SPC Power Corp. has received approval from the Securities and Exchange Commission (SEC) for its amended Articles of Incorporation, allowing them to expand their business from power generation to retailing electricity.
The amendment will allow SPC to “engage in the business of selling, brokering, marketing, or aggregating electricity to the end users.”
This has been endorsed by the Department of Energy (DOE) and the company’s shareholders.
Under the retail competition and open access (RCOA) scheme mandated by the Electric Power Industry Reform Act (EPIRA) of 2001, power generation companies can serve as retail electricity suppliers (RES) that provide contestable customers the ability to pick their electricity provider.
The RCOA began in June 2013 and allowed contestable customers with at least one megawatt (MW) of demand to choose their own electricity supplier.
As of end-June last year, there were 400 registered customers, data from the Philippine Electricity Market Corp. showed.
Mandatory contestability is scheduled to take effect on February 26, 2017. However, the DOE is still reviewing the provision to make this optional.