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Senator Urges Faster Grid Modernization as Power Rates Climb

  • Joseph Tan
  • Business & Finance
  • July 14, 2026

Senate President Sherwin Gatchalian on Tuesday urged the National Grid Corporation of the Philippines (NGCP) to accelerate grid modernization as the country expands renewable energy capacity and shifts toward electric vehicles.

Gatchalian said a more efficient and flexible transmission system is needed to ensure a stable and affordable power supply, particularly as consumers face higher electricity rates driven by rising generation costs and volatile oil prices.

He said a modern grid could better accommodate decentralized energy sources, including rooftop solar systems and electric vehicle charging stations, while allowing consumers to draw power from the grid and feed excess electricity back into the system.

Surplus renewable energy generated during peak production periods could also be stored in large-scale battery facilities for later use, he added.

Gatchalian said the upgrades would improve efficiency, reduce system losses and strengthen electricity delivery.

“Sa huli, ito ang susi para maging mas matatag at mas abot-kaya ang suplay ng kuryente,” he said.

Meanwhile, Sen. Panfilo Lacson filed a resolution seeking a Senate inquiry into rising electricity rates and the “bill shock” experienced by some consumers.

Senate Resolution No. 511 calls for an investigation into unexplained charges, alleged irregularities in meter readings and system losses passed on to paying consumers.

The proposed inquiry aims to strengthen transparency, accountability and consumer protection in the power sector.

“Residential electricity rates in the Philippines are among the highest in Southeast Asia, ranking second in costs at approximately $0.18 to $0.21 per kilowatt-hour, next to Singapore’s average of $0.23 per kWh,” Lacson said in the resolution filed Monday.

He said high electricity costs place a disproportionate burden on Filipino households, workers and businesses.

“While fluctuations in electricity prices may be attributed to supply constraints due to geopolitical tensions, higher generation costs, foreign exchange rates, mandatory charges and other market factors, it is incumbent upon the legislature to exercise its oversight functions,” he said.

He added that the Senate must determine whether existing regulatory mechanisms adequately protect consumers from excessive, unreasonable or avoidable increases in electricity charges.

 

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