Aboitiz Power Corp. is bracing for an expanded retail competition and open access (RCOA) market as the government pushes to allow more customers to choose their electricity supplier. The company, one of the country's largest power generators, is evaluating how the widening of the eligible customer base will affect its existing contracts and operations, according to a report by Philstar Biz.
The Energy Regulatory Commission (ERC) has been gradually lowering the threshold for contestable customers, allowing more commercial and industrial users to enter the competitive retail market. This shift could reduce the captive customer base of distribution utilities, prompting AboitizPower to reassess its power supply agreements and long-term strategies to remain competitive in a more open market.
Industry analysts view the move as part of the broader deregulation of the Philippine electricity sector, which aims to lower costs through competition. AboitizPower's proactive preparations signal its intent to secure a dominant position among independent power producers as the RCOA rollout accelerates in the coming years.