Senate President Francis “Chiz” Escudero has filed a bill that would prohibit power distribution companies from passing system loss charges on to electricity consumers.
Senate Bill No. 2345, filed shortly after President Marcos’ State of the Nation Address, seeks to amend the Electric Power Industry Reform Act (EPIRA), which currently allows utilities to recover part of their system losses from consumers.
Escudero argued that ordinary consumers should not shoulder the cost of outdated facilities, operational inefficiencies or electricity theft.
“Consumers should pay only for the electricity they actually consume,” he said in the bill’s explanatory note.
Under the proposal, distribution utilities will absorb losses caused by technical inefficiencies and electricity pilferage instead of passing them on through consumers’ monthly electric bills.
The senator said the measure would encourage power firms to improve efficiency while giving consumers fairer electricity rates.
He added that the proposed reform also supports the administration’s broader goal of lowering power costs and strengthening consumer protection.IMT
