Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. _____ 
Introduced by Honorable Michael L. Romero 
EXPLANATORY NOTE 
Republic Act No. 9136, otherwise known as the Electric Power Industry 
Reform Act (EPIRA) of 2001, mandates the Energy Regulatory Commission 
(Commission) (ERC) to promote competition, encourage market development, 
ensure consumer choice, and penalize abuse of market power in the 
restructured electricity industry. It also mandates the state: 
a) To ensure and accelerate the total electrification of the country;
(b) To ensure the quality, reliability, security and affordability of the supply of
electric power;
(c) To ensure transparent and reasonable prices of electricity in a regime of free
and fair competition and full public accountability to achieve greater
operational and economic efficiency and enhance the competitiveness of
Philippine products in the global market;
(d) To enhance the inflow of private capital and broaden the ownership base of
the power generation, transmission and distribution sectors;
(e) To ensure fair and non-discriminatory treatment of public and private sector
entities in the process of restructuring the electric power industry;
(f) To protect the public interest as it is affected by the rates and services of
electric utilities and other providers of electric power;
(g) To assure socially and environmentally compatible energy sources and
infrastructure;
(h) To promote the utilization of indigenous and new and renewable energy
resources in power generation in order to reduce dependence on imported
energy;
September 20, 2022
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(i) To provide for an orderly and transparent privatization of the assets and
liabilities of the National Power Corporation (NPC);
(j) To establish a strong and purely independent regulatory body and system
to ensure consumer protection and enhance the competitive operation of the
electricity market; and
(k) To encourage the efficient use of energy and other modalities of demand
side management.
This House Bill seeks to provide a more efficient and resilient power regulator, 
amending, Republic Act No. 9136, otherwise known as the otherwise 
known as the Electric Power Industry Reform Act (EPIRA) of 2001. 
In view of the foregoing, immediate approval of this bill is earnestly 
sought. 
MICHAEL L. ROMERO 


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. _____ 
Introduced by Honorable Michael L. Romero 
AN ACT 
STRENGTHENING THE ENERGY REGULATORY COMMISSION 
(ERC) INCREASING AND REORGANIZING ITS ADMINISTRATION, 
PROMOTING EMPLOYEE SKILLS, 
EXPANDING EMPLOYEE BENEFITS, PROVIDING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. SHORT TITLE - This Act shall be known as the "Energy 
Regulatory Commission Act of 2022.” 
SECTION 2. DECLARATION OF POLICY. - The State recognizes the 
significant role of the Energy Regulatory Commission in: 
1.
Ensuring transparent and reasonable prices of electricity;
2.
Protecting the consumers as they are affected by the rates
and services of electric utilities and other providers of electric power; and 
3.
Promoting competition, encouraging market development,
ensuring customer choice, and penalizing abuse of market power in the 
restructured power industry. 
Towards this end, the State shall: 
1.
Establish 
a 
strong, 
independent, 
transparent, 
and
accountable regulatory body; and 
5003


 
2. 
Ensure the efficient and effective performance of the 
functions 
and 
mandates 
of 
the 
regulatory 
body 
to 
enhance 
competitiveness in the electric power industry. 
 
SECTION 3. DEFINITION OF TERMS. FOR THE PURPOSE OF this Act, the 
following terms shall have the following meaning unless provided otherwise: 
1. Commission refers to the decision-making body of the Energy 
Regulatory Commission under Republic Act No. 9136 composed 
of one (1) Chairperson and 
EIGHT (8) Commissioners; 
2. Electric Power Industry Participant refers to any person or entity 
engaged in the generation, transmission, distribution, or supply 
of electricity; 
3. Electronic Disclosure and Data Access system (EDDA) repository 
refers to the system for disclosure of energy industry information 
for public access to ensure transparency and consumer 
protection using electronic database and communications system 
4. Joint Congressional ENERGY Commission refers to the 
Commission created under Republic Act No. 9136, OTHERWISE 
KNOWN AS THE "ELECTRIC 
POWER INDUSTRY REFORM ACT OF 2001," AS AMENDED, 
5. Key ERC Personnel refers to employees who hold executive or 
managerial positions in the ERC; AND 
6. QUASI-JUDICIAL BODY REFERS TO AN ENTITY, SUCH AS THE 
ERC, WHICH HAS THE POWERS AND FUNCTIONS TO 
CONDUCT HEARINGS, FIND FACTS, APPLY GOVERNING LAW 
AND RESOLVE DISPUTES BETWEEN THE AGENCY AND AN 
ENTITY. 
SECTION 4. Section 38 of Republic Act NO. 9136 is hereby amended, to read 
as follows: 
SEC. 38. STRENGTHEMNG/RECONSTITUTION of the Energy 
Regulatory Commission. THE ENERGY REGULATORY CONMSSION (ERC) IS 
HEREBY RECONSTITUTED as an independent, quasi-judicial regulatory body, 


