Take action on the downstream natural gas bill in the Philippines.



House Bill on Downstream Natural Gas Industry Urged by Albay Rep to be Passed by Senate

Albay Representative Joey Salceda is calling on the Senate to take action on its counterpart measure for House Bill (HB) No. 8456, which focuses on the proposed Philippine Downstream Natural Gas Industry Development Act. Salceda emphasized that passing this bill would be beneficial for the country’s energy requirements.

HB No. 8456 has been identified as a priority bill by the Legislative Executive Development Advisory Council (Ledac) and was also highlighted during a previous State of the Nation Address (Sona) by President Ferdinand Marcos Jr.

The House successfully passed HB No. 8456 on third reading last August 2, 2023. However, in the Senate, bills from Senators Raffy Tulfo and Imee Marcos are still pending at the committee level, focusing on the downstream industry.

Salceda, who chairs the House committee on ways, expressed his hope for the Senate to act on the bill promptly. He noted that there should not be significant differences between the House and Senate versions of the bill.

If HB No. 8456 is enacted without amendments, the Department of Energy (DOE) will have the responsibility of overseeing and monitoring the development of the Philippine Downstream Natural Gas Industry. The bill also outlines guidelines for extracting, storing, and utilizing natural gas, as well as establishing ownership regulations within the industry.

Salceda stressed the importance of this proposal in light of the country’s increasing energy demands and the necessity for a clean energy source. He pointed out that natural gas emits 32-40 percent less emissions compared to coal.

With Energy Secretary Raphael Lotilla declaring the frequent red and yellow alerts on the power grid as a calamity, there is a pressing need for improved power infrastructure. Salceda highlighted the role of the bill in transitioning away from coal and emphasized the importance of having a regulatory framework for natural gas utilization.

Given the lack of a clear policy on natural gas usage by the DOE, lawmakers like former speaker and Marinduque Rep. Lord Allan Velasco have also taken initiatives to promote the development of the country’s natural gas industry through legislative measures.

Leave a Reply