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The energy department has filed a complaint against a Leviste-linked solar firm over non-delivery and alleged franchise violations.
MANILA, Philippines — The Department of Energy has filed a criminal complaint against businessman and Batangas Rep. Leandro Leviste (First District) and other officers of Solar Para sa Bayan Corp., accusing them of failing to fulfill obligations under a congressional franchise to operate renewable-energy microgrids in remote and underserved areas.
Energy Secretary Sharon Garin filed the complaint-affidavit on Wednesday, May 6, at the Department of Justice. She alleged that Leviste's Solar Para sa Bayan Corp. and its officers “knowingly and willfully neglected, failed, or omitted” to perform obligations under Republic Act 11357, the 2019 law granting the company a 25-year nonexclusive legislative franchise.
Named respondents were Leviste, Antonio C. Legarda Sr., Benjamin C. Legarda, Antonio B. Legarda Jr., Hazel Iris P. Lafuente and Irma C. Flaminiano.
In its eight-page affidavit, the DOE chief said Solar Para sa Bayan’s franchise was intended to accelerate electrification in remote, unserved and underserved areas through distributed renewable-energy systems and microgrids.
“During this period, the respondents, being the incorporators, directors, and/or officers of SPSB/SPBC, failed to comply with their obligations under the franchise,” the document stated.
DOE cites lack of permits, operations
In the complaint, the DOE said it had no record of receiving applications from Solar Para sa Bayan for permits, licenses, approvals or other regulatory authorizations required under its franchise.
The agency also said it had no record of an application for a Solar Energy Service Contract covering the company’s Paluan solar project in Occidental Mindoro, no signed service contract, and no submissions showing the company was implementing such a contract.
DOE further alleged that the company failed to submit compliance reports and documentary requirements mandated under DOE policies, the Electric Power Industry Reform Act and the franchise law itself.
These alleged failures constituted violations of the Public Service Act, as amended on Republic Act 11659, the agency argues. The law carries penalties of up to P2 million in fines or imprisonment ranging from more than six years to as much as 12 years, or both, for knowing and willful violations.
The DOE complaint asks prosecutors to determine whether the respondents should be held liable under the Public Service Act.
Leviste remarks cited
The DOE complaint also cited Leviste’s own public statements, including interviews where he allegedly said Solar Para sa Bayan was “no longer operating,” had been shut down years ago, and that its franchise had already been “ipso facto revoked” after failing to operate continuously for two years.
The complaint used those remarks to support its allegation that the company failed to operate under the terms of its franchise.
DOE also pointed to the Calatagan Solar Farm, a separate project under Solar Philippines Power Project Holdings Inc., which it said was led by Leviste and located within Batangas’ 1st District, where he currently serves as representative.
The agency alleged that while Solar Para sa Bayan’s franchise obligations allegedly went unfulfilled, affiliated entities under Solar Philippines continued operating renewable-energy projects outside the franchise framework.
Regulatory scrutiny. Earlier this year, the Energy Regulatory Commission issued show-cause orders and warned of possible fines of up to P150 million.
The regulator similarly cited alleged permit and authorization issues involving the firm's operations in Paluan and other off-grid areas.
Ombudsman Jesus Crispin Remulla confirmed in January that an investigation into franchise violations by Leviste's firm was underway. — with reports from Ian Laqui
