PALECO asks House to help address power rate hike

MANILA, Philippines — Palawan Electric Cooperative (PALECO) on Monday asked the House of Representatives to help address the sudden power rate increase in the province.

PALECO General Manager Rez Contrivida on Monday said the power rate increase was caused by the removal of the member-consumers-owners subsidy for off-grid electric cooperatives, including PALECO.

“It is evident that the cost of power in Palawan would have been lower than the current power rate if the subsidy entitled to PALECO Member-Consumers-Owners is being given,” Contrivida said during the House inquiry into the issues of sufficiency, reliability, and affordability of electricity in the Province of Palawan. “The subsidy is crucial to ensuring affordable electricity for our community, and without it, the burden falls heavily on the shoulders of our consumers,” he added.

Due to the power rate increase, generation charge rose from P6.9520 per kiloWatt hour (kWh) in October 2023, to P14.4611 per kWh in November 2023.

Contrivida appealed to Congress to reinstate the subsidy to ensure more affordable energy rates for consumers in Palawan.

“We are facing a crucial challenge that requires your attention and support,” he added.