Sunday, February 07, 2010

Entrepreneurial Farmer


Ambrosio R. Villorente
Feb. 4 Black Out
Beginning 9:30 in the evening of February 4 in Numancia and probably the whole of Aklan was in black out. According to Mr. Chito Peralta, General Manager of Akelco, black out was caused by the trouble of the Panit-an, Capiz 50 KV substation.

The energy of Global Business Power Corporation is only enough for Kalibo and Boracay. As of 1:00 o’clock in the afternoon, there was still no electricity in Numancia. Some parts of Kalibo also were experiencing no electricity supply.

Intervention

In response to the "Notice of Public Hearing" of Akelco on its application for approval of adjustment in rates in ERC Case No. 2009–157RC, Rev. Fr. Isauro David, Mr. Joselito Motus, Atty. Romeo P. Inocencio, and SP member Ramon Gelito had filed their intervention/opposition against the said application with the Energy Regulatory Commission (ERC).

The said public hearing is scheduled Wednesday, February 10, 2010 at 1:30 o’clock in the afternoon. It will be held at the ERC Hearing Room, 15th Floor, Pacific Center Bldg., San Miguel Avenue, Pasig City.

Can you attend? Maybe people of Pasig City can. But is the pulic hearing of their concern? Certainly, it’s for the Aklan. But can you spend at least P5,000 to attend the hearing?

According to the intervenors/oppositors, they all of legal age. Gelito is married, incumbent member of the Sangguniang Panlala-wigan of Aklan and residing in Poblacion, Makato, Aklan. Fr Isauro P. David is single, parish priest of Makato and residing in Poblacion, Makato, Aklan. Joselito Motus is a widower, and residing in Poblacion, Kalibo, Aklan. Atty. Romeo P. Inocencio is married with address at L. Barrios Street, Kalibo, Aklan. All the four are either customers and/or consumers/members of the applicant Aklan Electric Cooperative (AKELCO).

"In the event the application of Akelco is approved...intervenors/ oppositors will bear and suffer the consequences in terms of rate increase in their power bills", they pointed out. While they admit the truth of paragraphs 1,2,3,4,5,6, and 7 of the Akelco application, they deny any knowledge or information sufficient to a belief as to the truth of allegations stated in paragraphs 8,9, and 10 of the application.

They strongly opposed the proposed transition rate contained in paragraph 17 and the new rate proposed in the application for the following reasons: a. To allow Akelco to increase its present DSM rate, inclusive of the members’ capital contri-bution higher than the initial standard tariff prescribed for Group "E" electric cooperatives would be inconsistent with the RSEC-WR; b. The additional members’ capital contribution of P0.4748 per KWH prayed by Akelco has virtually no basis in fact and in law. The allegations in paragraph 18 of the application did not state what are those capital expenditure projects that were implemented and the corresponding amounts to be recovered, and the schedule of payment if it were financed by loans.

Moreover, those CAPEX projects are not identified and no information is given if it were approved by ERC. In its financial statement in 2008, Akelco reinvestment fund for the same year was P36,223 million. Akelco might have collected bigger than that amount in 2009, the oppositors pointed out.

The oppositors argued that "there is no public hearing conducted to secure the consent of the members/consumers for this proposed additional MCC". According to them, "they can never recall any pulic hearing conducted specifically for the purpose." In view of the foregoing, Hon. Gelito, Fr. David, Mr. Motus, and Atty. Inocencio concluded that the "proposed additional capital contribution of P0.4748 per KWH is clearly unnecessary, unjustified and/or exorbitant which would result to an additional financial burden to its members-consumers who are already suffering from one of the highest electricity rates in the country".They prayed to the honorable members of the Energy Regulatory Commission to restrain Akelco from charging its residential consumers more than what it is presently charging as its current DSM rate is higher than the initial standard tariff prescribed for Group "E" Electric Cooperatives; the application for additional members’ contribution of P0.4748 per KWH for Capital Expenditure Projects be denied; and that other relief and remedies just and proper be given them.

The oppositors duly signed their opposition papers. /MP

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