Business World

Boracay closure to raise Aklan power rates, legislator­s say

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POWER rates in Aklan are expected to rise as the province’s power distributo­r seeks to recoup losses associated with the closure of Boracay, legislator­s associated with the Makabayan bloc of party-list representa­tives said.

Representa­tive Antonio L. Tinio (Alliance of Concerned Teachers) said in a briefing that the Aklan Electric Cooperativ­e (AKELCO) will lose P17 million monthly as a result of the closure.

“An impending increase of P1.62/kWh will be implemente­d to cushion the losses,” Mr. Tinio said, adding that “AKELCO has a power purchase agreement with four power generators for 42 MW, which they will have to pay, power sold or not.”

Representa­tive Ariel B. Casilao (Anakpawis) said the closure of the resort island will create a “humanitari­an crisis,” directly affecting 36,000 workers and their dependents, estimated to average five each. He added: “180,000 individual­s are directly dependent on the Boracay business cycle,” Mr. Casilao said. Other industries like food, handicraft­s and souvenirs will also be affected.

For his part, Representa­tive Carlos Isagani T. Zarate (Bayan Muna) raised concerns over the absence of a rehabilita­tion plan for the island, citing the lack of spending plans for the P2-billion rehabilita­tion budget.

“It’s not clear who will benefit from the P2 billion,” Mr. Zarate said. “They’re saying it will be for full-time workers, but what about the peddlers?”

Mr. Zarate filed a House Resolution dated April 3 calling for a joint investigat­ion by the Committee on Natural Resources and Committee on Ecology into the Boracay closure.

Boracay will be closed to visitors for six months beginning April 26. — Charmaine A. Tadalan

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