1-month Malampaya shutdown to hike rates
By Riza T. Olchondra
Philippine Daily Inquirer
7:10 pm | Sunday, November 3rd, 2013
The Department of Energy (DOE) has urged consumers to save electricity following the scheduled maintenance shutdown of the Malampaya gas field next month.
This would not only help them cope with an anticipated increase in power generation charges as power plants use more expensive fuel but also help mitigate the strain on the power supply network in Luzon.
For large power consumers such as manufacturing facilities and industrial establishments, the DOE appealed to managers to shift the timing of plant maintenance activities in Luzon so that these would coincide with the Malampaya maintenance activity.
This would help minimize the effect of the gas field’s shutdown on electricity bills, which will have more impact on large consumers, the government agency said.
For small- to medium-scale consumers, the DOE said energy efficiency and power conservation would help.
Households, for example, would do well to unplug electrical appliances and turn off lights when not in use, the DOE said.
The DOE said it was coordinating with the Malampaya consortium, power-generation companies and distribution utility Manila Electric Co. (Meralco) to ensure adequate supply of electricity during the Malampaya platform maintenance shutdown from Nov. 9 to Dec. 8.
Meralco officials had said that the Malampaya shutdown might result in a P2-a-kiloWatt-hour spike in power generation costs that, in turn, would have to be passed on to consumers.
The full impact would likely be reflected in the December billing, officials said.
The DOE noted that the maintenance activity was needed to sustain reliable natural gas production at the Malampaya field.
“If we don’t do this and we have a problem, it may get worse. Also, the people must be prepared for higher electricity rates. After all, the most expensive electricity is having no electricity,” Energy Secretary Carlos Jericho L. Petilla said.
The Malampaya gas project provides natural gas to the 1,200-megawatt (MW) Ilijan combined cycle plant owned by Kepco Philippines Corp. and the 1000-MW Sta. Rita and 500-MW San Lorenzo natural gas facilities of First Gen Corp. These power plants will run on liquid condensate in order to provide sufficient energy supply during the course of the Malampaya maintenance.
The Ilijan, Sta. Rita and San Lorenzo power plants, when combined, provide about 40 percent of the power supply in Luzon.
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