Program Title: Environmental Development Program

Program Goal: The Environmental Development Program (EDP) is based on the principle of sustainable development, that is, environmental protection and socio-economic development are complementary and enhance one another. The goal of the program is to make a significant contribution in environmental protection and
enhancement and in the sustainable development and utilization of natural resources in line with the government’s policy thrusts.

Program Objectives: EDP caters to the environmental financing needs of both government and private sectors in:
* Improving the quality of the environment in ways that also assist industries to achieve production efficiency and competitiveness as well as regulatory compliance.
* Enabling local government units to manage environment and natural resources in ways that increases their income and their capability to respond to the needs of their constituents; and
* Developing and managing natural resources sustainability in ways that provides communities with basic needs including potable water, sanitation services, waste management and reliable and affordable electricity; and opportunities to alternative livelihood and enterprise development.

Program Components:
* Credit Programs – to finance investment requirements
* Clean Development Mechanism (CDM) – to assist CDM eligible projects in securing carbon credits which can be utilized as additional fund to accelerate loan amortization payment and/or security for the loan
* Technical Assistance – to assist borrowers in project preparation and for capacity improvement of bank staff in program management


Eligible Borrowers:
* Private corporations/enterprises
* Renewable Energy Service Companies/Corporations (RESCOs)
* Qualified Third Parties (QTPs) for energy projects
* Private Utility Operators
* Local Government Units (LGUs)
* Non-governmental Organizations (NGOs)
* Electric Cooperatives (ECs)
* Cooperatives other than electric cooperatives (Coops)
* Water Districts (WDs)
* Participating Financial Institutions (PFIs)

Eligible Projects:

* Power Generation/Distribution
o Small-scale energy/generation and mini-grid rural electrification projects thru renewable energy resources
o Stand-alone renewable energy rural electrification project, including the marketing, sale, purchase, and installation of Renewable Energy Technology Systems

* Clean Alternative Transport Fuel
o Projects that will reduce air pollutant emission from motor vehicles
– Acquisition of Original Equipment manufacture (OEM) vehicles run by LPG/CNG
o Fuel Supply Infrastructure Facilities
– Transmission
– Distribution e.g. refueling stations, blending stations/depots, specialized tankers
o LPG/CNG Vehicle Support Service Facilities
– Conversion/retrofitting shops
– Service centers
o Equipment and/or technology supply e.g. cylinder tanks, conversion kits, etc.
o Investments in the production of alternative fuel for vehicles and industry (e.g. coo methyl ester, biothanol)
o Investments in supply infrastructure facilities including distribution facilities for alternative fuels e.g. blending stations/depots, specialized tankers.

* Water Supply Sanitation and Services
o Bulk Water Supply
o Level 3 water supply system (new, rehabilitation and expansion)
o Sanitation Services
o Urban Drainage

* Solid and Hazardous Waste Management
o Closure and rehabilitation of dumpsite
o Conversion of dumpsite into sanitary landfill
o Construction of sanitary landfill
o Solid waste collection, transport, treatment and disposal including acquisition of equipment
o Materials Recovery Facility (MRF)/ composting facility
o Industrial waste recycling/treatment or disposal
o Hazardous waste treatment, storage and disposal

* Water and Air Pollution Prevention and Control
o Projects that improve the quality of the environment thru pollution prevention and reduction including
environmental monitoring instrument and equipment
o Occupational health and safety improvements
o Reduction of raw materials inputs for production
o Waste minimization/clean technology in industrial processes/pollution prevention
o Wastewater and sewerage treatment facility
o Establishment of EMS & ISO 14001 certification
o Relocation of pollutive industry from residential area
o Contracts for capital goods & services within the environment sector
o Investments in energy saving equipment
o Support for environmental investments as well as industries undergoing restructuring

* Eco Tourism
o Eco-tourism facilities and support infrastructure particularly those located along coastlines and protected
forest zones.

* Carbon Sequestration
o Afforestation and reforestation in private lands

Loan Purpose:
* Capital investment
* Working capital
* Interest during construction period
* Consultant’s services

Terms / Requirements:

Interest Rate: Prevailing market rate, fixed or variable.

