INDEED, we’re talking more about the expansion forays of MORE Power and Electric Corporation a.k.a. MORE Power duly declared valid by the Supreme Court, into Iloilo Province, Bacolod and nearby cities in Negros.
The Supreme Court upheld the franchise expansion of MORE Power, saying that electric cooperatives do not have a constitutional right to an exclusive franchise within their coverage areas.
In an en banc decision the high court dismissed the petition of Iloilo Electric Cooperative, Inc. I, II, and III, which questioned the validity of Republic Act No.11918, the law that allows MORE Power franchise into several towns in Iloilo Province.
“A franchise, as a privilege granted by the state, is not the exclusive private property of the franchisee. Thus, it must yield to serve the common good, as determined by Congress,” says the SC decision.
Meaning, MORE Power can now expand its service into the towns of Alimodian, Anilao, Banate, Barotac Nuevo, Dingle, Dueñas, Dumangas, Leganes, Leon, New Lucena, Pavia, San Enrique, San Miguel, Santa Barbara, and Zarraga, and Passi City.
That decision of the Supreme Court was very much welcome by the people of the 1st, 2nd, 3rd, 4th, and 5th districts of Iloilo including their local government executives/representatives who started this initiative.
Pavia’s Sangguniang Bayan (SB) recently approved unanimously a resolution, calling for the hastening of MORE Power’s expansion into 15 municipalities, and Passi City, in Iloilo Province.
According to authors SB members Daniel Fajardo II and Jose Maria Trimañez, the resolution urges MORE Power to not only broaden its operations in Pavia but also to consider a joint venture agreement with Iloilo Electric Cooperative 1 (ILECO 1).
The Resolution cited MORE Power’s recent successful collaboration with the Central Negros Electric Cooperative in Bacolod City and Negros Occidental under the Negros Electric and Power Corporation franchise. (PN8/15/2024)
Obviously, we can’t say the same for the folks at ILECO 1, 2 and 3 as they considered RA 11918 a threat to their very existence. Now, they are studying the Supreme Court’s ruling before initiating their next legal moves.
Really, the highest court has decided, what’s next? Appeal to God?
Along the way, the ILECOs issued a challenge to MORE Power.
“They have to comply with the promise of a six pesos rate when they applied for expansion to some parts of Iloilo province. People are expecting six pesos per kWh rate,” said Engr. Jose Redmond Eric Roquios, general manager of ILECO II. (PN9/92024)
MORE Power has already brought down the rate in Iloilo City to six pesos per kWh rate, meaning they have done it before and are very much capable of doing so in the expanded areas given the right circumstances.
Meanwhile the latest rates affected by the spike in distribution charges, ILECO 1, 2, and 3 rates for their consumers hover between P13.3297 and P16. 2561 per kWh, while MORE Power’s rate stands at a low P12.8566, still the lowest in Panay Island with ILECO 2 at the highest with P16.2561 per kWh.
Congratulations, ILECO 2 for maintaining the highest rates for Panay Island!
Moving on, President Ferdinand Marcos Jr. has approved the franchise for Negros Electric and Power Corporation (NEPC) to manage/operate the electricity distribution system in Central Negros.
A day before it would have lapsed into law, the President signed Republic Act No. 12011.
Fifteen days after publication in the Official Gazette or a newspaper of general circulation, this legislation will come into effect.
Negros Power will then apply for a Certificate of Public Convenience and Necessity (CPCN) from the Energy Regulatory Commission (ERC) to commence official operations.
NEPC a.k.a. Negros Power, a sister company of MORE Power, is a joint venture company between Primelectric Holdings Inc. (PHI) and Central Negros Electric Cooperative (CENECO), established to enhance power distribution/customer service for the cities of Bacolod, Bago, Talisay, Silay, and municipalities of Murcia, and Don Salvador Benedicto.
PHI will acquire all power distribution assets of CENECO valued at over P2 billion, with 70% in cash and the remaining 30% as CENECO’s share in NEPC.
Negros Power has allocated an initial capital of P2 billion for a five-year plan to rehabilitate/modernize the electric infrastructure, to establish a robust distribution system.
Well played, indeed./PN
