Inside Philippine politics & beyond

Power rates and privatization – was the Filipino public swindled by GMA and Congress?

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By Raïssa Robles

Privatize the power industry and electricity rates will go down. This was the promise made in 2001 by then President Gloria Macapagal  and Congress when they lobbied for the passing of the Electric Power Industry Reform Act (EPIRA).

The act was passed and today, 13 years later, that promise remains unfulfilled. In fact, the exact opposite has happened. Far from decreasing, rates have increased. Customers of the biggest retail provider, Meralco, are staggering under the highest electric rates ever in the country’s history.

This is something for us to keep in mind today as petitioners against the power rate increase face the Manila Electric Co. in a preliminary conference ordered by the Supreme Court, a week before the oral arguments there.

Let’s go back to 2001. A week before Congress passed the EPIRA law on June 8, 2001, a full page ad came out in the Philippine Daily Inquirer on May 30, 2001.

I clipped it because two things caught my eye about this ad:

First, it promised that if the law is passed, electric rates would go down.

Second, Mrs Arroyo said “the high cost of electricity” was partly blame for poverty.

You can read for yourself this full page ad. I had to take a photo of it in sections:

And here’s a closer look of the promises made in exchange for the EPIRA law:

Mrs Arroyo and House Speaker Feliciano Belmonte cannot escape the responsibility of making EPIRA right and fulfilling its broken promises. Belmonte was also  Speaker of the House when the EPIRA law was passed. And Arroyo is now in Congress.

I wonder if, like millions of “ordinary” Filipinos, Arroyo and Belmonte regularly worry about how to pay THEIR monthly electricity bills. What do you think?

At any rate, the least they can collectively do is drastically amend the EPIRA law ASAP, so it benefits customers and not just the power industry players.

Tayo naman ang sisingil sa kanila.

Interestingly, among those who petitioned the Supreme Court to freeze Meralco’s recent power rate hike is Pete Ilgan, president of The National Association of Electricity Consumers for Reforms (NASECORE).

Pete Ilagan fully endorsed the passage of the EPIRA Law in 2001 and allowed his name and signature to appear in the same ad. He owes the public an explanation and he has to help make EPIRA right.

Besides Pete Ilagan, the following also have to help make things right:

 

Comments

  2. Was there a collusion to increase the power rates?

    Sabihin na lang ng mga nakakaalam sa DOE, ERC at mga cartel players sa Wholesale Electricity Spot Market (WESM) players that the cost (interests) of financing or servicing the loans (debt) that funded & built those power generating plants are increasing and have become more expensive.

    Power generating companies are under pressure fromm global banksters to increase their rates to afford the repayments and increases this year and the next.

    —

    – Meralco hikes generation charge this month
    http://www.abs-cbnnews.com/business/01/25/14/meralco-hikes-generation-charge-month

    – Ducut option: Resignation
    But ERC chair says she is not quitting
    http://newsinfo.inquirer.net/568985/ducut-option-resignation

    – Petilla admission proof of collusion, says Rep. Colmenares
    http://newsinfo.inquirer.net/569011/petilla-admission-proof-of-collusion-says-rep-colmenares

  3. Though GMA may have been the main culprit in our current predicament. By continuing to enforce rather than review the anti-consumer policies contained in EPIRA and in their economic policies, the current administration is equally guilty.

    This of course includes continuing to support the Pork Scam implicated ERC chief and the DOE Policies which led to the inoperation of the Malaya plant and the rush purchase of power from WESM during the Malampaya shutdown. The Malaya plant occupied the role of a stand-in for Malampaya in the past several years to prevent rates from ballooning on us. For some reason, it was not operated during last year’s maintenance period.

    Knowing fully well every year that Malampaya has a periodic maintenance schedule, it should have been a cue for those involved to plan ahead to acquire supply contracts at a reasonable price as well as operate the government owned Malaya facility.

