Power utilities warned on ‘new bill shock’ under MECQ

Published August 5, 2020, 3:16 PM by Myrna M. Velasco

https://mb.com.ph/2020/08/05/power-utilities-warned-on-new-bill-shock-under-mecq/

.

The attention of the country’s power distribution utilities (DUs) had been called this early to make sure that no new round of ‘bill shocks’ will be suffered by the Filipino consumers during the newly-enforced modified enhanced community quarantine (MECQ) in Metro Manila and neighboring provinces.

In particular, Senate Committee on Energy Chairman Sherwin T. Gatchalian sounded off that with the MECQ declaration, “meter readings may not be possible due to the lockdown period,” and such raises probability that a number of affected consumers may appeal anew for deferred or extension payment in their monthly bills.

Given such circumstances, he noted that the DUs, including the Manila Electric Company (Meralco), has to see to it that a repeat of the “unexplained bill shocks” – that were reminiscent of the summer months — will not recur.

“The consumers cannot afford another round of bill shock in their electricity bills,” the lawmaker stressed; adding that heaps of customers are still seeking resolution of under-estimation or over-estimation on their electric bills in previous months.

Prompted by that contention, power utility giant Meralco said its meter reading activities will go on despite the re-declaration of MECQ in Metro Manila and other parts of Luzon covered by its franchise area, including those in Laguna, Cavite, Rizal and Bulacan.

The utility firm added that even its business centers will continually operate and attend to the needs of customers, including those on payments, concerns and inquiries as well as service applications.

Meralco said it is closely coordinating with the Energy Regulatory Commission (ERC) and the Department of Energy (DOE) in regard to its seamless business operations even in the re-implementation of stricter lockdown measures.

And on the deployment of personnel to assigned tasks, the power company guaranteed that it has been enforcing “strict implementation of protocols of the government’s Inter-Agency Task Force.”

On the sphere of meter reading, Meralco is appealing to the local government units and barangay officials “to recognize meter readers as among the essential workers granted permission to work amid MECQ, and allow them access to read meters of residences.”

The assurance given by the utility firm is for the process to be “unobtrusive” and that its deployed meter readers “will be in complete personal protective equipment,” as part of the comprehensive safety protocols instituted by the company.

It added that by ceaselessly carrying out meter reading activities, “this will ensure that actual consumption for the month will be billed accordingly.”  

Fuel prices rolled back

Published August 3, 2020, 5:03 PM by Myrna M. Velasco 

https://mb.com.ph/2020/08/03/fuel-prices-rolled-back/

 

Filipino consumers will experience slight relief on their fuel budgets this week as the price of diesel products will be on rollback by P0.30 per liter; while gasoline prices will be down by P0.25 per liter.

The price of kerosene, which is another important commodity for households and industries, will also be marginally reduced by P0.15 per liter.

As of this writing, the oil companies that already sent notices on rollbacks for prices at their pumps had been Pilipinas Shell Petroleum Corporation, Seaoil, Cleanfuel, PetroGazz, PTT Philippines and Total effective Tuesday (August 4); while industry competitors are anticipated to go along with their pricing leads.

But since Metro Manila and some provinces are back on the stricter modified enhanced community quarantine lockdown, it is seen that many motorists will not benefit fully from this round of price cuts.

The Department of Energy (DOE) similarly indicated that most oil companies will revert this week to prices without the cost-impact of the previously-imposed 10-percent import duty on crude and finished petroleum products.
The department explained that the oil firms already used up their inventories with the higher import duty, so they can now go back to their prices without the P1.50 to P1.70 per liter increase attributed to the fuel import levy; which in effect will be a cost reduction to consumers.

Energy chief says Palawan ‘open to hosting’ nuke plant

By: Ronnel W. Domingo - 04:30 AM August 08, 2020
https://business.inquirer.net/304874/energy-chief-says-palawan-open-to-hosting-nuke-plant

The Palawan local government has joined a short list of areas that are “open to hosting” a nuclear power plant, Energy Secretary Alfonso Cusi said, even as the Philippines is practically still approaching square one toward the use of the socially sensitive technology.

