Power lack in Mindanao - Business Mirror

Written by Paul Anthony A. Isla / Reporter

WHILE consumers and industries in Luzon braced for possible rotating brownouts, the National Grid Corp. of the Philippines (NGCP), in its late Monday update, showed that the Luzon grid has had some reserves to meet demand for electricity.

As of 4 p.m. yesterday, NGCP said Luzon actually had a surplus of 246 megawatts (MW) from its available capacity of 6,980 MW and a projected peak demand of 6,734 MW.

Meanwhile, NGCP pointed out that the Mindanao grid had available capacity of 805 MW that was outpaced by the power demand of 1,437 MW.

It said the Mindanao grid had generation deficiency of 632 MW yesterday due to the inadequate available capacities from the grid’s main power sources, such as the National Power Corp.’s hydropower plants where the reservoirs are all drying up due to El Niño.

Earlier, the Manila Electric Co. (Meralco) had advised its customers that there would be a rotational brownout yesterday between 10 a.m. to 4 p.m. and 6 p.m. to 8 p.m. due to the insufficient capacity of the power-generation suppliers.

Joe Zaldarriaga, Meralco external communications head, told the BusinessMirror that the firm did not implement the scheduled rotating brownouts since the NGCP had advised that there was already enough supply.

“Hopefully, the situation will be better today [Tuesday] considering the ample supply NGCP had noted yesterday,” he added.

NGCP said Korea Electric Power Corp.’s (Kepco) Ilijan power plant was expected to start generating electricity last night.

NGCP added that Ilijan is currently contributing a total of 900 MW and that another 300 MW is expected to be generated by Ilijan Block A within yesterday.

NGCP noted that First Gas Power Corp.’s Sta. Rita units 10 and 30, which generate around 250 MW each, San Miguel Energy Corp.’s Limay unit 2 with a capacity of 90 MW and Kepco-Philippines Corp.’s (Kephilco) Malaya unit 1 and 2 at 300 MW and 350 MW, respectively, still remained unavailable yesterday.

Ernesto Pantangco, First Gen Corp. senior vice president, told reporters that the two units of Sta. Rita were scheduled for shutdown and will begin generating electricity either by yesterday or today.

Except for the two units, Pantangco quickly clarified that their natural gas-fired power plants—1,000-MW Sta. Rita and 500-MW San Lorenzo natural gas-fired power plants—are generating a total of 1,000-MW.

NGCP said the Visayas grid also continued to experience an increase in power-supply deficiency last night of 163 MW due to the shutdown of Cebu Diesel Power Plant, which used to supply a total of 25 MW on the island.

NGCP said Cebu Energy Development Corp. and Leyte Geothermal Power Plant (LGPP) unit 2, which is owned and operated by Green Core Power, are still on emergency shutdown.

It said the available capacity and peak demand stood at 1,060 MW and 1,223 MW, respectively, yesterday.

Meanwhile, the business community in Mindanao is still waiting for the government’s action to solve the power crisis following the President’s move placing the entire island under a state of calamity.

“The business sector in Mindanao is still awaiting for specific actions that the President may undertake,” Philippine Chamber of Commerce and Industry (PCCI) vice president for Mindanao Edwin Capili told  select journalists during the launching of the 19th Mindanao Business Conference at the Grand Caprice Restaurant over the weekend.

Ralph Jaime Paguio, president of the Cagayan de Oro Chamber of Commerce and Industry Foundation Inc., said the business sector is very interested in the government’s plans in mitigating, if not solving, the perennial power shortages in Mindanao.

“We are also very interested in government’s plans both for energy security and peace and order,” he said.    

PCCI chairman Sergio Ortiz-Luis Jr. scored the government for not acting on the business community’s warning in 2007 about the impending power crisis to hit the country in 2011.

“In 2007, we already warned the government about the     impending shortage of power by 2011, and nothing has been done to avert the disaster,” Ortiz said.

Kristine Lim, Bagong Alyansang Makabayan secretary-general for Northern Mindanao, said the President’s declaration of a state of calamity in Mindanao last week was a “very late reaction.”    

