Why PH power rates are the highest in ASEAN and what we can do about it
Filipino consumers are feeling the pinch again. In June, the Philippines overtook Singapore to record the highest electricity rates in the Association of Southeast Asian Nations. This is not just a statistic. It is a daily burden for families in the provinces, in the cities, and especially for the poor who spend a bigger chunk of their income on power.
The Department of Energy warns that things could get worse. The latest flareup in the Middle East is driving up global energy prices. And when power costs rise, so does the price of almost everything else. From the sari-sari store to the factory floor, electricity is a major cost. That recent minimum wage increase? It could be wiped out by higher prices of basic goods.
Senators Bam Aquino, Risa Hontiveros, and Panfilo Lacson have filed resolutions to revisit government policies on power. Lacson is pushing for a comprehensive review of every item on our electric bills: generation, transmission, distribution, taxes, and regulatory fees. This is not a new idea. Back in 2015, then Negros Occidental Representative Alfredo Benitez asked the same question. Why is our electricity so expensive? Eleven years later, we still have no clear answer.
The government must stop using the Middle East crisis as a convenient excuse. It is time to hold the players accountable. The Electric Power Industry Reform Act of 2001 was supposed to lower prices through competition. It has not delivered. We need a rigorous review of that law. We need to cut taxes that inflate bills. We need to punish distribution utilities that let pilferage and systems losses fester.
At the same time, we must make it easier for households and businesses to invest in solar power. Cut the red tape. Let people generate their own energy. The National Grid Corporation of the Philippines must modernize the grid to absorb more renewable energy. Generation companies should be penalized for unscheduled outages that force distributors to buy expensive power on the open market.
We all have a role to play. Report meter tampering. Flag pilferage. Join the conversation. As Senator Lacson said, reforming the energy sector requires the concerted effort of everyone: the executive, the legislative, private companies, and consumers.
President Marcos can use his second to the last State of the Nation Address to launch this urgent initiative. It is not just about lowering bills. It is about giving our economy a fighting chance. It is about fairness. And it is about time.