ERC monitoring electricity supply

The Energy Regulatory Commission (ERC) assures the general public that it is monitoring the electricity supply situation in view of the unusually hot summer the country is presently experiencing. It is coordinating closely with the Department of Energy (DOE), the National Power Corporation (NPC), the Manila Electric Company (MERALCO), the Philippine Electricity Market Corporation (PEMC) and other electric utilities to provide an environment of a stable supply of electricity this season.

“The ERC is looking closely at the behavior of all participants in the WESM to see to it that no one takes advantage of the situation and that the supply problem is addressed at the soonest,” ERC Chairman and CEO Rodolfo B. Albano, Jr. said. The ERC has taken note of the reports regarding the increase in the WESM’s clearing price brought about by the inability of the energy supply to keep up with the surge in demand these past few days.

“The ERC will not hesitate to exercise its authority under the Electric Power Industry Reform Act of 2001 or the EPIRA to investigate and penalize any market power abuse or anti-competitive behavior by any participant in the electric power industry. The ERC will also not allow any rate increase to be charged to the electricity end-users to reflect any increase in the WESM clearing price unless it has first scrutinized any application for such rate increase and determined the reasonableness of such rate,” Chairman Albano added.

April 20, 2007