SEVENTEENTH CONGRESS OF THE 
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REPUBLIC OF THE PHILIPPINES 
)
FIRST REGULAR SESSION 
)
SENATE
S enate Bill No. 1286
0/ til# ^rartifv
'16 
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P 2 « 8
HECtIVtO Vr.
In tro d u ced  by Sen. Win G atchalian
AN ACT
ESTABLISHING THE VIRTUAL ONE STOP SHOP 
FOR THE PURPOSE OF STREAMLINING THE PERMITTING PROCESS 
OF POWER GENERATION PROJECTS
EXPLANATORY NOTE
The Philippines aim s to transform  into a high middle income economy by 
2022 and high income one by 2040. 
This would m ean a 7% Gross 
Domestic Product (GDP) growth in the short and m edium  term ,1 which 
necessarily will be accom panied by an increased dem and for energy.
The D epartm ent of Energy’s conservative dem and forecast, assum ing a 
GDP growth of 5% and a population growth of 1.5%, places total energy 
dem and at 30,189MW by 2030, a 59.38% increase from the country’s 
current dependable capacity. 
Taking into account committed projects, 
the country still needs about 6,086 MW to meet the dem and by 2030.2
Meeting future dem and in a timely m anner is crucial because it has cost 
im pacts on the consum ers and the economy. A shortage of power supply 
will force distribution utilities to buy from the wholesale electricity spot 
m arket where spot prices can possibly shoot up, or purchase from more 
expensive technologies -  all leading to increased retail rates for the
from
1 
“Economy 
growth 
on 
target-Dominguez* 
posted 
on 
17 
November 
2016. 
Accessed 
bll|) //w.ww dill guv i)li/iiiile.\ plip/ei iiiioiiiK giuwili on uiigcl dimiiiigiiez/ on 14 December 2016.
J “forecast for power dem and raised to 30.189 M W  by Victor V. Saulon posted on 1 Septem ber 2016. 
Accessed 
from 
lltlp y/www liwol Idunlinc ru in /i uidriil pb])?!«-i tuiii-i:i uiiuuivA.lille-luierasl lui powel 
deinaiid la i^ d  lo 30189 iawiVid-1 1280 1 on 14 December 2016.


consum ers. A one hour power outage will cost the service sector and the 
industrial 
sector 
(sans 
mining, 
quarrying, 
and 
construction) 
approxim ately Php 4.49 billion pesos, with Php 3.29 billion from Luzon, 
Php 646.37 million from the Visayas, and Php 556.60 million from 
M indanao.3
As such, it is im portant to attract greenfield power generation developers 
and fast-track the construction of power plants. However, one significant 
barrier to entry of new plants is the lengthy perm itting process 
accom panied by copious docum entary requirem ents. 
To illustrate, 
getting all the required perm its before one can start building a 
hydroelectric power plant will take 1,300 days and 165 signatures from 
different governm ent agencies.
This bill seeks to address the lengthy perm itting process by (1) 
elim inating duplication, redundancy, and overlapping m andates of 
various 
governm ent 
agencies 
in 
docum entary 
subm issions 
and 
processes, (2) supplying an online platform for government agencies to 
approve applications as well as coordinate and share information, and (3) 
providing a paperless processing system  which serves as a single gateway 
for new power generation developers to access all information necessary 
to comply with requirem ents.
Given all the foregoing, the imm ediate passage of this pieasi^e is sought.
WIN g a t c h a l ia n
’ Office of Senator G atchalian (2016), Philippine Statistics Authority (2016)


15
Jennie
t r  o t ti'i' a irrrrf.u f
SEVENTEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
F irst R eg u lar Session  
)
‘16 
DEC 15 
P 2 « 8
REaiVcO BV:
SENATE
S.B. No. 128H
Introduced by SEN. WIN GATCHALIAN
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AN ACT
ESTABLISHING THE VIRTUAL ONE STOP SHOP 
FOR THE PURPOSE OF STREAMLINING THE PERMITTING PROCESS 
OF POWER GENERATION PROJECTS
t ^ 
enacted by the Senate and the House of Representatives of the
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Philippines in Congress assembled:
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SECTION 1. Title.
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Act of 2 0 1 6 .”
CHAPTER I
GENERAL PROVISIONS
-  This Act shall be known as the “Virtual One Stop Shop
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SECTION 2. D eclaration of Policy. -  It is h ereb y  d eclared  th e  policy of th e
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State to:


