Officials in Bacolod City and Negros Occidental are urging the Energy Regulatory Commission (ERC) to expedite the approval of a proposed agreement between a local power distributor and a major energy producer, which is expected to lower power rates in the province.
According to Rappler, Bacolod Mayor Alfredo Abelardo Benitez and Negros Occidental Vice Governor Jeffrey Ferrer have reached out to ERC Chairperson Monalisa Dimalanta, pressing for the swift approval of the power purchase agreement between Central Negros Electric Cooperative (CENECO) and the Energy Development Corporation (EDC).
Since 56% of CENECO’s power is obtained from the Wholesale Electricity Spot Market (WESM), the arrangement, including a 20 megawatt (MW) geothermal power supply from EDC, would lessen CENECO’s reliance on WESM.
Ferrer said that in order to lessen the negative effects of the energy crisis in Negros Occidental, the commission should either authorize the proposed transaction or grant temporary permission.
The vice governor of Negros Occidental went on to say that if the proposed agreement is approved, it will reduce CENECO’s exposure to market fluctuations and guarantee that the locals will always have access to cost-efficient electricity.
Meanwhile, CENECO’s General Manager, Arnel Lapore, stressed that ERC’s approval would trigger a significant decrease in electricity rates for 170,000 consumers spanning Bacolod and neighboring cities such as Bago, Talisay, and Silay, as well as the towns of Murcia and Don Salvador Benedicto.
Due to weather-related issues and market instability, CENECO’s residential tariffs have risen to Php 15.1632 per kWh from Php 11.9566 in April.
