Senator Francis “Kiko” Pangilinan has introduced legislation aimed at eliminating systems loss charges from consumer power bills, a change projected to reduce electricity expenses for Filipino households by up to 10 percent.
Filed on August 4, Senate Bill No. 2378—officially titled the proposed Systems Loss Charge Removal Act—seeks to stop distribution utilities from passing on unconsumed power losses to end-users by amending Section 25 of Republic Act No. 9136, or the Electric Power Industry Reform Act of 2001 (EPIRA).
Under the current setup, distribution utilities shift the financial burden of electrical grid inefficiencies and unbilled energy onto consumers.
Highlighting the compounding financial pressures of rising food, healthcare, transportation, and education costs, Pangilinan stressed that households should not be held financially accountable for grid operational failures.
“Hindi dapat consumer ang sumasalo sa kapalpakan at kakulangan ng iba. Kapos na nga ang ating kababayan, tapos pagbabayarin pa natin ng hindi naman sila ang gumamit o may gawa?” Pangilinan said.
“Kung may perang puwedeng manatili sa bulsa ng pamilya, dapat manatili roon,” he added, noting that monthly savings on utility bills could directly fund daily essentials like food, rent, and medical needs.
The legislative measure aligns with broader efforts in Congress to slash high electricity rates, echoing President Ferdinand Marcos Jr.’s call during his fifth State of the Nation Address (SONA) on July 27 to amend EPIRA and scrap both the systems loss charges and their accompanying value-added tax (VAT).