President Ferdinand Marcos Jr. Approves Franchise For Negros Power
President Ferdinand Marcos Jr. has signed Republic Act Number 12011, granting Negros Electric and Power Corporation (NEPC) the franchise to manage and operate the electricity distribution system in Central Negros. This move is expected to guarantee continuous and uninterrupted electricity supply across the region.
A Collaborative Legislative Effort
The approval of NEPC’s franchise is a significant legislative milestone. The bill, introduced by Negrense Representatives Stephen Paduano, Jose Francisco Benitez, Juliet Marie Ferrer, and Greg Gasataya, was approved by the House on February 21, 2024, and amended by the Senate on May 20, 2024. It received final concurrence from the House on May 22, 2024, before being forwarded to the Office of the President. President Marcos signed the legislation on July 26, 2024, just a day before it would have lapsed into law.
Strengthening Power Distribution
NEPC, also known as Negros Power, is a joint venture between Primelectric Holdings Inc. (PHI) and Central Negros Electric Cooperative (CENECO). This partnership aims to enhance power distribution and customer service for over 220,000 active accounts in Bacolod, Bago, Talisay, Silay, and the municipalities of Murcia and Don Salvador Benedicto.
PHI will acquire all power distribution assets of CENECO, valued at over two billion pesos, with 70% paid in cash and the remaining 30% representing CENECO’s share in NEPC. This agreement ensures that the transition to NEPC management is smooth and beneficial for all stakeholders.
Commitment to Employees and Consumers
The National Electrification Administration (NEA) has endorsed CENECO’s decision and instructed that priority be given to loan repayments and employee benefits. NEPC has confirmed the employment of over 200 CENECO employees, ensuring job security during the transition.
Negros Power, with the technical assistance of MORE Power, has already started working on preventive maintenance activities and responding to consumer trouble calls. The company is also preparing its offices, materials, and equipment to ensure a seamless start to its operations in August.
A Vision for Modernization
Negros Power has allocated an initial capital of two billion pesos for a five-year plan to rehabilitate and modernize the electric infrastructure in Central Negros. This plan aims to establish a robust distribution system, minimize unscheduled power outages, and improve overall service quality.
NEPC President and CEO Roel Castro expressed gratitude to the President, legislators, consumers, and local leaders for their support. He emphasized the company’s commitment to fulfilling its promises to consumers and improving electric service in the region.
“We are grateful that our leaders and everyone are supporting this initiative to improve electric service for consumers. We now have the law, it’s time to walk the talk, and we are ready to serve and fulfill our promises to the consumers of Central Negros,” Castro said.
Looking Ahead
Negros Power will apply for a Certificate of Public Convenience and Necessity (CPCN) from the Energy Regulatory Commission (ERC) to commence official operations. Castro urged ongoing support and collaboration for the planned five-year rehabilitation journey to enhance the system and reduce incidents of unscheduled power interruptions.
“We seek your continued support and cooperation as we commence the five-year journey of continuous rehabilitation to enhance the system and minimize instances of unscheduled power interruptions,” he added.
The approval of NEPC’s franchise marks a significant milestone for Central Negros, paving the way for a more reliable and efficient electricity distribution system. With a dedicated focus on modernization and preventive maintenance, the future looks bright for the region’s power infrastructure.
