President Duterte signs “Murang Kuryente Act”
It has just been announced that President Duterte has signed Republic Act 11371, or the “Murang Kuryente Act” last August 8. A copy of the law was recently shared to the media.
The “Murang Kuryente Act” seeks to reduce the electricity rates by allocating government shares from the Malampaya fund to pay the debts of the National Power Corporation (NPC). The NPC’s debt is currently being charged on consumers, reflected in the monthly electricity bill.
Under RA 11371, P208 billion from the net government share of the Malampaya funds will be used to pay for the stranded contract costs and stranded debts of the NPC that are currently being shouldered by the consumers.
The act also mandates the Department of Budget and Management to “ensure the timely release of the amounts allocated and appropriated to the Power Sector and Liabilities Management Corporation (PSALM) in accordance with its debt and independent power producer payment schedule.”