Press Release - Hontiveros opposes economic Cha-Cha, foreign ownership in power sector already a "failure"

Senator Risa Hontiveros on Friday said that the ongoing power instabilities plaguing consumers are a clear indication that foreign involvement in public utilities is a failure, contrary to the claims that permitting foreign ownership through charter change would be beneficial for both the economy and public services.

"Kahit na may dayuhang nagmamay-ari sa ating transmission grid, taun-taon na lang, kada papasok ang summer months, nakararanas pa rin tayo ng rotating blackouts sa Luzon at Visayas sa kabila ng mas mataas na presyo ng kuryente sa panahong ito," she said.

"I've been consistently pointing out the connection between power industry problems and the proposed economic charter change in the Senate. Our ongoing power challenges clearly show how the industry, despite allowing significant foreign involvement for the past twenty years, has failed to meet expectations," Hontiveros added.

The Senator's remarks came during the recent Senate deliberations on Resolution of Both Houses No. 6, in which she underscored the chronic challenges faced by the power sector despite decades of foreign participation.

The Department of Energy's recent warning about tight power supply risks during the upcoming El Niño-affected summer months has further amplified concerns. Senator Hontiveros, during the Senate hearing on RBH 6, raised pertinent questions to the National Economic and Development Authority (NEDA) and the Board of Investments (BOI) regarding the efficacy of opening up the power generation sector to foreign ownership.

"It's crucial to question our economic agencies because we're examining if an economic charter change is still needed, given significant foreign investment. For example, renewable energy investment alone reportedly totals $13.76 billion," Hontiveros stressed.

Previous Senate inquiries led by Hontiveros identified various factors contributing to challenges in the power industry, including corporate cross-ownership, regulatory capture, grid mismanagement, and prioritization of business interests over public service delivery.

According to the Senator, what should be focused on is the concentration of ownership, especially in the power sector, in which it