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a) Ensure the quality, reliability, security, and affordability of energy by 
undertaking m easures to guarantee that supply meets demand in a 
timely manner;
b) Recognize the indispensable role of the private sector in power 
generation by attracting greenfield power generation projects through 
an improved ease of doing business index, and reducing the high 
transaction 
costs 
associated 
with 
copious 
requisites 
for 
new 
developers; and
c) Deliver efficient and effective service to the public by:
1. Eliminating 
duplication, 
redundancy, 
and 
overlapping 
m andates in documentary subm issions and processes by 
supplying an online platform for government agencies to 
coordinate and share information; and
2. Providing a paperless processing system which serves as a 
single gateway for new power generation developers to access all 
information necessary to comply with requirements.
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SECTION 3. Scope. -  This Act shall apply to all new power generation projects 
throughout the country and all departm ents and agencies involved in the 
permitting process of power generation projects including but not limited to:
a) 
Securities and Exchange Commission (SEC);
b) 
Department of Finance (DOF);
c) 
Local Government Units (LGUs);
d) 
Department of Environment and Natural Resources (DENR);
e) 
Department of Energy (DOE);
f) 
National Water 
Resources Board (NWRB);
g) 
Department of Agrarian Reform (DAR);
h) 
National Commission on Indigenous Peoples (NCIP);
i) 
Civil Aviation Authority of the Philippines (CAAP);
j) 
Departm ent of Labor and Employment (DOLE);


k) 
Department of Trade and Industry (DTI);
l) 
Union of Local Authorities of the Philippines (ULAP); and
m) 
Energy Regulatory Commission (ERC).
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SECTION 4. D efinition of Term s. -  As used in this Act, the following words or 
term s shall have the following meaning, unless provided otherwise:
b) 
Virtual One Stop Shop -  refers to an online system that allows 
the single subm ission and synchronous processing of all 
required data and information, and provides a single decision­
making portal for the approval of new power generation projects;
c) 
Government Agency -  refers to the agency of the government as 
defined in Executive Order No. 292 otherwise known as the 
“Administrative Code of 1987”;
d) 
Joint Congressional Power Commission (JCPC) -  refers to the 
Commission created under Republic Act No. 9136;
e) 
Permitting Process -  refers to the comprehensive procedure 
undertaken in order to put up a power generation project which 
includes but is not limited to the registration of a corporation, 
acquisition of an operating contract, and construction of a 
power 
plant 
as 
well 
as 
all 
the 
required 
documenary 
requirements, taxes, and fees from all government agencies 
involved in such procedure;
CHAPTER II
VIRTUAL ONE STOP SHOP


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SECTION 5. C reation and E stablishm ent. -  A Virtual One Stop Shop (VOSS)
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is h ereb y  e sta b lish e d  u n d e r th e  co n tro l a n d  su p erv isio n  of the DOE.
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SECTION 6. C h aracteristics of th e V irtual One Stop Shop. -  The V OSS shall
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have th e  follow ing c h a ra c te ristic s:
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a. Recognizes the legal effect, validity, and enforceability of electronic 
docum ents subm itted for applications of power generation projects;
b. Utilizes an online payment system for all fees and taxes imposed for 
applications of power generation projects;
c. Provides a secure and accessible paperless processing system for all 
power generation developers to:
i. 
Be informed of all electronic documentary requirem ents from all 
concerned government agencies, and the corresponding fees and 
taxes and permitting process for each kind of power generation 
project,
Prepare, submit, process, and receive actions on all submitted 
electronic documentary requirements.
Monitor and inquire of the status of on-going applications for 
power generation projects, and in relation to this, ascertain the 
agency, office, bureau, and individual tasked with acting on a 
subm itted electronic document and the action or inaction on it. 
Calculate, pay, and settle all 
appropriate fees and taxes 
electronically, and
V. 
Ventilate complaints concerning inaction on subm itted electronic 
documents;
d. Provides a secure and accessible system for all government agencies 
involved in the permitting process of power generation projects to 
interoperate with respect but not limited to:
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111.
IV.


