ZAMBOANGA CITY - The Zamboanga City Electric Cooperative (ZAMCELCO) marked another milestone in its performance as it surpassed its previous rating in the annual assessment conducted by the National Electrification Administration (NEA).
Showing posts with label Zamboanga City Electric Cooperative. Show all posts
Showing posts with label Zamboanga City Electric Cooperative. Show all posts
Wednesday, August 2, 2023
Friday, October 1, 2021
Sunday, August 22, 2021
Friday, August 13, 2021
ZAMCELCO: New management, same problems
DESPITE ITS rebranding from “OLD ZAMCELCO” to “New ZAMCELCO,” the same problems continue to hound the Zamboanga City Electric Cooperative – from poor customer service to dilapidated electric meters, and the usual voltage fluctuations and power outages, remain the major complaints of the consumers.
Sunday, August 1, 2021
ZAMCELCO blamed anew for ‘pestering’ problems
COMPLAINTS ARE mounting over the continued voltage fluctuations and power outages here and electric consumers are outraged by the poor services of the Zamboanga City Electric Cooperative (ZAMCELCO), saying not a single day passes without problems.
Sunday, May 9, 2021
Zambo folks pestered by frequent voltage fluctuations, outages
ZAMBOANGA CITY – Electric consumers are outraged by the poor services of the Zamboanga City Electric Cooperative (ZAMCELCO), saying not a single day passes without multiple voltage fluctuations and power outages.
Tuesday, February 9, 2021
Que pasó ZAMCELCO?
ZAMBOANGA CITY – The local electric cooperative is now the subject of a complaint after a house owner said they were overbilled not once, but twice after a meter reader deliberately and falsely misread their actual power consumption on December 2020 and January 2021.
Saturday, December 26, 2020
ZAMCELCO imposes back-billing
ZAMBOANGA CITY – The local electric cooperative has imposed back-billing to many residential accounts following a massive installation of new electric meters here.
Thursday, July 16, 2020
ZAMCELCO consumers thank Beng for subsidy
ELECTRICITY CONSUMERS who are members of the Zamboanga City Electric Cooperative or ZAMCELCO thanked Mayor Beng Climaco for the one-time cash assistance they received from the local government.
Sunday, May 3, 2020
Zamboanga receives SMC donation to help feed residents
ZAMBOANGA CITY – The local government has received Saturday some P2
million worth of chicken and one thousand bags of flour donated by the Zamboanga
City Electric Cooperative and the San Miguel
Consolidated Power Corporation.
Wednesday, April 29, 2020
ECQ-affected Zamboangueños now burdened with high electric bills
ZAMBOANGA CITY – Public outrage is
building up in Zamboanga City after the local electric cooperative on Wednesday
started billing consumers more than what they are supposed to pay.
Thursday, April 25, 2019
Zambo power crisis over?
ZAMBOANGA CITY – The Zamboanga City Electric Cooperative or ZAMCELCO and power provider Western Mindanao Power Corporation or WMPC have finally reached a compromise agreement, ending months of power crisis here, following a meeting with the Energy Regulatory Commission or ERC on Thursday.
Both groups are locked in a bitter dispute after WMPC cut off power supply to ZAMCELCO after the cooperative now under the management of Crown Investments Holdings, Inc. and Desco Inc. refused to pay its overdue account amounting to P460 million.
For its part, ZAMCELCO insisted that WMPC, of Alsons Power Group and operated by Alto Power Management Corporation, overbilled the electric cooperative by since 2015 by P440 million and is demanding a refund.
Prominent lawyer Wendell Sotto, who is running for a congressional seat in Zamboanga, filed a motion ad cautelam (Latin word which means “for security” or “as a precaution”) on April 17 with the ERC on behalf of some 180,000 cooperative members for the issuance of a status quo ante order and it was heard Thursday during the meeting with ERC and representatives of ZAMCELCO and WMPC.
Ad cautelam” can be translated into English as “,” or “to be on the safe side.”
In his motion, Sotto said he studied WMPC’s petition against ZAMCELCO. “From my understanding, the issues raised therein are mere legal issues between two corporations on the different interpretations and applications of contract law principles. These issues are between ZAMCELCO and WMPC hence, it should not unduly prejudice the rights and interests of Zamboangueños.”
