Cebu officials scramble to keep Bantayan’s power | Inquirer News

Cebu officials scramble to keep Bantayan’s power

/ 07:34 AM May 30, 2012

Cebu and Bantayan Island officials are scrambling for solutions to prevent a  power shutdown in the island by Thursday.

Petron, the fuel supplier of Bantayan’s power producers gave them until Thursday to settle a P30 million unpaid fuel bill.

The Bantayan Electric Cooperative (Banelco) and Bantayan Power Corp. (Bipcor), blamed their failure to pay Petron to cuts in the P5 million fuel subsidy from the National Power Corporation (NPC) in the last three months.

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Bantayan Island officials, Cebu Gov. Gwendolyn Garcia, Rep. Benhur Salimbangon of the 4th district, officials of Banelco, Bipcor, the Energy Regulatory Commission (ERC) and National Power Corp. (NPC) had an emergency meeting on Monday night to explore solutions.

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“Tourism, crab and egg industries in Bantayan Island must be protected. The province will do what it can,” she said.

Garcia said she will meet with NPC chairman Froilan Tampingco to discuss possible remedies to prevent the power shutdown in the northern Cebu island.

Salimbangon yesterdday said that the fuel supply of Bipco and Banelco was only good for two more days.

Salimbangon said that the two electric power suppliers received a letter from Petron, giving them until May 31 to pay the P30 million bill.

The collectible incurred was for a month and a half fuel supply.

Rotating brownouts will start June 1 in Bantayan Island towns of Bantayan, Madridejos and Sta. Fe.

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ERC legal officer Joel Bontuyan said they have deferred the petition of NPC to implement a P2.65 per kilowatt hour increase for generation charge.

NPC said the increase is needed to recoup losses in power generation from 2006 to 2009.

It is, however, unclear if the cut in fuel subsidies has something to do with the NPC’s petition for increase in generation charges.

Cebu Daily News was unable to get their side as of press time.

Governor Garcia, said hse was confident they would find a solution.

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She cited a similar problem with the Camotes Island Electric Cooperative (Celco) and NPC which allowed the cooperative to take out a loan.

TAGS: Power supply

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