Cusi Brings Electricity Trading Closer to Autonomy

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THE NEW BOARD: Energy Secretary Alfonso G. Cusi with the newly-elected Board Members of the Philippine ElectricityMarket Corporation (PEMC) during its Annual General Membership Meeting on Monday, 25 June 2018. In photo (L-R) are Peter Wallace, Eugenio Roxas, Elenita Go, Rolando Cagampan, Allan Laniba, Felino Herbert Agdigos, Secretary Alfonso G. Cusi, Noel Aboboto, Nino Juan, Ronald Dylan Concepcion, Gilbert Pagobo, Rauf Tan, Oscar Ala.

Department of Energy (DOE) Secretary Alfonso G. Cusi on Monday welcomed the first election of members of the Philippine Electricity Market Corporation (PEMC) board of directors, a step that moves the Wholesale Electricity Spot Market (WESM) closer to attaining Independent Market Operator (IMO) status.

Fifteen board members, including 11 sectoral representatives, were elected during PEMC's Annual General Membership Meeting at the Crowne Plaza Manila Galleria.

The elected board members were Emmanuel V. Rubio (SN Aboitiz Power), Victor Emmanuel B. Santos Jr. (First Gen), Elenita Go (SMC Global Power), Juan Eugenio L. Roxas (FDC Utilities, Inc.), Rolando M. Cagampan (Meralco), Allan L. Laniba (LEYECO III), Felino Herbert Palpallatoc Agdigos (Ilocos Norte Electric Cooperative), Gilbert A. Pagobo (Mactan Electric Company, Inc.), Noel Villas Aboboto (Team Energy), Atty. Ronald Dylan P. Concepcion (National Grid Corporation of the Philippines), and Atty. Francis Saturnino C. Juan (Independent Electricity Market Operator of the Philippines).

Four new independent directors were also elected namely, Rauf A. Tan, Atty. Oscar E. Ala, Jesus Lim Arranza, and Peter Leslie Wallace.

“It has been a fruitful two years. Now we look forward to a new era, as PEMC’s elected representatives take over the reins of governing the electricity market,” Cusi said in a speech during the event.

The election of a new PEM Board brings the industry a step closer to the long-delayed transition to the IMO.

Cusi has remained firm in calling for the IMO’s establishment, which is already overdue for more than a decade from what the Electric Power Industry Reform Act of 2001 originally required.

While PEMC and the IMO will be independent from the government, the DOE will maintain oversight of the WESM operations.

“The DOE’s involvement with the WESM needs to be close enough for the Department to understand key developments, while keeping enough distance from the market’s daily functions. The Energy Department will remain the ultimate guardian of WESM rules and manuals. Together with the Energy Regulatory Commission, we will protect our consumers against industry breaches and anti-competitive behavior,” Cusi said.

Under the transition plan approved earlier this year, the IMO will manage operations of the WESM while PEMC will remain the spot market’s governing body.

DOE Pushes More Safety Measures in the RE Sector

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E-SAFETY FIRST: DOE-REMB Geothermal Energy Management Division Chief Ariel D. Fronda presents the draft Renewable Energy Safety, Health and Environment Rules and Regulations (RESHERR) Code of Practice to the participants during the public consultation Tuesday in Cagayan de Oro City.

The Department of Energy (DOE), today held a public consultation in its bid to enforce operational safety and security in the renewable energy (RE) sector. Led by the Renewable Energy Management Bureau (REMB), the public consultation focused on the draft Renewable Energy Safety, Health and Environment Rules and Regulations (RESHERR) Code of Practice.

The event aimed to inform the RE developers on the "E-Safety" tenet of the DOE's E-Power Mo campaign, and to solicit their inputs on the RESHERR draft. About 20 RE developers from Mindanao participated in the public consultation.

Earlier, Energy Secretary Alfonso G. Cusi said that part of the DOE’s push for energy diversification and resiliency is the promotion of additional RE in the country’s energy mix. “We are doing everything we can to empower Filipino consumers by giving them access to renewable energy development,” said Cusi. In pursuing this policy, he stressed that it should take into consideration the factors of safety and cost effectiveness for the consumers.

The RESHERR Code of Practice will set internal and external operational safety guidelines for all RE facilities. In addition, it also contains provisions addressing environmental concerns, such as air, land and water pollution resulting from RE activities.

RE developers would likewise be able to use the code in conforming to the Energy Resiliency Compliance Plan, which would institutionalize national adaptive standards against human-induced and natural disasters.