He said local residents are suffering from daily power outages and the delivery of government services is hampered. The delivery of critical medical services in hospitals is also stifled, endangering the lives and health of many patients. Classes in schools are affected, particularly by the heat of the summer without power for ventilation, compromising the education of our children and local businesses on which so many depend are placed at risk, according to Sotto.
“We are forced to endure hours-long daily brownouts during the summer months – the hottest season of the year. On top of this, we also have a recurring water supply shortage. Without a doubt, the daily brownouts, coupled with the water supply shortage, adversely affects the daily lives of my fellow Zamboangueños,” Sotto said.
Crown Investments Holdings, Inc. and Desco Inc. took over ZAMCELCO in January this year after bailing out the heavily-indebted and poorly-managed electric cooperative for P2.5 billion.
“As an intervener, I also filed my motion for status quo and I argued and manifested that pending the resolution of the Omnibus motion and opposition of ZAMCELCO, I asked that my motion be considered.”
“That’s the time the hearing called both parties and asked them to explore for a possible compromise, after which, a compromised was agreed upon. WMPC and ZAMCELCO agreed that by Monday, April 29, they will revert back to the Power Sales Agreement (between them),” Sotto told The Zamboanga Post by phone after the ERC hearing.
Sotto said ZAMCELCO has agreed to pay WMPC an initial of P220 million and both sides agreed to discuss how the electric cooperative will pay its remaining balance.
“At least pending the final resolution of the case, we will now have a stable supply of power following the compromise agreement between ZAMCELCO and WMPC,” he said.
The compromise deal was reached after the Department of Energy or DOE sent Energy Assistant Secretary Redentor Delola to Zamboanga this month to look into the crisis. Delola said a team of lawyers and engineers are also expected to arrive here soon to conduct an audit and report their findings.
He said DOE Secretary Alfonso Cusi instructed him to find a solution to solve the power crisis. “The Department of Energy is here because the Secretary (Alfonso Cusi) assigned me to look into the power situation in Zamboanga. We were made aware already of the long standing issue that we have here, lalong lalo na sa mga power outages that we have 2 to 3 hours of outages per day,” he said.
“The Department of Energy will be back and we will conduct an audit. We will bring a team of lawyers and engineers that will review the situation that we have and withy what’s happening now the Department of Energy is stepping in to help address the issue and help find a solution to this problem,” he said.
With ZAMCELCO and WMPC locked in a legal battle, electric consumers and businesses here continue to suffer from power outages and poor utility services prompting Mayor Maria Isabelle Climaco Salazar to broker several meetings with WMPC and ZAMCELCO to find solutions to their problems.
Salazar, exasperated by the rift between WMPC and ZAMCELCO, also wrote a strongly-worded letter to the electric cooperative addressed to lawyer Jomar Castillo, of Crown Investments Holdings on April 1 and demanded it to pay WMPC and to restore normal electricity supply in Zamboanga.
“This has reference to the current power situation in our City. As you know, Zamboanga City plays a key role not only in trade and commerce, but in national security as well. Residents and businesses are complaining of longer and more frequent outages since February 4 that adversely affected our local economy prompting me to write this demand letter.”
“While we support the Investment Management Contract and laud your commitment to pump in P2.5 billion into ZAMCELCO, we can no longer tolerate the rotating blackouts. Whether there is legal basis to withhold payment to WMPC must be settled in the proper courts of law. In the meantime, our people cannot suffer further. We have been paying our monthly bills and we see no reason why we are made to suffer the consequences of the electric cooperative's refusal to pay WMPC. For Zamboanga City that is hub of trade and commerce and also hosts to the Western Mindanao Command, the stakes are too high if power outages will continue,” Salazar wrote.
Salazar also said electric consumers are demanding ZAMCELCO to provide them with better services. “We have been appealing many times to ZAMCELCO to the extent that the local government even held talks with representatives of ZAMCELCO and WMPC for them to settle their differences or legal problems because everybody is affected by this inadequate supply of electricity. We cannot go on like this and this problem must be resolved quickly,” she said.
