Belmonte wants EPIRA amended

CEBU, Philippines - House Speaker Feliciano “Sonny” Belmonte wants the Electric Power Industry Reform Act (EPIRA) amended soon in order to address persistent power supply problems and high power cost.

Belmonte said having a stable power supply and competitive power rates will reawaken the country’s local manufacturing industries and provide opportunities for unskilled and rural workers.

Belmonte was in Cebu last Saturday to speak in the 14th Supreme National Congress of the Associated Labor Unions-Trade Union Congress of the Philippines.

He said investments that come in should remain in the country.

 “Addressing persistent power supply constraints and high power costs by passing amendments to the EPIRA is now deemed critical,” he said.

Republic Act 9136, or EPIRA was signed into law by former President Gloria Macapagal-Arroyo in 2001.

It was designed to bring down electricity rates and to improve the delivery of power supply to end-users by encouraging greater competition and efficiency in the electricity industry.

ALU-TUCP, the country’s biggest labor federation said that they will be having a series of national protest on high power cost issues.

In its proposed resolution, ALU-TUCP is calling the Department of Energy to create a Power Sector Roadmap to ensure a stable energy supply for the country and reduction of high power rates that burdens the workers and threatens the country’s competitiveness.

“It is worrisome that because of the increasing price of electricity, investors may be discouraged to bring in and put up new businesses that can create jobs for millions of unemployed,” the resolution states.

It added that due to spiralling power costs, those locators in economic zones may relocate to other countries, threatening the livelihood of at least 240,000 workers and their families.

Meanwhile, Rep. Maria Theresa Bonoan-David (4th District, Manila) is urging the House Committee on Energy to investigate the impending series of increases in power costs because of the petitions filed by the Power Sector Assets Liabilities Management (PSALM) with the Energy Regulatory Commission.

PSALM has filed another petition before the ERC seeking a “true up adjustment” of P0.1059 per kilowatt house for Luzon, P0.1157 per kilowatt hour for Visayas and a reduction of P0.0258 per kilowatt house for Mindanao.

The said petition is on top of PSALM’s pending petition to increase the universal charge imposed on power users by P0.39 per kilowatt hour to recover a portion of the National Power Corporation’s debts.

PSALM has also another pending petition for the adjustment of the NPC’s base rate under the Generation Rate Adjustment Mechanism and Incremental Currency Exchange Rate Adjustment where it seeks an adjustment of P4.72 per kilowatt hour for Luzon, P4.26 per kilowatt hour for Visayas and P3.17 per kilowatt house for Mindanao.

In a press statement, she said that the cost of power is a significant factor in the number and amount of investments that a country is able to attract.

These investments help create opportunities that generate the much-needed jobs to spur economic development. — (FREEMAN)

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