Over Charging

Consumer Watchdog Bantay Konsyumer, Kuryente, Kalsada (BK3) lauds the order of the Energy Regulatory Commission (ERC) directing the refund of a total of Php 6.9 Billion in overcharges to consumers. The ERC recently approved Meralco’s application to refund around P6.9 billion representing under recovery for the generation, transmission for the period the period covering January 2014 to December 2016.

BK3 Secretary General Pet Climaco said “the refund is a welcome development for ordinary Filipino consumers like me. We praise the commission for issuing this order and upholding the right of ordinary consumers.” “We only hope that the ERC continues to Uphold the rights of consumers in light of reports of pending applications seeking to increase the fees charged on our monthly bill” Climaco added.

Among the petitions pending with the ERC is a petition of the National Transmissions Corporation (TRANSCO) seeking to increase Feed-in-Tariff rates by P0.10/kwh (from P0.12 to P0.22/kwh). The National Grid Corporation of the Philippines has at least 15 pending petitions for rate increases to recover expenses arising from force majeure, particularly in the fixing towers and lines by typhoons, earthquakes and other natural calamities.  (Visayas P0.19/kwh; Luzon P0.007/kwh; Mindanao P0.004/kwh). National Power Corporation (NAPOCOR), on the other hand, has filed for a P0.07/kwh in the universal charge for missionary electrification in 2017.

“While the refund of over-recoveries is good news for the consumers, we fear that the additional price increases will actually negate the benefits owed to consumers through refund” Climaco added.

According to Climaco “If computed, the maximum amount that would be paid by consumers due to the price increases will be P0. 36/kwh.  BK3 only hopes that the commissioners of the ERC will continue to defend the rights of Filipino consumers”.