Stakeholders in the power sector were recently called to abide by the policies set by the Department of Energy (DOE) to ensure reliable supply of electricity in the country.
DOE Undersecretary William Felix Fuentebella said the department has issued various orders requiring generation companies, distribution utilities, and the system operator to secure sufficient supply of power and reserves to avoid yellow and red alerts.
“If everyone complies and will comply, we will definitely have a better power system to support our economy, recovery of our country from Covid-19,” Fuentebella said.
The insufficient power supply and reserves will lead to higher electricity prices that go up to P7 to P9 per kilowatt hour (kWh) from the usual price of PHP3 per kWh, he added.
“What we are saying is, we should have everyone comply to avoid this surge in prices,” he said.
Fuentebella cited that DOE ordered distribution utilities from 2018 to contract electricity in accordance with their demand forecast, and also replacement power.