The Bacolod City Water District may request the Local Water Utilities Administration to implement additional water rate increases if power rate hikes continue, BACIWA general manager Juliana Carbon, said yesterday.
General manager Simplicio Lagarde of the Central Negros Electric Cooperative said power rate will increase by 19 centavo per kilowatt-hour starting with the billing month of May 2013 because the Energy Regulatory Commission, through ERC Order No. 2011-091 RC, has ordered all electric cooperatives, private utilities and the National Grid Corporation of the Philippines to collect P53,581,000 as portion of Universal Charge-Stranded Contract Cost and remit it to the Power Asset Liabilities Management Corporation.
It will be collected progressively from all consumers nationwide for not shorter than 15 years, or longer than 25 years, Lagarde said.
Carbon said the power rate hikes will result in higher expenses for BACIWA since the water firm’s production is electricity-driven. However, all water rate hikes are subject to the approval of LWUA.
She said their pending application for a water rate hike is P248 for the first 10 cubic meters from P208 and if the power rates continue increasing, this may not be sufficient to cover their expenses.*APN