“This collaborative endeavor stands as an unwavering testament to our firm commitment to unity and unwavering cooperation with BARMM as we unlock the vast and untapped potential of the region.”
— President Ferdinand R. Marcos, Jr.
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MANILA — The country can ensure energy security by tapping the enormous energy potential within the Bangsamoro Autonomous Region of Muslim Mindanao (BARMM) and, at the same time, bring positive changes in the lives of the people in the region, President Ferdinand R. Marcos, Jr. (PBBM) said on Thursday.
“By harnessing the enormous energy potential within BARMM, we will reduce our reliance on external sources, mitigate the detrimental impacts of price fluctuations, and build a solid foundation for our country’s energy security,” the President said during the ceremonial signing in Malacañang of the Joint Circular Prescribing the Guidelines on the Petroleum Service Contracts (PSCs) and Coal Operating Contracts (COCs) in BARMM.
“Through the responsible and innovative utilization of abundant resources, we are determined to ignite profound and positive changes in the lives of our people, especially our sisters and brothers in the BARMM,” he said.
The President noted, however, that the partnership extends far beyond energy resource development, as he vowed to explore and seize every developmental opportunity that will empower the region’s population and enhance their quality of life.
Marcos said the guidelines’ release is timely, considering the challenges posed by the depletion of the Malampaya reservoir and volatile fossil fuel prices, which prompt the government to take decisive action to reignite petroleum exploration, and foster the development of indigenous energy resources.
“This collaborative endeavor stands as an unwavering testament to our firm commitment to unity and unwavering cooperation with BARMM as we unlock the vast and untapped potential of the region,” the President stressed.
According to the chief executive, the guidelines’ objectives are clear and resolute, and aimed at facilitating the robust growth of BARMM’s energy sector as well as attract vital investments.
“In fostering a level playing field, we create an environment that encourages local and foreign investors to actively participate in the exploration and development of the BARMM’s energy resources,” Marcos said, adding the guidelines will also promote economic growth, generate employment opportunities, and nurture businesses in the region.”
The significance of the Oil Exploration and Development Act
The guidelines will also serve as a safeguard in ensuring the strict adherence of all exploration and development activities to rigorous regulations and industry-leading best practices, he said, adding they also demonstrate the government’s commitment to responsible stewardship, ecological sustainability, and the cultivation of a vibrant energy sector.
BARMM’s Charter, the Bangsamoro Organic Law (BOL), empowers both the National and the Bangsamoro government to jointly grant rights, privileges, and concessions for the exploration, development, and utilization of uranium and fossil fuels within the BARMM.
The Oil Exploration and Development Act allows the government to indirectly undertake the exploration and production of the country’s indigenous petroleum resources through PSCs. On the other hand, the Coal Development Act also allows the government to undertake the exploration, development, and production of the country’s indigenous coal resources through COCs.
Among those who can apply for petroleum ventures are local or foreign individual, company, or group of companies forming a joint venture or consortium, organized, or authorized for the purpose of engaging in exploration and development activities.
For coal, an applicant must be an acknowledged corporation or partnership with at least 60 percent of its capital as Filipino-owned and registered in the Securities and Exchange Commission (SEC), or a cooperative authorized for engaging in coal exploration and development. | PND
Source: Presidential Communications Office (PCO)