The Department of Energy (DOE) has partnered with Palawan State University (PSU) and Western Philippines University (WPU) to implement a PHP 6.1-million scholarship and institutional assistance program funded through the Petroleum Service Contracts (PSCs) operating in the Northwest Palawan Basin.

Formalized on October 22, 2025, the initiative channels contributions from PXP Corporation, NPG Pty. Ltd., and The Philodrill Corporation, operators of PSCs 74, 75, 14C1, and 14C2 respectively, into educational support for students and capacity-building for the two universities. Of the total fund, USD55,000 will go to PSU and USD50,000 to WPU in the program’s first phase.

“This partnership ensures that the utilization of our country’s energy resources directly benefits our host communities,” said Energy Secretary Sharon S. Garin. “By linking petroleum development with education, we are investing in the people of Palawan and empowering the next generation of energy professionals.”

The program will provide monthly stipends and allowances for students living near PSC operational sites and support institutional needs identified by the universities to enhance academic programs tied to the energy sector. It also fulfills PSC obligations requiring service contractors to extend assistance to state universities and colleges within their host areas— about USD 5,000 per year during exploration and USD 10,000 per year during production.

Under the new Memorandum of Agreement (MOA), these funds will now be remitted directly to the beneficiary universities, creating a transparent and accountable process for distribution and monitoring.

Secretary Garin said the framework will serve as a national model for future scholarship and institutional assistance programs under petroleum service contracts.

“This Agreement also sets a clear framework for the eight landmark petroleum service contracts recently unveiled by the President,” she noted. “It demonstrates how responsible resource stewardship can be aligned with social responsibility, transforming energy development into a direct investment in human capital.”

Palawan, home to the country’s key petroleum basins, stands to benefit not only from energy resource development but also from expanded access to education and technical training. The DOE said the partnership reflects its commitment to ensuring that the gains of energy exploration contribute to local empowerment and sustainable national growth.

The MOA was signed by Secretary Garin, Dr. Ramon M. Docto of PSU, and Dr. Amabel S. Liao of WPU.

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