Mindanao power woes surge

But dark days in the Visayas are over, Reyes says
By BEN O. TESIORNA
February 24, 2010, 6:12pm

The power deficiency in Mindanao has doubled in just one day as two hydro-electric power plants in the island have reduced its capabilities by almost 80 percent and two more power plants have become unavailable.

In a power system update as of February 23 by the National Grid Corporation of the Philippines (NGCP), it said that the generation deficiency in Mindanao as of Tuesday is now at 358 MW, a marked increase from Monday’s deficit of 183 MW.

The deficiency is caused mainly by the reduced capabilities of hydroelectric plants due to low elevation of water reservoirs. On Tuesday, there were 80 percent and 60 percent reduction in the available capabilities of Agus and Pulangi Plants, respectively.

Reduction in the capabilities of Agus and Pulangi Plants on Monday was at
70 percent.

Agus Plant is now running at 120 MW out of total rated capacity of 727 MW while Pulangi is running at 100 MW out of total rated capacity of 255 MW.

Also contributing to the deficiency in Mindanao is the non-availability of Iligan Diesel Power Plant (35 MW) and the planned outage of Power Barge 117 (50 MW).

NGCP said that the continuing generation deficiency will result in the curtailment of power load transmitted to Mindanao grid users. Customers are advised to coordinate with distribution utilities or electric cooperatives in their area for information on the schedule and areas to be affected by the power interruptions.

With 662 MW of reserves, the Luzon grid meanwhile remains stable and under normal status. The Luzon grid is already exporting up to 20 MW to augment the available capacity of Visayas.

Some areas in Davao have already been experiencing as long as six-hour brownouts. In Davao City, a 30-minute rotational brownout is being implemented on the service areas of the Davao Light and Power Company.

In the Visayas, Energy Secretary Angelo Reyes said Tuesday that the “dark days are over” in the area.

He gave the assurance following a report by the National Grid Corporation of the Philippines (NGCP) that the Cebu-Negros-Panay (CNP) grid will start to have reserve power with the completion of new power plants.

Cebu has suffered rotating brownouts after a shortage of as much as 200 MW recorded this month, when power plants in the Visayas were shut down for preventive maintenance.

The power situation in the Visayas will further ease with the construction and improvement of power plants like the 200-megawatt (MW) coal-fired plant of Korean Electric Company-Salcon in Naga City in Cebu, which will be operational by 2011.

A new 82-MW plant of the Cebu Energy Development Corp. (CEDC) will be available by the end of the month, and is only undergoing mechanical adjustments since it was tested last February 17.

Kepco-SPC has also accelerated the operation of Cebu Thermal 1, which has a gross capacity of 50 MW by synchronizing the plant with the grid last Sunday, said Raul Galano of NGCP.

“With all these plants online, we will have a good reserve for the Visayas. We will have enough reserve even without additional plants. For the first time, Cebu’s (power) generation will be greater than its demand in 2010,” Galano said.

He referred to CEDC’s 82-MW second unit, expected to be operational in May, and a third 82-MW unit in December.

There’s good news in El Niño
Meanwhile, the El Niño phenomenon, which has become a curse to the country’s agriculture sector, is turning out to be a blessing in disguise for the tourism sector, Tourism Secretary Joseph “Ace” Durano said.

He said that while the dry spell may have started crippling the agriculture sector, it could also boost the country’s tourism industry as the “harsh” winter has prompted westerners to visit tropical countries,  including Philippines.

“The prolong winters, the harsh winters would even make tropical destinations like the Philippines more attractive. It is really an opportunity for us,” he told a small group of Manila-based reporters on Tuesday night, shortly before the arrival of President Arroyo who hosted a media dinner at the Exotic Island Dive and Beach Resort.

He said the Philippines also sees the “rebounding” movement of the western economies as an opportunity to attract more tourists, citing that there will be a pick up in the international markets.

“Probably, it is getting to be hotter, but in terms of season, the peak of El Niño will happen during summer months as well so there is no change of season as far as the country is concerned. It could have been different if during the summer time, it will start raining here so that would affect the attractiveness of the Philippines as a tropical destination,” the DoT chief noted.

Durano expressed confidence that with the opportunities that will be brought about by the dry spell, which he said, is “so temporary” the Philippines could sustain a 15-percent growth this year.

“If there is a sector in the economy that will have a big concern, it is not tourism. Probably, agriculture would be more concerned of El Niño. Because the way we see it, it will have no bearing on the performance of the sector,” he said.

He said the effect of El Niño in central Philippines, which houses tourism drivers, including popular resorts, is “moderate” compared to Northern Luzon and Mindanao region, which considered the phenomenon as a big concern following the water and power crisis it posed on them. “I foresee that it will not have an effect on the tourism circuit of the country which is in central Philippines.”

Meanwhile, Durano boasted that during Arroyo administration, a tourism circuit of 14 tourist destinations has been tapped and has generated thousands of jobs.

“When I came in basically, there were only a few destinations that we could really talk about. We have Cebu, Boracay, and Manila. Now we have a tourism circuit the likes of Malapascua,” he said.

He said the country’s tourism industry attracted at least P600 billion worth of new investments from 2004 to 2009, which include those projects that are still in the pipeline. He said majority of the investments were poured in the establishment of more hotels and resorts and the expansion of the airline industry. (With reports from PNA and Charissa M. Luci)