Time to Write A Book

David Celestra Tan, MSk
10 April 2021

They say that two of the things that must be in our “bucket list” are to Share your blessings to the Community – knowledge, and kindness if not riches and…. write a book.

Since I will not be rich to set up billion peso foundations to benefit a lot of people, I have to share what I have that is of value for the people…especially in the Philippines. That happens to be my knowledge of the public service of electricity specially its costs to the people.  The Filipinos being one of the most abused utility consumers in Asia – electricity, telephone, water, roads, and infrastructure. (Don’t get me started on that subject!)

My advocacy for Matuwid na Singil sa Kuryente is my vehicle for sharing my knowledge to benefit a lot of people.  I don’t believe I am a particularly intelligent guy. Nothing in my background and even education foretold a career in the power industry much less consumer advocacy. God put me in the situation to know and I believe just like the Good Samaritan that we are all supposed to be, I am meant to share and leave that for posterity.

Accidental Policy strategist

Many of you have heard of “accidental tourist”. I am an accidental policy strategist in energy and power, into which I stumbled when a friend lawmaker asked me in 1996 to join him in a meeting with a special team working on crafting an “omnibus power bill” to privatize and deregulate the then government monopolized power sector. It was in an obscure office in the fringes of Ortigas Center. My Congressman friend wanted my input on how to create true competition in the power sector.  And to test the practicality of market competition rules and methodologies that were being proposed by the foreign consultants from the USA and Australia. (By then I was already a 20 year veteran of international competitive biddings in the Middle East, Latin America, and Asia and one of the original Filipino IPP’s in 1992)

He liked my ideas which unwittingly started my journey into power policy.  It surprised me also, honestly. It did not start well however. My initial objection to the law putting too much faith in the hands of a regulatory office was shot down. It cannot work I thought under the Philippine culture as well as they did in England, Australia, and the USA.  So did my proposal to create structural competition by breaking up Meralco into at least two. One, the original franchise of the Lopez family that will be rightfully returned to them and the other, the Meralco part that was added to its franchise area by the Marcos government. This I thought would prevent the creation of an overpowering monopoly that is anathema to the fostering of genuine regulation to safeguard the consuming public. And the estimated P5 billion proceeds to the government.  If we have Meralco II, we would have a better functioning competition, less cowered regulation, and beneficial geographical competition for industries to choose for their manufacturing operations.

The Omnibus Power Bill evolved into what became known as the Electric Power Industry Reform Act of 2001 or EPIRA LAW or Republic Act 9136. By its passing in June 2001, I was participating as a volunteer adviser to the most senior Senator on the Bicam Committee that finalized the EPIRA law.  I did not personally participate in the deliberations but I was the Senators main backroom technical adviser and strategist.  Hundreds of lawmakers and their staff and advisers indeed can claim participation in drafting and redrafting of the reform and deregulation bill. However, in the weeks of its finalization at the Bicam it came down to three of us (Senator Enrile, me, and his Chief of Staff) fighting for the people and on the other side are the senators and the lobbyists for the vested interests.

I saw up close the legislative horse trading and have a fairly good idea on who put what and who took out what in the final bill  The vested interests side were conceding the provisions introduced by Senator Enrile to protect and strengthen electric cooperatives (they were going to weaken NEA and leave the 119 electric coops orphans for easy takeover). But provisions we introduced to enhance competition and provide safeguards for consumers would disappear overnight from the drafts. At one stage, Senator Enrile asked me, David, who would be affected by this”. I said you will see Sir who would say ouch. Two days later he told me “David, alam ko na”. The top three officials of the vested interest group met and lobbied with him the night before.  He did not tell me though what was discussed…and I did not ask.

The Section 53 “new mandate of NEA” was ours and adopted verbatim. The provision in Section 45 allowing private distribution utilities to buy up to 50% of their power needs from an affiliated company just got inserted in the last two days of finalizing the bill. Courtesy of a Cebuano Senator. We advocated for 30% and the vested interests were okay with 35%. How it became 50% without open deliberation and without safeguards is one of the mysteries of the Epira law.

My involvement in our advocacy group Matuwid na Singil sa Kuryente Consumer Alliance starting in 2009 was driven I guess by my natural inclination to follow through and contribute to the proper implementation of the ideals of the EPIRA Law specially proper regulation and the promotion of true competition. By that time the EPIRA Law was already way off-course and being implemented only in shape and form but not in its spirit and true aspiration for the people and country.  I thought I can help.

I was naïve though in thinking that as a reform group, all we had to do was contribute sensible reform ideas to promote competition and protect the public interest, suggest solutions and bring back the sector to its rightful course as envisioned by the EPIRA Law and the government will be open to ideas for the greater good. I said I was naïve.

It has been more than 10 years since I started my consumer advocacy. Longer than the 3 term limits of public officials. Our website matuwid.org is a compilation of our policy reform ideas that can be helpful to the future policy makers and regulators. And to the consumers and groups who will take up the cause.

Time to Write a Book

I have not made up my mind on whether I will write a memoir or chronicle my career in island power generation. I have been wanting to write one that will benefit the people and country. I wrote one already after the people power revolution in 1986 when I tried to contribute to rebuilding the country by publishing a trade promotion vehicle called “Buyers Guide to Philippine Exporters and Manufactures”. In those years it helped put the Philippines in the Asian manufacturing map. Well, I produced a book but that doesn’t count I guess for bucket list purposes.

So now I will embark on writing “the book” that I have been wanting to do. Some sort of my ideas for country development. For the last 15 years, my guarded secret title has been “Filipinos, if we are so Smart Why are we not Rich?”. Now it will only be half of the book. The Second part will be my humble ideas on how to remake the Philippines post pandemic.

To my comrades at MSK and the cause oriented groups and the tireless volunteer researchers, keep the flame going.  It can be a thankless job but I admire all of you for your passion for the people.

So long.

David Celestra Tan, Co-Convenor MSK