Brace, yourself, more, brownouts,, PCCI, says

KORONADAL CITY (September 18) – “It looks like nothing is going to happen in the next two or three years (to address the looming power crisis in Mindanao).”
This was the core of the message delivered by the Philippine Chamber of Commerce and Industry whose vice president for energy, Jose Alejandro, spoke during the 18th Mindanao Business Conference Friday.
Alejandro said indicative capacities lined up between 2009 and 2013 “may or may not come.”
Indicative capacities are projects being proposed or planned.
It takes a minimum of four to five years to put up a power plant, he added.
“Look at it this way.  No additional capacity will be available until 2013,” Alejandro warned.
Alejandro said Mindanao’s dependable capacity has already fallen by 120 megawatts of the required capacity for this year alone.
Existing dependable capacity in Mindanao is pegged at 1,706 megawatts but the required capacity is reportedly already 1,820 megawatts, according to the PCCI vice president.
“Mindanao,” he added, “virtually has no reserve capacity.”
Industry sources said power generating firms has to allocate at least 13 per cent of their generating capacity for reserve to avoid supply interruptions in the event of shutdowns and maintenance.
Early this month, Napocor said the tripping of Agus 1 (unit 2) and the shutdown of the 100-MW Western Mindanao Power Corporation have severely affected power supply in some parts in Mindanao.
This also coincided with the scheduled preventive maintenance of Agus 2 (unit 1), Agus 5 (unit 1) and Mindanao (STEAG) coal (unit 1), according to Napocor.
The diesel-fired power plant of Western Mindanao Power Corporation also conked out and still undergoing repair.
This has resulted into the imposed rotational power interruptions in most areas in central, western and southern Mindanao.
“Mindanao needs a sustainable and reliable power supply to sustain its economy,” Alejandro told participants and delegates to the business conference.
He said Mindanao would need 300 megawatts of additional generating capacity every three years based on projected growth in demand of power supply.
He however also said that foreign banks and investors are reluctant to go ahead with funding new power plants with general elections slated for May 2010.
“Investors are taking a wait and see attitude.  We may get a clearer picture in September or October next year,” Alejandro explained.
The PCCI official said Mindanao businessmen have to adjust to the situation.
“It may be time for them to buy their own generating sets,” he said.
He likewise urged local government units and the private sector to explore mini-hydro plant projects and develop other renewable energy sources.