By Ellson Quismorio
A Makabayan Bloc lawmaker reiterated on Friday the group's threat to file graft charges against Energy Regulatory Commission (ERC) Chairperson Agnes Devanadera in case she approves the seven power contracts that it claims would be a bane to consumers.
Anakpawis Party-List Rep. Ariel Casilao was referring to the proposed power supply agreements (PSAs) being sought by Manila Electric Company (Meralco)-linked generation companies before the ERC.
Energy Regulatory Commission (ERC) Chairperson Agnes Devanadera
(BFP / MANILA BULLETIN) "Makabayan already posed the warning of a graft charge when Devanadera assumed the post," Casilao said, referring to the official's assumption of her post almost two years ago. "And we will make sure to pursue the case once Devanadera maintains her position in endorsing the sweetheart deals," stressed the congressman. The PSAs, which include deals on the construction of coal-fired power plants, are connected to these Meralco-linked generation companies: Redondo Peninsula Energy Incorporated (for a 225-megawatt plant); Atimonan One Energy Incorporated (1,200 MW); St. Raphael power Generation Corporation (400 MW); Central Luzon Premiere Power Corporation (528 MW); Mariveles Power Generation Corporation (528 MW); Panay Energy Development Corporation (70 MW); and Global Luzon Energy Development Corporation (600 MW). To show that it meant business, Casilao's Makabayan colleague, Bayan Muna Party-List Rep. Carlos Zarate and Bayan Muna Chairman Neri Colmenares last week filed an intervention before the Supreme Court (SC) to declare null and void the PSAs that Meralco negotiated with its sister generating companies in 2016. According to the petitioners, Meralco’s negotiated contracts with its subsidiary companies are historically overpriced by as much as 20 percent when compared to those of non-related generating companies. The power deals were filed before the ERC in April 2016. Devanadera, a former solicitor-general and Secretary of Justice, only became head of the regulatory body in November 2017. Casilao has already raised eyebrows over the amount of time that it's taking the ERC to come up with a final decision on the proposed coal-fired plants, which are widely considered to be hazardous to the environment. "Nakakaduda talaga yung delay eh. Pwede naman sana na i-calendar na nila for public bidding (The delay is very suspicious. They could hopefully calendar it for public bidding)," he said of the "onerous" contracts. "It's a possible administrative negligence," added Casilao. It was Zarate who led a House inquiry on the questionable PSAs in the 17th Congress via House Resolution (HR) No.566. The Committees on Good Government and Public Accountability and on Energy took part in the investigation, wherein it was learned that the PSAs were accepted by the ERC after the 5 p.m., April 29, 2016 deadline set by the Commission itself. Moreover, Zarate said that based on his computation, consumers will shoulder a whopping P930 billion in additional power rate expenses should the ERC approve the power deals, which have a duration of 20 to 21 years. "I think the prudent way now para sabihin natin na walang pagkiling talaga ay i-submit natin itong PSAs na ito sa kanilang rules mismo, na ang ERC mismo ang nagtakda (to prove that there is no partiality, these PSAs must be subjected under the ERC's own rules)," Zarate earlier said, referring to a competitive selection process or public bidding.
Energy Regulatory Commission (ERC) Chairperson Agnes Devanadera(BFP / MANILA BULLETIN) "Makabayan already posed the warning of a graft charge when Devanadera assumed the post," Casilao said, referring to the official's assumption of her post almost two years ago. "And we will make sure to pursue the case once Devanadera maintains her position in endorsing the sweetheart deals," stressed the congressman. The PSAs, which include deals on the construction of coal-fired power plants, are connected to these Meralco-linked generation companies: Redondo Peninsula Energy Incorporated (for a 225-megawatt plant); Atimonan One Energy Incorporated (1,200 MW); St. Raphael power Generation Corporation (400 MW); Central Luzon Premiere Power Corporation (528 MW); Mariveles Power Generation Corporation (528 MW); Panay Energy Development Corporation (70 MW); and Global Luzon Energy Development Corporation (600 MW). To show that it meant business, Casilao's Makabayan colleague, Bayan Muna Party-List Rep. Carlos Zarate and Bayan Muna Chairman Neri Colmenares last week filed an intervention before the Supreme Court (SC) to declare null and void the PSAs that Meralco negotiated with its sister generating companies in 2016. According to the petitioners, Meralco’s negotiated contracts with its subsidiary companies are historically overpriced by as much as 20 percent when compared to those of non-related generating companies. The power deals were filed before the ERC in April 2016. Devanadera, a former solicitor-general and Secretary of Justice, only became head of the regulatory body in November 2017. Casilao has already raised eyebrows over the amount of time that it's taking the ERC to come up with a final decision on the proposed coal-fired plants, which are widely considered to be hazardous to the environment. "Nakakaduda talaga yung delay eh. Pwede naman sana na i-calendar na nila for public bidding (The delay is very suspicious. They could hopefully calendar it for public bidding)," he said of the "onerous" contracts. "It's a possible administrative negligence," added Casilao. It was Zarate who led a House inquiry on the questionable PSAs in the 17th Congress via House Resolution (HR) No.566. The Committees on Good Government and Public Accountability and on Energy took part in the investigation, wherein it was learned that the PSAs were accepted by the ERC after the 5 p.m., April 29, 2016 deadline set by the Commission itself. Moreover, Zarate said that based on his computation, consumers will shoulder a whopping P930 billion in additional power rate expenses should the ERC approve the power deals, which have a duration of 20 to 21 years. "I think the prudent way now para sabihin natin na walang pagkiling talaga ay i-submit natin itong PSAs na ito sa kanilang rules mismo, na ang ERC mismo ang nagtakda (to prove that there is no partiality, these PSAs must be subjected under the ERC's own rules)," Zarate earlier said, referring to a competitive selection process or public bidding.