Cusi said in a briefing that Palawan Gov. Jose Alvarez expressed such interest, although this was “subject to public consultation.”

“Before this, we have received expressions of interest from [local authorities in] Sulu and [officials at the] Cagayan Economic Zone Authority,” the energy chief said.

Cusi provided this update as he lauded the recent signing of Executive Order No. 116, which directs the creation of an inter-agency committee to study the viability of nuclear energy and recommend the needed steps in the use of such technology “as well as existing facilities such as but not limited to” the Bataan Nuclear Power Plant.

He said the government was firm on including nuclear energy in the country’s energy mix— the portfolio of resources from which electricity is produced.

“The Philippines’ use of nuclear energy is not dependent on the possible use of the Bataan Nuclear Power Plant,” he said. “The three areas [Palawan, Sulu and Cagayan] are looking into small modular nuclear reactors.”

With the operation last December of the world’s first small modular nuclear reactor whose Russian developers said could be applied in countries like the Philippines, the International Energy Agency has started looking at hybrid nuclear-renewable energy systems to help rein in climate change.

The Austria-based United Nations agency said nuclear energy could back up renewable energy systems, “ensuring round-the-clock clean power even when there’s no sunshine or wind.”

Last January, the IAEA (International Atomic Energy Agency) said that if this new smaller technology proved to be successful, then nuclear power could be more affordable and even more flexible, to be integrated with renewables in so-called hybrid energy systems.

There are at least two dozen countries worldwide that are considering adding nuclear to their power generation mix, several of which—aside from Russia —are developing small reactors.

Over the past three years, the Philippine Department of Energy has been actively pursuing the nuclear option, having asked an IAEA-led mission to evaluate the country’s prospects.

The Philippines is merely “ready,” based on the IAEA assessment, “to make a knowledgeable commitment to a nuclear power program.”

The IAEA also said the Philippines has a lot more to achieve to move forward such as developing a legal and regulatory framework that ensures and demonstrates a commitment to safety, security and non-proliferation.

Further, The IAEA recommended for the Philippines to adapt existing national frameworks for emergency preparedness and response and for nuclear security. Between these milestones and the actual construction of a nuclear power plant is a long way to go.

Emperador in, Semirara out of PSEi

By: Doris Dumlao-Abadilla 01:33 PM August 07, 2020
https://business.inquirer.net/304720/emperador-in-semirara-out-of-psei

Tycoon Andrew Tan-led Emperador Inc. (EMP) will rejoin the Philippine Stock Exchange index (PSEi) effective Aug. 17, replacing Semirara Mining and Power Corp.

This was based on the result of the PSE index review from July 2019 to June 2020.

“The semi-annual review of indices ensures that the Exchange’s benchmarks reflect the performance of the best securities in the stock market in general and its sectors,” PSE president Ramon S. Monzon said on Friday.

Based on PSE’s policy on index management, a company may be considered for inclusion in the PSEi if it has a float level of at least 15 percent, ranks among the top 25 percent by median daily value per month in nine out of 12 months and ranks among the highest in market capitalization.

The PSE may also take into account relevant financial criteria to ensure that index constituents are closely representative of the market or a particular sector.

Group bucks nuclear energy plan

By: Ronnel W. Domingo - 04:42 AM August 01, 2020
https://business.inquirer.net/304136/group-bucks-nuclear-energy-plan

Electricity consumers and science advocates raised a howl over renewed government moves to make the Philippines a nuclear-power country, particularly as the recently signed Executive Order No. 116 revived the possibility of using the mothballed power plant in Bataan.

The Advocates of Science and Technology for the People (Agham) said using nuclear energy would only worsen the Philippines’ reliance on imported fuel.

Energy Secretary Alfonso G. Cusi has hailed EO 116, signed by President Duterte last July 24, as a “major step toward the realization of a Philippine nuclear energy program.”

