DECORP ups December bills by P.70 Kwh

By January 12, 2020Business, News

IF customers of Dagupan Electric Corporation (DECORP) are being made to pay more for their electric consumption last December, it is because P0.70 per kilowatt hour (Kwh) increase was imposed for the December 2019 billing month, representing an increase in generation charge.

Atty. Randy Castilan, spokesperson for DECORP, said the increase was a result of the series of emergency shutdowns of power plants that DECORP has contracts with.

He said the two power plants with whom DECORP has bilateral contracts, could only produce 40 megawatts of power.

“Sometimes Decorp had to purchase more power from the wholesale electricity stock market”, he added.

The wholesale electricity stock market (WESM) is where power plants in Luzon sell their excess power. “In case of maintenance or emergency shutdown of some power plants, the price in the WESM increases due to diminishing supply,” he pointed out.

Castilan said certain power plants charge high rates to maintain the power supply in the grid.

Meanwhile, consumers are advised to save electricity in the coming months, as the third tranche of the TRAIN Law will be implemented starting March 2020 billing month.

The TRAIN law, which took effect in 2018, will increase from P1.50 to P6 this year as excise for every liter of bunker and diesel fuel oil, and each kilogram of petroleum.

The excise tax for domestic or imported coal, will jump P50 to P150 per metric ton.

Nonetheless Castilan remains hopeful that the implementation of the third tranche will still be deferred. (Ahikam Pasion)

Share your Comments or Reactions

comments

Powered by Facebook Comments