Question & AnswerQ&A (ERC Resolution NO. 05, S. 2009)
The primary legal basis is Section 43 (f) of Republic Act No. 9136, also known as the Electric Power Industry Reform Act of 2001 (EPIRA), and its Implementing Rules and Regulations (IRR).
It pertains to the adoption of rules governing the implementation of Time of Use (TOU) retail rates of Distribution Utilities purchasing their power requirements from various sources.
It was adopted on February 23, 2009.
TOU retail rates are electricity rates that vary according to the time of day, reflecting the cost of power during different peak and off-peak periods, as approved by the Energy Regulatory Commission for Distribution Utilities.
Distribution Utilities (DUs) that purchase their power requirements from various sources are required to implement the TOU retail rates.
The public consultation was held to gather comments and views from stakeholders on the draft rules governing the implementation of the TOU retail rates to facilitate fair evaluation and resolution of the applications.
All Distribution Utilities were directed to file their respective proposed TOU retail rate applications.
The resolution takes effect immediately following its publication in a newspaper of general circulation in the Philippines.
Copies were to be furnished to the University of the Philippines Law Center-Office of the National Administrative Register (UPC-ONAR) and all Distribution Utilities (DUs).
The signatories were Zenaida G. Cruz-Ducut (Chairperson), and Commissioners Rauf A. Tan, Alejandro Z. Barin, Maria Teresa A.R. Castaneda, and Jose C. Reyes.
It was necessary to establish a clear and regulated framework to govern how Distribution Utilities implement TOU retail rates, ensuring consistency, fairness, and compliance with the law.