Republic of the Philippines

ENERGY REGULATORY COMMISSION

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ABOUT WESM

About WESM | WESM Rules | Price Determination Methodology

About the Wholesale Electricity Spot Market (WESM)

 
The Wholesale Electricity Spot Market (WESM) Rules establishes the basic rules, requirements and procedures that govern the operation of the Philippine electricity market. The WESM Rules identifies, recognizes and sets the responsibilities of the Market Operator, System Operator, WESM Participants, and the PEM Board. These groups shall comply with and are bound by all the provisions of the WESM Rules. The WESM Rules are intended to be complimentary with the Grid Code and Distribution Code, all of which are meant to ensure the development of an appropriate, equitable and transparent electricity market, along with safe, reliable, and efficient operation of the power system.
 
Republic Act No. 9136, also known as the "Electric Power Industry Reform Act of 2001" (Act), mandates the Department of Energy (DOE) to establish the WESM within one (1) year from its effectivity. The Act also mandates the DOE, jointly with the electric power industry participants, to formulate the detailed rules for the WESM.
 
The WESM is the market where trading of electricity will be made. It shall be governed by the Philippine Electricity Market Board (PEM Board). The PEM Board shall provide the policies and guidelines of the WESM contained in the Implementing Rules And Regulations of the Act, WESM Rules, and such other relevant laws, rules and regulations.
 
The Market Operator, a non-stock, non-profit organization, shall administer the operation of the WESM in accordance with the WESM Rules. For the first year, the Market Operator's functions shall be provided by the Autonomous Group Market operator (AGMO) under the administrative supervision of the National Transmission Corporation (TRANSCO). After the first year, the Market Operator shall be an independent entity. Thereafter, the administrative supervision of the TRANSCO over such entity shall cease.
 
The WESM Rules is organized into eleven (11) Chapters. These are:
 
Chapter 1.  Introduction
Chapter 2.  Registration
Chapter 3.  The Market
Chapter 4.  Metering
Chapter 5.  Market Information and Confidentiality
Chapter 6.  Intervention and Market Suspension
Chapter 7.  Enforcement and Disputes
Chapter 8.  Rules Change Process
Chapter 9.  Interpretation
Chapter 10. Transitory Provisions
Chapter 11. Glossary
 
For more information, visit the official WESM website at <a href="http://www.wesm.ph" target="_blank">http://www.wesm.ph
 
 

 


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