DE JESUS URGES ERC TO PURSUE REGULATORY RESET
House Deputy Minority Leader and PHILRECA Party-List Representative Presley De Jesus grilled the Energy Regulatory Commission (ERC) during the FY 2023 budget briefing last September 1.
The solon emphasized that the resetting of rates could provide solution to the electricity rates. “Pursue Regulatory Reset exercise for Distribution Utilities and Complete Regulatory Reset exercise for the National Grid Corporation of the Philippines. I think this is the solution towards affordability”, De Jesus said.
ERC Chairman and CEO Atty. Monalisa C. Dimalanta agreed with the lawmaker and stated that resetting the rates in today’s climate could result in the lowering of
electricity rates. ERC further explained that the National Grid Corporation of the Philippines (NGCP) and Distribution Utilities—who are regulated entities—reset every four or five years.
De Jesus also raised the issue on the Weighted Average Cost of Capital (WACC). “Never, not a single centavo nakinabang ang Electric Cooperatives dito sa WACC na ito,” he said.
The lawmaker believes that electric cooperatives will benefit from the resetting process. Resetting will recalibrate the transmission wheeling rates and distribution wheeling rates. The lowering of transmission wheeling rates will directly result in lower electricity rates of all on-grid distribution utilities.
Deputy Minority Leader De Jesus voiced his legislative priority to amend RA 9136 or the the Electric Power Industry Reform Act (EPIRA) during the Minority Press Conference held at the House of Representatives last August 17.
In line with the President’s legislative agenda, Deputy Minority Leader Presley De Jesus believes it is high time for the government to undertake a comprehensive review of the implementation of the law and the bodies esponsible for it. onsible for it.
DE JESUS TO PUSH FOR AMENDMENTS IN EPIRA Continue reading on page 3. Additional Budget to Energize Sitios p. 2 Clarifying WESM Operations p. 4 Priority Bills Visualized p. 6 WHAT’S INSIDE: Sa PHILRECA, Protektado ka!
DE JESUS BATS FOR ADDITIONAL BUDGET TO ENERGIZE SITIOS
In the plenary debates of the House of Representatives for the 2023 budget of the Department of Energy last September 27, PHILRECA Party-List Representative Presley De Jesus probed on the status of the Sitio Electrification Program (SEP) of the National Electrification Administration (NEA).
According to the NEA, there are 21,753 sitios in the Philippines that are still yet to be energized. The proposed budget for the SEP for FY 2023 is P3.1 Billion, but was granted only P1.627 Billion.
“The access to electricity is a right of every Filipino. Way back then, electricity was a privilege of only a few but now, it is a right of every
Filipino”, De Jesus said.
“Are we going to wait for another 10 years or more para mapailawan ang lahat ng sitios sa Pilipinas?” the solon added.
De Jesus stressed that the budget allocated for the Sitio Electrification Program is not enough to energize the remaining sitios and households in far-flung areas. He appealed to his fellow lawmakers to support the augmentation of the budget in order to increase the number of sitios that will enjoy the benefits of having access to electricity.
“I hope this august body, nakikinig sila na kailangan dagdagan ang pondo”, Deputy Minority Leader De Jesus said.
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DE JESUS TO NEA: HANDS OFF BENECO!
In his Privilege Speech last August 2, 2022, PHILRECA Party-List Representative Presley De Jesus decried the continuing blatant disregard of the National Electrification Administration (NEA) to the House of Representatives and the wisdom of its Honorable Members in the case of the Benguet Electric Cooperative (BENECO).
The second-term lawmaker adverted to the 18th Congress’ adoption of House Resolution No. 213 that called for strict adherence to a NEA Memorandum on the selection of General Managers of Electric Cooperatives, revocation of a NEA Board Resolution that authorized the selection of BENECO’s new general manager, and avoidance of ultra vires acts until all of the issues surrounding the BENECO case will have been resolved.
He expressed worry about the NEA’s internal meddling in the affairs of BENECO; the control and manipulation of cooperative funds by the new and NEA-selected BENECO General Manager. He explained that the cooperative had already failed to pay its power suppliers because of these developments and that this could
result in the transfer of such costs to BENECO’s consumers and the occurrence of province-wide power outages.
Representative De Jesus calls the actions by NEA “shameful and power-hungry that will lead to the crippling of BENECO’s operations. This is anti-people, unethical, and illegal.”
“I believe that our institutions must work FOR US, and NOT AGAINST US. I call on NEA to stop tarnishing the dignity and decency of your institution to forward personal and selfish agenda. What is at stake is not only the future of the people of Benguet, but the autonomy and freedom of the Rural Electrification Program.” De Jesus added.
