Thursday, December 13, 2007 Cebuano firm joins WESM
APART from power generators, private distribution utilities and electric cooperatives, three big consumers will be taking part in the commercial operations of the Wholesale Electricity Spot Market (WESM) in the Visayas next month.
Philippine Electricity Marketing Corp. (PEMC) training and operations manager Regino Galindes said the Gaisano-led Vicsal Development Corp. (VDC) in Cebu, the Philippine Phosphate Fertilizer Corp. (Philphos) and the Philippine Associated Smelting and Refining Corp. (Pasar) in Leyte are among those that registered for the electricity spot market commercial operations in the Visayas, which will start on Jan. 28, 2008.
“These companies want to maximize their excess power capacity by trading it with WESM,” Galindes told reporters during the PEMC-initiated seminar at its head office in Pasig City, Metro Manila last Friday.
VDC is the umbrella company of the Metro Gaisano group, while Philphos is the largest phosphate fertilizer plant in Asia, according to the Department of Agriculture-Regional Field Unit 8.
Consumption
On the other hand, Pasar is the country’s only and Southeast Asia’s first copper smelter and refiner. Pasar’s 80-hectare smelter and refinery complex in the 424.7-hectare Leyte Industrial Development Estate, the third largest economic zone in the country, produces refined copper for use in the manufacture of electric wires and cables for export to Asian markets, like China, Korea, Thailand and Indonesia.
Galindes said the three companies have not yet declared their average power consumption and excess power supply.
PEMC imposes a P50,000 fee on any power generator, distributor and consumer who participate in the WESM. A trading participant is provided a digital certificate, training materials and a help desk.
The cut-off date for registration was last Nov. 30 while the service provider readiness ends tomorrow.
PEMC earlier announced that 14 power generators sectors and 23 customers have registered for the electricity spot market in the Visayas.
Data from WESM’s Commercial Operation Plan registration status showed that the five generators include the National Power Corp. (Napocor), Power Sector Assets and Liabilities Management, Global Business Power Corp., Philippine National Oil Corp.-Energy Development Co. and different independent power producers (IPPs).
Those that registered as customers are private distribution utilities, rural electric cooperatives and those with industrial and commercial loads (large industrial and commercial consumers).
Galindes said almost all power distributors have registered except for the Mactan Electric Co. Inc., which is still processing its registration.
He said PEMC finds Visayas cooperatives and distributors as “more pro-active” compared to Luzon players during the WESM start-up operations.
Like PEMC, power distributors like the Visayan Electric Co. (Veco), are also awaiting the guidelines of the Energy Regulatory Commission to define the level of participation among retailers.
WESM, developed and operated by PEMC, was created under Republic Act 9136 or the Electric Power Industry Reform Act.
The law provided for the establishment of an electricity market that reflects the actual cost of electricity and lowers its price through more efficient production and competition. (MMM)
