ERC decides on Meralco SPEED

The Energy Regulatory Commission (ERC) issued an Order on July 25, 2003 authorizing the Manila Electric Company (Meralco) to implement the Special Program to Enhance Electricity Demand (SPEED). Meralco industrial customers are expected to enjoy a discount of PhP0.12/kWh.

The implementation of SPEED is aimed at encouraging electricity demand and increasing the use of existing power plants in the grids. Effectively, this program reduces average power costs for large electricity end-users, both industrial and commercial.

The program shall be implemented into two phases: For Phase I, this will involve 224 industrial eligible customers with a minimum demand of 1,000 kW.

For Phase II, the threshold for industrial customers will be lowered and will also be made applicable to non-industrial customers with a minimum demand of 500 kW covering a total of 1,148 eligible customers.

To be eligible to join the SPEED program, customer must have been a MERALCO customer since July 2001.

The discount given by this program shall only be applied to the incremental consumption, which is the actual energy consumption above the Customer Base Load (CBL) for the quarter.

The SPEED program takes effect immediately, until the implementation of the Wholesale Electricity Spot Market (WESM), or whenever there is no available NPC unutilized capacity in the Luzon Grid, whichever comes first.

Cathay Pacific Steel Corporation (CAPASCO) is one of the many industrial customers of Meralco that will benefit from the SPEED program implementation.

July 25, 2003