Businessmen raise concerns over delays in PSA approvals

MANILA, Philippines -  The Philippine Chamber of Commerce and Industry (PCCI) has expressed concern over long delays in the approvals of power supply agreements (PSAs) pending with the Energy Regulatory Commission (ERC), saying such delays threaten the country’s energy security.

The country’s largest business organization urged yesterday the ERC to fast-track approval of pending PSAs.

The PCCI said more than 90 PSAs are pending with the ERC.

According to the group, generation companies, distribution utilities and electric cooperatives have sought approvals for a total 4,500 megawatts of power supply to ensure electricity consumers will meet their supply needs in the long term.

The PCCI said delays could prejudice additional supply from new baseload power plants.

“Delays in the approval process do not only cause setbacks on the development of these power projects – which takes about three to four years to build – but also pose threat on energy security and most importantly retard the nation’s economic growth,”PCCI director for energy and power Ramon Escueta said.

PCCI president George Barcelon said stalling power plant developments is “anti-poor because it jeopardizes the country’s future supply.”

“Absence of a stable power supply is actually more expensive for the ordinary Filipinos,” he said.