BY ERWIN ‘AMBO’ DELILAN
“MADLANG PIPOL” here’s another bad, bad, bad news! Per reliable information, power rates in Negros and Panay will spike anew this September.
So, whether we like or not, let’s face the so-called “Bill Bill Bill” regarded as worse than the novel coronavirus disease of 2019 (COVID-19).
The very reason is that the Wholesale Electricity Spot Market (WESM), the current power supplier for distribution utilities (DUs) in Negros and Panay, charges another round of increase both in power purchased and line rental.
In effect, the DUs like the Negros Occidental Electric Cooperative (Noceco), Northern Negros Electric Cooperative (Noneco) and Central Electric Cooperative (Ceneco) will also jack their power rates up this month.
If we’re irked with the 30 to 35 percent spike in August, let’s brace for more or less 70 percent hike this September.
The September billing will gonna be another “creepy” item in every household.
Question: What are the move(s) of Negros electric coops’ executives or politicos?
In Iloilo, Gov. Arthur Defensor Jr., Iloilo City’s Rep. Jamjam Baronda, Pavia’s Councilor Dan Fajardo II, among others, are already vocal about the power issue.
Iloilo City’s lone DU, MORE Power, is also active in appealing before the Energy Regulatory Commission (ERC) for possible “relief” for the benefit of its consumers.
Ilonggo execs want the ERC and the Department of Energy (DOE) to look into the matter as soon as possible.
On the contrary, however, their Negros’ counterparts seem to be “bulag, pipi at bingi” with the current power rate hullabaloo.
FORTUITIOUS EVENT
Why must Negros and Panay coops’ execs and politicos act together in this uproar?
For the information of everybody, the causer of the problem is considered a fortuitous event. Thus, people (really) need not to suffer from the extortionate power rates hike.
It was clear that the Department of Public Works and Highways (DPWH) is the “culprit” that damaged the high-voltage submarine cable of the National Grid Corporation of the Philippines (NGCP) somewhere in Amlan, Negros Oriental on June 15, 2021. As a result, such submarine cable could no longer relay power from Cebu and Leyte to Negros and Panay unless fixed soonest. Repairs are ongoing yet projected to finish may be next year.
This “odd” scenario, therefore, prompted all DUs in Negros and Panay to buy power from WESM after their Cebu and Leyte suppliers is rendered “inutile” – for the meantime.
The problem is, WESM rates are too high, plus there’s the “absurd” line rental.
From Aug. 21 to 27, 2021, WESM pricing ranges from P14.214 per kilowatt hour (kWh) to as high as P32/kWh in some trading intervals. Hence, one of the chain effects is also the spiraling of power rates per DU.
The end-effect: consumers will burden everything.
Is there any remedy?
Yes, it’s within the orb of ERC’s mandated power.
It’s only the ERC that can order the Philippine Electricity Market Corp. (PEMC) to stop WESM from trading power to Negros and Panay DUs at higher rates using the customer-friendly formulas.
Yes, price mechanisms in WESM were (already) approved by the ERC, but the current brouhaha caused by the ill-fated NGCP’s submarine cable is a serious problem. It is foreseeable to extend maybe next year. Thus, an extreme modal separation in the Visayas grid caused by the sea mishap in Amlan also resulted to an abnormal surge in the line rental of WESM.
Power price congestion, therefore, should not be applied, encumbering consumers – to the maximum level.
ERC, by all means, must revisit its very mandate – promote free and fair competition and ensure reasonable rates through the exercise of prudent and equitable judgment.
PRESSURING ERC
How?
Simple! Negros and Iloilo politicos as well as DUs’ execs must lodge an appeal in unison with no “buts” and “ifs” with the ERC to act now on the problem.
Though I was informed that ERC already asked PEMC to explain about this problem, it’s better if there’s political pressure on the part of ERC.
Negros and Iloilo politicos really need to poke the hammer now on the door of ERC chairwoman Agnes Devanadera. This, as Energy secretary Alfonso Cusi ain’t reliable at this time because he’s so busy in politics than on energy matters.
Cusi is the current chair of the controversial PDP-Laban (Partido Demokratikong Pilipino-Lakas ng Bayan).
FORCELESS, PLANLESS
Noceco, on the other hand, wants ERC to approve their Competitive Selection Process (CSP) for 7 to 12 MW (megawatts) buffer power reserve. It already submitted its CSP to ERC three years ago, but (until now) still to no avail.
With the current situation, Noceco’s execs believe ERC needs to approve now their pending CSP so they can contract power with Panay Power Corporation (PPC) as what was stated in their Term of Reference (TOR).
If it happens, such could cause sudden relief to their consumers since it will cease buying power from WESM as soon as possible.
Aside from its pending three-year-old CSP, Noceco’s officials are also planning to conduct another CSP for additional 10-MW as standby supply once its contract with Cebu-based Korean Power Corporation (Kepco) expires next year. In fact, they’re readying now their TOR for this another CSP to be submitted to the DOE for approval.
On the other hand, Bacolod City’s Mayor Bing Leonardia reportedly coordinated with Ceneco’s officials regarding this matter. Ceneco’s Board president Jojit Yap said Mayor Bing already promised to help them appeal with ERC.
As of this writing, Yap said they’re holding a Ceneco 101 forum in Bacolod regarding the current situation, rates increases and power outages. Noneco, on the other hand, remains “forceless” and “planless” amidst power rates rumpus.
Noneco’s PR Department seems to be “disoriented” and “disconnected” with the real issue.
Both Ceneco and Noneco are under the tutelage of Atty. Dan Pondevilla as general manager and project supervisor.
RESIGN PONDEVILLA RESIGN
Meanwhile, some progressive groups in Bacolod and NegOcc are mulling to stage a caravan and street protest against Pondevilla before Ceneco’s annual general membership assembly (AGMA) on September 24, 2021. They will publicly demand for Pondevilla’s immediate resignation.
Among their bantering lines are: “No to privatization!”, “No to over- charging!” and No to over-pricing!” and “Resign Pondevilla Resign!”
The progressive groups believe that Pondevilla is “inefficient” in overseeing both Ceneco and Noneco.
Pondevilla can’t be reached for comment as Yap said he’s still on official travel.
EXCRUCIATING PAIN
Well, doing nothing amidst the power tumult is tantamount to insensitivity. Allowing consumers to bear “excruciating pain” by way of extortionate rates for several months is like “burying them alive” six feet below the ground.
Negros’s politicos and DUs’ executives must bear in minds that power is essential in all aspects and with the current health pandemic. They, too, for sure, were also affected by the spiraling rates.
But just to be “deadma” is something bizarre. Elections, however, can be smelled now. Power rate hike is one potent issue to be raised during campaign period. And those who are “naïve” today will surely get his/her “undesirable prize” tomorrow./PN
