By Maria Bernadette Romero – 19 Dec 2024, 10:43
from The Daily Tribune

Manila Electric Co. (Meralco)

A consumer rights advocate is urging the Senate to introduce amendments to the proposed renewal of the Manila Electric Co. (Meralco) franchise to protect consumers from potential electricity rate hikes.

In a letter addressed to Senate President Francis Escudero and other senators, consumer rights advocate Romeo Junia urged the Senate to expedite the enforcement of the Retail Competition and Open Access (RCOA) provision of EPIRA, which promotes consumer choice in sourcing electricity.

He also called for an end to the delays in implementing the net metering provision of the Renewable Energy law, which would allow small renewable energy producers to feed excess power back into the grid.

Additionally, he stressed the need to restrict Meralco from awarding power supply agreements to its own affiliated companies, particularly those reliant on coal or other expensive energy sources, while competitors offer cleaner and more cost-effective alternatives.

He also called for strict adherence to the Department of Energy’s policy on competitive selection processes for power supply contracts to prevent any abuse in awarding deals to Meralco-owned power plants.

The House Bill 10926, seeks to renew Meralco’s 25-year franchise, allowing it to continue its electric distribution operations across Metro Manila and nearby provinces, which collectively account for over 70 percent of the country’s economy.

While the House has approved the bill, its counterpart remains pending in the Senate.

In his letter, Junia highlighted the importance of aligning the franchise with laws such as the Electric Power Industry Reform Act of 2001, the Renewable Energy Act of 2008, and the proposed Philippine Natural Gas Industry Development Act.

 

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