Malacañang orders dismissal of ERC head Salazar

By Victor V. Saulon
Sub-Editor

MALACAÑANG HAS ordered the dismissal of Jose Vicente B. Salazar as chairman and chief executive officer of the Energy Regulatory Commission (ERC) after finding him guilty of simple and grave misconduct.

In a 21-page order dated Oct. 6, the Office of the President imposed the penalty of dismissal from government service “with all accessory penalties” upon Mr. Salazar, who was suspended by the same office in August for four months because of insubordination.

In his decision, Executive Secretary Salvador C. Medialdea cited the resolution of a number of administrative charges against Mr. Salazar, including serious dishonesty, gross neglect of duty and grave misconduct for violating Republic Act (RA) No. 3019 or the Anti-Graft and Corrupt Practices Act and RA No. 9136 or the Electric Power Industry Reform Act of 2001.

The charges included usurpation of the authority of the ERC as a collegial quasi-judicial body, violation of RA No. 9184 or the Government Procurement Reform Act, violation of RA No. 6713 or Code of Conduct and Ethical Standards for Public Officials and Employees, violation of RA 10717 or the General Appropriations Act, and violation of Executive Order 292 or the Administrative Code of 1987.

Floresinda B. Digal, ERC spokesperson, confirmed the commission’s receipt of the order on Monday morning.

Mr. Salazar, when sought for comment, said in a text message on Monday afternoon: “This is not the end of the legal process. There are still options available and I intend to tap them. I am confident that these options will help me bring out the truth and obtain the justice due me.”

“I believe that there are remedies under the law that can be availed of,” Ms. Digal said for her part, when asked whether the decision can be appealed. But she deferred to the Office of the President when asked about whether Mr. Salazar would have to vacate his post immediately.

“As we have always assured the public from the time these investigations started last year, the ERC remains committed to faithfully performing its mandate under the law, despite and in spite of these administrative challenges,” she said.

The charge against Mr. Salazar for violating RA No. 9184 cited the lack of competitive bidding tantamount to bid rigging, splitting of contracts, and/or influencing or exerting undue pressure on members of the ERC’s bids and awards committee on the procurement process for a number of projects and services.

These are the ERC corporate audiovisual presentation, renovation of its boardroom and Mr. Salazar’s office, pest control services, office software, shuttle bus, and services of a number of consultants.

His violation of RA No. 3019 mentioned persuading, inducing or influencing another public officer to perform an act constituting a violation of rules and regulations. Also cited was his act causing undue injury to any party, including the government, or giving any private party any unwarranted benefits, advantage, or preference in the discharge of his official functions though manifest partiality, evident bad faith, or gross inexcusable negligence.

Mr. Salazar was also accused of violating RA No. 6713 for continuously threatening ERC commissioners, officers and other personnel in relation to ongoing investigations conducted by government agencies.

He was also said to have unlawfully reorganized the ERC against the structure approved by the Department of Budget and Management, illegally appointing ERC officers and personnel without the concurrence and approval of the ERC commissioners.

Malacañang also found fault in Mr. Salazar’s unilaterally issuing orders, resolutions, and letters pertaining to the renewal of seven electric power purchase agreements between FDC Utilities, Inc.-Misamis and various distribution utilities.

Also cited was the appointment of ERC officers and personnel in the executive and managerial positions without the required qualification standards and eligibility.

In issuing the order, Malacañang rejected Mr. Salazar’s argument that the ERC is a purely independent body and its chairman and commissioners are beyond the scope of the Office of the President.

In his argument against his May 2017 suspension, Mr. Salazar said he was not afforded his constitutional right to due process of law.

He also argued that the appointment and designation of ERC officials and personnel are with the sole authority of the ERC chairman and CEO, and do not require the concurrence of the commissioners.

He also said the extension of the FDC contracts did not violate RA No. 9136, and that he did not violate any of the other laws cited in the administrative case.