Concern over the possibility of overcontracting of power supply by the Central Negros Electric Cooperative after 2010 was aired in a press statement issued by convenor Romana de los Reyes of the Visayas for Renewable Energy.

The statement said consumers must be very concerned about the contracts that CENECO will enter into if it will not get out of the KEPCO-Salcon contract. Overcontracting for power can become very expensive for us consumers.

The statement also expressed concern over the earlier pronouncement of CENECO president Roberto Montelibano that they will also source power from PNOC-Energy Development Corp., First Farmers Holding Corp., and Hawaiian-Philippine Company to meet CENECO's demand for power after 2010 when its contract with the National Power Corp. will expire.

De los Reyes said in the statement that it should be made clear that while the present contract of CENECO with NPC will expire in 2010, Montelibano has also signed a contract that CENECO will buy power from NPC starting 2011.

In fact, the statement added, the KEPCO-Salcon contract has two components – power that will be sourced from KEPCO coal-fired power plant, and power that KEPCO will get from NPC.

This means that power contracted by CENECO totals to 67 megawatts, 50 MW from KEPCO and 17 MW from NPC, on an assumption of 80 percent plant availability, it added.

De los Reyes said consumers must be vigilant so they will not end up paying for power that CENECO has contracted but which will not be used like the case of Iloilo City , the statement added.

From 1998 to 2004, Panay Electric Company contracted power supply from Panay Power Corp. that was 21 to 57 percent more than what was actually used, and Iloilo City consumers had to pay for the unutilized power, it also said.*

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