    • the stand-by malaya plant really stands idle by the collusion of the greedy men of power sector.
      9 years of GMA, has done nothing.
      pnoy has less than 3 yrs yet he’d made this operandi exposed.
      let’s work together for the revocation of the epira law.

      • and ngayon lang daw nangyari na di pinatakbo yung malaya… although syempre yung panloloko sa atin using EPIRA eh matagal na

        • Trydl…….it seems you dont know what you are talking/barking…..i suggest you try FIRST discovering the TRUE OPERATIONAL COST of DIESEL FEED , BUNKER OIL FEED, GAS FEED , GEOTHERMAL FEED, HYDRO FEED, ..POWER PLANTS….the cost variations ALONE on those PRODUCED POWER of different “. PANG GATONG ” ay malalaman mo kung bakit sadya ang pag pigil ng IPPs ng power proction nila and diffinitely INCREASED the PRICES.. MALAYA PLANT how thus it operates? know the owners in relation to other POWER PLANTs ,,bago ka mag comment kasi wala kaming makitang EQUALLY GUILTY o GUILTY ang administration ni PNOY .

  4. Though GMA may have been the main culprit in our current predicament. By continuing to enforce rather than review the anti-consumer policies contained in EPIRA and in their economic policies, the current administration is equally guilty.

    This of course includes continuing to support the Pork Scam implicated ERC chief and the DOE Policies which led to the inoperation of the Malaya plant and the rush purchase of power from WESM during the Malampaya shutdown. The Malaya plant occupied the role as a stand-in for Malampaya for the past several years to prevent rates from ballooning but for some reason was not operated during last year’s maintenance period.

    Knowing fully well every year that Malampaya has a periodic maintenance schedule, its should have been a cue for those involved to plan ahead to acquire supply contracts at a reasonable price as well as operate the government owned Malaya facility.

    • I disagree with you ” equally guilty ” A BIG NO… PNOY did reviewed and still reviewing the anti- consumers law at EPIRA , but reviewing is one thing that can be easily DONE but the other thing which PNOY wanted to amend , revise to the extend of revoking the EPIRA LAW is HARD to be done , because at the CONGRESS their are still FULL although jumped to the administration side when PNOY came to power ( majority in the congress. ) of GLORIA MINION’s who supported and lobied for the EPIRA LAW so how can you stop implementing the law NOW? HOW? without violating the EPIRA LAW..why bame on PNOY and why is he equally guilty NOW?

      • Blame on the Filipino Bilionaires the ABOITEZes the LOPEZES for bribing their minions in the Congress in passing such LAW… BUT do you have evidence against them , NONE .. Except that they were wrecking billlions of pesos as an income , coming from payments of electric bill on their generated electric powers…Why not RALLY against this MONOPOLITIC FAMILIES then? Then if we do thismore brown out’s to COME , because they control everything.

  5. Was it only on ‘Power rates and privatization … ‘ the Filipino people were swindled by GMA and Congress?

    —

    While Senator Ramon Bong” Revilla Jr. enjoys immunity from prosecution for his recent Senate privilege speech, he “is planning to get back at his enemies by filing cases against them in court after his father and namesake former Senator Ramon Revilla Sr. was dragged into the “pork barrel” scam.” [1]

    Who wheeled or paraded the senior into the Senate chamber in the first place?

    He was “Asked if he thought that Luy was a “puppet” of Malacanang, Senator Revilla said: “It’s a clear as day.”” [1] Or was it clear as mud, Nardong Putik?

    While under investigaton by the Ombudsman, the junior can’t be sued for his Senate chamber ‘privilege’ speech, including his toy truck loaded with papers as part of his presentation for his reply to criminal complaints filed against him.


    “Senator Revilla then revealed his plan to file cases against his enemies, including government officials, whom he refused to name.

    “We will file a case. The lawyers are studying it,” he said.

