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TO:	The Minister, Ministry of Energy The Administrator, National Coal Authority The Minister, Ministry of the Budget The Treasurer of the Philippines

As part of our country's objective to develop indigenous sources of energy and to lessen our dependence on imported fuel, a coal conversion program is being implemented in selected industries like the cement industry and increased emphasis is being made for the use of coal in power generation.

In order to assure the success of this program, a nationawide coal logistics system will have to be established to guarantee the supply and delivery of coal to the intended users.  This system requires an infrastructure network of terminals, ports and relays rail stations interlinked by marine and rail transport to move the coal from the source to terminal to end-users.  The initial phase of this infrastructure network will have to be in place in late 1982 in order to supply the coal requirements of the cement industry.

In view of the foregoing, the National Coal Authority is hereby directed to oversee the construction of said infrastructure facilities and ensure completion if the same by 1982.  For this purpose, the Treasurer of the Philippines is hereby directed to release to the National Coal Authority the amount of P150.0 million, out of the Special Fund created under Section 8-J of R.A. 6173 as amended, as an additional equity outlay to said authority to cover the peso costs of the initial coal logistic infrastructure requirements.

The National Coal Authority is farther directed to submit to the President an accounting of the utilization of the foregoing funds.

For immediate compliance.

Done in the City of Manila, this 25th day of August, in the year of Our Lord, nineteen hundred eighty one.