MORE Electric and Power Corporation (MORE Power) has signed on May 15, 2019 an interim power supply agreement with KEPCO SPC Power Corporation (KSPC).
The agreement provides a 5-megawatt supply from KSPC, with the option for another 5MW. The interim power supply agreement is good for one year.
In a statement, MORE Power President and Chief Operating Officer Roel Z. Castro said the agreement is part of their promise to lower power rates.
We are happy to be in partnership with KEPCO SPC Power Corporation as we commit to bring more to the lives of the Ilonggos by delivering cheaper power. KSPC has agreed to supply reliable power to Iloilo City at a much lower rate than the current supplier of the city, Castro said during the contract signing held at the KSPC Plant Office in Naga City, Cebu.
KSPC President and Chief Executive Officer Mr. Jong Ryoon Yoon said they will support MORE Power in lowering electricity rates in Iloilo City.
KEPCO SPC is more than willing to assist MORE Power in its journey to give the City of Iloilo secured, reliable, and affordable power supply. [MORE] can always count on KSPC on these basic criteria of service, Yoon said.
Under Section 5 of R.A. 11212 or the law granting MORE Power the franchise to distribute electricity in Iloilo City, MORE Power is allowed to avail of the negotiated procurement of emergency power supply under the Department of Energy (DOE) Circular DC 2018-02-003) Adopting and Prescribing the Policy for the Competitive Selection process in the Procurement by the Distribution Utilities of Power Supply Agreement for the Captive Market.
The emergency power supply contract shall only be for a period of one year and the rates must not be higher than the latest Energy Regulatory Commission (ERC)-approved generation tariff for the same or similar technologies in the area.
The power supply agreement will take effect once MORE commences operations as the distribution utility in Iloilo City.
KEPCO SPC Power Corporation operates a two (2) x 100 MW Circulating Fluidized Bed Combustor (CFBC) Coal Fired Power Plant in the City of Naga, Cebu.