The Energy Regulatory Commission (ERC) has issued an order to all distribution utilities (DUs) on refund of certain charges to their customers.
In its latest advisory on billing refund guidelines, the agency said Thursday the feed-in-tariff allowance (FiT-All) and Universal Charge -Environmental Charge (UC-EC) that were collected from their consumers during the quarantine period should be returned.
The ERC has deferred the collection of the FiT-All for the billing months of March and April as stated in its April 15 and May 5 advisories.
The FiT-All represents payment to renewable-energy developers. This currently amounts to P0.0495 per kilowatt-hour. This is collected by the National Transmission Corp. (Transco) from all electricity consumers.
Also, the ERC indefinitely suspended the collection of UC-EC amounting to P0.0025 per kWh beginning in June, as stated in its May 22 advisory.
More important, customers who overpaid on their electricity bills are also entitled to a refund.
These are the overpayments made by consumers arising from monthly billings issued based on estimated consumption and verified against actual meter reading, and overpayments resulting from the non-implementation of the installment payment scheme prescribed by the ERC.
Confusion over power bills started when consumers received their June bills because they were asked to settle their bills from March, April and May, even though the government allowed payments for the said months to be settled in four to six monthly installments.
The country’s largest electricity distributor, the Manila Electric Co. (Meralco), earlier agreed to return excess collections made during the enhanced community quarantine (ECQ).
In particular, Meralco President Ray Espinosa said customers who paid their bills in full are entitled to a refund should they opt to avail of the installment plan.
The necessary clarifications will be carried out via the issuance of a letter to all Meralco customers whose meters were read in May but whose bills contain a previous reading that is actually based on estimated March and/or April consumption.
“We have our shortcomings. The previous estimates for March and April, those added to the confusion. We plan to clear up everything in a letter,” Espinosa had said.
The ERC also directed all DUs that overpayments must be accurately and clearly reflected on the billing statement. Likewise, various refund options must be presented to their customers.
“For consumers who are entitled to refunds due to overpayments, they may, in lieu of cash refund, request the DUs to apply the amount to be refunded as credits that will be applied in the immediate future billings,” the ERC said, adding that any refund option chosen by the customer must be acknowledged by the DU within 48 hours upon receipt.
Meanwhile, for consumers who already paid in full their monthly billings that fell due during the ECQ or modified ECQ that is covered by the mandated installment arrangement, they shall also have the option to seek a refund and avail of the mandated installment payment.
The DUs are required to submit to the ERC a monthly report on overbillings and the refund undertaken. The first report must be in not later than August 15.
For DUs in Cebu province, particularly in places that are still under the ECQ, they are directed not to effect any disconnection on account of unpaid ECQ bills of electricity consumers until September.