Malacañang has signaled its openness to consulting all power sector stakeholders as the government evaluates a proposal to eliminate the systems loss charge from electricity bills, trailing President Ferdinand Marcos Jr.’s call to amend the Electric Power Industry Reform Act (EPIRA).
Communications Undersecretary and Palace Press Officer Claire Castro made the statement after Manila Electric Company (Meralco) Chairman Manny V. Pangilinan warned that removing the charge presents a major hurdle for the power industry.
Pangilinan emphasized that the proposal impacts generation, transmission, and distribution sectors, noting that the overall cost is too large for the industry to absorb alone without thorough discussion.
During a press briefing on Thursday, July 30, Castro welcomed industry leaders’ willingness to engage in talks, emphasizing the necessity of consultations to balance consumer relief with industry viability.
”Maganda po na senyales iyan although marami po talagang pagdaraanan na pag-aaral at maaaring maraming maapektuhan but at least nakikita po natin na open sila for discussion,” Castro said.
Energy Secretary Sharon Garin affirmed that the Department of Energy is reviewing existing regulations from the Energy Regulatory Commission (ERC) and consulting key figures before finalizing policy changes aimed at reducing power rates.
”We are currently studying the regulations of ERC legislations and other policies and doing consultations with stakeholders. The objective is to lower electricity rates, and I ask for patience and cooperation of all stakeholders while we craft the policies,” Garin stated.
Castro added that the executive branch intends to craft a balanced policy that reduces electricity costs for households without placing an unfair burden on consumers, investors, or utility firms.
”So, lahat po ito ay inaaral at bubuuin po nang hindi naman po masyadong burdensome din sa iba nating mga kababayan at sa mga investors and utility companies,” Castro explained.
The policy review follows President Marcos’s fifth State of the Nation Address (SONA) on July 27, where he urged Congress to amend EPIRA to bar utility companies from passing transmission and distribution losses onto consumers.