House, Senate still at odds over who pays for ILP in PNoy emergency powers

The Senate and the House of Representatives have locked horns over who should pay for the Interruptible Load Program (ILP), a situation that is further delaying a joint resolution to give President Benigno Aquino III special authority to address the looming power crisis.

 

The lower chamber is standing firm on its position to have the government shoulder the cost of tapping private generator sets in order to free additional capacity from the Luzon grid.

 

Discussions among members of the bicameral conference committee on the joint resolution have reached a gridlock because of opposing views on who should bear the cost of running the ILP, said Oriental Mindoro Rep. Reynaldo Umali, who also chairs the House energy panel. 

 

“Yung most contentious point sa aming pag-uusap ay ‘yung pass on provision. ‘Yung sa Senate may papasaning additional cost ‘yung taumbayan, while for the House it’s the government who will assume the cost through the Malampaya [Fund], whether through a subsidy or incentive. 

 

"Basta ang endgame namin ay walang papasaning additional cost ang taumbayan,” Umali told reporters during a press conference Tuesday.

 

Because of the stalemate, the Senate and House have yet to set another date for a bicameral meeting, the congressman noted.

 

Consumers will have to shoulder a four-centavo per kilowatt-hour increase in their electricity bills once the ILP becomes operational, according to estimates by Senator Sergio Osmeña III, who chairs the Senate energy committee.

 

Should the negotiations between the opposing members of the bicameral conference committee fall through, Umali said the ILP could still run but the cost will have to be passed on to consumers, in line with protocols established by the Energy Regulatory Commission (ERC),

 

Based on the lawmaker’s information, over 400 companies have committed around 1,000 megawatts to the ILP. In a recent test run, the program registered a 75 percent participation rate. 

 

Even as the power supply situation seemed to start getting tight with the onset of the dry season, Umali said the Senate will reconsider its position in the end and adopt the House's stance over the pass-on provision.

 

“I’m a hopeless optimist. I still hope the Senate will change its mind because [waving aside the pass-on cost] will provide a relief to a lot of people. I’ve consulted the House leadership. As of last night, the position we’re standing on is still the same,” he said. – VS, GMA News