Amid outages, Mindanao power rates up



TAGUM CITY – Consumers in some parts of Mindanao have been told to brace for higher electric bills this month.

The Davao del Norte Electric Cooperative (Daneco) said consumers should expect an increase in power charges because the cooperative had to buy more expensive power from private firms due to insufficient supply of electricity coming from cheaper, government-owned plants.

Almost half of Daneco’s 71-megawatt (MW) power requirement is being provided by the Aboitiz-owned Therma Marine Inc. (TMI) which charges more for electricity than the state-owned Agus-Pulangi hydropower complex, according to Dean Briz, Daneco board chair.

Briz said electricity started to cost more in the aftermath of power shortages that began last April.

Briz said Daneco, which serves at least 130,000 consumers in the entire Compostela Valley province and most of Davao del Norte, needs at least 71 MW of electricity.

He said at least 20 MW of these come from TMI, owned by the Aboitiz family that was close to the administration of then President Gloria Macapagal-Arroyo.

Jose Almendras, President Benigno Aquino III’s energy secretary, was former treasurer of Aboitiz and Co., the mother firm of TMI.

11-MW shortfall

Daneco gets an additional 40 MW from the Agus-Pulangi complex, said Briz. The government-owned facility, however, fell short of its target supply by 11 MW causing frequent brownouts in Compostela Valley and Davao del Norte.

Daneco pays at least P10.30 per kilowatt hour to TMI and P3 per kilowatt hour to National Power Corp., which operates the Agus-Pulangi facility. “That’s a huge difference,” said Briz.

The case of Zamboanga City government employee Emmaruth Sadalani could best illustrate the continuing misery brought upon by Malacanang’s failure to find a quick solution to Mindanao’s power shortage other than President Aquino bluntly telling the people to bear higher costs if they wanted stable electric supply.

Sadalani, a government employee, paid P863.48 for her March electric consumption despite the eight to 12 hours of brownouts that plagued Zamboanga City daily that month.

“Out of 720 hours in a month, we didn’t have power for 240 hours,” Sadalani said.

But instead of paying lower for power in April because of the brownouts, Sadalani’s bill even increased to P927.57 that month.

Jacqueline Bue, finance department manager of the Zamboanga City Electric Cooperative, said there had been no power-rate increase the past months.

“What was reflected [in the electric bills], and we cannot do anything about it, were charges on generation system, transmission system, forex and system loss,” Bue said.

The bills, Bue added, did not yet include additional charges brought by the purchase of power from TMI.

Less power, more costs

Consumers in North Cotabato have also been warned of higher electric bills this month.

Engineer Godofredo Homes, general manager of the Cotabato Electric Cooperative, said the increase was expected as the cooperative was forced to buy power from TMI.

“We are expecting that TMI will send its bill before June 4,” said Homes. “This can be our basis for our computation as to how much the increase will be,” he said.

Kidapawan City is currently enjoying electricity 24 hours a day but the rest of North Cotabato continues to suffer from hour-long daily brownouts.

In Butuan City, power rates had surged by 80 centavos per kilowatt hour when the city’s lone supplier of electricity – Agusan del Norte Electric Cooperative (Aneco) – also started buying power from TMI.

Danny dela Serna, Aneco spokesperson, said the cooperative was forced to buy 11 MW from TMI after Napocor reduced its supply. Frinston Lim, Julie S. Alipala, Carlo Agamon and Franklin Caliguid, Inquirer Mindanao

Get Inquirer updates while on the go, add us on these apps:

Inquirer Viber

Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.

  • albert

    happy days na ang mga KKK

  • adam_d_ant

    maraming salamat pdi for “hiding” this news.  and thanks as well for mentioning gloria  — that the aboitiz’ were “close” to gloria.

    this is not good points for the retard in the palace. concentrate on his pogi points. 

    • isalexus

      LOL!! Tapos na angh “impeachment drama” at huli na rin si GMA– kaya wala ng “circus” na tataguan si Wangwang!! Two years of Wangwang admin and they are still talking about GMA and using her as an eksyus?!?

  • Wadav

    Kya k pala almendras nag approve ng coal power station s Davao city, k tropa mo pla mga Aboitiz!

  • Wadav

    Why not upgrade the Agus-Pulangi hydro power station so it can supply power to most parts of Mindanao? Govt must at this time spend its resources in Mindanao! Matagal n pinabayaan ng gobyerno ang Mindanao!

  • 1GeorgeTolentino2

    Dating employer yan ni Almendras! (Aboitiz Group) wahahaha, tiss nalang tayo sa Mindanao

  • Sarong9146

    This government is Abnoying and Noynoying in this  power problem in Mindanao. We can not expect something from this autistic president. They are busy pinning down GMA, Corona, etc. and keeping Hacienda Luisita. Good luck, Mindanaoans!

  • Loggnat

    Jacqueline Bue, finance department manager of the Zamboanga City Electric Cooperative, said there had been no power-rate increase the past months. “What was reflected [in the electric bills], and we cannot do anything about it, were charges on generation system, transmission system, forex and system loss,” Bue said. //// Too many fingers in the pie, too many middleman and each one adds to the cost of electricity for the consumers. Make it simple, one company should run power generation, transmission, everything from the power sources all the way to the consumer. There will be just one entity to blame and it cannot pass the blame to anybody else. ‘Forex’? What is this? The consumers shouldn’t have to pay for the inability of power generating companies to deal with fluctuations of the price of fuel that they use in their power generators. System loss? The consumer shouldn’t pay for this one either. There is no incentive for these companies to minimized power loss because they will get compensated for it by the consumer anyway. If the consumer had to pay for these charges, then the consumer needs to have access to the documents listing fuel expenses and power loss information. They need proof that the charges they are paying for are true and are nothing but greedy and false profit increasing reasons and excuses.

To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.

Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:

c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City,Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94


editors' picks



latest videos