THE Senate Committee on Energy, together with the Committee on Cooperatives, has given the Energy Regulatory Commission (ERC) until October 27 to come up with a resolution on the corporate dispute between the Bukidnon Second Electric Cooperative, Inc. (Buseco) and the Bukidnon Sub-Transmission Corporation (BSTC).
During the Senate Hearing on Saturday, October 8, at Mallberry Suites, in Cagayan de Oro City, Senator Win Gatchalian, chair of the Senate committee on Energy, said he is also asking other involved parties to submit their position papers before the committee.
"We will ensure na mabilis yung galaw ng ERC kasi nasa kanila ang bola ngayon," Gatchalian said.
The intra-corporate dispute between Buseco and BSTC has raised issues on sub-transmission corporations.
BSTC was created by Buseco and First Bukidnon Electric Cooperative, Inc. (Fibeco) for transmission.
"Ang problema sa Bukidnon, they created a separate entity, a corporation, unya dili sila ubos sa National Electrification Administration or even sa ERC, so one of the questions, kinsa ang naay control aning bag-o nga substransmission corporation?" said Senator Juan Miguel Zubiri, chair of the Senate committee on cooperatives.
Zubiri said because of this case there will be a possible rise of conflict for other cooperatives that wish to come up with the same sub-transmission corporation.
He added he also thought that in order to create a sub-transmission corporation, one must get a congressional franchise, since he said, electric utilities are imbued with public interest.
But the operation of BSTC is, however, legal, Zubiri clarified citing a provision of the Electric Power Industry Reform Act (Epira) law that allows electric cooperatives to go into transmission.
Zubiri suggested that the National Grid Corporation of the Philippines should instead handle all the transmission maintenance for all electric cooperatives, but to do that, both senators said the Epira law must be amended.
"Hopefully, the ERC and DOE (Department of Energy) can come up with the implementing rules and regulations na maka-resolve sa issue sa Buseco and BSTC," Zubiri said.
Zubiri and Gatchalian both agreed and bared their plans to review and amend the Epira Law.
Gatchalian said the position papers that will be submitted by the involved parties will also be used for the planned amendment.
Engineer Diether Hoff Arellano, general manager of Buseco, said they are hoping that the investigation would result to a creation of policies that will clarify the role of sub-transmission companies.
"Again, Buseco maintains its position nga dili gyud kami mupasa ug charges sa consumers kung walay approval sa ERC," Arellano said.
The senators, meanwhile, assured the consumers that the dispute will not result in blackouts.
"We will always protect the rights of our consumers, dili mi musugot nga mumahal ang balayrunon sa kuryene tungod naay nadugang nga substransmission company," he added.
It can be recalled that the BSTC has threatened to disconnect electricity to Buseco-served areas for supposed unsettled bills worth some P7 million.
The ERC, however, issued status quo ante order, stopping the disconnection of Buseco customers.