Thereupon, he asked Congress and the Executive to take appropriate action and the NEA to follow the law and let the people decide on the matter. He pointed out that BENECO had been offering worldclass services and cheap electricity to its consumers for the last 40 years; and thousands of BENECO member-consumer-owners can attest to this, and continue to count on their Representatives, to stand in solidarity with them.
IN EPIRA
“The government, generation companies, transmission companies, distribution utilities, and all stakeholders must work together to achieve the goals of EPIRA. We can blame each other all we want, but at the end of the day, it is the welfare of the people that is at stake—and this is what we should focus our actions on” the PHILRECA Partylist Representative said.
During the Press Conference, the solon highlighted that they have been pushing for the EPIRA amendment since the 18th Congress to address the shortcomings of the law. The legislator further added that they have also filed legislative measures this 19th Congress to amend certain provisions of the law.
Republic Act No. 9136 or EPIRA was enacted in 2001 to ensure and accelerate the total electrification of the country through quality, reliable, secure, and affordable supply of electric power.
The government, generation companies, transmission companies, distribution utilities, and all stakeholders must work together to achieve the goals of EPIRA.
Continued from page 1. DE JESUS TO PUSH FOR AMENDMENTS
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DE JESUS SEEKS TO CLARIFY WESM OPERATIONS
Deputy Minority Leader Presley De Jesus questioned having two Market Operators —the Philippine Electricity Market Corporation (PEMC) and the Independent Electricity Market Operator of the Philippines (IEMOP)—managing the Wholesale Electricity Spot Market (WESM) during the Committee on Energy meeting last September 15.
“The set-up of having two entities—PEMC and IEMOP— involved in the operations of WESM affects the amount of market fees collected by the WESM. Ultimately, these market fees increase the electricity rates paid by the consumers”, De Jesus said.
The PHILRECA Party-List Representative also questioned the composition of IEMOP, as it was revealed that the board of directors of IEMOP are all private individuals, none from the energy sector.
“This does not satisfy Rule 4 of the Implementing Rules and Regulations of EPIRA’s requirement of not less than two (2) years of experience and expertise as a leading market operator of similar or larger sized electricity market”, the solon said.
In the same committee meeting, the lawmaker queried the National Grid Corporation of the Philippines (NGCP) as to the status of the Small Power Utilities Group Areas, and the timeline of the implementation of the submarine cables for the island interconnection in the areas of Mindoro and Palawan.
De Jesus lamented on the long wait and suffering of the memberconsumer-owners from these areas, and asked why the Energy
Regulatory Commission did not act on it, and why it takes so long for the decision to arrive.
“In order for us to move forward, kailangan magtulungan tayo.”
Representative De Jesus says he sees the need for more meetings and improvement in the services of IEMOP, PEMC, NGCP and ERC.
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In order for us to move forward, kailangan magtulungan tayo.
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HOUSE
HON. PRESLEY DE JESUS
HOUSE BILL
HOUSE BILL
HB NO. 2156 @PhilrecaPartylist Room 618 North Wing Bldg., House of Representatives, Batasan Hills, 1126 Quezon City
Deputy Minority Leader FOR 19TH CONGRESS PRIORITY LEGISLATION An Act Extending the Existing Franchise of the Leyte II Electric Cooperative Inc. (LEYECO II) to Construct, Install, Establish, Operate, Own, Own, Manage and Maintain Distribution Systems for the Conveyance of Electric Power to the End-Users in the City of Tacloban and Municipalities of Babatngon and Palo, Province of Leyte
NO. 5215 An Act Empowering the ERC in Monitoring Oil Prices Charged to Oil-Based Power Generation Facilities
NO. 2150 An Act Exempting the Sale of Electricity by Generation, Transmission, and Distribution Companies and Electric Cooperatives from the Imposition of Vat HOUSE BILL NO. 2151 An Act Providing for the National Policy and Framework for Energy Advocacy, Creating for the Purpose the Energy Advocacy Counsel Office HOUSE BILL NO. 2152 An Act Mandating the Government to Con struct, Operate and Maintain Power Generating Assets to Ensure Grid Stability and Supply Reliability for Ancillary Purposes HOUSE BILL NO. 2153 Romblon Electric Cooperative (ROMELCO) Franchise HOUSE BILL NO. 2154 An Act Providing for the Regulation of Sub-Me ters and Redistribution of Electricity
BILL NO. 2155 An Act Providing for the Grant of Tax Exemp tion on Real Property Taxes Imposed on Land Owned and Used by Electric Cooperatives HOUSE BILL NO. 2156 An Act Proclaiming the First Monday of August Every Year as Linemen Appreciation Day HOUSE BILL NO. 2157 An Act Providing for Mandatory Insurance Coverage and Benefits for All Line Workers HOUSE BILL NO. 2158 An Act Establishing the Lineman Training Academy of the Philippines HOUSE BILL NO. 2159
