Saturday, May 21 2022 Sign In   |    Register
 

News Quick Search


 

News


Front Page
Power News
Today's News
Yesterday's News
Week of May 16
Week of May 09
Week of May 02
Week of Apr 25
Week of Apr 18
By Topic
By News Partner
Gas News
News Customization
Feedback

 

Pro Plus(+)


Add on products to your professional subscription.
  • Energy Archive News
  •  



    Home > News > Power News > News Article

    Share by Email E-mail Printer Friendly Print

    Philippines' grid operator opens bids for reserve power providers


    January 28, 2022 - Philippine Star News

     

      Angelica Y. Yang - Philstar.

      comJanuary 28, 2022 | 3:04pm MANILA, Philippines -- The National Grid Corp. of the Philippines (NGCP) is looking for interested ancillary service (AS) providers thatwill supply reserve power to the Luzon, Visayas and Mindanao grids, months ahead of the dry season.

      Ancillary services are needed to maintain the quality, reliability and security of the country's grid system. This comes months after the Energy department ordered NGCP to procure an adequate amount of AS to ensure sufficient supply to tide over periods of shortages.

      The Department of Energy (DoE) earlier flagged the grid operator for not entering into enough firm-contracted reserves in the fourth quarter of 2020, which ran counter to a previous circular from the Energy department. This year, there is more urgency to secure enough energy supply for the dry season -- when demand is typically high because of air conditioning -- to make sure that the May 9 elections will not be disrupted by power interruptions.

      "NGCP, through its third-party bids and awards committee, is inviting all interested grid-connected merchant plants and independent power producers, to apply for eligibility and participate in the competitive bidding for the procurement of AS," the grid operator said. NGCP said interested AS providers must be willing to provide power on a firm-based arrangement for five years, subject to a yearly performance evaluation.

      The transmission service provider added that it is open to bids from multiple AS Providers across Luzon, Visayas and Mindanao. Prospective bidders need to comply with the eligibility requirements which must be submitted via email.

      NGCP said that if it receives less than two intentions to bid, it will declare a "failure of bidding." The deadline for submitting the intent to bid is on Feb.

      2, and the announcement of qualified bidders is on Feb. 4.

      A copy of the invitation to bid may be accessed on the NGCP's website. Spot market prices up this month On Friday, the Independent Electricity Market Operator of the Philippines (IEMOP) announced that average market prices in the wholesale electricity spotmarket rose by around 8% to P6.98 per kilowatt hour (/kWh) in January versus last month's level of P6.43/kWh amid thin supply margins driven by power plant outages this month.

      To bridge any supply gaps, power distributors usually tap the spot market where they can purchase additional electricityat much higher costs compared to pre-agreed supply deals. The added costs are then passed on to consumers.

      "The primary reason for this is the scheduling of power plant maintenance outages, based on NGCP's schedule. Some plants which went on forced outages, while others went on deratings (decreased generation capacity)," John Paul Grayda, IEMOP Market Simulation and Analysis Manager of Trading Operations, said in an online briefing.

      He noted a "drastic" drop in supply levels this month due to power outages and the impacts ofTyphoon "Odette" (international name Rai) on affected communities. IEMOP reportedan average supplyof 12,142 megawatts (MW) in January, lower than the December billing which saw a supply of 12,702 MW.

      Meanwhile, average demand this month also went down to 8,544 MW compared to last month's billing period which saw a demand of 9,232 MW.

    TOP

    Other Articles - International


    TOP

       Home  -  Feedback  -  Contact Us  -  Safe Sender  -  About Energy Central   
    Copyright © 1996-2022 by CyberTech, Inc. All rights reserved.
    Energy Central® and Energy Central Professional® are registered trademarks of CyberTech, Incorporated. Data and information is provided for informational purposes only, and is not intended for trading purposes. CyberTech does not warrant that the information or services of Energy Central will meet any specific requirements; nor will it be error free or uninterrupted; nor shall CyberTech be liable for any indirect, incidental or consequential damages (including lost data, information or profits) sustained or incurred in connection with the use of, operation of, or inability to use Energy Central. Other terms of use may apply. Membership information is confidential and subject to our privacy agreement.