EO 116 directs the creation of an inter-agency committee, which, among other tasks, will study the viability of nuclear energy and recommend the needed steps in the use of such technology, “as well as existing facilities such as but not limited to” the Bataan Nuclear Power Plant (BNPP).

“We vehemently oppose studies on the possible rehabilitation of the BNPP, an environmental and health hazard with obsolete technology perilously placed atop the active Lubao fault and on the slopes of Mt. Natib, a capable volcano,” Agham secretary general Feny Cosico said in a statement.

“This will not only put adjacent communities in danger but also violate current regulations of the International Atomic Energy Agency on sites where a nuclear plant can be built,” Cosico said.

Also, Agham noted that since the country did not have uranium resources to fuel nuclear power plants, it would be the same scenario as with fossil fuels for which the Philippines remained dependent on importation.

Aboitiz hydro firm settles property tax issue

August 4, 2020 | 12:08 am

https://www.bworldonline.com/aboitiz-hydro-firm-settles-property-tax-issue/

 

A COURT approved the deal signed between a hydropower unit of Aboitiz Power Corp. and an Ilocos Sur town seeking a compromise over a property tax issue.

The listed power company told the stock exchange, Monday, that Luzon Hydro Corp. (LHC) settled a tax dispute with the Municipality of Alilem after the Regional Trial Court (RTC) of Tagudin issued its judgment on July 27 validating all recommendations listed in their deal.

The two parties met on Feb. 14 to discuss the settlement of their tax row. They later came up with a compromise agreement on July 22 and filed the signed deal with the RTC for its judgment a day after.

To recall, the renewable energy firm received in December last year a notice of real property tax (RPT) delinquency from the Alilem town government, which seek to collect P82.25 million in unpaid tax and accrued penalties for seven of the company’s properties between 2004 and 2019. The local government also put up five of those assets in an auction.

In response, LHC on Dec. 13 requested a temporary restraining order and preliminary injunction in a petition for prohibition and mandamus against the municipality to prevent the sale.

It had sought the implementation of Executive Order No. 60, which cuts the RPT on assets by independent power producers under build-operate-transfer (BOT) contracts and disregarding tax-related interest and penalties.

Upon the receipt of the town’s order, the Aboitiz power unit made a standing offer to the Ilocos Sur provincial government to pay its property tax computed based on the President’s order. However, the tender of payment was rejected.

The state-led Power Sector Assets and Liabilities Management Corp. (PSALM) had also asked the municipality to reconsider the auction of the said assets to consider its ownership rights and interests over them.

LHC runs the 70-megawatt Bakun AC hydropower plan in Alilem. The plant was constructed under the government’s BOT scheme, which means that the electricity it is producing is taken up by the National Power Corp. under a power purchase deal for 25 years from February 2001. In 2026, the government will seize the ownership of the plant.

Its generated power is also required to be dispatched to the Luzon grid.

Meralco: Refund requests ‘low’

August 3, 2020 | 12:05 am

https://www.bworldonline.com/meralco-refund-requests-low/

 

THERE have not been many customers who asked for refund of their quarantine arrears, according to Manila Electric Co. (Meralco).

The twin June bills — one for the installment and the other for the monthly bill — caused an apparent confusion to consumers who might be led to fully settle their arrears since mid-March.

Upon prodding by legislators in last month’s Senate energy hearing, the utility giant said it would set up a refund scheme for those who have fully paid their bills incurred during the lockdown months but who wish to pay them in portions.

“The refund option is open to customers. We have seen though that in our business centers the amount of take-up for refund has been low,” said Victor S. Genuino, Meralco’s head of customer retail services and corporate communications.

The Energy Regulatory Commission (ERC) in its latest advisory ordered all power distributors, among others, to put up a refund scheme for those who wish to pay their lockdown arrears in four to six installments.

