Wednesday, 05 November 2025, 7:12 pm

    ERC proposes uniform power subsidy rate to aid low-income consumers

    The Energy Regulatory Commission (ERC) is seeking public feedback on its proposed uniform national lifeline subsidy rate and the creation of a national lifeline subsidy fund, which would be managed by the Power Sector Assets and Liabilities Management (PSALM) Corp.

    Under the draft proposal, households consuming 50 kilowatt hours (kWh) or less a month would receive a 100 percent discount on their electricity bills. Pantawid Pamilyang Pilipino Program (4Ps) beneficiaries meeting the same consumption threshold would be automatically enrolled.

    To finance the program, ERC proposes a fixed P0.01 per kWh levy on customers who do not qualify for the subsidy. Distribution utilities, retail electricity suppliers, and the National Grid Corporation of the Philippines would collect the levy and remit proceeds to PSALM.

    ERC said the fund and subsidy framework will be reviewed annually, assessing consumption thresholds and fund sufficiency using data from the Philippine Statistics Authority and distribution utilities. Currently, charges for non-lifeline consumers vary monthly, depending on the number of beneficiaries and their usage.

    ERC chairman Francis Saturnino Juan emphasized that public consultations aim to ensure transparency, fairness, and inclusivity in policymaking, reflecting President Ferdinand Marcos Jr.’s call to expand electricity access for marginalized households.

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