Saturday, June 28, 2008 City told: Settle P200M with Ceneco By Erwin Ambo S. Delilan
THERE is no problem with the Bacolod City Government's plan to establish an independent power source for its New Government Center (NGC) by simply not tapping from Central Negros Electric Cooperative (Ceneco), said coop president Roberto "Bobby" Montelibano.
However, Montelibano stressed the city should settle the P200 million arrears with Ceneco before tapping directly from National Power Corporation (Napocor) through National Transmission Corporation (Transco).
Under the current proposal presented by City Administrator Rogelio Balo to the City Council Thursday, for a P16 million worth of package, the city could avail of independent power connection at NGC like what the Iloilo Provincial Government is doing right now for its new Capitol building.
Councilor Jocelle Batapa-Sigue, chair of the council's committee on energy, however questioned the P16-million package, calling it as an extravagant cost for a power connection alone.
Sigue requested her colleagues to defer talks about it and instead give her time to study it carefully as she admitted being amazed by such proposal.
Having a P394-million new government center, plus P50 million furniture and fixtures, plus another P16 million for power connection, I think it's too much, the councilor pointed out.
"I hope that the city officials, especially Mayor Evelio Leonardia know the repercussion of their act of staying away from Ceneco for a power connection at NGC. Because for sure, Napocor and Transco would have to think twice or even thrice before approving the city's request for an independent power connection despite its more P200 million accounts with Ceneco," the Ceneco president said.
Though Montelibano said the city could tap anywhere they want, but the question is its credibility considering that the P200-million debt remains in red mark at Ceneco.
Montelibano also said the city can really apply at Ceneco for a power connection for NGC.
But Montelibano said he supports the decision of coop's new board of directors who said they will block the move to put up power connection at NGC unless the city pay the P200 million debt.
On record, the city is consuming about P3.5 million worth of electrical expenses every month.
Of its more P200 million current debt with Ceneco, Montelibano said: "As far as our records are concerned, they only paid two times at P1 million each the previous month."
The city, however, won't pay the P200-million account with Ceneco not until the coop can also settle its franchise tax obligation to the city, which according to records, also amounts to its current debt with the electric coop.
Montelibano said: "The issue of franchise tax needs to be decided by the court first. And if the court says so that Ceneco would pay for it, then the coop, of course, will be compelled to do so. But while the case is yet to be settled by the court, it is but nature that the city government has to pay its P200 million to Ceneco."
The city officials, especially Mayor Leonardia, should be ashamed to the Bacolod people for not paying the city's "very" obligation -- to pay the city's electric bill, asserted Montelibano. "If some got disconnected with only P200 debt, how about the city having this P200 million debt?" he added.
"Meaning, it's unfair to the people of Bacolod if Ceneco will continue to serve City Hall and the latter did not even bothered to look back at its obligation. So, I think everybody has to be treated always in the same way," he said.
Asked if Ceneco will brave to cut off power at the old City Hall soon, Montelibano said: "Time is nearing and it will really happen soon."
