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Three un-smartest ways in dealing with PECO (3)

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The third thing that the City Government demanded from Panay Electric Co. (PECO) is to let the sole power distribution company explain to the public what causes the series of blackouts.

"Explain to the public why we have blackouts in spite of a 'stable supply of power'" is a demand to PECO that we can least expect from the City Government. PECO has been provided numerous opportunities to explain why the blackouts continue to occur. On the other hand, PECO has perfected its alibis including a media campaign amid blackouts that are no longer intermittent but are now day-to-day events in different hours and districts.

The power problem of Iloilo City has been going on as far back as the administration of former Mayor Mansueto Malabor. Malabor was succeeded by Jerry Trenas, who likewise failed to address the power problem of the city in his nine year as the city's chief executive. There was no action then and no action now. This is the reason why consumers have become familiar with PECO's explanations each time a blackout occurs.

In a TV interview, Engr. Randy Pastolero of PECO explained that the May 2 total blackout was caused by the high value of moisture that accumulated inside the cubicle or casing of its at the 20-MVA substation located in Gen. Luna St. setting off a "flashover" to its main 13.8-KV busbar affecting the transmission of electricity to PECO's five feeders, which in turn transmits electricity to its substations. With its main busbar facility out from the system, the city plunged into total blackout.

In a separate interview, executives of Panay Energy Development Corp. (PEDC) and Panay Power Corp. (PPC) emphasized that the problem was solely from PECO's side and they did not elaborate further regarding the role of the generation sector. But Engr. Pastolero mentioned about a "lapse" of coordination between PECO in its power suppliers also as a cause why blackout extended.

I'm sure that Iloilo City Mayor Jed Patrick Mabilog was informed about what caused the series of blackout in the city for it prompted him to push for the review of PECO franchise and jolted him to float the idea of opening the city to another franchisee on power distribution.

But, for the City Government to allow PECO to explain again and again is like listening to an old record. All these years, Engr. Randy Pastolero was brought to the table many times over to explain to public officials what causes all these blackouts and what the PECO management has done about the problem. In all of the occasions, the explanations from PECO are more or less the same. It is caused by technical breakdown on one of PECO's distribution facilities like feeders, sub-stations or busbar.

The information gathered from the investigations that were undertaken revealed that PECO's facilities has been neglected and in turn caused the gradual deterioration of its facility and equipment. This is what PECO failed to admit before the public but these are the root causes why we have blackouts.

What the technical explanations from PECO have illustrated is that its facilities could no longer tolerate its current environment (high moisture) because these are old equipment as admitted by Engr. Pastolero. This is a blatant mismanagement on the part of PECO because they are charging a cost to consumers for its operations. Did the City Government look deeper into the matter? I guess not, for obviously the City Government has been tip toeing against PECO. This pestering problem is supposed to require local government intervention a long time ago.

These events also revealed that the City Government remains cautious in exercising its powers in order to solve the power problem of the city. Way back in 2005, the Freedom from Debt Coalition and Atty. Romeo Gerochi has pushed that the City Government to take over PECO in light of the P631-million refund order handed down by the Energy Regulatory Commission (ERC).

The refund order was not just a legal victory but a historic success by the Ilonggos against PECO and it proved one thing: that PECO has been abusive and unjust to the Ilonggo people. The City Government, however, did not grab it as an opportunity to assert its power over the operations of public utilities in its territory in order institute reforms in the local power industry.

Morever, in spite of the power provided to the local government under the Local Government Code of 1991, the City Government did not even intervene before the ERC or in Congress on this particular case wherein PECO has been found to have committed abuse of market power.

The refund order provided one of the significant opportunities for the City Government to assert its power, realize its mandate to protect consumers, and put a stop on the abuses of PECO. If the local government put up to the challenge, it could have stirred the development of the power utility to become consistent to its development program and responsive to the needs of the people.

The City Government, ironically and deliberately, failed to exercise its political will and was not able to grab the opportunity. As a result, we continue to suffer from PECO's abuses while the company's inefficiencies have worsened.

In light of recent events, we have heard Mayor Jed Patrick Mabilog demand explanation from PECO and the latter has provided quite of the same explanation already. Yet Mabilog's proposals like the review of PECO's franchise and opening the city to another franchisee of power distribution remain artificial suggestions. We have yet to see Mabilog exercise his political will over PECO and propel his proposals into action.*

 

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