BAGUIO CITY – The Benguet Electric Cooperative (BENECO) clarified that there was no actual increase in the power rate for residential consumers in their February bills but instead there was a P0.07 per kilowatt hour reduction in their monthly consumption amidst the reported increase the generation and transmission charges which are all pass on charges to the consumers.
BENECO assistant general manager Engr. Melchor S. Licoben disclosed that the power rate for residential consumers in January was actually P7.76per kilowatt hour while the power rate for residential consumers in February was P7.69 kilowatt hour irregardless on whether or not the consumers are qualified for the 5 percent senior citizens discount, thus, a slight reduction on their power bills of P0.07 per kilowatt hour.
Based on the breakdown of the power bills of residential consumers, the generation charge for January was P3.95 per kilowatt hour while the transmission charge was P0.52 per kilowatt hour.
On the other hand, the generation charge in the February bill of consumers increased to P4.00 per kilowatt hour while the transmission charge also increased to P.61 per kilowatt hour.
Subsequently, Commercial and industrial consumers realized a slight reduction in their power bills for February with P6.83 and P6.80 per kilowatt hour, respectively compared to their power bills in January which reflected P6.89 and P6.86 per kilowatt hour, respectively.
Power rates for streetlights in February significantly decreased to P6.83 per kilowatt hour compared to the January rate of P6.89 per kilowatt hour while rates for public buildings also dropped from P6.86 per kilowatt hour in January to P6.80 per kilowatt hour.
Despite the increase in the power bills of consumers in February, BENECO still remains as one of the top performing electric cooperatives in the country as it is able to charge its consumers lower power rates compared to the power rates of private distribution utilities having a wide area of coverage midst the presence of non-viable areas within the franchise area of the cooperative.
BENECO purchases bulk of its power supply from the Sual-based coal-fired power plant operated by the Tokyo energy and Marubeni wherein the generation charge that will be billed to the cooperative is approximately P3.85 per kilowatt-hour exclusive of value added tax wherein its power supply agreement is good until March 2024.
Aside from the Sual-based coal-fired power plant, part of BENECO’s power supply comes from the Wholesale Electricity Spot Market (WESM), the hydroelectric plants operating in nearby Benguet and some electric cooperatives located adjacent its franchise area.
BENECO officials asserted that distribution, supply and metering charge remain fixed while continuous efforts are being done to significantly reduce its systems loss and maintain the same at a single digit for the cooperative to remain competitive in the power distribution sector as it can now be ranked with the top performing private distribution utilities operating in viable areas around the county.
BENECO is currently setting its sights for the realization of the put up of its hydro power plants in Buguias, Kabayan and other potentials sites in the different towns of Benguet and other neighboring provinces so that it will be able to keep its power cost cheap for the benefit of the increasing number of consumers considering the rapid development being done within its franchise area.
By HENT
