By Lenie Lectura - November 5, 2019
THE Energy Regulatory Commission
(ERC) on Monday said it would thoroughly evaluate the complaint lodged against
Panay Electric Co. (Peco) as it starts its probe on alleged safety violations.
If proven that Peco has violated
certain provisions of its provisional certificate of public convenience and
necessity (CPCN), the commission may revoke the certificate.
“It may, but still subject to due
process,” said ERC Spokesman Atty. Rexie Digal in an interview when asked if
Peco’s CPCN could be canceled. “If the ERC finds the revocation to be
warranted, it shall revoke the CPCN.”
Digal said that under ERC Resolution
5, “Failure, without any justifiable reason, to comply with the provisions of
the Act, its IRR, or any of the Commission’s orders or resolutions” is a ground
for CPCN revocation.
She cited Section 3, which states
that the “ERC may amend or revoke the CPCN of any entity engaged in the
transmission and distribution of electricity after due notice and hearing. Such
proceedings shall be governed by the ERC Rules of Practice and Procedure.”
The ERC earlier opened an inquiry on
a complaint filed by Iloilo City Mayor Jerry Treñas with Malacañang against the
alleged threat to public safety by “inadequately-maintained lines, power outages
and hazardous electric posts” owned by Peco.
The ERC conducted a hearing on
Wednesday last week and received a briefing from the Bureau of Fire Protection
(BFP) on the alleged safety violation incidents.
Treñas had asked the Office of the
President (OP) to direct the ERC to address Ilonggos’ reported mounting
complaints against Peco, citing nine incidents of fire that hit Peco’s
electricity poles from October 19 to 21, based on the BFP’s report to city
hall.
The Iloilo City mayor said he was
“obliged to take the necessary steps to address the needs of the people
considering that the problems and complaints raised against Peco have direct
impact not only on the property but [on] the lives of the residents of Iloilo
City.”
“While the attention of Peco had
been repeatedly called [by the Office of the City Mayor] to address the
[complaints], the city is still plagued by the same problems,” Treñas said in
his complaint to Malacañang.
As the agency mandated under
Republic Act 9136 or the Electricity Power Industry Reform Act (Epira) to
handle consumer complaints to ensure promotion of consumer interests, the ERC
had been given disciplinary powers to address the numerous consumer
complaints against Peco, the mayor said.
The ERC inquiry coincided with
another investigation by the Department of Energy (DOE) into the power outages
that hit the entire Panay Island and parts of Negros Island from Monday to
Wednesday last week.
Peco’s franchise was not renewed by
Congress when it expired on January 19 this year, but it was allowed by the ERC
to continue distributing electricity up to two years to ensure uninterrupted
supply of electricity in Iloilo City.
The provisional CPCN issued by the
ERC to Peco is valid until More Electric and Power Corp. (MEPC) has established
and can fully operate its own distribution system.
Peco has filed several court cases
against MEPC’s expropriation of its distribution assets.
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