Manila: Energy Regulatory Commission (ERC) chair Francis Saturnino Juan expressed optimism over the continued growth in the number of power consumers joining the Competitive Retail Electricity Market (CREM) following the reduction in its participation threshold. CREM allows electricity end-users to choose their power supplier, fostering market competition.

According to Philippines News Agency, the ERC has reduced the eligibility threshold for participation in CREM from 500 kilowatts (kW) to 100 kW. This change is expected to open the market to a broader range of consumers, thereby increasing the overall switching rate among electricity users. Previously, the switching rate was about 60 percent under the 500-kW threshold.

Francis Saturnino Juan noted that the ERC welcomes the expanded access to the retail market and is actively promoting this initiative, including the retail aggregation program. The new threshold is anticipated to significantly raise consumer participation, enabling more customers to benefit from the competitive market.

On Tuesday, MPower, the retail electricity supply unit of the Pangilinan-led Manila Electric Co. (Meralco), announced that it had signed its first customer under the reduced CREM threshold. The Burgundy Corporate Tower, a 38-story office condominium in Makati City, has joined the program.

Meralco Senior Vice President and MPower head Redel Domingo remarked that the lower contestability threshold is "a major step in expanding access to CREM, giving businesses greater flexibility and control over their energy strategies." He emphasized that Burgundy Corporate Tower's participation serves as a strong example of proactive energy management that maximizes market competition.

Burgundy Corporate Tower Property Manager Bernard Ortiz-Luis expressed that joining CREM allows the building to explore cost-saving options without the need for additional funding. "Partnering with MPower will deliver meaningful cost savings, making this a strategic and beneficial decision," he said.