Tuesday, November 5, 2019

NGO backs DOE’s call for Meralco to change rules in getting suppliers


By Lenie Lectura - November 5, 2019

THE Power for People Coalition (P4P) on Monday expressed support for the Department of Energy’s (DOE) call for Meralco to change its rules to give more flexibility for power suppliers bidding for its energy needs. 
“We welcome the announcement of [Energy] Secretary [Alfonso] Cusi calling on Meralco to change its terms of reference for its competitive selection process [CSP]. However, we are not happy that the changes he asks for will just allow more coal-fired power plants to participate, instead of taking the opportunity to obey President Duterte’s directive to have more renewable sources available to Filipinos,” said P4P Convenor Gerry Arances.
Meralco is asking for bids for 1,200 megawatts of supply but specified that the electricity must come from the controversial “high-efficiency, low-emissions” (HELE) technology.
Under the terms, Meralco wants the generation companies to bid for the whole supply requirement using plants with high-efficiency, low-emission technology, while Cusi wants any plant to be able to sell only part of its capacity so that they can sell the surplus on the open market.
“Meralco’s arcane CSP rules are problematic on many different levels. Unfortunately, Secretary Cusi focused only on the aspects of the rules which are of concern to big investors and not those of concern to ordinary people. Even if the DOE’s changes are adopted, electricity will not be affordable, reliable, and sustainable, as what President Duterte wants,” said Arances.
 Green energy groups, led by the P4P, are against coal, including the “clean coal” technology.
 “There is nothing clean about coal. What the so-called clean coal does is simply to change what part of the Earth it’s polluting. Instead of the air, it will pollute our ground and waters,” said Arances.
 Cusi said he needs to verify what Meralco meant while commenting that he was surprised with Meralco’s position on the CSP.
“I don’t like to say anything until I validate what they really meant. I was surprised to hear it from the news, so I need to validate,” he said.
“We encountered a problem in the CSP in 2016. So we have to untangle all those problems. Now that CSP has resumed, we want it to be really a competitive selection. I don’t like to tweak it to favor anybody. So all plants should be able to participate to get the best price. That’s the objective of the CSP: build capacity, promote competition,” Cusi added.
 Meralco wants to conduct a second round of its CSP for 1,200 MW greenfield capacity with relaxed rules. It was, however, not in favor of some of the concerns raised by the DOE regarding changing the terms of reference (TOR) of the competitive bidding.

No comments:

Post a Comment