Meralco has formally asked the Court of Appeals to lift the Temporary Restraining Order (TRO) it issued in favor of South Premiere Power Corporation (SPPC), and to deny the generation company’s application for a writ of preliminary injunction (WPI).
In its motion dated December 19, Meralco cited the disruption of basic and essential services being rendered by SPPC, contrary to the objective of the TRO, and to the detriment of millions of Filipinos served by the power distributor.
“With due respect, the grant of the TRO was not in furtherance of the ‘interest of the general public’,” Meralco said.
The TRO led to the cessation of 670 MW supply that SPPC was obligated to deliver under its Power Supply Agreement (PSA), which has a lower rate compared to the Wholesale Electricity Spot Market (WESM) and the Emergency Power Supply Agreement (EPSA) where Meralco currently sources the replacement power.
Meralco added that the “Honorable Court should lift the TRO and direct for the parties to continuously implement the PSA in order to bring back the scenario that would serve and protect the public from the unnecessary burden of increased electricity costs.”
Meralco also emphasized that Republic Act No. 9136 or the Electric Power Industry Reform Act of 2001 (EPIRA) expressly states that supply sector is a business affected by public interest, and therefore SPPC’s rights and interests “must give way to serve a higher end for the interest of the public.”
In opposing the injunctive relief sought by SPPC, Meralco said it intends “to protect the public and in accordance with its obligation to provide its customers with the least cost of electricity.”
The motion it filed is based on the following grounds:
(i) The injunctive relief reverses the status quo ante instead of preserving it contrary to its principal purpose of preserving the rights of the parties;
(ii) The grant of the TRO/WPI will render the main case moot and academic contrary to established jurisprudence;
(iii) The grant of the TRO/WPI will result in a pre-judgment of the main case which is prohibited by Supreme Court decisions;
(iv) The TRO and WPI are improper remedies since these are inconsistent with the ultimate relief being sought by SPPC which is the approval of the application for price adjustment it had filed with the ERC for the period January to May 2022;
(v) The grant of the TRO/WPI will cause prejudice to the consumers contrary to EPIRA and the intention of the Court of Appeals as expressed in its decision on the issuance of the TRO;
(vi) SPPC has no clear legal right to the grant of the TRO and issuance of the WPI since its right to the price adjustment is in contention and the principal issue of the main case; and
(vii) SPPC failed to demonstrate that it will suffer grave and irreparable injury if the injunctive reliefs are not granted since the “damage” claimed by SPPC, by its own admission, is clearly measurable or capable of arithmetic calculation for the period covered by the application for price adjustment or from January to May 2022.
Meralco assures all its stakeholders that it is exhausting all measures to continue delivering sufficient, reliable and least cost power to its 7.6 million customers.
