The Energy Regulatory Commission (ERC) has lifted its suspension of the Wholesale Electricity Spot Market (WESM), allowing power trading to resume as of Friday. The suspension, which lasted over a month, was initially imposed due to surging fuel prices.
WESM serves as a platform for electricity producers and distributors to trade power, helping to stabilize supply. ERC Chair and CEO Francis Saturnino Juan stated, "After a thorough review, the Commission has concluded that resuming normal WESM operations is the most suitable course of action at this juncture. This will allow electricity prices to more accurately mirror current market conditions while maintaining consumer protection safeguards."
Juan also noted that while the temporary pricing mechanism was effective during the emergency, extending its use could lead to unintended settlement charges. The ERC cautioned that it may reimpose administered prices if circumstances warrant.
Related: ERC suspends power spot market operations amid energy crisis