Baguio-Benguet Power Coop Halts P2.6-B Rate Hike

BAGUIO CITY — Consumers were spared a P2.6-billion power bill burden after the Benguet Electric Cooperative (BENECO) stopped a rate increase sought by its former power suppliers. The Energy Regulatory Commission (ERC) has ended the long-running dispute, granting the joint motion of BENECO, TeaM (Philippines) Energy Corp. (TPEC) and TeaM Sual Corp. (TSC) to withdraw the proposed rate adjustment. The case began in 2022 when TPEC and TSC sought higher charges to recover rising coal costs. BENECO management, led by General Manager Melchor S. Licoben, rejected the proposal, saying the additional costs would ultimately be passed on to its member-consumer-owners (MCOs). The cooperative’s former seven-member board, then headed by Esteban A. Somngi, backed Mr. Licoben’s recommendation to fight the increase, which BENECO estimated could have added about P2.6 billion to consumers’ electricity costs. In its May 11, 2026 decision, the ERC ruled that the rates actually implemented under the Electric Power Purchase Agreement were “just and reasonable.” It also granted the withdrawal with prejudice, effectively closing the case and preventing the rate adjustment from being refiled. “We are vindicated in our recommendation to resist the rate increase and protect our MCOs,” Mr. Licoben said, stressing that BENECO’s stand shielded consumers from a massive additional power burden amid already rising household costs. — Artemio A. Dumlao