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1.
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IV.
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A unified permitting process,
Uniform tem plates for electronic documentary requirements, 
Compliance with m andated processing time as stated in each 
agency’s citizen’s charter or as imposed by the Inter-Agency 
Technical Working Group of the VOSS,
Updating 
and 
monitoring 
of 
all 
electronic 
documentary 
requirem ents for approval and clearing, and
Determining which agency, office, and bureau an on-going 
application is in, and its status there;
e. Operates as a 100% virtual storage and rules driven system built as an 
integrated shared service of government agencies involved in the 
permitting process of power generation projects; and
f. Comprises of a technology platform and an operations managem ent 
software platform for government agencies involved in the permitting 
process of power generation projects to build their defined processes and 
forms within a strict timeframe using published standards: Provided, 
That the entire system rem ains under DOE’s control and supervision.
SECTION 7. Inter-A gency T echnical W orking Group of th e VOSS. -  The
Inter-Agency Technical Working Group of the VOSS (VOSS lATWG) will be 
comprised of one (1) representative from every government agency involved in 
the permitting process of power generation projects: Provided, That LGUs shall 
be shall be represented by ULAP. Each representative m ust be knowledgeable 
in the represented agency’s role, requirements, fees and taxes, and internal 
processes with respect to power generation projects, and m ust be authorized to 
make representations for their respective agencies. The VOSS lATWG will be 
chaired by the DOE.
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SECTION 8. D utiees and R esponsibilities of th e VOSS lATWG. -  The VOSS
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lATWG is tasked with:
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a. Creating a detailed process flow of the permitting process for each kind of 
power generation project; Provided, That the detailed process flow should 
reflect, among others:
i. 
Documentary requirements, and fees and taxes from each agency, 
and
ii. 
Internal process flow which includes the offices the docum ents 
pass through, the individuals who approve them, and the 
maximum num ber of days to process these docum ents as stated in 
the citizen’s charter or as imposed by the VOSS lATWG;
b. Streamlining the detailed process flow mentioned above by:
i. 
Agreeing on and creating unified forms of electronic docum ents to 
replace existing documentary requirements.
Removing duplications and redundancies in required documents, 
and
Creating a simplified internal process flow within each agency such 
that applications with complete electronic docum ents and settled 
fees and taxes can be acted upon within fifteen (15) working days: 
Provided, That for applications with the National Commission on 
Indigenous Peoples and LGUs, the maximum time is thirty (30) 
working days;
c. Reviewing the maximum num ber of days to process documentary 
requirem ents as stated in each government agency’s citizen’s charter, 
and, should it see fit, imposing the maximum allowable num ber of days 
for processing in each government agency;
d. Ensuring the linkage of an online payment system to the streamlined 
process flow;
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e. Developing the term s of reference for the VOSS developer which will be 
chosen 
through 
public bidding under 
DOE’s Bids and Awards 
Committee;
f. Determining a reasonable processing fee for power generation developers 
who use the VOSS;
g. Meeting regularly, as determined by the DOE, until the operationalization 
of the VOSS which shall not be later than one (1) year from the effectivity 
of this Act;
h. Gathering bi-annually upon the operationalization of the VOSS to, 
among others,
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Monitor and assess the performance of the VOSS,
Determine congestion points, if any, in the existing system, and 
m echanism s to address them.
Resolve 
complaints 
from 
government 
personnel 
and 
power 
generation developers who use the system, and 
Convey information, if any, of the agency’s updated requirem ents 
and internal processes which make the current system more 
efficient, and
Prepare the annual report to the JCPC.
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IV.
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SECTION 9. D uties and R esponsibilities of th e D epartm ent of Energy. -
The VOSS will be housed in, and will be under the control and supervision of 
the Department of Energy. Towards this end, DOE shall:
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Determine all government agencies involved in the permitting process of 
power generation projects;
b. 
Convene the VOSS lATWG within two (2) m onths from the effectivity of 
this Act;
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Review and approve all acts of the VOSS lATWG;
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Prioritize the bidding out of the contract for the VOSS developer;


