BUSINESS
Advocates Philippines
ERC Promises Faster Results, Ushering In An Era Of Smarter Regulation
Photo credit: ERC
The Energy Regulatory Commission, or ERC, is making a strong move to bolster its role as a safeguard for consumer welfare while simultaneously supporting the growth of the energy sector. The agency is promising to speed up case resolutions to make sure the public quickly benefits from more effective regulation.
Recently appointed Chairperson Atty. Francis Saturnino Juan is pushing forward with internal reforms to clear the backlog of long-pending cases, all while reinforcing confidence and demonstrating fairness to stakeholders. To achieve greater efficiency and accountability, Commissioners have been assigned specific oversight roles, and personnel are now empowered to fast-track decisions. This move is seen as critical to reducing the regulatory delays that have long hampered processes.
Cutting Through the Red Tape
As part of these reforms, the ERC has formally adopted the conduct of summary proceedings for certain applications that are considered vital to electricity supply and access. Under this new resolution, shorter deliberation procedures are now authorized for cases that are uncontested or involve intervenors who agree to the treatment. This covers applications like the approval of capital expenditure (CAPEX) projects, confirmation of over/under recoveries, approval of power supply contracts, and authority to develop and operate dedicated point-to-point (P2P) transmission facilities. The measure, which also includes the issuance of Certificates of Public Convenience and Necessity and business separation and unbundling plans, is expected to dramatically accelerate deliberations that often face prolonged hearings.
Chairperson Juan stressed that this initiative underscores the Commission’s commitment to a “new ERC” defined by efficiency, fairness, and responsiveness. “We will do everything we can to accelerate the resolution of applications filed before the ERC,” Juan said. “Streamlining our processes is key to fulfilling our commitment to a more responsive and revitalized ERC.”
A Guardian of Competition
Beyond the internal efficiencies, the ERC is also working to improve implementation guidelines for critical measures, including the Competitive Selection Process (CSP). Juan described the CSP as a central safeguard for consumers, explaining that “upholding a competitively derived price is the highest form of consumer protection.” He noted that this approach shields consumers from hidden costs, underinvestment, and a return to negotiated monopolistic rates, aligning with competitive principles enshrined in the Electric Power Industry Reform Act (EPIRA).
“In this new era, the role of the ERC is not diminished—it is transformed,” Juan added. “Its mandate is clearer and more critical than ever: to be the guardian of the competitive process and the guarantor of its integrity.”
The ERC’s current mission is a careful balancing act—enforcing consumer protection while ensuring that rules remain stable enough to sustain investor participation in the sector. This stability is ultimately key to keeping electricity rates fair, cost-competitive, and reasonable. Industry stakeholders have since expressed strong support for the agency’s initiatives, particularly the move to adopt summary proceedings and eliminate regulatory backlogs that can deter progress in power projects.
Recently appointed Chairperson Atty. Francis Saturnino Juan is pushing forward with internal reforms to clear the backlog of long-pending cases, all while reinforcing confidence and demonstrating fairness to stakeholders. To achieve greater efficiency and accountability, Commissioners have been assigned specific oversight roles, and personnel are now empowered to fast-track decisions. This move is seen as critical to reducing the regulatory delays that have long hampered processes.
Cutting Through the Red Tape
As part of these reforms, the ERC has formally adopted the conduct of summary proceedings for certain applications that are considered vital to electricity supply and access. Under this new resolution, shorter deliberation procedures are now authorized for cases that are uncontested or involve intervenors who agree to the treatment. This covers applications like the approval of capital expenditure (CAPEX) projects, confirmation of over/under recoveries, approval of power supply contracts, and authority to develop and operate dedicated point-to-point (P2P) transmission facilities. The measure, which also includes the issuance of Certificates of Public Convenience and Necessity and business separation and unbundling plans, is expected to dramatically accelerate deliberations that often face prolonged hearings.
Chairperson Juan stressed that this initiative underscores the Commission’s commitment to a “new ERC” defined by efficiency, fairness, and responsiveness. “We will do everything we can to accelerate the resolution of applications filed before the ERC,” Juan said. “Streamlining our processes is key to fulfilling our commitment to a more responsive and revitalized ERC.”
A Guardian of Competition
Beyond the internal efficiencies, the ERC is also working to improve implementation guidelines for critical measures, including the Competitive Selection Process (CSP). Juan described the CSP as a central safeguard for consumers, explaining that “upholding a competitively derived price is the highest form of consumer protection.” He noted that this approach shields consumers from hidden costs, underinvestment, and a return to negotiated monopolistic rates, aligning with competitive principles enshrined in the Electric Power Industry Reform Act (EPIRA).
“In this new era, the role of the ERC is not diminished—it is transformed,” Juan added. “Its mandate is clearer and more critical than ever: to be the guardian of the competitive process and the guarantor of its integrity.”
The ERC’s current mission is a careful balancing act—enforcing consumer protection while ensuring that rules remain stable enough to sustain investor participation in the sector. This stability is ultimately key to keeping electricity rates fair, cost-competitive, and reasonable. Industry stakeholders have since expressed strong support for the agency’s initiatives, particularly the move to adopt summary proceedings and eliminate regulatory backlogs that can deter progress in power projects.
Oct 2, 2025
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