BACOLOD City – A significant electricity rate hike at the Central Negros Electric Cooperative (Ceneco) has been largely attributed to the Energy Regulatory Commission’s (ERC) delay in approving a crucial power supply agreement.
In a letter addressed to Monalisa Dimalanta, the ERC’s chairperson and chief executive officer, Bacolod City’s Mayor Alfredo Abelardo Benitez highlighted the consumer outcry over soaring power rates in recent months.
The mayor revealed that discussions with Ceneco officials pointed to ERC’s inaction on a joint petition with the Energy Development Corporation (EDC) as a primary cause for the rate increase.
The petition, filed on March 15, 2024, under ERC Case No. 2004-038 RC, sought approval for a power supply agreement between Ceneco and EDC.
More than 60 days have elapsed since the filing, with no action from the ERC, leading to “intolerable increases” in power rates, stated Mayor Benitez.
He urged the ERC to expedite the approval process to alleviate the financial burden on consumers.
Further complicating the issue, the ERC had temporarily suspended operations at the Wholesale Electricity Spot Market (WESM) following a red alert declaration by the National Grid Corporation of the Philippines (NGCP). Although this suspension was intended to stabilize prices, the anticipated rate reductions have not materialized, adding to the local grievances.
Arnel Lapore, Ceneco’s acting general manager, noted that the cooperative is awaiting ERC’s decision on their petition. Approval is critical as it could help reduce electricity rates, with the contracted price set at P5.56 per kilowatt hour for a 20-megawatt supply agreement with EDC.
Ceneco serves several areas in Negros Occidental, including Bacolod City, and the cities of Bago, Talisay, and Silay, as well as the towns of Murcia and Don Salvador Benedicto./PN
