Secretary Delfin L. Lazaro
Department of Energy
1992 – 1994

1992

RA 7638 was signed into a law which created the Department of Energy (DOE) in order to provide Cabinet-level representations of the energy policies and programs by various government agencies. The DOE also outlined the vision of the Ramos administration for the energy industry: private sector dominated and free-market oriented.

1993

RA 7648, otherwise known as the Electric Power Crisis Act, enabled the President to enter into negotiated contracts for power plant construction and repairs based on a list of projects approved under the same law. Private power generation brought about 1,223 MW, bringing the generation capacity to almost 7,974 MW nationwide. Correspondingly, the reserve capacity deficit, which was at peak of 1,200 Mw was reduced and approached the required level of 750 Mw. The Voluntary Load Curtailment Program (VLCP) was carried out by major commercial and industrial establishments in coordination with the National Power Corporation (NPC) and the Manila Electric Company (MERALCO).

Commercial gas resources in the Camago-Malampaya field in northern Palawan of about 3 to 4 trillion cubic feet (TCF) were confirmed.

PETRON was privatized. The government retained 40 percent of the shares of stock of the company, while another 40 percent was sold to a strategic partner, the Saudi ARAMCO. The remaining 20 percent was sold through an initial public offering (IPO), thereby bringing in some 49,000 new Filipino stockholders in the company.