    “Definitely, we will go after everyone. We will file a case. And whoever is found guilty should be held responsible. It’s not enough to point a finger at anyone,” the senator added. [1]

    Source: Revilla mulls raps vs foes after father dragged into ‘pork’ scam
    By Maila Ager
    INQUIRER net
    6:06 pm | Wednesday, January 22nd, 2014

    Read more: 1. http://newsinfo.inquirer.net/567805/revilla-mulls-raps-vs-foes-after-father-dragged-into-pork-scam

    Galit nga sa mundo.

  6. Off topic, but I want to share this piece of good news:

    Another investigative journalist, Shiela Coronel has been appointed dean of academic affairs of the Columbia School of Journalism. She was a co-founder of the PCIJ.

    Interesting to note that Shiela’s father was Antonio Coronel, a rabid pro-Marcos lawyer who defended many military men during martial law. I remember him wearing tie pins or cuff links that resembled pistols.

    Shiela is an example of a fruit that was way better than the tree from where it fell.

    Sadly you cannot say that for Jinggoy or Bong Revilla.

  7. “Scarano’s lawyer, Silverio Sica, said his client merely took donations from people he thought were acting in good faith to fund a home for the terminally ill.”
    “We continue to strongly maintain the good faith of Don Nunzio Scarano and his absolute certainty that the money came from legitimate donations,”

    Read more: http://newsinfo.inquirer.net/567305/italy-police-re-arrest-vatican-monsignor#ixzz2r2Agql9D
    Follow us: @inquirerdotnet on Twitter | inquirerdotnet on Facebook

    Is Monsignor Nunzio Scarano the idol of Monsignor Ramirez?

    Read more: http://newsinfo.inquirer.net/567305/italy-police-re-arrest-vatican-monsignor#ixzz2r2A1QHGM
    Follow us: @inquirerdotnet on Twitter | inquirerdotnet on Facebook
    http://newsinfo.inquirer.net/567305/italy-police-re-arrest-vatican-monsignor

    • The 85 elite richest in the world can fit in one double decker bus. A combined wealth of £1tn (trillion pounds) in one bus, compared to the poorest 3.5 billion of the world’s population.

      Political leaders and top business people head to the snowy peaks of Davos for this week’s World Economic Forum at Davos, Switzerland (January 22-25, 2014).

      Winnie Byanyima, the Oxfam executive director who will attend the Davos meetings, said: “It is staggering that in the 21st Century, half of the world’s population – that’s three and a half billion people – own no more than a tiny elite whose numbers could all fit comfortably on a double-decker bus.” Read ‘Oligarchs vs. masses: 85 richest people on Earth as wealthy as half world’s population’ by Graeme Wearden, The Guardian Mon, 20 Jan 2014 06:11 CST. http://www.sott.net/article/272259-Oligarchs-vs-masses-85-richest-people-on-Earth-as-wealthy-as-half-worlds-population

      Commentary/Opinion In Point

      Part of the problem with “rising up against” the ruling classes is that there will be those whose actual underlying motivation was to replace the existing leaders and thus be in a position to take more for themselves.

      – Psychopaths in power: The Parasite on the Human Super-organism*
      http://www.sott.net/article/272150-Psychopaths-in-power-The-Parasite-on-the-Human-Super-organism

      * Recommended reading, and watch the Ant video clip.

      Read also:
      – Economic Freedom
      http://www.economicfreedom.org/

      What rank is the Philippines?

      – Economic Freedom of the World: 2013 Annual Report
      http://www.economicfreedom.org/2013/09/18/economic-freedom-of-the-world-2013-annual-report/

      – 55% of Filipinos believe quality of life worsened
      http://newsinfo.inquirer.net/566879/55-of-filipinos-believe-quality-of-life-worsened

    • Corporate Criminals, Billionaires Gather for World Economic Forum in Davos

      By Andre Damon
      Global Research, January 23, 2014
      World Socialist Web Site

      The annual celebration of wealth and avarice follows a bumper year for the world’s super-rich. Stock prices and corporate profits surged to new record highs, swelling the bank accounts and portfolios of the financial elite, even as austerity measures, wage cutting and layoffs slashed living standards and threw tens of millions more people into poverty.

