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(NAS DAILY SEGMENT)

The ERC. The Republic of the Philippines’ Energy Regulatory


Commission.
A world class, independent electric power industry regulator that
promotes and protects the interests of consumers and stakeholders, to
enable the delivery of long-term benefits that contribute to sustained
economic growth and improved quality of life. At least that’s what it
says on their webpage.
But what really is energy regulation and what is its history in the
Philippines. For that, meet…

(Wipe)(pop up)

Heyyy Hsauce, Khenan here.


(lifts left hand) Regulation is the control of actions or process by means
of rules or law.
(lift right hand) and Energy Regulation means that energy rates and all
the processes that get the electricity and natural gas to homes and
businesses, is controlled by a governing body. They set the price for
electric and natural gas supply and the distribution channels for
delivery to ensure proper competition and to prevent any monopoly.
(cut)(pop up)

How did Energy regulation start in the Phillippines, lets look why back in time

(brown, past sound effect)


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The regulation of public services in the Philippines started in 1902 with
the creation of the Coastwise Rate Commission and in 1906, the
creation of the Supervising Railway Expert. The following year the
Board of Rate Regulation was also established.
But in 1914, the Philippine Commission, patterning after the Public
Service Law of the State of New Jersey, created the Board of Public
Utility Commission. Absorbing the Coastwise Rate Commission, the
Supervising Railway Expert, and the Board of Rate Regulation and all
their functions.
On 1936, the Public Service Commission (PSC) was created and was
given the jurisdiction, supervision, and control over all public services,
including the electric power service./////
After almost four decades, significant developments in the energy
sector changed the landscape of economic regulation in the country.
1972 –the PSC was abolished and transferred the regulatory and
adjudicatory functions pertaining to the electricity industry and water
resources to the Board of Power and Waterworks (BOPW).
1977 - the Department of Energy (DOE) and Board of Energy (BOE) was
created. The BOE assumed the powers and functions of the Board of
Power and Waterworks over the electric power industry.
1987 - the BOE was reconstituted into the Energy Regulatory Board
(ERB) and which eventually had the power to fix rates in both public
and private electric utilities.
This brings us to the year 2001, the ERB was abolished and replaced by
the current Energy Regulatory Commission, or ERC through the
enactment of the EPIRA of 2001.
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(cut)(change loc)(pop up)

what is with the EPIRA of 2001? Well Section 38 of the Electric


Power Industry Reform act of 2001, or EPIRA, saw the creation
the Energy Regulatory Commission as an independent, quasi-
judicial regulatory body (pop independent and quasi in screen
then light em up once recalled). Independent, meaning, it is no
longer under the Department of Energy or any other bodies,
and quasi-judicial, it has the right to hold hearings and conduct
investigations into disputed claims and alleged infractions of
their imposed regulations. (add weird things for dream vibe)
(Start to static interference)

(cut)(in a weird place)(having nightmares/vision)

(soft echo-ey voice)(pop up important words like equations/thinking meme)

What is the vision vision vision of the ERC C C?

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As stated earlier, the vision is to become
A world class and independent electric power industry regulator
that equitably promotes and protects the interests of consumers and
other stakeholders, to enable the delivery of long-term benefits that
contribute to sustained economic growth and an improved quality of
life.
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What is the mission mission mission of the ERC C C?

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 The ERC is committed to promote free and fair competition and
ensure reasonable rates through the exercise of prudent and
equitable judgment.
 The ERC shall provide the industry with ample opportunities to
manage risks and challenges through coordination, consultation
and enforcement.
 The ERC shall protect the rights of consumers, balance the
interests of all stakeholders, and nurture the personal and
professional aspirations of its employees.
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(exit time travel sound effect)

(cut)(normal)
(change cam angle) (walk straight then face camera)

*pants*

Oh youre here? Let’s talk more about the ERC.


(cut)(Activate NAS daily)

Did you know the ERC has number of powers and functions. 19 to be
exact. And 5 core objectives that’s too long so I have summarized them
to this:
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Here are the 19 powers and functions of the ERC, summarized:
1. Handle consumer complaints and interests
2. Determine and approve, after hearing, transmission and
distribution charges and retail rates with no discrimination
3. Approve, issue, and review certificates and licenses pertaining to
power usage and supply
4. Enforce the national grid code and Philippine distribution code
5. Enforce regulations for the Wholesale Electricity Spot Market
6. Ensure that the National power Corporation and distribution
utilities function properly
7. Set Lifeline rates for marginalized End-Users
8. Ensure the qualifications of Suppliers
9. Determine end-users under the Contestable and Captive Markets
10. Attend to stranded debts and contracts
11. Act on applications for cost recovery and return
12. Fix user fees
13. Review power purchase contracts
14. Monitor and penalize abuse on the market
15. Approve terms and conditions of service
16. Determine universal charge for end-users
17. Test and seal electric watt-hour meters
18. Implement the Anti-pilferage of Electricity Law
19. Regulate the prices of piped gas

The objectives of the ERC, in essence, is the accomplishment of their


powers and functions: To become a dynamic organization of
professional people with the highest degree of technical competence
and integrity

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And wait, listen to these people. They will tell you the core values of
the Energy Regulatory Commission
(cut/wipe)(indi peep say one core value)

1. Integrity - The ERC’s honesty and fairness


2. Transparency and Accountability - The ERC with clear and accurate information.
3. Excellence - The ERC with precision and efficiency
4. Professionalism - Personnel with utmost competence, skill, and training
5. Teamwork – Fostering collaboration and open communication
6. Public Service - The ERC’s love for country and the public.

(low bat )

(activate vsauce standing far away in right corner like news report)
(cut lines to different places)
Do you wonder, like me, what are some of the resolutions and
regulations posted by the ERC. Well, they make lots of rules and
regulations, they approve different rates and processes for companies,
and they make sure that what they impose shall be followed, and
consequences are for those who do not abide, (jump cut to face for
emphasis) they’re like the supreme court for the power industry.
One resolution is the Resolution No. 38. Series of 2006. A Resolution
Promulgating the Energy Regulatory Commission's Rules of Practice and
Procedure. In here, they included 24 rules ranging from general
provision, to intervention and provisional authority, to Filings and court
hearings. Phew
(scroll rules fast)

The ERC also has rules for different certificates, stated in their Office
Order No. 19, series of 2009, they have guidelines and requirements for
getting a certificate of compliance for companies and facilities,
certificate of authority for service providers, and certificate of
registration for wholesale aggregators. As well as licenses for electricity
suppliers
(cut)

The ERC is an organization, and you know what organizations have? An


organizational chart (hambog)

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(walk enter to greenscreen)

At the top of the ERC is the commission chair along with four
commission members selected by the Philippine President. The
chairman and the commission members must be experts in any of the
fields of energy, law, finance, commerce, and engineering. Under the
chairman and the members are the Internal Audit Division, the
Secretary of Commission, and the Executive Director where most of the
bulk of the ERCs workforce is under, handling 6 different sectors of
services. The Finance and Administrative, Legal, Planning and Public
Information, Regulatory Operations, Market Operations, and Consumer
Affairs Services.
(show chart)

The current chairman of the ERC is Hon. Agnes Vicenta S. Torres-


Devanadera and the Executive Director is Atty. Floresinda G. Baldo-
Digal.

And oh, their main office is here: Pacific Center Building, Pasig City,
Metro Manila.
If you want to learn more about the ERC, check out their website at
www.erc.gov.ph. Click it now

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