ERC chief won't resign, scores critics' ‘dirty tactics’

Calls for her ouster are attempts to muddle the truth about the record P4.15-per-kilowatt-hour price hike issue charged by Manila Electric Co. (Meralco), Energy Regulatory Commission chairperson Zenaida Cruz-Ducut said in an e-mailed statement Friday.

 

Ducut said some sectors have resorted to dirty tactics that are designed to enrage public consumers at large and subject her to public ridicule and opinion.

 

The ERC official said she will not resign from her post.

 

"The professionalism and reputation of the entire ERC organization is at stake here, and I will not abandon [it] but will lead my people to what is proper and appropriate," she said.

 

"In my five years and seven months as chairperson and CEO of the ERC, the ERC has risen up through every challenge in the transition to an open and competitive electricity sector and [has] delivered on its mandate,” she added.

 

On Thursday, Akbayan party-list Representatives Walden Bello and Barry Gutierrez filed an administrative complaint against Ducut and asked President Benigno Aquino III to remove the ERC chief from her post.

 

In seeking the ouster of Ducut, the Akbayan lawmakers said she is "guilty of gross neglect of duty by tacitly approving without the barest hint of due process the unprecedented generation charges Meralco sought to pass on to consumers in the months of December 2013, February 2014, and March 2014."

 

However, Ducut defended the commission's action and explained that what the ERC approved on December 9 was Meralco's request to stagger the collection of the record-high power rate hike for the month of December.

 

She also said the P4.15/kWh rate increase of Meralco was calculated in accordance with the Automatic Rate Adjustment (AGRA) Rules promulgated by the ERC as a collegial body in 2004, even before she became the ERC chairperson.

 

"There was no irregularity in approving the clearance sought for the staggered generation cost-recovery of Meralco because the decision was made only with the end view of cushioning the impact on the electricity consumers," the statement read.

 

Under the AGRA Rules, Meralco and all other distribution utilities, can motu proprio (on their own) calculate their monthly generation charges based on the formula incorporated in the rules,  enabling them to immediately recover their allowable generation costs without incurring any carrying costs that are also passed on to the consumers.

 

"While I speak for the entire ERC as its chairperson and CEO, our decisions are 'collegial' in nature and are based on law and regulations and not on my sole discretion, as some detractors would like the public to believe,” Ducut said.

 

Meanwhile, the Energy industry official said the ERC-Investigating Unit (IU) is doing its best to come up with an impartial and comprehensive report. 

 

"People have to understand that the task relegated to us is very complex as it is data intensive.  There are thousands of hours of trading intervals and price offers that need to be examined by the ERC-IU members. The ERC already asked the IU head about his timeline after the IU received data submissions from the Market Operator (MO) and he committed to complete his investigation in two months,” she said.

 

Meanwhile, Ducut thanked Malacañang for the fair treatment she received on the issue of the complaint filed by Akbayan against her. She said she will answer the complaint.

 

"The ERC will not be drawn into any name calling, hasty and emotional statements, as we do not seek publicity nor self-serving positions or aspirations, unlike some detractors who are using this issue for self-aggrandizement," she said. — Danessa O. Rivera/JDS, GMA News