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.


Senate Increases ERC’s 2023 Budget

11 November 2022 /ERC-Planning and Public Information Service

PASIG CITY – In its Plenary Session held on 10 November 2022, the Senate of the Philippines expressed its full support to the renewed programs and mandate of the Energy Regulatory Commission (ERC) with the approval of PhP1.127Billion budget for the agency. The Senate cited the need to equip the ERC with resources to complete its priority projects to increase transparency and accountability in the power sector.
 
“It’s a very important office because it’s our regulator and is supposed to protect the interests of consumers and protect the interests of the Filipino people. Having said that Mr. President, we increased the budget by PhP400Million to allow the ERC to conduct its regular reset activities, meaning to make sure that the utilities and regulated entities are only charging reasonable rates to our consumers,” said Senator Sherwin Gatchalian, the sponsor of Energy Budget in the plenary.
 
The reset activities will allow ERC to revisit the authorized rates of the National Grid Corporation of the Philippines (NGCP) and distribution utilities/electric cooperatives to ensure that what is being passed on to the consumers are reasonable costs of doing electricity business.  The enforcement of ERC rules and regulations will be made to ensure compliance of regulated entities with ERC rules and regulations geared towards the improvement of operations and increase efficiency and productivity. Generation, transmission, and distribution companies are mandated to comply with certain technical standards to ensure the reliable and continuous supply of power. ERC’s consumer empowerment programs also received a substantial portion in the supplemental budget.
 
Moreover, the Senate commended the ERC for realigning the confidential fund in the budget of the Office of the Chairperson & CEO. “There is no line in the 2023 budget for the confidential fund for the ERC,” Senate Minority Leader Aquilino “Koko” Pimentel III pointed out. “The Chairperson (Dimalanta) distributed the amount to particular lines in its budget,” Senator Pimentel added.
 
According to Chairperson Dimalanta, “The ERC appreciates the support of both Houses of Congress for our 2023 budget. The increase in our budget received from both Houses is a testament to the renewed confidence in as well as a challenge to us at ERC. Over the past three months, we have taken it as our mission in the Commission to conscientiously and diligently present our programs to the legislative bodies while at the same time delivering results that would impact positively in the lives of the Filipino people.”
 
The budget for the year 2023 is the highest appropriation that ERC ever obtained since its creation in 2001.

 


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