Saturday, September 30, 2006

Entrepreneurial Farmer

Ambrosio R. Villorente

Reveal The Right Information, We’ll Help

"Wherefore the foregoing premises considered, the Commission hereby approves the following Electric Power Purchase Agreements entered into by AKELCO, as buyer, with Mirant, as seller, and Avon River, as the Project Company involving: (a) 5 MW Power Plant in New Washington, Aklan dated October 1, 2003 as amended on August 3, 2004; and (6) initially 7.5 MW but later an increased to a 12.5 MW Power Plant in Nabas, Aklan dated October 1, 2003, as amended on August 3, 2004, and restated on January 10, 2005. These EPPAs shall be subject to a base rate of PhP 2.4375/KWh, the 0 & M component, which shall be adjusted, based on the determination of the consumer price Index (CPI)…"
The above is the decision of the Energy Regulatory Commission (ERC) on the petition AKELCO filed with the ERC for approval, which the ERC found it "sufficient in form and substance".
Akelco justified its petition with ERC by submitting documents to prove the shortage of power not only in Aklan but the whole island of Panay. It also alleged, NPC cannot supply the power requirement of Aklan inspite of NPC testimonies to the contrary.
In view of the restated amendment, ERC directed Akelco to re-distribute and re publish a new notice of public hearing – Akelco complied with the directive by publishing the "Notice of Public Hearing" in the Philippine Star and Manila Bulletin on May 7, 2005 and May 12, 2005.
Why publish in the Philippine Star and Manila Bulletin? Perhaps, Akelco wished readers of those newspapers from Tawi Tawi to Babuyan Islands to read and support or object to its petition. There are local newspapers in Aklan which readers are Aklanons who are stakeholders of Akelco, but Akelco did not publish the "Notice of Public Hearing" with it. Akelco can even send its press releases on the matter and the publishers in Aklan may have published it even without cost or for free.
Okay, Akelco published the "Notice of Public Hearing," but is public hearing conducted?
According to Ms. Sylvia Quinisio, Notice of Public Hearing was furnished all the town mayors of Aklan and other officials. But is Public Hearing conducted in Aklan? Never.
This non compliance to the law is sufficient to void the EPPA. It can be noted in the ERC decision that it was Akelco which filed the petition to approve the EPPA. It was also Akelco which pursued the cases and worked for the dismissal of the opposition filed by Atty. Romeo Inocencio and Hon. Ramon Gelito and the motion to dismiss the petition for approval of EPPA filed by Mr. Rudson Mayor. In the ERC Case No. 2005-013 RC, neither Mirant, nor Avon Rivers, nor Global Business Power Corporation is mentioned in the decision to pursue approval of the EPPA.
Why was Akelco too interested for the approval of the EPPA and to increase the cost of energy? Why was Akelco so interested to buy power from Mirant at much higher cost than what Akelco is now buying from the NPC? Records show Akelco single handedly faced the ERC, furnished it with supporting documents to support EPPA approval. Why then did Akelco management and board pointed to NEA and ERC as the cause of the power rate increase approval? These offices only acted on the Akelco petition to buy energy at ab agreed price from Mirant upon the petition, follow-ups and insistence of Akelco.
The church questioned the morality of EPPA approval, the SP Aklan questioned the process of EPPA approval, and the consumers are strongly objecting to the price increase which will greatly affect their economic condition. If the approval of the EPPA was immoral, then Akelco may apologize publicly; if there was deception, reveal the truth; and if the increase in price was not justified, then rescind the contract. Aklanons are good and understanding people; they are forgiving.
I asked Akelco, "what do you expect from the media?" Engr. Ricardo Ilito requested, "please help us disseminate the information". Engr. Elito invited the members of the Aklan media to a presscon on September 30. He did not invite reporters from Philippine Star and Manila Bulletin where he published the Akelco "Notice of Public Hearing". Now he requested the Aklan Media to spread the information to depend the questioned EPPA. The Aklan media could have helped Akelco promote harmonious business - clients relation had Akelco revealed to the Aklan media the facts since the beginning. Kindly reveal to us the right information, we are here to assist Akelco. /MP mailto:madyaas_pen@yahoo.com

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