Section 5Sec./Art. 5

Responsibility to the Public. - The Grantee shall supply electricity to its captive market in the urban and rural portions of its franchise area in the least cost manner pursuant to Republic Act (RA) No. 9136. In the interest of the public good and as far as feasible and whenever required by the the ERC, the lines, systems, and equipment for the purpose of providing efficient and reliable service and reduced electricity costs. The Grantee shall only incur reasonable and just costs for its services to all types of consumers within its franchise areas in order that businesses and industries shall be able to compete.

The Grantee is required to source and procure its power requirements in accordance with the applicable rules and regulations of the DOE and ERC: Provided, That the Grantee, immediately after the enactment of this Act, may be allowed to avail of negotiated procurement of emergency power supply under the applicable circulars, rules, or regulations issued by the DOE or the ERC, or their legal successors, allowing emergency procurement: Provided, further, That such emergency contracts shall only be for a period of one (1) year and are non-extendible and the rates must not be higher than the latest ERC-approved generation tariff for the same or similar technologies in the area.

The Grantee shall have the obligation to provide open and non-discriminatory access to its distribution system and services to any end-user within its franchise area consistent with RA No. 9136, otherwise known as the "Electric Power Industry Reform Act of 2001". The Grantee shall not engage in any activity that will constitute an abuse of market power such as unfair trade practices, monopolistic schemes, and any other activities that will hinder competitiveness of businesses and industries.