Interim open access scheme to give power consumers leeway to choose power suppliers

By JAMES A. LOYOLA
October 14, 2009, 3:11pm

The interim open access (IOA) kicks off by the second quarter next year to give bulk electricity consumers in Luzon the freedom to choose their power suppliers.

Energy Regulatory Commission executive director Francis Saturnino Juan said the interim open access scheme will be implemented once the 600-megawatt Calaca coal-fired power plant has been turned over to its new owners.

DMCI Holdings won the bidding for the Calaca plant in Batangas with its bid price of $361.7 million. DMCI plans to take over the facility from the government by March 31, 2010.

Juan reiterated that the turnover of the plant is contingent on the implementation of open access. This will mean more competition in the power industry.

"Based on the terms of reference for interim open access, once the plant is turned over, open access will already start," the ERC official said.

ERC issued a ruling last year renaming the proposed interim open access scheme to Power Supply Option Program that will pave the way for bulk users of electricity to choose their own power suppliers.

"Considering that the primary goal of the IOA is to provide the large end-users additional options for power supply, the Commission would instead refer to the supply scheme that it is approving herein as the PSOP for the industry," the regulator said.

The PSOP is voluntary in nature and will be implemented in Luzon only and shall cease to be operational upon commencement of the actual open access and retail competition, ERC said.