Among the topics discussed during the consultation include the general safety guidelines, workplace safety monitoring and control, requirements needed for electrical work, demolitions, and the precautionary measures in dealing with hazardous, flammable and explosive materials.

The public consultation was sponsored by the United Nations Development Programme - Development for Renewable Energy Applications Mainstreaming and Market Sustainability (DREAMS) project.

The project was the product of the partnership between the DOE and the Global Environment Facility-UNDP. Similar public consultations were earlier held in Cebu (6 June) and Manila (18 June).

The DOE continues to accept comments and suggestions on the RESHERR draft to ensure a more comprehensive policy issuance. Interested parties may email their inputs to mikko.realo@yahoo.com on or before Thursday, 5 July 2018.

Interested parties may access the draft policy on DOE's official website (http://bit.ly/DraftRESHERRPolicy).

PH, Partner Countries to Boost Biomass Utilization

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UNITED FOR E-POWER: Undersecretary Benito L. Ranque, Head of the Philippine Delegation, and other participants make the E-Power Mo fist during the Capacity Building on Biomass Workshop on 3 July 2018 in Puerto Princesa City, Palawan. The event is part of the 6th Power and Energy Infrastructure Cluster Meeting, which aims to promote the use of renewable energy resources, specifically biomass and biofuels. E-Power Mo‘s E-Diskarte principle encourages the utilization of renewable and alternative energy sources.

The Department of Energy (DOE) hosted on Tuesday (3 July), an international conference and capacity building workshop on biomass, as part of the overall strategy for sustainable energy development in Southeast Asia.

The workshop was conducted under the auspices of the Brunei Darussalam-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA), which is part of the 6th Power and Energy Infrastructure Cluster (PEIC) Meeting. This activity underscores the importance of biomass and biofuels as abundant indigenous resources in the region for power supply and rural electrification.

“It is fundamental to the country’s sustainable energy agenda to develop and utilize our indigenous renewable energy resources. This is vital to achieving energy self-reliance, strengthening climate change mitigation measures and ushering in socio-economic advancement in rural areas,” said Energy Secretary Alfonso G. Cusi in his opening remarks that was delivered by Undersecretary Benito L. Ranque. 

Cusi further emphasized that renewable energy is key to progress. “It empowers more than our cities, more than our machines and more than entire industries. Renewable energy fuels our movement towards the rebuilding of this nation.”

The Philippines, Indonesia and Sarawak, Malaysia presented their respective bioenergy policies, utilization technologies and policy implementation updates to about 80 participants comprised of international delegates, local government units, national government agencies, and electric cooperatives.

The workshop enabled BIMP-EAGA Member States to exchange best practices, initiatives and experiences on the effective implementation of a bioenergy and biofuels program.

The event was also an opportunity for the agency to promote the investment potential of the Philippines, particularly in Palawan and Mindanao, given their vast biomass reserves and suitable plantation areas.

The DOE also presented the Biomass Resource Assessment, a product of the technical assistance program funded by the United States Agency for International Development in 2013. The study revealed that biomass utilization would yield a potential power generation capacity of 4,448 megawatts (MW). It would also reduce CO2 emissions by an estimated 17.25 million tons.

In July 2017, BIMP-EAGA PEIC conducted a similar workshop on solar energy utilization for rural electrification in Bintulu, Sarawak, Malaysia.

The BIMP-EAGA sub-regional cooperation initiative was established to help member states address social and economic challenges in remote territories. For the Philippines, the focal areas are Mindanao and Palawan.

Since the passage of the Biofuels Act of 2006 and the Renewables Act of 2008, the country has been implementing a 2% coco-methyl ester blend for diesel and a 10% ethanol blend on gasoline. In addition, total installed capacity for biomass is already at 530 MW. 

BIOMASS FORUM: DOE-Renewable Energy Management Bureau Director Mylene C. Capongcol (C), Assistant Director Marissa P. Cerezo (R) and Biomass Energy Management Division Chief Ruby B. De Guzman (L) led the open forum as panelists during the Capacity Building on Biomass Workshop on 3 July 2018 in Puerto Princesa City, Palawan.


GO FOR BIOMASS: Energy Undersecretary Benito L. Ranque delivers Energy Sec. Alfonso G. Cusi’s message for the Capacity Building on Biomass Workshop, as part of the 6th Power and Energy Infrastructure Cluster meeting held in Palawan.