Lawmakers are urging energy agencies to take steps to ease the burden on consumers in off-grid areas as rising fuel prices continue to drive up electricity costs.
Northern Samar 2nd District Rep. Edwin Ongchuan, vice chair of the House Committee on Energy, warned that more than half a million households relying on diesel-fired power plants could face higher electricity bills due to increasing global fuel prices.
“These off-grid and missionary electrification areas are more sensitive to fuel price changes, and global fuel price increases affect these consumers directly,” Ongchuan said.
Ongchuan, along with Catanduanes Rep. Eulogio Rodriguez, filed House Resolution No. 883 urging the Department of Energy, National Power Corp. and the Energy Regulatory Commission to explore measures to mitigate the impact of rising electricity costs in off-grid communities.
The resolution also calls on the House Committee on Energy to conduct an inquiry, in aid of legislation, into the fuel price pass-through mechanism applied in these areas.
Under current policies of the Energy Regulatory Commission, fluctuations in fuel costs are directly reflected in electricity rates through cost recovery mechanisms.
“This situation has contributed to higher electricity bills in SPUG areas, affecting households and small businesses that already face economic challenges,” Ongchuan said.
Several island municipalities in Northern Samar, including San Vicente, San Antonio and Capul, as well as Batag Island in Laoang, are among the areas classified as off-grid and are directly affected by rising fuel costs.
The lawmakers urged energy agencies to consider immediate and practical measures such as temporary relief interventions, fuel price stabilization strategies and improved cost management systems.
The National Power Corp.’s Small Power Utilities Group operates between 274 and 281 diesel-fired power plants nationwide, supplying electricity to about 2,833 barangays and an estimated 868,397 households in off-grid areas.
The resolution also highlights the need to strengthen consumer protection, promote transparency and support long-term efforts to transition to more affordable and sustainable energy sources.
Napocor earlier said its 2021 to 2025 Missionary Electrification Plan includes integrating renewable energy, particularly solar hybrid systems, into SPUG-served areas, following the pilot hybridization project in Limasawa Island in Southern Leyte.