PECO, NPC ironing kinks on power buying rates
Panay Electric Company Inc. (Peco) and National Power Corporation (NPC) are now threshing out matters for the latter to purchase power from NPC at a lesser price. This is to maximize the power that can be sourced from the newly-arrived Power Barge 101.
Mayor Jerry Treñas said Peco though Edmund Afzelius, Peco's senior vice president for operations, and NPC through its chair Atty. Cyril del Callar are now negotiating for Peco to buy power from NPC based on "actual rate use".
Treñas said there are considerations that should be made before a final agreement is inked between Peco and NPC. Peco wants to buy power from NPC based on the "actual rates used" and not on the "actual computation" used by NPC to all its buyers.
Treñas noted that Peco has an existing contract with the Panay Power Corporation (PPC).
On the average, NPC sells power at P3 per kilowatt hour but it could not be ascertained as of yet if Peco could buy power at the same rate.
NPC is set to commission Power Barge 101 next month. PB 101 is a 32-megawatt (MW) Power Barge that can connect and supply power to the Cebu-Negros-Panay grid within five days to beef up the dependable capacities in Panay. The barge's four units can generate as much as 24 MW. The city government requested for the transfer of Power Barge 101 from Cebu to Iloilo City to augment the increasing power demand of Panay Island.