Senator files measure vs power bill deposits – BusinessWorld Online
A SENATOR on Wednesday said that he has filed a bill seeking to scrap the collection of bill deposits by distribution utilities (DUs) and electric cooperatives (ECs) to ease costs for power consumers.
“This bill seeks to abolish the collection and reimposition of bill deposits and mandate the refund of existing deposits, together with accrued interest,” Senator Sherwin T. Gatchalian said in the explanatory note of Senate Bill No. 1470, the Anti-Bill Deposit bill.
The proposed measure orders the DUs and ECs to refund all existing bill deposits, together with accrued interest up to the date of the actual release.
“In this way, we can ensure equal and affordable access to electricity for everyone, without having to pay a deposit,” he added.
The refunds should be released in cash, check, or electronic transfer, unless consumers choose to apply them to future bills.
“This measure strengthen consumer protection, promotes equitable access to electricity, and aligns regulatory practices with the Senate’s mandate to provide reliable and affordable power service,” he said.
The bill also mandates the Energy Regulatory Commission (ERC) to conduct an independent audit of all bill-deposit accounts and to prescribe non-deposit-based credit-risk alternatives.
Mr. Gatchalian added that the ERC should prescribe non-deposit bases credit risk alternatives such as prepaid or installment-based arrangement to maintain payment discipline to consumers without imposing upfront costs. — Adrian H. Halili
