During the last week of May, the Luzon grid was placed on yellow alert for three consecutive days due to the high power demand reaching 10,532 megawatts (MW), while the grid’s available capacity is 11,387 MW, leaving less than 1,000 MW as the National Grid Corporation’s operating margin.
This caused unexpected shutdowns and thin power reserves. Previously, the Luzon grid was placed several times on yellow alert—specifically in February and April 2018.
At present, to our understanding, we fall below or possess no power reserves as observed by global industry standards.
Energy officials including Secretary Alfonso Cusi admitted the need for additional capacity. While it is apparent that the country’s power supply problem has been persistent, it is also worsening as the peak power demands during the month of May increase, from 8,304 MW in 2013, 10,054 MW in 2017, and this year with 10,876 MW marking its highest demand to date.
Luzon’s power demand is projected to maintain an upward trend in the following years. Energy officials have noted that the increase in demand came from those areas outside the service of Meralco. This is augmented by the demands from the infrastructure development program by this administration. Given the low operating margin and reserves, it is not impossible that we shall soon face darker nights as power shortage is expected to hit the country.
With the Build Build Build program of this administration, we can address this power supply problem by allowing construction of new power plants that are compliant with standards provided for by our laws.
One promising infrastructure project is the 258USD power plant with 1,200-megawatt capacity to be built in Atimonan, Quezon. To our knowledge, this project has complied with all the legal and administrative requirements. The Energy Regulatory Commission has yet to issue a Notice to Proceed, as there are pending protests.
Increasing power supply would decrease the cost of electricity to the benefit of the consuming public. The cost efficiency spreads across the board, covering ordinary Filipinos, small- to large-scale businesses, and the government. This benefit is undeniable.
While we do not disregard the environmental concerns, we cannot be paralyzed by this fear. Technology is available to clean coal emissions. The power plant in Atimonan, to our understanding, is an ultra supercritical power plant. They are the first to utilize HELE—high efficiency, low emissions technology.
Reality check. The transition to an entirely renewable energy structure will take time. An acceptable interim is to allow construction and operation of power plants that produce cheap energy and utilize clean technology. To us, this is a win-win situation as we take steps to implement a 100-percent renewable energy system.
I urge our government officials to have an open mind and consider practical solutions, particularly in light of the rising cost of energy and power shortages experienced in our country. Projects such as the Atimonan Power Plant should be allowed, having guaranteed that these take into consideration the energy needs of the country without compromising strict environmental standards.