Pangilinan Pushes for EPIRA Reform in Senate

Senator Francis “Kiko” Pangilinan

Pangilinan Pushes for EPIRA Reform in Senate

By Star Torres – TheNATIONWEEK.com | July 28, 2026

MANILA, Philippines – Senator Francis “Kiko” Pangilinan vowed on Tuesday to push for amendments to the Electric Power Industry Reform Act (EPIRA) to prevent power companies from passing system loss charges and their associated value-added tax (VAT) onto consumers.

Pangilinan previously filed Senate Bill No. 2124, known as the VAT Exemption on Systems Loss Act for Residential Household Consumers, to alleviate the burden on households that continue to pay for system losses they neither consume, cause, nor control.

“This is long overdue. Consumers should not have to bear the cost of system losses. Instead of paying for system losses and their VAT, they should spend their hard-earned money on food, education, and healthcare,” Pangilinan stated.

During his State of the Nation Address (SONA), President Marcos urged Congress to act swiftly on these reforms.

Under the current EPIRA framework, distribution utilities are allowed to automatically recover these pass-through costs from the public.

Pangilinan expressed his readiness to collaborate with the administration and the Department of Energy to expedite these amendments.

Beyond system loss, he aims to review the broader EPIRA law to enhance transparency and consumer protection across the power sector.

“Our goal should always be a power sector centered on the welfare of consumers,” Pangilinan added, emphasizing that the government must ensure affordable and reliable electricity reaches every corner of the Philippines.

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