“We have foreseen [the] El Niño phenomenon [will occur] four years ago, yet measures to prepare us  for this were not taken. It has become a habit of this government to let the farmers and the people suffer for its lack of action,” she said.   (With B. Fabe)

March 17 to 28, 2010 Brownout Schedule in CDO

March 17 to 28, 2010 Brownout Schedule in CDO

Cause: New DAILY Brownout Schedules [March 17-28] due to the continuing power supply curtailments imposed by the National Grid Corporation of the Philippines [NGCP] all over Mindanao
Actual Interruption Schedule: 03/17/2010
Time Start: rotational 8:00AM-1:00PM; 1:00PM-6:00PM; 6:00PM-11:00PM

Interruption Details:

15 March 2010

NOTICE to All CEPALCO Customers
Subject: New DAILY Brownout Schedules for March 17 to 28, 2010

Please find below the load shedding schedule [5 hours DAILY rotating brownouts] within the CEPALCO service area for the period March 17 to March 28, 2010 due to the continuing power supply curtailments imposed by the National Grid Corporation of the Philippines [NGCP] all over Mindanao. Again, CEPALCO would like to caution customers that the actual switch off and switch on time may vary from the announced schedule depending on the actual load curtailment levels imposed by NGCP on CEPALCO on a day to day basis.

Time of Brownout

Dates: March 17, 20, 23 & 26
8:00am to 1:00pm - Group A
1:00pm to 6:00pm - Group B
6:00pm to 11:00pm - Group C

Dates: March 18, 21, 24 & 27
8:00am to 1:00pm - Group B
1:00pm to 6:00pm - Group C
6:00pm to 11:00pm - Group A

Dates: March 19, 22, 25 & 28
8:00am to 1:00pm - Group C
1:00pm to 6:00pm - Group A
6:00pm to 11:00pm - Group B

GROUP A Areas [Charlie 1 & Charlie 4]:

CHARLIE 1:
1. Greater portion of the City Poblacion along and bounded by Hayes St., Mortola St., JR Borja St. including S.Daumar St. up to corner JR. Borja St., Aguinaldo St. up to corner Justo Ramonal St.,
2. Along Pabayo St.; including portions of C. Pacana St., JR Borja St., Gomez St., C.Taal St., T.Neri St., Abejuela St., Hayes St. and Gaerlan St. from Pabayo St..
3. Hayes St. from corner A.Velez St. towards City Hall area & Burgos St., along T.Chavez St. from Burgos St. up to Tiano Bros. St. - including portions of Tiano Bros. St., Rizal St., Capistrano St. from Hayes St.; and; Dolores St..
4. Along Burgos St. from T.Chavez St. up to corner Gomez St. including portions of Abejuela St., T.Neri St., Cruz Taal St. and Gomez St. from Burgos St..
5. Surroundings along Mabini St. from corner A.Velez St. towards Capistrano St. up to corner Gomez St. including portions of Tiano Bros. St. from Mabini St.; Yacapin St. from Capistrano St. towards Burgos St.; and; C.Pacana St., JR Borja St. and Gomez St. from Capistrano St.
6. Along Pabayo and T. Saco Streets from Dolores towards Clementino Chaves St. up to 15th-26th St., Nazareth.
7. Greater portion of Macasandig, all of Tibasak, all the way to Taguanao.

