(The Philippine Star) | Updated January 17, 2017 - 12:00am
MANILA, Philippines -
The Department of Energy (DOE) is mulling to give large power end-users more
leeway under the retail competition and open access (RCOA) scheme by making it
optional for those with at least one megawatt (MW) in monthly demand to migrate
to the open market scheme.
The agency is reviewing
the mandatory provision under RCOA rules to be able to accommodate adjustments
in requiring large power end-users to comply, DOE Undersecretary Felix William
Fuentebella said in an interview.
This follows a series
of consultations with industry stakeholders, he said.
“The DOE secretary is
open in making it not mandatory, or optional, to strengthen more the choice for
the customers. That’s part of coordination with the Energy Regulatory
Commission (ERC),” Fuentebella said.
Under the RCOA regime,
end-users who are part of the contestable market, or contestable customers
(CCs), are given the choice to choose their supplier of electricity to foster
competition in the generation and supply sector.
Last November, the DOE
and ERC decided to extend the deadline for one-MW end-users to
In the original
timeline, these end-users are supposed to have retail supply contracts (RSC) by
Nov. 26, 2016.
Fuentebella said the
deferred schedule is still on and the DOE would have to speed up the RCOA
policy review to make it mandatory or not.
“The February
schedule will push through but whether (we will make it) mandatory or not,
that’s what we have to look at,” he said.
Meanwhile, mandatory
contestability for CCs with 750 kilowatts to 999 kw average peak demand remains
on June 26.
The DOE’s decision to
study the mandatory provision of RCOA is a welcome development for end-users,
particularly for those that find it hard to secure RSCs, Manila Electric Co.
(Meralco) SVP Alfredo Panlilio said.
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