ERC, CDC sign zone regulation deal
Tuesday, August 08, 2006
By MYRNA M. VELASCO
he Energy Regulatory Commission (ERC) has signed a deal with the Clark Development Corporation (CDC) for regulatory and supervisory functions that shall be exercised on the provision of electricity needs of the locators within the Clark special economic zone.
ERC Chairman Rodolfo B. Albano, however, clarified that the memorandum of agreement (MoA) does not call for any transfer of the regulatory authority of the ERC over electricity service for the economic zone.
"Our agreement was just intended to facilitate the process of regulating the provision of power supply within Clark," the ERC chief explained.
As stipulated in the agreement, CDC will assist the ERC "in the performance of its regulatory and supervisory functions over the generation and distribution of electric power within the economic zone."
The MOA was signed by Albano and CDC president Antonio R. Ng; and the parties noted that with this covenant in place, "CSEZ locators in Clark will no longer travel all the way to Manila to file their applications with the ERC."
The CDC chief executive has assured the regulatory body of full compliance of the ecozone locators on the requirements being enforced in regard to regulation of electric utilities.
He added that with this kind of "administrative support being extended by ERC", they would be able to move forward with the development blueprint set out for Clark.
Clark is one of the country’s economic zones which the government has aligned for big-time development; with it now being host to major industries.
It would be noted that its neighboring Subic Bay is also pursuing flourishing development initiatives; after reforms have been initiated in the provision of reliable and costcompetitive electricity service in the area.
Not only that the ecozone locators in Subic now enjoy cheaper electricity rates; but improved delivery of power supply in the area has also been assured - by way of efficient generation and reliable transmission and distribution services.
Guaranteeing dependable electricity services in economic zones are seen crucial as policy agenda for businesses to thrive in the country; as these areas generally host industries which are sensitive to power outages - such as those in chips manufacturing sector.
By the same token, it is also crucial that rates are set competitively so investors would be enticed to pour in capital; as electricity is a crucial cost component in their ventures.
As it pursues development initiatives in its regulatory function, the ERC has also unveiled its "GREAT Program"; which it claims would embody its re-defined mission "to promote and protect long-term consumer interests in terms of quality, reliability and reasonable pricing of a sustainable supply of electricity." (MMV)
posted by philpower @ 10:17 AM,
