COMPLETE DOCUMENTS ESSENTIAL TO APPROVAL

WE write in reference to the editorial article published in The Manila Times in its issue dated Sept. 25, 2019 titled, “ERC risking energy crisis for principle.”

In the said article, the editorial writer claimed: “The Energy Regulatory Commission ( ERC) has refused to permit the approval for the operation of a new, 455- megawatt ( MW) power plant to proceed any faster than the written regulatory procedures allow, which would be a proper approach under normal circumstances.” We wish to clarify our position and provide proper context of the circumstances surrounding ERC’s action.

First of all, the ERC did not refuse to issue the necessary Certificate if Compliance (COC) to San Buenaventura Power Ltd. Co. ( SBPL) for its Supercritical Coal- Fired Power Plant in Mauban, Quezon but merely deferred the issuance of the COC when it was initially deliberated on Sept. 4, 2019 due to incomplete documents, the most important of which was the Conditional Water Permit (CWP). This was issued in the name of the Manila Electric Company ( Meralco) and not under the name of SBPL.

In fact, subsequent to the Commission Meeting, the ERC received two conflicting letters from different officials of the National Water Resources Board ( NWRB) regarding the CWP. ERC needed to ask NWRB to clarify the import of these two letters.

On Sept. 23, 2019 (Monday), ERC received from NWRB its explanation/clarification. ERC lost no time and hence, on Sept. 24, 2019 (Tuesday), the Provisional Authority to Operate (PAO) was issued to SBPL. A PAO has to be issued instead of a COC in view of the other requirements, which must be submitted within a specific period of time.

I wish to correct the impression that ERC renders its decision in a vacuum. Instead it is mindful of the present supply situation. ERC would likewise advise the parties to do their share in securing the necessary permits from other agencies, and be more diligent in their work and not pass on to ERC the burden of having to divine the documents that they submit.

It is our belief that the ERC, as a collegial body, should not be blamed for adhering to the requirements of the law. We will always stand by our mandate to safeguard the consumer’s welfare, not only in terms of reliable and reasonably priced electricity, but also taking into account safety, health and the environment.

We hope that this clarification would merit a space in your newspaper in the spirit of fair and responsible journalism. Thank you and more power to The Manila Times.

(Sgd.) AGNES VST DEVANADERA Chairman and Chief Executive Officer Energy Regulatory Commission