Philippine Senator Warns Power Companies Against Unjustified Price Hikes Amid Looming “Super El Niño”
Key Takeaways
- •Senate Committee on Energy Chairperson Erwin T. Tulfo warned power companies against using the incoming super El Niño to impose unjustified price hikes or deliver substandard service.
- •Tulfo called on the Department of Energy and the Energy Regulatory Commission to fast-track concrete plans and safeguards to keep energy supplies stable and ensure no artificial shortages are created to justify price spikes.
- •Energy Secretary Sharon S. Garin said on Oct. 7 that the impending super El Niño and Middle East conflicts may strain power facilities, and the public should expect electricity price spikes and rolling blackouts.
- •House Bill No. 10858, the proposed 2027 General Appropriations Bill, includes an allotment for expanding sitio electrification, the program extending electricity access to remote communities.
- •El Niño historically brings drier-than-normal conditions to the Philippines and can curtail output from hydroelectric facilities, which form part of the country's power mix.
A Philippine senator on Sunday warned power companies against taking advantage of extreme weather conditions, such as the incoming “Super El Niño,” to impose unjustified price hikes or deliver substandard service.
In a statement, Senate Committee on Energy Chairperson Erwin T. Tulfo told power companies to ensure that any price increases are fair. He also urged the Department of Energy (DoE) and the Energy Regulatory Commission (ERC) — the government bodies that oversee national energy policy and regulate power industry rates, respectively — to protect consumers from abusive pricing amid looming electricity rate hikes and outages.
Energy Secretary Sharon S. Garin said on Oct. 7 that the impending super El Niño and conflicts in the Middle East may strain power facilities. She advised the public to expect electricity price spikes and rolling blackouts.
Mr. Tulfo said the DoE and the ERC must fast-track concrete plans and safeguards to keep energy supplies stable and ensure that no artificial shortages are created to justify price spikes.
The senator also cited House Bill No. 10858, the proposed 2027 General Appropriations Bill — the national budget legislation taken up by Congress each year — which provides an allotment for the expansion of sitio electrification activities, the government's program of extending electricity access to remote communities. He noted, however, that the measure will be ineffective if Executive agencies do not ease the on-the-ground energy situation.
El Niño is a recurring climate pattern marked by abnormal warming of sea surface temperatures in the central and eastern equatorial Pacific. It historically brings drier-than-normal conditions to the Philippines and can curtail output from hydroelectric facilities, which form part of the country's power mix.
How the DoE and ERC act on the senator's call for safeguards, and how Congress handles the proposed 2027 budget allotment, are the immediate points to watch as the weather pattern develops.
— Francessca S. Abalos
Source: BusinessWorld Online
