WITHOUT a doubt, the expansion is inevitable and it’s probably the biggest step to progress for the Province of Iloilo since rural electrification changed the lives of the natives from lighting a candle in the dark to the modern conveniences of electricity in the 20th century.
Now, they’re poised to move up to the 21st century as all stops have been hurdled, the inevitable is about to happen much more sooner than later. And this is what we’re talking about:
The Supreme Court (SC) recently upheld the franchise expansion of MORE Electric and Power Corporation (MORE Power) in Iloilo Province, solidifying its authority to operate in its newly expanded franchise area.
The landmark decision was promulgated on July 30, 2024, published January 15, 2025, in that the SC En Banc ruled electric cooperatives do not hold a constitutional right to exclusive franchises within their respective coverage areas.
The ruling also dismissed the petition filed by Iloilo Electric Cooperative, Inc. (ILECO) I, II, and III challenging the constitutionality of Republic Act (RA) No. 11918 which extends MORE Power’s franchise beyond Iloilo City covering 15 municipalities including component city of Passi, areas previously under ILECO’s exclusive coverage.
Section 11, Article XII of the Constitution prohibits exclusive franchises, meaning franchises are privileges granted by the state to serve the common good as determined by Congress.
In thesaid ruling, the SC stressed that public utilities must prioritize public interest, noting that competition can improve services and reduce electricity costs.
Likewise, the decision also aligns with the Electric Power Industry Reform Act (EPIRA), which encourages competition in the electricity industry, bearing in mind that the entry of MORE Power benefits consumers by offering a choice and avoiding monopolistic pricing, and also providing a safety net when the three ILECOs’ franchises expire and might not be renewed.
MORE Power president/CEO Roel Castro said the company’s expansion plans were already in motion prior to the passage of RA 11918.
MORE Power has extended primary lines to the boundary of Iloilo City and Pavia as the jump-off point for their expansion using the Megaworld substation in Mandurriao district as the main supply point for Pavia, Iloilo due to its proximity.
Once it started, the expansion would take four to five years to complete, with an initial investment of P2 billion to P2.5 billion.
Despite this obvious victory and magnanimous as always, Castro expressed willingness to collaborate with the ILECOs for the benefit of consumers, allowing them to choose their preferred power distribution utility.
The benefits of this inevitable expansion to the 15 municipalities and component city of Iloilo Province are quite obvious, one has only to look at Iloilo City after five years under the watch of MORE Power as its sole power distribution utility.
I suppose I need not mention that the entry of Primelectric Holdings Inc. a subsidiary of MORE Power, in the joint venture agreement with CENECO resulting into Negros Power has literally save Bacolod and nearby cities in Negros Occidenal from darkness.
MORE Power has provided Iloilo City residents the lowest power rates in the country and still maintains a reasonable low rate despite all the geopolitical upheavals that affected the cost of power worldwide.
MORE Power’s key projects, including the P95-million underground distribution system, illumination of historical plazas/churches, various outreach programs i.e. mangrove planting, clean-up drives, and the annual release of fingerlings into the Iloilo River.
According to a study by the University of Asia and the Pacific (UA&P), MORE Power has contributed P4.99 billion to the Iloilo City economy.
The 3.8% gross domestic product growth of Iloilo City can be attributed to the reliable service provided by MORE Power as an electric distribution utility. The study also found that MORE Power has generated 2,200 jobs annually and contributed P1.75 billion in revenue to the city from 2020 to 2022.
As “I Am Iloilo City” Mayor Jerry Treñas said; “MORE Power is an indispensable partner in the city’s economic development.
Indeed, well played./PN
