ERC suspends collection of FIT-All for 3 months to ease consumers’ burden

The Energy Regulatory Commission (ERC) has suspended the collection of the Feed-in Tariff Allowance (FIT-All) for three (3) billing months in a bid to ease the burden of consumers amid high inflation.

In its Resolution No. 12, series of 2022, the ERC approved the suspension of FIT-All collection starting December this year until February 2023.

The FIT-All is a uniform charge imposed on all on-grid electricity consumers, and is a component of the electricity bill, that ensures the development and promotion of renewable energy (RE) in the country.

“The Commission is sensitive to the impact of the rising level of inflation and cost of living to millions of Filipino households," said ERC chairperson Monalisa Dimalanta.

"We join the rest of the government in introducing remedies to ease inflation pressure on our citizens, including those that impact on their ability to pay for the rising cost of electricity due to external pressures,” she added.

The prevailing FIT-All rate is P0.0364 per kilowatt-hour (kWh).

With the suspension of FIT-All collection, a typical household consuming 200 kWh in a month may expect a reduction of about P7.28 in their monthly bills for the next three months.

In its resolution, the agency said it reviewed the FIT-All Fund balance and determined that its present healthy status would be sufficient to cover the FIT-All payment requirements for the next three billing months in light of the rising level of inflation and cost of living.

The ERC said it will review, by January 2023, the status of the FIT-All fund, prior to the end of the three-month period covered by the suspension order, to determine if a further extension or other reliefs would be available to consumers. — RSJ/BM, GMA Integrated News