To mitigate the power crisis, ZAMCELCO said it acquired more expensive diesel-powered generators to be able to supply Zamboanga’s power demand of at least 80 megawatts, but these are only being used during peak hours.
Salazar said rotational power outages, which began in February, have already affected the local economy with many business establishments spending more on fuel to run their generators for hours on a daily basis.
Aside from power outages, ZAMCELCO's irregular supply of electricity here resulted in low voltage most of the time and residents blamed the utility firm for damages on their appliances. And worst, ZAMCELCO and WMPC traded accusations in the media while electric consumers suffer from the rift.
The power crisis in Zamboanga was worse in 2010 and for three years, the city had to endure 8 to 16 hours of blackout daily. And ZAMCELCO blamed the power crisis to El Niño weather phenomenon and the maintenance shutdown of hydro and coal-fired power plants in Mindanao.
ZAMCELCO could only wait for the construction of the 100-megawatt coal-fired power plant of Alsons Power Holdings which was originally set to begin operation in 2016 in the village of Talisayan.
But Alsons failed to start building its facility and cited many reasons for the long delay – from the failed Moro rebellion here in 2013 to the P900-million enhancement program it was demanding from ZAMCELCO as an assurance it could pay them for the stable supply of electricity.
Even today, Alsons has not started construction of its coal-fired power plant here and ZAMCELCO said it would not purchase electricity from Alsons or what it is called now the San Ramon Power, Inc. due to the current problems involving WMPC. (The Zamboanga Post)
Thank you so much for visiting our website. Your small donation will ensure the continued operation of the Mindanao Examiner Regional Newspaper. Thank you again for supporting us. BPI: 952 5815649 (BOPIPHMM) Landbank: 195 113 9935 (TLBPPHMM)
Both groups are locked in a bitter dispute after WMPC cut off power supply to ZAMCELCO after the cooperative now under the management of Crown Investments Holdings, Inc. and Desco Inc. refused to pay its overdue account amounting to P460 million.
For its part, ZAMCELCO insisted that WMPC, of Alsons Power Group and operated by Alto Power Management Corporation, overbilled the electric cooperative by since 2015 by P440 million and is demanding a refund.
Lawyer stands for Zambo folks
Zamboanga congressional candidate and prominent lawyer Wendell Sotto.
Ad cautelam” can be translated into English as “,” or “to be on the safe side.”
In his motion, Sotto said he studied WMPC’s petition against ZAMCELCO. “From my understanding, the issues raised therein are mere legal issues between two corporations on the different interpretations and applications of contract law principles. These issues are between ZAMCELCO and WMPC hence, it should not unduly prejudice the rights and interests of Zamboangueños.”
He said local residents are suffering from daily power outages and the delivery of government services is hampered. The delivery of critical medical services in hospitals is also stifled, endangering the lives and health of many patients. Classes in schools are affected, particularly by the heat of the summer without power for ventilation, compromising the education of our children and local businesses on which so many depend are placed at risk, according to Sotto.
“We are forced to endure hours-long daily brownouts during the summer months – the hottest season of the year. On top of this, we also have a recurring water supply shortage. Without a doubt, the daily brownouts, coupled with the water supply shortage, adversely affects the daily lives of my fellow Zamboangueños,” Sotto said.
Crown Investments Holdings, Inc. and Desco Inc. took over ZAMCELCO in January this year after bailing out the heavily-indebted and poorly-managed electric cooperative for P2.5 billion.
“As an intervener, I also filed my motion for status quo and I argued and manifested that pending the resolution of the Omnibus motion and opposition of ZAMCELCO, I asked that my motion be considered.”
“That’s the time the hearing called both parties and asked them to explore for a possible compromise, after which, a compromised was agreed upon. WMPC and ZAMCELCO agreed that by Monday, April 29, they will revert back to the Power Sales Agreement (between them),” Sotto told The Zamboanga Post by phone after the ERC hearing.
Sotto said ZAMCELCO has agreed to pay WMPC an initial of P220 million and both sides agreed to discuss how the electric cooperative will pay its remaining balance.