 
WITH 
POWERS 
TO 
PROMULGATE 
AND 
ENFORCE 
RULES 
AND 
REGULATIONS TO EFFECTIVELY IMPLEMENT THE PROVISIONS OF THE 
EPIRA AND THIS ACT. TOWARDS THIS END, THE ERC SHALL BE 
EXCLUSIVELY RESPONSIBLE FOR THE REGULATION 
OF THE ELECTRIC POWER AND ENERGY INDUSTRY AND SHALL ENJOY 
LIMITED FISCAL AUTONOMY. ITS APPROVED ANNUAL BUDGET SHALL BE 
AUTOMATICALLY AND REGULARLY RELEASED. 
The Commission shall be composed of a CHAIRPERSON and EIGHT 
(8) members. THE CHAIRPERSON AND THE REST OF THE MEMBERS SHALL 
be appointed by the President of the Philippines AND SHALL SERVE FOR A 
TERM OF SEVEN YEARS. PROVIDED, THAT THE FIRST TWO (2) APPOINTED 
MEMBERS SHALL SERVE FOR SEVEN (7) YEARS, THE LAST TWO (2) 
APPOINTED MEMBERS SHALL SERVE FOR FIVE (5) YEARS, Provided, finally, 
That there shall be no reappointment and in no case shall any member serve 
for more than seven (7) years in the Commission. 
SEC. 
38(A). 
QUALIFICATION 
REQUIREMENTS. 
- 
The 
CHAIRPERSON and the members of the Commission shall be natural-born 
citizens and residents of the Philippines, persons of good moral character, at 
least FORTY (40) years of age, and of recognized competence in any of the 
following fields: energy, law, economics, finance, commerce, or engineering, 
with at LEAST FIVE (5) years OF actual and distinguished experience in their 
respective fields of expertise: Provided, That out of the EIGHT (8) members of 
the Commission, at least THREE (3), INCLUDING THE CHAIRPERSON, shall 
be MEMBERS of the Philippine Bar with at least ten (10) years OF experience 
in the active practice of law, AT LEAST Two (2) NEMBERS shall be a certified 
public accountants with at least ten (10) years OF experience in THE active 
practice OF ACCOUNTING; AND THE REMAINING FOUR (4) NŒMBERS 
SHALL COME FROM ANY OF THE FIELDS OF ENERGY, ECONOMICS, 
FINANCE OR ENGINEERING. 
The members of the Commission shall, upon assumption of office: 
a) 
Publicly disclose any employment, consultancy, or any connection 
with, and any pecuniary interest in ANY Electric Power Industry Participant; 
b) 
Publicly disclose if his or her spouse, partner, and any relative by 
consanguinity or affinity within the fourth civil degree is employed or has a 


 
consultancy or any connection with, or has any pecuniary interest in ANY 
Electric Power Industry Participant; 
c) 
Divest through sale or legal disposition any and all interests in ANY 
Electric Power Industry Participant; and 
d) 
Terminate employment or consultancy with any Electric Power 
Industry Participant. 
SEC. 38(B). SECURITY OF TENURE. - 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. 
SEC. 38(C). PROHIBITIONS. - The CHAIRPERSON and members of 
the Commission or any of their relatives within the fourth civil degree of 
consanguinity or affinity, shall be prohibited from holding any interest 
whatsoever, either as investor, stockholder, officer or director, in any company 
or entity engaged in the business of GENERATING, TRANSMITTING, 
DISTRIBUTING OR SUPPLYING ELECTRICITY. UPON THE ASSUMPTION BY 
THE CHAIRPERSON AND THE NŒMBERS OF THE ERC OF RESPECTIVE 
POSITIONS, THE CHAIRPERSON AND THE MEMBERS OF THE ERC AND 
THEIR RESPECTIVE RELATIVES WITHIN THE PRESCRIBED DEGREE OF 
PERSONAL RELATIONS SHALL DIVEST THEMSELVES OF ALL THEIR SAID 
INTERESTS. 
SEC. 38(D). CREATION OF NEW DIVISIONS. -THE CONMISSION 
SHALL BE DIVIDED INTO THREE (3) DIVISIONS, WITH THREE (3) MEMBERS 
EACH, INCLUDING THE CHAIRPERSON. EACH DIVISION SHALL HAVE AT 
LEAST ONE (l) NEMBER WHO IS A LAWYER AND ONE (1) MEMBER WHO IS 
AN ACCOUNTANT OR ECONCMST. THE PRESENCE OF AT LEAST TWO (2) 
OF THE (3) N/EMBERS OF DIVISION SHALL CONSTITUTE A QUORUM, AND 
THE MAJORITY VOTE AT LEAST TWO (2) MEMBERS OF THE DIVISION IN 
WHICH A QUORUM WAS PRESENT SHALL BE NECESSARY FOR THE 
ADOPTION OF ANY RULE, RULING, ORDER, RESOLUTION, DECISION OR 
OTHER ACTS OF THE COMMISSION. FINAL DECISIONS OF THE DIVISIONS 
MAY BE APPEALED TO THE COURT OF APPEALS. 
SEC. 38(E). QUORUM. - AT LEAST FIVE (5) NEMBERS OF THE ERC 


