IBA, Zambales—Power distribution companies in Zambales and Olongapo City agreed to reduce electric billings by as much as P2 per kilowatt hour following a dialogue last week with Zambales First District Rep. Jay Khonghun, Second District Rep. Doris Maniquiz, and Mayors League President Jeffrey Khonghun.
The P2 rates reduction will take effect for March billings to be made by the Zambales Electric Cooperative (Zameco) I, which operates in the First District, Zameco II in the Second District, and Olongapo Electricity Distribution Company Inc. (OEDC).
The power distributors also agreed that beginning April, they would revert to the reduced rates agreed upon in September last year.
Maniquiz told the BusinessMirror that the power rates cut will give residents of Zambales much relief from high electricity costs following a new round of increases made by the power firms.
“Zambaleños have been burdened immensely after the power distributors once again increased their rates. Pagod na ang mga tao [The people have grown tired of this]. So, we had to find a win-win solution,” Maniquiz explained.
The new agreement with the distributors would lower power cost for Zameco I subscribers from the current P19.52 per kilowatt hour (kWh) to P12.70 in March and to P14.70 from April to December this year.
On the other hand, Zameco II will reduce rates from the current P19.9146 per kWh to P13.02 in March and to P15.02 from April to December 2023, while OEDC will adjust its rates to P13.60 per kWh in March and P15.60 starting April.
The three power distribution firms agreed to the reduction after SMC Global Power, which operates the coal-fired thermal power plant in Masinloc, Zambales, heeded residents’ clamor for lower power rates and proposed a price cap of P8 this month and P10 starting April.
In the dialogue, Congressman Khonghun pointed out that the three power distributors recently increased their power rates in violation of the agreement in September last year that there will be a continuing cap on electricity rates, “while residents continue to be burdened by high prices.”
“So, why were you so keen on increasing your rates? Why not instead find ways to keep the price down?” Khonghun asked.
He also noted that the power distributors failed to inform the local government units of the impending increase, and likewise did not explain to the public how they came about with the higher billings.
Mayor Khonghun, meanwhile, reminded Zameco officials that cooperatives are owned by their member-subscribers. “Taumbayan ang may-ari ng Zameco, hindi kayo. Empleyado lang kayo ng mga tao. [The people are the owners of Zameco, not you. You are just employees of the people],” he said.
He warned that he would initiate an investigation of Zameco operations to get to the bottom of how the cooperatives fix their electricity rates.
Congresswoman Maniquiz clarified that they were not on a witch hunt, but only looking for solutions because of the pressing need to ease the suffering of their constituents.
“There is really a need to ascertain how the rates are formulated. So, let us look at how the costs of production and distribution are passed on to the people,” Maniquiz said.
“Let us love our stakeholders because they are the ones feeding our families,” she added.