The National Power Corporation (NAPOCOR) aims to iron out its budget deficit by the first quarter of 2025 to guarantee continuous power supply in remote areas under its coverage.
In a report by Manila Bulletin, NAPOCOR’s strategic business planning manager, Bernadette Rivero, raised concerns about the company’s financial instability due to unresolved rate applications.
She explained that these pending applications, some dating back seven years, are critical for NAPOCOR’s financial health.
Rivero added that the corporation is worried that it may still be in the same situation in 2025 since it still has pending rate applications since 2017 that it has incurred and is now attempting to recuperate.
She warned that without prompt approvals, rotational brownouts could start as early as March next year.
Rivero also referenced NAPOCOR President Martin Roxas, who said they are seeking approval for a Php 11.5 billion budget to buy fuel.
On the positive side, Rivero said that the Energy Regulatory Commission (ERC) is working on an approval that should be released soon.
Last week, Roxas mentioned that, in addition to loans, NAPOCOR may decide to increase power rates in off-grid areas, pending ERC approval, for a request filed in January.
Beyond rate concerns, NAPOCOR is also looking to streamline the permitting process for existing and new power providers.
This applies not only to the certificates of compliance (COC) and operating permits for small power utilities group (SPUG) facilities but also to forthcoming new power suppliers. These permissions are critical to offering subsidies, specifically the UCMC subsidies needed to run their activities.
