Power rate hike looms anew
More burdens are in store for the people due to the National Power Corporation's (Napocor) unabated losses. Electricity costs are poised to rise anew aside from already relentless increases in the prices of gasoline, liquefied petroleum gas, food and other goods and services.
The Energy Regulatory Commission approved in September Napocor's petition for a 98-centavo per kWh (kilowatt-hour) increase in the price of the electricity it sells to power distributors such as Meralco. Distributors like Meralco and various electric cooperatives will in turn pass this on to their consumers. Thus, a sharp and dramatic rise in electricity costs is expected early next year.
Aside from Meralco, Napocor likewise sells electricity to the Visayan Electric Co., Cagayan de Oro Power and Light Co., Davao Light and Power Co. and other electric cooperatives in the provinces.
The 98-centavo increase represents 40% of the price Napocor currently charges for electricity and is only half of what Napocor actually petitioned for. Napocor will be charging P3.80 per kWh in Luzon, up from the previous price of P2.57 per kWh. Prices in the Visayas will rise from P2.82 to P3.04 and in Mindanao from P1.80 to P2.07 per kWh.
Those consuming 200 kWh in Luzon who purchase their electricity from distributors serviced by Napocor will have to shell out an additional P246 for electricity, while those in the Visayas will be paying P44 more and those in Mindanao, an additional P54.
Instead of addressing Napocor�s basic problems like the large-scale corruption that has wrought losses to the corporation as well as price increases, Arroyo has made the much-vaunted but nominal move of ordering the Department of Energy to provide discounts to indigent consumers of electricity.
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