The Energy Regulatory Commission (ERC) has expedited regulatory approvals, granting 14 power supply agreements (PSAs) and 977 permits for power facilities within the first quarter of 2025. This move aims to enhance grid stability and maintain affordable electricity for Filipinos.
The approved PSAs cover power supply agreements with various distribution utilities, including those in Region 8 (Eastern Visayas). These agreements are designed to protect consumers from price fluctuations in the electricity market.
Among the 977 permits issued, 94 were for self-generating facilities (SGFs), seven for independent power producers (IPPs), and 868 for net-metering qualified end-users (QEs). Additionally, 77 Provisional Authorities to Operate (PAOs) were granted to IPPs across Luzon, Visayas, and Mindanao, providing a total of 5,419 megawatts (MW) of power capacity.
ERC Chairperson and CEO Monalisa C. Dimalanta emphasized the agency’s efficiency in processing permits, noting that certificates of compliance (COCs) were issued within 26 days on average—significantly faster than the 60-day requirement under the Energy Virtual One-Stop Shop (EVOSS) Act. PSA approvals were completed in 60 days, ahead of the mandated 75-day processing period for provisional authorities.
“In just three months, the ERC has successfully processed and issued PSAs, COCs, and PAOs way earlier than the timelines set by the EVOSS Act,” said Chairperson Dimalanta.
The ERC grants COCs to authorize the operation of power plants and other generation facilities. PAOs, on the other hand, allow generation companies to start operations while awaiting full COC approval. PSAs—bilateral agreements between generation companies and distribution utilities for power purchase and supply—undergo ERC review to ensure compliance with Republic Act No. 9136 or the Electric Power Industry Reform Act of 2001 (EPIRA).
Chairperson Dimalanta pointed out that the quicker processing times demonstrate the success of recent regulatory reforms aimed at securing the country’s energy supply.
“This is proof that the reforms we are undertaking are speeding up our regulatory processes to ensure energy security through additional capacity from new grid-connected facilities, while also empowering consumers to save on electricity costs by generating their own power,” Dimalanta said.
The ERC’s efforts highlight its commitment to streamlining the regulatory process to support the Philippines’ energy needs while minimizing consumer costs. By fast-tracking power permits, the ERC is helping to boost the country’s power infrastructure and promote energy security.
How do you think faster permit processing will impact the energy sector? Share your thoughts in the comments.
Follow Power Philippines on Facebook and LinkedIn for more updates.
There are no comments
Add yours