President Ferdinand Marcos Jr. has been urged to investigate the Energy Regulatory Commission (ERC) for its alleged inaction in preventing power price hikes. The People for Power Coalition (P4P) sent a complaint letter to the president, expressing concern over delays in conducting regulatory rate resets for distribution utilities and investigations of power supply agreements (PSAs).
P4P pointed out that these delays have led to Filipino consumers paying a 14.97% rate of return instead of the expected 8.27% rate from July 1, 2016, to the present. The coalition emphasized that the longer the ERC delays these actions, the more money flows from consumers to big companies like Meralco.
In addition to investigating the ERC’s passivity, P4P also called for inquiries into authorities and institutions hindering regulatory rate resets. The coalition also raised concerns about the ERC’s alleged favoritism towards big energy entities and fossil fuels, despite demands for renewable energy.
Furthermore, P4P warned against Meralco’s plans to sign contracts with fossil fuel suppliers, predicting a 15-year increase in electricity rates if these contracts go through. The coalition emphasized that the ERC plays a central role in addressing these issues.
The energy watchdog recently urged the ERC to intervene in Meralco’s contract plans, emphasizing the potential long-term consequences of such agreements.
