April 23, 2019 | 12:03 am
PALAWAN Electric Cooperative
(Paleco) said on Monday that it had renewed a 13.5-megawatt (MW) power supply
contract for one year with Vivant Corp. subsidiary Delta P, Inc.
“We just passed a one-year extension
contract with Delta P on their old contract with an energy contract of 13.5
MW,” said Jeffrey Tan-Endriga, Paleco board chairman, in a statement.
Established in 1997, Delta P is one
of the independent power producers in Palawan. Paleco is the lone power
distributor of Puerto Princesa City and 18 municipalities, serving 137,277
consumers as of June 2018.
Mr. Tan-Endriga leads “Task Force
Palawan Power” created to conduct a comprehensive institutional, financial, and
technical audit of Paleco to improve its systems. The task force is composed of
representatives of the Department of Energy (DoE), National Power Corp.,
National Electrification Administration (NEA), Energy Regulatory Commission
(ERC), and Paleco.
“We have demand forecast of 55 to 58
MW this summer. Our available capacity is 60.5 MW so we really need to have an
additional or a contingency power while waiting for our confirmation on CSP (competitive
selection process) by NEA and DoE,” Mr. Tan-Endriga said.
In the statement, Paleco said it has
a pending request with the DoE for the conduct of a CSP for 20 MW but has not
yet received approval.
Paleco officials had said the
renewal of Delta P’s contract is in compliance with the DoE rules, as long as
there is no change in rate, supply and capacity.
Paleco said demand for power
increases during summer months when temperatures go up. It added that the entry
of more tourists also increased power demand in its franchise area, which
includes Puerto Princesa City and the municipalities of Aborlan, Narra,
Brooke’s Point, Sofronio Espanola, Cuyo, Magsaysay, Quezon, Roxas, Taytay, El
Nido, Araceli, San Vicente, Bataraza, Rizal, Balabac, Cagayancillo, Agutaya and
Dumaran. — Victor V. Saulon
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