CHARLIE 4:
1. Portions of Camaman-an near and including towards Manto to the San Jose and St. Vianney Seminaries, greater portion of Camaman-an proper towards Bontong, Bolonsori up to Upper Camaman-an and Hayes Subdivision including Tipolohon.
2. Part of Limketkai Center, Lapasan including Mc Donalds, PNB and Allied Bank.
3. Along Recto Ave. from corner Agora Road towards Maharlika Bridge including Coca-Cola Plant & Osmeña Ext.. up to Gaabucayan St.
4. Portion of A.Luna St. towards all of Mabulay Subdivision including portion of the Provincial Capitol and Provincial Hospital Area.
5. Medical Center area along and bounded by Capistrano St., Echem St. up to corner Akut St., A.Velez St., and Recto Ave.(UCCP side), including all of Consolacion.
6. Corrales Ext. from Gaabucayan St. towards most of PPA area.
7. J.Pacana St. from Recto Avenue towards all of Macabalan area.
8. All of RER Subdivision Phases I & 2 including Dolores compound; towards Fortune Express Shop along Maharlika Highway; including all of NHA-KSS Subdivision and portion of Bayabas near Manila Broadcasting Radio Station to Capisnon area.
9. Greater part of Bulua from Bulua Rotonda towards all of Iponan.
10. Greater part of Patag including Calamansi Drive, Apovel subdivision, Terry Hills subdivision and Anhawon, Bulua area.

GROUP B Areas [Carmen 3, Tango 1 & Pueblo 2]:

CARMEN 3:
1. Portions of Carmen: along vicinities of Villarin St. towards portion of Canitoan-Pagatpat Road; including St. Mary's Academy (formerly Cathedral School of Technology), Golden Village, City Hospital-DOH Area, COWD reservoir and Seriña St. from Villarin St. down to Madonna and Child Hospital.
2. M.Suniel St. from Villarin St. down towards portion of Mabolo St.; including Matilde Neri St., Dabatian St. and Cagayan de Oro College area; and; portion of Lirio St. area.
3. Portions of Upper Carmen towards Dagong including SM CITY; PRYCE HOTEL; SPUM & SEARSOLIN.

TANGO 1:
1. Portions of Natumulan down to Casinglot, Tagoloan.
2. All the Barangays of Bugo, Puerto, Tin-ao, Agusan, Tablon, Baloy, Cugman, Gusa, and greater portion of Lapasan.
3. Portions of Lapasan-Camaman- an road from Recto Ave. towards Limketkai Commercial Center including Grand Caprice Restaurant.
4. All of Osmeña St. and portion of Cogon Market Area (JR Borja side and Yacapin side) including Roxas St. towards portion of JR Borja St.
5. Upper Gusa, Indahag, Malasag, FS Catanico and Balubal.
6. Agora Market area including Gaabucayan St.
7. Corrales Ext. from corner Recto Ave. up to Gaabucayan St.
8. DMPI plantation, MENZI Agri, etc.

PUEBLO 2 :
1. Portions of Upper Carmen, Upper Balulang and all of Brgy. Lumbia including; PNR Sawmill, Shop and transmitter; Pueblo de Oro, Camella Homes, Xavier Estates, Xavier Heights, Xavier High School, La Buena Vida, Frontiera and Montana subdivisions; CAA-BAT Lumbia Airport & Rio Verde.

GROUP C Areas [Charlie 2, Carmen 1, Carmen 2, Tango 2]:

CHARLIE 2:
1. Along Hayes St. from Camaman-an towards V.Roa St. up to corner J.Ramonal Ext., including Pinikitan, Adela, Balangiao area, Quirino St. and Yacapin Ext.; portions of Macasandig, XU Grade School areas.
2. Along J.Ramonal Ext. from Sto. Niño, Cogon towards V.Roa St., R.Chavez St. up to Corrales Ave. corner A.Luna St.; D. Velez St & Yacapin St., JR Borja Sts between V. Roa St. and Mortola St.(PNB/Everbest) towards Daumar Sts. To Yacapin Ext. up to Doña Nieves St.
3. Along Corrales Ave. towards FICCO, Nazareth, including Yacapin Street Towards Capistrano St.,
4. Greater portion of Nazareth; greater portion of Ramonal Village. From Hayes-12th Sts up to T.Saco-14th Sts. ,T.Saco-6th Sts.,14th-21st Sts., and 15th-21st Sts.

