MECO commends Lapu Council for urging ERC to OK application

By: Futch Anthony Inso - CDN Digital Correspondent | August 05,2022 - 05:26 PM

Engr. Gilbert Pagobo, senior vice president of Mactan Electric Company (MECO), welcomed the resolution of city council urging the ERC to allow them to buy cheaper power supply to SMC Global Power Holdings Corp.

LAPU-LAPUA CITY, Philippines — The Mactan Electric Company (MECO) welcomed the move of the Lapu-Lapu City Council in passing an ordinance urging the Energy Regulatory Commission (ERC) to act on the application of MECO to purchase electricity from San Miguel (SMC) Global Power Holdings Corporation.

MECO has earlier contracted SMC Global Power Holdings Corp. to supply 50 megawatts of electricity to MECO at a price of P3.33 kilowatt per hour.

However, the contract has not yet been approved by ERC, after it was opposed by one of the 11 members of MECO’s Board of Directors.

Engr. Gilbert Pagobo, senior vice-president and general manager of MECO, said that one year has already passed since they applied for the approval of the said contract between MECO and SMC Global Power Holdings Corp. to ERC.

“Kana gud pending pa ang among application hangtod karon kay naa man gu’y opposition,” Pagobo said.

Pagobo said that currently, their generation charge is at P8.35 per kilowatt hour while the total charge is at P13.34 per kilowatt hour.

However, if their contract will be approved by the ERC, they are expecting that the total rate will decline to P8.60 per kilowatt hour.

Pagobo hopes that the ERC would already resolve and approve their application, especially that this would be favorable to the consumers.

The resolution that was passed by the council, was due to the letter request that was submitted by Mayor Junard “Ahong” Chan.      /rcg

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TAGS: Cebu‬, Cebu Daily News, cebu news, electricity, energy regulatory commission, ERC, Lapu-Lapu City, Lapu-Lapu City Council, Mactan Electric Company, MECO, power, SMC Global Power Holdings Corp.

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