Title
Rules on Revising PH Distribution and Grid Code
Law
Erc No. 12, S. 2010
Decision Date
May 5, 2010
The Energy Regulatory Commission (ERC) adopts rules and procedures for the systematic revision of the Philippine Distribution Code and Grid Code, ensuring stakeholder participation and regulatory compliance in the electric power industry.
A

Purpose and Scope of the Rules and Procedures

  • To guide the DMC and GMC and their respective Rules Revision Subcommittees (RRSC) in reviewing, evaluating, and processing revision proposals.
  • To provide stakeholders with clear procedures for proposing amendments to the Distribution Code and Grid Code.

Definitions

  • Distribution Code: Rules governing Distribution Utilities and Users.
  • Distribution Management Committee (DMC): ERC-established committee to manage Distribution Code revisions.
  • Grid Management Committee (GMC): ERC-established committee to manage Grid Code revisions.
  • Energy Regulatory Commission (ERC): Independent regulatory body overseeing the power industry.
  • Rules Revision Subcommittee: Subcommittee under DMC or GMC tasked with reviewing proposals.

Submission and Notification Procedures

  • Every three years starting 2010, the DMC posts notices inviting revision proposals on official websites.
  • Proposals must include the proponent's details, proposed changes, supporting arguments, and data.
  • Proposals can be submitted electronically or by hard copy within a prescribed deadline.
  • Late proposals are held for the next revision cycle.

Evaluation Process

  • DMC and GMC staff evaluate proposals for completeness; incomplete proposals are returned.
  • RRSC convenes to evaluate proposals; proponents may be invited to clarify.
  • Proposals requiring technical assessment may be referred to specialized subcommittees.
  • Coordination with other entities (e.g., Grid Management Committee, Wholesale Electricity Spot Market) may be requested for impact assessments.
  • Evaluation aims for consensus; contentious proposals are escalated to the full committee.

Endorsement and Approval

  • RRSC prepares a categorized summary of proposals: endorsed, endorsed with modification, or rejected.
  • The DMC or GMC reviews and approves the summary, then endorses it to ERC through board resolution.
  • Rejected proposals are returned with explanations.

Public Consultation and Hearings

  • Upon ERC approval, expository hearings and public consultations are conducted with ERC Commissioner presiding.
  • Comments from consultations are evaluated jointly by the committee and ERC.
  • Final proposed revisions are presented to ERC for decision.

Publication and Effectivity of Approved Revisions

  • Approved revisions are published in newspapers of general circulation or the Official Gazette.
  • Certified copies are filed with the University of the Philippines Law Center - Office of National Administrative Register (ONAR).
  • Revised codes become effective 15 days post-publication.

Interim Revisions

  • Interim revisions may be proposed for urgent matters, with expedited procedures.
  • These also require ERC approval and publication before effectivity.

Documentation and Printing

  • All documentation related to the revision process is maintained by the DMC or GMC.
  • Revised editions of the Distribution Code and Grid Code are printed every three years or as needed with appropriate edition markings.

Coordination and Legal Framework

  • The revision processes comply with Sections 2.2.5 and 2.5.4 of the Distribution and Grid Codes respectively.
  • The ERC exercises final regulatory authority over code revisions, ensuring alignment with the overarching goals of the EPIRA law.

Summary of Core Legal Concepts

  • Mandated regulatory oversight by ERC for electricity sector restructuring.
  • Structured stakeholder participation in code revision through defined procedures.
  • Transparent review, endorsement, public consultation, and publication processes.
  • Legal enforceability of codes through formal ERC promulgation and publication.
  • Provision for routine and emergency amendments ensuring responsiveness to industry needs.

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