Readers speak on EPIRA, PhUVs and ROROs

BIZLINKS By Rey Gamboa (The Philippine Star) | Updated November 13, 2014 - 12:00am

We have several letters from readers giving additional feedback on the topics in previous columns, as well as responding to other readers’ letters. One is from Pete Merritt Jr. Please read on.

“This is a rejoinder on your column about NPC (National Power Corp.) and the suggestions made by (Hector) Campos Sr., former vice president. I was also an employee of NPC for 23 years and had my early retirement in 2001 due to the financial crisis.

“Prior to NPC, I also worked with Meralco for 11 years. Anyway, I second the motion/suggestions of Campos. His recommendations are focused more on correcting the acute problems caused by EPIRA (Electric Power Industry Reform Act) on the economy in general.

“For myself, if we want to make a big impact for the improvement of the power sector, we should focus on improving the economy of scale of the industry.

“Prior to the EPIRA, we had good economy of scale. What was necessary then was to rehabilitate NPC, the major power producer, and make additional improvements in the efficiencies of the grid.

Big mistake

“The whole exercise of chopping NPC to pieces and selling its assets to small generators was a big mistake. The power industry is characterized in a way that one must have a big asset base to produce cheap power.

“The power crisis that is looming in the horizon is a repeat again of the crises scenario we had during the time of Pres. Cory and Ramos. It seems that we are not learning our lessons. I blame this to bad politics and just sheer greed.

“The early retirement package given to NPC employees then without reservations whatsoever was a big loss to NPC. I think NPC lost a number of good people who could otherwise contribute further to its operations.” 

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