BILECO implements lowest generation rate in the Philippines in the last 5 months; reduces rate by an average of P0.77/KWH in 2011
March 30th, 2012
Barely fifteen (15) months after the commencement of commercial operation of the Wholesale Electricity Spot Market (WESM) in the Visayas, the Biliran Electric Cooperative, Inc. (BILECO) through its General Manager-CEO Marlon B. Roa announced that it has implemented the lowest generation rate in the country in the past 5 months and that it reduces its rate by an average of P0.77 for the year 2011.
GM Roa revealed that it has implemented generation rate of P1.2764/kWh in November 2011, P1.087/kWh in December 2011, P1.2646/kWh in January 2012, P1.3333/kWh in February 2012, and P1.823 in March 2012 which is the lowest generation rate implemented by an Electric Distribution Utility for five (5) straight billing months. For the year 2011, it was likewise reported that BILECO was able to reduce its rate by an average of P0.77/kWh despite the fact that it has a very minimal bilateral energy contract level with the state owned plants of the National Power Corporation under the management of the Power Sector Asset and Liabilities Management (PSALM) Corp. BILECO has been sourcing 10% to 40% of its power requirement from the WESM.
Prior to the start of the commercial operation of WESM in the Visayas, BILECO became the first Electric Cooperative to register as a direct member of WESM. The management likewise sent its personnel responsible for the forecasting and trading operation to various trainings and seminars sponsored by the Philippine Electricity Market Corporation (PEMC) to obtain the necessary skills and knowledge in the actual energy trading activities.
The BILECO GM-CEO was optimistic that through WESM, ECs and DUs can effectively reduce its rate by way of doing pervasive but cautious trading. With this experience, BILECO was able to prove that the ultimate goal of the Department of Energy under the leadership of Sec. Jose Rene Almendras to reduce electricity rates through direct participation in the WESM is highly attainable.
Under Current Events 3,706 views