 
SHALL CONSTITUTE A QUORUM IN THE CONMSSION EN BANC. THE 
CHAIRPERSON 
SHALL 
BE 
THE 
PRESIDING 
OFFICER 
DURING 
A 
CONMSSION EN BANC HEARING. IN THE ABSENCE OF THE CHAIRPERSON, 
THE MEMBERS PRESENT, CONSTITUTING A QUORUM, SHALL SELECT 
AMONG THEMSELVES A PRESIDING OFFICER. A VALID DECISION OF THE 
COMISSION EN BANC SHALL BE CONCURRED IN BY THE MAJORITY OF 
THE MEMBERS CONSTITUTING A QUORUM. 
THE COÑMSSION EN BANC SHALL ACT PRIMARILY ON THE 
FOLLOWING CASES: 
a) CASES INVOLVING THE ERC'S POWER TO PROMULGATE RULES OR 
REGULATIONS; 
b) CASES INVOLVING CONTRACTS WORTH MORE THAN FIVE HUNDRED 
MILLION PESOS(Php500,000,000.00) 
c) CASES INVOLVING THE NATIONAL TRANSMISSION CORPORATION 
(TRANSCO) OR ITS AUTHORIZED CONCESSIONAIRE,  
OPERATES THE 
TRANSMISSION NETWORK; 
d) ALL CASES INVOLVING PRIVATE DISTRIBUTION UTILITIES; 
e) CASES PREVIOUSLY HANDLED BY THE ERC DIVISION IN WHICH NO 
VALID DECISION WAS REACHED; AND 
f) OTHER CASES AS MAY BE DESIGNATED BY THE COMMISSION EN BANC 
ITSELF: 
PROVIDED, THAT FOR CAPITAL EXPENDITURE APPLICATIONS, 
THE CONMISSION SHALL RENDER ITS DECISION WITHIN SIXTY (60) 
CALENDAR DAYS, WITHOUT EXTENSION, AFTER THE FIRST HEARING AT 
THE PETITIONER'S COVERAGE AREA: PROVIDED, FURTHER, THAT 
APPLICATIONS FOR EMERGENCY CAPITAL EXPENDITURES SHALL BE 
DECIDED WITHIN FORTY-FIVE (45) DAYS: PROVIDED, FINALLY, THAT FOR 
APPLICATIONS FOR RATE CASES, THE COMMISSION SHALL RENDER ITS 
PROVISIONAL AUTHORITY WITHIN NINETY (90) CALENDAR DAYS, WITHOUT 
EXTENSION, RECKONED AFTER THE TERMINATION OF EVIDENTIAL 
HEARING WI£REIN THE CONMSSION SHALL DECIDE ON THE CASE 
SUBÑHTTED FOR RESOLUTION. 
SEC. 38(F). CODE OF CONDUCT AND ETHICAL STANDARDS. - THE 
CHAIRPERSON AND THE NEMBERS OF THE ERC SHALL CONFORM TO THE 


 
CODE OF CONDUCT AND ETHICAL STANDARDS AS SPECIFIED IN 
REPUBLIC ACT NO. 6713. 
ANY VIOLATION OF THE ABOVE-MENTIONED CODE OF CONDUCT 
AND ETHICAL STANDARDS SHALL CONSTITUTE JUST CAUSE FOR 
REMOVAL FROM OFFICE BY THE OFFICE OF THE PRESIDENT OF THE 
PHILIPPINES, WITHOUT PREJUDICE TO ANY OTHER PENALTIES UNDER 
ALL APPLICABLE LAWS. 
AFTER TERMINATING EIOLOYMENT OR SERVICE WITH THE ERC, THE 
CHAIRPERSON AND MEIOERS OF THE ERC, EXECUTIVE DIRECTOR, 
SERVICE OR OFFICE DIRECTORS, OR ITS EQUIVALENT, WHO ARE 
APPOINTED, OR EMPLOYED WITH THE ERC, SHALL BE PROHIBITED FROM 
ACCEPTING EPOLOYMENT WITH ANY REGULATED ENTITY FOR A PERIOD 
OF THREE (3) YEARS FOLLOWING SUCH TERMINATION, AND ALL IOMBERS 
OF THE ERC SHALL BE PROHIBITED FROM APPEARING BEFORE THE ERC 
ON BEHALF OF ANY REGULATED ENTITY FOR A PERIOD OF THREE (3) 
YEARS AFTER SAID TERMINATION OF EMPLOYMNT. 
 
