House to investigate Palawan power woes
A RESOLUTION seeking an investigation of electricity problem in the province of Palawan, including low energization levels and high-power rates, has been filed in the House of Representatives.
House Resolution 1544, filed by Speaker Ferdinand Martin Romualdez and Palawan Representatives Jose Alvarez and Edgardo Salvame, directs the House Committee on Energy to conduct an inquiry on the situation of the Palawan Electric Cooperative (Paleco).
Romualdez said that Congress has to intervene in the energy issues surrounding the province, especially with the state having the responsibility to provide the people with reliable, secure, and affordable power sources.
“The dire situation in Palawan dampens our enthusiasm over the directives of President Ferdinand Marcos Jr. to provide the people with low power rates and increase energization targets nationwide by 95 percent in 2025,” said Romualdez.
“I hope that with this probe, we can find a solution for all stakeholders in Palawan, especially our citizens,” he added.
The probe will look into why energy rates in Palawan had risen since November 2023, when Paleco entered into an emergency power supply agreement (EPSA) with Delta P Inc.
The EPSA was due to an order issued by the Energy Regulatory
Commission for Paleco to cease its Power Supply Agreement with Delta in line with a ruling of the Supreme Court.
The EPSA, which is non-extendable, does not entitle power cooperatives, in this case, Paleco, to any subsidy from the government based on a Department of Energy (DoE) circular. This is being used by cooperatives to justify their increase in power rates.
Paleco said that under the Electric Power Industry Reform Act of 2001, they are entitled to subsidies and that the DoE circular is contrary to law because the cooperative belongs to the category of small power utility groups and is therefore entitled to a subsidy.
Romualdez said that these issues will be clarified once the Committee on Energy begins its hearing.
“It is important if we address all matters at the soonest possible time to unburden Palaweños of the power woes of Paleco. The Palaweños are not liable in this problem but they are the ones being burdened by high electricity rates,” he added.
He also vowed to look for ways to help Paleco address its shortcomings and reduce its deficiencies.
“The sooner we resolve its problems, the sooner we get Palaweños out of this dire situation. As I have said, we aim to help all stakeholders in Palawan, and that includes Paleco,” Romualdez said.