Energy access priorities:
The 2016 MEDP outlines general strategies that
may be undertaken to implement this policy of
rationalization of UC-ME which include the following:
1. Graduation from UC-ME subsidies;
2. Tariff differentiation among customers
and missionary areas;
3. Review of the methodology for
determination of the True Cost Generation
Rate (TCGR) and Subsidized Approved
Generation Rate (SAGR) for the NPP
Program;
4. Review of the methodology for
determination of the True Cost Retail Rate
(TCRR) and Subsidized Approved Retail
Rate (SARR) for the QTP Program;
5. Review of the provision of cash generationbased
incentive for Renewable Energy
Developers in the context of the purpose
of UC-ME; and
6. Interconnection of SPUG islands to the
main grids of Luzon, Visayas and Mindanao
or among adjacent small islands not
connected to the main grids.
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Area of Concern:
Current Status of SPUG Operations and Services.
General Strategies:
1. Creation of a new business model for NPC-SPUG that will result in
responsible missionary electrification
2. Improvement of SPUG’s opaerational efficiency
3. Improve the commercial viability of SPUG areas.
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Area of Concern:
Private Sector Participation (PSP) Program in Missionary Areas.
General Strategies:
1. Strengthening of institutional cooperation among government
agencies and stakeholders
2. Reinforcement of existing policies on PSP and formulation of
needed additional policy
3. Assistance to Electric Cooperatives in properly conducting energy
planning and power contracting.
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Area of Concern:
Utilization of the Universal Charge for Missionary Electrification.
General Strategies:
1. Rationalization of UC-ME
2. Implementation of Graduation Policy
3. Review of the computation for electricity rates in SPUG areas.
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Energy access action plan:
Area of Concern:
Current Status of SPUG Operations and Services.
Specific Activities:
1. Required submission of development plans from NPCSPUG,
NPP and QTPs in preparation for the MEDP.
2. Implementation of a comprehensive policy on allowable
Plant Use and Losses (PUAL) and Fuel Rate (FR)
3. Implementation of reportorial requirements
for NPC-SPUG, NPP and QTP
4. Conduct of Performance Audit for all Power Plants in SPUG areas
5. Synchronization of MEDP with LGU Development
Plans (regional, provincial, municipality or city)
6. Rendering of 24- hour electricity service in all
Large, Medium and Small A NPC-SPUG areas.
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Area of Concern:
Private Sector Participation (PSP) Program in Missionary Areas.
Specific Activities:
1. Creation of Technical Working Group for the Amendment
of DC2004-01-001 and other relevant policies
2. Continuation of the review of DOE Circular on QTP Participation
3. Facilitation of capacity-building for ECs on power supply
contracint in coordination with NPC and NEA.
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Area of Concern:
Utilization of the Universal Charge for Missionary Electrification.
Specific Activities:
1. Conduct of Study for Grid Interconnection of Island
Grids in coordination with NPC, NGCP and TRANSCO
2. Commence Focus Group Discussions with ERC in reviewing
the computation for TCGR, SAGR, FCRR and SARR
3. Guidelines for Effective Targeting of New Areas for NPC-SPUG
4. Review of the availment scheme of Cash Incentive
for RE in coordination with PSALM
5. Itemization of UC-ME to ensure greater transparency.