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By Euan Paulo C. Añonuevo, Reporter
In an effort to alleviate consumers’ plight
amid the soaring prices of commodities, the government is
considering offering discounts on residential power rates similar to
what industries are enjoying at present.
Energy Secretary Angelo Reyes, during a media
briefing on Wednesday, said the Department of Energy (DOE) will be
convening another stakeholders’ meeting today with the power
sector to discuss ways and means to reduce power rates in the
country, which are currently one of the highest in Asia.
He added that the meeting will focus on removing
“inefficiencies” in the operations of power companies including
those of state-owned National Power Corp. (Napocor) and its
contracted independent power producers; the National Transmission
Corp.; and distribution utilities.
“We want to remove inefficiencies and at the
same time we want to prevent market power abuse,” Reyes said.
At present, industries with high demand for
electricity in the economic zone being served by the giant utility
firm Manila Electric Co. (Meralco) are enjoying a combined reduced
rate of P1 from Napocor and Meralco, from about P3.52 per kilowatt
hour to P4.20 per kilowatt hour.
Reyes said the government is looking at giving
further discounts to industries through reductions in generation
charges for them to become globally competitive, especially since
most large businesses are exporters.
Household rates
He added that the government is also looking at
bringing down rates at the household level to help consumers.
“It’s a continuing examination. It’s just
that the rates to locators is the easiest thing to be done,” the
Energy secretary said.
An advocacy group is also considering filing a
class suit against Meralco for allegedly overcharging its millions
of consumers.
The Volunteers Against Crime and Corruption also
on Wednesday said they are preparing the groundwork for the class
suit.
In a statement, Napocor, which supplies the bulk
of Meralco’s power requirements, said it welcomes the order of
President Gloria Arroyo to lower the rate it charges Meralco.
“The rate that President Arroyo mentioned is
the same rate that we charge our customers in Luzon, comprising
electric cooperatives, outside the Meralco franchise area, which was
approved by the Energy Regulatory Commission [ERC] in 2004,” it
added.
The state-owned power generation company
explained that even without the President’s order, the Lopez-owned
Meralco can already lower the rates it charges end-consumers under
its Time-of-Use (TOU) rates, which offer cheap electricity when
demand is low.
“It all depends on Meralco’s purchasing mix.
Since end-consumers cannot directly avail of Napocor’s TOU rates,
Meralco can optimize its benefits by adjusting the level of
electricity it buys from its various sources,” Napocor said.
Reyes said he would rather leave it to the
shareholders of Meralco to determine what is best for the company in
light of reports that state-pension fund Government Service
Insurance System (GSIS) is eyeing control of the country’s largest
distribution utility’s board.
“That thing about takeover is a corporate
matter between different shareholders in that corporation. And I
have nothing to do with that,” he pointed out.
Free hand
Malacañang said it would not intervene in the
annual stockholders’ meeting of Meralco on May 27.
During his weekly press briefing, Executive
Secretary Eduardo Ermita also on Wednesday said they are giving GSIS
President Winston Garcia a free hand if he wants to take control of
Meralco from the Lopezes provided that it would serve the best
interests of the consumers.
Ermita added that the President will let her son
and Pampanga Rep. Juan Miguel “Mikey” Arroyo, who heads the
House Committee on Energy, pursue a congressional inquiry into
Meralco’s alleged abuses. If such abuses proved true, it may
determine whether a management change is necessary in the utility.
“He [Rep. Arroyo] is an independent person so
I don’t suppose he would have to get blessings from Malacañang,
but as a congressman and a representative of the people, nothing can
prevent him from conducting an investigation of the matter,” the
Executive Secretary said.
He added that the President never prodded her
son to investigate Meralco. Ermita, though, admitted that Rep.
Arroyo sometimes consults the President on important legislative
issues.
“Nothing prevents him from getting a little
guidance from the President,” Ermita said.
Rep. Arroyo also on Wednesday joined calls for
Meralco to open its books.
On the reported attempt of GSIS to take over the
Meralco board, he said “what is important is that the management
is consumer-friendly, the management has heart, that it brings back
what it has earned to the people.”
Ermita denied that the Palace is getting even
with the Lopezes particularly because ABS-CBN, the Lopez-owned
radio-television network, is too critical of the Arroyo
administration.
“The Palace is not taking revenge on ABS-CBN.
That’s not true. The national leadership has no intention of
getting even with that network because President Arroyo is very busy
administering the country. No such thing is taking action,” Ermita
said.
-- Angelo S. Samonte, William B. Depasupil and Sammy Martin
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