THE DAVAO Consumer Movement is urging the government and power distributors to act swiftly in protecting households from sudden electricity bill shocks.
Rising tensions in the Middle East are expected to push gasoline prices higher, which in turn will affect the generation costs of both diesel‑fired and coal‑fired power plants. Coal plants, which run continuously to supply the grid, rely on imported fuel, and the added transport costs will only make electricity more expensive.
As fuel prices climb, the impact will ripple through the Wholesale Electricity Spot Market (WESM), where many distributors source their supply. Communities outside the main grid that depend on diesel plants are especially vulnerable, as they could face even sharper increases.
Consumers, therefore, call on the government to put in place concrete safeguards to cushion these effects. One immediate step would be suspending excise taxes and value‑added tax (VAT) on fuel, which could ease the burden of rising costs.
We also call on power distributors, both private companies and cooperatives, to exercise responsibility and restraint. Passing on higher rates without exploring solutions is not acceptable. As public utilities are mandated to serve the people, distributors should work together to push for measures such as tax suspension and other relief strategies that can help prevent bill shocks.
Finally, we urge the Department of Energy (DOE), the National Electrification Administration (NEA), and the Energy Regulatory Commission (ERC) to strictly regulate any increases in electricity and fuel prices.
Likewise, the government must also use this time to think of long-term solutions that would reduce the country’s reliance on power sources that become volatile during a global crisis.
In these challenging times, consumer welfare must come first. Swift and proactive action is needed to shield households from sudden and painful spikes in their electricity bills.
Ryan Amper
Convenor
Davao Consumer Movement
0905-5634083
