Amend EPIRA not Charter — group

Amend EPIRA not Charter — group | Daily Tribune

A consumer group is urging lawmakers to overhaul the country’s power system through an overhaul of the Electric Power Industry Reform Act or EPIRA of 2001 to cut the cost of electricity hurting the pockets of Filipinos.

In a statement over the weekend, United Filipino Consumers and Commuters, or UFCC, president Rodolfo Javellana Jr. lamented that the untempered rise of power cost could even adversely affect the administration’s economic goals.

“If that is the law, then we should revise or modify, instead of them prioritizing amending the Constitution,” Javellana said.

The consumer advocate was referring to efforts to change the Constitution which had caused a feud in the Senate and the House of Representatives.

Javellana pointed out that the high power rates are a major disincentive in efforts to attract more investors — foreign or local.

Last week, electricity rates increased by 57 centavos per kilowatt-hour due to high generation costs, which translates to an additional P115 in the total electricity cost of households consuming 200 kilowatt-hours.

“The ‘Bagong Pilipinas’ initiatives will not be realized if electricity rates will continue to be expensive and costly,” Javellana said.

“The foreign investors we are trying to attract will not set up business here due to the prohibited electricity prices those companies are owned by a few oligarchs),” he added.

Investor-friendly climate needed

The UFCC head said to bring a more investor-friendly business climate, Congress must dismantle monopolistic laws and revise the Electric Power Industry Reform Act or EPIRA of 2001.

“We want the economy to improve, we want more ‘foreign direct investments’, then electricity must be made affordable so that there will a lot of investments going in the country,” Javellana said in Filipino.

The effects of adjusting power rates to reasonable levels would be felt immediately in terms of more investments once the EPIRA is revised.

To conduct a thorough review of EPIRA, Javellana said it was also important to look deeper into the practices of power utilities and allegations of monopoly.