Supply Sector

Supply Sector. The supply sector is a business affected with public interest. Except for distribution utilities and electric cooperatives with respect to their existing franchise areas, all suppliers of electricity to the contestable market shall require a license from the ERC. (Sec. 29, RA 9136)

Supplier refers to any person or entity authorized by the ERC to sell, broker, market or aggregate electricity to the end-users. (Sec. 4 xx, RA 9136)

WORK IN PROGRESS - ONGOING PROGRAMS & ACTIVITIES

1. Establishment of a Business to Business (B2B) System

The B2B system serves as the tool to efficiently manage the business processes and rules prescribed in the Uniform Business Practices (UBP). The entity designated by the ERC to administer the B2B system and to serve as the central registration body for customer enrolment and switching is the Philippine Electricity Market Corporation (PEMC).

A Technical Working Group (TWG) composed of industry participants shall be convened to gather inputs relevant to the establishment of the B2B system. The series of TWG meetings are scheduled within the third quarter of 2006.

2. Evaluation of Business Separation and Unbundling Plan (BSUP) Applications submitted by Distribution Utilities (DUs) in Luzon

All DUs in Luzon are required to submit their Business Separation and Unbundling Plans to the ERC for evaluation and approval. The BSUP is a key requirement for DUs to comply with, prior to the implementation of retail competition and open access. Business Separation and Unbundling Plans guard against cross-subsidy of activities between regulated and unregulated business segments, thereby ensuring a level playing field among retail market participants.