The Energy department on Thursday warned that electricity prices could go up due to the series of yellow alerts this week.
“The yellow alert is caused by higher demand and low supply,” Energy Undersecretary Felix William Fuentebella said when asked about the impact of the yellow alerts in the Luzon grid in the past four days.
READ: ‘Yellow alert’ on low power; water bills cut
“If we talk about the [impact on the] rates, it will really go up.”
Fuentebella made his statement even as Alsons Power and Western Mindanao Power Corp. said in January 2019, Crown Investment Holdings, Inc. formally began its Investment and Management Contract with the Zamboanga City Electrical Cooperative.
They said that made Crown Investment Holdings, and its partner Desco Inc. legally responsible for all the debt, financial and contractual obligations of Zamcelco.
“Within 30 days of the Crown takeover of Zamcelco, Zamboanga City was suffering from daily rotating blackouts of up to 6 hours, disrupting economic, commercial and security processes of Zamboanga City, Alsons Power said.
Fuentebella said he could not say how much prices would go up as the movement in electricity prices at the Wholesale Electricity Spot Market, the country’s trading floor of electricity, was different at hourly intervals.
Manila Electric Co. spokesman Joe Zaldarriaga said the sport market was part of Meralco’s pricing. Meralco sources part of its power requirements from the spot market.
“At this point, we cannot tell you the impact of prices for April, but rest assured once all the billings are in, including the sourcing we have from WESM, we will give it,” he said.
Grid operator National Grid Corporation of the Philippines has issued a yellow alert for the Luzon grid for the fourth consecutive day on Thursday.
The yellow alert was raised from 2 p.m. To 4 p.m. due to insufficient operating reserves brought about by the high system demand and the forced outage of Pagbilao 3.
The power plants that are still on unplanned outage are SLTEC 1(150 MW) and Malaya 2. The de-rated plants, or those operating below their capacity, are Masinloc 2 250 MW (344 MW), Calaca 2 at 200 MW from its declared 300 MW capacity, Malaya 1 at 150 MW from 300 MW, and SLPGC 2 at 100 MW from 150 MW.
The plants went off-line due to several reasons, including burned air heater, boiler slugging, boiler tube leak, turbine oil leak, high turbine and vibration.
Fuentebella said the Energy department had already asked the owners of the plants to explain the unplanned and forced shutdown.