“At least pending the final resolution of the case, we will now have a stable supply of power following the compromise agreement between ZAMCELCO and WMPC,” he said.
DOE Audit Teams
He said DOE Secretary Alfonso Cusi instructed him to find a solution to solve the power crisis. “The Department of Energy is here because the Secretary (Alfonso Cusi) assigned me to look into the power situation in Zamboanga. We were made aware already of the long standing issue that we have here, lalong lalo na sa mga power outages that we have 2 to 3 hours of outages per day,” he said.
“The Department of Energy will be back and we will conduct an audit. We will bring a team of lawyers and engineers that will review the situation that we have and withy what’s happening now the Department of Energy is stepping in to help address the issue and help find a solution to this problem,” he said.
Intercession
Salazar, exasperated by the rift between WMPC and ZAMCELCO, also wrote a strongly-worded letter to the electric cooperative addressed to lawyer Jomar Castillo, of Crown Investments Holdings on April 1 and demanded it to pay WMPC and to restore normal electricity supply in Zamboanga.
“This has reference to the current power situation in our City. As you know, Zamboanga City plays a key role not only in trade and commerce, but in national security as well. Residents and businesses are complaining of longer and more frequent outages since February 4 that adversely affected our local economy prompting me to write this demand letter.”
“While we support the Investment Management Contract and laud your commitment to pump in P2.5 billion into ZAMCELCO, we can no longer tolerate the rotating blackouts. Whether there is legal basis to withhold payment to WMPC must be settled in the proper courts of law. In the meantime, our people cannot suffer further. We have been paying our monthly bills and we see no reason why we are made to suffer the consequences of the electric cooperative's refusal to pay WMPC. For Zamboanga City that is hub of trade and commerce and also hosts to the Western Mindanao Command, the stakes are too high if power outages will continue,” Salazar wrote.
Salazar also said electric consumers are demanding ZAMCELCO to provide them with better services. “We have been appealing many times to ZAMCELCO to the extent that the local government even held talks with representatives of ZAMCELCO and WMPC for them to settle their differences or legal problems because everybody is affected by this inadequate supply of electricity. We cannot go on like this and this problem must be resolved quickly,” she said.
Expensive Generator Sets
Salazar said rotational power outages, which began in February, have already affected the local economy with many business establishments spending more on fuel to run their generators for hours on a daily basis.
Aside from power outages, ZAMCELCO's irregular supply of electricity here resulted in low voltage most of the time and residents blamed the utility firm for damages on their appliances. And worst, ZAMCELCO and WMPC traded accusations in the media while electric consumers suffer from the rift.
The power crisis in Zamboanga was worse in 2010 and for three years, the city had to endure 8 to 16 hours of blackout daily. And ZAMCELCO blamed the power crisis to El Niño weather phenomenon and the maintenance shutdown of hydro and coal-fired power plants in Mindanao.
ZAMCELCO could only wait for the construction of the 100-megawatt coal-fired power plant of Alsons Power Holdings which was originally set to begin operation in 2016 in the village of Talisayan.
But Alsons failed to start building its facility and cited many reasons for the long delay – from the failed Moro rebellion here in 2013 to the P900-million enhancement program it was demanding from ZAMCELCO as an assurance it could pay them for the stable supply of electricity.
Even today, Alsons has not started construction of its coal-fired power plant here and ZAMCELCO said it would not purchase electricity from Alsons or what it is called now the San Ramon Power, Inc. due to the current problems involving WMPC. (The Zamboanga Post)
Thank you so much for visiting our website. Your small donation will ensure the continued operation of the Mindanao Examiner Regional Newspaper. Thank you again for supporting us. BPI: 952 5815649 (BOPIPHMM) Landbank: 195 113 9935 (TLBPPHMM)
Sunday, April 14, 2019
DOE steps into Zambo power crisis, auditors coming over
ZAMBOANGA CITY – Following public criticisms and mounting complaints of daily power outages against the Zamboanga City Electric Cooperative or ZAMCELCO, the Department of Energy or DOE is now looking into the problem that has seriously affected the local economy.
