The bill seeking to renew the franchise of power distributor Panay Electric Company (PECO) has failed to gain the approval of the House of Representatives’ legislative franchises committee.
The committee chaired by Palawan Representative Franz “Chikoy” E. Alvarez held a hearing on the franchise bill on Wednesday, Sept. 11.
Surigao del Sur Rep. Johnny Pimentel made the motion to deny the renewal of PECO’s franchise. It was unanimously approved by the committee.
“The records speak for itself. They (PECO) have remissed their duties and obligations to provide good services to the people of Iloilo (City),” Pimentel said.
MORE Electric and Power Corporation (MORE Power), which is owned by billionaire Enrique Razon Jr., secured a 25-year power distribution franchise after President Rodrigo Duterte signed Republic Act 11212 last February.
The law provides for a transition period allowing PECO to operate temporarily until MORE Power is in full operation. The period will not exceed to two years from the grant of legislative franchise.
Iloilo City Representative Julienne Baronda, one of the members of the House committee on legislative francshises, opposed the bill refiled by Joseph Stephen Paduano of Abang Lingkod party-list in the 18th Congress last Aug. 22.
“If we grant PECO’s franchise application now, it is my humble belief that we will only create more issues, court more litigations, and produce more problems. We will never see the end of it. And that is against public interest. That is not for the benefit and welfare of the people of Iloilo City, which I represent,” she said.
“Let us, therefore, give MORE Power a chance to comply with its commitments made before this committee last year, when it then approved MORE Power’s franchise,” Baronda added.
Marcelo Cacho, PECO administrative manager, said the junking of the refiled bill is not the end of their fight.
PECO and MORE Power are currently locked in a legal dispute. They have pending cases before courts in Mandulong and Iloilo City.IMT
