MANILA, -- Philippine Economic Zone Authority (PEZA) Director General Charito Plaza has identified to the Department of Energy (DOE) three regions in Mindanao that will be the pilot areas for the subsidized power costs in the southern Philippines.
Plaza said in an interview that PEZA and DOE will be signing a Memorandum of Agreement (MOA) to subsidize power costs in all economic zones in Mindanao.
"The Secretary wanted me to recommend at least three areas for the meantime," she said, pertaining to Energy Secretary Alfonso Cusi.
The PEZA chief mentioned that she is eyeing the Autonomous Region in Muslim Mindanao (ARMM), the Davao region, and Caraga region as the first three areas to benefit from lower power costs in Mindanao.
She noted that ARMM and Caraga are among the poorest regions in Mindanao, while there are existing economic zones that will benefit in Davao, which can attract more locators once power rates are competitive.
"The DOE is improving the Agus-Polangui source. They will improve it in order for the government to subsidize power costs in Mindanao," Plaza said in Filipino.
With the plan to subsidize power costs in economic zones in Mindanao, power rate is expected to cost PHP2.75 per kilowatt hour from about PHP6.00 to PHP7.00 in current rates, according to the PEZA chief. (PNA)
Source: Philippines News Agency