Millions of low-income households could soon see their electricity bills shrink further under an expanded Lifeline Program.
The Energy Regulatory Commission (ERC) is eyeing to provide full discounts to qualified users who consume 50 kilowatt-hours (kWh) or less per month, making power more affordable for those who need it most.
The power watchdog said Wednesday that qualified 4Ps beneficiaries with accounts in the distribution utilities (DUs) serving their areas will be automatically enrolled in the program and receive the full lifeline discount.
To fund the program, a P0.01 per kWh subsidy rate will be collected from subsidizing end-users.
The proceeds will form the National Lifeline Subsidy Fund, administered by the Power Sector Assets and Liabilities Management Corp., and used to finance the discounts provided by DUs.
DUs, Retail Electricity Suppliers, the National Grid Corp. of the Philippines, and DUs and RES acting as Suppliers of Last Resort will serve as collection agents, remitting proceeds to PSALM for proper management.
The ERC intends to review the subsidy rate, consumption threshold, and fund sufficiency annually, using data from the Philippine Statistics Authority and reports submitted by DUs.
To ensure the framework is fair and responsive, the ERC is soliciting public feedback through consultations.
“We are conducting public consultation to gather valuable insights from all stakeholders.
This participatory approach ensures that the proposed uniform national lifeline subsidy framework is not only aligned with the law, but is fair, transparent, and responsive to the needs of the marginalized electricity consumers,” ERC Chairperson and CEO Francis Saturnino C. Juan said.