Systems loss pass-on charge to be reviewed

THE ENERGY Regulatory Commission (ERC) is looking at reviewing the power systems loss that is billed consumers amid calls to bring down electricity costs, an official of the agency said.

 “Probably this is the right time to bring it down with the clamor to reduce power cost,” ERC Commissioner Alfredo J. Non said on Thursday during a forum.
“It is something we have to decide sooner or later in order to address the issue of systems loss.”

Mr. Non made the statement when asked for his views on a legislator’s query on why consumers have to shoulder systems losses incurred by distribution utilities.

He explained that this loss can be classified either as technical loss or electricity lost while bringing it from the generation plant to the distribution utility, or power lost through pilferage.

He said the current allowed loss threshold at 8.5% of power from the source to the distributor was agreed upon in 2008, and “was not based on actual technical studies.”

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