Bill extending lifeline rate for poor power consumers up
The chairman of the House Committee on Energy is anticipating swift plenary approval of the bill that will guarantee cheaper electricity for the poor as they continue to ward off the economic hardship brought about by the COVID-19 pandemic.
Marinduque Rep. Lord Allan Velasco said members of the House panel were unanimous in agreement that passage of the consolidated version of House Bill 7059 and 7341 will be Congress’ significant contribution in helping the marginalized and low income Filipinos cope with the effects of the COVID-19 threat.
The Energy panel on Thursday agreed to consolidate the two measures and endorse it for plenary approval.
Velaso said poor households may expect subsidized power rates in the next 20 years as provided under the bill.
The legislative proposal will amend Section 73 of Republic Act 9136 or the the Electric Power Industry Reform Act (EPIRA).
RA 9136 provides that the socialized pricing mechanism called the lifeline rate be granted marginalized electric consumers. The ERC was tasked to implement the socialized cost of power from 2001 to 2021.
“This is a welcome development for our lifeline consumers,” Velasco said. “Our poor households are the hardest hit during this time of the pandemic, and with this measure we hope to help them ease their financial burden.”
The amendment to the EPIRA law would extend until 2041 the lifeline rate for low-income Filipino households who are not capable of paying the full cost of electricity, as a form of relief assistance amid the ongoing public health crisis.
“This is a very significant form of assistance that we could provide to lifeline consumers since most of them are stay-at-home because of quarantine restrictions, and with that we expect the power consumption to go up. Many are working from home and children have online classes,” Velasco explained.
“With the changes to EPIRA getting closer to being approved by Congress, we can assure low-income Filipino households of uninterrupted access to affordable electricity,” he added.
The Department of Energy represented by Director Mario Marasigan as well as Energy Regulatory Commission engineer Alvin Ortigan strongly backed the legislative proposal.
Valenzuela City Rep. Wesley Gatchalian, author of House Bill 7341, said that originally the lifeline rate was to be implemented for a period of ten years from 2001.
Before the grant of the lower power rates for the poor could expire, the 15th Congress extended the implementation of the scheme for another 10 years by passing RA 10150.
“This bill will extend the lifeline rate for an additional 20 years or up to 2041. This will ensure continuity of the crucial assistance to low income electricity consumers enabling them to access electricity and improve their lives,” said Gatchalian.