      On the eve of the forum, the British charity Oxfam released a study documenting the staggering growth of social inequality. Oxfam reported that the richest 85 individuals possess more wealth than the poorest 50 percent of the world’s population—3.5 billion people!

      The Davos conference embodies the emergence of a new global financial aristocracy. In attendance at this year’s meeting are 80 billionaires and hundreds of millionaires.

      […]

      Davos’ prestigious Belvedere Hotel alone has ordered 1,594 bottles of champagne and Prosecco, as well as 3,088 bottles of red and white wine, according to the BBC, in order to accommodate “320 parties in five days, its 126 rooms crammed with chief executives, prime ministers and presidents.”

      The attendees have reason to celebrate. The wealthiest 300 people on the planet saw their net worth grow by $524 billion over the last year, according to Bloomberg News. The Bloomberg article, entitled “Davos Billionaires See Wealth Gains on 2014 Stocks Rally,” noted that Bill Gates was last year’s biggest gainer, having increased his fortune by $15.8 billion to $78.5 billion, recapturing the position of world’s richest person.

      Source: http://www.globalresearch.ca/corporate-criminals-billionaires-gather-for-world-economic-forum-in-davos/5366045

  9. Off Topic but of general interest to the public and Philippine government:

    BUSINESSMEN, BEWARE IN THE CITY IF LAS PINAS

    This City established a rule VIOLATING CONSTITUTIONAL RIGHTS TO PRIVACY by requiringEVERY OWNER/OWNERS TO POSE WITH THE PICTURES OF THEIR ESTABLISHMENTS OR PLACES OF BUSINESS TO SUBMIT AS CONDITION TO OBTAIN A BUSINESS LICENSE.

    According to my businessman friend, this is the first time such requirement was imposed.

    Submitting pictures of owners with their establishments does not enhance quality of the permit or supplement the fees. A business permit needs only to be paid but requiring pictures if owners is prone to criminal activities thru EXTORTION AND/OR KIDNAPPINGS OF OWNERS by direct identification of their physical appearance.

    Knowing government employees are corrupt, participating or conspiracy to commit crimes is likely plausible. This is another example of defective business permit requirement Philippine bureaucracy. chances are this requiment is another means to delay obtaining business permit by hard working businessmen as a means of public employees to commit graft and corruption.

    Wish this info will be spread by Netizens and Citizens thru Facebook and Twitter to reach Aquino Administration and Congress to investigate Las Pinas City government over this privacy rights violation.

    Senator Villar, how corrupt are city hall employees in your city?

    This is one way we Netizens could help our government get rid of opportunities to commit corruption by public employees. Expose unusual local government requirements detrimental to the people needing services.

    Public Service includes exposure of ways and means of corruption to be employed by public employees.

    Thank you all to those spreading this unusual business permit requirement of Las Pinas.
    In Quezon City, residents there should also become vociferous denouncing and repealing the new GARBAGE COLLECTION TAX.

    Bad Policies of Lical Government must stop and the first step is to expose and spread the bad news.

    • So, if Robinson’s, SM, Pure Gold, Walter Mart, atbpa, the old rich owners have to present their individual photo with each of them present at the Business Permit section of Las Pingas to prove each is the owner and compare each rich face with the picture?

      How about the approving official, will he or she also attached a photo that he or she was the one who approved the permit?

      It’s not only privacy but TROUBLELICACY…too much stupidity at that!

      Stupid Policy of Las Pingas.

  10. Off-topic:
    Just in case a CPMer missed the complete episode of Kap’s Amazing Stories:
    Link: http://www.gmanetwork.com/news/video/190912/liveevents/privilege-speech-of-sen-bong-revilla

    Things that i have learned from Sen. Bong Revilla speech:

    1. Question: What does it take to bribe a Filipino senator?
    Bong Revilla Jr.: “PANDESAL, KESONG PUTI, HAMON, TAPA, SINANGAG AT MGA PRUTAS”

    2.Question: What can destroy a Filipino senators credibility?
    Answer: A yellow, tonka truck toy that is filled with evidence.

