DOE warns of power supply shortfall


Feb 3 - McClatchy-Tribune Regional News - Euan Paulo C. Anonuevo The Manila Times, Philippines


The Department of Energy (DOE) has warned of a power supply shortfall in the country this year as the El Nino dry weather phenomenon threatens to pull down water levels, thus jeopardizing the availability of electricity especially in the Philippines' second biggest island.

"This week, I will meet [the] energy community, energy stakeholders [to talk about], among others, El Nino. [We know] hydropower is dependent on water supply. Pag walang ulan, may El Nino, may problema [no rain, there is El Nino, there is a problem] ," Secretary Angelo Reyes said.

The DOE chief said the agency will convene an industry-wide meeting on Thursday to address the El Nino's potential impact on hydro power plants, and to rationalize the maintenance schedule of those facilities so they don't disrupt the country's power supply.

He said the government is stepping up its monitoring of hydro power plants' output, particularly those located in Mindanao, which relies heavily on such facilities for its electricity requirements.

 "We have to see to it that they are operating and that they are delivering the right amount of power given the constraint imposed on the amount of water that will be available to them," he said.

The country's second largest island is already faced with a tight power supply situation because of transmission line constraints and limited generation.

The DOE earlier said that Mindanao's power supply hit a critical period in 2009. This means existing generating capacity would not be able to meet peak demand.

The impact of El Nino on the region's hydro power plants is expected to aggravate the supply situation, as Mindanao's dependable generating capacity of 1,500 megawatts largely hinges on the 700-megawatt Agus generating facilities.

The tripping and scheduled maintenance of a number of power plants since late last year, however, has brought down Mindanao's available capacity to 1,208 megawatts as against a peak demand of 1,195 megawatts as of February 2.

This means that Mindanao is already well short of the required power reserves of at least 21 percent of demand.

Industry sources said the Malampaya project in Northwest Palawan also plans to shut down its operation for maintenance starting February 10. Maintenance would last up to 30 days, thus affecting the three natural gas-fired power plants, namely the San Lorenzo , Santa Rita and Ilijan, which have a combined capacity of 2,700 megawatts.

DA sets aside mitigation fund

For its part, the Department of Agriculture (DA) is realigning P1.7 billion from its regular budget this year to reduce the expected production losses stemming from the El Nino.

DA said production losses under a mild El Nino scenario could reach P8.09 billion, while the damage caused by a svere dry spell could run up to P20.46 billion.

The Philippine Atmospheric, Geophysical and Astronomical Services Administration (Pagasa) had reported that this year's El Nino would likely be moderate.

The farm sector accounts for a fifth of the Philippines' gross domestic product (GDP). An indicator of economic performance, GDP is the amount of final goods and services produced in the country.

In a statement, DA said it is setting aside P570 million for the palay sector, P613.7 million for the corn sector, another P411 million for the high-value commercial crops sector and P117.4 million more for the fisheries industry.

The funds would be used for cloud-seeding operations over watershed areas and the establishment of shallow tube wells and irrigation systems. The agency said it would also buy and distribute microbial fertilizers for affected corn areas, procure and distribute vegetable seeds and build small scale irrigation facilities.

For the fisheries subsector, DA would extend input assistance in the form of fish cages, shallow tube wells and livelihood assistance for affected fisherfolk.

The DA's El Nino Mitigation Program will focus on 23 "highly vulnerable" areas and 24 "moderately vulnerable" areas in the country.

Areas considered highly vulnerable to El Nino are Ilocos Sur, Ilocos Norte, La Union, Pangasinan, Cagayan, Isabela, Aurora, Bataan, Bulacan, Nueva Ecija, Pampanga, Tarlac, Zambales, Cavite, Rizal, Occidental Mindoro, Palawan, Capiz, Iloilo, Negros Occidental, Misamis Oriental, Zamboanga City, Sarangani and South Cotabato.

Those considered moderately vulnerable are Abra, Apayao, Benguet, Ifugao, Mountain Province, Nueva Vizcaya, Quirino, Batangas, Laguna, Quezon, Romblon, Sorsogon, Aklan, Antique, Bohol, Samar, Zamboanga Norte, Zamboanga Sibugay, Zamboanga Sur, Bukidnon, Davao Oriental, Davao Sur and Davao City.

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