PEMC readies full operations of reserve market

MANILA, Philippines — The Philippine Electricity Market Corp. (PEMC) has assured the Department of Energy (DOE) that the full commercial operations of the co-optimized energy and reserve market will be realized soon.

PEMC, as the governance arm, is mandated by the DOE to determine the readiness of the reserve market based on six readiness criteria.

“PEMC is tasked to determine the readiness of the co-optimized energy and reserve market based on the six criteria. This involves readiness not only of the stakeholders from the generation sector but all responsible entities such as the Energy Regulatory Commission, the market operator and the system operator,” PEMC president Elvin Hayes Nidea said.

PEMC will then issue a certification of readiness subject to assessment and final confirmation by the DOE.

“Our commitment to fulfill PEMC’s responsibility to facilitate the readiness certification for the full commercial operations of the co-optimized energy and reserve market have remained steadfast,” Nidea said.

Partial operations of the co-optimized energy and reserve market started on Dec. 26, 2023.

PEMC said full commercial operations will immediately commence after all the six criteria are met, and on the date that will be determined by the DOE.

Once full commercial operations start, PEMC’s governance responsibility involves assessment and monitoring of the co-optimized market to ensure it delivers the commitment and intent of the enhanced Wholesale Electricity Spot Market (WESM) design which will eventually benefit the end consumers.

PEMC served as the autonomous group market operator and governing body of the WESM for over 10 years.

It remains the governing body of the WESM primarily through the PEMC board of directors and the WESM and Renewable Energy Market Governance Committees.