Diokno urges power distributors to scrap systems loss charges now without waiting for EPIRA amendment

Akbayan Party-list Rep. Chel Diokno called on power distribution companies to immediately stop passing system loss charges on to consumers, saying they should not wait for Congress to amend the country’s power law.

Diokno said distribution utilities already have the ability to remove the charge voluntarily and provide immediate relief to households struggling with high electricity bills.

“Hindi dapat pinapabayaran sa taumbayan ang kuryenteng nawala o nanakaw,” Diokno said, arguing that consumers should only pay for the electricity they actually use.

System loss refers to electricity lost while being transmitted and distributed to customers. It includes technical losses from power lines and equipment, as well as nontechnical losses caused by illegal connections, electricity theft and inaccurate metering.

The law currently allows power distributors to recover a regulated portion of these losses through consumers’ monthly electricity bills.

Diokno’s appeal followed President Ferdinand Marcos Jr.’s call during his fifth State of the Nation Address to immediately amend the Electric Power Industry Reform Act and prohibit power companies from charging consumers for system losses and the corresponding value-added tax.

Marcos said households should not be forced to pay for electricity losses they did not cause. Diokno, however, maintained that distribution companies do not need to wait for new legislation before acting.

He urged Meralco and other utilities to voluntarily absorb the costs instead of continuing to place the burden on Filipino families already facing rising electricity rates.