REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  __________ 
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
EXPLANATORY NOTE 
Republic Act No. 9136, otherwise known as the Electric Power Industry Reform Act of 2001 
(EPIRA) restructured the country's power sector from a vertically integrated state monopoly to a sector that 
allows competition for subsectors, such as generation and retail supply, while also recognizing the importance of 
regulated subsectors (transmission and distribution) in ensuring a stable supply of electricity throughout the 
Philippines.' 
The Philippine Energy Plan 2020-2040 projects that the country's peak demand2 will increase by almost 
four-folds with 6.6 percent annual increment for the 20-year period, from 15,282 megawatts (MW) in 2020 to 
54,655 MW in 2040.3 
At present, in light of the unprecedented high fuel costs in the international market, the Department of 
Energy has been performing a balancing act in addressing the high prices of electricity vis-a-vis the viability 
of private investments to ensure supply security and encourage new investments in the power generation 
sector. The DOE reports that the Philippines has the second highest residential and commercial 
electricity rates in ASEAN, next to Singapore, at PhP11.24/kWh and PhP9.52/kWh, respectively.4 
This proposed measure seeks to promote the policy of the State, as declared in Section 2 of the EPIRA, to ensure the 
quality, reliability, security, and affordability of the supply of electric power, and to enhance the inflow of private 
capital and broaden the ownership base of the power generation sector. 
To achieve these, this proposed measure amends Section 28 of the Law, decreasing the holdings cap 
for persons, natural or juridical, including directors, officers, stockholders, and related interests, in a distribution 
utility and their respective holding companies, from 25% to 15% of the voting shares of stock. To further guarantee 
the independence and competence of the Energy Regulatory Commission (ERC), this bill puts in place additional 
qualifications as well as prohibitions for the appointive members of the Commission during and after their term. 
Additional transparency measures, such as opening the ERC's meetings to the public and guaranteeing consumers' 
right to access relevant information on the energy sector. Finally, in order to put in place a more sustainable 
solution to the problems of the sector, this proposed measure seeks to amend Section 47 of EPIRA to authorize the 
government, through the National Power Corporation (NPC), or any other Government -Owned and -Controlled 
Corporation to generate and sell power/electricity from renewable energy sources. 
These amendments are envisioned to help open up the power sector to more investments and 
further increase the ownership base of the sector, especially for renewable energy, and ultimately, to 
protect consumers. 
The passage of this measure is earnestly sought. 
HON. EDUARDO ‘BRO.EDDIE’ C. VILLANUEVA 
December 11, 2023
8:00 am
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REPUBLIC OF THE PHILIPPINES 
HOUSE OF REPRESENTATIVES 
19th CONGRESS 
SECOND REGULAR SESSION 
HOUSE BILL NO.  ___ 
INTRODUCED BY HONORABLE EDUARDO ‘BRO. EDDIE’ C. VILLANUEVA 
AN ACT 
AMENDING REPUBLIC ACT NO. 9136, OTHERWISE KNOWN AS THE 
ELECTRIC POWER INDUSTRY REFORM ACT OF 2001 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:  
SECTION 1. Decrease in Holdings Cap. - Section 28 of Republic Act No. 9136, 
otherwise known as the Electric Power Industry Reform Act (EPIRA) of 2001, is hereby 
amended to read as follows: “SEC. 28. De-Monopolization and Shareholding Dispersal. - 
In compliance with the constitutional mandate for dispersal of ownership and 
demonopolization of public utilities, the holdings of persons, natural or juridical, including 
directors, officers, stockholders, and related interests, in a distribution utility and their 
respective holding companies shall not exceed [twenty-five percent-(25%)] FIFTEEN 
PERCENT (15%) of the voting shares of stock unless the utility or the company holding 
the shares or its controlling stockholders are already listed in the Philippine Stock 
Exchange (PSE): Provided, That controlling stockholders of small distribution utilities are 
hereby required to list in the PSE within five (5) years from the enactment of this Act if 
they already own the stocks. New controlling stockholders shall undertake such listing 
within five (5) years from the time they acquire ownership and control. A small 
distribution company is one whose peak demand is equal to or less than ten megawatts 
(10MW). The ERC shall, within sixty (60) days from the effectivity of this Act, promulgate 
the rules and regulations to implement and effect this provision.  
This section shall not apply to electric cooperatives. 
SEC. 2. The Energy Regulatory Commission. - Section 38 of the EPIRA is hereby 
amended to read as follows; “SEC. 38. Creation of the Energy Regulatory Commission. - 
