P4P asks Marcos to probe ERC ‘passivity’ amid power rate hikes

By Dianne Sampang – 05:04 PM July 05, 2024
from @inquirerdotnetINQUIRER.net

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METRO MANILA, Philippines — President Ferdinand Marcos Jr. should look into the “passivity” of the Energy Regulatory Commission (ERC) in stopping power price hikes and its delays in conducting regulatory rate reset for distribution utilities and investigations of power supply agreements (PSAs).

The People for Power Coalition (P4P) made the recommendation in a complaint letter sent to the president.

In a statement issued on Friday, P4P said delays in the rate reset had caused Filipinos to pay a 14.97% rate of return instead of the 8.27% rate from July 1, 2016, to June 30, 2019, and up to the present.

“The longer the ERC delays this, the more money flows from consumer pockets into the bank accounts of big companies like Meralco,” P4P said.

In its letter, the coalition also stated that investigations should be done on authorities and institutions involved in the prevention and delay of conducting the regulatory rate reset for the period covering July 1, 2016, to June 30, 2019, and up to the present.

P4P would also want Marcos to assess whether the ERC favors big energy entities and fossil fuels despite the coalition’s demands for renewable energy.

The energy watchdog recently urged the ERC to intervene with Meralco’s plans to ink contracts with big companies supplying fossil fuels.

The coalition predicted another 15 years of increase in electricity rates if the contracts would be signed.

“At the core of this all-encompassing and far-reaching issue is the ERC,” P4P said.