Joint Venture of Primeelectric and CENECO

Powering Progress: The Joint Venture of Primeelectric and CENECO

In Central Negros, a remarkable partnership has emerged, poised to transform the region’s electricity services. Primeelectric and Central Negros Electric Cooperative (CENECO) have joined forces, uniting their expertise and resources to bring about a new era of power excellence. With a strong track record and a commitment to consumer welfare, this collaboration holds immense promise. Let us delve into the details and discover the potential impact of this joint venture on the electricity landscape in Negros.

 Primeelectric/NEPC (Negros Power)

A Legacy of Empowering Communities In the bustling city of Iloilo, Primeelectric/NEPC (Negros Power) has made a name for itself as a trusted distribution utility. As the sister company of MORE Electric Power Corporation (MORE Power), it has garnered recognition for its dedication to providing reliable electricity services. Under the astute leadership of Mr. Roel Castro, who serves as the President of both MORE Power and Negros Power, this management team has consistently demonstrated its expertise in the electricity industry. Owned by renowned entrepreneur Enrique Razon, Primeelectric/NEPC is backed by a wealth of resources and a passion for consumer satisfaction.

With a successful track record in modernizing the Power Distribution System, Primeelectric/NEPC has invested over 2 billion pesos in just three years. This significant financial commitment has led to capacity upgrades, the construction of new substations, and the acquisition of mobile substations. As a result, system loss has plummeted from 30% to an impressive 5.5%. The company’s proactive approach includes strategic system rehabilitations and adopting modern strategies to reduce the number of “unscheduled power interruptions.” Furthermore, Primeelectric/NEPC has improved customer support by implementing a 24/7 helpline and deploying dedicated response teams in the field.

Joint Venture of Primeelectric and CENECO

 The Current Challenges of CENECO

Paving the Way for Change Meanwhile, CENECO faces challenges in meeting consumers’ electricity demands. With almost 50% of its facilities, including substations, reaching the age of 30, they struggle to keep pace with the increasing power requirements. Inadequate funding for repairing and acquiring modern facilities has resulted in frequent unscheduled brownouts, causing inconvenience to consumers. CENECO carries a heavy debt burden of over 600 million pesos from internal borrowings and bank loans. Unfortunately, the Energy Regulatory Commission (ERC) has not approved its Capital Expenditures (CAPEX) application since 2011, further exacerbating the situation. Moreover, with their franchise set to expire in 2030, obtaining a new franchise from Congress against interested Private Distribution Utilities proves daunting.

 The Potential of the  Joint Venture of Primeelectric and CENECO

A Pathway to Progress The joint venture between Primeelectric/NEPC and CENECO offers a glimmer of hope, a pathway to address the challenges faced by CENECO. Primeelectric/NEPC plans to inject 1.7 billion pesos in cash, acquiring 70% of CENECO’s distribution assets. This infusion of funds will enable CENECO to settle its debts, return bill deposits to consumers, and provide separation and retirement benefits to its employees. Moreover, the remaining funds can be distributed as patronage refunds, benefiting the member-consumers directly.

The Joint Venture Company will seek a new franchise from Congress, ensuring stability and growth for the next 25 years. The partnership places great importance on the well-being of CENECO employees, prioritizing their employment in the new venture. With an initial investment of 2 billion pesos in the Capital Expenditure (CapEx) Fund, Primeelectric/NEPC will initiate the modernization, rehabilitation, and upgrading of distribution facilities, ushering in a more resilient and reliable power infrastructure. The Joint Venture Company will also focus on procuring new power supplies through fair negotiations and a Competitive Selection Process (CSP), emphasizing renewable energy.

The joint venture between Primeelectric and CENECO marks a turning point in the journey towards improved electricity services and affordable rates in Negros. By voting YES to the Joint Venture Agreement, we embark on a brighter future, empowered by an efficient and consumer-centric electric service. Let us stand together and support this progressive initiative, contributing to the overall development of our region. Say YES to the JVA!

Joint Venture of Primeelectric and CENECO

More Stories

• Say YES to the JVA! | Joint Venture Agreement – Primelectric and CENECO
• Marketing and Entrepreneurship Department Teambuilding [USLS]
• Kimono: Unveiling the Timeless Elegance and Cultural Significance
• Quan Delicacies | Party Bilao: Elevating the Delight of Native Flavors
• Ramen: A Personal Journey in Japan’s Culinary Delights
• Sushi: Savoring the Delightful Artistry | Fabulous Asian Lifestyle
• Roco’s Studio Photography: A Fabulous Photoshoot Experience
• Spontaneity and Unfiltered Honesty: The Power of Authentic Expression
• Coffee Ground Exfoliation: Revive Your Skin with the Power of Nature
• Teacher-Student Affairs: Navigating Boundaries in Complex Relationships
• Bugana Beach and Dive Resort Sipalay | Fab Asian Lifestyle
• Sensitivity: Embracing the Strengths and Challenges
• Joint Venture of Primeelectric and CENECO