Transco, NPC take steps to address Mindanao energy crisis

GENERAL SANTOS CITY — The government-controlled energy corporations are taking bolder steps to prevent a looming power crisis in Mindanao due to a drastic increase in demand from the growing population and economic activities.

Jules Alcantara, vice president for operations and maintenance of the National Transmission Corp. (Transco)-Visayas-Mindanao Area, said they met last week with top officials of the National Power Corporation (NPC) to discuss short and long term projects to be undertaken in Mindanao as part of their efforts to thwart a possible energy crisis.

"There are potential power and transmission constraints in Mindanao due to the increase in demand especially from the southwestern part, which consumes 50 percent of capacity," Alcantara admitted during a press conference here held at the Family Country Homes.

Alcantara, however, assured that there would be no problem in the northern part of Mindanao where the bulk of the power is and with 70 percent capacity against the 1,530 megawatts required in the entire island.

"Definitely there will be no more crisis in the northern part of Mindanao due to the presence of hydro energy and coal plants," Alcantara said.

He explained that the potential power constraint was attributed to the increasing demand in the whole island, which is now pegged to almost 1,200 megawatts. The transmission constraint, he said, is the unrealized connection of lines from the northern part to the southwestern part, including areas in Zamboanga, Davao, General Santos, Maguindanao, Sarangani, Sultan Kudarat, and South Cotabato.

"With the absence of the interconnection between the north and south, we will be having a problem because we could no longer accommodate future increases in the South," Alcantara said.

Alcantara bared that from 2002 until 2013, their projection is for demand for power to grow rapidly due to rising economy and rapid growth of population in Mindanao.

In both instances, Alcantara noted that this year, the northern part of Mindanao had experienced a drastic increase in supply demand from 673 megawatts to 808 megawatts because of the presence of the National Steel Corp. and the Global Steels Inc. while the southern part has gradually increased its demand by as much as six percent per year since 2002.

With this significant growth in power demand, Alcantara pointed out the government will really need new power plants, especially in the southwestern Mindanao.

"We have already included the required additional capacity of 200 megawatts in 2006, which will be solved by the ongoing 200-megawatt hydro project in Tigoloan, Misamis Oriental," said Alcantara.

He disclosed that during their meeting with NPC officials, they agreed that part of their immediate action was to transfer the two 32-megawatt power barges from Visayas to General Santos City and Davao City.

"Putting up two power barges in Gensan and Davao could prevent, for the meantime, possible energy crisis in the southwestern part," Alcantara said.

With regards to the transmission line problem, Alcantara said the Transco is really committed to transmit electricity from the north to south by constructing the power highways of the so-called "Mindanao transmission augmentation project."

With the allocation of $500-million from financial institutions like World Bank and the Miyazawa of Japan, the 230kV Pulangi IV-Maramag-Bunawan transmission like project is being undertaken and expected to be completed in December 2007.

"This project is very critical for the South because it is the power highway that will supply or cater to the electricity flow from the NPC’s Pulangi hydro plant to Bunawan in Davao City down to the Socsksargen and Zamboanga areas," Alcantara said.

In its desire to achieve a better supply of energy in the southwestern Mindanao, Transco is hoping that the private sector would be encouraged to help the government source out an additional budget of $350-million for the construction of the 230kV Kirahon-Pulangi (Maramag) transmission line project.

"With this amount, we will fully realize the construction of the power highways connecting the north and the south and there will be no more power constraints," Alcantara said.