There is hereby created an independent, quasi-judicial regulatory body to be named the 
Energy Regulatory Commission (ERC). For this purpose, the existing Energy Regulatory 
Board (ERB) created under Executive Order No. 172, as amended, is hereby abolished.  
The Commission shall be composed of a [Chairman] CHAIRPERSON and four (4) 
members to be appointed by the President of the Philippines. The [Chairman] 
CHAIRPERSON and the members of the Commission shall be natural-born citizens and 
residents of the Philippines, persons of good moral character, at least thirty-five (35) 
years of age, OF RECOGNIZED PROBITY AND INDEPENDENCE, and of [recognized] 
DISTINGUISHED competence in any of the following fields: energy, law, economics, 
finance, commerce, [or] engineering, OR OTHER EXPERIENCE RELEVANT TO THE 
ENERGY SECTOR, with at least [three (3)] TEN (10) years OF ACTIVE [actual] and 
distinguished experience in their respective fields of expertise: Provided, THAT NO 
MEMBER SHALL HAVE BEEN A CANDIDATE FOR ANY ELECTIVE NATIONAL OR 
LOCAL OFFICE IN THE IMMEDIATE PRECEDING ELECTIONS, WHETHER 
REGULAR OR SPECIAL:  
PROVIDED, FURTHER, That out of the four (4) members of the Commission, [at 
least] one (1) shall be a member of the Philippine Bar [with at least-ten-(IO-) years of 
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experience-in the active practice of law], ONE (1) SHALL BE AN ECONOMIST, ONE (1) 
SHALL BE AN ENGINEER, and one (1) shall be a certified public accountant OR HAVE 
A BACKGROUND IN FINANCE [with-at least ten (10) years of experience in active 
practice], XXX Members of the Commission shall enjoy security of tenure and shall not 
be suspended or removed from office except for just cause as specified by law. 
MEMBERS OF THE COMMISSION, WITHIN THE DURATION OF THEIR TERM, ARE 
PROHIBITED FROM: A. TAKING UP ANY EMPLOYMENT OR CONSULTANCY 
ARRANGEMENT WITH ANY ELECTRIC POWER INDUSTRY PARTICIPANT; B. 
HOLDING ANY CONNECTION TO AND ANY PECUNIARY INTEREST IN AN 
ELECTRIC POWER INDUSTRY PARTICIPANT; C. HOLDING ANY OTHER OFFICE 
OR EMPLOYMENT; AND D. DIRECTLY OR INDIRECTLY PRACTICING ANY 
PROFESSION, PARTICIPATING IN ANY BUSINESS, OR BE FINANCIALLY 
INTERESTED IN ANY CONTRACT WITH, OR ANY FRANCHISE, OR SPECIAL 
PRIVILEGES GRANTED BY THE GOVERNMENT OR ANY SUBDIVISION, AGENCY, 
OR INSTRUMENTALITY THEREOF, INCLUDING GOVERNMENT -OWNED AND -
CONTROLLED CORPORATIONS (GOCCs) OR THEIR SUBSIDIARIES. AFTER THE 
CESSATION OF THEIR SERVICE, MEMBERS OF THE COMMISSION ARE 
PROHIBITED FROM: A. RUNNING FOR OFFICE IN THE ELECTION IMMEDIATELY 
SUCCEEDING THEIR CESSATION FROM OFFICE; AND B. PERSONALLY 
APPEARING OR PRACTICING AS COUNSEL OR AGENT ON ANY MATTER 
PENDING BEFORE THE COMMISSION FOR TWO (2) YEARS FOLLOWING THE 
CESSATION OF THEIR SERVICE. The Chairman and members of the Commission or 
any of their SPOUSE, PARTNER, AND relative within the fourth civil degree of  
consanguinity or affinity, legitimate or common law, shall be prohibited from  
(1) holding any interest whatsoever, either as invested, stockholder, officer, or 
director in any company or entity engaged in the business of transmitting, generating, 
supplying, or distributing any form of energy and must, therefore, divest through sale or 
legal disposition of any and all interests in the energy sector upon assumption of office;  
(2) TAKING UP ANY EMPLOYMENT OR CONSULTANCY ARRANGEMENT 
WITH 
AN 
ELECTRIC 
POWER 
INDUSTRY 
PARTICIPANT 
DURING 
THE 
INCUMBENCY OF THE MEMBER OF THE COMMISSION TO WHOM THE SPOUSE, 
PARTNER, OR RELATIVE CONCERNED IS RELATED; AND  
(3) APPEARING AS COUNSEL OR AGENT ON ANY MATTER PENDING 
BEFORE THE COMMISION OR TRANSACTING BUSINESS DIRECTLY OR 
INDIRECTLY THEREIN DURING THE INCUMBENCY OF THE MEMBER OF THE 
COMMISSION TO WHOM THE SPOUSE, PARTNER, AND RELATIVE CONCERNED 
IS RELATED, AND WITHIN TWO (2) YEARS FROM THE CESSATION OF THEIR 
SERVICE. The presence of at least three (3) members of the Commission shall 
constitute a quorum and the majority vote of two (2) members in a meeting where a 
quorum is present shall be necessary for the adoption of any rule, ruling, order, 
resolution, decision, or other act of the Commission in the exercise of its quasi-judicial 
functions:  
Provided, That in fixing rates and tariffs, an affirmative vote of three (3) members 
shall be required. ALL MEETINGS OF THE COMMISSION SHALL BE OPEN TO THE 
PUBLIC: PROVIDED, THAT THE PUBLIC MAY ONLY PARTICIPATE DURING PUBLIC 
HEARINGS: PROVIDED, FURTHER, THAT A LIVE WEB STREAMING OR ANY 
RELATED TECHNOLOGY OF THE OPEN MEETING SHALL BE POSTED: 
PROVIDED, FINALLY, THAT THE TRANSCRIPT OF STENOGRAPHIC NOTES AND 
MINUTES OF THE OPEN MEETING SHALL BE MADE AVAILABLE TO THE PUBLIC, 
WHETHER ON THE WEBSITE OR ANY OTHER PLATFORM, WITHIN ONE (1) WEEK 
FROM THE DATE OF THE OPEN MEETING. THE COMMISSION, UPON A MAJORITY 
VOTE, MAY DECIDE TO MEET IN AN EXECUTIVE SESSION: PROVIDED, THAT 
BEFORE GOING INTO AN EXECUTIVE SESSION, THE COMMISSION MUST 
CONVENE IN AN OPEN MEETING, IDENTIFY THE REASON FOR THE EXECUTIVE 
SESSION WHILE STATING ALL THE SUBJECTS THAT MAY BE REVEALED 


