THE Energy Regulatory Commission (ERC) has directed Panay Electric Co., Inc. (PECO) to explain the “apparent operational lapses” found by the agency’s inspection team and why the distribution utility should not be imposed an administrative penalty or held criminally liable for its violations.
“Based on the findings of the ERC technical team that conducted the ocular inspection on the electric distribution system of PECO, the latter committed lapses in the operations and maintenance of its distribution system thereby posing danger and risks to the lives and properties of its consumers,” said ERC Chairperson and Chief Executive Officer Agnes VST Devanadera in a statement.
In an order dated Nov. 26, 2019, ERC required PECO’s directors and officers to explain its violations of the pertinent provisions of the following: Philippine Distribution Code (PDC) 2017 Edition; Amended Distribution Services and Open Access Rules (DSOAR); Amended Elevated Metering Center (EMC) Rules; and ERC Resolution No. 12, Series of 2009, or the Guidelines for the Accreditation of Satellite Laboratories of Meter Shops.
“PECO must submit its explanation within fifteen days from receipt of the Commission’s Order pursuant to the relevant provisions of the Electric Power Industry Reform Act (EPIRA). We need to accord PECO the opportunity to explain its side before we evaluate the extent of their liability for the operational lapses that were discovered,” Ms. Devanadera said.
The ERC inspection team found that PECO’s protective devices were not properly rated and designed, and that some poles were found leaning and in unsafe positions. It also discovered that some meters were found to be clustered and installed in an elevated metering center without securing prior ERC approval.
The inspection team also uncovered that the Certificate of Authority for PECO’s meter shop expired on Nov. 18, 2019, and PECO has not filed the application for the renewal of the same. — Victor V. Saulon
