Gov’t lists energy plans for Mindanao

Business World Online
Posted on March 06, 2014 10:16:42 PM 

MALACAÑANG yesterday said that the Department of Energy (DoE) and the power industry are implementing a four-measure solution to address the current power shortage in Mindanao. 
Citing the DoE, Presidential Communications Operation Office Secretary Herminio "Sonny" B. Coloma said at a press briefing yesterday that the current supply in Mindanao is 1,064 megawatts, compared with an estimated 1,222-MW peak demand. 
Hence, a shortfall of 158 MW. "This explains why there rotating brownouts at an average of two to three hours, except in Maguindanao province, which is currently experiencing up to more than 10 hours of power interruption daily," Mr. Coloma said. 
The Palace official said that, to address this problem, the DoE and the power industry is implementing the following measures: 1. Use of embedded generators by distribution utilities to augment power supply; 2. Adoption of the interruptible load program -- consumers’ voluntary use of generator sets, for which they will receive compensation based on rates by the Energy Regulatory Commission (ERC); 3. Continuing repair and rehabilitation of the 210-MW STEAG State Power, Inc. coal-fired power plant in Misamis Oriental, estimated to take two to three months; and 4. Continuing repair and rehabilitation of existing hydroelectric power plants. 
"The government is closely monitoring ongoing projects that will increase power supply in Mindanao by up to 900 MW. These new projects include the 200-MW coal-fired plant of the Alsons [Power] Group and the 300-MW Aboitiz [Power Corp] - owned coal-fired plant, which will both come online by 2015," Mr. Coloma said. He said another 400 MW will become operational in 2016 through the coal-fired plant owned by Filinvest Development Corp. 
The Palace official also said that the DoE continues to undertake reforms, including pursuing a 50/50 energy mix between traditional and renewable energy, with increased private sector investments in hydroelectric, biomass, and solar power.
In its own press statement yesterday, the DoE said that it has provided both long- and short-term solutions to the power crisis in the region. 
"The outages were due to the increasing supply-demand gap brought about by the lack of entry of new power projects, and the derating and non-operation of power plants in the region in the prior years," the agency said in the statement. 
In the short-term, the DoE, with energy stakeholders, last year added 128 MW through the 15-MW EEI Diesel Peaking Power Plant and 15-MW Mapalad Diesel Power Plant as well as the re-commissioning of the 98-MW Iligan Diesel Power Plant. 
"It takes two to four years to build a new power plant. We in the energy sector realize that the problems that we face now require long-term solutions," DoE Secretary Carlos Jericho Petilla was quoted saying. 
"Facilitating investors’ interest to bring in new capacities to meet the increasing demand is a priority not only in Mindanao but across the country," he further said. -- Maria Laura V. Angeles source