MANILA, Philippines — Investors in Mindanao, who are wading through sufferings of recurrent power interruptions, have lodged a formal appeal to the Board of Investments (BoI) for the retention of incentives for power projects, including those on fossil fuel-fired technologies.

In particular, the Oro Chamber of Mindanao businesses indicated to BOI Managing Head and Trade Undersecretary Adrian S. Cristobal Jr. that extending these perks to power investments are highly necessary at this point given the supply shortfall that has been pushing the grid into a full-blown power crisis.

The group noted, that along with its 56 local chambers and 11 partner-organizations, it has been throwing its full support to the bid of the Philippines Chamber of Commerce and Industry (PCCI) “to retain the energy sector in the 2012 IPP (Investments Priorities Plan), as well as the provision of BOI IPP incentives until 2015 in order to spur more foreign investments particularly the electric power industry.”

Based on the policy pronouncements of the BOI, it will no longer extend income tax holidays to power projects utilizing non-renewable energy resources. RE developments seem to be on the better side because they can lean on the incentives provided under the Renewable Energy Act.

The Oro Chamber emphasized that “Mindanao is in need of base load power plants to meet the growing needs of the manufacturing and agro-processing industries in the region.”

The business group similarly raised highly probable “increase of commercial businesses along the service and trade and commerce sectors,” hence, the need for additional power is absolutely essential.

That, as it cited the forecast of the National Grid Corporation of the Philippines (NGCP) that for 2012, “the Mindanao power outlook reflects already a deficiency level averaging 100 megawatts to 380MW during periods where power plants are undergoing preventive maintenance schedule.”