    3. Kung ang isang letrato ay isa na palang ebidensiya para ma-convict ang isang tao ng guilty? Paano na ito Kap maitatangi mo pa rin ba na hindi mo kilala si Janet Lim-Napoles?

    Link: http://static.rappler.com/images/janet-napoles-bong-revilla-20130814.jpg
    http://static.rappler.com/images/janet-napoles-carousel-20130725.jpg

    • I hope i’m not reading too much into the bible verse Bong Revilla Jr. said during his privilege speech.

      Last paragraph of Sen. Revilla speech:
      Sabi nga po sa Isaiah Chapter 41 verses 10 and 11: “So do not fear, for I am with you; do not be dismayed, for I am your God. I will strengthen you and help you; I will uphold you with my righteous right hand. All who rage against you will surely be ashamed and disgraced; those who oppose you will be as nothing and perish.”

      Source: http://www.rappler.com/move-ph/issues/budget-watch/48460-full-text-revilla-on-politicking-by-the-yellow-republic

      • To: leona, Martial Bonifacio, jorge bernas, Johnny Lin, Moonie, at sa marami pang CPMers, na hindi na kayang banggitin ang pangalan. Natuwa ako sa mga comments nyo at naibsan ang sakit nang ulo ko sa mga sinabi nyo tungkol kay mandaramBONG. Nang napanood ko ang speech ni mandaramBONG, hindi ako nakatulog sa galit, kaya sumakit ang ulo ko. Nag-call in sick tuloy ako kinabukasan.

        Mabuhay kayong lahat! Sana hwag kayong magsawa sa pagsulat.

    • @ Marcial B.,

      Hindi ko alam kong kailangan pang sumama si pogi nang ipatawag gayong bawal at saka may sariling judgement na ito tungkol kay convicted ex.c.j. nato corona. That maybe he was waitting for something to satisfied his greedy needs. Dapat sinagot lang nito ang akusasyon laban sa kanya at habolin at sampahan nang kaso si janet lim napoles et.al. ha ha ha ha lalong ibinaon ni Pogi ang sarili kahapon sa exposes na walang kuwenta sana umiyak iyak siya para kaawaan..

      Sabi ko nga noon kong isang beses kang dinaya/nalusutan nang fake N.G.Os. ni napoles ay OK lang at kong dalawang beses ay Oks pa rin pero kong mahigit sa sampong beses kang dinaya nang fake N.G.Os.ni janet lim napoles eh NAPAKALAKING TANGA MO NAMAN SENADOR BONG REVILLA AT MAHIYA KA SANA AT MANDIRI SA SARILI DAHIL PERA NAMIN ANG IPINAMIGAY/IDINAAN MO SA FAKE N.G.Os. NI JANET LIM NAPOLES, YOU DON’T. DESERVE TO BE OUR SENATOR ANYMORE…

      SANA HUWAG KANG MAGPAKAMATAY DAPAT MAGRESIGN KA NALANG KONG MAY NATITIRA KAPANG HIYA SA SARILI?

    • Late Entry to MetroManila Film Festival :
      Mandaram-Bong Vs. DaBoys(pirma & pick up)

      Speech of senator Bong is proof of his corrupt mind!
      Here are the facts:
      1. he claimed his signatures were forged but for many years his PDAF was being robbed by FIRGERS yet he did not investigate or look for the robbers. Who is si HONEST losing million pesos funds but did not lift a hand to look for the thieves. Unless HE is the THIEF?

      2. He claimed PNoy interfered in Corona impeachment, yet when he cast his vote on Senate floor he spoke of integrity, honesty and doing the right thing for the people. The right thing to do then if President Aquino demanded from him by force or persuasion to vote for Corona conviction is to expose the criminal act of the president. BUT HE DID NOT. Only today he is saying such thing because Aquino government had documents proving Bong Revilla was a principal participant in government corruption.

