Cagayan power coop gets USTDA study grant

MANILA, Philippines - The power distributor in Cagayan province is undertaking a feasibility study to modernize its distribution system after sealing funding support from the United States Trade and Development Agency (USTDA).

The USTDA recently awarded a grant to Cagayan Electric Power and Light Co. Inc. (Cepalco) to support the utilization of smart grid technologies which will allow it to manage, monitor and distribute electricity more efficiently.

In the agreement signed by USTDA director Leocadia I. Zak and Cepalco CEO Ed Bautista, USTDA will fund a feasibility study that will help the Mindanao distribution utility develop a technical scope and implementation plan for an Advanced Metering Infrastructure (AMI) pilot project.

The study will consider the preliminary analyses – including technical, economic and financial – needed to develop the pilot project.

“It is vital to ensure that energy resources are distributed and consumed as effectively as possible, and that requires innovative technology solutions,” Zak said.

“As smart grids are one of the most effective solutions for distributing and consuming power, USTDA is pleased to support Cepalco’s smart grid goals,” he added.

No funding amount was disclosed, but the USTDA said the sponsored study will be completed through Federal Business Opportunities (FBO).

Through FBO, USTDA contracts US companies to evaluate and advise the agency on the funding proposals it receives.

The pilot project aims to install 2,000 smart meters and the supporting communications infrastructure in Cepalco’s franchise area.

Cepalco’s ultimate goal is to implement smart grid technologies that can optimize its distribution services, increase power reliability and reduce electricity losses.

Like other Mindanao power distributors, Cepalco has been marred by power outages given the worsening power situation in the island.

The franchise areas of Cepalco cover 65 barangays in Cagayan de Oro and the towns of Tagoloan, Villanueva and Jasaan in Misamis Oriental, including the 3,000-hectare Phividec Industrial Estate.