"The Philippines is … with many coal-fired power plants here today … less dependent of oil than my country is. You have better strategic mix of energy sources," Ricciardone said in a press briefing during a plant visit to Quezon Power Philippines Ltd. (QPPL) two days ago.
The US ambassador took note of the existence of various energy sources such as geothermal, natural gas, coal, hydro and wind.
"You have geothermal power. You have your own gas offshore, and substantial coal fired power plants. People complain about coal but it is nice to have a mix of different sources because you are not that vulnerable to (power) interruption. You got pretty much of hydro power. We even have wind (power) here in the future since you are developing it now. Philippines is in rather better shape strategically," he said.
He said the presence of Malampaya natural gas project, the single biggest investment in the country with $4.5 billion in capital, is also an advantage.
"It is important to note that you have significant gas reserves in Malampaya that will cushion the impact in case there will be interruption in supply of oil from the international market," the US official said.
He likewise lauded the Department of Energy (DOE)’s effort to undertake the necessary measures in case war breaks out in the Middle East.
"The Department of Energy is making prudent plans to increase storage and maybe have rationing system if necessary in case of interruption. I understand they have a long time reserve of oil or have more than 60 days. It’s a long reserve," he said.
Ricciardone said he hopes the government will continue this effort until the uncertainties in the Middle East die down. "I’m pretty confident that the government is taking all prudent precautions," he said.
The DOE said at present, the country has 76 days of crude inventory which could be stretched to June.
For his part, QPPL general manager Bart Lucarelli said the power plant has substantial coal reserves good for 45-60 days.
"If there would be power interruption due to shortage of oil supply, we could use this reserve to fire up our power plant which is coal-fired. We can arrange to use these reserves if need arises," he said.
QPPL is an independent power producer (IPP) that supplies power solely to the Manila Electric Co. (Meralco) franchise areas.
The coal-fired power plant is running at a capacity of 470-megawatt (MW). It is one of the cleanest power plants in the country, applying proven environmental control technology.