SECTION 
5. 
CREATION 
OF 
OVERSIGHT 
COMMITTEES 
OR 
SERVICES.  The Commission en Banc may create oversight committees 
or services as may be deemed necessary and consistent with the 
functions and mandates of the ERC. 
To achieve the goals of this Act, the Commission, as an independent 
regulatory body, is hereby authorized to provide for its reorganization, to 
streamline its structure and operations, upgrade its human resource 
compliment and enable the same to perform its functions more efficiently and 
effectively and exercise its powers under this Act and under Republic Act No. 
9136, otherwise known as THE "Electric Power Industry Reform Act of 
2001 " (EPIRA), AS ANMNDED 
SECTION 6. COMMISSION EN BANC - In addition to the functions 
enumerated in Republic Act No. 9136, Republic Act No. 9513, otherwise 
known as the "Renewable Energy Act of 2008," and other relevant laws, all the 
members of the Commission shall: 
a) 
Exercise all quasi-judicial functions in furtherance of the ERC's mandate 
under Republic Act No. 9136; 


 
b) 
Act on the selection and appointment of all ERC personnel: 
Provided, That the appointment of ERC personnel with a rank lower than 
a Division Chief may be delegated to the Chairperson; 
c) 
Approve the internal rules, organizational structure, and 
operational strategy of the ERC, and 
d) 
Act as the Head of Procuring Entity (HOPE) and exercise all 
duties and powers as stated in Republic Act No. 9184, otherwise known 
as the "Government Procurement Reform 
Act:" Provided, That the Commission may delegate its functions under the said 
Act. 
e) 
Appoint the Executive Director of the ERC, Provided, That 
the requirements, prohibited acts, qualifications, and duties and 
responsibilities stated in Sections 4, 7, 8, and 
19 of this Act are complied with. 
f) 
Review and act on the endorsement of the proposed ERC ANNUAL 
budget: Provided, That such endorsement SHALL come from the Executive 
Director and SHALL be substantiated with supporting documents; 
g) 
Initiate, motu propRio or upon formal complaint, investigations 
against the Executive Director and act upon [these] SUCH investigations: 
Provided, That such investigation is without prejudice to the filing of 
administrative or criminal cases against the 
Executive Director. 
 
SECTION 
7. 
DUTIES 
AND 
RESPONSIBILITIES 
OF 
THE 
CHAIRPERSON. — The Chairperson as head of the Commission en Banc shall 
have the following duties and responsibilities: 
CHAIRPERSON OF THE COMMISSION: 
A) 
DETERMINE THE DATE, AND LOCATION OF THE REGULAR OR 
SPECIAL EN BANC CONMSSION NEETING AND PREPARE THE AGENDA FOR 
THE MEETING WITH THE CONSENSUS OF THE NEMBERS OF THE 
CONMSSION, 
B) 
PRESIDE OVER NEETINGS OF THE CONMSSION: PROVIDED, 
THAT THE CHAIRPERSON SHALL HAVE THE RIGHT TO VOTE ON ALL 
MATTERS, 


 
ISSUES OR CASE PENDING BEFORE THE COMMISSION EN BANC; 
CHAIRPERSON ACTING AS CHIEF EXECUTIVE OFFICER (CEO): 
1. 
Lead and oversee the implementation of the Commission's 
mandate under the EPIRA in accordance with the Commission approved 
internal rules, organizational and operational strategy; 
2. 
Ensure THAT good governance policies, practices, rules and 
procedures that promote the highest standards of integrity, competence, 
and transparency ARE IN PLACE; 
3. 
EXERCISE ADMINISTRATIVE SUPERVISION OVER THE 
EXECUTIVE 
DIRECTOR AND SERVICE DIRECTORS; 
4. 
DELEGATE ADMINISTRATIVE AUTHORITY TO OFFICIALS AND 
EIOLOYEES OF THE ERC FOR THE PERFORMANCE OF ANY FUNCTION; 
5. 
SUPERVISE 
THE 
PREPARATION 
OF 
THE 
ANNUAL 
AND 
SUPPLEMENTAL BUDGETS OF THE CONMISSION, AND 
6. 
Perform such other functions as may be provided by law. 
SECTION 8. EXECUTIVE DIRECTOR. -THE EXECUTIVE DIRECTOR 
SHALL BE THE CHIEF OPERATING OFFICER (COO) WHO SHALL ACT UNDER 
THE SUPERVISION OF THE CHAIRPERSON WHO IS THE CHIEF EXECUTIVE 
OFFICER (CEO). 
THE EXECUTIVE DIRECTOR SHALL PREFERABLY BE A LAWYER WITH 
AT LEAST TEN (10) YEARS OF ACTIVE PRACTICE OF LAW, CAREER SERVICE 
EXECUTIVE ELIGIBLE (CSEE) OR CAREER EXECUTIVE SERVICE ELIGIBLE 
(CESE) WITH AT LEAST FIVE (5) YEARS EXPERIENCE IN MANAGEMNT AND 
ADMINISTRATRATION TO BE APPOINTED BY THE CONMSSION EN BANC. 
THE DUTIES AND RESPONSIBILITIES OF THE EXECUTIVE DIRECTOR 
SHALL INCLUDE THE FOLLOWING: 
1. 
Developing and proposing, for the Commission's approval, the 
operationalization of the strategies and policies agreed upon by the 
Commission, 
2. 
Effectively executing the approved operationalization of the 
strategies and policies agreed upon by the Commission: 


