05 RCOA Overview Julius Bunyi

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RETAIL COMPETITION AND

OPEN ACCESS (RCOA)

Julius Bunyi
Senior Manager, Corporate Strategy and Program Management
Independent Electricity Market Operator of the Philippines

08 July 2021
2

ABOUT IEMOP

• Independent Market Operator


of the Wholesale Electricity
Spot Market (WESM)
• Central Registration Body
(CRB) for Retail Competition
and Open Access
03

OUTLINE

01 BACKGROUND

02 WHAT IS RETAIL COMPETITION AND OPEN ACCESS?

03 WHAT’S NEXT FOR RETAIL COMPETITION AND OPEN ACCESS?


BACKGROUND
RCOA OVERVIEW 05

HOW IS ELECTRICITY DELIVERED TO OUR HOMES?

Transmission
Power Plant Lines

Distribution Lines Distribution Lines


(Distribution Utility) (Distribution Utility)
Bulk-Users

Embedded
Power
Plants
End-Users End-Users
RCOA OVERVIEW 06

BEFORE RCOA

Generation companies
sell power to DUs
through bilateral DUs bill and collect
contracts or through the consumers within their
WESM franchise area

Generation Distribution Consumers


Company Utility
The only choice for Consumers is to
purchase electricity from their distribution
utilities.
WHAT IS RETAIL
COMPETITION AND
OPEN ACCESS?
RCOA OVERVIEW 08

Legal Basis

EPIRA Sec. 30 (WESM) EPIRA Sec. 31 (Retail


Competition and Open
Access)

GENERATION TRANSMISSION DISTRIBUTION SUPPLY

Power Industry Sectors


RCOA OVERVIEW 9

WITH RCOA

RES pays the DU for


the use of its lines

Generation Distribution Consumers


Company Utility

Consumers can purchase electricity


from Retail Electricity Suppliers

Under retail competition, consumers can


choose where to purchase their electricity
RES sources their
electricity from Retail
generation companies Electricity Available to End Users with facilities having
or from the WESM Suppliers a peak demand of at least 500 kW
RCOA OVERVIEW 10

RCOA EMPOWERS ELECTRICITY END-USERS

Before RCOA With RCOA


Electricity cost based on
negotiated terms with suppliers
(e.g., fixed rate, indexed)

Electricity cost
based on DU
contracts and supply
management – all
costs are pass-on
RCOA OVERVIEW 11

End-Users are empowered to choose a


Retail Supplier for:
• Better prices
• Value added services
• Renewable/Sustainable Energy

BENEFITS
Options

OF RCOA Promotes efficiency and


competition in the power
industry
• Competitive prices
• Boosts innovation
RCOA OVERVIEW 12

HOW TO PARTICIPATE IN RCOA?

Enter into a Retail RES submits


Supply Contract switch request to › RES submits all required
(RSC) IEMOP documents to IEMOP
› IEMOP notifies DU on
completion of switch
› Switches are executed every
26th of the month
IEMOP
(Central Registration
Body)
RCOA OVERVIEW 13

RCOA STATISTICS

Retail
1,657
Registered Contestable 33 Electricity
Suppliers
22%
Customers
1170 (1 MW) Local Retail
Energy Share
396 (750 kW)
91 (500 kW)
14 Electricity
Suppliers
As of May 2021

633 Electricity End-Users have switched Suppliers since 2014


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NEXT STEPS
› Implementation of Retail Aggregation
› Reduction of the threshold levels below 500 kW
› Full Retail Competition
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CONTACT US!
www.iemop.ph

[email protected]

@iemopinfo
WWW.IEMOP.PH | [email protected] | @IEMOPINFO

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