The Role of End Consumers in Public Utilities
To ensure that the planning, operation and regulation of public utilities such as electricity, water and transport systems are optimized to the benefit of end consumers, the consumers themselves must be well-represented. They are probably the most significant stakeholders, since they are directly influenced by the quality of these services. What the consumers and the larger process do not need is a bunch of people, claiming to protect the consumers’ interest, to indulge in what can only be considered as adolescent and stunt-like behavior.
The Situation in the Philippines’ Electricity Sector
Regrettably, this is exactly what is happening in the Philippines—especially in the power industry. The group in question is called “Power for People” or P4P and seems to be a mix of representatives of various leftist groups, some individuals who are running for positions in the upcoming elections, and a handful of idealists.
P4P’s Critique of the Power Industry
P4P has been quite critical of the power industry and the government regulators for the past several months. They have flooded media inboxes with many press releases that are rather superficial and of poor quality, and sometimes hold public actions. The main idea is that ‘Big energy corporations are bad’ and the group wants the Philippines to get all its energy from renewable sources and for free. However, the group’s approach to the issues does not take into account the nuances and contexts of the energy market.
Limited Impact and Escalated Actions
Sometimes, P4P’s activities attract attention, for instance, when local papers require content for their business sections; however, they do not significantly sway key stakeholders like the energy industry, policymakers, regulators, or the public. This lack of impact may have led to their latest, more drastic action: The petitioners filed criminal and administrative complaints against Energy Secretary Raphael Lotilla before the Office of the Ombudsman.
The Complaint Against Secretary Lotilla
On July 18, P4P, along with the Sanlakas party-list organization, accused Secretary Lotilla of violating Republic Act 3019, the Anti-Graft and Corrupt Practices Act, which is a criminal charge, and they also filed an administrative charge for “grave misconduct and conduct prejudicial to the best interest of the service.” The basis of these charges, according to the complaint, was Lotilla’s approval of the expansion of the Therma Visayas Inc. (TVI) coal plant in Toledo City, Cebu. P4P argues that this decision violated the 2020 moratorium on coal power projects in the Philippines.
The Therma Visayas Inc. (TVI) Coal Plant Expansion
TVI is a subsidiary of the Aboitiz Power which currently has two units with a total capacity of 340MW. The company is also intends to expand its capacity by constructing another unit which will be an addition of 150MW. Even up to the last year, Aboitiz had not completely ruled out the construction of the natural gas plant rather than the coal plant. But considering Cebu’s current power supply situation, and the expenses that comes with constructing a new gas plant, a new coal plant is more reasonable.
Environmental and Practical Considerations
The addition of a coal unit is not without its problems; however, with the current energy needs and the search for cheaper forms of energy in Cebu, it is a compromise that has to be made. The island’s electricity supply is expected to be inadequate in the next two years if no additional capacity is made, while the adverse effects of coal use can be reduced to a certain extent.
Clarifying the Coal Moratorium
On the coal moratorium, the Department of Energy (DoE) had already stated in January that the moratorium does not apply to the TVI expansion as the latter is not a new project. The expansion will be built within the plant site which already holds an environmental compliance certificate (ECC) and permits from local government and the regional development council.
The Department of Energy’s Response
In response to P4P’s filing, DoE simply restated these arguments and expressed concerns over the fact that despite whatever action that the DoE takes, it is always a target of criticism. Although frustration of such type might not necessarily have to be displayed openly, it is quite comprehensible.
Questioning the Validity of the Complaint
Being a memorandum, it is not legally enforceable and provides DoE flexibility to adapt to different circumstances. There is no law or administrative rule that prevents Secretary Lotilla from revoking the memorandum if he finds it necessary; therefore, the approval of a non-greenfield coal project is not unlawful. Moreover, it can be said that the complaint is more of a publicity stunt than a legal procedure.
The Need for Effective Consumer Advocacy
There is a need for robust consumer representatives that can challenge the decision-makers, regulators, and the energy providers in order to steer the sector towards cleaner energy. The problem of how to provide affordable and sustainable energy is a complex issue, which needs critical analysis of different stakeholders’ opinions. Unfortunately, the actions of organisations like P4P do not help the cause of consumer advocacy and instead are more likely to harm the general perception of such organisations.
The Importance of Constructive Engagement
In conclusion, it can be said that P4P’s goals may stem from a noble desire to protect consumer and encourage the use of renewable energy, their strategy is insufficient and does not take into account the dynamics of the energy industry. Advocacy cannot be reduced to street protests and wild allegations; it has to be based on factual knowledge of the situation and open dialogue with everybody involved.
Energy Security and Sustainability in the Philippines
Thus, the issues on energy security and sustainable development in Cebu as well as the rest of the Philippines need strong and knowledgeable advocates. Renewable energy is a transition that involves multiple steps and factors that has to ensure that it does not hurt the environment but at the same time can be achieved economically and safely. It needs the participation and rational decision-making of all the stakeholders. It is only through proper and rational discussion that the Philippines may reach a fiscally stable and secure energy future.