NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
o{ 
ftai'P
23 may 10 P5 :06
SENATE
Introduced by SEN. WIN GATCHALIAN
AN ACT
AMENDING REPUBLIC ACT NO. 7638 OTHERWISE KNOWN AS THE 
DEPARTMENT OF ENERGY ACT OF 1992
EXPLANATORY NOTE
There are few industries more technical in nature than the energy industry where the 
steep learning curve is overcome not only by sheer capability and knowledge but by 
experience and exposure. The Secretary, as the head of the Department of Energy (DOE) 
and Chairman or Vice-Chairman of all energy government-owned and controlled 
corporations,1 is tasked with the implementation of the overall energy policy of the 
country2 and supervision of all energy related programs, projects, and activities3 and is 
thus expected to have a deep understanding of the energy industry.
This measure seeks to remove the prohibitive provision which makes persons otherwise 
having the required knowledge and experience ineligible for appointment as Secretary of 
the DOE, while still safeguarding against conflicts of interest by mandating the (1) public 
disclosure of prior involvement or connection with any energy industry participant, the (2) 
divestment of any and all interests in any energy industry participant, and (3) termination
1 The DOE Secretary is Chairman of the Board of the following government-owned and controlled corporations (GOCCs): 
Philippine National Oil Company (PNOC), PNOC - Renewable Corporation, PNOC - Exploration Corporation. He is also the Vice- 
Chairman of the Board of the following GOCCs: National Transmission Corporation, Power Sector and Liabilities Management 
Corporation, and National Power Corporation.
2 Section 5(a) of Republic Act No. 7638.
3 Section 5(d) of Republic Act No. 7638.


of any directorship, employment, consultancy, contract of service or any connection with 
any energy participant.
This bill therefore endeavors to ensure that qualified knowledgeable and experienced 
persons are eligible to lead the DOE without conflicts of interest. Givei>tlie/oregoing, the 
immediate passage of this measure is sought.
ATCHALIAN


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES
First Regular Session
SENATE
s.B. No. 2179
of Uje
23 HAY 10 P5 *06
Rf:CE{V£D 3V
Introduced by SEN. WIN GATCHALIAN
AN ACT
AMENDING REPUBLIC ACT NO. 7638 OTHERWISE KNOWN AS THE 
DEPARTMENT OF ENERGY ACT OF 1992
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
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Section 1. Section 8 of Republic Act No. 7638 is hereby amended to read as
follows:
"SECTION 8. The Secretary. - The Secretary shall be appointed 
by the President, subject to confirmation by the Commission on 
Appointments.
[No officer, external auditor, accountant, or legal counsel of any
private-company or enterprise primarily engaged in the cner-gy
industry shall be eligible for appointment-as Secretary-within-twe
(2) years from his retirement, resignation, or separation
therefrom.]
THE SECRETARY SHALL, UPON APPOINTMENT:
A) PUBLICLY DISCLOSE THE FOLLOWING:


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(i) 
ANY DIRECTORSHIP, EMPLOYMENT, 
CONSULTANCY, CONTRACT OF SERVICE, 
CONNECTION WITH, OR PECUNIARY INTEREST 
IN ANY ENERGY INDUSTRY PARTICIPANT IN 
THE PAST FIVE (5) YEARS PRIOR TO THE 
APPOINTMENT;
(ii) 
IF A SPOUSE, PARTNER, AND ANY RELATIVE BY 
CONSANGUINITY OR AFFINITY WITHIN THE 
FOURTH CIVIL DEGREE IS A DIRECTOR, 
OFFICER, EMPLOYEE, CONSULTANT, OR HAS A 
CONTRACT OF SERVICE, ANY CONNECTION, OR 
PECUNIARY INTEREST IN ANY ENERGY 
PARTICIPANT IN THE PAST FIVE (5) YEARS 
PRIOR TO THE APPOINTMENT;
B) DIVEST, THROUGH SALE OR LEGAL DISPOSITION, 
ANY AND ALL INTERESTS IN ANY ENERGY INDUSTRY 
PARTICIPANT; AND
C) TERMINATE ANY DIRECTORSHIP, EMPLOYMENT, 
CONSULTANCY, CONTRACT OF SERVICE, OR ANY 
CONNECTION WITH ANY ENERGY INDUSTRY 
PARTICIPANT.
XXX"
Section 2. Separability Clause. - Should any provision of this Act be held 
unconstitutional, no other provision hereof shall be affected thereby.
Section 3. Effectivity. -This Act shall take effect fifteen (15) days after its 
publication in at least two (2) newspapers of general circulation.
Approved,