Tuesday, October 16, 2018

Power franchise renewal process adds uncertainty to Iloilo investment climate


October 14, 2018 | 10:54 pm

THE ILOILO City business sector said the investment climate is being hurt by uncertainty over an ongoing power franchise renewal process, and called on Congress to select the provider that will best serve consumer interests.
“Whatever decisions they come up with, either PECO (Panay Electric Company, Inc.) or the new player, it should always be to the advantage of the Ilonggos,” Iloilo Business Club Inc. (IBC) Executive Director Lea E. Lara said.
The House of Representatives is currently evaluating PECO’s renewal application, as its 25-year franchise is due to expire in January. Hoping to take over the franchise is MORE Electric and Power Corp. (MORE Power).
Ms. Lara said the IBC does not have enough information to judge whether MORE Power could provide better service as the company has not contacted the group to present its investment plan.
“We are vulnerable to this. In our desire to replace PECO thinking it’s really the best plan, we ended up with a company which is unknown to us. So it is really difficult to comment,” she said.
PECO is facing complaints of alleged over-billing.
MORE Power was previously MORE Minerals Corp., a unit of Enrique K. Razon, Jr.’s Monte Oro Resources and Energy, Inc. (MORE). Earlier this month, the new company’s officials briefed the media on its technical, operational, and financial capabilities.
MORE Power’s franchise application has been approved at the committee level and is now up for House plenary deliberation.
“If ever there is a transition period… it’s too difficult to comment as of the moment, we do not have enough information,” Ms. Lara said.
Ms. Lara said IBC concurs with the Iloilo Economic Development Foundation (ILED) that the franchise holder should deliver world-class service to one of the country’s fastest-developing cities.
The Iloilo City Council has authorized the city government to intervene in the House deliberations. — Louine Hope U. Conserva

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