Ceneco open to hearings surrounding P232M passed on to member-consumers

Posted by watchmen
November 23, 2017
Posted in HEADLINE

Release: Recent power interruptions due to repairs, upgrades

By Paulo Loreto Lim

 

With both advocacy groups and the Bacolod City Sangguniang Panlungsod (SP) calling for hearings into the Energy Regulatory Commission (ERC) allowing the Korean Electric Power Corporation-Salcon Power Corporation (Kepco-SPC) and the Central Negros Electric Cooperative, Inc. (Ceneco) to collect P232 million from member-consumers, Ceneco President Roy Cordova said he is open to hearings.

“We welcome any inquiry on the matter,” he asserted.

“I will ask the Energy Regulatory Commission that any hearing, which will be conducted pertaining to the matter, [be] held here in Bacolod City,” the Ceneco official added.

Last month, Power Watch Negros (PWN) expressed their opposition to the decision, with Secretary-General Wennie Sancho calling the move an “injustice” to Ceneco consumers.

He explained the concept of a power sales contract, sometimes referred to as a power purchase agreement, which is when two parties determine the commercial terms of an arrangement to generate and purchase electricity. The said agreement resulted in P232 million worth of “unnominated contract quantities.”

“This is incompetent contracting,” Sancho said. “Why penalize the consumers for the inefficiency of the Ceneco board?”

The SP likewise passed a resolution requesting the ERC to conduct hearings.

The decision was expected to add an 8¢ per kilowatt-hour (kWh) charge to consumer bills, however, Cordova earlier put the increase on hold temporarily.

Meanwhile, amid the recent spate of power outages occurring throughout Bacolod City, Ceneco also put out a release explaining why power interruptions have been taking place, citing “repair and upgrading activities.”

They noted, new 69-kilovolt transmission poles were being installed, along with transferring wires to the new poles. The utility co-op explained, “Ceneco needs to partially cut-off electricity to ensure the safety of Ceneco crew.”/PLL, WDJ

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