The Energy Regulatory Commission (ERC) is escalating its investigation into the persistent power situation in the Province of Siquijor, following a public hearing held on Thursday, July 3, 2025, at the ERC Main Office. The hearing, a crucial step in formalizing the probe, gathered representatives from S.I. Power Corporation (SIPCOR), Province of Siquijor Electric Cooperative, Inc. (PROSIELCO), and the National Power Corporation (NPC).
Presided over by ERC Commissioners Alexis M. Lumbatan, Catherine P. Maceda, and Marko Romeo L. Fuentes, the hearing aimed to scrutinize Power Supply Agreements (PSAs), operational compliance, and regulatory obligations of the involved parties. However, the Commission noted significant limitations in the information presented, with several statements lacking crucial supporting documents.
To address these deficiencies, the ERC has issued an Order directing all parties to submit comprehensive documents and data. This includes a full analysis of undelivered energy in Siquijor from 2015 to 2024, specifically for each of the PSAs between PROSIELCO and SIPCOR.
This formal hearing follows a technical investigation initiated by the ERC in May 2025, prompted by a surge of consumer complaints regarding prolonged power outages and potential violations of ERC regulations by the concerned entities.
On the same day as the hearing, the ERC also issued two Show Cause Orders (SCOs) against SIPCOR. These orders cite possible violations of the 2023 Revised Certificate of Compliance (COC) Rules, specifically concerning its 4.701 megawatts (MW) Siquijor Diesel Power Plant-Expansion (SDPP-E) Units 1 and 2, and its 3.232 MW Lazi Diesel Power Plants Units 3 and 4.
The SCOs highlight two critical violations: SIPCOR’s failure to file a Provisional Authority to Operate (PAO) application at least sixty (60) days before the expiration of the extended PAO validity, and the unauthorized operation of these generating units without a valid PAO or COC. These actions are in direct contravention of provisions under the EPIRA law, its Implementing Rules and Regulations (IRR), and the 2023 Revised COC Rules.
The Commission specifically directed SIPCOR to explain the continued operation of all four units, noting that the PAO for SDPP-E Units 1 and 2 expired on March 16, 2024, and the COC for Lazi DPP Units 3 and 4 is only valid until March 15, 2025.
ERC Chairperson and CEO Monalisa C. Dimalanta emphasized the gravity of the situation, stating, “We once again call on all our stakeholders, especially Generation Companies and Distribution Utilities, to fulfill their obligations, not just to the ERC but more importantly to the consumers, in a timely and transparent manner.”
Chairperson Dimalanta further added, “Operating a power facility is a business imbued with public interest. As suppliers of a basic necessity in modern life, generators have a direct responsibility to Filipino consumers to protect their welfare and deliver quality service and that begins with making sure licenses to operate are up to date and facilities are kept in good condition to deliver the service paid for.”
The ERC reiterates its commitment to ensuring reliable and affordable power for all Filipino consumers and will continue to pursue this investigation diligently to uphold regulatory compliance and protect public interest.
