Villar-led S.I. Power Corp. (SIPCOR) must secure a new permit and comply with Department of Energy (DoE) requirements before it can resume operations, Energy Secretary Sharon S. Garin said.

"They have to go through the process and they have to qualify and justify to us. And also, they have to clear up some issues also on what happened in Siquijor," Ms. Garin told reporters on the sidelines of a site visit in Batangas on Thursday.

She said the requirement is part of new DoE guidelines establishing an accountability policy for entities engaged in power generation. Under the rules, entities may operate generation facilities only with valid certifications, permits, and clearances, and must maintain continuous compliance with the conditions attached to these authorizations.

Violations of the guidelines could prompt the DoE to cancel a certificate of endorsement, which is a prerequisite for obtaining a provisional authority to operate (PAO).

"There's a process. First is a stern warning. Second is suspension. And if you have a third violation, then we do suggest for blacklisting or cancellation," Ms. Garin said.

SIPCOR earlier told Premiere Island Power REIT Corp. (PREIT), the listed real estate investment trust whose portfolio includes the Siquijor power assets, that the Court of Appeals (CA) had granted its petition for review and reversed an Energy Regulatory Commission (ERC) decision revoking the PAOs of its generating units.

Citing the CA's July 24 decision, SIPCOR said the court ruled that the ERC "failed to afford procedural due process in revoking the PAOs of SIPCOR's generating units" for various reasons.

The company said it has been preparing to resume operations by repairing its generating units, restoring and testing electrical systems, planning fuel purchases, renewing permits, and recruiting operations and maintenance personnel.

"These measures demonstrate SIPCOR's commitment and readiness to resume operations in Siquijor," the company said.

ERC Chairman and Chief Executive Officer Francis Saturnino C. Juan earlier said the regulator would file a motion for reconsideration before the CA through the Office of the Solicitor General.

"The term of SIPCOR's provisional authority to operate had already expired. So SIPCOR cannot just resume operations without filing for its renewal or for a new provisional authority to operate or certificate of compliance," Mr. Juan said.

The company's situation reflects the division of responsibilities between the country's two key energy agencies: the DoE, which formulates energy policy and issues project endorsements, and the ERC, the independent regulator created under the Electric Power Industry Reform Act of 2001 that grants operating authorities such as PAOs and certificates of compliance. As both officials' statements indicate, a favorable court ruling does not by itself restore the authorizations each agency controls.

According to ERC data, the PAOs for SIPCOR's diesel power plants in the municipalities of Siquijor and Lazi had lapsed by mid-March. The permit for its Siquijor Expansion plant, which expired on Aug. 5, 2025, is awaiting approval of an extension.

The ERC revoked SIPCOR's PAOs in August 2025 following consumer complaints about prolonged power outages and violations of operating regulations. SIPCOR was at the time Siquijor's sole power generator — a critical role in an island province in Central Visayas whose grid is not connected to the main transmission system, leaving local consumers dependent on the company's diesel plants for their electricity supply. — Sheldeen Joy Talavera