Republic of the Philippines

ENERGY REGULATORY COMMISSION

A world class and independent electric power industry regulator that equitably promotes and protects the interests of consumers and other stakeholders, to enable the delivery of long-term benefits that contribute to sustained economic growth and an improved quality of life.


MERALCO PSAs Still Under Scrutiny - ERC

The Energy Regulatory Commission (ERC) has not approved the Manila Electric Company’s (MERALCO) Power Supply Agreement (PSA) petitions.  The agency assures the electricity consumers that the MERALCO PSA applications that are still pending its review are being evaluated to ensure that only just and reasonable costs shall be included in the electric bill.  The ERC, under Section 45 of the Electric Power Industry Reform Act (EPIRA) of 2001 is mandated to review bilateral power supply contracts entered into by distribution utilities.

“We are carefully scrutinizing each of the cost components in the MERALCO PSA applications that is why the final approval of these applications have been taking some time”, ERC Officer-In-Charge Alfredo J. Non disclosed.   “The Provisional Authority granted to Panay Energy Development Corporation (PEDC) in July 2016 was necessitated in view of the frequent yellow alert status of power reserves at that time.  We must remember that stable supply of power is among the anchors of our economy.”

The ERC’s Rules of Practice and Procedure provides that motions for provisional authority or interim relief may be acted upon with or without hearing.  The ERC shall act on the motion on the basis of the allegations of the application and supporting documents and other pieces of evidence that applicant has submitted and the comments or oppositions filed by any interested person, if there is any.

The ERC’s PSA approval entails a comprehensive process, which include:  (1) the conduct of the hearing process; (2) filing of formal offer of evidence; (3) technical evaluation; (4) Commission deliberation; and (5) issuance of a decision.

“The ERC’s grant of provisional or even a final approval to just one MERALCO PSA application should not be equated to all PSAs approval as applied by the applicants.  The rates and conditions that were provisionally approved are not necessarily the same rates and conditions in the final approval or decision of the case.  More often than not, the final rates have been lower.  We granted the provisional approval because it will be more beneficial to the consuming public, and the country as a whole, to have a continuing stable power supply than have rotating brownouts which is more damaging to the economy”, ERC OIC Non emphasized.   


 

Today at ERC
Wednesday, October 18, 2017

Hearing Schedules
Time:
10:00
Case No.:
2017-017 CF [JU] [EX] [PT] [EV]
Applicant:
TIELCO
Venue:
ERC Hearing Room (15th Floor)
Title:
Application for Confirmation and Approval of Calculations of Over or Under Recoveries in the Implementation of Automatic Cost Adjustments and True Up Mechanisms Covering the Period 2014 to 2016, Pursuant to ERC Resolution No. 16, Series of 2009 as Amended by ERC Resolution No. 21, Series of 2010 and ERC Resolution No. 23, Series of 2010
Time:
14:00
Case No.:
2016-180 RC [PT] [EV]
Applicant:
MERALCO & MPPCL
Venue:
ERC Hearing Room (15th Floor)
Title:
Application for Approval of the Power Supply Agreement (PSA) Between Manila Electric Company (MERALCO) and Masinloc Power Partners Co., Ltd. (MPPLC)
Time:
9:00
Case No.:
2017-053 RC [JU] [EX] [PT] [EV]
Applicant:
AEC
Venue:
AEC’s principal office at Don Juan Nepomuceno Avenue corner Doña Teresa, Nepo Mart Complex, Angeles City, Pampanga
Title:
Application for Approval of Emergency Capital Expenditure Projects for Regulatory Year (RY) 2017

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