Diokno presses for Zero System Loss Act as electricity prices surge 51%

MANILA, Philippines– Akbayan Party-list Rep. Chel Diokno on Friday advised Congress to fast-track a procedure looking for to eliminate system loss charges from electrical energy costs as power costs in Luzon rose by 51% in October.

Diokno stated customers must not be made to take on the expense of inadequacies in the power circulation system, especially as homes continue to come to grips with increasing rates of fundamental products and services.

“High electrical power costs need to not contribute to the concern of their everyday costs,” Diokno stated.

Typical electrical energy area rates in Luzon increased by 51% to P7.83 per kilowatt-hour in October, according to Diokno.

The proposed Zero System Loss Act looks for to forbid circulation energies from passing system loss expenses on to customers. These charges account for about 5% of a typical electrical power costs.

Diokno submitted House Bill No. 10585 with fellow Akbayan agents Percival Cendaña and Dadah Kiram Ismula and Dinagat Islands Rep. Kaka Bag-ao.

The procedure has actually because been combined into House Bill No. 11841, which was authorized by the House Committee on Energy however stays pending before the Committee on Rules.

“Consumers must not carry the expense of inadequacies in the power circulation system. Eliminating this from their electrical energy expenses would imply considerable cost savings for Filipino homes,” Diokno stated.

While promoting the expense’s passage, Diokno likewise advised the federal government to instantly eliminate the 12% value-added tax on system loss charges as an interim step to lower electrical power expenses.

He stated the Energy Regulatory Commission had actually dedicated to speed up the elimination of the VAT by November following his earlier call to ditch the tax.
Diokno likewise pointed out the requirement for longer-term reforms to minimize the nation’s reliance on oil and direct exposure to unpredictable energy costs. He formerly submitted House Resolution No. 875, looking for an evaluation of the federal government’s energy policies, consisting of the Philippine Energy Plan 2023– 2050.