Competitive power rates for manufacturers eyed

Published May 24, 2020, 10:00 PM By Myrna M. Velasco
https://business.mb.com.ph/2020/05/24/competitive-power-rates-for-manufacturers-eyed/

The Department of Energy (DOE) will carry out collaborative discussion and planning with the Department of Trade and Industry (DTI) to sort out forward plans on how to bring down electricity rates that could help advance the country’s competitiveness especially on enticing investments in the manufacturing sector when economic recovery flourishes after the coronavirus pandemic.

Energy Secretary Alfonso G. Cusi noted that in the recent economic cluster meeting of the Cabinet, “we agreed that the DOE and DTI are going to meet and discuss how we can make Philippines competitive and become attractive to foreign investors.”

The energy chief added “we are going to talk to DTI, and we are bringing the private sector, to find ways how we can make the Philippines competitive – because we have been asking questions how come Indonesia and Vietnam are turning attractive for those companies that are going to relocate outside China? So we want to be able to participate in that and we want to make the Philippines competitive.”

Electricity rates in the Philippines have incessantly been ranked as either the second or third highest in the Asian region, hence, power-intensive sectors like manufacturing have perpetually avoided the country for investments or for relocation of operations base.

During the Joint Congressional Energy Committee hearing, Senator Juan Edgardo Angara requested for data or studies from the DOE that could help determine on whether the country has been doing well or not in terms of attracting capital flow in the manufacturing sector.