WHY does Mr. Winston Garcia insist on representing the Government Service Insurance System in his fight with the Lopezes?
Does he really think that just because of his position in the GSIS, he represents all government employees? Has he tried to get their opinion? He is gambling with these employees’ future. The pension fund is not his alone. He is just its caretaker.
He will soon be out of office as soon as his bosses in Malacañang are either booted out or their terms expire. What will he do then? In my opinion, Mr Garcia might be diverting attention from his management of the pension fund altogether. His strategy seems to be to go after his neighbor’s trash so that his own trash won’t be looked at.
The Senate should start looking at the management of the pension fund. I’m not saying they’ll find anything there, but it’s worth it to take a cursory look at how it’s being managed being that it affects all past, present, and future government employees. Look at how the money is being invested, look at the balance sheets. It’s only fair we take a look at Mr Garcia’s backyard as well, not just the Lopezes. I’ll bet there are unwanted weeds and trash in his backyard that’ll need cleaning up or may lead to the eviction of its occupants.
– Bong Dignadice, Fontana, California (via e-mail)
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July 23rd, 2008 at 11:44 am
To the Moderator,
Someone else is using my blogname. Kindly address.
Thank you
July 23rd, 2008 at 11:39 am
Lolo Jang Jang,
Napocor rates can be lowered anytime they want “artificially”. But who will pay for the real cost of power? Tayo pa ring mga consumers lolo. Aren’t you aware that we are suffering from E-vat because mainly of Napocor debts assumed by our National Government?
You totally agree that Napocor is mismanaged and full of corruption. Then you should also totally agree that their real cost of power will always be higher due to inefficiencies, older facilities plus mismanagement and corruption.
Lolo naman, konting logic lang jan oh
July 23rd, 2008 at 10:13 am
Hi Sir Harry,
Please see my reply below with asterisk:
Issues between Meralco and the GSIS are no longer technical or engineering problems. They are issues bordering on corporate abuses and business ethics. A lot of people would want to know if GSIS has the right to inspect the books and transactions of Meralco;
***Yes Sir, i believe GSIS has the right to inspect the books and transactions of Meralco. Meralco had always been transparent with these documents.
and, although permitted by law, is it ethical for a power distribution utility company to purchase some 18 Billion Pesos worth of “undelivered power” from affiliated energy suppliers and charged it to their customers?
***I personally believe that our laws are the main and last pillar of justice and equity. I agree that paying for undelivered power is unfair. However, this arrangement is allowed under the contracts that were duly reviewed and approved by the proper authority. These were the only solution then during the power crisis that required immediate setting-up of IPP power plants that required higher than normal costs and guarantee on utlization.
July 23rd, 2008 at 9:52 am
Hi Sir Harry,
Sorry for my delayed reply. Below are my comments with asterisks.
Meralco TIME-OF-USE Rates Program(TOU)
To avail of this program, the customer must be up-to-date in his payments and must consume on the average at least 1,000 kWh per month.
***This is correct. Residential customers with a 12-month average consumption of atleast 1,000 kWh without service irregularity are qualified to apply for the program
.
The rates under this program are effective only for the Unit Price of the Generation Charge; therefore, whatever savings that can be realized under the TOU program is purely on the Generation Charge and its corresponding e-VAT.
***Yes Sir, this is correct.
Under the TOU, the Generation Rates are divided into Peak-Hours rates and Off-Peak-Hours rate. Peak hours are from 8:00 AM to 9:00 PM (Mon. to Sat.) and 6:00 PM to 8:00 PM (Sundays); the rest of the hours are considered Off-Peak hours.
***This is correct as well.
Peak hour rates are P6.4852/kWh for Dry Season (Jan. to Jun.) and P6.1053/kWh for Wet Season (July - December). Off-Peak rate is constant at P3.0925/kWh throughout the year. The customer pays 40% more than the regular Unit Price for power consumption during the Peak hours and he saves 31% off the regular Unit Price for power consumed during Off-Peak hours.
***This is correct Sir. Let me just clarify, assuming a 4.4111/kwh regular or average rate, here is the comparison:
% a customer pays more during peak hours:
dry season = 47.02%
wet season = 38.41%
% a customer pays less during off-peak hours:
all year round = 29.89%
The customer will have to pay an Application Fee of P3,046.00 for a special Watt-hour meter (VAT inclusive for single-phase installations), additional monthly Metering Charge (P117.20/mo. plus VAT) and Supply Charge (P0.0109/kWh plus VAT) will be included in the bill.
** Correct Sir.
Basing on the above, if the customer’s power consumption during Peak hours exceeds 40% of his total monthly power consumption, he either makes no saving at all or may have to pay more than his regular bill (based on his pre-TOU billing).
***I did a generation charge simulation based on a 4.4111/kwh average/regular/pre-TOU rate. Here is the break-even point:
%Peak to break-even = 43.77%
%Off-Peak to break-even = 56.23% (1-% peak)
You are correct Sir, a customer can realize savings by lowering his peak consumption from 43.77%
The only way to save on Generation Charge is shift most of the power consumption to within the Off-Peak hours (at least 70% to be safe). If the customer is careless on his power consumption scheduling, he may end up paying more to Meralco.
***Yes, Sir. TOU is a pricing option for our customers who want to save on their generation component of their bill. Some of our customers need to shift some of their consumption to off-peak hours in order to realize savings. While some do not need to do anything since their existing consumption pattern is already towards off-peak hours.
Based on rough estimates, the break-even point is 40% (Peak) and 60%(Off-Peak). The maximum saving under the TOU program is about 14% of the billing total and that can be attained only if 100% of electric power are consumed within the Off-Peak hours, which is almost an impossibility.
*** To be more precise, the break-even point:
%Peak to break-even = 43.77%
%Off-Peak to break-even = 56.23% (1-% peak)
I did a simulation, if 100% of electricity are consumed within off-peak hours, 29.89% of savings on generation cost can be realized by a customer.
After enrolling in TOU program, we have to run our home like a Videoke Bar first before we can save 10%.
***Not all residential customers with average consumption of 1,000 kwhs and up will benefit from the TOU program. During a customer’s application for the TOU program, we conduct feasibility checks and provide advise whether or not the customer will benefit. Otherwise, we will advise him/her not to avail. We are providing our customers a prciing option where they can save. Thank you for your comments Sir Harry. I hope i clarified some points that you raised.
Engr. Jose
July 23rd, 2008 at 8:36 am
Lolo Jang Jang,
Hirap ka talaga umintindi kahit paulit ulit ng na-explain sa iyo. The undelivered power is due to the “take or pay” arrangement of both Lopez owned IPPs and Napcor IPPs. Bakit kaya Meralco lang ang sinisisi mo?
Ikaw na rin nagsabi na you totally agree na “mismanaged” at “sa corruption” na din. Sa tingin mo, sino ang nagbabayad sa cost implications ng mismanagement at corruption ng Napocor? Tayo di ba? Ngayon, kung may logic na natitira dyan sa utak mo, sa tingin mo Napocor reflects the true cost of generated power given their “mismanagement” and “corruption”? Lolo, artificial ang pagbaba ng presyo nila, pag isipan mo. Kaya yung milyun milyon o bilyon bilyon na lugi at utang ng Napocor, boss, tayo ang nagbabayad through E-VAT.
O ngayon, sino ang tunay nagpapahirap? Konting isip lang lolo.