Leonardia: P232-M additional fees is Ceneco’s mistake

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BACOLOD City Mayor Evelio Leonardia said the P232-million additional charges of Central Negros Electric Cooperative (Ceneco) are unacceptable and very unfair to the member-consumers.

Leonardia issued the statement Monday afternoon, reacting to the Energy Regulatory Commission (ERC) approval of the application filed in 2013 for the approval and confirmation of the load factor-based pricing scheme on a monthly reconciliation of the unaccepted contract quantity of the agreement Ceneco and Kepco-Salcon Power Corporation (KSPC).

The order stated that Ceneco is directed to pay KSPC P232,010,090 for the recovery of the unpaid unaccepted contract quantity from July 26, 2011 to November 25, 2013.

Ceneco is authorized to recover from its consumers the amount of P232 million at a monthly rate of P0.0817 per kilowatt hour for a period of 50 months or until such time that the full amount have been recovered, the order further stated.

“The member-consumers should not accept this because it is not their fault, it is the mistake of Ceneco and they are the one that should pay for it and not the consumers,” Leonardia said, adding that it is injustice for the consumers.

The unnominated quantity is the power supply which was not used by Ceneco, but Ceneco will pay the KSPC for it.

The mayor supported the stand of the Social Action Center (SAC) which earlier filed a motion for reconsideration on the ERC ruling.

SAC legal counsel Vicente Petierre III had earlier said he filed an appeal because the signatory of applicant Ceneco has no authority to sign the petition and failed to comply with the rule on certification of non-forum shopping, and the unnominated quantity or power supply sold by KSPC to Ceneco by way of a contract is grossly disadvantageous, hence should not be charged to the consumers.

Last Saturday, the SAC along with other concerned groups held a meeting on the P232-million collection of Ceneco starting October 25.

Petierre said they agreed on a petition that will be submitted to the Ceneco officials.

He said Mayor Leonardia also signified his support and said he will sign the petition.

Petierre pointed out that the P232 million will be collected from the member-consumers for two years and four months, but it is only an initial payment of Ceneco to the KSPC.

“The KSPC contract will end by 2021 so every two years and four months, they will collect P232 million or an estimated P1 billion collection from the consumers. Ceneco management did not reveal this to the consumers that the P232 million is only an initial payment,” Petierre said.

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