ERC revokes Peco’s provisional permit

The Energy Regulatory Commission (ERC) has revoked the provisional permit for the continued operation of Panay Electric Co. (Peco), paving the way for the Razon group’s More Electric and Power Corp. to take offer the electricity distribution business in Iloilo City.

In a three-page letter da­ted March 5 and addressed to the chief executives of both firms—Roel Castro of More and Luis Miguel Cacho of Peco—ERC Chair Agnes Devanadera said the regulator made the decision in a meeting held on the same day.


The resolution was made with the ERC “mindful of its mandates to protect consumer interest, ensure uninterrupted electric service to consumers in Iloilo City and prevent chaos and confusion among said customers as to who is authorized to operate the distribution system in the area.”

Devanadera said the ERC resolved to revoke the provisional certificate of public conveyance and necessity issued to Peco “after determining that More has established or acquired its own distribution system and verified More’s complete transition to full operations.”


At the same time, a provisional authority will be issued to More authorizing the company to operate the city’s power distribution network as well as to charge consumers at rates that Peco was currently allowed.

Further, More is directed to make available the electri­city supply needed to address consumer demand in that franchise area, following Republic Act No. 11212, which granted More such franchise.

“While More is unable to secure the certificate of e­xemption from the Department of Energy necessary to enter into emergency power supply agreements, it shall source its power requirements from the current … suppliers of Peco,” Devanadera added.

The ERC resolution was for both parties’ “strict compliance.”

Subscribe to Inquirer Business Newsletter
Read Next
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: energy regulatory commission, Panay Electric Co., Peco
For feedback, complaints, or inquiries, contact us.

© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.