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LKI Press Statement 2021-033
September 5,2021
ARTA ordered ERC to answer on the Petition of Laban Konsyumer against Feed in Tariff increases.
Consumer advocacy group Laban Konsyumer Inc. (LKI) and its President Atty. Vic Dimagiba announced that the Anti Red Tape Authority has issued a Notice of Referral in ARTA Complaint Number 2021 0817 0236 on September 3, 2021 to the Energy Regulatory Commission and to inform Arta on action taken within three (3) days from receipt of the ARTA Referral Notice regarding a petition docketed as ERC Case No 2021 -001 RM to initiate rule making against Feed in Tariff Increases. The referral notice was signed by the Director of the Investigation , Enforcement and Litigation Division of Arta.
The failure of ERC to reply as ordered will amount to a violation of Rep Act No. 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018. The 1st offense is punishable by a 6 months suspension.
The ARTA referral was an offshoot of an affidavit complaint against all ERC Commissioners stating that “on June 21, 2021 I filed an Urgent Motion and Manifestation with the Energy Regulatory Commission to give due course to the Petition and after notice and hearing revoke ERC Resolution No. 06, Series of 2020 promulgated on May 26, 2020.
Dimagiba alleged that “despite all the foregoing, the Petition remains pending and the corresponding Order of Hearing is yet to be issued after the lapse of two hundred ten 210 days from the date the Petition was docketed by the Energy Regulatory Commission on January 13, 2021.
Dimagiba informed that “the Petition seeks to annul the increases in the Feed in Tariff or FIT that is a fixed payment to the developers of renewable energy , which in turn are passed on to all electricity consumers in the form of Feed in Tariff Allowance or FIT All including the complainant herein, pointing out the FIT increases, schedules and billings authorized by ERC Resolution No. 6, Series of 2020 and which the seeks to revoke in his Petition in ERC case No. 2021-001 RM had started being billed by solar and wind energy developers since December 2020 up to November 2025 and actual payment started in January 2021 up to December 2025.
For solar energy, FIT increased from Php 9.68 pkwh to Php 11.2758 /Php 11.4210 and wind energy FIT increased from Php 8.5300 pkwh to Php 10.2036 pkwh.
Dimagiba added that “as published in the website of the Energy Regulatory Commission on July 28, 2021, ERC issued an Initial Order of Hearing on another Petition for Rule Making in ERC Case No 2021-002 RM which was filed on July 6, 2021 and promulgated on July 28, 2021 and set for hearing in September 2021. This is the 2nd petition for Rule Making filed in 2021. ERC Case No. 2021-002 for Rule Making was filed by the Power Electricity Operators Association or PEPOA, an association of private distribution utilities in the country. The PEPOA petition seeks to increase the cost of electricity of electricity consumers by passing all arrearages on recovery of real property taxes, local franchise taxes and business taxes for the past ten (10) years to all electricity consumers including the complainant herein”.
LKI complained that “the Petition filed by PEPOA for Rule Making filed on July 6, 2021 was acted upon by the Energy Regulatory Commission promptly on July 28, 2021,while the Petition filed by the complainant in January 2021 have remained without action by the Energy Regulatory Commission.”
Dimagiba filed the complaint against Hon. /Atty. Agnes Vicenta S. Torres -Devanedara, Chairperson / CEO and Commissioners Atty. Alexis M. Lumbatan, Atty. Floresinda G. Baldo-Digal, Ms. Catherine P.Maceda and Mr. Marco Romeo L.Fuentes, who are all Members of the Energy Regulatory Commission for violation of Section 21 and the imposition of penalties under Section 22 of Republic Act No. 11032 or the Ease of Doing Business and Efficient Government Services Delivery Act of 2018.