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Wednesday, December 15, 2004
Energy body to require Cepalco explanation on P2.48 charge
THE Energy Regulatory Commission (ERC) on Tuesday said it will call on officials of the Cagayan de Oro Electric Power and Light Co. (Cepalco) to explain the P2.48 power generation "overcharge" it levies on its customers.
ERC chairman Rodolfo Albano said he had heard this development from ERC Mindanao oversight commissioner Oliver Batulid.
Ocon earlier criticized Cepalco officials for imposing the P2.48 power generation charge, which Albano admitted went above the P1.99 power generation charge the ERC granted to Cepalco.
Albano said the ERC had approved a P1.32 charge proposed by Napocor for its consumers in Mindanao.
Later Councilor Jose Benjamin Benaldo was called up and he asked Albano about the P2.48 power generation charge being billed by Cepalco.
The ERC chairman then confirmed that Cepalco had been overcharging city consumers and then agreed to the proposal for the City Council to file a resolution seeking resolution on this matter.
Ocon said he was approached by one city consumer who informed him that his bill contained a P2.86 power generation charge.
The P2.48 "overcharge" had been discussed during the previous City Council session with Butalid and Cepalco official Jose Edgardo Uy in attendance.
During last Monday's regular afternoon session the City Council asked Cepalco Vice President Atty. Edgardo Uy about the Independent Power Producer (IPP) contract signed between Cepalco and Minergy.
Uy failed to produce the contract despite previously stating that there was no way that ERC had no copy of the contract between Cepalco and Minergy.
Uy said the council would have to request for a copy from the ERC, which would take five months to be released.
Benaldo said he was told in an ERC letter that they have no copy of the Cepalco-Minergy contract, which the council labeled as a "sweetheart contract."
Benaldo said because of this contract Cepalco had been charging an additional P.50 to the consumers for Minergy costs.
Councilor and Public Utilities Committee chairman Ian Mark Nacaya said Cepalco couldn't commit to producing a copy of the contract.
"Kong wala silay gitaguan nga pabor sa ila nganong dili man nila ipakita (If he isn't hiding something favorable to them why can't they produce it)?" Nacaya added. (Stephen Capillas with a report from Sun.Star Superbalita)
(December 15, 2004 issue)
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