Government assures no Luzon power shortage by 2016

Business Mirror

Published on Thursday, 31 January 2013 20:37

Written by Lenie Lectura / Reporter

THE Department of Energy (DOE) on Thursday said the Luzon grid is not going to experience any power shortage by 2016, contrary to the recent observation aired by Manila Electric Co’s. (Meralco) top official.

In a statement, the agency said the peak demand in Luzon grid is indeed expected to increase at an annual average rate of 4.13 percent from 7,969 megawatts (MW) in 2012 to 16,477 MW in 2030.  Based on this, correspondingly, the grid will require an additional 500 MW by 2016 and 8,100 MW by 2030.

However, the DOE noted that there are committed power projects that will address this and eventually avoid the anticipated brownouts. 

“In response to Meralco’s statement that Luzon grid will experience power shortage due to the lack of new power plants coming in, the Department of Energy notes that in the 2012 Power Development Plan [PDP], peak demand in Luzon grid is expected to increase.… The PDP assumes that there are committed power projects that are expected to be on line starting 2013 until 2015,” it said.

 For this year, the following power facilities will be up and running: 600-MW GN Power; 21-MW CIP 2 Bunker; 67.5-MW Pililia Wind; 1.2-MW Payatas LF; and 13-MW Green Future Biomass.

The DOE said the 600-MW GN Power will be on commercial operation by May, while the 1.2-MW Payatas LFG by Pangea by March 2013. Meanwhile, the 21-MW CIP 2 Bunker was fired up on January 17, while the 13-MW Green Future Biomass has been operational since November 2012 but not in full capacity.

The 20-MW Maibarara Geothermal project, which is originally scheduled to be up and running by 2014, will be commissioned by July 2013 and commercial operation is sometime fourth quarter of this year.

 By 2015, the DOE  expects that the 135-MW Puting Bato Coal Phase 1 and the 11-MW SJCI Power Rice Husk will be fired up.

“In addition to new power plants, there are also rehabilitation of power plants that will add capacity to the grid, these are: 130-MW additional capacity from Bacman Geothermal and 5 MW per year, starting 2012 up to 2015, from Binga hydro uprating,” added the DOE.

On Wednesday Meralco Chairman Manuel Pangilinan warned that Luzon may experience power shortage if no new power facilities are installed.

“We do need more power plants in the country. The margin of [supply] safety in Luzon is very very tight and unless we fire up our oil-fired plants, we will experience brownout in Luzon,” Pangilinan said during the Philippine Economic Summit 2013.

Meralco President Oscar Reyes also anticipates that there would be “increasing tightness in 2013-2016 until new power-generating plants come in.”   source