CDC takes over power firm to avert Napocor shutdown

CLARK FIELD, Pampanga — The state-owned Clark Development Corp. (CDC) took over the operations of the Clark Power Corp. yesterday morning to avert the plan of the National Power Corp. (Napocor) to cut off power supply to the entire Clark special economic zone.

"I have advised the employees of Clark Power to give way to CDC personnel. We are taking over in the interest of the government and the 364 firms in the ecozone," Emmanuel Angeles, CDC president and executive officer, said in a press briefing.

Last Monday, the Napocor issued an ultimatum to Clark Power to settle its P30.4-million debt.

"We don’t know why Clark Power has accumulated such a debt when the CDC and the investors here have been paying their electric bills regularly," Angeles said.

Records show that from June 2002 to last April, the CDC had paid Clark Power some P246 million in electric bills.

CDC legal officer Joey Lucban said the takeover of Clark Power was meant not only to persuade the Napocor not to cut off power supply to the Clark ecozone.

He said Clark Power has allegedly violated its contract with the CDC by failing to rehabilitate diesel generators to allow it to produce its own power.

"Thus, it has been acting as a mere agent of the Napocor using transformers that even belong to the CDC," he said.

CDC records also show that Clark Power has not made any lease payment to the CDC, with its land rental arrears now amounting to about P16 million.

"I could not allow one investor to wreak havoc on the other investors at the ecozone. A few minutes of power failure would cost our investors here millions of pesos in losses," Angeles said.

He said he has written the Napocor to assure its officials that the CDC would assume responsibility over Clark Power’s debt.

"I don’t know yet where we will get the money, but we are working out a payment restructuring scheme without any guarantee from the CDC since the arrears were incurred by Clark Power anyway," he said.

Clark Power was initially a joint venture between the CDC and Polar Energy Inc. that was forged during the administration of former President Fidel Ramos.

The CDC withdrew from the joint venture during the term of CDC chairman Rufo Colayco.