• CHERYL G. CRUZ
Bacolod City Mayor Alfredo Benitez and Negros Occidental acting governor Jeffrey Ferrer have asked the Energy Regulatory Commission to hasten the issuance of the provisional authority to implement the power supply agreement between the Central Negros Electric Cooperative and the Energy Development Corporation.
The grant of a provisional authority, or interim relief, will allow Ceneco to have a steady, continuous, guaranteed, and reliable source of electricity, which will immediately redound to the benefit of the consumers, in terms of providing a more affordable rate, the joint application said.
Benitez, in his May 27 letter to ERC chairperson and chief executive officer, Atty. Monalisa Dimalanta, said there have been a strong clamor of consumers from Bacolod on the high power rates of Ceneco in recent months.
“After a thorough dialogue with Ceneco officials, it is of my understanding that one of the major reasons attributed to the increase of power rates is the inaction of ERC on the joint petition filed by Ceneco and EDC on March 15, 2024,” the mayor stressed.
“Given that more than 60 days have passed since the filing of this petition clearly shows that ERC has not acted on it timely, resulting in intolerable increase in our power rates,” Benitez said and asked the Commission to “favorably act on the joint petition expeditiously”.
The ERC scheduled an online pre-trial conference and presentation of evidence May 23, after it found the joint application sufficient in form, as per its March 18 order.
Ferrer, meanwhile, said the provisional authority “is crucial, given the current state of our energy supply and economic conditions.”
“Our foremost priority is to ensure the continuous and reliable delivery of electricity to residents and businesses in our jurisdiction. Implementing the PSA between Ceneco and EDC is a critical measure to safeguard this priority,” he said in his letter to Dimalanta, also dated May 27.
Ceneco also serves consumers in the cities of Bago, Talisay, and Silay, and the towns of Murcia and Don Salvador Benedicto, all of Negros Occidental.
The PSA with EDC promises to provide electricity at the most competitive rates available, Ferrer said, adding that this will “significantly minimize Ceneco’s exposure to the Wholesale Electricity Spot Market (WESM), where electricity prices are volatile and generally higher.”
As per the joint application, 82 megawatts or approximately 52 percent of Ceneco’s demand is being sourced from the WESM, exposing the consumers to the fluctuation of spot market prices.
“There is an urgent necessity for the issuance of provisional authority, pending final resolution of the (PSA approval) application to protect consumers from the price fluctuations…while enjoying stable and reliable supply of electricity,” it added.
Ceneco’s average residential rate this billing month of May increased by P3.2066 per kilowatt-hour, which means that consumers pay P15.1632/kWh, from last month’s rate of P11.9566/kWh. | CGC
