September 2, 2024 | 12:00am
MANILA, Philippines — President Marcos has signed into law a measure granting the Romblon Electric Cooperative (ROMELCO) a 25-year franchise to supply power to three municipalities in the province.
Republic Act 12020 signed by Marcos last Aug. 29 grants ROMELCO a franchise to construct, install, establish, operate, own, manage and maintain a distribution system for the conveyance of electric power to end-users in the towns of Banton, Corcuera and Concepcion in Romblon.
Distribution system refers to the system of wired and associated facilities, including sub-transmission lines belonging to a franchised distribution utility extending between the delivery point on the national transmission system or generating facility and the metering point or facility of end-users.
The law requires ROMELCO to supply electricity to consumers “in the least costly manner” and to improve, modify or change its facilities, poles, lines, systems and equipment to provide efficient and reliable service and reduce electricity costs.
It also requires ROMELCO to charge reasonable and just power rates for its services to all types of consumers within its franchised areas so businesses and industries can compete.
The Energy Regulatory Commission (ERC) will regulate and approve the retail rates and charges.
RA 12020 allows the electric cooperative to modify, improve and change the facilities and systems “in such manner and to such extent as the progress in science and technology and improvements or innovations in the electric power services may render reasonable and proper” upon approval by government entities like the ERC, Department of Energy and National Electrification Administration.
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