ERC Extends the Temporary Suspension of Collection of Feed-In Tariff Allowance

On 22 February 2023, the Energy Regulatory Commission (“ERC”) issued Resolution No. 02-2023 on the extension of the temporary suspension of the collection of Feed-In Tariff Allowance (“FIT-All”) for a period of 6 months, starting March 2023 until August 2023, unless lifted earlier by the ERC through a subsequent resolution.

The ERC emphasized that the FIT-All Fund balance as of 05 February 2023, inclusive of the Cost Recovery Revenue (“CRR”) collections in January 2023, shows a healthy fund balance that can sufficiently cover the FIT-All payment requirements for 6 more months, assuming the same average CRR collection. The ERC also stressed that the extension was introduced to ease inflation pressure on citizens. 

Due to the extension, the Distribution Utilities, Retail Electricity Suppliers and National Grid Corporation of the Philippines are instructed to report to the ERC not later than 31 March 2023 of its implementation of the suspension based on ERC Resolution Nos. 12-2022 and 02-2023.
The full text of ERC Resolution No. 02-2023 can be found here.