ERC ramps up reforms, vows faster resolution of energy cases

The Energy Regulatory Commission (ERC) has pledged to deliver swifter, more transparent, and more efficient regulation as part of its renewed mandate to protect consumer welfare and support the growth of the energy sector.

Under the leadership of newly appointed Chairperson Atty. Francis Saturnino Juan, the ERC has rolled out a series of internal reforms designed to clear case backlogs and streamline decision-making. Among the key measures is the assignment of specific oversight roles to commissioners, ensuring greater accountability and efficiency in handling cases.

To reduce long-standing delays, the Commission has also empowered its personnel to fast-track the release of decisions. One of the most significant changes is the adoption of summary proceedings for uncontested applications deemed vital to electricity supply and access.

Through Resolution No. 16, Series of 2025, promulgated on September 29, the ERC has shortened deliberation procedures for applications such as authority to develop and operate dedicated point-to-point (P2P) transmission facilities, approval of capital expenditure (CAPEX) projects, confirmation of over/under recoveries, and approval of power supply contracts. The resolution also covers the issuance of Certificates of Public Convenience and Necessity and business separation and unbundling plans.

Summary proceedings will apply to uncontested cases or those with intervenors who agree to abbreviated treatment—an innovation expected to accelerate decisions that would otherwise undergo protracted hearings.

Chairperson Juan emphasized that the initiative represents a turning point for the agency.

“We will do everything we can to accelerate the resolution of applications filed before the ERC. Streamlining our processes is key to fulfilling our commitment to a more responsive and revitalized ERC,” Juan said.

At the same time, the Commission is working to strengthen the implementation of the Competitive Selection Process (CSP), which Juan described as “the highest form of consumer protection.”

“Upholding a competitively derived price shields consumers from hidden costs, underinvestment, and the return of monopolistic rates,” he said, adding that the reform aligns with the Electric Power Industry Reform Act’s (EPIRA) mandate for fairness and competition.

Juan further noted that the ERC’s role is evolving: “In this new era, the ERC is not diminished—it is transformed. Its mandate is clearer and more critical than ever: to be the guardian of the competitive process and the guarantor of its integrity.”

The reforms aim to strike a careful balance between consumer protection and investor confidence, ensuring that electricity rates remain fair, transparent, and cost-competitive while encouraging continued investments in the power sector.

Industry stakeholders have welcomed these initiatives, particularly the move to adopt summary proceedings, which they view as an important step toward eliminating regulatory backlogs and accelerating much-needed power projects.

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