 
3. 
Leading the management of the daily operations of THE ERC in 
accordance with the plans and within the budget approved by the Commission; 
4. 
Assuming full responsibility for the overall supervision and control 
of all divisions, units, and services of the ERC; 
5. 
Assigning to each division, unit, and service of the ERC such 
duties that are considered necessary or expedient; 
6. 
Coordinating the workings of the divisions, units, and services of 
the ERC. 
7. 
Establishing a mechanism for capacity building for all employees 
of the ERC to continuously enhance technical competence: Provided, That 
such mechanism SHALL be based on the principle of meritocracy; 
8. 
Ensuring compliance with the ERC's Enhanced Merit Selection 
Plan and/or other plans related to personnel selection duly approved by the 
Commission when it comes to the hiring and promotion of employees; 
9. 
Leading the management to ensure effective working relationships 
with the Commission by regularly communicating with the Chairperson to 
review key developments, issues, opportunities, and concerns; 
10. 
Ensuring that the management gives priority to providing 
documents and reports, which contain relevant, accurate, timely, and clear 
information necessary for the Commission to fulfill its duties; 
11. 
Maintaining regular dialogue with the Commission while ensuring 
that the Commission, especially the Chairperson, is alerted ON forthcoming 
complex, contentious, sensitive, or strategic issues facing the ERC; 
12. 
Advising the Commission on any matter referred to the Executive 
Director; 
13. 
Managing the affairs of the ERC in accordance with good corporate 
governance practices and procedures while promoting the highest standards 
of independence, transparency, integrity and probity; 
14. 
Initiating 
investigations 
and 
recommending 
administrative 
sanctions against erring employees, without prejudice to the filing of any 
criminal action against the concerned employee; 
15. 
Regularly submitting to the Commission updates on the 
operations of the ERC; 
16. 
Oversee the daily operations of the ERC and ensure the smooth 
functioning of all 


 
ERC processes; 
17. 
Provide the Commission with periodic updates on the day-to-day 
operations of the ERC towards the achievement of its target objectives; 
18. 
ENSURE THE ADEQUACY OF ERC'S MANPOWER COPOLENŒNT, 
EQUIPNŒNT, FACILITIES OR SPACE, MATERIALS, SUPPLIES AND SYSTEMS; 
19. 
DEVELOP, IN COORDINATION WITH THE SERVICE DIRECTORS, 
THE ERC'S ANNUAL OPERATING PLAN AND INTERNAL RULES TO BE 
SUBMITTED 
TO THE CONMSSION FOR ITS APPROVAL; 
T) 
ESTABLISH, IN COORDINATION WITH SERVICE DIRECTORS, 
PERIODIC PERFORMANCE TARGETS OF ALL SERVICES TO BE SUBMITTED TO 
THE CONMSSION FOR ITS APPROVAL; 
U) 
EVALUATE AND ENSURE CONPLIANCE OF THE SERVICES AND ALL 
ERC EMPLOYEES WITH CONMISSION APPROVED PERIODIC 
PERFORMANCE TARGETS, ANNUAL OPERATING PLAN AND INTERNAL RULES; 
V) 
COORDINATE WITH ALL SERVICES ON THE PREPARATION OF THE 
PROPOSED ANNUAL BUDGET AND PROCUREMENT PLAN TO THE CONMSSION 
FOR ITS APPROVAL; 
W) 
MONITOR AND ENSURE THE IMPLEMENTATION OF THE CONMSSION 
APPROVED ANNUAL BUDGET AND PROCUREMENT PLAN IN ACCORDANCE 
WITH THE DBM'S EXPENDITURE PROGRAM; AND 
X) 
Perform such other functions related to THE foregoing or as may be 
assigned by the Commission en Banc OR THE CHAIRPERSON. 
All decisions of the Executive Director involving budgeting and 
disbursement of funds shall be subject to the approval of the Commission. 
SECTION 9. DUTIES AND RESPONSIBILITIES OF THE MEMBERS OF 
THE COMMISSION. — In addition to the functions enumerated in Republic Act 
NO. 9136, the members of the Commission shall: 
a) 
Regularly attend and actively participate in the meetings of the 
Commission where any case, issue, or matter within its jurisdiction is under 
consideration; 
b) 
Recommend to the Chairperson the inclusion in the agenda of any 
case, issue, or matter deemed appropriate in the performance of the Commission's 
functions, 
c) 
Thoroughly analyze cases, issues, and matters pending before the 
Commission; 


