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Ombudsman orders suspension of Energy Regulatory Commission chief

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MANILA, Philippines – Ombudsman Samuel Martires has ordered the preventive suspension without pay of Energy Regulatory Commission (ERC) chair Monalisa Dimalanta for not more than six months. 

The Ombudsman acted on the complaint filed in July 2022 against the chief energy regulator by anti-brownout advocate National Association of Electricity Consumers for Reforms (NASECORE) for grave misconduct, grave abuse of authority, and conduct prejudicial to public service. 

NASECORE, represented by Petronilo Ilagan, accused Dimalanta of failing to recalculate Manila Electric Corporation (Meralco) rates that “protect the interest of the public and runs counter to the objective of the ERC’s Performance Based Regulation.” 

NASECORE said in its complaint that ERC had not acted on the following motions: 

  • motion for regulatory audit of implemented capital expenditure (CAPEX) projects of Meralco from 2015 to 2022 filed on March 15, 2023
  • motion for the conduct of a quasi-judicial and regulatory audit of Meralco filed on March 30, 2023
  • motion for immediate resolution of the motion for regulatory audit of implemented CAPEX projects of Meralco from 2015 to 2022 filed on June 2, 2023
  • motion filed by consumer advocate Romeo Junia for production of documents and information filed on April 3, 2023
  • urgent motion for the ERC to issue a directive to Meralco to comply with motion for production of documents and information filed on April 19, 2023.

“Respondent’s [Dimalanta] actuations amount to grave misconduct, grave abuse of authority, gross neglect of duty and conduct prejudicial to the best interest of the service,” the Ombudsman said in the order dated August 20.

Martires confirmed to Rappler on Thursday, September 5 the suspension order which he signed on August 27. He furnished Executive Secretary Lucas Bersamin a copy for its “immediate implementation.” He asked the Office of the Executive Secretary to inform him within 5 days after receipt of his order on the actions taken.

When asked about the preventive suspension, Dimalanta said: “We have not received a copy of the Order so we cannot comment at this time.” 

The ERC oversees and regulates pricing activities in the energy industry.

In an interview back in July 2023 regarding the controversy over delayed transmission projects of the National Grid Corporation of the Philippines, Dimalanta had cited as among the reasons for the delay in ERC’s decisions were the leadership issues in 2017 when all five members of the commission were suspended. It was then headed by Jose Vicente Salazar. [READ: Suspension of ERC officials will lead to ‘paralysis’ – Malacañang]

She also blamed its lack of personnel who were technically capable of evaluating the petitions filed before the ERC. She, however, said the ERC under the Marcos administration was already making up for the delays of the past. 

Last August 8, during the ERC budget deliberations in the House of Representatives, Dimalanta urged legislators to amend Republic Act 9136 or the Electric Power Industry Reform Act (EPIRA) of 2001. She said their proposed amendments would “allow the ERC to enhance its regulatory capabilities and speed up the resolution of cases in the Commission.” 

President Ferdinand Marcos Jr. appointed Dimalanta in August 2022 for a fixed term of 7 years or until 2029. She was a former legal counsel and compliance officer of Aboitiz Power Corporation, and chaired the National Renewable Energy Board. – with reports from Jairo Bolledo, Iya Gozum, Lance Yu/Rappler


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