THE Securities and Exchange Commission (SEC) and the Energy Regulatory Commission (ERC) plan to streamline the process for energy companies raising funds through the capital market.
The SEC said in a statement Wednesday the two regulators launched the “Securing and Expanding Capital for PowerGen Operators and Wholesale Electricity and Retail Services (SEC POWERS)” program. This aims to simplify how power generation and distribution companies can raise capital in the market.
The move aligns with a requirement in the Electric Power Industry Reform Act for power generation and distribution firms to offer at least 15 percent of their shares to the public.
“Energy projects are very capital intensive. This is where the capital market can come in. We aim to introduce the limitless potential of tapping the capital market as a financing solution to meet the growing demand of the energy sector,” SEC chairman Emilio Aquino said.
“With the issuance of SEC POWERS, we aspire to usher in more substantial investments in power projects by streamlining the securities registration process,” he said.
Under the simplified process, the SEC committed to completing the review of securities registration statements for energy firms within 45 days.
The streamlined process is designed to help meet the country’s energy investment needs, which the Philippine Energy Plan 2023-2050 estimates at P67 trillion.
ERC chairman and chief executive Monalisa Dimalanta cited the importance of collaboration between the SEC and ERC.
“This is exactly why the synergy between the ERC and SEC matters. By working together we’re finding solutions that not only meet regulatory requirements but also provide our regulated entities the support they need to grow,” Dimalanta said.
“When we combine our expertise and resources, we’re not just making processes more efficient for investors and industry players—we are also strengthening the foundation for a stronger, more competitive energy sector,” she said.
Several energy firms, particularly those in renewable energy, have listed on the Philippine Stock Exchange. These include NexGen Energy Corp., Alternergy Holdings Corp., Citicore Renewable Energy Corp., Repower Energy Development Corp. and Raslag Corp.