Electricity supplier Western Mindanao Power Corporation or WMPC, operated by Alto Power Management Corporation, has cut off power supply to ZAMCELCO - now under the management of Crown Investments Holdings, Inc. and Desco Inc. - after refusing to pay its overdue account amounting to P460 million from only P235 million in February.
Crown Investments Holdings, Inc. and Desco Inc. took over ZAMCELCO in January this year after bailing out the heavily-indebted and poorly-managed electric cooperative for P2.5 billion. Now ZAMCELCO claims that WMPC had over billed the electric cooperative since 2015 by P440 million and is demanding a refund.
WMPC, a partnership between Alsons Consolidated Resources, Inc. and Toyota Tshusho Corporation of Japan, also operates diesel plants of the Mapalad Power Corporation in Iligan City and the Southern Philippines Power Corporation in Sarangani province.
A screenshot of Energy Assistant Secretary Redentor Delola. during an interview at Zamboanga City Hall on April 12, 2019.
Energy Assistant Secretary Redentor Delola was sent to Zamboanga City recently where he met with Mayor Maria Isabelle Climaco Salazar to discuss the power crisis. Salazar, exasperated by the daily power outages, demanded that ZAMCELCO pay up its overdue accounts to WMPC and resolve the crisis. She also brought the matter repeatedly to the attention of the DOE and the National Electrification Administration or NEA.
“The Department of Energy is here because the Secretary (Alfonso Cusi) assigned me to look into the power situation in Zamboanga. We were made aware already of the long standing issue that we have here, lalong lalo na sa mga power outages that we have 2 to 3 hours of outages per day.”
“We went around the city and talked to some people kung ano yun talagang nangyari, we talked to some members of the Regional Development Council and we talked to the good Mayor kung ano yun problema. When we reviewed the entire thing, nakikita natin na the one that is causing our problem that we have right now is the dispute between Investment Management Team (IMC) which recently came in to manage ZAMCELCO and one of the (power) supplier (WMPC),” Delola said.
He said the power problem in Zamboanga has worsened, adding, Cusi instructed him to find a solution to solve the power crisis in Zamboanga. He said a team of lawyers and engineers are also expected to arrive here soon to conduct an audit and report their findings.
“Yun po ang gustong i-parating ng ating Secretary ng Department of Energy, the DOE will look into this one, we will find ways to finally settle, or finally find a solution to this problem na matagal na natin nai-experience na lumala lang ngayon. And hopefully we can help also the new IMC team to really rehabilitate and improve the services in Zamboanga,” Delola said.
“The Department of Energy will be back and we will conduct an audit. We will bring a team of lawyers and engineers that will review the situation that we have and withy what’s happening now the Department of Energy is stepping in to help address the issue and help find a solution to this problem,” he added.
It was unknown whether former ZAMCELCO officials had knowledge of the overbilling or not, but many executives had been sacked the past years by NEA on corruption allegations, but none of them had been criminally charged.
With ZAMCELCO and WMPC locked in a legal battle, electric consumers and businesses here continue to suffer from power outages and poor utility services. ZAMCELCO also stopped buying electricity from WMPC and is now scouting for new power suppliers.
It also acquired more expensive diesel-powered generators to be able to supply Zamboanga’s power demand of at least 80 megawatts, but these are only being used during peak hours and the same problem remains the same.
Salazar said rotational power outages, which began in February, have already affected the local economy with many business establishments spending more on fuel to run their generators for hours on a daily basis. The lack of household electricity also put heavy burden on residents and many of them rely on ZAMCELCO for power supply because they cannot afford to buy their own generators.
Salazar has written a strongly-worded letter to ZAMCELCO and demanding it to pay WMPC and to restore normal electricity supply in Zamboanga. A copy of the April 1 letter addressed to lawyer Jomar Castillo was also posted on Salazar’s Facebook page and reads: “This has reference to the current power situation in our City. As you know, Zamboanga City plays a key role not only in trade and commerce, but in national security as well. Residents and businesses are complaining of longer and more frequent outages since February 4 that adversely affected our local economy prompting me to write this demand letter.”
