By Dominique Gabriel G. Bañaga

The Central Negros Electric Cooperative (Ceneco) yesterday denied the allegations being thrown to them by Power Watch Negros that the contract extension for the 20 megawatts of power supply from KEPCO SALCON Power Corporation was overpriced.

According to Ceneco General Manager, Atty. Dan Pondevilla, the P5.42 per kilowatt hour is the price for the 20 megawatts one-year extension of contract with KEPCO, after their previous 40 megawatts contract expired last May 25.

Pondevilla said the rate is approved by the Energy Regulatory Commission (ERC) based on the previous contract.

Pondevilla further explained the P3.29 per kilowatt hour that was stated by Power Watch Negros lead convenor Wennie Sancho was the lowest bid that was also given by KEPCON SALCON during the Competitive Selection Process last month.

However, the contract was not awarded as they were also considering another offer by a renewable power company which is priced at P3.31 per kilowatt hour.

Pondevilla explained even though it is two centavos more expensive, they have expressed interest with the offer especially since renewable energy is more sought after today.

He added they have already asked the Department of Energy for their own opinion on the matter.

Pondevilla further stated that they have to choose and award the contract on the right energy source, as after it is done it would last for at least 10 years.

Sancho had earlier forwarded a letter to Negros Occidental 3rd District Rep. Francisco “Kiko” Benitez seeking a possibility of holding a congressional inquiry over the alleged overpricing.

Sancho pointed out the overpriced contract extension would leave a P4 to 5 million monthly loss for Ceneco’s power consumers, which further amounts to P300 million in one year.

The 20 megawatts power supply was bought by Ceneco from KEPCO SALCON as an extension after its 40 megawatt contract expired last May 30./DGB, WDJ