“This is a ghost regulation where the agency exists in name but abandons its duty to ensure least-cost electricity.”

ALBAY – The Power for People Coalition (P4P) criticized the Energy Regulatory Commission (ERC) for planned rule changes that weaken oversight and make possible further abuse.

The P4P, a clean and affordable energy advocate, likened ERC’s move to ghost projects in flood control, warning that regulatory neglect erodes public trust. “If ghost projects haunt our infrastructure, ghost regulation haunts our energy sector,” P4P convenor Gerry Arances said in a statement.

Under the proposed new rules, ERC will only monitor procedural compliance, dropping its review of rates in power supply and ancillary service contracts. P4P sees this as a dangerous retreat from ERC’s mandate to protect consumers.

According to Arances, it is alarming that Saturnino Juan’s first major move as the new ERC chair is to hand over unchecked power to industry players. “This is a ghost regulation where the agency exists in name but abandons its duty to ensure least-cost electricity.”

Juan took office in July and vowed to hasten approvals. But P4P stressed that speed should not come at the cost of accountability.

“Electric bills have already surged by nearly P3 per kilowatt-hour (kWh) since the Marcos Jr. administration began. Giving power companies more room to profit while households struggle is unacceptable,” Arances said.

Earlier this month, P4P filed a petition at the Court of Appeals challenging ERC’s approval of a Meralco deal with Excellent Energy Resources, Inc. (EERI), a gas plant partly owned by Meralco. The group says the contract will double-charge consumers by nearly P1 billion for transmission facilities.

Arances said the Meralco-EERI double-charging threat, along with the ERC’s push to rubber-stamp contracts, leaves consumers defenseless and effectively ghosts the commission’s own mandate.

Meanwhile, consumer group Kuryente.org urged the government to audit energy expenses and reform cost structures, especially non-fuel charges and renewable energy (RE) development that burden consumers. 

They called for direct government funding of RE instead of ratepayer subsidies in which the cost is passed on to regular households and businesses via higher electricity rates.

“Affordable electricity is key to a just energy transition,” the group said. “Consumers see more RE, but affordability and energy security are being left behind.”

They urged the DOE and ERC to present concrete plans to cut electricity rates and address recurring grid alerts caused by low reserves from unplanned power plant outages, which raise prices. (DAA)