Republic of the Philippines


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ERC’s statement on the prolonged blackouts in Occidental Mindoro

24 April 2023/ERC-Planning and Public Information Service

PASIG CITY – The Energy Regulatory Commission (ERC) clarifies certain information circulating as regards the shortage of electricity supply in Occidental Mindoro causing daily 20-hour power outages. As of today, out of the three (3) PSAs signed by Occidental Mindoro Electric Cooperative, Inc. (OMECO) and Occidental Mindoro Consolidated Power Corporation (OMCPC) on 12 January 2022, only two (2) PSAs were actually filed with the Commission. These PSAs were already granted provisional authorities on 26 May 2022 and 10 June 2022. The provisional authorities allow the supply of around 12MW from OMCPC to OMECO, and permit the flow of subsidies from the National Power Corporation (NPC) to OMCPC based on the ERC-approved rates.
The third PSA, with capacity of around 18-24MW which could address the capacity requirements in Occidental Mindoro, is not yet filed with ERC after more than a year since it was signed between OMECO and OMCPC. Based on the pre-filing records, the project still lacks key permits, such as environmental permits, which are required in applying PSAs for approval by ERC.
The ERC wishes to emphasize that the PSAs filed by OMECO and OMCPC were provisionally resolved within 75 days from the day of filing in accordance with ERC’s rules, contrary to allegations of delay in matters regarding the PSAs.
ERC further clarifies that it has accelerated its efforts in resolving the applications by NPC for Universal Charge for Missionary Electrification (UC-ME). The ERC already committed to resolve the UC-ME applications (2014-2021) pending with the Commission within the year, with the first batch already approved as of end-March 2023. The ERC is mindful of the need to balance the subsidy requirements of off-grid customers, including Mindoro residents, with the impact of funding the subsidy collected from on-grid customers, given the increasing power rates also in the on-grid areas.###


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