Moving to bridge the energy gap in remote areas, the Energy Regulatory Commission (ERC) has officially adopted Resolution No. 19, Series of 2026.
Also known as the Rules for Off-Grid Transmission Wheeling and System Operation Charges (Off-Grid Wheeling and SO Charges Rules), this landmark resolution establishes the country’s first clear and transparent framework for determining transmission and system operation charges in off-grid areas.
The newly enacted rules outline a definitive methodology for computing rates related to transmission network services, system operations, and metering services across small grids that operate independently from the main national grid.
The Off-Grid Wheeling and SO Charges Rules are designed to tackle the unique challenges of missionary and off-grid areas, which are frequently plagued by geographic isolation, infrastructure deficits, and steep operating costs.
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Investment Incentives: Provides a predictable regulatory environment to encourage private and public investments in small-grid infrastructure.
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Clear Accountability: Offers robust regulatory guidance for authorized entities, including the National Transmission Corporation (TransCo) in its capacity as the Small Grid System Operator.
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Enhanced Reliability: Drives operational efficiency and grid stability to ensure a steadier power supply for underserved communities.
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Pricing Transparency: Establishes a structured, transparent approach to billing and electricity pricing, protecting consumers from arbitrary costs.
Ultimately, the framework aims to catalyze socioeconomic growth and elevate living standards in isolated regions by securing sustainable, long-term energy access.
ERC Chairperson and CEO Atty. Francis Saturnino C. Juan emphasized that these reforms are fundamentally centered on consumer welfare and equitable progress.
“This resolution is a significant step toward ensuring that Filipinos living in islands and remote communities are not left behind in our energy transition,” said Atty. Juan. “By establishing a transparent and predictable framework for setting the off-grid transmission and system operation charges, we encourage investments in small-grid infrastructure, strengthen accountability, and create the conditions for more reliable and efficient electricity service.”
He added, “Ultimately, these reforms are designed to benefit consumers by improving service quality, promoting cost transparency, and supporting the long-term reduction of power costs in off-grid areas.”
