Razon’s Primelectric pursues infra upgrades in Visayas
Primelectric Holdings Inc. (PHI) of billionaire Enrique Razon is doubling down on its infrastructure investments to strengthen its distribution utilities in the Visayas.
The group, which operates More Electric and Power Corp. in Iloilo City, Negros Electric and Power Corp. in Central Negros, and Bohol Light Company, Inc. in Bohol, said it would continue pouring money into network upgrades and system loss reduction programs.
Negros Power, for instance, has allotted an initial budget of P2 billion over five years for its Central Negros franchise area.
More Power and Bohol Light, meanwhile, have about P2 billion in investments to make power systems more reliable over the next few years.
All this as the group seeks to maintain its position as a competitive electricity supplier offering the cheapest rates in the region.
In June, Primelectric said the three distribution firms had a total reduction of nearly P2 per kilowatt hour (kWh), translating to savings ranging from P110 to P150 for households consuming 200 kWh per month.
“These ongoing rate reductions position the utilities under PHI among the most affordable electricity providers in the Visayas region,” it said in a statement over the weekend.
Electricity rate drop
This month’s drop in electricity rates could also be attributed to lower charges in the Wholesale Electricity Spot Market and transmission costs.
In an earlier report, the Independent Electricity Market Operator of the Philippines (IEMOP) said average electricity spot price systemwide decreased by 11.2 percent to P4.01 per kWh from a month ago’s P4.52 per kWh.
Demand nationwide inched up by 2.9 percent to 15,169 megawatts (MW) “driven by the continuous extreme heat …” But thanks to ample supply, which increased to 22,218 MW from 21,345, prices recorded a drop.
For the Visayas, IEMOP noted an even higher rate cut of 17.9 percent to P3.71 per kWh from P4.52 per kWh.
