SOMETHING’S afoot that probably has more effect to the natives of “I Am Iloilo City” than the presidential trip to the United States, the speech in the United Nations and meeting with US President Joe Biden which made critics of President Bongbong Marcos eat their words.
Of course, you know what I’m talking about, and that’s the recent spike in electric rates.
Most of us had hardly noticed it considering we had the lowest electrical rates in the country at P6.45/kWh courtesy of MORE Power.
But in the past months the rates have been going up slowly, mostly affected by geopolitics, the volatile world market, etc.
Perhaps because unlike our neighbors in the Visayas, the rates of “I Am Iloilo City” never reached the P10/kWh mark, our latest because of this creeping hike in power rates is P9.14/kWh and then this happened.
MORE Power, the city’s sole power distributor, announced that it will increase its power rate by P3.34 more per kWh starting this September, which means that the rate for September billing would already be P12.48 per kWh.
Check out these excerpts from the Sept. 22, 2022 issue of Panay News:
More Power rate still one of lowest as electricity rates in Visayas surge
In the Visayas, the average power rate for residential consumers is P18 per kilowatt-hour (kWh).
There has been an increase of around P5 per kWh since February this year due to the continuing oil price hikes and weakening of the peso against the dollar.
This southern city’s sole power distributor, MORE Electric and Power Corporation (MORE Power) which had the lowest power rate in the country in previous months, was not also spared from this. Yesterday, it announced an increase in its power rate by P3.34 more per kWh this September.
From P9.14 per kWh in the previous month, the rate for September billing would be P12.48 per kWh.
Despite this, MORE Power remains to have one of lowest power rates in the Visayas, if not in the whole country, based on the latest available and published rates of private distribution utilities and electric cooperatives in the Visayas (from highest to lowest):
* NORECO 1 in Negros Oriental – P 18.11
* NORECO 2 in Negros Oriental – P17.84
* BOHECO in Bohol – P17.2086
* LEYECO V in Ormoc City – P17.03
* ANTECO in Antique – P16.19
* CENECO in Bacolod City – P15.39
* VECO in Cebu City – P15.37
* AKELCO in Aklan – P15.11
* NOCECO in Negros Occidental – P14.97
* ILECO 2 in Iloilo – P14.90
* ILECO 3 in Iloilo – P14.61
* CAPELCO in Capiz – P14.60
* ILECO 1 in Iloilo – P13.46
* MORE in Iloilo City – P12.48
* GUIMELCO in Guimaras – P12.17.
The increase in power rates is mainly due to the high coal prices in the global market coupled with the weakening of the peso against the dollar.
The triggers are the halt in coal exportation from other countries and Russia’s invasion of Ukraine which is one of the world’s largest suppliers of coal.
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So don’t panic because we’re not doing badly. Despite this increase we’re still doing OK. Most of our neighbors’ rates are hovering between a high of P18/kWh to P14, so at P12/kWh. We’re not so bad, in fact we’re good.
Take note also that in the last 14 months, the natives of “I Am Iloilo City” have enjoyed the lowest electric rate as a result of the company’s efforts to source the most cost-effective power generation supply and this can be equated in terms of millions of savings which had tremendously helped during the pandemic and recovery when the effects of the pandemic eased down.
Despite this increase, we can be assured that excellent service and ongoing rehabilitation and upgrading of the city’s distribution facilities will not be affected. In fact the investments already amounting in billions i.e. the brand new sub-stations, state of the art control center are already in place.
MORE Power has no control on what’s happening in geopolitics, the volatile world market and the recent spike in peso to dollar exchange. But what we can be assured of is that MORE Power has control over excellent customer service and will continue if not improve its day-to-day dealings with the consumers of Iloilo City.
At the end of the day let’s trust MORE Power to find ways to sort out this temporary setback i.e. rate increase to bring it back to something we’re all comfortable with./PN
