RCOA serves Filipino consumers’ best interest
The current problems we are facing underscore the importance of reliable and affordable energy services, which we at Kuryente.org believe can be ushered in by the retail competition and open access (RCOA) provided by Republic Act No. 9136 or the Electric Power Industry Reforms Act of 2001 (Epira) law.
The RCOA aims to provide quality, reliable, secure, and affordable electric power services, as well as to develop a competitive market for electricity. It was hailed as a way to depart from the monopolization of the power industry.
Under the RCOA, power distribution utilities such as Meralco, Aboitiz, and the electric cooperatives will no longer have a monopoly on the retail supply of power, which will result in lower electricity costs and afford consumers the freedom to choose their electricity supplier. Power supply retailers will have to compete with each other in terms of price and services, hence giving consumers the power of choice.
The RCOA will not only lower the cost of electricity; it also has the potential to substantially improve the delivery of services. Better customer choice will increase economic efficiency as it envisions more competition, which puts competitive pressure on electric retailers’ service efficiency, reliability, and affordability.
Supporting the Energy Regulatory Commission (ERC) and the Department of Energy in the implementation of the RCOA will benefit every Filipino household that relies on electricity now, more than ever, due to work-from-home schemes and the continued quarantine.
In February 2021, the ERC promulgated a resolution expanding the RCOA threshold from 750kW to 500kW, which means more industries could qualify and be allowed to choose their energy supplier. This is pursuant to its mandate under Section 31 of the Epira law and Rule 12 of its implementing rules and regulations to promote competition and ensure the successful restructuring and modernization of the electric power industry; however, it is important to lower further the energy threshold to include household consumers.
As a consumer welfare organization, Kuryente.Org supports and will closely monitor the implementation of the RCOA, which we believe will be for the best interest of every Filipino consumer.
NIC SATUR JR.
National Coordinator
MIKHAELA DE LEON
Communications officer
Kuryente.Org
[email protected]
