House Speaker Belmonte favors EPIRA review

House Speaker Sonny Belmonte Jr. on Thursday said he is in favor of revisiting the Electric Power Industry Reform Act, or EPIRA law, following the spike in power rates that the Manila Electric Co. (Meralco) will be implementing this month.

 

"I think its about time that we revisit the EPIRA law and see if it's really working or if it really resulted in genuine competition that would supposedly lower costs," Belmonte said in a press conference.

 

Former President Gloria Macapagal-Arroyo signed the EPIRA into law in June 2001. Its intent was to eliminate cartels and bring power rates down by promoting competition in the electricity industry.

 

But Belmonte said the matter should be revisited more than 10 years after its implementation.

 

"It's such an important matter that we need to revisit, it was passed more than 10 years ago, we have more than 10 years experience of it, so it's just right that we revisit it once again. The EPIRA should be revisited to assess whether it was successful and beneficial to the economy,” he said.

 

Belmonte made the statements following Meralco’s looming generation charge hike, which will be divided into three tranches: P2.41 per kWh this month, P1.21 per kWh in February next year, and P0.54 per kWh in March 2014.

 

The Speaker also noted that the House may call for a rollback in prices, following the resolution of the emergency, which is due to the prolonged shutdown of some power plants.

 

“Definitely, we will ask that [rollback], if there is no emergency, there should be no more emergency payments,” he said.

 

However, Belmonte also reminded the public that the House can only investigate the power hike in aid of legislation.

 

"We cannot stop it, we can only inquire on it," he said, referencing the House Committee on Energy’s hearings on the matter.

 

The Joint Congressional Power Commission, chaired by Senator Sergio Osmeña III, has oversight to "ensure that the goals and objectives of the Electric Power Industry Reform Act (EPIRA) of 2001 and the Renewable Energy Act of 2008 are fully achieved."

Oriental Mindoro Rep. Reynadlo Umali, House Energy committee chair, chairs the committee jointly with Osmeña. — JDS, GMA News