Mayor Raisa’s Power Moves

By Herbert Vego

KUDOS to Iloilo City Mayor Raisa Treñas for signing two executive orders that would empower and save money for her constituents.  Let us tackle them separately.

Executive Order 15 calls for reorganization of the Task Force Boltahe which would run after power pilferers or individuals who steal electricity with the use of illegal devices known as “jumpers” to reduce or avoid paying for the full amount of electricity used.

In electrical lingo, a jumper is a metal connector used to create an electrical connection which bypasses the meter. Its use is a violation of the Anti-Electricity Pilferage Act of 1994 (Republic Act 7832), which is punishable by imprisonment ranging from six to twelve years, or fines from ₱10,000 to ₱20,000.

Task Force Boltahe has the authority to inspect customer premises, confiscate illegal equipment, and pursue legal action against violators in coordination with the MORE Power personnel. It will inspect illegal electrical connections in areas including public markets, plazas, schools, streetlights, gyms, and other city-owned buildings.

Aside from legal penalties, electricity theft can lead to safety hazards, such as fires and electrocution, due to improper wiring and connections.

It can also disrupt the power supply to legitimate customers and increase overall system losses, which may lead to higher electricity rates for everyone.

MORE Electric and Power Corp. (MORE Power), as the distribution utility in Iloilo, once made a technical analysis confirming that there could be 30,000 illegal power connections that raise the total system losses to 20 percent. But that was way back in July 2020 when the company had just taken over the previous franchisee.

Translated into wattage, illegal connections could account for as much as 20 megawatts (MW) of the 100 megawatts (MW) that Iloilo City consumes daily, according to MORE Power President Roel Z. Castro in an interview (Philippine Star, July 2, 2020.

“We have already identified them and in due time we will deal with them,” Castro said.

System loss refers to the electricity lost during transmission and distribution, as well as the unbilled power caused by pilferage.  While the distribution utility may absorb a portion of that loss, power consumers shoulder the excessive charges.

MORE Power has already filed more than 200 cases against the power thieves. This has led to a reduction of the system’s loss to more or less 5%.

On the other hand, Mayor Raisa Treñas’ Executive Order 19 calls for reconstitution of the Iloilo City Bids and Awards Committee, Technical Working Group, Secretariat, and Contract Management Group (CMG).

The reconstitution outlines clear procurement protocols, including document tracking systems, workflow guidelines, and mandatory inspections with photo documentation and written reports in accordance with Republic Act 12009, the New Government Procurement Act.

“For clear accountability, the CMG has established a tracking system, document flow, and delivery protocols to easily trace the movement of documents and supplies,” Treñas said.

Forthwith, all deliveries must be witnessed by inspectors from the General Services Office, CMG, and the requesting office to ensure transparency.

Transgression of the procurement process may result in charges under Republic Act 9485 or the Anti-Red Tape Act, which imposes penalties for violations, including administrative sanctions for government employees and criminal liabilities for fixers.

-oOo-

INFLATION HITS CEMENT INDUSTRY, BUT NOT TOO HARD

A friend in the construction business told me that monetary inflation has affected the prices of cement, now pegged at ₱260-₱280 per bag (40Kg), whether local or imported.

“It used to be ₱250,” he complained.

It’s not really alarming though.  Based on recent reports, only 53 percent of the country’s cement production capacity is in use. Therefore, there is no reason to inflate prices intolerably.

“The oversupply in the Philippines is concerning at around 53 percent utilization,” Reinier Dizon, president of the Cement Manufacturers of the Philippines said during the public hearing of the Tariff Commission recently.

The commission is considering imposition of safeguard measures on imported Portland and blended cement from other countries. Well and good.

Let us be warned that, in the not-too-distant past, cartel- and demand-triggered price hikes of cement were always followed by massive smuggling of cheaper cement from China and other neighboring countries.