The International Chamber of Commerce Philippines, the national committee of world business organizations, supports the mandatory implementation of the competitive selection process on power procurement.
ICCP director-general Jesus Varela noted the circular issued by the Energy Department on mandatory CSP back in June 2015 required distribution utilities and cooperatives to purchase their power supply through the CSP, instead of negotiating them directly with generation companies.
“It is called CSP to cover methods of competition to find least cost power from alternative but qualified sources and feasible technologies. This likewise addresses issues of conflict of interest where price negotiated by distribution utilities and related generators are ultimately borne by electric consumers,” said Varela.
CSP is beneficial to consumers because it goes beyond lowering the cost of electricity, the ICCP said.
