Palace fires ERC chief; legal challenge set

MANILA, Philippines — Malacañang has ordered the dismissal of suspended Energy Regulatory Commission (ERC) chairman and CEO Jose Vicente Salazar for grave misconduct and corruption in the procurement system of the agency.

Salazar said he would exhaust all legal options available to clear his name.

“This is not the end of the legal process. There are still options available and I intend to tap them. I am confident these options will help me bring out the truth and obtain the justice due me,” Salazar said in a text message to The STAR.

In a 23-page decision, the Office of the President ruled that Salazar is guilty of simple misconduct for renewing seven electric power purchase agreements between FDC Utilities Inc. Misamis and various distribution utilities and for appointing officers and personnel without the concurrence and approval of the commissioners.

The suspended ERC official was also found guilty of grave misconduct with respect to the agency’s audio-visual presentation (AVP) project, wherein anomalies in procurement were bared by the late ERC director Francisco Jose Villa Jr. in his suicide letters.

“However, with respect to the matter of procurement of the AVP project, all elements of corruption, clear intent to violate the law and flagrant disregard of established rule have been sufficiently demonstrated, as manifested in the various ways in which respondent Salazar tried to ensure that [Luis] Morelos would get the project,” the decision read.

A misconduct is grave when the elements of corruption, clear intent to violate the law or flagrant disregard of established rule are present.

It is a grave offense punishable by dismissal from the service, which carries with it cancellation of eligibility, perpetual disqualification from holding public office or from taking civil service examinations and forfeiture of retirement benefits, the OP said.

The decision, dated Oct. 6, was signed by Executive Secretary Salvador Medialdea and was sent to Salazar’s counsel and the ERC commissioners.

In a text message, ERC spokesperson Floresinda Digal confirmed the receipt of the Malacañang order.

“We confirm receipt of the decision from the Office of the President on the administrative case against ERC chairman and CEO Jose Vicente B. Salazar. 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.

Last July, ERC commissioners Alfredo Non, Josefina Magpale-Asirit, Gloria Yap-Taruc and Geronimo Sta. Ana asked President Duterte for the permanent suspension and removal of Salazar from office over insubordination, graft and corruption issues.

The commissioners raised several violations of the chairman such as Republic Act 9184 (Government Procurement Reform Act), RA 3019 (Anti-Graft and Corrupt Practices Act), RA 6713 (Code of Conduct and Ethical Standards for Public Officials and Employees) and RA 10717 (General Appropriations Act) and Executive Order No. 292 (Administrative Code).

Among the biddings with contentions were the AVP project, which was awarded to the chairman’s friend Luis Morelos, renovations of the ERC boardroom and the chairman’s office, procurement for ERC’s Strategic Planning that was awarded to ITD Consulting and the procurement of air conditioning units from NCP General Merchandise.