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PIA Press Release
2009/06/06

KAELCO members waive meter refund

Tabuk, Kalinga (6 June) -- Four policies that will help the province's electric cooperative finances keep afloat and reduce systems loss were approved during the 18th general assembly held recently here.

Member-consumers of the Kalinga-Apayao Electric Cooperative (KAELCO) through a resolution waived their rights to claim meter refund. After presentation by KAELCO management why consumers should not push through with the refund, members present during the 18th general assembly have agreed to forego with their claims.

It can be recalled that Section 41 of RA 9136 otherwise known as the Electric Power Reform Act of 2001 (EPIRA); Article 8 of the Magna Carta for Residential Electricity Consumers; and Articles 4.3.2 of the Distribution Service and Open Access Rules (DSOAR) on Meter Refund for Residential and Non-Residential Electricity Consumers provide for the refund of meter deposits of consumers charged by distribution utilities.

The refund is supposed to be given this June 2009 stretched for a period of five years of which amount shall be credited to the customers through their monthly bills.

Marites Dumagas, Institutional Service Department Manager said Kaelco charged meter deposits during application for connection. "What was charged on item "meter deposit" was actually the payment of electric meter," she said adding: "meters replaced were free of charge as one among the programs to reduce system losses."

The cost of KWH Meters prior to EPIRA was not included in the Rate Components, a separate Kaelco press statement says.

Kaelco management presented before the consumers that its audited financial book proves deficient to pay meter refund. The supposed amount intended for the refund of meter deposits was utilized to purchase meters to replace old and non-functional meters, the resolution states.

Other policies approved were the increase of surcharges for delinquent members or overdue accounts from 3% to 5% but not less than P50.00 on all types of consumers; relocation of poles due to road widening or any other road improvement projects shall be the responsibility of the implementing agency and contractor; and electric distribution lines supplying sole private users such as cell sites, rice mills and any other commercial and/or industrial establishments shall pay for the construction and maintenance cost of any electrical line including labor and meter for their use. (PIA-Kalinga) [top]

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