LESS DEMAND FOR POWER THIS YEAR

Power distributor VECO reports slower growth in 2017 so far, without last year’s boost from the elections, hotter weather, and large events like an international religious convention

Electricity demand in the Visayan Electric Company’s ( VECO) franchise area dropped in the first five months of 2017 from the same months in 2016, and this trend may continue in the remaining months of the year.

Anton Mari Perdices, VECO chief operating officer (COO), said there were more rainy days and the weather was cooler in January to May this year, compared with the same period last year.

VECO observed higher demand for power in 2016, with the grander Sinulog and the International Eucharistic Congress in January, the opening of major malls, the election campaign season, and hotter weather.

The Aboitiz-led power distribution company registered a highest daily peak demand of 507 megawatts (mw) in May 2017, compared with 524 mw in the same period last year.

On average, Perdices said in a discussion last Thursday with journalists, VECO records daily peak demand of 300-400 mw. A rainy 2017 would dampen power demand among households and establishments.

But regardless of lower electricity demand this year, the company remains bullish about its prospects for 2017, and is projecting growth of three to five percent, said Perdices.

Jaime Aboitiz, chief operating officer of AboitizPower’s Distribution Business Group, said in the same discussion that while the company expects growth, it may not be as high as last year’s.

“Election years are always hard to beat,” he said.

VECO has pledged to continue implementing its Underground Distribution System project or the transfer of power lines below ground, starting with Osmeña Blvd. to P. del Rosario St. in Cebu City, which it first launched in October 2014.

The work started from the Capitol to Fuente Osmeña, and is being continued from Fuente Osmeña to P. del Rosario St.

Perdices also reiterated VECO’s decision to close the service center in SM City Cebu and transfer it to JCentre Mall on A.S. Fortuna in Mandaue City.

The power distributor will open more service centers, but on a smaller scale, “for easier handling of customer requirements.” Last week, VECO said that 94 percent of its 400,000 customers pay their electric bills through third-party agents (TPAs). Veco is the biggest distribution utility in the Visayas, with franchise areas in four cities and four towns.