Danessa Rivera (The Philippine Star)
- August 26, 2019 - 12:00am
MANILA, Philippines — The National Grid
Corp. of the Philippines (NGCP) has tapped SPC Island Power Corp. (SIPC) to
provide ancillary services (AS) for its diesel plants for another five years
to ensure the stability and reliability of the Visayas power grid.
NGCP entered into a new five-year
ancillary services procurement agreement (ASPA) with SIPC as both companies
found it necessary to extend the contract.
The AS would be sourced from SIPC’s
Panay Diesel Power Plants (PDPP) 1 and 3 in Dingle, Iloilo City.
Under the new ASPA, SIPC will supply
dispatchable reserve (DR) services to NGCP from PDPP 1 of up to 10 megawatts
(MW) under a firm arrangement and up to five MW on a non-firm contract or when
the firm capacity is not scheduled.
SIPC would also supply up to 30 MW
of contingency reserve (CR) and up to 50 MW of DR from PDPP 3 on a non-firm
contract.
DR refers to the generating capacity
that is readily available for dispatch in order to replenish the contingency
reserve service whenever a generating unit trips or a loss of a single transmission
interconnection occurs.
Meanwhile, CR is the capacity
allocated to cover the loss or failure of a power plant or transmission line in
order to maintain the balance in the power grid.
The ASPA would have a rate of P0.85
per kilowatt-hour (kwh) for the firm contracted DR, P1.25 per kwh for the
non-firm DR, and P1.25 per kwh for the non-firm CR.
The ASPA would commence once the
Energy Regulatory Commission (ERC) issues provisional authority or final
approval of the application.
“SIPC must continue to provide the
current contracted ancillary service beyond the 2013 ASPA to maintain the
reliability of the power grid,” both firms said in their filing with the ERC.
Based on current levels of available
AS in the Visayas grid, the firm contracted have not yet met the required
levels of AS.
AS is necessary to support the
transmission of capacity and energy from resources to loads while maintaining
reliable operation of the transmission system in accordance with good utility
practice and the grid code.
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