SolGen: DOE, ERC don’t need to comment on Meralco rate case

Rappler.com

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Bayan Muna Rep. Neri Colmenares disputed the OSG statement, saying the ERC allowed the power rate increase

NO COMMENT? The Solicitor General says the DOE and ERC don't need to mount a defense, but Meralco does. File Photo by Rappler

MANILA, Philippines – Government lawyers told the Supreme Court that only Manila Electric Company (Meralco) is required to mount a defense against petitions seeking to stop the utility firm from implementing a record-high increase in power rates. (READ: Leftist lawmakers seek TRO vs Meralco price hike)

In a 7-page manifestation and motion addressed to the Supreme Court, the Office of the Solicitor General (OSG) said that the Department of Energy (DOE) and the Energy Regulatory Commission (ERC) are not required to comment unless told to by the court. Instead, it is Meralco that needs to provide a defense as the private respondent. (READ: SC stops Meralco power rate hike)

The OSG cited Section 5, Rule 65 of the Rules of Court that states “it shall be the duty of private respondents to appear and defend, both in his or their own behalf and in behalf of the public respondent or respondents affected by the proceedings.”

“It is respectfully prayed that the OSG be excused from filing the comment on behalf of public respondents ERC and DOE and that the defense of the challenged action or ruling of said public respondents be undertaken by private respondent Meralco,” it told the Court.

Bayan Muna Rep. Neri Colmenares responded to the OSG statement, saying that the ERC is one of the main respondents in the power rate increase case. Colmenares noted that the ERC allowed the increase, and that the ERC should answer to the people.

Power distributor Meralco announced in December that it was raising charges by P4.15/kWh, the biggest power rate hike in recent history. Meralco was set to raise charges in 3 tranches: P2.41 per kWh in December, P1.21 per kWh in February 2014 and P.053 per kWh in March.

But the High Court issued a 60-day restraining order on the implementation of the rate hike. (READ: 13 things Meralco consumers should know about the hike)

The Senate and a tripartite committee composed of the DOE, ERC and the Philippine Electricity Market Corporation, operator of the Wholesale Electricity Spot Market (WESM), are probing the hike amid reports of collusion among power plants that went on unscheduled simultaneous outages coinciding with the scheduled maintenance shutdown of the Malampaya natural gas field. The shutdowns forced Meralco to buy more expensive power from the WESM. – Rappler.com

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