Tuesday, June 19, 2007

ERC Expects NPC To Implement Rate Cut


The Energy Regulatory Commission (ERC) expects the National Power Corporation (NPC) to implement lower rates to consumers in the coming months based on the ERC-approved Time-of-Use (TOU) rates of NPC, it announced.
"This lower rate has already been approved by the ERC based on its decision dated 13 April 2005 in Case No. 2004-178 regarding the Time-of-Use (TOU) rate scheme," ERC Chairman Rodolfo B. Albano, Jr. said.
The TOU scheme approximates the true cost of electricity at different times of the day. It also considers the seasonal differences between the periods January to June and July to December. Electricity users generally pay lower rates during off-peak hours. The onset of the rainy season further provides an opportunity for lower generation rates when the NPC can increase the utilization of its hydroelectric plants which are less costly to operate, the announcement added.
"TOU provides a means for efficient utilization of electricity with the benefit of lower rates for end-users," Chairman Albano pointed out.
"The ERC continually looks for ways and means to provide electricity consumers with quality, safe and adequate electricity service at a reasonable price," Chairman Albano added. /MP

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