Aboitiz Power to test pre-paid metering scheme

MANILA, Philippines - Aboitiz Power Corp. (APC) is planning to pilot test its prepaid metering scheme in Subic.

APC executive vice president for regulatory affairs Juan Antonio E. Bernad told reporters recently that they are continuing to study this system and may be pilot testing the scheme soon.

“I think its early to really say that if we do a pilot project, we’ll probably do it in a smaller utility or customer base like Subic,” he said.

Bernad admitted the prepaid metering is quite complicated and needs a further study.

“We have been looking at different options. We’re doing that. We’ve looked at different systems that are in place in other countries. I think there is a system being put up now in Singapore which they are tying to their retail electricity sales. That is just being weld out so maybe its a little too early to see and address all the issues,” he said.

Bernad said the regulator should also look at the prepaid system.

“The ERC (Energy Regulatory Commission) is also looking at it closely but the thing is, this is something new. There are many things to consider like, is it going to be voluntary or mandatory? Remember in the initial stage of prepaid of telecoms there was this issue of how long does it last. Is it for three month, six months or unlimited because the cost of power changes every month,” he said.

He said there is still the issue of cost and who will shoulder this.

“And then a big issue is the cost because it is still very high. It is not just the cost of the metering itself but the cost of the entire system,” he said.

“The problem is, we are not sure whether we’re looking at it in an integrated system or as something that we’re going to offer on a pilot project. So initially the comparison was on the cost of the meters but that’s only part of the package,” he added.

He noted that in Australia, different modes of telecommunications are being used in other places as well. “Some have modems attached to meters as well.” 

The ERC, the country’s power sector watchdog, released last year the draft rules for the availment of prepaid electricity.

The ERC said the prepaid electricity scheme would help cut down system loss and eventually redound to lowering of power rates.