Gov't urged to launch probe against power plants before imposing Meralco price hike
Metro Manila (CNN Philippines, July 7) — Local think tank Infrawatch PH is urging the government to look into possible "collusion and price-fixing among power generators" before implementing the Manila Electric Company's (Meralco) staggered rate hike.
"The new government should first determine whether collusion and price-fixing among power generators occurred in the electricity spot market during that period and beyond," Terry Ridon, Infrawatch PH convenor, said in a statement.
This comes a few days after the Supreme Court (SC) upheld the 2013 order of the Energy Regulatory Commission (ERC), making Meralco's consumers pay for the generation costs estimated at ₱22.64 billion.
READ: SC upholds 2013 ERC order allowing Meralco’s staggered power rate hike
Ridon said that if the investigation proves there are no anomalies, the Marcos administration must "ensure the least impact of the price hike to affected customers".
He proposed that the government can execute a longer payment period, instead of the original two-tranche schedule.
Ridon said it is a "realistic intervention" as the ERC issued a similar order in 2020, mandating distribution facilities to implement a staggered payment scheme amid the lockdowns.
The Alyansa ng mga Grupong Haligi ng Agham at Teknolohiya para sa Mamamayan (AGHAM) welcomed the SC move, stressing that the Higher Court "balances industry stakeholders' interest".
"It also reflects the High Court’s modesty in recognizing the ERC’s mandate of protecting consumers as it determines and regulates power rates," AGHAM President Angelo Palmones said in a statement.
"The decision promotes stability that empowers ERC to exercise its regulatory power consistent with its mandate to protect the interests of consumers without compromising the industry’s ability to continuously provide sufficient power to support the country’s growing power requirements," Palmones added.
Bayan Muna, however, lambasted the SC decision, branding it as another "financial burden" for Filipinos.
