REQUIRING THE NATIONAL POWER CORPORATION, THE NATIONAL TRANSMISSION CORPORATION AND DISTRIBUTION UTILITIES TO ENSURE ADEQUATE AND RELIABLE ELECTRIC POWER SUPPLY, AND PROMOTING ENERGY CONSERVATION DURING THE CHRISTMAS HOLIDAYS

WHEREAS, it is the policy of the state to ensure the quality, reliability, security and affordability of electric power; WHEREAS, it is the policy of the State to protect the public interest as it is affected by the services of electric utilities and other providers of electric power; WHEREAS, with the advent of the Christmas Season, it is incumbent upon the government to ensure that the holidays can be fully enjoyed by Filipinos throughout the country, by ensuring that there will be no interruptions in the delivery of electricity;

PROVIDING FOR OIL PRICE REPORTING THROUGH THE DOE ENERTEXT

WHEREAS, R.A. 8479, otherwise known as the "Downstream Oil Industry Deregulation Act of 1998", mandates the Department of Energy (DOE) to ensure a truly competitive market under a regime of fair prices and an adequate and continuous supply of environmentally-clean and high-quality petroleum products;

GUIDELINES IMPLEMENTING THE MODIFICATION OF IMPORT DUTY RATES ON CRUDE OIL AND REFINED PETROLEUM PRODUCTS AS PROVIDED UNDER EXECUTIVE ORDER NO. 336

Pursuant to Sections 6 and 7 of Executive Order (E.O.) No. 336 issued by the President of the Republic of the Philippines on 23 July 2004, the Department of Energy (DOE), in coordination with the Department of Finance (DOF), Bureau of Customs (BOC), Department of Trade and Industry (DTI), and the National Economic and Development Authority (NEDA), hereby adopts the following guidelines to implement the increase of tariff rates on imported crude oil and refined petroleum products. 1. Title - These guidelines shall be known as the "Implementing Guidelines for the Modification of Import Duty Rates on Crude Oil and Refined Petroleum Products' and shall be hereafter referred to as the "Guidelines". 2. Scope and Coverage - These Guidelines shall apply to all articles listed in Annex A of said E.O. 3. Determination of the Trigger Price The DOE shall deem that the trigger price has been reached if any of the following conditions have been met a) If there is a decrease in the monthly average price Of crude oil on a calendar basis by $1.00/bbl from the August 2004 average Dubai crude price; or b) If there is a decrease of $3.00/bbl in the average price of diesel, based on seven (7) trading days, from August 2004 average MOPS price. 4. Notification Process The DOE shall issue a certification to the DOF and BOG, copy furnished the DTI, NEDA and [lie oil importers, that the trigger level has been reached. 5. Effectivity These Guidelines shall take effect upon complete publication in two (2) newspapers of general circulation. Issued in Fort Bonifacio, City of Taguig this 25th day of August 2004. (Sgd.) VINCENT S. PEREZ Secretary