TransCo eyes Globe facilities for Visayas WESM linkage

State-run National Transmission Corp. (TransCo) plans to enter into a lease agreement with Globe Telecom to facilitate the creation of a wholesale electricity spot market (WESM) in the Visayas, a TransCo official said.

TransCo senior vice president Jesusito Sulit said Globe’s fiber optic facility may help provide a temporary linkage of the Luzon WESM to the proposed Visayas market.

Currently undergoing a series of tests, the Visayas WESM is envisioned to start  commercial operations by Jan. 2008. PEMC has been conducting trial operations for the WESM in the Visayas, including its integration into the WESM in Luzon, since 2005.

But Sulit admitted that they have yet to complete the restoration of  fiber optic network that will link the Visayas market to the Luzon WESM. The company is in talks with Globe in the event it cannot complete the project.

TransCo’s fiber optic network was damaged by the typhoons that struck the Philippines last year.

PEMC, the operator of WESM, said as of end-August, there has been a high level of cooperation for the Visayas WESM.

Some 19 power generators and 58 directly-connected customers have registered with PEMC. Of the 19 generators, 10 are owned by the state-owned National Power Corp. (Napocor); one from Power Sector Assets and Liabilities Management Corp. (PSALM); two are being run by Global Business Power Corp.; one by PNOC-Energy Development Corp.; and five are independent power producers (IPPs).

Of the 58 directly-connected customers, 27 are rural cooperatives; 27 are industrial and commercial loads and four are private distribution utilities.

The 19 generators have a total capacity of 1,503 megawatts (mw) while the directly-connected customers have a combined 1,085-mw capacity.

PEMC expects to install the metering system by November and hopes to complete TransCo’s fiber optic network by December this year.

The generation mix in the Visayas area is predominantly geothermal at 81 percent. The remaining consist of diesel, 10 percent; nine percent coal and a minimal percentage of hydro.