Sta Rosa City lone district Rep. Dan Fernandez (Facebook)

A vice chairman of the House Committee on Energy is urging the Office of the Solicitor General (OSG) to elevate to the Supreme Court (SC) the Court of Appeals (CA) decision reversing an Energy Regulatory Commission (ERC) ruling that stopped a major power generating firm from imposing higher rates.

In a letter received by the OSG on May 2, Sta Rosa City lone district Rep. Dan Fernandez asked the OSG to challenge the CA ruling as it involved the collection of higher power rates that would further burden Filipino consumers, who are already paying one of the world’s highest electricity bills.

Fernandez also urged the ERC to closely examine and withhold approval of new power supply agreements (PSAs) between the Manila Electric Company (Meralco) and the power generation companies involved in the CA case.

“While demand for power supply is acute at this time, we also have the responsibility to protect consumers against price gouging. There are ways to meet the demand that will not unduly and unreasonably raise power rates,” Fernandez said in a statement Sunday, May 5.

In his letter Fernandez said two power plants owned by San Miguel Corp.—Ilijan (gas) and Sual (coal)—“are seeking to supply emergency power to Meralco".

The PSA that the two plants entered with Meralco have been terminated following the ERC ruling last year that disallowed Meralco’s and the SMC plants’ petition for a rate increase.

“Indeed, the termination of the PSAs has apparently allowed llijan to bid again for Meralco's long-term power requirements...This is of major concern to my constituents and all other Filipinos," said Fernandez in his letter addressed to Solicitor General Menardo Guevara.

The Laguna congressman said it was reported in January this year that the ERC would bring the case it lost in the CA to the SC

“However, it is now May 2024—more than four months from the CA decision—and I have not heard whether the ERC or the [OSG] has filed the needed appeal or petition,” Fernandez said.

He opined that the ERC cannot just approve another PSA between SMC and Meralco without filing an appeal of the CA’s December 28, 2023 ruling with the High Court for final judgment.

“I strongly urge the ERC to withhold approval of the new PSA between Meralco and SMC until after the [SC] resolves with finality on the controversial power supply deals earlier decided by the appellate court’s 13th Division,” the veteran lawmaker stressed.

The OSG represents the government in court cases, among its main functions.