The Energy Regulatory Commission (ERC) is pushing forward a series of comprehensive reforms to reinforce market stability, foster fair competition, and streamline compliance across the Philippine power sector.
Speaking at the 15th Energy Smart Forum organized by the European Chamber of Commerce of the Philippines (ECCP) at Dusit Thani Manila, ERC Executive Director Nancy Aurora Q. Fajardo detailed the agency’s key regulatory initiatives under the theme “Philippine Energy at a Crossroads: Powering Resilience, Innovation, and a Just Transition.”
To enhance overall market stability, Fajardo highlighted several foundational updates, including the 2026 edition of the Philippine Grid Code, measures addressing line rental charges in the Wholesale Electricity Spot Market (WESM), and revised Power Plant Reliability Rules.
“These measures reflect a simple principle: when the market evolves, regulation must evolve with it,” Fajardo said. “Our responsibility is not only to respond when problems emerge, but to continuously improve the rules so that the market remains reliable, competitive, transparent and fair.”
To drive market fairness, the ERC is lowering the Retail Competition and Open Access (RCOA) threshold to 100 kilowatts, expanding options for smaller power consumers. The Commission is also strengthening oversight of Competitive Selection Processes (CSP) and furthering the implementation of the Green Energy Option Program (GEOP).
Additional regulatory updates target administrative efficiency and emerging technologies through the Rationalized Rules for Setting Distribution Wheeling Rates (RRDWR), integration with the Energy Virtual One-Stop Shop (EVOSS) and revised frameworks for net metering, distributed energy resources, and energy storage systems.
Fajardo stressed that modernized processes will balance operational speed with regulatory rigor.
“Faster regulation should not mean weaker regulation. It should mean better regulation, clearer, more predictable and more efficient, while remaining rigorous and focused on protecting consumers,” she noted.
The ERC reiterated that these policy updates are designed to balance the needs of end-users, industry players, and investors as the national grid transitions.
“Stable enough to inspire confidence. Competitive enough to deliver value. Innovative enough to meet the future. And fair enough to serve every Filipino,” Fajardo concluded.