Saturday, March 1, 2014

Meralco bill ‘error’ probed

Manila Standard Today

By Joyce Pangco Panares | Mar. 01, 2014 at 12:01am


THE Energy Regulatory Commission gave power distributor Manila Electric Co. five days to explain its “mistake” in including a deferred charge in the February electricity bills sent out to millions of its customers.
Deputy presidential spokesperson Abigail Valte said Meralco was also ordered to undertake an information campaign to explain to the public the wrongful inclusion of the December distribution charge that is covered by an existing temporary restraining order of the Supreme Court.
“The ERC as the regulator of Meralco will be continuing its investigation on the issue and has asked Meralco to explain in five days the new electric billing format,” Valte said.
She said the Trade and Industry Department’s Consumer Protection Group headed by Victorio Dimagiba has also ordered Meralco to conduct an information campaign to explain the new bills to consumers, and to clear up the confusion about the difference between “amount due” and “total amount due.”
Meralco’s pass-on charge of P4.15/kwh for December 2013, which was stopped by the Supreme Court, was still reflected on this month’s bills under the “Balance from December” entry.
Although the power distributor clarified that customers are only required to pay the “total current amount” indicated on their bills, former Bayan Muna party-list Rep. Teddy Casiño said it was a
“desperate move” by Meralco to generate funds to pay power generating companies.
“Meralco is trying to get around the SC’s TRO in surreptitiously adding the controversial rate hike that should not have been included in the monthly bill in the first place,” Casiño said.
The Supreme Court has extended the TRO on Meralco’s impending rate hike for another 60 days.
“This is clearly bad faith on Meralco’s part and a blatant violation of the SC order,” Casiño said.
Meralco spokesman Joe Zaldarriaga said only the current charges are collected at Meralco payment outlets.
Zaldarriaga said the deferred charge was mentioned in the latest electricity bill just to remind customers of the pending case before the Supreme Court.
Earlier, President Benigno Aquino III said Meralco’s looming rate increase was too high and could have been reduced if the power distributor prepared ahead for the scheduled shutdown of the Malampaya gas plant.
Aquino stopped short at confirming allegations of collusion among the power producers to spike the electricity rates, but he said “our impression is there are people who really made a very significant profit from this situation.”
“The Malampaya shutdown is not an unusual event. It happens every two to three years. It is a foreseeable event,” Aquino said. “We don’t think the price increase that is being charged is commensurate to what should have been the case.”
“You (Meralco) know that your power producers will not be able to produce, then you have to find a substitute. So you could have prepared for it; you should have prepared for it,” the President said.
With the shutdown of the Malampaya gas plant and other power plants late last year, Meralco said it was forced to buy from the Wholesale Electricity Spot Market at peak prices.
Aquino said the government will be proposing to Congress amendments to the Electric Power Industry Reform Act, which deregulated the power sector.
“There are specific amendments—it’s part of the study. I think we are looking at the powers of the ERC. But, again, I am not ready to comment on the specific amendments that we will be proposing to Congress,” he said.   source

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