MANILA, Philippines — The Energy Regulatory Commission (ERC) has ordered 22 generation companies (gencos) to explain the continued or frequent derating of their power facilities and units between January and April.
The ERC issued separate notices to explain (NTE) to power plants last June 4, mandating the firms to submit reports explaining the causes of the derating events affecting its generating facilities and units.
ERC issued the NTEs pursuant to its existing resolutions that seek to promote accountability among gencos and encourage greater operational and economic efficiency.
“The Commission continues with its diligent monitoring of the reliability of our major power sources to ensure sufficiency of supply, which then affects affordability of power rates,” ERC chairperson and CEO Monalisa Dimalanta said.
“The persistent derated state of certain plants is concerning and has prompted the Commission to formally seek an explanation from the gencos,” she added.
The ERC directed the gencos to submit within seven days from receipt of the letters a formal explanation for the frequent derating of their plants and units, or for persistently operating in a derated state.
The ERC also required the companies to provide an action plan and a timeline for restoring the affected generating facilities to their registered full capacities.
The gencos that received NTEs from ERC were Excellent Energy Resource Inc., GNPower Dinginin Ltd. Co., MORE Power Barge Inc., Masinloc Power Partners Co.
Ltd., Mariveles Power Generation Corp., Malita Power Inc., Quezon Power (Philippines) Ltd. Co., Sem-Calaca Power Corp., Southwest Luzon Power Generation Corp., Sual Power Inc., South Premiere Power Corp., VS Gripal Power Corp., AP Renewables Inc., Energy Development Corp., Angat Hydropower Corp., First Gen Hydro Corp., Power Sector Assets and Liabilities Management Corp., SN Aboitiz Power-Magat Inc., Grass Gold Renewable Energy Corp., Green Future Innovations Inc., Lamsan Power Corp. and San Jose City I Power Corp.