Pangasinan folks to get reduced electricity rates - ERC

Electricity consumers being serviced by the Pangasinan I Electric Cooperative, Inc. (PANELCO I) and Pangasinan III Electric Cooperative, Inc. (PANELCO III) will be enjoying lower rates as the Energy Regulatory Commission (ERC) ordered the reduction of their rates due to loan condonation.

“There is reason for the Pangasinan folks to be happy nowadays and for the next few months because their rates will be reduced by an average of PhP0.1004/kWh (for PANELCO I) and PhP0.1756/kWh (for PANELCO III),” ERC Chairman and CEO Rodolfo B. Albano, Jr. said.

In two (2) separate Orders issued by the ERC which are both dated February 21, 2007, it was established that the provisionally approved rate reductions due to loan condonation previously granted to PANELCO I and PANELCO III were lower as compared to the final rate reductions approved this February. The ERC’s evaluation revealed that the difference between the provisional and final rate reductions amounted to PhP16,314,828.00 for PANELCO I while PANELCO III’s refundable amount totalled PhP15,433,922.00.

The refund will be reflected in the customers’ billings as a deduction, and will be incorporated under the existing line item captioned as “Final Loan Condonation”. PANELCO I and PANELCO III were ordered to effect the refund starting the next billing cycle from receipt of the Order until such time that the full amount have been refunded.

ERC had evaluated 118 rate reduction due to loan condonation applications and final authorities were already issued to all ECs. The total amount condoned was PhP17.5 Billion and the reduction in rates ranges from PhP0.0578/kWh to PhP1.3507/kWh. The average reduction in rates among ECs is PhP0.3570. The reduction in rates resulted in lower electricity bills of the consumers in the rural areas.

March 15 , 2007