Lacson seeks probe into power bill hikes, ‘bill shock’

MANILA, Philippines —  Sen. Panfilo Lacson has filed a resolution seeking a Senate investigation into rising electricity rates, “bill shock” complaints and system loss charges passed on to consumers.

Under Senate Resolution 511, Lacson urged the appropriate Senate committee to conduct an inquiry to strengthen transparency, accountability and consumer protection in the power industry.

Lacson said residential electricity rates in the Philippines remain among the highest in Southeast Asia, placing a heavy financial burden on Filipino households, workers and businesses.

He noted that while higher power rates may be driven by supply constraints, fuel costs, foreign exchange movements and other market factors, Congress should determine whether existing regulations adequately protect consumers from “excessive, unreasonable or avoidable” increases in electricity charges.

The senator also cited reports of “substantial and unexplained” increases in Meralco bills in recent months, as well as complaints over alleged irregular meter readings.

He pointed to the Energy Regulatory Commission’s approval allowing Meralco and four power generation companies to recover P31.34 billion in costs, a move expected to increase electricity rates beginning March this year.

He noted that Meralco’s residential rate climbed from P13.2730 per kilowatt-hour in January to P14.8261 per kWh in July after a series of rate adjustments.

The resolution also seeks to examine system loss charges, including non-technical losses caused by electricity pilferage, meter tampering and illegal connections, which consumer groups argue should not be passed on to paying customers.

Meanwhile, Senate President Sherwin Gatchalian urged the National Grid Corporation of the Philippines (NGCP) to accelerate the modernization of the country’s power grid, saying it is crucial to keeping electricity reliable and affordable as power rates continue to rise.

Gatchalian said a more efficient and flexible transmission system would better accommodate the expected expansion of renewable energy projects and the country’s gradual shift to electric vehicles.

“An efficient and flexible power system is key to ensuring a stable and affordable electricity supply,” Gatchalian said, noting that the call comes after Meralco announced another increase in electricity rates due to higher generation costs driven by rising fuel prices and taxes.