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PNOC allots P7.8B to improve Negros' power supply
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Tuesday, October 18, 2005
PNOC allots P7.8B to improve Negros' power supply
By Erwin Ambo S. Delilan

TO THWART any power shortage in the next two years, the Philippine National Oil Company-Energy Development Corp. (PNOC-EDC) has allotted P7.8 billion for an enhanced geothermal power generation in Negros island.

This was disclosed by Central Negros Electric Cooperative (Ceneco) president Ed Guillem as he also announced last night that Ceneco will start buying power from PNOC-EDC in January 2007.

Guillem said Ceneco and PNOC-EDC have signed a memorandum of agreement on the generation of power supply come 2007.

Under the MOA, the PNOC-EDC will supply 40 megawatts more to Ceneco. At present, the National Power Corp., through Generation Company (Genco), supplies 90 mw to
Ceneco.

Guillem, who went to the PNOC-EDC drilling plan on Mailum, Bago City the other day, said PNOC-EDC resident Manager Gino de la Cruz and senior manager for sales Mike Rodriguez have agreed to sell their geothermal-generated power at an average of P5 per kilowatt hour.

"In 2007, it is projected that Visayas, particularly Negros, will suffer from tremendous power shortage if and when power cooperatives will continue to depend solely on Napocor," Guillem said.

Bacolod and some parts of Negros Occidental are projected to be short of a minimum of 55 mw every month.

To avert the shortage, Guillem said, "It's good that as early as now we've made a covenant with PNOC-EDC regarding the power deal."

Guillem also said it's time to look for independent power producers.

"At least we can save much especially that PNOC-EDC will be generating indigenous power from the geothermal desposits in Negros," he said.

Cheaper generation charge will mean cheaper power rates, he said.

On another matter, Guillem said that from January to date this year, Ceneco has posted only about 13.84 percent in system loss compared to the 15 percent in the previous year.

This means, he said, the system loss being included in the monthly bill of Ceneco member-consumers will also go down.

Thank for the active people we have in the Ceneco's Engineering Department for their concern in enhancing their anti-pilferage campaign, rehabilitation of old post and wires, re-clearing operation and even meter clustering, said the Ceneco president.

As to collection, Guillem said they are now posting 99 percent efficiency.

"This was the reason we've become a good payer to Napocor, Transco and Genco. We've also availed ourselves of prompt payment discount from Transco and Genco," he said.

With this, Guillem is hoping that Ceneco will soon gain the A+ category by next year. For now, Ceneco is rated under Category A.

(October 18, 2005 issue)
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