ERC lauds LBP’s credit line to utilities

BY LENIE LECTURA – APRIL 21, 2023
from Business Mirror

THE Energy Regulatory Commission (ERC) expressed gratitude to the Land Bank of the Philippines (LBP) for offering financial assistance to distribution utilities (DUs) via credit facility to help augment their working capital.

“In its efforts to mitigate the impact of high electricity rates, the ERC committed to support (LBP’s) assistance to narrow and trim down incremental power cost increase via bridge-financing to lower and spread out hot summer-triggered monthly consumption on consumers’ electricity or anti-bill shock lending program,” the ERC said last Thursday.

The LBP’s “anti-bill shock lending program” will help DUs cushion the spike in electricity generation and distribution expenses, a statement from the RC read. This will enable DUs to spread out incremental increases on the monthly bills during summer months, thereby mitigating its significant impact on the consumers’ electricity bill. This will provide relief to consumers by providing options in the payment schemes of their bills, through installment or payment on a staggered basis.

“The ERC extends its deepest gratitude to the (LBP) for responding to the call for help in ensuring the availability of sustainable and affordable energy for electricity consumers,” ERC Chairman Monalisa C. Dimalanta was quoted in a statement as saying. “For our fellow workers in the government, this is truly one of the best examples of what we can accomplish together adopting a whole-of-government approach: those of us in energy sector working hand-in-hand with our counterparts in the private financing sector in finding solutions to provide some much-needed relief for our consumers.”