The Murang Kuryente Act will soon lift the burden of every household of having to pay additional costs in electricity bill, said Senator Sherwin Gatchalian.
He said the Department of Energy has just released the draft Implementing Rules and Regulations (IRR) for the Murang Kuryente Act.
The law states that a portion of the national government’s share of the proceeds from the Malampaya Natural Gas Project will be used to pay for two items—Universal Charge for Stranded Debts and Universal Charge for Stranded Contract Costs—included in electricity rates paid by consumers.
Gatchalian, chair of the Senate Energy Committee and co-author of the law, stressed that each Filipino household is currently paying ₱0.09 per kilowatt hour for UCSD and UCSCC in the electricity bill.
On top of this, consumers are expected to pay additional Php 0.86 per kilowatt hour for UCSCC and UCSD.
But with the enactment of the Murang Kuryente Act, he said consumers will no longer pay the additional cost. Those consuming 200 kwh per month can save P 172 per month or P2,064 per year.
“These savings can be added to buy additional three or four kilos of rice each month or a sack of rice each year,” said Gatchalian. .
“Makakaasa ang ating mga kababayan na simula Disyembre ay hindi na tataas ang UCSD at SCC na nakapaloob sa bill ng kuryente nila”, he added.
Stranded contract costs are excess of the contracted cost of electricity under independent power producer contracts over the actual selling price of the contracted energy output.
Stranded debts on the other hand, refer to any unpaid financial obligations of the National Power Corporation (NPC) which have not been liquidated by the proceeds from the sales and privatization of NPC assets.
“We will focus on this especially that Filipinos have long beem burdened with the loans of the NPC,” said Gatchalian.