 
e) 
PARTICIPATE in THE continuous education and capacity-building 
programs of the Commission to enhance technical competence; 
f) 
Abstain from acts which unduly influence, impede, or hamper the 
Executive Director or any ERC employee from effectively fulfilling his or her 
duties and responsibilities; 
g) 
Perform in good faith and to the best of HIS OR HER ability, the 
functions stated in Republic Act NO. 9136 and the duties and responsibilities 
specified in this Act. 
Duties and Responsibilities of the Chairperson of the Second and Third 
Division The Commission Member as head of the Second or Third Division 
shall have the following duties and responsibilities: 
CHAIRPERSON OF THE DIVISION: 
A) DETERMINENE THE DATE, TINE AND LOCATION OF THE REGULAR 
OR SPECIAL DIVISION MEETING AND 
 PREPARE THE 
AGENDA 
FOR THE MEETING WITH THE CONSENSUS OF THE MEMBERS OF THE 
DIVISION; 
B) PRESIDE OVER NŒETINGS OF THE DIVISION: PROVIDED, THAT 
THE CHAIRPERSON SHALL HAVE THE RIGHT TO VOTE ON ALL 
MATTERS, ISSUES OR CASE PENDING BEFORE DIVISION. 
SECTION 10. Section 39 of the Electric Power Industry Reform Act (EPIRA) 
of 2001 is hereby amended to read as follows: 
"SEC. 
39. 
ADJUSTED 
Compensation 
STRUCTURE 
and 
Other 
Emoluments for THE ERC Personnel. — The compensation and other 
emoluments for the Commission and the ERC personnel shall be exempted 
from the coverage of Republic Act No. 6758, otherwise known as the "Salary 
Standardization Act," AS AMENDED BY EXECUTIVE ORDER NO. 201, 
SERIES OF 2016. 
The CHAIRPERSON and members of the Commission shall be entitled 
to the same salaries, allowances and benefits as those of the Presiding Justice 


 
and Associate Justices of the COURT OF APPEALS, respectively. The 
CHAIRPERSON and the members of the Commission shall, upon completion 
of their term or upon becoming eligible for retirement under existing laws, be 
entitled to the same retirement benefits and the privileges provided for the 
Presiding Justice and Associate Justices of the COURT OF APPEALS, 
respectively. 
THE COMPENSATION SCHEDULE OF THE ERC PERSONNEL SHALL 
BE COMPETITIVE WITH THE SALARY RANGE OF OTHER REGULATORY 
AGENCIES, AND THE ELECTRIC POWER INDUSTRY STAKEHOLDERS. FOR 
THIS PURPOSE, THE CONMSSION EN BANC SHALL, SUBJECT TO THE 
APPROVAL OF THE PRESIDENT OF THE PHILIPPINES, ADJUST THE 
CONPENSATION SCHEDULE AND BENEFITS OF ERC PERSONNEL, 
INCLUDING ANNUAL REVIEW OR INCREASES BASED ON PRODUCTIVITY 
AND EFFICIENCY ONCE EVERY TWO (2) YEARS TO ENSURE THAT THE 
SAME IS COMPARABLE WITH THE CC»OENSATION PACKAGE OF OTHER 
REGULATORY AGENCIES, AND THE ELECTRIC POWER INDUSTRY 
STAKEHOLDERS. 
SECTION 11:  Section 40 of the Electric Power Industry Reform Act (EPIRA) 
of 2001 is hereby amended to read as follows: 
 
"SEC. 40. Enhancement of Technical Competence. 
THE ERC SHALL 
ESTABLISH A RIGOROUS AND SUSTAINABLE TRAINING PROGRAM THAT WILL 
ALLOW ITS STAFF TO ACQUIRE THE NECESSARY KNOWLEDGE AND 
SKILLS AT PAR WITH THE PERSONNEL OF REGULATORS FROM OTHER 
JURISDICTIONS AND ECONOMIES. 
FOR THIS PURPOSE, THE ERC SHALL DESIGN A STANDARDIZED 
TRAINING AND DEVELOPMENT PROGRAM AND FACILITATE THE REGULAR 
CONDUCT OF NECESSARY TRAINING FOR NEW AND INCUNOENT ERC 
PERSONNEL. 
THE ERC SHALL ALLOT NO LESS THAN FIFTEEN PERCENT (15%) OF 
ITS TOTAL ANNUAL APPROVED BUDGET FOR THE TRAINING AND 
UPGRADING OF SKILLS OF ITS PERSONNEL. 
THE ERC MAY HIRE A REASONABLE NUMBER OF CONSULTANTS OR 
EXPERTS AS MAY BE APPROPRIATE AND NECESSARY TO GIVE ADVICE TO 
AND PERFORM SERVICES FOR THE ERC. THE TERMS AND CONDITIONS 
OF THE ENGAGEMENT SHALL BE AS DETERMINED BY THE ERC, SUBJECT 
TO THE PROVISIONS OF REPUBLIC ACT NO. 9184, OTHERWISE KNOWN AS 
THE 


