| This policy brief analyzes the persistent issue of high electricity costs in the Philippines, which hinders industrialization and economic development. The brief explains that despite the Electric Power Industry Reform Act (EPIRA) of 2001, which aimed to introduce competition and lower prices, the electricity market remains dominated by a few large firms. This lack of genuine competition, attributed to high barriers to entry such as substantial capital requirements, limited access to transmission infrastructure, and regulatory complexities, prevents new players from entering the market effectively. The paper recommends amending EPIRA to address these barriers, foster greater competition, and ultimately reduce electricity prices, thereby supporting the country's industrialization goals and attracting foreign direct investment. |