The Energy Regulatory Commission has approved new rules requiring all distribution utilities to use a standardized system for computing, monitoring, and reporting transmission and ancillary service charges.
The ERC said the measure is intended to improve transparency, strengthen consumer protection, and provide greater consistency in electricity billing.
Under Resolution No. 22, Series of 2026, the commission adopted a Uniform Reportorial Requirements Template Addendum that establishes a single reporting format and common computation guidelines for transmission-related charges.
The new requirements will take effect beginning with the first billing cycle after July 16, 2026.
The standardized framework will also introduce uniform validation and true-up procedures while the commission finalizes its revised Over/Under Recovery Rules.
Resolution No. 22 complements Resolution No. 4, Series of 2026, which requires ancillary service charges to be shown separately on electricity bills to provide consumers with a clearer breakdown of transmission-related expenses.
ERC Chairperson and Chief Executive Officer Atty. Francis Saturnino C. Juan clarified that the measure would not increase electricity rates or impose additional charges on consumers.
“Consumers deserve to know what they are paying for,” Juan said. “Resolution No. 22 strengthens transparency by ensuring that Transmission and Ancillary Services charges are computed, reported, and verified using uniform standards. This is not about adding new charges—it is about making sure that only legitimate, properly documented, and reasonable costs are recovered, ultimately protecting consumers.”
Ancillary services are support mechanisms that help maintain the stability and reliability of the country’s power grid, particularly during sudden changes in electricity demand or unexpected outages involving power plants and transmission facilities.
The ERC said the standardized reporting system would allow regulators to validate transmission-related costs more effectively, improve compliance among distribution utilities and reduce inconsistencies in regulatory submissions.
It is also expected to streamline the commission’s review process.
The ERC said the new framework is part of its ongoing efforts to improve transparency, accountability, and consumer protection in electricity pricing, in accordance with the Electric Power Industry Reform Act.