Monday, July 28, 2008 Beneco denies buying power supply at higher cost
THERE is no truth to reports the Benguet Electric Cooperative (Beneco) is buying power generated from the Asin minihydro electric power plants at a price higher than what is prescribed by the National Power Cooperation (Napocor).
This was the clarification made by Beneco general manager Gerardo Verzosa, in a letter addressed to the City Council, in reaction to reports the City Government's decision to sell power produced by Asin instead of pursuing plans to privatize it, was reportedly because the power cooperative buys the power generation at a higher price.
He said buying power at a rate higher than what is mandated by Napocor would need the approval of higher authorities. He made the clarification to avoid speculation.
City Administrator Peter Fianza confirmed Beneco buys only at the rate prescribed by Napocor. He added that while he made statements he is for the privatization of the power plants, the final decision will have to be done by the City Council.
With regard to the proposal of the Baguio Electric Consumers Cooperative, Inc. (Baelco) to buy the power produced by the power plants in the future, Fianza said the city could not yet make a definite pronouncement regarding this, as this is a long-term plan with regard the plants' operations. He added that this too has to be approved by the council.
The newly formed electric cooperative said if fully rehabilitated, the Asin power plants could supply the whole of Baguio and excess production can be sold to other electric cooperatives. (RO)
