Friday, June 5, 2020

Aboitiz power unit to disconnect from Meralco


June 5, 2020 | 12:04 am

THERMA Mobile, Inc. will disconnect from the distribution system of Manila Electric Co. (Meralco) and will quit trading at the wholesale electricity spot market starting mid-July, its parent firm told the stock exchange on Thursday.
“[Therma Mobile’s] bunker-C fired diesel power plants located in Navotas, Metro Manila will be on reserve shutdown in the absence of a Power Supply Agreement duly approved by the Energy Regulatory Commission (ERC),” Aboitiz Power Corp. said.
It said Meralco had been notified of the move on June 3.
Therma Mobile is a wholly owned subsidiary of AboitizPower through Therma Power Inc., its holding company for its investments in thermal energy.
Notices have also been sent to Philippine Electricity Market Corp., Independent Electricity Market Operator of the Philippines Inc., Department of Energy, National Grid Corporation of the Philippines, and ERC as called for by the notice requirements of Republic Act 9136 of the Electric Power Industry Reform Act of 2001, its implementing rules, and other relevant rules and regulations.
On Feb. 5, 2019, Therma Mobile physically disconnected from Meralco’s system and de-registered as a trading participant at the spot market. It then signed a power supply agreement (PSA) with Meralco on April 26, 2019 for a term of one year. The contract has not been renewed and currently, the power generation company has no ERC-approved PSA.
On Thursday, shares in AboitizPower slipped by 20 centavos or 0.67% to P29.80 each.

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