ANAKPAWIS Partylist Rep. Rafael V. Mariano joined by the leaders of the country’s largest labor and urban poor organizations today asked the Energy Regulatory Commission (ERC) to reverse its decision approving the P0.19 per kilowatt hour (kWh) power rate hike for the recovery of P53 billion in stranded costs of the National Power Corporation (Napocor).
Mariano said the P0.19 per kWh power rate hike is grossly unfair, unreasonable and an arbitrary imposition by the government.
The latest power rate increase will reflect in the universal charge on electric bills of electricity end-users starting March. Power customers consuming an average of 200 kWh will have to pay for an additional P38.76 in their monthly bill.
Mariano together with leaders of Kilusang Mayo Uno (KMU), Kalipunan ng Damayang Mahihirap (KADAMAY) and the Koalisyon ng Progresibong Manggagawa at Mamamayan (KPMM) delivered a protest letter to the ERC office expressing the consumers’ refusal to pay for the multibillion stranded contract cost and higher power rates.
“It is the ERC’s responsibility to monitor and regulate the electric power industry and ensure that consumers are provided with sufficient power supply at reasonable rates. But instead of giving high premium to the interest and welfare of consumers and the Filipino people, the ERC has allowed every power rate hike petition forwarded by Napocor, PSALM and Meralco,” said Mariano.
“The ERC is not doing its job to protect public interest. The public is highly suspicious that ERC is in grand connivance with independent power producers (IPPs) to keep power consumers miserable, exploited and pestered with high electricity cost 24 hours a day,” the solon added.
“We represent millions of Filipino consumers who are sick and tired of paying the old and new contract debts incurred by Napocor. We do not want to pay for higher power rates anymore,” said Anakpawis Secretary General Jun Luna.
Anakpawis Partylist demands the following from the regulatory commission:
1. Immediate suspension of collection and recovery of stranded costs;
2. Review and revisit of all independent power producers (IPP) contracts to lessen the financial obligations of National Power Corporation (Napocor);
3. Stop and reversal of pro-foreign and burdensome policy of neoliberal power restructuring under the Electric Power Industry Reform Act (EPIRA) of 2001 that caused the steadily increasing power rates.
Mariano is the author of House Bill 4847 that seeks to repeal EPIRA.
EPIRA was long proved disadvantageous and anti-people because of the unjust payment of stranded contract cost or the excess of the contracted cost of electricity under eligible contracts.
“Through EPIRA, the government unjustly obliged all electricity end-users to cover payment of Napocor’s stranded debt and stranded contract costs. It is totally unacceptable that consumers are being forced to pay for electricity that they did not consume or use at all. Worse, we are paying very expensively for power plant capacity which IPPs did not actually produce,” Mariano said.