PowerSource Philippines Inc. (PSPI) now has 90 days to make all necessary preparations before they can fully cease their operation as the sole power provider in Malapascua Island in Daanbantayan following the termination of its contract by Cebu II Electric Cooperative, Inc. (CEBECO II).
During a meeting on July 3 at the Capitol, CEBECO II General Manager Lowell Belciña informed Gov. Gwen Garcia that their board of directors had agreed to terminate the waiver they signed in favor of PSPI.
CEBECO II, the exclusive franchise holder in Malapascua and other towns in the fourth and fifth districts of Cebu, had waived its right to provide service to the island in 2009 in favor of PSPI, citing Malapascua’s remote location.
With CEBECO II’s termination of its waiver in favor of PSPI’s, the National Power Corporation’s (NPC) contract with PSPI is also automatically terminated, Provincial Legal Office Donato Villa said during the meeting.
The 90-day transition period will allow PSPI to formally hand over the full operation to CEBECO II, which will now exercise its right to supply power to the island known as a top tourism destination in the province.
The Capitol also vowed to work with CEBECO II to ensure the continuous power supply on the island by fully utilizing four generator sets previously rented by the Capitol, each with a capacity of 500 KVA (500 kilovolt-ampere), enough to address Malapascua’s peak power demand of 2 megawatts.
(1,000 kVG is equivalent to 1 megawatt).
The contract termination was prompted by PSPI’s inability to address power instability in the island for the past five years.
Also in attendance were Daanbantayan Mayor Sun Shimura, National Electrification Administration Engineering Department Director Federico Villar, NPC Visayas Head Timoteo Diacor, PSPI Operations and Maintenance Head Marc Barcelona, and Malapascua Business Association President Ana Reed. | BJR
