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No magic wand to solve high power costs: Palace

Published: 04 Jan 2014 - 04:44 am | Last Updated: 28 Jan 2022 - 08:54 pm

MANILA: There is no magic wand that would immediately resolve the problem of high power costs, Malacañang said yesterday as it admitted that its actions are limited by what is mandated by the law.
While Malacañang rallied support for the controversial Reproductive Health law and the impeachment of Chief Justice Renato Corona, it seems to be more deliberate on the issue of power costs, preferring to wait for the right proposal from Congress.
“While you believe that the Executive has so much power, perceived power, we are limited by what the law says,” Deputy Presidential Spokesperson Abigail Valte said, referring to the Electric Power Industry Reform Act (EPIRA).
“There is no magic wand to wave,” she added.
When asked whether Aquino could certify as urgent bills seeking to amend EPIRA, Valte said: “It depends on the proposal and also remember that the President is very careful about using his certification powers.”
“Normally, the process is such that we look at the bills that are already pending in Congress, not the ones that are initiated by the administration.”
When reminded by Palace reporters that the president had actively sought congressional backing for the RH bill and the Corona impeachment, Valte said: “You know perhaps it’s a matter of finding the right proposal that the President will throw his weight behind.”
Valte reiterated that the president has asked agencies to look into the problem and to find possible solutions that are within the law.
EPIRA was signed into law in 2001 to lower power rates and promote competition in the power industry.
Critics, however, claimed that the law has failed to lower electricity costs in the country. Some groups even claim that the Philippines has the most costly electricity in the region.
Palace officials earlier said they are open to a review of the law to determine what provisions need to be amended.
Last month, the Energy Regulatory Commission approved a petition by the Manila Electric Co to hike power rates by P4.15 per kilowatt hour.
The Supreme Court, however, temporarily stopped the rate adjustment for 60 days last Dec 23.
The upward adjustment would have been implemented in three tranches and would have covered generation charge, transmission charge, taxes and other components.
Power rates would have increased by P2.41 per kWh in December, P1.21 per kWh in February and P0.53 in March.
Meralco has asked its consumers to temporarily set aside its December bill because of the court order.
Various bills have been filed in Congress to amend EPIRA and to lessen the burden of consumers.
House Speaker Feliciano Belmonte, Jr called for a review of the EPIRA to determine if the law is really working to promote competition. He also expressed support for a congressional inquiry on the power rate hike to determine the reasons behind it.
The Philippine star