Daily TribuneThe affordable and reliable power supply and services provided by Enrique K. Razon Jr.’s electricity provider positively impact Iloilo’s economy by contributing approximately P4.99 billion or 3.8 percent annually to the city’s Gross Domestic Product
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University of Asia and the Pacific president Dr. Winston Padojinog speaks at a Business Forum on Thursday to discuss the positive economic impact of MORE Electric and Power Corp.’s presence in Iloilo City.(Photograph by Maria Bernadette Romero for the Daily Tribune)
Iloilo City, regional capital of Western Visayas, is seeing its economy improving significantly following the establishmentof MORE Electric and Power Corp., the exclusive electricity provider owned by Enrique K. Razon Jr.'s business group.
According to a recent study conducted by the University of Asia and the Pacific or UA&P, MORE Power's affordable and reliable power supply and services positively impact Iloilo's economy by contributing approximately P4.99 billion or 3.8 percent annually to the city's gross domestic product.
The study also showed that since MORE Power took over the city, it has helped create 6,693 employees directly and indirectly from 2020 to 2022 — reducing the average number of unemployed individuals in the city by 10.6 percent yearly.
From this, Iloilo City's households earned an additional P1.75 billion from 2020 to 2022.
Reliable utility infrastructure
"It is important to invest in and improve public infrastructure. You could see that a reliable utility infrastructure and a reliable infrastructure provider will have reverberating effects on the economy," UA&P president Dr. Winston Padojinog said at a business forum on Thursday as he presented the study.
Padojinog noted that the reduction in system losses also benefited consumers — injecting approximately P1.01 million into the economy through additional spending in 2022.
"The system's loss, think of it as savings to households where when they save, they spent 60 percent of that. As a multiplier of the effect of 2.5, you can see the multiplier effect in the consumption economy of Iloilo," he added.
Push for policy stability
However, Padojinog pointed out that local leaders should push for policy stability to maintain economic growth and further attract investments.
"We should ensure policy stability before we attract investors. Long-term projects require stability because investors would like to ensure they get returns for their investments. Projects should give returns, and if we always change policies, we will not attract and retain investors," Padojinog said.
Since assuming the power distributorship in Iloilo in 2020 with just 74,196 customers, MORE Power expanded its customer base to 84,735 in 2021 and 90,692 in 2022.
JV with CENECO
MORE Power subsidiary Primelectric Holdings Inc. recently signed a joint venture agreement to expand its Visayan market coverage with Central Negros Electric Cooperative. The tie-up aims to help CENECO, which serves over 200,000 customers, improve its power supply and distribution services.
Aside from growing its coverage, MORE Power aims to reduce power interruptions by improving supply reliability for households and businesses.
