NGCP says it's utilizing all available power in South

By Neil Jerome C. Morales The Philippine Star Updated March 17, 2012 12:00 AM


MANILA, Philippines - The National Grid Corporation of the Philippines (NGCP) said it is utilizing all available power capacities for the Mindanao grid.


Daily power outages in Mindanao are caused by a shortage in power supply, the company said in a statement yesterday.


“It does not benefit us to withhold supply as NGCP cannot have a direct or indirect stake or interest in the generation and distribution businesses,” said NGCP spokesperson Cynthia Perez-Alabanza.


Section 45 of the Electric Power Industry Reform Act of 2001 prohibits the NGCP from holding any interest in generation and distribution utilities.


The NGCP denied recent reports that it is not fully disclosing the real power situation in Mindanao and is not fully utilizing the power capacities from hydroelectric plants.


The Mindanao grid, which needs an average of 1,300 megawatts (MW) daily, lacks an average of 50 to 270 MW, resulting in two to four hours of rotating blackouts since January, NGCP data show.


To date, power plants of the National Power Corp. and privately owned generating companies cannot meet the demand of customers connected to the Mindanao grid, the NGCP said.


“For the Mindanao grid, there is clearly a deficiency, considering that the published reserves are gross reserves that do not even include the required regulating, contingency and dispatchable reserves,” Perez-Alabanza said.


These reserves are used by the grid to regulate frequency and voltage, and to avoid a complete grid shutdown in the event of an emergency power plant shutdown.


In a circular to be released by the Department of Energy (DOE) next week, the 250-MW reserves will be cut to 150 MW, which will result in additional 100-MW capacity for the grid.


“NGCP has been transparent on the actual supply situation in the country. We publish the power situation outlook on a daily basis, to inform the public of the electricity supply status,” Perez-Alabanza said.


The NGCP oversees the demand and supply of electricity for customers directly connected to the grid and implements load curtailment to maintain the power grid’s security and reliability. It maintains and expands the nationwide transmission backbone.


The NGCP said its lines are able to handle the entire energy load in Mindanao.


“These lines are fully operational and are ready to deliver available power from the generators or producers to end-users,” it said.


Since 2010, the DOE has been warning that Mindanao needs additional baseload generating capacity through private investor participation.


But the DOE said there were delays in securing permits from local government units. For instance, Aboitiz Power Corp., Sarangani Energy Corp., and San Miguel Corp. are planning to put up coal-fired power plants in Mindanao, but these plans were opposed by host communities due to environmental concerns.


Mindanao Development Authority chairperson Secretary Lualhati Antonino is bullish though that the power crisis in Mindanao will soon be resolved with the release of the untapped 300-MW reserve from the Pulangi hydroelectric power plant.


Antonino said the DOE has approved the use of parts of the 300-MW reserve power supply. But she is uncertain on its implementation, as Energy Secretary Rene Almendras still has to authorize it. – With Roel Pareño, Edith Regalado