Infrastructure NewsPart 3 News: Seven Winning Sectors

‘Phl power rates fifth highest in the world’

MANILA, Philippines – The country’s power rates are now the fifth highest in the world, Rep. Raymond Democrito Mendoza of the party-list group Trade Union Congress of the Philippines (TUCP) said yesterday.

“We are not just the highest in Asia in terms of residential rates, but the fifth highest in the world,” he said.

Mendoza said the country’s electricity rate is P10.52 per kilowatt-hour (kwh) compared to those in Austria, which is equivalent to P11.78, Italy P11.84, Germany P13.87, and Denmark P14.98.

“And with several petitions for rate increases pending before the Energy Regulatory Commission (ERC) totaling to more than P5 per kwh, our electricity rates could be the highest in the world both for industrial and residential users soon,” he stressed.

Earlier, the TUCP and several business organizations, including the Philippine Chamber of Commerce and Industries, appealed to President Aquino to address the problem of soaring power rates.

The groups said high electricity rates are a big turnoff to foreigners wanting to invest or expand their businesses here.

Mendoza lamented that they have not received a response from Malacañang while Energy Secretary Jose Rene Almendras dismissed their complaint as “nothing new.”

He said the energy chief should have considered their appeal seriously since high electricity cost “renders the Philippine economy as non-competitive with our neighbors like Thailand, Indonesia, Malaysia, Vietnam, and even Cambodia.”

The lawmaker also criticized deputy presidential spokesperson Abigail Valte for her “high-handed” answer to their appeal.

Valte has told the TUCP and other groups to bring their complaint before the ERC.

“Madame spokesperson, read our lips: ERC is part of the problem,” Mendoza said.
==============================================================================
By: Jess Diaz
Source: The Philippine Star, Oct. 11, 2011
To view the original article, click here.

Comment here