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e. 
Invest in the necessary infrastructure to m aintain and operate the 
VOSS, such infrastructure to include but is not limited to a virtual 
storage public data center and Quality of Service of the VOSS;
f. 
Equip DOE personnel to m aintain and operate the VOSS;
g. 
Provide the necessary training to all government agencies involved in the 
VOSS; and
h. When deemed necessary, upon consultation with the VOSS lATWG, 
update the hardware and software of the VOSS.
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SECTION 10. D uties and R esponsibilities of G overnm ent Agencies. -  All
government agencies involved in the permitting process of power generation 
projects shall:
a.
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Actively participate in the VOSS lATWG;
Cooperate and co-labor with the DOE and other government agencies 
towards the immediate operationalization of the VOSS;
Continually review internal process flows to increase efficiency and 
reduce processing time; and 
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Assign a person in charge of managing the agency’s VOSS account to 
ensure proper monitoring and updating of electronic docum ents before 
the said agency.
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CHAPTER III
PROHIBITED ACTS AND PENALTIES
SECTION 11. A dm inistrative Offenses. -  The following acts, when committed 
by a government official an d /o r employee, shall be considered administrative 
offenses:
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a. Willful refusal to participate in the VOSS;


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b. Willful acts which delay the operationalization of the VOSS; and
c. Failure to comply with the m andated processing time of applications for 
Power Generation Projects as provided in an agency’s citizen’s charter or 
as imposed by the VOSS lATWG;
SECTION 12. C onfidentiality. -  No information or any aspect of a document 
subm itted by any power generation developer shall be divulged or released to 
anyone other than an authorized person or agency.
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SECTION 13. Penalties. -  Any person found guilty of the act stated in Sec. 11 
(a), on the first offense shall be suspended from service for six (6) m onths and 
one (1) day to one (1) year without pay, and on the second offense shall be 
dismissed 
from service and shall be perpetually disqualified from re­
employment in any government agency or instrumentality.
Any person found guilty of the act stated in Sec. 11 (b), on the first 
offense shall be suspended from service for six (6) m onths and one (1) day to 
one (1) year without pay, and on the second offense shall be dismissed from 
service and shall be perpetually disqualified from re-employment in any 
government agency or instrumentality.
Any person found guilty of the act stated in Sec. 11 (c), on the first 
offense shall be reprimanded, on the second offense shall be suspended from 
service for one (1) to thirty (30) days, and on the third offense shall be 
dismissed 
from service and shall be perpetually disqualified from re­
employment in any government agency or instrumentality.
Any person found guilty of the act enum erated in Sec. 12, on the first 
offense shall be suspended from service for six (6) m onths and one (1) day to 
one (1) year without pay, and on the second offense shall be dismissed from


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service and shall be perpetually disqualified from re-employment in any
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government agency or instrum entality.
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CHAPTER IV 
GENERAL PROVISIONS
SECTION 
13. 
A ppropriations. 
-  The 
sum 
Fifty 
Million 
Pesos 
(Php 
50,000,000.00) for the initial implementation of this Act shall be taken from 
the current appropriations of the DOE. 
Thereafter, the funds necessary to 
carry out the provisions of this Act shall be included in the annual General 
Appropriations Act.
SECTION 14. O versight C om m ittee. -  Upon the effectivity of this Act, the 
JCPC established under Republic Act No. 9136 or the Electric Power Industry 
Reform Act of 2001 shall exercise oversight powers over the implementation of 
this Act.
SECTION 15. R eportorial R equirem ents. -  The DOE shall take the necessary 
m easures to ensure that the provisions of this Act are properly implemented 
and should subm it annual reports on the program implementation and fund 
utilization to the JCPC.
SECTION 16. E valuation. -  Within five (5) years after the effectivity of this Act, 
the JCPC shall conduct a systematic evaluation of the accomplishments and 
impact of this Act for purposes of determining remedial legislation.
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SECTION 17. Separability Clause. -  If for any reason, any provision of this
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Act is declared unconstitutional or invalid, the other parts or provisions hereof
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which are not affected thereby shall continue to be in full force and in effect.
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SECTION 18. Repealing Clause. -  All laws, decrees, orders, rules and 
regulations or parts thereof which are inconsisten with or contrary to the 
provisions of this Act are hereby repealed, amended or modified accordingly.
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SECTION 19. EfTectivity. -  This Act shall take effect fifteen (15) days after its
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publication in at least two (2) national newspapers of general circulation.
Approved.
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