US, ERC, DOE work to bring down power rates

MANILA, Philippines — The United States Agency for International Development (USAID), Energy Regulatory Commission (ERC) and Department of Energy (DOE) are working together to find ways to bring down power rates.

Launched in Taguig City, a web-based monitoring platform for the Competitive Retail Electricity Market (CREM) aims to promote free and fair competition within the energy sector and potentially cut down electricity costs.

The US embassy in Manila explained yesterday that USAID’s technical and development support for the CREM online platform is part of its five-year, P1.6-billion ($34 million) Energy Secure Philippines project that began in 2020.

Through the CREM system, consumers with an average monthly energy consumption of at least 500 kilowatts are qualified as “contestable customers” who have the option to select their preferred retail electricity supplier (RES).

To date, there are 47 licensed RES under the ERC and prior to open access to energy, consumers were solely reliant on energy supplied by their distribution utilities.

The CREM online platform functions as a digital electricity marketplace for contestable customers, allowing them to track and compare the performance of various RES, switch between suppliers as they desire and find the best deal based on their energy needs.

It is expected to become available to the public through the ERC website (https://www.erc.gov.ph/) by the third quarter of the year.

“Since 2001, USAID has supported the Philippine government in restructuring its electric power industry. Today, reforms have shifted to the development of electricity marketplaces. Consumers can eventually decide on the best source for their energy needs,” USAID mission director Ryan Washburn said. — Richmond Mercurio