ERC updates 31 electric coops in Luzon on regulatory compliances
-Art Dumlao- — September 19, 2024
BAGUIO CITY (September 19, 2024) -- The Energy Regulatory Commission |(ERC) recently updated all 31 electric cooperatives from Regions 1,2, 4A , 4B and the Cordillera Administrative Region (CAR) on regulatory compliances.
Rules for Setting the Electric Cooperatives Wheeling Rates (RSEC-WR/ERC Resolution No. 20, series of 2009); Tariff Glide Path (ERC Resolution No. 8, series of 2009) and the preparation of a Business Separation and Unbundling Plan (BSUP) were focused on during the September 11-12, 2024 conference here.
The Revised Automatic Cost Adjustment Rules-Preferential Rates, and the Process of Over-Under Application using the Online Uniform Reportorial Requirements System (OURRS/ERC Resolution No. 14, series of 2022.) were also tackled during the conference, which according to ERC Team Leader Engr. Albert Rivera, “is very significant, especially for the new employees of ECs handling these compliances for their ECs specially because these pertains to power rates. The topics tackled here are mostly on billing or charges of ECs to consumers on: generation, transmission, system loss, lifeline rate and senior citizen’s subsidy and discounts, distribution, supply and metering and local taxes.”
These issues are a must for ECs since non-compliance will result to the issuance of show cause orders by the ERC. The show cause orders often result to the imposition of penalties with the EC earning the risk of being cited for non-conformance.
The National Electrification Administration (NEA), the government regulator for the country’s 121 ECs, regularly monitors the compliance of ECs to ERC regulations, adopting it as one of the key performance indicators in rating the ECs.
“Conferences on updates like these are very much needed by distribution utilities (DUs) and ECs. The ERC really conduct conferences like this for the continuing education of all stakeholders in the power industry,” Rivera said.
The ERC contingent appreciated the Philippine Rural Electric Cooperatives Assn. (PHILRECA) for spearheading the two-day gathering that also gave the opportunity for the ECs to raise questions and clarifications. “We appreciate the ECs’ religious compliance to all ERC regulations to avoid show cause orders especially for the computation of rates. Most have been compliant though,” Engr. Rivera said.
