9 more electric cooperatives to reduce electricity rates

The Energy Regulatory Commission (ERC) issued last May 7 Provisional Authorities to nine electric cooperatives directing them to reduce the rates being charged to all customer classes, as follows:

Electric Cooperative

Biliran Electric Cooperative, Inc. (BILECO)

Bukidnon II Electric Cooperative, Inc. (BUSECO)

Camiguin Electric Cooperative, Inc. (CAMELCO)

Eastern Samar Electric Cooperative, Inc. (ESAMELCO)

First Lanao del Norte Electric Cooperative, Inc. (LANECO)

Leyte II Electric Cooperative, Inc. (LEYECO II)

Leyte V Electric Cooperative, Inc. (LEYECO V)

Misamis Oriental I Electric Cooperative, Inc. (MORESCO I)

Samar II Electric Cooperative, Inc. (SAMELCO II)

Under Republic Act No. 9136, ERC is mandated to ensure a reduction in the rates of Electric Cooperatives commensurate with the resulting savings due to the condonation of their loans. Said loans incurred as of June 26, 2001 shall be assumed by the Power Sector Assets and Liabilities Management (PSALM).

The Commission noted in its Order that should the provisional rate reduction be insufficient after final evaluation, the amount corresponding to the deficiency shall be credited by the concerned cooperative to its customers for a period not exceeding six (6) months from the implementation of the final decision.

The approved reduction in rates, which shall be reflected as a separate item in the consumers’ electric bills, shall be made effective on the next billing month from receipt of the Order by said electric cooperatives.

May 30, 2003