“While we support the Investment Management Contract and laud your commitment to pump in P2.5 billion into ZAMCELCO, we can no longer tolerate the rotating blackouts. Whether there is legal basis to withhold payment to WMPC must be settled in the proper courts of law. In the meantime, our people cannot suffer further. We have been paying our monthly bills and we see no reason why we are made to suffer the consequences of the electric cooperative's refusal to pay WMPC. For Zamboanga City that is hub of trade and commerce and also hosts to the Western Mindanao Command, the stakes are too high if power outages will continue.”
Salazar also said electric consumers are demanding ZAMCELCO to provide them with better services. “We have been appealing many times to ZAMCELCO to the extent that the local government even held talks with representatives of ZAMCELCO and WMPC for them to settle their differences or legal problems because everybody is affected by this inadequate supply of electricity. We cannot go on like this and this problem must be resolved quickly,” Salazar said.
Aside from power outages, ZAMCELCO's irregular supply of electricity here resulted in low voltage most of the time and residents blamed the utility firm for damages on their appliances. And worst, ZAMCELCO and WMPC traded accusations in the media while electric consumers suffer from the rift.
Since 2010, Zamboanga suffered from severe power curtailment – as much as 6 hours a day and at worst, 14 hours or more. And ZAMCELCO blamed the power crisis to El Niño weather phenomenon and the maintenance shutdown of hydro and coal-fired power plants in Mindanao.
ZAMCELCO could only wait for the construction of the 100-megawatt coal-fired power plant of Alsons Power Holdings which was originally set to begin operation in 2016 in the village of Talisayan.
But Alsons failed to start building its facility and cited many reasons for the long delay – from the failed Moro rebellion here in 2013 to the P900-million enhancement program it was demanding from ZAMCELCO as an assurance it could pay them for the stable supply of electricity.
Even today, Alsons has not started construction of its coal-fired power plant here and ZAMCELCO said it would not purchase electricity from Alsons or what it is called now the San Ramon Power, Inc. due to the current problems involving the two groups. (The Zamboanga Post)
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Thank you so much for visiting our website. Your small donation will ensure the continued operation of the Mindanao Examiner Regional Newspaper. Thank you again for supporting us. BPI: 952 5815649 (BOPIPHMM) Landbank: 195 113 9935 (TLBPPHMM)
Thursday, April 4, 2019
Zamboanga suffering from lack of power supply
ZAMBOANGA CITY – Mayor Maria Isabelle Salazar had demanded the Zamboanga City Electric Cooperative or ZAMCELCO to pay up its overdue accounts to electricity supplier Western Mindanao Power Corporation or WMPC to resolve the daily power outages here.
WMPC cut off electricity supply to ZAMCELCO - now under the management of Crown Investments Holdings, Inc. and Desco Inc. - after it refuses to pay its overdue account of P235 million.
Crown Investments Holdings, Inc. and Desco Inc. took over ZAMCELCO in January this year after bailing out the heavily-indebted and poorly-managed electric cooperative for P2.5 billion.
Now ZAMCELCO claims that WMPC had overbilled the electric cooperative since 2015 by P440 million.
WMPC is being run by Alto Power Management Corporation, a partnership between Alsons Consolidated Resources, Inc. through Conal Holdings Corporation and Toyota Tshusho Corporation of Japan. It also operates diesel plants of the Mapalad Power Corporation in Iligan City and the Southern Philippines Power Corporation in Sarangani province.
It was unknown whether former ZAMCELCO officials had knowledge of the overbilling or not, but many executives had been sacked the past years by the National Electrification Administration on corruption allegations, but none of them had been criminally charged.
Now both ZAMCELCO and WMPC are locked in a legal battle with Zamboanga suffering the brunt of the business rift between the two companies. ZAMCELCO also stopped buying electricity from WMPC and is now scouting for new suppliers. It also acquired more expensive diesel-powered generators to be able to supply Zamboanga’s power demand of at least 80 megawatts.
Salazar said rotational power outages, which began in February, have already affected the local economy with many business establishments spending more on fuel to run their generators for hours on a daily basis.
The lack of household electricity also put heavy burden on residents and many of them rely on ZAMCELCO for power supply because they cannot afford to buy their own generators.
Salazar has written a strongly-worded letter to ZAMCELCO and demanding it to pay WMPC and to restore normal electricity supply in Zamboanga.