To recall, the regulator authorized the installment setup in May as a form of aid to consumers whose livelihoods are affected by the pandemic-induced quarantine policies.

Explaining the low request for refunds, Mr. Genuino said: “I think people are realizing that once these payments have been made already and they have other current bills to pay for, they decide to just keep their payments in already.”

The utility’s customers can still request a refund by presenting valid identification and proof of billing.

Meanwhile, the listed company in July also sent out personalized letters explaining to customers how their bills were computed.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT, Inc. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a stake in BusinessWorld through the Philippine Star Group, which it controls. — Adam J. Ang

MGen moves target date for Bulacan solar farm

July 31, 2020 | 12:05 am

https://www.bworldonline.com/mgen-moves-target-date-for-bulacan-solar-farm/

 

MERALCO Powergen Corp. (MGen) is still expecting to launch its solar farm in Bulacan within the year despite a delay in construction due to the quarantine restrictions.

Last April, PowerSource First Bulacan Solar, Inc. (PFBSI), the project proponent of the 50-megawatt (MW) generation facility, was given a special permit by the Bulacan government to resume site activities.

“We still hope to complete that by the end of this year, instead of the end of [the] third quarter,” said Rogelio L. Singson, MGen president and chief executive officer, during a recent virtual briefing of Manila Electric Co. (Meralco).

It can still delay the power farm’s commercial run should the government extend the pandemic-induced lockdown period, the official added. The local government’s support is also considered for the matter.

The P4.25-billion project is situated in a 72-hectare area in San Miguel, Bulacan.

MGen owns 40% of PFBSI through MGen Renewable Energy, Inc. (MGreen), while PowerSource Global Holdings Corp. holds a 36% stake and Singapore-based Sunseap International Pte. Ltd. owns the remaining 24%.

The consortium has awarded a contract to Chinese firm SUMEC Complete Equipment & Engineering Co. Ltd. for the construction of the solar farm, which started in December last year.

“Right now, we were able to commence work in the area. But with a lot of caution coming from the LGU (local government unit), we were limited to hiring or utilizing, as much as possible, workers from Bulacan,” Mr. Singson said.

The project is way past half, or 53%, of completion, as of July 13, he said.

MGreen is planning to roll out 1,000-MW projects over the next five to seven years. — Adam J. Ang

 

Aboitiz power provider goes digital

July 31, 2020 | 12:04 am

https://www.bworldonline.com/aboitiz-power-provider-goes-digital/

 

A UNIT of Aboitiz Power Corp. has brought online its first digital substation in Davao City.

Davao Light and Power Co., Inc. said the substation in Calinan district can digitally track and assess technical issues within the area’s power distribution system.

“This will significantly reduce, shorten and even prevent power outages and their impact to the community,” the power firm said in a statement, Thursday.

Also, the digital substation limits physical monitoring of the station’s status, especially now that quarantine restrictions are in place.

“We continued to push forward with this project despite the trying times because the Calinan substation will help us make sure to keep the lights on for our customers during this community quarantine period,” Davao Light President and Chief Operating Officer Rodger S. Velasco was quoted as saying. — Adam J. Ang

Meralco rates seen stable in August

posted August 05, 2020 at 10:00 pm by Alena Mae S. Flores
https://manilastandard.net/business/power-technology/330642/meralco-rates-seen-stable-in-august.html

Power rates of Manila Electric Co., the country’s biggest distributor, will likely remain stable in August with a possibility of minimal decrease, according to a company executive.

“Currently, overall power rate movement looks to be flattish, due to improved power situation for the July supply month, stronger peso and quarterly repricing of Malampaya natural gas prices,” Meralco spokesman Joe Zaldarriaga said.

Zaldarriaga said Meralco was still waiting for the complete data and billings from power suppliers, but would announce the final rates soon. “There is a possibility for a minimal decrease in overall power rates and generation charge because of these factors,” he said.

He said there were no yellow alerts in July, and power supply was more stable compared to June, with lower demand in the Luzon grid.