The Energy Regulatory Commission (ERC) has approved, with modification, the application of the National Transmission Corp. (TransCo) to collect a Green Energy Auction Allowance (GEA-All) of P0.0371 per kilowatt-hour (kWh), effective January 2026 billing.
The approved GEA-All covers projects under the Green Energy Auction 1, 2 and 4 for a total recovery of P5.7 billion.
GEA-All is an amount in pesos per kWh to be charged to all on-grid end-users to fund the differential amount needed to fully pay all GEA-eligible plants.
The GEA-All is a separate line item on customers’ bills, to be collected by the distribution utilities (DUs) from their captive customers, by the National Grid Corporation of the Philippines (NGCP) from its directly connected customers, and by the retail electricity suppliers (RES) from their contestable customers.
The ERC directed all key power industry entities—including DUs, RES, NGCP and the Independent Electricity Market Operator of the Philippines (IEMOP)—to make available all records needed for an immediate GEA-All audit.
“It is very much similar to feed-in tariff allowance, which is a universal charge per kilowatt-hour charged to all on-grid customers,” said Sharon Montaner, ERC director for market operations service. “So the ones collecting this are the DUs from their captive customers, the NGCP from their directly connected customers, and the electricity suppliers from the contestable customers, so all collections are remitted to TransCo, the administrator of the fund. And TransCo pays the eligible GEA developers for their electricity generation.”
All GEA-All collections shall be remitted to TransCo as the FIT-All Fund administrator of the GEA-fund.
The ERC said TransCo must set up the GEA-All Fund immediately before any remittances begin.
Meanwhile, the ERC has approved with modification TransCo’s application to establish a new feed-in tariff allowance (FIT-All) and fixed the 2026 FIT-All rate at P0.2011 per kWh, beginning the January 2026 customer billing period.
This represents a P0.0062 per kWh reduction from the current FIT-All rate being charged by TransCo.
The Commission’s ruling was rendered in TransCo’s July 15, 2025, application, seeking approval of the FIT-All rate for calendar year 2026, with a request for provisional authority.
The FIT-All Fund covers the cost of the actual energy produced by the Eligible Renewable Energy Plants, based on the applicable FIT rate.
“For the first time since the FIT implementation began, the ERC has been able to set the FIT-All rate before the year it is meant to be applied,” said Francis Saturnino Juan, ERC chairperson.
“This demonstrates the ERC’s commitment to acting swiftly and with urgency on all filings, thereby fostering a more stable and predictable regulatory environment,” he added.
