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Bam Aquino calls for sustainable, equitable electricity subsidies

SENATOR Bam Aquino
SENATOR Bam AquinoPhotograph courtesy of Senate
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Sen. Bam Aquino pushes for electricity subsidies funded through the national budget instead of being passed on to consumers to improve transparency, accountability, and sustainability of subsidy programs on Tuesday.

Aquino called for an inquiry to ensure their “fair and sustainable implementation without placing undue burden on electricity consumers in Senate Resolution 375.

“Let us scrutinize these additional charges. Many Filipinos are already struggling, including those in the middle class. The public should no longer be burdened with additional expenses if the government has funds available for assistance,” Aquino said in Filipino.

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The resolution also seeks to review the current cross-subsidy mechanism results, where discounts granted are recovered from other electricity consumers, raising concerns over equity and sustainability.

On initial estimates mentioned in the resolution, subsidy-related charges may add P20 to P100 per kilowatt-hour every month to the electricity bills of non-beneficiary homes, depending on consumption levels.

“It is important for us to understand the system of collection and ensure that the burden is not borne by our fellow Filipinos in the middle class who are also struggling,” the Senator said.

Under Section 73 of Republic Act 9136, or the Electric Power Industry Reform Act, a lifeline rate provides discounted electricity bills for marginalized end-users who have difficulty paying at full cost.

With this, the Energy Regulatory Commission permits qualified beneficiaries consuming up to 50 kilowatt-hours per month to receive discounts of up to 100 percent, based on standardized eligibility criteria implemented in January 2026.

Additionally, senior citizens receive a 5 percent discount on electricity consumption of up to 100 kWh per month under Republic Act 9994.

Aquino emphasized that the objective of the policy is not to remove the lifeline rate subsidy, but to ensure that it targets sustainability and equity without burdening other electricity consumers.

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