SCHEDULE of Erc Fees and Charges (22 August 2002)

(NAR) VOL. 13 NOS. 1-4 / OCTOBER-DECEMBER 2002

[ SCHEDULE OF ERC FEES AND CHARGES, August 22, 2002 ]

SCHEDULE OF ERC FEES AND CHARGES

Pursuant to the provisions of Section 54 Chapter 12, Book IV of Executive Orders Nos. 292 (Administrative Code of 1987), 218 and 197 and DOF-DBM Joint Circular No. 2000-2, the following revised schedule of fees and charges for service rendered, which was approved by the Commission at its meeting held on August 22, 2002, is hereby adopted for the Energy Regulatory Commission: WITH FEES WITHOUT FEES NATURE/NAME OF FEES LEGAL BASIS SUPERVISION SUPERVISION I. APPLICATIONS falling under the provisions of the Public Service Act (C.A. No. 146) as amended, E.O. No. 172 and R.A. No. 9136:

1. For approval or modification of Section 40(a), 16(a) Public 700 00 3,000 00 Certificate of Public Convenience and/or service Act (C.A. No. 146 as Necessity of franchised electric utilities amended); Section 43(p), R.A. in accordance with law No. 9136 2. For approval or modification of Section 43(p), R.A. No. 9136 700 00 3,000 00 Certificate of Public Convenience and/or Necessity of franchised electric utilities in accordance with law 3. For modification of license of Section 29, R.A. No. 9136 700 00 3,000 00 suppliers of electricity to the contestable market in accordance with law 4. For authority to recover stranded costs Section 33,R.A. No. 9136 700 00 3,000 00 by distribution utility 5. For authority to recover cost and Section 43(q), R.A. No. 9136 700 00 3,000 00 return on demand side management projects:

6. For approval of any changes on the Section 43(h), R.A. No. 9136 terms and conditions of service of the:

(a) TRANSCO or (a)700 00 — —

(b) any distribution utility (b)700 00 3,000 00 7. For approval of reappraisal of the Section 43(i), R.A. No. 9136; elegible assets of: Section 17(c), Public Service Law (C.A. No. 146) (a) TRANSCO or (a)700 00 — —

(b) any distribution utility by an (b)700 00 3,000 00 independent appraisal company 8. For authority to improve or expand Section 9(d), R.A. No. 9136; 700 00 — — TRNSCO’s transmission facilities with Section 20(b),Public Service the Grid Code and the Transmission Law (C.A. No. 146) Development Plan(TDP) 9. For authority for the increase of Section 40(g),Public Service 700 00 3,000 00 equipment, construction, operation and Law (C.A. No. 146)installation of new units, increase of capacity or the extensions in the service 10. For authority to revise schedule of Section 19, 24 25, 36 and 43 700 00 3,000 00 transmission charges, distribution (u), R.A. No. 9136; Section wheeling rates/retail rate for captive 16(c) 20(a),Public Service Law market and unbundling of rates and (C.A. No. 146) functions 11. For authority to sell, alienate, Section 20(g), C.A. No. 146 as 700 00 3,000 00 mortgage, encumber, or lease its amended; Section 43(p), R.A. property, franchise, certificate, privileges No. 9136 or rights or any part thereof, merge or consolidate its property, franchise, certificate, privileges or rights or any part thereof, together with CPC/CPCN with any other utility/public service 12. Authority to issue or increase capital Section 20(e), 40(f), C.A. No. 700 00 3,000 00 stock 146 II. APPLICATION FOR THE Section 8, E.O. No. 172; 500 00 2,100 00 PROVINCIONAL APPROVAL OF THE Section 44, R.A. No. 9136; ABOVE-MENTIONED Section 16©, C.A. No. 146 as APPLICATIONS/PETITIONS, IF amended FILED SEPERATELY

III. APPLICATION FOR EXTENSION 500 00 1,500 00

OF TIME WITHIN WHICH TO SUBMIT ANNUAL REPORT OR FINACES AND OPERATIONS COVERING A PERIOD OF TWELVE MONTHS ENDING DECEMBER 31 OF EACH YEAR

IV. ANY APPLICATION OTHER 500 00 1,500 00

THAN THE ABOVE

In the above-mentioned applications under Items I, II, III, and IV:

a) UTILITIES that are paying Supervision Fees, are charged only the Supply Material Expenses component of the fees but not the Salary Expense component of the fees which is already included in the Supervision Fee.

b) UTILITIES that are not paying the Supervision Fees, are charged the full costs of the services rendered. The fees and charges are user charges which are commensurate with the benefits received from services rendered. ITEM IV-A — Application for Certificate of Compliance (COC) ITEM V — Supervision/Regulation Fee ITEM VI — Certificate of Compliance/License Fee ITEM VII — Issuance or Increase of Capital Stock ITEM VIII — Increase of Equipment etc. NAME/NATURE OF FEES Legal basis Amount of Fees IV-A, For the Issuance of Certificate of Compliance (COC) (for 5 years Section 6, R.A. No. 9136 P 10,000 (exclusive of actual duration) pursuant to the standards set for the generations of electric cost of a technical power audit/evaluation) V. Supervision and Regulation Fee: Section 40(e) C.A. No. 146 as amended; Section 43 (b) (f) (k) and (s) R.A. No. 9136For annual reimbursement of the expenses incurred by the Commission in the supervision of electric utilities transmission companies and/ or in the regulation or fixing their rates For each one hundred pesos or fraction thereof, of the capital stock subscribed or paid, or if no shares have been issued of the capital invested or of the property and equipment whichever is higher. The said fees shall be paid on or before September 30th of each year with a penalty of fifty per centum in case of delinquency; Provided, further, that if the fees or any balance thereof are not paid within sixty days from the said date, the penalty shall be increased one per centum for each month of delinquency thereafter.

