ERC releases open access draft rules

MANILA, Philippines—The Energy Regulatory Commission has released the draft rules that will ensure the smooth implementation of the open access and retail competition scheme during the so-called “transition period.”

In a notice, the ERC said these proposed transitory rules—which have yet to be finalized—shall be effective for a period of one year from Dec. 26, 2012, when the open access regime is expected to commence.

It should be noted, however, that the full implementation of this scheme may officially begin only by December 2013, as the concerned stakeholders and government agencies would need at least another year to ease the transition, lay down the necessary infrastructure and fine-tune rules and regulations.

Based on the general provisions of the draft transitory rules, the distribution utilities (DUs) will continue to supply electricity to the “contestable” customers, or those who are qualified to participate in the open access regime, during the first six months (December 26, 2012 to June 26, 2013) of the transition period.

For now, only the large power users, or those who consume 1 megawatt or more per month, will be qualified to choose their own electricity suppliers, unlike under the current system where they are limited to the supplier that has jurisdiction over their respective areas.