January 17, 2025
The Energy Regulatory Commission (ERC) issued a call for feedback and comments on the draft Resolution Amending ERC Resolution No. 6 Series of 2019, Entitled: A Resolution Adopting the Amendments to the Net-metering Program for Renewable Energy.
In response to this call, the Center for Renewable Energy and Sustainable Technology (CREST) submitted the following recommendations to the ERC for consideration:
- The definition of net-metering should be consistent with the Republic Act 9513 or the Renewable Energy Law and its Implementing Rules and Regulations (IRR).
Republic Act 9513: Chapter 1. Sec. 4
“… a system, appropriate for distributed generation, in which a distribution grid user has a two-way connection to the grid and is only charged for his net electricity consumption and is credited for any overall contribution to the electricity grid.”
IRR of R.A. 9513: Section 7
“Net-metering is a consumer-based renewable energy incentive scheme, wherein electric power generated by an eligible on-site RE generating facility and delivered to the local distribution grid may be used to offset electric energy provided by the DU to the end- users during the applicable period.”
Both the RE Law and the original IRR recognized that a Net-metering offsetting arrangement is a direct exchange in electricity (in kWh), and not a sale through credit as applied today.
- The Renewable Energy Certificates (REC), equivalent to the power generated by an RE system, should be co-owned both by the concerned Distribution Utility (DU) and the RE owner who put capital and investment on the said project. The recent UNFCCC COP29 has put forward the process for carbon markets developments and RE owners could potentially use the earned certificates beyond the existing Philippine RE Market.
- CREST expressed its support on requiring DUs to made public their net-metering program and hosting capacities. This vital information is critical for investors, project developers and qualified end-users (QEs) who wished to invest on future RE projects.
- ERC should set up a customer hotline that will handle and monitor reports and violations of the provisions of the Amended Net-metering Resolution.