VI. License Fee: Section 6, 29 and 43(p), R.A.

No. 9136 Supplies shall pay license fee on an annual basis and payable in four equal installments each year, computed as follows: For each one hundred pesos or fraction thereof, of the capital stock subscribed or paid, or if no shares have been issued of the capital invested, or of the property and equipment, whichever is higher.

VII. For the issue or increase of capital stock Section 40(f) 20(e), C.A. No. 146 or VIII. For each permit authorizing the increase of equipment, the Section 40(g) C.A. No.146; installation or new units or authorizing the increase of capacity or the Section 43(p) R.A. No. 9136 extension of means of general extensions in the service. For each one hundred pesos or fraction thereof the increased capital 0.75 IX. LABORATORY FEES, for the inspection and certification of watthour meters made in the meter laboratory of the Commission are as follows: (Sec. 16(f) and 40(h) C.A. No. 146 as Amended and sec, 43(b) R.A. No. 9136).

WITH WITHOUT WHOLESALER/ LIFELINE SUPERVISION SUPERVISION RATE FOR ANS AND RETAILER/ RESIDENTIAL REGUALTION REGUALTION CONSUMERS FEE FEE DEALER FEE

1. For Single Phase Meter a) Single Phase 20 00 60 00 60 00 20 0 b) Single Phase with Demand 30 00 90 00 90 00 - -c) Single Phase with Electronic 190 00 270 00 270 00 Demand 2. Polyphase Meter -Electro Mechanical/Panel Board (2 Stator) a) Without Demand 60 00 170 00 170 00 - -b) With Demand 70 00 200 00 200 00 - -c) With Electronic 235 00 380 00 380 00 - - -Electro Mechanical/Panel Board (2 Stator) a) Without Demand 80 00 220 00 220 00 b) With Demand 90 00 250 00 250 00c) With Electronic 255 00 430 00 430 00 3. Electronic meter 455 00 630 00 630 00 4. Integrating Pulse Meter 765 00 1,480 00 1,480 00 5. Watt-hour Meter Standard a) Mechanical 105 00 280 00 280 00 b) Electronic 455 00 630 00 630 00 6. Other Metering Instrument 455 00 630 00 630 00 UTILITIES that are paying Supervision Fees, will be charged only the OPERATING EXPENSES component of fee in the testing and calibration of single phase meters, electronic meters (single phase and polyphase) and other electronic standard or equipment. But when Special Testing Equipment (STE) will be used in the process, the ADDITIONAL cost component of the fee will likewise be charged. UTILITIES that are not paying the Supervision Fees, will be charged with the full cost of the testing and calibration of single phase meters, electronic meters (single phase and polyphase) and other electronic standard or equipment. LIFELINE RATE consisting of the OPERATING EXPENSE component of the testing fee will be applied to single phase meters used by residential consumers. Applicable to meters brought into the laboratory by walk-in residential consumers. WHOLESALERS/RETAILERS/DEALERS, who are engaged in the business of selling kilowatt-hour meters will be charged the full costs of service rendered in testing and calibration of meters, namely: Salary Expense, Operating Expense and Additional cost expense for the use of Special Testing Equipment (STE) in the process.

7. SPOT TEST — Inspection or certification made outside the meter laboratory of the Commission [Section 40(h), C.A. No. 146].

a) SPOT TEST OUTSIDE METRO MANILA Laboratory fee per meter plus Field Testing Charge equivalent to actual expenses incurred by the Engineer assigned in the spot test of meters for those utilities without supervision fees and for the wholesalers, retailers and dealers.

b) SPOT TEST WITHIN METRO MANILA Laboratory fee per meter plus additional two pesos (P2.00) per meter to cover the expenses of the assigned Engineer in the spot test of meters for those utilities without supervision fee and for the wholesalers, retailers and dealers.

X. CERTIFICATION ISSUED Section 40(i), C.A. No. 146 as amended; P25.00

Section 44 and 80, R.A. 9136 XI. CERTIFIED copies of official Section 40(i), C.A. 146 as amended; P5.00 documents in the files of the Commission Sections 44 and 80, R.A. 9136 This new schedule of revised rates, which supersedes the 1985 ERB Schedule of Fees and Charges, shall become effective 15 days following the publication in a newspaper of general circulation in the Philippines. Adopted: 22 Aug. 2002(SGD.) FE B. BARIN Chairman

(SGD.) MARY ANNE B. COLAYCO (SGD.) OLIVER B. BUTALID Commissioner Commissioner

(SGD.) CARLOS R. ALINDADA (SGD). LETICIA V. IBAY Commissioner Commissioner