HERE we are again.
Power shortages, electricity rate hikes, and brownouts.
These are the three prevailing realities across the Visayas today.
They are no longer isolated incidents but recurring problems that neither the rich nor the poor can escape. Time and again, consumers are left to endure the burden.
No wonder the common reaction is: “Na, naman!?”
The question now is: Where are the Department of Energy (DOE) and the Energy Regulatory Commission (ERC) amid these troubling realities?
Are they simply sleeping on the job?
‘RATTLE’ IS REAL
Indeed, the “rattle” is real for power distribution utilities (DUs) in the Visayas.
Why?
Because electricity rate increases have become inevitable.
DUs are the first line of defense against angry consumers, many of whom do not fully understand the complex factors behind the rising cost of electricity.
That reality became even clearer during the Visayas Forum hosted by Enrique Razon Jr.-led Primelectric at the SMX Convention Center in Bacolod City on Monday, July 13.
Neil Parcon, Primelectric vice president for Corporate Energy Sourcing and Commercial Affairs, said the company had no choice but to increase the July electricity rates of MORE Power in Iloilo City, Negros Power in central Negros Occidental, and Bohol Light in Tagbilaran City.
For Negros Power, Parcon explained that instead of immediately imposing the full P1.70 per kilowatt-hour (kWh) increase, the company proposed charging only P0.20/kWh this July, with the remaining P1.50/kWh to be implemented on a staggered basis.
As a result, the residential rate will increase from P13.84/kWh in June to P14.04/kWh this July.
Why adopt this approach?
Because Parcon recognized that imposing the entire P1.70/kWh increase at once would be too heavy a burden for ordinary consumers who had already absorbed a power price spike of more than P2/kWh in June.
In an effort to cushion the impact, Primelectric adopted what it considers a win-win formula to minimize the financial shock on consumers in Iloilo, Negros, and Bohol.
A commendable move with a heart.
However, it must be emphasized that the proposed July rate adjustment and the staggered implementation scheme for Negros Power are still subject to ERC approval.
POWER ANALYTICS
Now, let’s look at the numbers.
As of July 14, the National Grid Corporation of the Philippines (NGCP) reported that available power supply in the Visayas stood at 2,662 megawatts (MW), while peak demand reached 2,395 MW, leaving only a thin reserve margin of about 231 MW.
What does this mean?
It means the possibility of yellow alerts, red alerts, and manual load dropping.
For many consumers, these technical terms mean very little.
Simply put: “Wala sang basta nga suplay sang kuryente sa grid.” There simply isn’t enough electricity in the grid.
Why?
Because several fossil fuel-powered plants in the Visayas remain offline due to forced outages, scheduled preventive maintenance, and other operational issues.
In June alone, the NGCP reported that 17 power plants in the Visayas were not operating.
Another harsh reality is that renewable energy, particularly solar power, cannot be relied upon during nighttime.
This explains why existing power generators in the Visayas have reportedly increased their generation rates by approximately 40 percent.
Even worse is the Wholesale Electricity Spot Market (WESM).
According to discussions during the Visayas Forum, electricity sold through WESM has surged by as much as 86 percent, reaching around P18/kWh compared to the same period last month.
Since WESM operates as a deregulated electricity trading market, neither the DOE nor the ERC has absolute authority to dictate its pricing.
And because DUs often have no choice but to source electricity from WESM during supply shortages, they are likewise compelled to pass on the higher generation costs to consumers.
As the saying goes: “Sulit, sulit, sulit” — except consumers are the ones paying the price.
An unpleasant reality, indeed.
‘HIGHLY FRUSTRATING’
Given these recurring problems, are the officials of the DOE and ERC literally — or figuratively — sleeping on their responsibilities?
The endless cycle of power shortages, soaring electricity rates, and brownouts has become highly frustrating.
When consumers vent their anger, DUs become the immediate target.
Their only shield is often the media.
Unfortunately, not every journalist possesses the technical expertise to fully explain the complicated issues surrounding the country’s power sector.
After all, power reporting is far more complicated than covering routine police stories involving theft, shootings, stabbings, or burglary.
One cannot help but pity the DUs, which constantly serve as the “shock absorbers” of consumers’ frustrations.
In reality, the DOE and the ERC should be the strongest defenders of DUs amid this power crisis.
Why?
Because increases in generation charges are merely pass-through costs allowed under the Electric Power Industry Reform Act (EPIRA).
Distribution utilities simply collect these charges on behalf of power generators.
The real question is: Who will hold these power generators — or even WESM — accountable for the sake of consumers?
MASSIVE IMPACT
DOE’s Luningning Baltazar and ERC’s Jason Corpus both acknowledged the massive impact of the continuing electricity rate hikes in the Visayas.
Baltazar said the DOE is considering filing charges against power generators that fail to fulfill their obligation to maintain the reliability of their power plants.
Corpus, meanwhile, said the ERC is implementing measures to mitigate the impact of electricity price increases that began in June and are expected to continue until December.
He added that the agency is also considering extending the “No Disconnection” Order until December.
However, after analyzing the pronouncements of both agencies, they still sound like familiar motherhood statements.
The promises keep coming, but consumers continue to wait for meaningful results.
The continuing increase in electricity rates only worsens the effects of the oil-driven economic crisis.
That is a fact — not fiction.
It directly affects the daily lives of ordinary Filipinos struggling to make ends meet.
The public expects the DOE and the ERC to do more than issue explanations.
PowerPoint presentations alone will not solve the problem.
Consumers need tangible and lasting solutions that will prevent further increases in electricity rates.
Otherwise, all these promises inevitably end up where they always do — “palagpat.”
Bad. Simply bad./PN
