MANILA, Philippines - Two of the country’s largest power producers are seeking the approval of the Energy Regulatory Commission (ERC) to supply power to Luzon-based distribution utilities (DUs).
San Miguel Corp. (SMC) and Aboitiz Power Corp. (APC) have submitted their applications with the ERC after signing their respective power supply agreements with DUs in the Luzon grid.
San Miguel Energy Corp. (SMEC), the power generation unit of the diversifying conglomerate, told the ERC in a regulatory filing that it had signed a supply contract with Pangasinan III Electric Cooperative Inc. (Panelco III).
SMEC said the agreement will allow it to provide power to Panelco III at a time-of-use rate ranging from P1.87 per kilowatthour (kwh) to P6.52 per kwh on the hour of the day and the season.
Panelco III used to source its power requirement from the state-owned National Power Corp. (Napocor) but its contract already expired.
SMEC owns the contracted output of the 1,200-megawatt Sual coal-fired and 345-megawatt San Roque hydroelectric power plants, both operated by private power producers. Both plants are located in the province of Pangasinan.
Panelco III supplies electricity to the municipalities of Asingan, Balungao, Binalonan, Laoac, Mapandan, Natividad, Pozorrubio, Rosales, Sta. Maria, San Manuel, San Nicolas, San Quintin, Sto. Tomas, Tayug, Umingan, Urdaneta, Villasis and part of Manaoag, all in the same province.
Meanwhile, Therma Luzon Inc. (TLI), the power generation unit of APC, has also signed a supply agreement with Cabanatuan Electric Corp. (Celcor), the utility that distributes electricity to Cabanatuan City in the province of Nueva Ecija.
TLI said it will sell power to Celcor at a range of P2.42 per kwh to P7.28 per kwh.
Celcor decided to enter into a supply contract with TLI as its supply deal with Napocor will expire on Dec. 25 this year.
TLI controls the contracted output of the 700-megawatt Pagbilao coal-fired power plant in Quezon province.