June 30, 2026
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ERC extends suspension of green energy charge through August

  • June 30, 2026
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ERC extends suspension of green energy charge through August

The Energy Regulatory Commission (ERC) has extended the temporary suspension of the Green Energy Auction Allowance (GEA-All) for another two months, allowing electricity consumers to avoid paying the renewable energy charge in their July and August 2026 power bills while maintaining funding support for qualified renewable energy projects.

In an advisory issued Sunday, the ERC said it approved the extension after determining that the GEA-All Fund remains financially capable of covering payment obligations to renewable energy (RE) developers participating in the government’s Green Energy Auction Program (GEAP).

The suspension covers the GEA-All rate of PHP 0.0371 per kilowatt-hour (kWh) and applies to all collection agents, including distribution utilities (DUs), retail electricity suppliers (RES), and the National Grid Corporation of the Philippines (NGCP).

According to the ERC, the GEA-All Fund had a balance of about PHP 707.47 million as of June 5, 2026, which it said is sufficient to finance expected disbursements, including payments for additional RE facilities that are expected to begin commercial operations in the coming months.

The regulator said the extension is intended to provide immediate relief to consumers as households continue to grapple with inflation and higher living costs, while ensuring that the fund remains financially sound enough to support the country’s renewable energy expansion.

The GEA-All is a uniform charge collected from electricity consumers to fund payments to renewable energy developers awarded capacity under the Green Energy Auction Program, a key government initiative aimed at accelerating renewable energy deployment.

The ERC said it will continue monitoring the financial position of the GEA-All Fund and conduct another assessment by August 2026 to determine whether the suspension should be extended further.

The regulator also directed all collection agents to implement the suspension in the July and August billing cycles and submit compliance reports, including sample customer bills showing the removal of the GEA-All line item, within 15 days after the close of the August billing period.

The ERC warned that entities failing to comply with the directive could face a Show Cause Order and corresponding penalties under existing laws and regulations.

The latest extension signals that the regulator sees sufficient liquidity in the GEA-All Fund to temporarily absorb payment obligations to renewable energy developers while providing short-term relief to electricity consumers.

What are your thoughts? Will extending the suspension of the GEA-All provide meaningful relief to consumers without affecting investor confidence in the Philippines’ renewable energy sector? Join the discussion.

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