Delayed RE projects threaten summer power supply – DOE

MANILA, Philippines — Delays in the delivery of renewable energy projects may threaten the country’s power supply, raising the risk of shortages during the summer months, according to the Department of Energy (DOE).

Energy Secretary Sharon Garin has warned that power supply issues may arise in Visayas and Mindanao this summer after nearly 18,000 megawatts (MW) worth of energy projects failed to deliver on their commitments.

“We are expecting some problems in Visayas and Mindanao. Maybe had the projects come in, then this would not even be an issue,” she said, noting that supply in Luzon would remain stable.

Garin said the DOE is actively working to mitigate the impact of delayed projects and prevent power interruptions in the coming months.

This comes after the agency terminated 163 service contracts covering biomass, geothermal, hydropower, solar and wind projects over the past two years.

The completion of these projects would have been enough to meet the country’s annual growth in electricity demand, Garin said.

The country’s system peak demand reached 15,270 MW, while available generating capacity stood at 21,710 MW, latest data from the National Grid Corp. of the Philippines (NGCP) showed.

However, Visayas remained vulnerable to grid strain and possible power outages, as its operating margin – the difference between available capacity and peak demand – was only 242 MW.

At a press briefing yesterday, NGCP spokesperson Cynthia Alabanza said the country has historically exceeded the peak demand levels projected by the DOE during the summer months.

“As we have seen in the past years, every year the demand for power increases. It will always increase, and the drivers are the same: population, economic activity and development,” Alabanza said.