ArchivesNovember 2010Noreco 2 to buy from Green Core

Noreco 2 to buy from Green Core


- Advertisment -spot_img

The Negros Oriental 2 Electric Cooperative has agreed to buy power from its backyard.

Engr. Chito Lozano, engineering services manager of Noreco 2, said they agreed to the offer of Green Core Geothermal, Inc. after nine months of negotiations.{{more}}

Lozano told the Dumaguete MetroPost that the Board of Directors of Noreco 2 has agreed to buy about 14 MW of power from Green Core starting December 26, to complement the 16.6 MW that they have contracted with the Kepco power plant in Cebu.

Noreco 2’s power requirement is pegged at 30 MW during non-peak hours.

In coming to an agreement with Green Core, the Noreco 2 broke off from an earlier agreement with other electric cooperatives in the Visayas to negotiate as one consumer to get a preferential rate.

With this scenario, Noreco 2 is the first electric cooperative in Negros Island to buy power from Green Core.

The other electric cooperatives, namely the Noreco 1, the Central Negros Electric Cooperative, the Negros Occidental Electric Cooperative, and the Victorias Manapla Cadiz Electric Cooperative, have yet to make up their minds, said Green Core deputy manager Manny Candelaria, who briefed Dumaguete journalists in Boracay over the weekend.

The Noreco 1 and Green Core will schedule another meeting this week to finalize the deal, Lozano said.
Green Core had offered power to Noreco and the other electric cooperatives at P4.70 per kilowatt hour.
Candelaria lauded the move of NORECO 2 to finally agree with the offer, before its contract with the other power provider expires in December this year.

Candelaria said that the five-year lock-in period is on the consumer price index only, and not on the fluctuations of the world oil prices.

As far as the rates are concerned, Candelaria said the offer of Green Core of P4.70 is very competitive compared to other generators in the market.

He said the formula of their company considers only local inflation, and it is not affected by fluctuations of foreign exchange rates and global energy prices.

Since the power plants of Green Core are located near NORECO 2, it is assured of stable power supply due to reduced transmission line outage risk, Candelaria assured.

The 10-year contract with NORECO 2 is from December 26, 2010 to December 25, 2020. (With a report from Juancho Gallarde)

Latest news

NIR leaders meet with Sen. Zubiri

  Leaders of the provinces of Negros Oriental, Negros Occidental, and Siquijor have pledged to continue pushing for the creation...

Comelec acts versus premature campaigning

  The Commission on Elections has issued show cause orders against two aspirants in the upcoming Barangay & Sangguniang Kabataan...

Unity, progress, and the NIR

  Last week, Senate President Migz Zubiri announced some positive developments in the creation of the Negros Island Region. In a...

All LGUs excited to join the Buglasan Festival 2023

  All twenty-five (25) Local Government Units in the province are joining in the major activities of this year’s Buglasan...
- Advertisement -spot_imgspot_img

NegOr protected areas featured in app

A new application launched recently by the Department of Science & Technology aims to promote and preserve at least...

Sillimanian wins council seat in Norway

  Alumna Marianne Oropel-Klengsen is the first Filipino to serve as Councillor of the Sandnes Municipal Council in Norway after...

Must read

NIR leaders meet with Sen. Zubiri

  Leaders of the provinces of Negros Oriental, Negros Occidental,...

Comelec acts versus premature campaigning

  The Commission on Elections has issued show cause orders...
- Advertisement -spot_imgspot_img

You might also likeRELATED
Recommended to you