NORECO II announces reduced rates

DUMAGUETE CITY, Philippines — The Negros Oriental II Electric Cooperative has announced a reduction in power rates for the month of December.

The adjustment in power rates was an outcome of the amendment in the contract between NORECO II and Green Core Geothermal, Inc., in which the cooperative was able to negotiate for a decrease in power rates.

A media release from NORECO II said the decrease per kilowatt hour in power rates for the month of December covered residential, low voltage and high voltage consumers.

For residential consumers, the reduced rate is at P1.4666 per kilowatt hour, which is from P11.0788/kwh in November down to P9.6122/kwh in December.

Low voltage consumers will see a P1.4669 per kilowatt hour adjustment from P10.2301/kwh in November to only P8.7632/kwh in December.

And for high voltage consumers, a P1.4196 per kilowatt hour reduction in power rate is in effect from P8.5322/kwh in November to P7.1126/kwh in December.

To recall, the NORECO II and GCGI signed last week an amendment to their Power Supply Agreement for a P0.45 per kilowatt hour power rate reduction that took effect last October 26.

With the amended PSA, the extended term will be from December 25, 2020 to December 25, 2035 to ensure power supply security for its consumers.

The amended contract will benefit NORECO II customers as it provides for the delivery of 25-MW of clean geothermal power at a reduced rate pursuant to the re-pricing provisions and market-based structure in the original ten-year PSA, the GCGI-Energy Development Corporation had said earlier.

GCGI-EDC operates the geothermal power plants in Valencia town of Negros Oriental.  (FREEMAN)