Trillanes commends ERC: better late than never

Senator Antonio "Sonny" F. Trillanes IV on Wednesday commends the Energy Regulatory Commission (ERC) after releasing its findings that prices on the Wholesale Electricity Spot Market (WESM) during the shutdown of the Malampaya power plant last year could not qualify as "reasonable, rational and competitive."

"We commend the ERC, however late, for its findings that there was a market failure and ordered the Philippine Electricity Market Corp. (PEMC) for the recalculation of electricity spot market rates during the Malampaya shutdown in November and December 2013. At least, the public is spared from the heavy burden of huge and unreasonable rate hikes being proposed by Meralco," said Trillanes.

Trillanes also urged the ERC to hasten its investigation on determining who should be liable for this market failure, which points to possible collusion among power players.

In a news briefing, ERC Executive Director Francis Saturnino C. Juan announced the agency's decision to void the spot market prices that were implemented in November and December 2013 and ordered PEMC, operator of the Wholesale Electricity Spot Market, to recalculate the prices during this period. ERC estimates to cut the increase in generation charge by half, thereby negating the ERC-approved plan of Meralco to implement up to P4.15 per kilowatt hour power rate increase, the highest in the country's history.

"The ERC should always practice its mandate of protecting the rights and welfare of power consumers, not only in times when they are being criticized by the public," added Trillanes, who previously criticized ERC due to its inefficiency to scrutinize Meralco power rate hike proposals.