• GILBERT P. BAYORAN
The Energy Regulatory Commission (ERC) has approved the interim power supply agreement of Central Negros Electric Cooperative (Ceneco) with the Energy Development Corp. (EDC), which is seen to arrest the increasing electricity rates in Negros Occidental.
Bacolod City Mayor Alfredo Abelardo Benitez and Negros Occidental Vice Governor Jeffrey Ferrer earlier called on the ERC to favorably act on the joint petition filed on March 15 by Ceneco and EDC.
Ceneco sought a provisional authority from ERC for additional 20 megawatts of power to be supplied by EDC.
In a letter to ERC chairperson Monalisa Dimalanta, Benitez said “more than 60 days have passed since the filing of this petition clearly shows that ERC has not acted on it timely, resulting in an intolerable increase in our power rates.”
Benitez urgently requested the ERC to address the matter swiftly to provide Bacolodnons relief from the rising electricity costs.
In a statement, ERC said it gave interim relief for EDC to supply power to Ceneco at the rate of P5.5657 per kilowatt hour.
It added that the action on the power supply agreement is expected to reduce Ceneco’s generation rate amid the high electricity prices in the province as well as mitigate its exposure to the Wholesale Electricity Spot Market (WESM), where the electric cooperative is buying almost 74 percent of its supply.
ERC further said that the grant of approval imposes obligation on EDC to provide replacement power to Ceneco.
The ERC also noted that the final generation cost that EDC can charge is still subject to review by the Commission.
If the final approved rate is lower that the provisional rate granted, the EDC is duty bound to refund Ceneco, and Ceneco is also mandated to credit the same in the electric bills of consumers, ERC further said. | GB
