PASAY CITY, Philippines — Senate Committee on Energy Chairman Erwin Tulfo on Sunday, September 27, reassured the public that power utility providers will be strictly prohibited from recovering systems loss costs through alternate fees on consumer electricity bills.
The statement follows public apprehension that distribution utilities might bypass the intended savings by transferring the eliminated fees into distribution, supply, or metering line items once the proposed legislation becomes active law.
Tulfo was referring to Senate Bill No. 2486, also known as the “Systems Loss Charge Removal Act.” The priority administration measure, which seeks to insulate consumers from paying for unconsumed electricity and grid inefficiencies, was formally sponsored by Tulfo on the Senate floor on September 22.
Addressing these public concerns, the lawmaker highlighted specific safeguards embedded directly within the text of the proposed measure to prevent covert cost shifting.
“We have anticipated this loophole and it is unacceptable. We cannot remove systems loss from one line of the electricity bill only to see the same cost transferred somewhere else,” Tulfo said.
“This is why the bill we are shepherding now explicitly prohibits distribution utilities and electric cooperative from recovering allowed losses through distribution wheeling charges, supply charges, metering charges, universal charges, subsidies, or any other item in the bill,” he continued.
The energy panel chief urged his fellow legislators to accelerate the passage of the legislation to deliver immediate financial relief to households burdened by technical losses and utility operational shortcomings.
“Why do consumers pay for electricity that they did not consume? Why do consumers bear the brunt of inefficiencies and deteriorating facilities resulting in systems loss?” he pointed out.
“Consumers lose with this mechanism. Because they solely carry both the burden of system loss and the inefficiencies,” Tulfo lamented.
“Electricity is not a luxury. It is a basic necessity the modern society needs to operate with dignity,” the senator remarked.
“Let’s give Filipino consumers what they deserve: A reliable electricity and fair billing,” he further said.