Repayment: Up to fifteen (15) years with up to five (5) years grace period based on project cash flows

* Private Corporations – minimum of 20% based on total project cost
* LGUs, Electric Cooperatives, NGOs, Water Districts (WDs) – minimum of 10% based on the project cost

* Real estate mortgage
* Chattel mortgage
* Assignment of receivables with recourse
* Assignment of Power Purchase Agreement
* Assignment of Carbon Emission Reduction Purchase
* Agreement (ERPA), if any
* Assignment of revenues
* Assignment of Notice of Payment Schedule (NPS)
* Loan Guarantee, if any
* Collateral sharing with NEA
* Assignment of insurance cover
* Joint and Several Signatures
* Internal Revenue Allotment (IRA) for LGUs
* Assignment of Billed Receivables
* Assignment of Joint Deposits of LUWA and WD of the WD Reserve requirement
* Other acceptable asset/s

Checklist of Requirements:

* General Requirements
o Bio-data of Applicants/Major Stockholders/Officers
o Certificate of Registration of Business/Articles of Incorporation/ By-Laws certified by the Board Secretary
o Board Resolution of Sanggunian Bayan Resolution authorizing the borrowing and designating authorized signatories for the loan
o Certified list of stockholders and officers
o Customer Information Report (DBP Form)
o Income tax return (last 3 years)
o BIR received audited financial statements (last 3 years)
o Feasibility study / business plan on the proposed project

Note: There are additional requirements based on the nature of projects. Requirements on the Collateral to be Offered

On Lot / Building:
o 2 copies of lot plan, certified by a geodetic Engineer
o Location/vicinity map
o 2 photocopies of TCT/OCT authenticated by the Registry of Deeds
o Latest real estate Tax Declaration and tax receipt
o Bill of materials, building plans and specifications (if with construction)
o Building permit to be submitted before construction

On Machinery and Equipment:
o Affidavit of ownership and non-encumbrance of machineries and equipment with complete machine specification
o Supplier’s quotation of machinery and equipment with complete technical specifications for machinery to be
o Contract to sell for machinery to be acquired
o Copy of Certificate of Registration with LTO for transportation equipment
o Importation documents (for verification of imported equipment)


Carbon credits from CDM-registered projects as security for the loan or for acceleration of loan amortization payments.

Eligible Projects:
Projects that reduce Greenhouse gases emission such as Carbon Dioxide (CO2), Methane (CH4), Nitrous Oxide (N2O), Hydroflourocarbons (HFCs), Perfluorocarbons (PFCs) and Suphur Hexaflouride (SF6).

* Emission Reduction Projects
o Renewable Energy – hydro, solar, wind, geothermal, biomass, biogas, tidal/wave power projects
o Fuel Switching
– from diesel/bunker fuel to bio-diesel, ethanol, natural gas or renewable energy
– from electricity to steam or compressed air
o Demand-side energy efficient improvements
– Use of energy efficiency equipment such as motors, lamps, ballasts, refrigerators, fans, air conditioners,
appliances, etc.
o Supply-side energy efficiency improvements
– Generation – efficiency improvements at power stations and district heating plants and co-generation
– Transmission and Distribution – system loss reduction -110-
o Agriculture (reduction of CH4 and N2O emissions)
– Reducing emissions from agricultural soils by the use of ammonium sulfate or the use of phosphogypsum in
combination with urea instead of urea alone; use of composted rice straw instead of fresh rice straw; reducing methane emissions from livestock.
o Industrial Processes
– Methane recovery and avoidance from landfills/dumpsites, coal mines, agro-industries, wastewater treatment facilities
– Cement production (CO2)
– Electric equipment manufacturing (SF6)
– PFC emissions form aluminum production
– PFC and SF6 emissions from semiconductor manufacturing
– Nitrous Oxide (N2O) emissions from adipic acid and nitric acid manufacturing)

Carbon Sequestration Projects
o Afforestation – planting of trees on agricultural land
o Reforestation – planting of trees on denuded forest land Reforestation activities will be limited to those lands that remained unforested as of December 31, 1989.