A copy of the April 1 letter addressed to lawyer Jomar Castillo was also posted on Salazar’s Facebook page and reads: “This has reference to the current power situation in our City. As you know, Zamboanga City plays a key role not only in trade and commerce, but in national security as well. Residents and businesses are complaining of longer and more frequent outages since February 4 that adversely affected our local economy prompting me to write this demand letter.”
“While we support the Investment Management Contract and laud your commitment to pump in P2.5 billion into ZAMCELCO, we can no longer tolerate the rotating blackouts. Whether there is legal basis to withhold payment to WMPC must be settled in the proper courts of law. In the meantime, our people cannot suffer further. We have been paying our monthly bills and we see no reason why we are made to suffer the consequences of the electric cooperative's refusal to pay WMPC. For Zamboanga City that is hub of trade and commerce and also hosts to the Western Mindanao Command, the stakes are too high if power outages will continue.”
In a press statement, Salazar also said electric consumers are demanding ZAMCELCO to provide them with proper utility services. “We have been appealing many times to ZAMCELCO to the extent that the local government even held talks with representatives of ZAMCELCO and WMPC for them to settle their differences or legal problems because everybody is affected by this inadequate supply of electricity. We cannot go on like this and this problem must be resolved quickly,” Salazar said.
Since 2012, Zamboanga also suffered from severe power curtailment – as much as 6 hours a day and at worst, 14 hours or more. And ZAMCELCO - whose manager then was George Ledesma – blamed the power crisis to El Niño weather phenomenon and maintenance shutdown of hydro and coal-fired power plants in Mindanao.
ZAMCELCO could only wait for the construction of the 100-megawatt coal-fired power plant of Alsons Power Holdings which was set to begin operation in 2016 in the village of Talisayan.
But Alsons failed to start building its facility and cited many reasons for the long delay – from the failed Moro rebellion here in 2013 to the P900-million enhancement program it was demanding from ZAMCELCO as an assurance it could pay them for the stable supply of electricity.
Even today, Alsons has not started construction of its coal-fired power plant here and ZAMCELCO said it would not purchase electricity from Alsons or what it is called now the San Ramon Power, Inc. due to the current problems involving its demand for WMPC to refund the P440 million so it can return it to electric consumers.
In a 2015 interview by the regional newspaper Mindanao Examiner, Edwin To, president of the Zamboanga Chamber of Commerce and Industry, said long hours of electricity blackouts increased the cost of business operation and at the same time decreased the productivity of everyone, public and private offices.
To said that business owners who can afford the use of power generators were also complaining because it adds up to the cost of running their establishment.
To, who is also the president of Budgetwise Supermarket, one of the biggest in Zamboanga; and the chairman of the modern Ciudad Medical Zamboanga, previously suggested that the government should push for the so-called Interruptible Load Program or ILP.
According to the Retail Electricity Suppliers Association, the ILP - a program established by the Department of Energy and the Energy Regulatory Commission - aims to help mitigate the energy supply deficiency in the country until new capacities become available on the grid.
Companies with stand-by generation capacities who participate in the ILP will be compensated under this program should they use their own generating facilities during instances of power supply deficit.
But companies that will participate in the ILP will be asked by the distribution utility to “de-load” for particular hours in a day when the power supply in the grid will not be enough for the power demand.
“De-loading” will mean having to run its embedded stand-by generation sets to provide for its own electricity requirements. (The Zamboanga Post)
Thank you so much for visiting our website. Your small donation will ensure the continued operation of the Mindanao Examiner Regional Newspaper. Thank you again for supporting us. BPI: 952 5815649 (BOPIPHMM) Landbank: 195 113 9935 (TLBPPHMM)
WMPC cut off electricity supply to ZAMCELCO - now under the management of Crown Investments Holdings, Inc. and Desco Inc. - after it refuses to pay its overdue account of P235 million.
Crown Investments Holdings, Inc. and Desco Inc. took over ZAMCELCO in January this year after bailing out the heavily-indebted and poorly-managed electric cooperative for P2.5 billion.
