By
Lenie Lectura - December 4, 2019
THE Energy Regulatory
Commission (ERC) has commenced public hearings on the Manila Electric Co.’s
(Meralco) six power-supply agreements (PSAs) that underwent competitive
selection process (CSP).
The six PSAs are with
First Gen Hydro Power Corp., Phinma Energy Corp. and South Premiere Power Corp.
for the supply of 500 megawatts mid-merit capacity for five years, starting
December 26, and with Phinma Energy, SPPC and San Miguel Energy Corp. for the
supply of 1,200 MW brownfield capacity.
During the first public
hearing on Monday, climate justice and consumers’ rights advocates raised
various concerns.
The Power for People
Coalition (P4P), which filed last November 29, a petition for intervention at
the ERC, questioned the results of the competitive bidding.
“We are pleased that
after over two years of Meralco’s insistent efforts to evade biddings for their
power-supply agreements, the CSP finally took place,” said Gerry Arances,
convenor of the Power for People Coalition.
“We find it alarming,
however, that Meralco is still so set on ensuring that power consumers remain
tied to paying for dirty energy in the coming decade while also suffering the impacts
of destructive power generation,” Arances added.
Of the six PSAs now
undergoing the approval process in the ERC, the P4P noted that at least 1,460
MW would be sourced from coal and other fossil fuels.
“Meralco is rushing the
approval of these new PSAs because its existing contracts worth 1,905 MW, most
of which come from coal-fired power plants, are expiring by the end of this
month. But before consumers and all groups pushing for clean energy can rejoice
[over] the end of these coal contracts’ reign, we learn that Meralco is
replacing dirty energy, also with dirty energy,” Arances noted.
Contracts set to expire
before the year-end include Meralco’s PSAs with the Masinloc coal-fired power
plant (430 MW), Therma Luzon coal plant (350 MW), and a coal facility of SMEC
(430 MW).
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