President Ferdinand Marcos Jr. delivering a speech on energy policy reforms during his State of the Nation Address.
President Ferdinand Marcos Jr. delivering a speech on energy policy reforms during his State of the Nation Address.
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Marcos urges EPIRA overhaul to scrap system loss charges

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President Ferdinand Marcos Jr. on Monday called on Congress to amend the Electric Power Industry Reform Act during his fifth State of the Nation Address, proposing to end charges for system losses passed on to electricity consumers.

President Ferdinand Marcos Jr. delivered the proposal at the Batasang Pambansa in Manila. He said consumers should not pay for electricity lost during transmission and distribution.

“We, the people, request—no, we demand the immediate amendment of EPIRA and to prohibit the charging of system loss against consumers, including the value-added tax (VAT) thereon,” Marcos said, drawing applause from lawmakers.

Marcos also urged passage of the Sariling Kuryente Act to ease installation of rooftop solar panels. The Department of Energy supported the EPIRA changes while stressing the need to keep the power sector financially stable.

The 2001 law currently allows distribution utilities to recover system losses from customers through their bills.

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Initial X reactions to Marcos' SONA call for EPIRA overhaul to scrap system loss charges show strong applause in the session and support from officials like DOE and ERC. Some users express skepticism that costs may shift elsewhere, while others highlight consumer relief and rare bipartisan applause including from Sen. Risa Hontiveros. Business impacts on firms like Meralco are noted neutrally.

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President Marcos Jr. speaking at the podium during his State of the Nation Address, highlighting accountability in a flood control scandal.
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Marcos highlights accountability in flood control scandal during fifth SONA

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In his fifth State of the Nation Address on July 27, 2026, President Ferdinand Marcos Jr. emphasized accountability for the flood control corruption scandal and announced measures for tax and energy relief.

The Department of Energy backed proposals to suspend, reduce or remove value-added tax on electricity amid rising power bills and inflation. The agency said it is ready to provide technical input on energy-sector impacts. This comes as inflation surged to 7.2% in April.

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Energy Minister Edwin Palma sent a letter to Finance Minister Germán Ávila proposing a parafiscal contribution from the electric sector to be included in the tax reform.

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