Lki 2021-011 press statement- Do not take advantage of peak quarter power supply and demand

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March 21, 2021


In a recent letter to Director Mario C. Marasigan of Electric Power Industry Management Bureau wrote  of the Department of Energy (DOE),  “we are   calling for the urgent  release  of   the   2021  Weekly Forecast post  2020 pandemic data  of Supply , Demand and Reserve requirements and alert and inform all  power plants, transmission company  and   distribution utilities not to take advantage of the situation ,   as required in   DOE Circular 2020-02-004”.

“The summer season is on us.  All types of consumers will use more electricity compared to last year. All consumers should be on guard on prices as well as consumption behavior. And it has already been a year with community quarantine, so the National Grid Corporation of the Philippines or NGCP should have enough data already to make new forecasts for this summer, Vic Dimagiba, Laban Konsyumer President added.

Dimagiba noted  the  spot  market  operator ‘s  press statement that  “We see some high prices, particularly early March, from March 1 to 16, and March 16 to 17 due to increase in demand and generator outages based on the statements of the IEMOP market simulation and analysis division manager John Paul Grayda said in a briefing Friday. Demand is increasing because of warmer temperature and at the same time, increasing economic activities of different industries and commercial sector.”

Dimagiba continued “Very important and mandatory as required by the DOE Circular , there shall be no scheduled maintenance during the peak quarters, i.e. April, May, June, except hydroelectric plants “.

Dimagiba concluded and reasoned that “as consumers, we have two (2) concerns.  One is on prices. Low level of reserves are typically accompanied by spikes in the spot market prices. The other is supply concern. Consumers may have some form of restraint in consumption and practice conservation”.

“Moreover, this is the data that DOE must publicize and should warn power plants not to take advantage of the situation. The DOE should publicize the updated 2021 Weekly Demand, Supply and Reserve Profile as peak quarter is here now, as well as the 3 –year GOMP from 20212023. That is why we are calling for the appropriate action to be taken as soon as possible. Dimagiba concluded.

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