SC asked to nullify injunction order on Meralco-SMC power supply deal

MANILA, Philippines — The Office of the Solicitor General (OSG), which serves as the Energy Regulatory Commission (ERC)’s statutory counsel, has asked the Supreme Court to nullify a Court of Appeals injunction order on the power supply agreement between the Manila Electric Co. (Meralco) and San Miguel.

The ERC said the OSG has filed with the SC yesterday a petition for certiorari to annul resolutions issued by the 13th division of the CA on April 3 and Jan. 25, 2023.

The petition filed by the OSG seeks for the issuance of a temporary restraining order or writ of preliminary injunction.

It claims that the CA 13th division committed grave abuse of discretion when it gave due course to South Premiere Power Corp. (SPPC)’s case in spite of fatal procedural defects, such as the absence of the required motion for reconsideration in the ERC and the improper remedy of petition for certiorari when an appeal would have been the appropriate course of action.

The OSG said that only the SC has the authority to issue injunctions over the implementation of the Electric Power Industry Reform Act.

Further, the OSG argued that the CA 13th division exceeded its authority when it instructed SPPC and Meralco to engage in renegotiations for their power supply agreement.

The OSG said the CA division’s order violated the mandates of the Department of Energy and the ERC, both of which are the agencies responsible for implementing the laws and regulations related to power supply agreements.

The resolutions of the CA’s 13th division granted San Miguel’s SPPC prayer for injunctive relief to stop the ERC from enforcing the ERC order dated September 29, 2022 denying SPPC’s motion for an electricity price increase in its power supply agreement with Meralco.