 
"GOVERNMENT PROCURMENT REFORM ACT. " 
SECTION 12. SEMINAR AND OTHER PROFESSIONAL FEES. — Fees 
for relevant seminars, professional membership, registration fees, including 
those for mandatory continuing professional education (CPE), and related 
miscellaneous expenses of ERC employees holding positions for which a 
professional license is required by the office, shall be borne by the ERC. 
SECTION 13. BENEFITS AND PRIVILEGES. The ERC shall provide its 
employees with the following benefits: 
a) 
Health care services through a health maintenance organization 
(HMO). Expenses for mandatory annual executive check-up for all employees 
shall be for the account of the 
ERC, 
b) 
All employees shall be covered by accident insurance policies 
procured by the 
ERC at its own expense; 
c) 
A provident fund, which shall consist of contributions made by both 
the ERC and its employees to a common fund for the payment of benefits to 
employees or their heirs; 
d) 
Performance incentives in accordance with a performance incentive 
program designed and duly approved by the Commission en banc, which shall 
in no case be less that the incentives provided under existing laws. 
SECTION 14. Section 41 of the Electric Power Industry Reform Act (EPIRA) 
of 2001 is hereby amended to read as follows: 
"SEC. 41. PROTECTION and Promotion of Consumer Interest. - THE 
ERC SHALL ADDRESS AND PROVIDE TIMELY RESOLUTIONS TO 
CONSUMER COPOLAINTS AND ENSURE ADEQUATE PROTECTION OF 
CONSUMER INTERESTS THROUGH THE ADOPTION OF POLICIES THAT 
FOSTER GOALS SUCH AS PUBLIC ACCESS TO THE ERC AND ITS 
PROCESSES, CONSUNMER EDUCATION, AND EFFICIENT UTILIZATION 
OF ERC RESOURCES. 
 
FOR THIS PURPOSE, THE ERC SHALL REGULARLY CONDUCT 
TRAININGS FOR THE EFFICIENT HANDLING OF CONSUNŒR CONPLAINTS 
BY THE DISTRIBUTION UTILITIES' CONSUMER WELFARE DESK (CWD). THE 
ERC SHALL ALLOCATE AN ANNUAL BUDGET FOR THIS PURPOSE. 


 
SECTION 15. LIMITED FISCAL AUTONOMY. — In addition to its yearly 
appropriation authorized in the General Appropriations Act (GAA), the 
Commission shall be allowed to use for the following year thirty percent (30%) 
of its revenues generated from the collection of fees, assessments, licenses, 
fines, penalties and other charges. 
The said amount shall be utilized in the following manner: 
a) 
Ten percent (10%) of such income shall be used to augment ERC's Capital 
Outlay (CO) Budget; 
b) 
SIXTY PERCENT (60%) of such income shall be used to augment the 
ERC's 
Maintenance and Other Operating Expenses (MOOE) Budget; and 
c) 
THIRTY PERCENT (30%) of such income shall be used to augment the 
ERC's Personnel Service (PS) Budget intended to augment the benefits of the 
ERC Officers, personnel and staff except for the Chairperson and members 
of the Commission. 
In case the ERC fails to fully utilize the revenues mentioned herein, the 
unutilized amount shall revert to the National Treasury. 
SECTION 16. PUBLIC DISCLOSURE AND TRANSPARENCY. — The 
Commission shall submit and make available to the public, within the 
prescribed period, reports pertinent to compliance submissions, reports, 
certificates, orders, or decisions, except those designated as confidential 
submissions affecting trade secrets or the like, made or issued in relation to 
industry players in the generation, transmission, distribution, and supply 
sectors, such as resolutions, orders, decisions, certificates of compliance, 
certificates of registrations, retail rates of distribution utilities, system loss 
data of distribution utilities, system and capital infrastructure, consumer 
complaints, applications, petitions, and other similar public documents to an 
Electronic Disclosure and Data Access system (EDDA) repository. The EDDA 
shall start operating within three (3) years from the effectivity of this Act. 
SECTION 17. FRANKING PRIVILEGE. — All official mail matters and 
telegrams of the ERC addressed for delivery within the Philippines shall be 
received, transmitted, and delivered free of charge: Provided, That such mail 
matters shall not exceed two (2) kilograms. 
SECTION 18. Section 42 of the Electric Power Industry Reform Act (EPIRA) 
of 2001 is hereby amended to read as follows: 


