The controversy surrounding the blackouts in Iloilo City raised questions about the stability of the power supply in the city. Aware that a 164-MW coal-fired power plant is already present to supply the city's power needs, residents were inclined to believe that power interruptions from Panay Electric Co. (PECO) will be a remote possibility.

The problem lies not on the generating facility alone or the supply side but more on the distribution side involving PECO. The supply of electricity is more than enough. In fact, the Panay Energy Development Corp. (PEDC) is now supplying the electricity needs of almost all the electric cooperatives in Region 6.

PECO has an assured 65 MW from PEDC through its electric power purchase agreement approved by the Energy Regulatory Commission. The coal plant, being a baseload plant, provides the city through PECO with 65 MW of electricity 24 hours a day all year round. The electricity requirement beyond 65 MW is supplied by Panay Power Corp. (PPC) with a 15-MW power supply using a diesel-fired plant that goes on-stream during peak hours and likewise operates as ancillary service.

The consolidated power supply totals 80 MW. This is enough supply to answer the power needs of the city. Historically, PECO could not optimize its contracted electricity although PECO's Randy Pastolero has claimed that the peak demand of the city is now beyond 80 MW.

If not on the supply side, where does the problem lie and why does Iloilo City continue to experience blackouts? There might be some problems being confronted on the system from the supply and transmission side especially on the dispatch of electricity but a big part lies on the distribution side or on PECO.

PECO's deteriorating facilities and equipment were highlighted way back the time the coal-fired plant was being proposed for construction on the context. It was argued that enough supply of electricity will not solve power interruptions because part of the problem is the facilities of PECO.

Listening to Randy Pastolero's technical explanation why the blackout enveloped the entire city was enough to show that PECO is pocketing all its profits and does not invest back its income in improving its facilities in order to improve its quality of service. The blackout was triggered from one of PECO's oldest power sub-stations located in Gen. Luna St. after the main cubicle of its 38-KV busbar gathered high moisture. In short, the age of usefulness of PECO's sub-station facility has already been maximized and it can no longer withstand high moisture maybe brought about by the hot temperature of summer.

Engr. Pastolero likewise emphasized the weak coordination between PECO and its power suppliers, which otherwise, could have prevented a blackout. I believe that no amount of coordination can prevent a blackout which originated from rusted and rotting sub-station equipment.

Yet PECO has a good solution to all these woes. It will construct a new office building, buy new vehicles, upgrade office facilities, and hire new employees. All of these though will not come from its ever increasing annual profit (evidence of which is its increasing profit share among employees), but from the pocket of its thousands of consumers by increasing distribution charge.

What a solution to the problem. We will pay for something which will become PECO's property while we will continue to suffer daily power interruptions and pay expensive electricity.*