Energy experts push urgent reform following Marcos’ SONA

By Francis Allan L. Angelo

In response to President Bongbong Marcos Jr.’s recent State of the Nation Address (SONA), the Center for Energy Research and Policy (CERP) has underscored the urgency of implementing its comprehensive energy agenda to address the critical challenges faced by the Philippines’ energy sector.

CERP’s Seven-Point Energy Agenda is a detailed plan aimed at transforming the country’s energy landscape.

The first initiative, Energize Philippines, focuses on boosting local energy production through the exploration of renewable energy sources and natural gas.

This also aims to incentivize foreign investments in energy development, which is crucial for meeting the country’s growing energy demands.

The Grid Modernization Initiative, another key component of the agenda, seeks to upgrade the national grid within ten years.

The plan includes the development of a framework for community microgrids and regional energy hubs, ensuring that the energy infrastructure can support modern energy needs and improve overall efficiency and reliability.

Achieving universal electrification within three years is a bold goal set by the Power For All initiative.

This effort focuses particularly on rural areas, aiming to provide 100% electrification through the use of renewable energy sources and government subsidies.

It would significantly improve the quality of life in underserved regions and promote equitable access to energy.

Regulatory Reform is a cornerstone of the agenda, aimed at amending key energy laws to strengthen the oversight capabilities of the Department of Energy (DOE) and the Energy Regulatory Commission (ERC).

Enhancing regulatory power over generation, distribution, and grid operations is essential for maintaining a stable and fair energy market.

The Collaborative Sector Enhancement initiative seeks to improve cooperation between regulators and the industry.

By conducting joint assessments and developing best practices, this initiative aims to foster a more cohesive and efficient energy sector.

Affordable Energy for Filipinos is another critical component of the agenda, focused on lowering electricity prices through increased competition and transparency.

The initiative also includes the establishment of a Consumer Protection Office to ensure that consumers have a platform to address their grievances and protect their rights.

Lastly, the Energy Research and Development initiative aims to fund collaborative research efforts with academia and the private sector.

By focusing on advanced energy technologies, this initiative seeks to drive innovation and sustainability in the energy sector.

Dr. Joey Ocon, co-convenor of CERP, praised the infrastructure projects highlighted by President Marcos, including the Mariveles-Hermosa-San Jose Transmission Line and the Cebu-Negros-Panay 230-kilovolt Backbone Project.

But he emphasized the need for greater ambition.

“Electrify every household by 2028 and hybridize existing diesel plants with solar PV and batteries to reduce costs and subsidies while enhancing reliability,” he stated.

CERP’s additional proposals include implementing a National Missionary Electrification Plan to achieve universal electricity access within five years.

They also advocate for requiring a Grid Modernization Plan to transform the Philippine Grid into a Smart Grid within six years, incorporating advanced technologies and renewable energy sources for increased reliability and accessibility.

The agenda further calls for fully operationalizing the Retail Competition and Open Access (RCOA) provisions within ten years to enhance competition and consumer choice. Establishing a Consumer Protection Office under the ERC is proposed to assist consumers in filing complaints and advocating for their rights.

Strengthening oversight by empowering the Joint Congressional Energy Commission (JCEC) to investigate energy sector participants and enforce compliance with regulations is another critical recommendation.

CERP also suggests reforming power procurement by enacting the Competitive Selection Process (CSP) for power procurement by distribution utilities into law.

Additionally, they propose requiring the ERC to amend the National Grid Code (NGC) and the Philippine Distribution Code (PDC) to increase regulatory powers over energy participants.

Finally, they recommend allowing the government-owned National Power Corporation (NAPOCOR) to continue operating power plants to provide additional reserve power.

CERP remains dedicated to working closely with the administration to advocate for sustainable energy policies that benefit all Filipinos.

“CERP is committed to ensuring that energy sector reforms will lead to a more sustainable and accessible energy future for the Philippines,” Dr. Ocon said.