ERC Cancels Siquijor Power’s Authority Amid Compliance Violations

Siquijor: The Energy Regulatory Commission (ERC) has revoked the provisional authority to operate (PAO) of Siquijor Power Corporation (Sipcor), the designated power generation firm in the province, effective from 3 p.m. this past Friday. The decision was taken due to numerous violations concerning operational and regulatory compliance requirements.

According to Philippines News Agency, ERC Secretary Sharon Garin announced the revocation and cited the persistent power supply issues in Siquijor province as a major factor influencing the decision. The power crisis had severely impacted both the daily lives and economic activities on the island. President Ferdinand Marcos Jr. had previously instructed the Department of Energy and the National Electrification Administration (NEA) to devise both short and long-term solutions following his inspection of Sipcor's facilities on June 11.

To address the immediate power supply gaps, Garin revealed that TotalPower Inc. has entered into an Emergency Power Supply Agreement with the Province of Siquijor Electric Cooperative Inc. This agreement will provide an additional 15.3 megawatts from three generation facilities on the island. NEA Administrator Antonio Mariano Almeda, participating via videoconference, confirmed that synchronization efforts are underway to integrate and dispatch total power.

The situation had reached a critical point, prompting the provincial government to declare a state of calamity in June. This declaration followed a period where 33,785 customer-households experienced 568 power interruptions, with outages averaging over 31 times per month and lasting around 11 hours per day from January 2024 to June 2025.

Experts from the University of the Philippines conducted a technical assessment and found that Sipcor's operations were not meeting the ERC's reliability standards. The power plants had a dependable capacity of only 6,464 kilowatts (kW), which is significantly less than the island's peak demand of 8,800 kW. Additionally, delays in scheduled maintenance activities led to engine breakdowns, with one unit declared as 'wrecked.'

Given that power generation companies in off-grid areas receive subsidies through the Universal Charge for Missionary Electrification, Garin stated that coordination with the National Power Corporation is ongoing to review their system for determining payments and conducting audits. The aim is to prevent a recurrence of such issues and ensure compliance monitoring, considering the companies receive subsidies.