Tuesday, December 3, 2013

Steep power rate hike planned


Business World Online
Posted on December 03, 2013 11:44:46 PM

CUSTOMERS of Manila Electric Co. (Meralco) will have to pay substantially more for this month with the utility planning to adjust its generation charge by as much as P2.50 per kilowatt-hour (kWh).

  "Estimated increase is about P2 to P2.50/kWh," Meralco spokesperson Joe R. Zaldarriaga yesterday said, adding: "[W]e will come out with the actual figure on Monday."

"The shutdown of the Malampaya gas facility is the reason for the increase, including maintenance and forced shutdown of some power plants as well."

Malampaya, which fuels three natural gas-fired plants in Batangas, closed beginning Nov. 11 up to Dec. 10. The Sta. Rita and Ilijan facilities had to be run through liquid fuel and diesel, respectively, Mr. Zaldarriaga said.

Running Sta. Rita on natural gas allows for a lower P3.75/kWh compared to the P7.24/kWh cost of using liquid fuel. The cost for Ilijan, meanwhile, is P3.47/kWh for natural gas and a higher P8.91/kWh for diesel, according to Meralco figures.

Meralco services Metro Manila, Bulacan, Cavite and Rizal as well as parts of Batangas, Laguna, Quezon and Pampanga.

Meralco stakeholder Beacon Electric Asset Holdings, Inc. is partly owned by Philippine Long Distance Telephone Co. (PLDT). Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake inBusinessWorld.  source

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