New Visayas power safe: ERC

CONSUMERS in the Luzon and Visayas grids experienced uninterrupted power service yesterday, the National Grid Corp. of the Philippines (NGCP) reported.

Available capacity in the Visayas was placed at 1,238 megawatts (mw), or enough for a reserve of 57 mw given a peak demand of 1,181 mw.

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Mindanao, however, will continue to suffer rotating brownouts after its generation deficit increased again to 700 mw yesterday, from 679 mw generation last Monday.

Limited capacities from National Power Corp.’s hydroelectric power plants contribute to the shortage, as the water reservoirs that feed these plants dry up amid an El Niño spell.

In a related development, the Energy Regulatory Commission (ERC) granted the application for a Certificate of Compliance (COC) for one of the Cebu Energy Development Corp.’s (CEDC) three-unit coal-fired power plants.

Efficient, viable

This unit has an installed capacity of 83,700.35 kw, which is a third of the aggregate installed capacity of 251,101 kw of the circulating fluidized bed plant.

“The commissioning of one of CEDC’s coal-fired generators is timely, given the current power shortage in the Visayas.

The COC approval process ensures that environmental safeguards are in place, the technology employed is efficient, and the operation will be reliable as the company is financially viable,” said ERC Chairperson Zenaida Cruz-Ducut.

Located in Barangay Daanlungsod, Toledo City, Cebu, CEDC’s first unit was switched on last week with President Gloria Macapagal-Arroyo as the main guest.

CEDC’s COC application is for all the three units of the new CFB coal-fired thermal power plant facility, but ERC approved only one of the three units since the two other units will be completed in June 2010 and January 2011 yet.

A COC is required from all generation companies by the ERC before commercial operations can begin.

Among the pre-requisites for the issuance of COC is the submission of certification approvals from other government agencies like the Department of Environment and Natural Resources.

The CEDC is a joint venture between Global Formosa Power Holdings Inc. and Abovant Holdings Inc. The two companies entered into a memorandum of agreement on Aug. 11, 2007 for the construction of a coal-fired thermal power plant in Toledo City, Cebu.

It has an ERC-approved Electric Power Purchase Agreement with the Visayan Electric Company to sell its contracted capacity of 105 mw for a period of 25 years. (MSN/Sunnex)