Lawmakers on Thursday urged the Energy Regulatory Commission (ERC) to decide now on seven questionable power deals which have been pending before the body for almost three years.
Akbayan Party-List Rep. Tom Villarin and Bayan Muna Party-List Rep. Carlos Zarate made reactions as the ERC leadership will be completed again following the resignation and retirement of three of its five top officials last year.
ERC Chairperson Agnes Devanadera said the ERC’s delay in resolving the seven questioned power supply agreements (PSAs) were due to the lack of quorum among commissioners.
Last year, Alfredo Non, Gloria Victoria Yap-Taruc retired as ERC commissioners while Geronimo Sta. Ana resigned for health reasons.
The Palace has already appointed Commissioners Catherine Maceda and lawyer Alexis Lumabatan while it was reported that certified public accountant (CPA)-lawyer Paul Christian Cervantes was eyeing for a commissioner post.
With these additional three commissioners plus Devanadera and Commissioner Josefina Patricia Asirit Devanadera, Villarin said ERC would have enough people to decide with pending cases.
Full blast
However, Villarin said the ERC should go full blast in scrutinizing these seven controversial Manila Electric Company (Meralco)-linked PSA.
As a regulatory body, Villarin said ERC should be independent and critical of all applicants for energy power generation supply and distribution that would tend to create monopolies and control of the market.
“The newly-constituted ERC with full membership should go full throttle on investigating all deals that is not to the best interest of consumers, including the Meralco-linked power supply deals,” Villarin said.
For his part, Zarate said the ERC should order the Meralco to submit these PSA to a competitive selection process.
“I think what is left now is to order these seven power supply agreements or Meralco to submit these to a competitive selection process (CSP),” he said.
Meanwhile, Zarate urged ERC commissioners to look into the findings of the House Representatives on the supposed “sweetheart” power deals, involving these seven PSAs.
“During the House hearings, it was shown and proven that the seven power supply agreements were actually filed beyond even the extended deadline. The commissioners can use this, they can study what happened during the hearings here,” he said.
Zarate said consumers would shoulder P930 billion in additional power rate expenses within the 20-to-21-year duration of the power supply deals if ERC approves them.
These controversial PSAs include Redondo Peninsula Energy Incorporated (which is applying for a 225-megawatt [MW] plant), Atimonan One Energy Incorporated (1,200 MW), St. Raphael power Generation Corporation (400 MW), Central Luzon Premiere Power Corporation (528 MW), Mariveles Power Generation Corporation (528 MW), Panay Energy Development Corporation (70 MW), and Global Luzon Energy Development Corporation (600 MW).
Image credits: Nonie Reyes