ERC Speeds up Review of Napocor Petition

To solve the current crisis, the  Energy Regulatory Commission (ERC) is planning to speed up the review of petitions of the National Power Corp. (Napocor).

Through an advisory, the ERC has mentioned that had received several requests from various new power providers and eligible third parties that notified the commission of the conditions on the delay of Napocor regarding the universal charge for missionary electrification (UCME) subsidy billing.

The ERC has mentioned that “Please be advised that the commission is already in the process of evaluating all pending petitions of the National Power Corp. for the approval of the availment from the UCME and all other similar applications involving the UCME,”

For Napocor, it clarified that the increasing prices of diesel have caused the depletion of allocated fuel funding.

According to the ERC, Napocor has decided to close the funding gap by implementing corporate-wide austerity measures and by studying potential borrowing or additional subsidies from the national government.

The ERC is in charge of protecting the interests of the consumers as well as the on-grid end-users that end up shouldering the burden of UCME subsidization.

“Rest assured that the commission shall expedite the review of Napocor’s relevant petitions following due process and proceedings, in addition to looking for alternative solutions to solve the present crisis in missionary areas, while ensuring that reasonable prices and quality service will be provided,” mentioned the ERC.

The UCME is one of Napocor’s funding sources as stated by law. This is apart from the energy sales gathered from electric cooperatives.

Source: Philstar