LKI Statement on the Murang Kuryente Act

2019-08-14 10:54:26

August 14, 2019

LKI Statement on the Murang Kuryente Law .


LABAN KONSYUMER INC.  lauds President Duterte Signing Murang Kuryente Act, but calls for faster or earlier  Implementation .


The  consumer group Laban Konsyumer Inc. (LKI) stated “we call on the earlier or faster  implementation of the Murang Kuryente Act within the 90 day period to issue the IRR.. The earlier the better and the consumer  group truly hopes that with the new law, electricity consumers will very soon no longer have to pay the universal charges for stranded contract costs and stranded debts in their electricity bills. We call for faster issuance of the IRR than wait for the full 90 days to elapse" LKI President Vic Dimagiba said . 

 About 38 percent or 9 centavos of the existing Universal Charge (0.2557 per kwh) is for the recovery of NPCs Stranded Contract Cost and Stranded Debt .

Right now,  SCC is at 0.0543 and SD is at 0.0428, making the total actual now 0.0971 pkwh.


The Malampaya Fund actually came from electricity consumers in Luzon, through payments to gencos using Malampaya natural gas for fuel.  Electricity consumers have been paying for the royalties remitted to the government for almost 20 years now.  It is high time that consumers benefit from the Malampaya fund.

Meantime, Dimagiba cautioned PSALM  that future SCC and SD will no longer be filed , heard , evaluated and decided by the Energy Regulatory Commission . Under the EPIRA, all power rates have to observe and comply with the rate making powers of the ERC.  Any future SCC and SD decided in favor of the PSALM  shall be paid from the Malampaya special funds.

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