 
"SEC. 42. APPROPRIATIONS. - SUCH SUMS AS MAY BE NECESSARY FOR 
THE EFFECTIVE IMPLEMENTATION OF THIS ACT SHALL BE TAKEN FROM THE 
CURRENT FISCAL YEAR APPROPRIATION OF ERC. THEREAFTER, THE AMOUNT 
NEEDED FOR THE CONTINUOUS IPOLEMENTATION OF THIS ACT 
SHALL BE INCLUDED IN THE ANNUAL GENERAL APPROPRIATIONS ACT." 
SECTION 19. PROHIBITED ACTS. — The members of the Commission, 
within the duration of their term, SHALL BE 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 any 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 or their subsidiaries. 
The members of the Commission, after the cessation of their service, SHALL 
BE prohibited from: 
1. 
Running for office in the election immediately succeeding their 
cessation from office; and 
2. 
Personally appearing or practicing as counsel or agent on any matter 
pending before the Commission for THREE (3) years following the cessation of their 
service. 
Any spouse, partner, and relative by consanguinity or affinity within the 
fourth civil degree of the members of the Commission SHALL BE prohibited from: 
1. 
Taking up any employment or consultancy arrangement with any 
Electric Power Industry Participant during the incumbency of the member of 
the Commission to whom he or she is related to; 
2. 
Holding any connection to and pecuniary interest in any Electric 
Power Industry' Participant during the incumbency of the member of the 
Commission to whom he or she is related to; AND 
3. 
Appearing as counsel or agent or any matter pending before the 
Commission or transacting business directly or indirectly therein during the 
incumbency of the member of the Commission to whom he or she is related 
to, and within THREE (3) years from cessation of their service. 


 
SECTION 20. TRANSITORY PROVISION. — The current members of the 
Commission shall continue to serve in such capacity until the completion of their 
term. 
The qualifications, requirements, and prohibitions stated in Sections 4, 7 
and 19 of this Act shall apply to new members of the Commission. 
The current Chairperson shall immediately divest himself OR HERSELF 
of his OR HER role and powers as the Chief Executive Officer of the 
Commission upon the effectivity of this Act. 
The current Executive Director shall assume the duties and 
responsibilities laid out in Section 9 of this Act upon the effectivity of this Act: 
Provided, That upon such assumption, the current Executive Director shall 
immediately comply with the requirements and prohibitions stated in Sections 
4 and 19 of this Act: Provided, further, That the current Executive Director 
shall serve as such until his resignation, retirement or termination for cause. 
SECTION 21. OVERSIGHT COMMITTEE. — Upon the effectivity of this 
Act, the JCEC established under Republic Act No. 9136, OTIHRWISE KNOWN 
AS the "Electric Power Industry Reform Act of 2001," AS AMENDED, shall 
exercise oversight powers over the implementation of this Act. 
SECTION 
22. 
PROGRESS REPORT – The Chairperson of the ERC shall 
prepare an annual report on the status of the implementation of the ERC Programs 
which shall be submitted, through the Secretary of the DOE, to the President and 
to the Chairpersons of the Committee on Energy of the Senate and the House of 
Representatives. 
SECTION 
23. 
PERIOD OF IMPLEMENTATION – The modernization 
program under this Act shall be implemented for an initial period of two (2) years:  
Provided, that payments for multi-year contract obligations incurred under 
this Act may extend beyond this period:  
Provided, further, That ERC shall continue to modernize and constantly 
update its operational capabilities to keep pace with best global practices. 
SECTION 24. SEPARABILITY CLAUSE. — If for any reason, any 
provision of this Act is declared unconstitutional or invalid, the other parts or 


 
provisions hereof which are not affected thereby shall continue to be in full 
force and effect. 
SECTION 25. REPEALING CLAUSE. — Sections I and 2 of Executive 
Order No. 172, "Creating the Energy Regulatory Board" are hereby repealed. 
Sections 38, 39, 40, 41 and 42 of Republic Act No. 9136, otherwise known as 
the "Electric Power Industry Reform Act of 2001, " are hereby amended 
accordingly. 
All laws, decrees, orders, rules and regulations or parts thereof which are 
inconsistent with or contrary to the provisions of this Act are hereby repealed or 
amended accordingly. 
SECTION 26. EFFECTIVITY. — This Act shall take effect fifteen (15) days 
following its publication in the Official Gazette or in a newspaper of general 
circulation. 
 
Approved,