GUIDELINES FOR THE ACCREDITATION OF MANUFACTURERS, FABRICATORS AND SUPPLIERS OF LOCALLY-PRODUCED RENEWABLE ENERGY EQUIPMENT AND COMPONENTS

WHEREAS, Republic Act No. 9513, otherwise known as
the “Renewable Energy Act of 2008” (Act) provides that it is the policy
of the State to increase the utilization of renewable energy resources
such as, but not limited to, biomass, solar, wind, hydropower,
geothermal, and ocean energy sources, and including hybrid system by
institutionalizing the development of national and local capabilities in
the use of renewable energy systems, and promoting its efficient and
cost-effective commercial application by providing fiscal incentives;

WHEREAS, the Implementing Rules and Regulations
(IRR) of the Act mandates the Department of Energy (DOE) to provide the
guidelines for the accreditation of manufacturers, fabricators and
suppliers of locally-produced RE equipment and components for purposes
of availment of fiscal incentives;

NOW, THEREFORE, in consideration of the foregoing premises, the DOE hereby issues the following guidelines:

SECTION 1. Title. – This Circular shall be known as the
“Guidelines for the Accreditation of Manufacturers, Fabricators and
Suppliers of Locally-Produced Renewable Energy Equipment and
Components.”

SEC. 2. Scope. – This Circular shall govern the
registration of renewable energy (RE) manufacturers, fabricators and
suppliers of locally-produced RE equipment and components and the
issuance of Certificate of Accreditation for the availment of incentives
under the Act.

SEC. 3. Incentives for Manufacturers, Fabricators and Suppliers.
– Without prejudice to any other requirements as may be imposed by
other agencies tasked with the administration of incentives under the
Act, all existing and new manufacturers, fabricators and suppliers of
locally-produced RE equipment, parts and components shall be required to
obtain an accreditation with the DOE through Renewable Energy
Management Bureau (REMB) in order to enjoy any of the incentives as
provided for under Section 21 of the Act.

SEC. 4. Who May Apply. – Any person,
natural or juridical, registered and/or authorized to operate in the
Philippines under existing Philippine laws and engaged in the
manufacture, fabrication and supply of locally-produced RE equipment and
components may apply for accreditation with the REMB.

SEC. 5. Application Requirements. – All applications for
DOE Certificate of Accreditation shall be made in writing and must be
verified. The applicant must submit the following documents:

a. Letter of Application addressed to REMB Director;

b. Company Profile or Business Background – must show proof of
good standing, i.e., demonstrate full compliance with the pertinent
rules and regulations governing the applicant’s business;

c. A copy of Articles of Incorporation from the Securities and
Exchange Commission (SEC) or a Certificate of Registration from
Department of Trade and Industry (DTI) for single proprietorship;

d. Nature and Scope of RE activities (RE manufacturing,
fabricating, and/or supplying of locally-produced RE machineries,
equipment, components and parts);

e. Appropriate Business Permit in the name of the Company or
proprietor – that it must be actively engaged in the business involving
similar activities applied for accreditation, including certified copy
of Bureau of Internal Revenue (BIR) Registration;

f. Proof of technical, financial and physical or logistical
capabilities to handle RE equipment, machinery, components and parts
appropriate and commensurate to the scope of activity applied for
accreditation;

g. Track record, if applicable; and

h. Such other documents as may be required by the REMB.

SEC. 6. Processing and Approval of Application.
– The application for accreditation shall be granted by the DOE upon
evaluation that the applicant has complied with all the requirements
specified above. The processing period for any application for
accreditation shall be within thirty (30) days from the date of
submission of complete requirements to the REMB. No application for
accreditation shall be accepted without due payment of application and
processing fees.

In case of incomplete application requirements, the REMB shall,
within fifteen (15) days from receipt of application, notify the
applicant, in writing, to correct the deficiency. If the applicant fails
to correct the deficiency within fifteen (15) days from receipt of the
notice, the application shall be deemed to have been abandoned.

SEC. 7. Obligations of Accredited RE Manufacturers, Fabricators and Suppliers.
– The DOE-accredited manufacturers, fabricators and suppliers of
locally-produced RE equipment, parts and components shall comply with
the terms and conditions set forth in the Certificate of Accreditation,
in addition to the following:

a. Comply with pertinent government rules and regulations
including, but not limited to, payment of taxes, environmental
protection, safety, as a requisite for availment of and continuous
enjoyment of incentives under the Act;

b. Submit reports on the importation, local purchases, sales, and
inventory, among others, in relation to accredited RE activities
(manufacturing, fabrication, and supply of locally-produced RE
machineries, equipment, components and parts);

c. Adhere to standards, or in its absence, to industry-accepted
norms and practices in the manufacture, fabrication or supply of RE
machineries, equipment and components;

d. Allow DOE personnel, at all reasonable time, full access to
its facilities, books of accounts and other pertinent records relative
to its business operation; and

e. Shall not assign, transfer, dispose or otherwise convey its interest acquired under the DOE accreditation.

SEC. 8. Period of Validity. – The DOE Certificate of
Accreditation for RE manufacturers, fabricators and suppliers of
locally-produced RE machineries, equipment, components and parts, shall
be valid for a period of three (3) years from date of its issuance
unless earlier revoked or cancelled by the DOE through REMB on valid
grounds. The Certificate of Accreditation shall be renewable every three
(3) years, subject to compliance with the requirements.

SEC. 9. Revocation or Cancellation of Certificate of Accreditation. – The DOE may, motu proprio or
upon filing of any complaint, revoke or cancel any Certificate of
Accreditation following the provisions of Department Circular No.
2002-07-004 or the “Rules of Practice and Procedure of the Department of
Energy” due to, among others, failure of any of the accredited
manufacturer, fabricator and/or supplier to comply with its obligations
as provided in Section 6 hereof and the terms and conditions under which
the accreditation was issued.

SEC. 10. Separability Clause. – If for
any reason, any provision of this Circular is declared unconstitutional
or invalid, the other parts or provisions not affected thereby shall
remain in full force and effect.

SEC. 11. Repealing Clause. – The provisions of other
department circulars which are inconsistent with the provisions of this
Circular are hereby repealed, amended or modified accordingly.

SEC. 12. Effectivity. – This Circular shall take into
effect fifteen (15) days following its publication in at least two (2)
newspapers of general circulation.

Adopted: 12 July 2009

(SGD.) ANGELO T. REYES
Secretary