WITHOUT COMPROMISING THE PURPOSE FOR WHICH THE EXECUTIVE 
SESSION 
WAS 
CALLED, 
DECLARE 
WHETHER 
THE 
COMMISSION 
WILL 
RECONVENE IN AN OPEN MEETING AT THE END OF THE EXECUTIVE SESSION, 
AND TAKE A ROLL CALL VOTE TO ENTER INTO EXECUTIVE SESSION. 
EXECUTIVE SESSIONS MAY BE CALLED FOR THE FOLLOWING REASONS: A. TO 
DISCUSS THE DISCIPLINE OR DISMISSAL OF OR COMPLAINTS OR CHARGES 
BROUGHT AGAINST A PUBLIC OFFICER, EMPLOYEE, OR STAFF OF ERC B. TO 
DISCUSS TRADE SECRETS, CONFIDENTIAL, COMPETITIVELY SENSITIVE, OR 
OTHER PROPRIETARY INFORMATION”  
SEC. 3. Enhanced Promotion of Consumer Interests. - Section 41 of the EPIRA is 
hereby amended to read as follows: “SEC. 41. Promotion of Consumer Interests. - The 
ERC shall handle consumer complaints and ensure the adequate promotion of 
consumer interests. A SUPPORT DESK SHALL BE MADE AVAILABLE TO THE 
PUBLIC WHICH WILL SUPPLY ASSISTANCE TO CONSUMERS FOR A BETTER 
UNDERSTANDING 
OF 
ALL 
PROCEEDINGS 
AND 
ISSUANCES 
OF 
THE 
COMMISSION, AS WELL AS ANY AND ALL MATTERS WHICH AFFECT THE 
ELECTRICITY RATES CHARGED TO CONSUMERS: PROVIDED, THAT THE 
INFORMATION IS NOT CONFIDENTIAL IN NATURE. EVERY CONSUMER HAS THE 
RIGHT TO INFORMATION AND SHALL, ON REQUEST, BE GIVEN ACCESS TO 
SUCH INFORMATION OF PUBLIC CONCERN AND WITHIN THE CONTROL OF THE 
COMMISSION: PROVIDED, THAT ACCESS TO INFORMATION SHALL NOT BE 
GRANTED IF:  
A. THE INFORMATION IS CONSIDERED CONFIDENTIAL UNDER THE ERC 
RULES OF PRACTICE AND PROCEDURE;  
B. THE INFORMATION CONSISTS OF MINUTES OR RECORDS OF ADVICE 
GIVEN, OR OF OPINIONS EXPRESSED DURING DECISION-MAKING OR POLICY 
FORMULATION IN THE COURSE OF EXECUTIVE SESSIONS;  
C. THE INFORMATION REQUESTED CONSISTS OF DRAFTS OR ORDERS, 
RESOLUTIONS, DECISIONS, OR MEMORANDA OF THE COMMISSION IN THE 
EXERCISE OF ITS REGULATORY FUNCTION; OR  
D. THE INFORMATION REQUESTED PERTAINS TO TRADE SECRETS, 
COMPETITIVELY 
SENSITIVE, 
OR 
OTHER 
PROPRIETARY 
INFORMATION, 
WHENEVER THE REVELATION THEREOF WOULD PREJUDICE THE INTERESTS 
OF A NATURAL OR JURIDICAL PERSON IN TRADE, INDUSTRIAL, FINANCIAL, OR 
COMMERCIAL COMPETITION. 
  
