VEHICLES will be required to display their fuel efficiency ratings starting this quarter, according to the Department of Energy (DoE).

Manufacturers, importers, distributors, dealers, and rebuilders of all public and private road vehicles will be subject to the rules of the Vehicle Fuel Economy Labeling Program (VFELP), it said.

“The purpose of the program is to provide our public information as to the fuel efficiency of the vehicles that they’re producing,” Patrick T. Aquino, director of the Energy Utilization Management Bureau, said in a briefing on Wednesday.

Authorized by Section 17 of the Energy Efficiency and Conservation Act, VFELP aims to help consumers make informed decisions about vehicle purchases.

The program ensures that fuel economy data, including the engine fuel economy ratings, are readily accessible and verified through the performance labeling requirements set by the DoE with the assistance of the Department of Environment and Natural Resources and the Department of Transportation.

Companies in the industry will be required to undergo registration, covering their head offices and all branches. The registration is valid for three years.

Each vehicle unit must also be registered, with a validity period of six years.

The processing of registrations and label are to be completed within seven working days for company and vehicle registrations and three working days for the fuel economy label and fuel economy sticker, provided submissions are complete and accurate.

Separately, the DoE said it will move to terminate inactive renewable energy contracts to clear the way for “more serious” investments. 

“If they are not able to move then the others who have the technical, the legal, and the financial capability should be given an opportunity to develop the same,” Energy Secretary Raphael P.M. Lotilla said.

“They become idle assets insofar as our people are concerned if they are not developed,” he added.

Last year, the DoE said at least 105 renewable energy projects are being processed for termination due to non-compliance with project timelines. 

Out of the total 105 projects, 88 are either stalled in pre-development or not progressing at all.

“For the first 105, we have almost finished sending out the letters. But you know that some of them might request reconsideration,” Energy Undersecretary Rowena Cristina L. Guevara said.

There are currently over 1,400 renewable energy service contracts, she said.

“We want to make sure that those that are not moving can be removed. And therefore, others can actually apply for those areas but we cannot open those areas unless you terminate the projects that have been assigned to those areas,” Ms. Guevara said. 

These renewable energy projects are expected to provide additional supply to the grid.

For 2025, Mr. Lotilla is seeing a “much better situation” due to fresh capacity generated by new power projects and delivered by energized transmission lines.

“While it is election year, it is also not an El Niño year; in fact it is seen as a La Niña year and therefore the constraints that we saw last year will not be as great as this year in 2025,” Mr. Lotilla said. — Sheldeen Joy Talavera