Now ZAMCELCO claims that WMPC had overbilled the electric cooperative since 2015 by P440 million.
WMPC is being run by Alto Power Management Corporation, a partnership between Alsons Consolidated Resources, Inc. through Conal Holdings Corporation and Toyota Tshusho Corporation of Japan. It also operates diesel plants of the Mapalad Power Corporation in Iligan City and the Southern Philippines Power Corporation in Sarangani province.
It was unknown whether former ZAMCELCO officials had knowledge of the overbilling or not, but many executives had been sacked the past years by the National Electrification Administration on corruption allegations, but none of them had been criminally charged.
Now both ZAMCELCO and WMPC are locked in a legal battle with Zamboanga suffering the brunt of the business rift between the two companies. ZAMCELCO also stopped buying electricity from WMPC and is now scouting for new suppliers. It also acquired more expensive diesel-powered generators to be able to supply Zamboanga’s power demand of at least 80 megawatts.
Salazar said rotational power outages, which began in February, have already affected the local economy with many business establishments spending more on fuel to run their generators for hours on a daily basis.
The lack of household electricity also put heavy burden on residents and many of them rely on ZAMCELCO for power supply because they cannot afford to buy their own generators.
Letter to ZAMCELCO
A copy of the April 1 letter addressed to lawyer Jomar Castillo was also posted on Salazar’s Facebook page and reads: “This has reference to the current power situation in our City. As you know, Zamboanga City plays a key role not only in trade and commerce, but in national security as well. Residents and businesses are complaining of longer and more frequent outages since February 4 that adversely affected our local economy prompting me to write this demand letter.”
“While we support the Investment Management Contract and laud your commitment to pump in P2.5 billion into ZAMCELCO, we can no longer tolerate the rotating blackouts. Whether there is legal basis to withhold payment to WMPC must be settled in the proper courts of law. In the meantime, our people cannot suffer further. We have been paying our monthly bills and we see no reason why we are made to suffer the consequences of the electric cooperative's refusal to pay WMPC. For Zamboanga City that is hub of trade and commerce and also hosts to the Western Mindanao Command, the stakes are too high if power outages will continue.”
In a press statement, Salazar also said electric consumers are demanding ZAMCELCO to provide them with proper utility services. “We have been appealing many times to ZAMCELCO to the extent that the local government even held talks with representatives of ZAMCELCO and WMPC for them to settle their differences or legal problems because everybody is affected by this inadequate supply of electricity. We cannot go on like this and this problem must be resolved quickly,” Salazar said.
Recurring crisis
ZAMCELCO could only wait for the construction of the 100-megawatt coal-fired power plant of Alsons Power Holdings which was set to begin operation in 2016 in the village of Talisayan.
But Alsons failed to start building its facility and cited many reasons for the long delay – from the failed Moro rebellion here in 2013 to the P900-million enhancement program it was demanding from ZAMCELCO as an assurance it could pay them for the stable supply of electricity.
Even today, Alsons has not started construction of its coal-fired power plant here and ZAMCELCO said it would not purchase electricity from Alsons or what it is called now the San Ramon Power, Inc. due to the current problems involving its demand for WMPC to refund the P440 million so it can return it to electric consumers.
In a 2015 interview by the regional newspaper Mindanao Examiner, Edwin To, president of the Zamboanga Chamber of Commerce and Industry, said long hours of electricity blackouts increased the cost of business operation and at the same time decreased the productivity of everyone, public and private offices.
To said that business owners who can afford the use of power generators were also complaining because it adds up to the cost of running their establishment.
Interruptible Load Program
According to the Retail Electricity Suppliers Association, the ILP - a program established by the Department of Energy and the Energy Regulatory Commission - aims to help mitigate the energy supply deficiency in the country until new capacities become available on the grid.
Companies with stand-by generation capacities who participate in the ILP will be compensated under this program should they use their own generating facilities during instances of power supply deficit.
But companies that will participate in the ILP will be asked by the distribution utility to “de-load” for particular hours in a day when the power supply in the grid will not be enough for the power demand.
“De-loading” will mean having to run its embedded stand-by generation sets to provide for its own electricity requirements. (The Zamboanga Post)
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