By Donnabelle L. Gatdula (The Philippine Star) Updated October 20, 2010 12:00 AM Comments (0)  |
MANILA, Philippines - The Energy Regulatory Commission (ERC), the country’s power sector watchdog, has lowered the market capacity limit in Luzon and Mindanao and increased the caps in the Visayas.
The ERC said the adjustments in the generating capacities and the corresponding market share limits (MSLs) in the three main power grids took into considerations significant developments such as: capacity additions in the Visayas and Mindanao grids; corrections of previous installed capacity computations which included those for transmission system blackstart needs and standby generating sets, changes in ownership; and increases or decreases in the installed capacities in recent reports to the ERC by some generation companies.
The ERC added the changes were also necessary to take into account the privatization of the National Power Corp. (Napocor) assets.
Consequently, the ERC deemed that the installed generation capacity limits in the affected grids had to be adjusted to ensure that generation companies continue to be compliant with the market share limitations towards the prevention of market power abuse.
ERC chairperson Zenaida Ducut pointed out that the adjustments are in line with the Electric Power Industry Reform Act (EPIRA) that prohibits any participant in the electricity industry from cross-subsidization, price or market manipulation and other unfair and anti-competitive business practices that are detrimental and ultimately harm the interests of electricity consumers.
With the adjustments, the Luzon grid’s installed generation capacity limit, or at 30 percent cap, would be reduced from 3.356 million kilowatts to 3.252 kw.
In the Visayas, the installed generating capacity limit would be raised from 514,588. kw to 589,432 kw while Mindanao grid’s installed capacity cap will be reduced to 539,925 kw from last year’s 542,643 kw.
On the national grid level, the installed capacity limit would be at 3.651 million kw compared to last year’s level of 3.678 million kw.
The capacity of a facility that is owned by various entities shall be credited to the entity controlling the terms and conditions of the prices or quantities of the output of such capacity. In the case of a facility owned by different persons, the capacity of the facility will be credited to the person controlling such capacity.
“The ERC closely monitors the movement of generating capacities in the electric power industry so that the welfare and interests of stakeholders, especially the electricity consumers, are protected from market abuse. The ERC issued a resolution to monitor and enforce the ownership limitations prescribed in the EPIRA,” Ducut said.
The ERC said the adjustments in the generating capacities and the corresponding market share limits (MSLs) in the three main power grids took into considerations significant developments such as: capacity additions in the Visayas and Mindanao grids; corrections of previous installed capacity computations which included those for transmission system blackstart needs and standby generating sets, changes in ownership; and increases or decreases in the installed capacities in recent reports to the ERC by some generation companies.
The ERC added the changes were also necessary to take into account the privatization of the National Power Corp. (Napocor) assets.
Consequently, the ERC deemed that the installed generation capacity limits in the affected grids had to be adjusted to ensure that generation companies continue to be compliant with the market share limitations towards the prevention of market power abuse.
ERC chairperson Zenaida Ducut pointed out that the adjustments are in line with the Electric Power Industry Reform Act (EPIRA) that prohibits any participant in the electricity industry from cross-subsidization, price or market manipulation and other unfair and anti-competitive business practices that are detrimental and ultimately harm the interests of electricity consumers.
With the adjustments, the Luzon grid’s installed generation capacity limit, or at 30 percent cap, would be reduced from 3.356 million kilowatts to 3.252 kw.
In the Visayas, the installed generating capacity limit would be raised from 514,588. kw to 589,432 kw while Mindanao grid’s installed capacity cap will be reduced to 539,925 kw from last year’s 542,643 kw.
On the national grid level, the installed capacity limit would be at 3.651 million kw compared to last year’s level of 3.678 million kw.
The capacity of a facility that is owned by various entities shall be credited to the entity controlling the terms and conditions of the prices or quantities of the output of such capacity. In the case of a facility owned by different persons, the capacity of the facility will be credited to the person controlling such capacity.
“The ERC closely monitors the movement of generating capacities in the electric power industry so that the welfare and interests of stakeholders, especially the electricity consumers, are protected from market abuse. The ERC issued a resolution to monitor and enforce the ownership limitations prescribed in the EPIRA,” Ducut said.
No comments:
Post a Comment