The decision on whether Central Negros Electric Cooperative should enter into a joint venture agreement with Ignite Power and Energy Holdings Inc. (MORE Power) lies in the hands of its members-consumers, former CENECO president Roy Cordova said Friday, May 12.
A referendum will have to be conducted for the purpose, he said. Roel Castro, More Power president and chief executive officer, said on Tuesday that a referendum is expected to be held sometime in June or July.
CENECO serves the needs of Bacolod, Silay, Talisay and Bago cities, and the municipalities of Murcia and Don Salvador Benedicto.
The JVA between Ignite and CENECO is one of the best options for the electric distribution utility to meet present demands and challenges, Cordova said.
CENECO will become a robust distribution utility capable of providing satisfactory service with the partnership, he said.
The recent statements of support for the proposed joint venture agreement between CENECO and Ignite by top Negros and Bacolod officials are welcome developments and strong indicators of the acceptability of the JVA, Power Watch Secretary-General Wennie Sancho also said on Friday.
Negros Occidental Gov. Eugenio Jose Lacson and Vice Governor Jeffrey Ferrer, and Bacolod Mayor Alfredo Abelardo Benitez have recently aired their support for the JVA, Sancho noted.
The JVA has now become a necessity, Sancho said.
He cited the massive power disturbance experienced by the consumers in Western Visayas on April 27, 28 and 29 that caused so much inconvenience to the consumers.
CENECO, as a distribution utility is getting old and even with planned maintenance, cannot be as efficient as it was before, he said.
“For all intent and purposes, the JVA is a necessity because CENECO must adapt to modern power technology for more reliable power supply and efficient electricity services”, Sancho said.
CENECO cannot reduce power outages and system loss unless it undergoes rehabilitation and upgrading, he said.
“The JVA will usher in a new era of power distribution with its state-of-the-art technology that would revolutionize the operation of CENECO-Ignite to provide excellent services to the consumers that is worth the money we are paying,” Sancho said.*