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‘Irregular’ power supply contract questioned

Central Negros Electric Cooperative’s 20 megawatt power supply contract (PSA) that was already delivered by Palm Concepcion Power Corp. (PCPC) on July 26 must be subject to public scrutiny particularly from the 210,861 consumers in its franchise area.

“We had enough sufferings already and we have been carrying the heavy burden of exorbitant cost of electric rates and other pass-on-charges due to the lop-sided and spurious contracts of power supply,” Power Watch Negros secretary general Wennie Sancho said in a press release.

Sancho said it is imperative that this alleged “irregular” contract should be evaluated in the next public hearing requested by Power Watch Negros on September 7, in a letter to Councilor Claudio Puentevella, chairman of the Sangguniang Committee on Energy and Public Utilities, dated August 29.

He wants to know what is the cost implication of the 20 MW power supply contract to consumers and why did the members of the Board of Directors (BOD) approve the contract at a higher price of P10 to P13 per kWh when there were lower rates lower, he said.

Sancho said the members of the BOD and top electric cooperative (EC) officers, who are privy to this contract, have a lot of explaining to do.

He lamented that they (BOD and EC officers) have the penchant to approve power supply contracts surreptitiously and before they knew it, the power supply contracts have been implemented and the capacities already delivered, he said.

“Again, we were hoodwinked in the process and the substance of the power supply that we have to pay whether we use it or not, ” Sancho said adding that they have been doing this time and again so, we must question them in the public hearing.*

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