      However, Bong skins his cat, he looks more dishonest and corrupt.

      There is a prayer that goes like this
      “Lord forgive me for what I have done and what I have failed to do”

      Sounds like Bong Revilla in his speech.
      Guilty is the only verdict for Bong whichever side the coin is flipped.

      His scripted late Mandaram-Bong MMFF entry was convincingly true but like in the movies it’s make believe

      He he he!

      • Since Sen. Bongi admitted that PNoy interferred with his voting on Coroona issue, he admits he has dead brain cells connected to PNoy’s for motionability [action].

        Poor senator! That is…. dead brains!

        • politicians always claim credits for the things they accomplish for re-election purposes. not monitoring the outcome of their pdaf spending is not credible.

        • I am hoping and HOPING that once the cases are filed in the SANDIGANBAYAN an immediate warrants of arrest for the 3 STOOGES will be implemented.

          Detained! No Bail! LET ‘EM GO UP TO THE SC! It is COMING very very SOON!

          Justices! No Inhibitions please! No absenting please! The hope of MOTHERLAND will also be IN YOUR HANDS!

          Just give ’em BAKAL NA BATAS!

        • @ drill down,

          Politicians always claim credits for the things they accomplished for reelection purposes with lots of pictures to show as evidences pero hindi ginawa nang mga butihing manbubutas kasi alam nila na sa BULSA NILA PUMUNTA ANG PERA NANG BAYAN…

          “SANA HINDI MAGPAKAMATAY ANG MGA MANDARAMBONG NA MAMBABATAS DAHIL SA NAKAKADIRING KAHIHIYAN AT KASAKIMAN”….

      • if all recall the numbers of interview with the good lawyer Atty Baligod, the case with the signatures were already answered and fully documented according to Atty. Baligod. Sen Bong Kunana can deny-to-death all he want but he still have the burden of proving his innocence in court and proving that the “toy truckload” of evidence are all useless and immaterial. I say his previlege speech just splashed more mud to himself.

        • dramatorgo talaga itong si bong revilla. in case the toy truck does not work, he had his old father in attendance with him, as prop. that way, the sympathy of the people will be assured to go their way. kaso lang, sabi ni benhur luy dating gawain din pala ni revilla snr ang pangmomudmud ng mga ng fake ngos. like father like son talaga. they are more concern about clearing their name, not for the truth to come out.

          again, bong will probably be dragging his old father along with him when he attends court. that way he can maximize sympathy, make the people’s hearts bled more with awa. pwe!

    • as expected, pogi will just be narrating an old series of Kap’s Amazing Stories.
      a dud.
      it failed.
      his wish to excite turned into a passive entertainment.
      he just did a redo of a scorned sexy expose.

      • Palagay na totoo yung sinabi niya na “kinumbinsi” sya ni Pnoy na bomoto pabor sa impeachment ni dating CJ Corona, at sya naman ay sumunod…

        Ano sya ngayon???? E di isang “TUTA” at alang sariling paninindigan? Susunod sa anumang sasabihin ng pangulo dahil lang sa isang masaganang almusal?

        At kung labag man sa kalooban nya ang ginawa nya, bakit ngayon lng nya sinasabi ito? Di sana nuon pa nya isinambulat sa publiko ng sariwa pa ang issue.

        Mahilig pala sya magtago eh…

        magtago ng pera ng iba,
        magtago ng kwento na matagal ng nangyari
        magtago ng bulok nya

        lalabas din naman ang lahat pagdating ng panahon

      • vander, people would have been more excited had bong revilla taken off his very expensive barong tagalog shirt and show to the whole nation his beating heart, if he has one. he could have placed his hand over his heart and deliver his speech. unmasked the truth, the naked truth. maybe, brain dead bong does not know where in his chest his heart is located. baka magturo pa sa pusod, ha, ha.