ERC urged to reconsider allowing NGCP to charge consumers for incomplete projects

Senator Win Gatchalian has called on the Energy Regulatory Commission (ERC) to reconsider its ruling allowing the National Grid Corporation of the Philippines (NGCP) to collect additional transmission fees from consumers for projects that remain unfinished.

Gatchalian, who chairs the Senate Committee on Finance, slammed the policy for removing incentives for timely project completion, saying it rewards delay instead of efficiency.

“There is no incentive for them to finish the project kasi nangongolekta na sila (because they are collecting). That's the reason why we saw a lot of delayed projects that led to brownouts,” he said.

The senator was referring to a recent ERC decision on NGCP’s delayed rate reset, which revealed an under-recovery of P28.3 billion — an amount that would be passed on to consumers.

“In short, tayo pa ang may utang sa NGCP (In short, we are the ones who owe money to NGCP),” Gatchalian said, calling the policy unfair to electricity users.“That’s unfair for consumers. I don't agree with paying for projects that are not yet commissioned,” he added, noting that President Ferdinand Marcos Jr. had also criticized NGCP for project delays that caused nationwide power disruptions.

Gatchalian lamented that instead of being penalized, NGCP stands to profit under the ERC’s ruling, and urged the regulator to revisit its decision to protect consumer welfare.