GMA, Cabinet Listen as Meralco, GSIS Tangle on High Power Rates
The President pushed for the renegotiation of Meralco's contracts with its power suppliers during a Cabinet meeting at the Panglao Island Nature Resort and Spa here.
In an executive session, Mrs. Arroyo and the Cabinet initially listened to the presentations of GSIS President and General Manager Winston F. Garcia and Meralco President Jesus Francisco on high power costs. They also witnessed arguments and rebuttals from the two contending parties during the closed-door meeting.
After listening to both sides, Executive Secretary Eduardo R. Ermita said the President made a "solomonic decision" and asked the economic team led by Finance Secretary Margarito B. Teves to recommend actions on how to reduce electricity costs. Ermita said the study group would also look into the allegations and counterallegations made by GSIS and Meralco about high power costs and alleged management probems.
"The President asked the core group of the National Economic and Development Authority which is the economic team so that they can come up with a position to be recommended to us," Ermita said.
Meanwhile, a House of Representatives body yesterday took the first step in guaranteeing more efficient and reliable power transmission system when it started deliberations on the bill granting a 25-year franchise to the National Grid Corp. …