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3 Iloilo electric cooperatives oppose expansion of MORE Power

Published Nov 3, 2021 01:28 pm

ILOILO CITY—The three electric cooperatives have formally opposed the proposed expansion of services of MORE Electric and Power Corp. (MORE Power), the sole power distributor of Iloilo City, to towns in Iloilo province.

“The proposal is illegal and unnecessary because the existing franchise areas are serving these areas satisfactorily,” expressed the three Iloilo Electric Cooperatives (ILECOs).

A joint paper was recently submitted to Congress by ILECO I, ILECO II and ILECO III.

To recall, Congressmen Michael Gorriceta of Iloilo 2nd District and Braeden John Biron of Iloilo 4th District authored bills that want MORE Power to distribute electricity to the towns of Iloilo province.

The three ILECOs oppose the combined congressional bills that aim to amend Republic Act No. 11212 (RA 11212) by expanding MORE Power’s area of coverage in its 25-year congressional franchise.

The clamor for the expansion of MORE Power to serve Ilonggos in the province came after it was able to reduce electricity rate for Iloilo City consumers last July 2021. From the previous rate of Php 10.0149 per kilowatt-hour (kWh), the rate went to Php 6.4562/kWh.

But the three ILECOs warned that MORE Power’s reduction rate is only “temporary in nature” as it entered a contract with state-owned Power Sector Assets and Liabilities Management Corp. (PSALM) for its power supply. While the cost is subsidized by the government, prices may spike when PSALM will soon be privatized.

The three ILECOs also underscored its respective roles in the government’s National Electrification Program by bringing electricity to rural and far-flung areas that are largely not served by private electric utilities.

Instead of pushing for the privatization of electric cooperatives, the three ILECOs also urged the national government to give “tenable support and assistance” to make public utility services more efficient.

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