The Energy Regulatory Commission (ERC) held a consultative meeting with the Philippine Independent Power Producers Association (PIPPA) to discuss ERC’s proposed way forward, particularly the lifting of the Wholesale Electricity Spot Market (WESM) suspension and supported the publication of the Draft Resolution on the Modified Administered Price under ERC Case No. 2026-006 RM as a necessary measure to stabilize market outcomes and provide regulatory clarity amid the suspension.
Discussions focused on the ERC’s proposed settlement framework during the market suspension, which seeks to maintain core market operations without prejudice to the Special Operating Guidelines (SOG) issued by the Department of Energy (DOE).
The proposed Modified Administered Price mechanism adopts differentiated pricing and settlement approaches across generation technologies.
“The Draft Resolution is a necessary measure to mitigate price volatility and support orderly market conditions during the ongoing suspension.”
Stakeholders expressed support for the publication of the Draft Resolution, recognizing it as a necessary measure to mitigate price volatility and support orderly market conditions during the ongoing suspension.
ERC Chairperson and CEO Atty. Francis Saturnino Juan underscored that these efforts form part of a coordinated strategy to address prevailing market challenges.
“Through close coordination with power producers, we are putting in place appropriate pricing and settlement mechanisms to support a stable and transparent electricity market.”
“Our objective is to ensure orderly market operations and mitigate undue price volatility during the market suspension. Through close coordination with power producers, we are putting in place appropriate pricing and settlement mechanisms to support a stable and transparent electricity market,” Juan said.
The ERC remains committed to working closely with industry stakeholders to ensure a stable, transparent, and well-functioning electricity market, while safeguarding consumer welfare amid evolving energy sector conditions.
