for entities engaged in power generation. Under the rules, entities are required to operate generation facilities only with valid certifications, permits, and clearances, and to maintain continuous compliance with the conditions of these authorizations. She said violations of the guidelines could prompt the DoE to cancel a certificate of endorsement, which is a prerequisite for obtaining a provisional authority to operate (PAO). “There’s a process. First is a stern warning. Second is suspension. And if you have a third violation, then we do suggest for blacklisting or cancellation,” Ms. Garin said. SIPCOR earlier told Premiere Island Power REIT Corp. (PREIT) that the Court of Appeals (CA) had granted its petition for review and reversed an Energy Regulatory Commission (ERC) decision revoking the PAOs of its generating units. Citing the CA’s July 24 decision, SIPCOR said the court ruled that the ERC “failed to afford procedural due process in revoking the PAOs of SIPCOR’s generating units” for various reasons. SIPCOR said it has been preparing to resume operations by repairing its generating units, restoring and testing electrical systems, planning fuel purchases, renewing permits, and recruiting operations and maintenance personnel. “These measures demonstrate SIPCOR’s commitment and readiness to resume operations in Siquijor,” the company said. ERC Chairman and Chief Executive Officer Francis Saturnino C. Juan earlier said the regulator would file a motion for reconsideration before the CA through the Office of the Solicitor General. “The term of SIPCOR’s provisional authority to operate had already expired. So SIPCOR cannot just resume operations without filing for its renewal or for a new provisional authority to operate or certificate of compliance,” Mr. Juan said. According to ERC data, the PAOs for SIPCOR’s diesel power plants in the municipalities of Siquijor and Lazi had lapsed by mid-March. Its Siquijor Expansion plant, whose permit expired on Aug. 5, 2025, is awaiting approval of an extension. The ERC revoked SIPCOR’s PAOs in August 2025 following consumer complaints about prolonged power outages and violations of operating regulations. SIPCOR was then Siquijor’s sole power generator. — Sheldeen Joy Talavera
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BusinessWorld
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