Initial Requirements:
* Letter of Intent to pursue Clean Development Mechanism from the client
* Project Idea Note – DBP can assist in the preparation of this requirement

Contact Details:

Head Office: Sen. Gil J. Puyat Ave. cor. Makati Avenue, Makati City

Dulce Q. Ranosa
Senior Assistant Vice President
DBP-Head Office
5th Floor, DBP Building
Makati Ave. cor. Gil J. Puyat Avenue
Ext., 1200 Makati City
Direct Line : (632) 840.5356
Trunkline : (632) 818.9511 local 2557
Fax: (632) 894.4927

Eduardo Z. Rivera
Acting RMC Head/Asst. Vice President
RMC-Northeastern Luzon
2nd Floor, DBP Building
Osmena, National Highway
Ilagan, 3500 Isabela
Direct Line : (6378) 624.0877; 622.2273
Fax: (6378) 622.2272/2273

Perla S. Soleta
RMC Head/Sr. Asst. Vice President
RMC/Northwestern Luzon
2nd Floor, DBP Building
M. H. Del Pilar St.
2400 Dagupan City
Direct Line : (6375) 515.8937; 523.7836
Fax: (6375)

Ma. Teresita S. Tolentino
RMC Head/Vice President
RMC-Metro Manila
2nd Floor, DBP Building
Commonwealth Avenue
1121 Quezon City
Direct Line : (632) 920.4781; 920.4715
Fax: (632) 920.4776/920.4903

Herminio C. Catahan
RMC Head/Sr. Asst. Vice President
RMC-Central Luzon
Dona Isa Fel Building
Dolores, McArthur Highway
San Fernando City, 2000 Pampanga
Direct Line : (6345) 961.0003; 961.4782
Fax: (6345) 963.1231

Rolando N. Gordovez
RMC Head/Asst. Vice President
RMC-Southern Tagalog
2nd Floor, DBP Building
Merchan St., 4301 Lucena City
Direct Line : (6342) 373.1917; 373.4404
Fax: (6342) 373.4404

Abelardo L. Monarquia
RMC Head/Sr. Asst. Vice President
3rd Floor, DBP Building
Quezon Avenue, 4500 Legaspi City
Direct Line : (6354) 472.4728; 472.4729
Fax: (6354) 472.4727

Rodelio L. Labit
RMC Head/Sr. Asst. Vice President
RMC-RMC Eastern Visayas
2nd Floor, DBP Building
Corner Zamora and Paterno Sts.
Tacloban City, 6500 Leyte
Direct Line : (6353) 325.2958 to 2960
Fax: (6353) 325.2961

Rosalio Dagondon
RMC Head/Vice President
RMC – Central Visayas
Mezzanine Floor, DBP Building
Osmena Blvd., 6000 Cebu City
Direct Line : (6332) 255.6310; 255.7410
Fax: (6332) 253.6951

Rosalio Melanie Pama
Acting RMC Head/ Asst. Vice President
RMC – Panay
Mezzanine Floor, DBP Building
I. Dela Rama St., 5000 Iloilo City
Direct Line : (6333) 336.6432; 337.6330
Fax: (6332) 335.7567

Ame Cris C. Toledo
RMC Head/Sr. Asst. Vice President
RMC – Negros
Mezzanine Floor, DBP Building
corner South Capital & Lacson Sts.
6100 Bacolod City
Direct Line : (632) 818.9511 local 2557
Fax: (632) 894.4927

Edgar N. Seronay
RMC Head/Sr. Asst. Vice President
RMC-Northern Mindanao
2nd Floor, DBP Building
Corrales Avenue cor. Tirso Neri St.
9000 Cagayan de Oro City
Direct Line : (6388) 231.4266; 309.4266
Fax: (6388) 723.316

Sisinio S. Narisma
RMC Head/Sr. Asst. Vice President
RMC-Northeastern Mindanao
J. C. Aquino Ave. corner J. Rosales
Avenue, 8600 Butuan City
Direct Line : (6385) 815.6036; 341.5136
Fax: (6385) 815.1627

Neogen M. Chavez
RMC Head/Sr. Asst. Vice President
RMC-Southern Mindanao
2nd Floor, DBP Building
Roxas Avenue, General Santos City
Direct Line : (6383) 552.2328; 552.4514
Fax: (6383) 301.1688

Fernando G. Lagahit
RMC Head/Sr. Asst. Vice President
RMC-Southeastern Mindanao
2nd Floor, DBP Building
C. M. Recto, 8000 Davao City
Direct Line : (6382) 221.2620; 222.3478
Fax: (6382) 221.2517

Catalina A. Marquez
RMC Head/Manager
RMC-Western Mindanao
DBP Building, Don P. Lorenzo St.
Port Area, 7000 Zamboanga City
Direct Line : (6362) 992.7865; 991.1316
Fax: (6362) 991.0359