ERC steps in to stop electricity disconnections
The Energy Regulatory Commission (ERC) has ordered a nationwide temporary suspension of power disconnections to preserve electricity access during a declared State of National Energy Emergency and shielding consumers from immediate service cuts.
In a newly issued advisory, the country’s energy regulator directed distribution utilities in Luzon, Visayas, and Mindanao to halt disconnections for both residential and non-residential customers who fail to settle their electricity bills on time.
According to the ERC, the suspension will cover the billing periods from May to July 2026.
To further ease the financial strain on consumers, the ERC is also requiring utilities to offer staggered or deferred payment schemes based on electricity consumption.
Customers consuming less than 200 kilowatt-hours per month will be allowed to defer their payments during the three-month emergency window and settle their outstanding balances in equal installments over a period of at least three months.
“By mandating the suspension of disconnections and allowing staggered payments for residential consumers, the ERC is taking decisive action to shield Filipino households and businesses from immediate bill shock and the full impact of rising electricity prices during this national energy emergency," ERC Chairperson Francis Saturnino Juan said in a message.
Juan added that the measures are designed to ensure no consumer is abruptly cut off from power while providing manageable payment terms to stabilize the impact of rising costs.
The regulator, however, clarified that the measure is not a condonation of debt, saying that consumers who have the financial capacity to settle their bills on time should continue to do so.
To prevent the payment deferrals from triggering a liquidity crisis among power distributors, the ERC is extending similar relief upward through the energy supply chain.
Power generation companies and transmission providers will be required to extend the same three-month staggered payment terms to the distribution utilities.
The mechanism is intended to distribute the financial burden of the energy emergency across the entire power sector rather than leaving local distributors to carry the cash-flow deficit alone.