Power distributor Manila Electric Co. said Thursday a newly-formed wholly-owned subsidiary filed an application with the Energy Regulatory Commission for a retail electricity supplier license.
Meralco said in a disclosure to the stock exchange that Vantage Energy Solutions and Management Inc. filed on Nov. 29 an application for RES license with ERC.
The move is in compliance with the recent Supreme Court ruling which stopped the Pasig regional trial court from proceeding with a temporary restraining order and injunction on the retail competition and open access scheme being implemented by ERC and the Energy Department.
“As a distribution utility affiliated RES, Vantage Energy intends to provide retail energy services which will include wholesale contracting, energy trading and sourcing, marketing, selling and aggregating electricity, billing, collection and the provision of other value added services to contestable customers,” Meralco said.
Meralco’s head of legal department William Pamintuan said earlier they would comply with the Supreme Court decision.
“We emphasize, however, that our decision to form a new RES is without prejudice to the final resolution of the courts of the cases filed by the ERC and DOE involving the issue of the validity and continued operation of the local RES,” Pamintuan said.
Pamintuan said they also filed a motion for reconsideration but which was “not intended to prevent the implementation of valid RCOA rules which we have consistently supported but rather to seek legal redress against the recent issuance related to RCOA that are contrary to provisions of the Epira [Electric Power Industry Reform Act of 2001] and detrimental to fail competition and consumer interest.”
Meralco asked for the issuance of the TRO from the Pasig RTC to stop the implementation of open access, as it would create irreparable damage to the company.
It said that as a distribution utility, it did not need to get retail electricity suppliers license as it was already covered by its franchise.
The Philippine Electricity Market Corp. registered 21 retail electricity suppliers wanting to participate under the retail competition and open access regime as of Nov. 21.
