DMCI Power Corp. expressed hope the government will exempt power suppliers of the Small Power Utilities Group of National Power Corp. from the coal moratorium imposed in 2020.
DMCI Power chairman Isidro Consunji said coal should remain a part of the energy mix including those in the SPUG or missionary areas to bring down power costs.
Consunji said coal, being the “cheapest fuel”, should not be totally removed from the power supply mix.
“I think in the moratorium, SPUG should be exempted because you are replacing diesel, which is the most expensive,” he said.
Consunji said DMCI Power supplies power to the SPUG in Masbate at P9 per kWh compared, to P23 per kWh from other suppliers that utilize diesel.
He said SPUG consumers would bear the brunt of the higher electricity costs if coal was not allowed.
Consunji said the company has a pre-approved coal expansion in Palawan prior to the coal moratorium.
“But I think after that, if there is a change in policy, there would be no new plants. Those in the SPUG areas are already suffering, and then now they have to pay more, or the subsidy will further go up,” Consunji said.
DMCI Power operates in major islands including Masbate, Oriental Mindoro, Palawan and Sultan Kudarat which is powered by coal, wind and diesel.