SEC. 4. Generation and Sale of Power/Electricity from Renewable Resources.  
Section 47 (j) of the EPIRA is hereby amended to read as follows:  
“SEC. 47. NPC Privatization. - Except for the assets of the SPUG, the generation assets, real 
estate, and other disposable assets as well as IPP contracts of NPC shall be privatized in 
accordance with this Act. Within six (6) months from the effectivity of this Act, the PSALM Corp 
shall submit a plan for the endorsement by the Joint Congressional Power Commission and the 
approval of the President of the Philippines, on the total privatization of the generation assets, 
real estate, other disposable assets, as well as existing IPP contracts of NPC and thereafter, 
implement the same, in accordance with the following guidelines, except as provided for in 
paragraph (f) herein: XXX (j) generating assets and IPP-contracts of PSALM Corp. and shall-not 
incur any new-obligations to purchase power through bilateral-at contracts with generation 
companies or other suppliers] THE GOVERNMENT, THROUGH THE NPC OR ANY OTHER 
GOVERNMENT -OWNED OR -CONTROLLED CORPORATION, IS HEREBY AUTHORIZED 
TO GENERATE AND SELL POWER/ELECTRICITY FROM RENEWABLE ENERGY 
SOURCES, AS DEFINED IN REPUBLIC ACT NO. 9513, OR THE  “RENEWABLE ENERGY 
ACT OF 2008,” AND TO INCUR NEW OBLIGATIONS TO PURCHASE POWER THROUGH 
BILATERAL CONTRACTS WITH GENERATION COMPANIES OR OTHER SUPPLIERS.”  


 
SEC. 5. Implementing Rules and Regulations. - The Energy Regulatory Commission (ERC) 
shall, in consultation with the Department of Energy (DOE), other relevant government 
agencies, the electric power industry participants, consumers, and other public and private 
stakeholder, promulgate the Implementing Rules and Regulations of the Act within ninety (90) 
days from its effectivity.  
 
SEC. 6. Separability Clause. - If, for any reason, any part, section, or provision of this Act is 
held invalid or unconstitutional, the remaining provisions not affected shall continue to be in full 
force and effect.  
 
SEC. 7. Repealing Clause. - All laws, decrees, executive orders, proclamations, rules and 
regulations, and other issuances, or parts thereof which are inconsistent with the provisions of 
this Act are hereby repealed, amended, or modified accordingly.  
 
SEC. 8. Effectivity. - This Act shall take effect fifteen (15) days after its publication in the 
Official Gazette or in a national newspaper of general circulation.  
 
Approved,