Energy Secretary Raphael Lotilla mentioned that the Department of Energy (DOE) is seeking an increased budget allocation for the upcoming year to further develop its electrification program and conduct policy studies.
Proposed Increase in Budget for Electrification Program
Lotilla underscored the department’s relentless efforts to secure a larger budget, particularly highlighting its potential applications such as the government’s total electrification program. Under the General Appropriations Act of 2024, the DOE’s budget currently stands at P1.66 billion, primarily designated for operations, national, and regional planning and development programs.
In addition to the allocated amount, approximately P896 million is proposed to fund energy resource development programs, subject to the submission of a special budget. Lotilla acknowledged the historical financial constraints that have limited the department’s budget growth to around P2 billion.
Potential Applications of Increased Budget
He also provided a detailed outline of the additional budget’s potential uses, including expanding rooftop solar for government agencies to reduce reliance on the grid and mitigate power costs. Additionally, the budget could be used to conduct policy studies to facilitate the development of market mechanisms.
During a budget hearing in September of the previous year, Sen. Sherwin Gatchalian expressed concern over the modest DOE and Energy Regulatory Commission allocation, amounting to over P3 billion. He underscored the crucial role these agencies play in shaping the future and regulation of the energy sector.
Comparison with Budget Allocations for Other Agencies
The Department of Education received the highest budget of $7.7 billion, followed by the Department of Public Works and Highways and the Department of Health, with $6.2 billion and $3.1 billion, among other government agencies. The largest allocation from the approved P5.768 trillion national budget for 2024 was directed towards the social and economic services sectors in line with the Marcos administration’s eight-point socioeconomic agenda.