City dads push Zamcelco on enhancement program PDF Print E-mail
Thursday, 19 March 2015 11:43

The City Council’s Committee on Energy and Public Utilities chaired by Councilor Charlie Mariano together with other councilors want to see positive actions from the Zamboanga City Electric Cooperative (Zamcelco) on its enhancement program for Zamboanga City to finally have its coal fired power plant the soonest possible time to help solve the city’s power shortage problem which could worsen as summer sets in.

Zamcelco, according to Mariano, must do everything possible to address the problem on system loss and pinpoint its origin because it is one of the reasons why up to this time, the enhancement program is not yet taking off.

Zamcelco’s system loss which means losses in terms of pesos for the electric cooperative was counted at 20.7% in 2014

Mariano suspects there is sabotage why the enhancement program of Zamcelco is not advancing.

He said the Zamcelco board is supportive of the program, however, there is something wrong on the management side.

Steps leading to the enhancement must first be undertaken before the cooperative can go on with the Investment Management Contract (IMC).

Zamcelco needs to enter into a partnership with an experienced and reputable power distribution utility in order to become more efficient and financially viable.

The IMC is a contractual relationship between an electric cooperative and an investor-operator for the infusion of risk capital and provision of management expertise by the latter to the former to provide for sustainable electric cooperative recovery based on improved efficiency, lower costs, and system losses reduction.

“The ball is already in the hands of  Zamcelco’s leadership, as they need to get the ball rolling in drafting the terms of reference for the selection of a partner, inviting interested parties, conducting a bidding, and making a final selection,” Mariano said. — RGAAG