The Dagupan Electric Corporation (DECORP) is now offering the time-of-use (TOU) rate program – an option which allows a consumer to manage his electricity consumption in order to reduce costs on power.
Dubbed as the TOUR Program, this energy-pricing scheme approximates the true cost of electricity at various times of the day. It also considers the seasonal differences between the wet and dry months.
The TOU scheme is in compliance with the resolution approved by the Energy Regulatory Commission (ERC), giving electricity consumers the opportunity to save on the generation cost component of their electricity bills.
Aside from providing lower generation rates during off-peak periods, the onset of the rainy season further provides an opportunity for lower generation rates since the less costly hydroelectric power plants are being used to operate.
Various industries have already implementing the TOU scheme in order to manage supply more effectively.
In the telecommunication sector, a long-distance telephone service under a TOU program will offer lower rates-per-minute if the call is made at night time when demand for the service is low. But during daytime, the rate is comparatively higher.
Ditto with the transportation sector, if one avails of an airline or ferry service on a holiday season, a consumer gets higher rates. But during off-peak months, rates are comparatively lower.
However, the TOU pricing scheme is not fixed for a long term. The current rates shall be applicable while DECORP sources its 100% power requirement from the National Power Corporation. In the event of a change in supply mix, a new peak / off-peak rate shall prevail upon the approval of the ERC. In addition, the TOU rates apply only to basic generation charge. The existing manner of calculating other billing charges shall be the same.
As a final caveat, those consumers that would avail of the TOUR Program shall bear the costs of the TOU meter and its accessories, including the costs of installation, maintenance and replacement. Also, there will be an incremental charge for supply and metering equivalent to 10% of existing supply and metering rates plus Php0.01 per kilowatt-hour to cover the incremental costs related to system enhancement and additional meter reading and other operating costs.
So, it's now the choice of the consumers whether or not to avail of the TOU scheme. The power is now in their hands!
© 2008 by Ludwig Ritchel A. Kalambacal
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