Republic of the Philippines


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ERC Suspends FIT-All Collection to Lower Electricity Rates

The Energy Regulatory Commission (ERC) on 18 March 2020 approved the suspension of the collection of Feed-In Tariff Allowance (FIT-All) for one (1) month covering the next billing cycle, in light of the COVID-19 situation and the government’s proclamation of a State of National Health Emergency in the country and the Enhanced Community Quarantine in Luzon.  

“The Commission ordered the suspension of the FIT-All collection to provide some economic relief to the majority of electricity consumers who are mostly daily wage earners. With the ongoing lockdown situation, most of them were imposed a forced unpaid leave, reduced working hours, or no work-no pay arrangement.  The FIT-All suspension will mean a PhP0.04/kwh reduction in the electricity bill”, ERC Chairperson and CEO Agnes VST Devanadera clarified.  

With this development, some 19.16 Million electricity consumers in Luzon, Visayas, and Mindanao will benefit from the reduced electricity rates due to the FIT-All collection suspension.  This, however, will not affect RE developers’ viability as the FIT-All fund has available balance to service its obligations for the said period of suspension, and TransCo is ordered to continue with the payment of FIT obligations to the FIT-eligible plants to ensure the sustainability of its operations.  

On-grid consumers being supplied with electricity through the transmission or distribution network shares the cost of the Feed-in Tariff through the FIT-All, pursuant to Section 2.5 of the ERC Resolution No. 16, Series of 2010 (FIT Rules).  The FIT-All collections are remitted to the FIT-All Fund established and administered by TransCo which keeps the fund in a government financial institution.  


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