Consumer group Power Watch Negros said the granting of a franchise to the Negros Electric and Power Corporation (NEPC) will bolster the economy of Bacolod City and Negros Occidental.
This, after the passage on the second reading of the House bill granting NEPC a franchise.
Power Watch Negros secretary-general Wennie Sancho said Wednesday, February 14, he is optimistic that this up-and-coming development will advance the welfare of the electricity consumers in the franchise area of Central Negros Electric Cooperative, Inc. (Ceneco), now NEPC, and meet the needs of reliable power to fuel our growing economy and population."
NEPC applied for the franchise with the primary objective to ensure the continuous and uninterrupted supply of electricity to serve the cities of Bacolod, Silay, Talisay, and Bago, and the municipalities of Murcia and Don Salvador Benedicto in the province of Negros Occidental for 25 years. It also aims to meet the energy needs of the residents and contribute to the development and progress which is a significant step towards promoting economic growth and enhancing the overall quality of electric distribution in the franchise area of NEPC, Sancho said.
In the statement, Power Watch Negros noted that in the September 2020 report of the Center for Energy and Ecology (CEED), Repower Negros on Distribution: Local Cooperatives, it was stated that more customers come from Negros Occidental province, making up around 70 percent of the total customer connection. As for power use, approximately half of the island's electricity is used by customers from Ceneco and only a quarter is used by Negros Oriental customers. Ceneco services approximately 1,068,948 people, around 1/3 of the Negros Occidental population and approximately a quarter of the entire Negros Island.
"Power Watch is confident that with the granting of the NEPC franchise by Congress, it will provide a sufficient and constant supply of electricity which is indispensable for the economic development in the franchise area of NEPC and the province of Negros Occidental beginning with the production sector, including transportation and the service sector, all the way down to the household electricity consumers. Electricity demand is expected to grow in the near future. The approval of the NEPC francise and the implementation of the JVA will reduce power outages and the NGCP is less likely to raise red or yellow alerts due to sufficient power supply and ancillary services," he added.
The bid to grant a franchise to NEPC got another boost Tuesday during the 2nd regular session of the 19th Congress when the Committee on Legislative Franchises presented Committee Report No. 936 on House Bill No. 9805, which passed the second reading.
The bill, sponsored by Negros Occidental representatives, will enable NEPC to establish, operate, and maintain an electric power distribution system for commercial purposes and in the public interest.
The franchise is specifically intended to serve the cities of Bacolod, Silay, Talisay, and Bago, as well as the municipalities of Murcia and Don Salvador Benedicto in the province of Negros Occidental for 25 years.
During the debate in the plenary, Congressman Gus Tambunting, who chairs the Legislative and Franchises Committee, emphasized that Ceneco will still own 30 percent of NEPC and all of its debts and financial obligations will be settled through the Joint Venture Agreement.
He also assured that employees will be taken care of and their retirement and separation fees from Ceneco will be paid in accordance with the Collective Bargaining Agreements. They will also be given a first preference if they wish to apply to NEPC.
The primary objective of this franchise is to ensure the continuous and uninterrupted supply of electricity in the aforementioned franchise area, aiming to meet the energy needs of the residents and contribute to the region's development and progress, he added.*