House of Representatives (Ellson Quismorio/ MANILA BULLETIN)

The proposed franchise of the Negros Electric and Power Corporation (NEPC) has inched closer to passage in the House of Representatives after it gained preliminary approval at the committee level.

The House Committee on Legislative Franchises, chaired by Paranaque City 2nd district Rep. Gus Tambunting, recently gave preliminary approval to House Bill (HB) No. 9310.  

The measure aims to grant a franchise to NEPC, as it seeks to become the power distributor in Bacolod City, Bago, Silay, and Talisay, as well as in the municipalities of Murcia and Don Salvador Benedicto—all in the province of Negros Occidental.

The committee is awaiting the submission of documents from NEPC, Central Negros Electric Cooperative (CENECO), Energy Regulatory Commission (ERC), and National Electrification Administration (NEA) before it could move forward to further deliberating on the franchise application.

In a press release, NEPC says it is hoping to provide a “cheaper, more efficient, and eco-friendly” electric supply to Negros and “ensure a continuous and uninterrupted supply of electricity in the franchise area”.

Primelectric Holdings Inc. President Roel Castro highlighted several potential advantages for residents once the franchise is granted.

He notes that there are issues currently faced by CENECO consumers and how that necessitates the urgent need for improved electric services in the region.

“The electric service is not really that good; they have frequent brownouts, and when I say 'frequent', it's normal to say that it's daily. It takes them months to comply when you apply for a new connection,” said Castro.

“There’s a lot of complaints, and over and above that, their system loss is already beyond the cap. And when the systems loss is above the cap, it means that it is being passed on to the bottomline consumers, and CENECO is already losing P20 to P30 million a month,” he added.

CENECO is the power provider for the areas NEPC is aiming to serve. It previously entered a joint venture agreement (JVA) with Castro’s Primelectric in a move to improve services.  

This agreement resulted in the creation of NEPC. which needs a franchise to operate.

Under the new company, 30 percent of the ownership will be retained by CENECO, while Primelectric will purchase 70 percent of its assets.

HB No. 9310 was crafted by Negros lawmakers, led by Negros Occidental 3rd district Rep. Francisco Benitez, Negros Occidental 4th district Rep. Juliet Marie Ferrer, Abang Lingkod Partylist Rep. Stephen Paduano, and Bacolod City lone district Rep. Greg Gasataya. --Dexter Barro II