THE Energy Regulatory Commission (ERC) is expected to conduct next month a series of consultations on the draft guidelines on using pre-paid electricity meters.
ERC Executive Director Francis Saturnino Juan said the commission is presently fine-tuning the draft guidelines that will eventually allow consumers to buy and use electricity in the same way as pre-paid mobile phone services.
Once the modifications are completed, Juan said, the draft will be published and the ERC will issue a formal notice for consultation. Stakeholders—distribution utility companies, consumers and other players in the power sector—will have 30
days to comment on the draft set of guidelines before ERC can approve it.
Juan told Sun.Star Cebu that the guidelines will address several issues related to the adoption of pre-paid electricity, such as monthly changes in the generation rates and systems loss. He added that ERC also has to make sure that the guidelines will address how to reconcile the pre-paid electricity system with regulations on lifeline power users or those who consume 100 kilowatthours or less a month.
Under study
The adoption of pre-paid electricity system is being studied by the Visayan Electric Co. (Veco), although it is already practiced by some subscribers of the Leyte Electric Cooperative (Leyeco) 2 in Tacloban (Leyte).
Veco is studying the feasibility of establishing a pilot area where subscribers use pre-paid electricity.
Philip Veloso, president of Xhimera, said the system allows consumers to manage their power consumption better.
Xhimera pioneered the distribution of pre-paid electricity meters in the country. Its pre-paid electricity meters have built-in kilowatthour (kwh) consumption LCD (liquid crystal display) monitor (consumption monitor) with control keys that allow the consumer to check how much power he/she has left.
“(Since) the consumer knows how much electricity he has left, he can economize…cut down use so his supply will not run out,” Veloso said in an interview.
Empowered consumers
“You cannot measure what you don’t see (and that is the case with) traditional electricity meters,” said Joseph Macasusi, Xhimera consultant. “Pre-paid electricity empowers the consumer, allows him (or her) to decide.”
Veloso said under the pre-paid electricity system, there will be no over-billing or billing adjustments, and consumers are spared the cost and hassle of going to the distribution utility’s office to pay.
“There will also be no surcharges or penalty for late payments,” he said. “Since electricity shuts off once the load is used up and gets back on upon buying another load, the consumer does not have to pay disconnection or reconnection charges,” he added.
The pre-paid electricity system, on the other hand, allows the distribution utility to save on the cost of disconnection and recon-nection (Veco hires a contractor to disconnect delinquent subscribers and to reconnect those who have paid).
“It (pre-paid electricity system) is for distribution utilities that are serious about improving efficiency,” Veloso said.
Safety features of the meter also deter theft since the device cannot be used with another consumption monitor. The pre-paid electricity load cannot be used by another consumer, in the event the receipt is stolen, he said.
Juan said ERC had studied the use of pre-paid electricity in the Philippine setting.
ERC evaluated Xhimera’s pre-paid electricity system pilot site at the Subic EnerZone (SEZ). The pilot test ran from May to November 2007.
In related development, Juan said the ERC has called the attention of Leyeco 2 for adopting the pre-pay electricity system while the commission has yet to establish guidelines. (LAP)