The Energy Regulatory Commission (ERC) has directed electricity distribution utilities (DUs)  to implement a set of consumer protection measures, including the suspension of disconnections and staggered payment schemes, following the declaration of a national energy emergency under Executive Order No. 110.

The advisory covers billing periods from May to July 2026 and applies to consumers in all regions of Luzon, Visayas, and Mindanao.

Under the directive, all  DUs were ordered to suspend electricity service disconnections for residential and non-residential consumers in their captive markets for non-payment of electricity bills during the covered billing period.

The ERC also directed DUs to implement flexible payment arrangements to help ease the financial burden on consumers amidst rising energy costs linked to global fuel market volatility.

Consumers with monthly electricity consumption not exceeding 200 kilowatt-hours (kWh) may defer payment of their electricity bills and settle them on a staggered basis for at least three months from receipt of the bill.

The advisory included sample payment schedules illustrating how deferred electricity bills may be spread across succeeding billing cycles through installment payments.

To support the arrangement, the ERC also instructed generation companies (GenCos), the Power Sector Assets and Liabilities Management Corp. (PSALM), National Power Corporation (NPC), National Transmission Corporation (TRANSCO), National Grid Corporation of the Philippines (NGCP), Independent Power Producers (IPPs), Independent Power Producer Administrators (IPPAs), and the Market Operator to extend similar payment schemes to distribution utilities.

The ERC said the measures were issued in line with Executive Order No. 110, which declared a State of National Energy Emergency due to risks to the country’s energy supply arising from the ongoing Middle East conflict.

Consumer advocacy group Power for People Coalition (P4P) welcomed the advisory but urged regulators to further expand relief measures.

“This is a welcome move from the ERC – one that should have, in fact, been implemented much sooner into the beginning of the war and the declaration of the national energy emergency,” said Convenor Gerry Arances.

The group called on the ERC to mandate the immediate reconnection of consumers whose electricity supply had already been disconnected prior to the advisory, citing the extreme heat currently being experienced across the country.

P4P also urged the commission to extend the relief period beyond the current three-month coverage and broaden the eligibility for staggered payment schemes.

“The lingering impacts of high fuel prices and rising inflation – which jumped to 7.2% by April – will continue eating at the pockets of ordinary Filipinos in the foreseeable future,” Arances said.

The group also criticized continued pass-through charges tied to fossil fuel costs in electricity generation fees, arguing that companies benefiting from fossil fuel-based generation should absorb part of the burden instead of passing all costs on to consumers.

The ERC advisory requires distribution utilities to submit compliance reports within 30 days from the end of the covered billing period, or on or before August 30, 2026.

Should consumer relief measures in the power sector be expanded as energy costs remain volatile?

Follow Power Philippines on Facebook and LinkedIn or join our Viber community for more updates.