By Anna Leah G. Estrada Posted on September 25, 2012 12:01am
Power distributor Manila Electric Co. asked the Energy Regulatory Commission to simplify the system of collecting the feed-in tariff of electricity produced by renewable energy companies.
A Meralco official said the ERC should exercise caution in implementing the recovery rate mechanism between distribution companies and the feed-in tariff allowance administrator, as it could push up power rates.
“We would like to urge caution on the possible effect of this arrangement to the consumers’ electricity bills,” Meralco assistant vice president and head of utility economics Lawrence Fernandez said in a letter to ERC executive director Francis Saturnino Juan dated Sept. 12.
The cost of power produced by renewable energy companies such as solar energy or wind-power developers will include FIT-allowance, or the uniform peso per kilowatt-hour charge that will be collected and placed in a fund managed by an administrator. The ERC has not come out with its computation on the FIT-All.
“We recommend that the rate recovery mechanism be simple and easy to implement, will not require over and underrecovery adjustments, will be revenue neutral to the DUs/ECs [distribution utilities and electric cooperatives] and will not have a significant impact to the generation charge of the consumers,” Fernandez said. source
No comments:
Post a Comment