Guidelines Readied on FIT-All Payment and Collections for RE

Manila Bulletin, August 23, 2012 | Go to article overview

Guidelines Readied on FIT-All Payment and Collections for RE


The guidelines on payment and collections of feed-in-tariff allowance (FIT-All) will be the next set of rules that the Energy Regulatory Commission (ERC) will issue relative to the much-anticipated integration of renewable energy (RE) resources into the country's power mix.

ERC executive director Francis Saturnino Juan has explained that the payment arrangement will refer to the settlement of the corresponding FITs for capacity supplied to the grid by the RE project developers.

"We are discussing the guidelines on payment and collections. It will be part of the policy improvements that will be issued by the Commission," he said.

The collections, on one hand, will deal with the process on how the FIT-All will be passed on to the consumers; and which entity shall take charge of it.

On the FIT-All collection scheme, the ERC official stressed that the main issues discussed are whether to allow the National Grid Corporation of the Philippines (NGCP) to do the filing; and the collected FITs will just be turned over eventually to the mandated FIT Administrator, which could be the National Transmission Corporation (TransCo) or any other entity.

If it is TransCo that will be appointed as FIT Administrator, Juan noted that they are weighing if that is covered by the scope of its business functions.

"We are also evaluating the cost impact on the administration of FIT-All collections as well as the necessary adjustments to be made by an entity performing that function," he added. …

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Guidelines Readied on FIT-All Payment and Collections for RE
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