Aquino changes tune, won’t sell hydroelectric plants, says aide
GENERAL SANTOS CITY—President Benigno Aquino III has changed his tack on selling two hydropower plants that supply cheap electricity to Mindanao, according to one of his aides.
Luwalhati Antonino, chair of the Mindanao Development Authority (Minda) with a Cabinet rank, said Aquino realized that privatizing the Agus and Pulangi hydropower plants runs counter to the Electric Power Industry Reform Act or Epira.
“The President himself is now against the privatization. He has realized that privatization of Agus and Pulangi hydropower plants will violate the Epira,” said Antonino, two days after meeting with Aquino on Sunday.
Antonino said the two hydropower facilities could not be sold separately because although they are composed of several power-generating sets, they share the same water source and the same water rights.
She said the buyer of the two facilities would corner more than half of Mindanao’s energy source if these were sold.
Under Epira, a private company could not own 30 percent of the power generation sector in any place.
Antonino said Agus and Pulangi provide 52 percent of Mindanao’s electric supply.
During her meeting with the President, she said she proposed that the management of Agus and Pulangi be handed over to Mindanaoans.
“I told P-Noy (President Aquino) that Mindanaoans are interested to manage the Agus-Pulangi hydropower plants. I’ve talked to several businessmen in Mindanao and they are willing to help,” Antonino said.
She said the management of the hydro plants could be undertaken by the proposed Mindanao Power Corp.
“If we manage that, we can make it earn. And we can easily check the irregularities. It’s public knowledge that the National Power Corp. (Napocor) was mismanaged,” Antonino said.
She said she told Aquino that the plants were earning money.
Pulangi needs about P11 million for repairs while the 60-year-old Agus needs P2.5 billion.
Antonino said based on government data, Napocor spends less than P1 to generate 1 kilowatt hour of power from the two plants and sells it at P3 per kilowatt hour.
Antonino said a Mindanao Power Committee had been created to serve as a think-tank and oversight body in finalizing the planned turnover of management of the two power facilities from Napocor to the proposed Mindanao Power Corp.
The Department of Energy will form part of the Mindanao Power Committee, which is composed of representatives from the business sector, power consumers, distribution utilities and other stakeholders in the power industry. Aquiles Z. Zonio, Inquirer Mindanao
