ERC Chairperson Reports Major Reforms and Progress in First 100 Days

Energy Regulatory Commission (ERC) Chairperson and CEO Atty. Francis Saturnino Juan marked the completion of his first 100 days in office with a comprehensive report on significant reforms aimed at boosting transparency, expediting regulatory procedures, and improving services for electricity consumers.

Juan, who took office on August 11, introduced his vision for a revitalized ERC that prioritizes streamlined processes, enhanced technical competencies, and a renewed commitment to public service. He stated, "Our mission is straightforward: to regulate the power industry in a way that is effective, efficient, and prioritizes the welfare of consumers."

A central challenge under his leadership has been addressing a decade-long backlog in resetting rates for private distribution utilities (PDUs) under the Performance-Based Regulation (PBR) framework. The ERC formulated and implemented the Rationalized Rules for Setting Distribution Wheeling Rates (RRDWR) to promptly resume the rate reset process for all PDUs. Juan emphasized that the initiative aims to establish "a clean slate so that future rate-setting under the PBR becomes forward-looking again, with distribution rates based on forecasts of efficient costs and sound regulatory principles."

Supporting the renewable energy sector, the ERC approved a new Feed-in Tariff Allowance (FIT-All) rate in November 2025, ensuring timely compensation for renewable energy developers, including various hydropower plants, while striving to maintain affordable electricity rates for consumers.

To further promote efficiency, the ERC simplified net metering procedures by narrowing essential requirements to four and harmonizing rules across distribution utilities. Additionally, the Commission sanctioned amended guidelines for the deployment of Advanced Metering Infrastructure (AMI), enabling real-time consumption monitoring, automated billing, and the advancement of smart grid initiatives.

The ERC also enacted a landmark ruling to reduce the eligibility threshold for the Retail Competition and Open Access (RCOA) and Retail Aggregation Program (RAP) from 500 kilowatts (kW) to 100 kW average monthly peak demand effective June 26, 2026. This adjustment will broaden participation among medium-sized businesses and institutions, granting more entities the flexibility to select their electricity providers.

In a socially-focused measure, the ERC is developing a proposed resolution to expand the Lifeline Program nationally, targeting Pantawid Pamilyang Pilipino Program (4Ps) beneficiaries and other qualified marginalized consumers using 50 kWh or less, offering them free electricity.

Moreover, the Commission intervened decisively in August 2025 to end recurring blackouts in Siquijor by revoking the permit of the island’s sole power supplier. Coordinating with the Department of Energy and the National Electrification Administration, ERC facilitated the licensing of a new supplier to avoid prolonged outages.

Reflecting on operational achievements, the ERC reported record-breaking outputs within three months: 186 decisions and final orders, 348 provisional authorities and interim reliefs, and 2,575 licenses issued, including Certificates of Compliance and Retail Electricity Supplier permits. The agency is concurrently pursuing organizational enhancements by presenting ERC restructuring proposals to Congress and finalizing internal reorganization plans for the Executive Branch, which feature a revised employee compensation framework.

Juan concluded by affirming his commitment to continued reform: "We use these next few years to fix what needs fixing, streamline what needs streamlining, and lay down the groundwork for the future."