Manila: Medium-sized businesses may now take advantage of the retail aggregation program (RAP) for electricity consumers and join the retail competition and open access (RCOA) after the Energy Regulation Commission (ERC) cut the eligibility threshold for the monthly peak demand from 500 kilowatts (kW) to 100 kW.
According to Philippines News Agency, the new rules will take effect on June 26, 2026, to give distribution utilities (DUs) and retail metering service providers (RMSPs) sufficient time to procure and install compliant metering facilities, as stated in a press release on Tuesday.
Under the RAP program, which is part of ERC’s implementation of the Electric Power Industry Reform Act (EPIRA), power consumers may apply to aggregate their consumption, even in separate locations, and choose their supplier. ERC Chairperson and Chief Executive Officer, lawyer Francis Saturnino Juan, emphasized that by expanding retail access to more end-users, the program promotes genuine consumer choice and drives competition, potentially leading to better prices, improved service quality, and innovation in the power sector.
The ERC reported that more than 2,300 retail electricity customers have switched under RCOA, and there are currently around 37 Retail Aggregated Groups (RAGs) with a combined demand of nearly 31 megawatts (MW). Juan highlighted that lowering the contestability threshold to 100 kW and implementing it in a deliberate and orderly fashion marks a significant advancement in unlocking the full potential of open access and consumer choice in the Philippines, underscoring their commitment to fostering a fair, competitive, and transparent electricity market that delivers enduring benefits to Filipino consumers.
The decision to lower the threshold, ERC stated, was made after considering the results of stakeholder discussions nationwide held last September. These discussions particularly focused on the availability of advanced metering infrastructure (AMI), procurement timelines, and potential stranded capacities from existing power supply agreements.
