Ceneco, intervenors urge Congress to hold inquiry

THE Central Negros Electric Cooperative (Ceneco) Board of Directors and the case intervenors urged Congress to hold a committee hearing in Bacolod City on the order of Energy Regulatory Commission (ERC) for Kepco-Salcon Power Corp. (KSPC) and Ceneco to collect P232 million worth of additional charges from member-consumers.

Ceneco president Roy Cordova, who led the transparency meeting with the intervenors Wednesday, October 18, said they will pass a resolution urging the congressmen of the Lone District of Bacolod City, Third and Fourth Districts to help them convince Congress to hold the hearing in Bacolod.

Majority of the members of the Ceneco Board had earlier approved a resolution to seek clarification with ERC on the effectivity of the implementation of the ERC decision on the KSPC-Ceneco 24-megawatt load factor scheme in the light of the aforesaid motion for reconsideration filed by the intervenors.

Directors Dwight Carbon, Noel Alarcon, Joselito Gaston, and Jojit Yap voted to put on hold the collection of P232 million worth of additional charges pending the clarification from the ERC while former Director Arnel Lapore voted in the negative.

Director Robert Javellana abstained while Director Joyce Cuenca failed to participate the voting.

“The inquiry should be held here so that all member-consumers of Ceneco can participate and air their sentiments,” Cordova said.

SAC legal counsel Vicente Petierre III had earlier filed an appeal because the signatory of applicant Ceneco has no authority to sign the petition and failed to comply with the rule on certification of non-forum shopping, and the unnominated quantity or power supply sold by KSPC to Ceneco by way of a contract is grossly disadvantageous, hence should not be charged to the consumers.

Representative Greg Gasataya had earlier filed Resolution 1404 urging the House committee on energy to look into the order of the ERC for KSPC and Ceneco to collect the amount.

The unpaid unaccepted contract quantity of 24 megawatts of Ceneco with KSPC covering the period of July 26, 2011 to November 25, 2013 will result to an additional charge of P0.8 per kilowatt hour.

Lawyer Roger Reyes, member of Advocates against Graft and Corruption, said they will pass a resolution asking the Congress to conduct an investigation on the legality of the ERC's decision and the regularity of the Ceneco officers colluding or conspiring with the KSPC in imposing additional charges.

He said they will request Gasataya to subpoena the KSPC and Ceneco officers who participated in the transaction, including the members of the Ceneco Board who approved the petition and did not interpose any objection, to attend the Congressional inquiry.

“There are several irregularities that need to be investigated,” Reyes added.

The SAC and Power Watch Negros will also sign the resolution.

Fr. Cris Gonzales, chairman of SAC, said they are thankful that Ceneco temporarily stopped the implementation of the ERC decision.

He said they will wait for the Congressional inquiry because it involves big additional charges that will be passed on to member-consumers.

The intervenors are also thankful to the leadership of Cordova for conducting the transparency meeting.

“For the first time, we have a Ceneco president who is joining hands with the member-consumers and not with the Board of Directors of Ceneco. That is the correct position that he should take to protect the interest of member-consumers and not the interest of the Board,” Reyes said.

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