March 24, 2000
PSE CIRCULAR FOR BROKERS NO. 774-00
March 22, 2000
Philippine Stock Exchange, Inc.
Philippine Stock Exchange Center
Exchange Road, Ortigas Center
Pasig City
Attention: Ms. Luisa W. Buenaventura
Supervisor-Disclosure Department
Gentlemen:
This is in reply to your letter dated March 21, 2000 with regards the Manila Bulletin article on the National Power Corporation (NPC) rate increase.
NPC increased its rate by P0.0341 per kWh in February which in turn was reflected in the bills of Meralco customers in March. The NPC increase was the result of an upward adjustment in its automatic rate adjustments and reflected in the Meralco bill through an increase in the Purchased Power Adjustment (PPA). This is not in anyway related to the proposed basic rate increase Meralco will be applying for with the Energy Regulatory Board (ERB) in the next few months.
NPC billings to Meralco include automatic adjustment clauses: the Fuel and Purchased Power Cost Adjustment (FPCA) and the Foreign Exchange (FOREX) Adjustment. These adjustments allow NPC to pass on increases or decreases in its fuel and purchased power costs and principal debt service payments over a base...
