THE ENERGY Regulatory Commission (ERC) has approved Aurora Electric Cooperative, Inc.’s (Aurelco) application to undertake a P178.45-million capital expenditure (capex) program running to 2023.
In a decision posted on the ERC website earlier this month, the regulator said it approved of the modified capex plan to finance 10 of the electric cooperative’s power projects.
Some P48.88 million will go towards the purchase of spare materials and equipment to help in the prompt repair of distribution lines after force majeure events.
Some P15.47 million will fund the installation of new kilowatt-hour meters and service drop wires, while P15.17 million will fund the replacement of overloaded distribution transformers.
Aurelco earlier sought ERC’s approval for the capex projects covering 2019 to 2021, but noted that none of these was implemented because of the absence of commission approval.
The power provider then submitted an amended timeline for the projects which are now scheduled for completion between 2021 and 2023.
“The commission finds the proposed projects are essential and necessary for the continuous, safe, reliable, secure and efficient service of Aurelco to its customers, pursuant to… the EPIRA (Electric Power Industry Reform Act of 2001),” the ERC said.
The regulator also ordered Aurelco to pay a permit fee of P1.34 million as authorized by the commission’s amended capex guidelines.
The decision, which was promulgated on Sept. 28, was signed by ERC Chairperson and Chief Executive Officer Agnes VST Devanadera and four commissioners.
Aurelco’s franchise area covers eight municipalities in Aurora province, as well as Dinapigue, Isabela; Alfonso Castañeda, Nueva Vizcaya; and part of Quezon Province. — Angelica Y. Yang