By Benjamin Cuaresma
MANILA— Negros Electric and Power Corp. (Negros Power), the electricity distributor led by businessman Enrique Razon Jr., has thrown its support behind President Ferdinand Marcos Jr.’s proposal to reduce electricity costs, saying it is prepared to implement the policy once the government issues the necessary regulations.
The company said President Marcos’ initiative to ease the burden of high power costs on Filipino households is a welcome development that could provide meaningful financial relief to consumers.
Negros Power spokesperson Leomel Tambanillo said the utility fully supports the administration’s objective of making electricity more affordable while ensuring that all actions remain consistent with existing laws and regulatory requirements.
“We fully support President Marcos Jr.’s initiative to reduce electricity expenses for our consumers,” Tambanillo said.
He added that the company is awaiting the official implementing guidelines from the Department of Energy (DOE) and the Energy Regulatory Commission (ERC), particularly on the proposed removal or reduction of system loss charges from consumers’ monthly electric bills.
According to Tambanillo, distribution utilities must continue operating within the current regulatory framework until the DOE and ERC issue formal rules implementing the President’s directive.
“Once the DOE and ERC release the implementing guidelines or the necessary regulatory rules, we are ready to fully comply,” he said.
Negros Power also pledged to work closely with the national government and energy regulators to ensure the smooth implementation of any reforms aimed at lowering electricity rates.
The company assured consumers that it would immediately carry out all official directives once finalized, while continuing to provide reliable, efficient and consumer-focused electric service.
President Marcos announced the proposed reform during his fifth State of the Nation Address (SONA), where he urged Congress to amend the Electric Power Industry Reform Act (EPIRA) to prohibit the charging of system loss costs and the corresponding value-added tax to electricity consumers.
The President argued that consumers should no longer shoulder expenses resulting from inefficiencies in the power distribution system.
System loss refers to the difference between the amount of electricity delivered through the distribution network and the volume actually billed to customers. The losses may result from technical limitations in transmission and distribution facilities, as well as illegal power connections and electricity theft.
Under the President’s proposal, distribution utilities would no longer be allowed to pass these costs on to consumers once the necessary legislative amendments and implementing rules are in place.
The proposed policy is expected to undergo further review by Congress, the DOE and the ERC before its nationwide implementation.
ia/xf