CARMEN 1:
1. Greater portion of Carmen along Lirio St., from Trinity St., towards Oak St., Max Suniel St., Vamenta Blvd, up to cor. Jasmin St. including Waterlily St. and the Carmen market area.
2. Along Mabolo St. from Lirio St. towards corner Rosal St. including portion of Marigold St. .
3. Portions of Carmen: vicinities along Vamenta Blvd. from Fernandez St. towards greater part of Ilaya including Zayas St. up to Callos-Elloso St.: portions of Ipil St. and Mahogany St. from Fernandez St.; Madonna & Child Hospital; and; Seriña St. from COA towards Gumamela Ext.St., Guani Coliseum (former O.Roa’s) and Maharlika Police Station.
4. All of Macanhan, Carmen towards all of Lower Balulang.

CARMEN 2:
1. Portions of T.Chavez St. from Corrales Ave. up to Tiano Bros. St. including portions of A.Velez St from Hayes St..
2. Portions of Carmen along Yacal St. towards Lirio St., Vamenta Blvd., Waling-waling St. upto GSIS area including Ferrabrel St., Mango St. and portion of Rosal St. and Marigold St.
3. All of Kauswagan proper including Fairlane Village and portion of Capisnon, Bonbon and Bayabas.
4. Isla de Oro.
5. Along Montalban St. from near Tiano Bros. St. towards Burgos St., del Pilar St. and Magsaysay St. including portions of Macahambus St. and Abellanosa St. from Burgos St..
6. Portions of A.Luna St. from corner Corrales Ave.; towards vicinities along A.Velez St. upto corner Mabini St. including portion of Macahambus St. from A.Velez St. and Tiano Bros. St. from Macahambus St..

TANGO 2:
1. Portions of Natumulan, greater Tagoloan proper, all the Barangays of Baluarte, Pulot, Sugbongcogon, and Gracia, Tagoloan
2. All the Barangays of Sta. Cruz, Mohon, Sta. Ana, and Sto. Rosario, Tagoloan including Kimaya, Villanueva.
3. All of Villanueva and Jasaan, Misamis Oriental.

We hope all CEPALCO customers & the public in general will be guided by this announcement. Thank you.

Released by:


Marilyn A. Chavez
Senior Manager
Customer & Community Relations Dept.

Only 16% of labor force to benefit from wage hike

CAGAYAN DE ORO CITY, March 12, 2010—Only sixteen percent (16%) of the total labor force in the country will benefit from any legislated wage increases, the chairman of the Philippine Chamber of Commerce and Industry (PCCI) claimed the other day.

Sergio R. Ortiz-Luis Jr. said that of the total work force of the country, only 16% are in the “formal” sector while the 84% are in the “informal” sector.

“The formal sector of our labor force is the only one who are affected by any legislated increase in salary. Yung 84% palaging naiiwan,” he explained.

Ortiz-Luis said only those who are in the formal labor sector are covered by the Labor Code and other labor laws while the greater majority who composed the informal labor sector are not covered by the laws because they are those who are mostly small self-employed entrepreneurs and workers in the so-called “underground economy.”

The informal sector comprises of those who are casual, contingent, contractual, seasonal, temporary and non-regular employees, which really are the unsung heroes who have contributed to several businesses’ and industries’ progress and yet are taken for granted.

Recent Labor department statistics (2008) showed that the informal labor sector in the country comprises 20 million workers while the formal sector is just 5 million.

But the Employers’ Confederation of the Philippines (ECOP) said the formal sector is composed of 5.067 million out of a total labor force of 34.5 million.

Ortiz-Luis said that while the P75.00 across-the-board increase in salary is a “populist idea,” it will really benefit only a few workers and not those who are in the informal sector.

“You’re not doing the working class a favor by increasing the wage,” he said, warning that if this happens in light of the power crisis that is spawning a host of other problems particularly in the business sector, many businesses will be forced to retrench workers or shut down operations to cope with the rising cost of doing business.

“It is not really a question of how can we cope but much of a question of how productive we will be,” said Jaime Ralph U. Paguio, president of the Cagayan de Oro Chamber of Commerce and Industry Foundation, Inc. (Oro Chamber).

Paguio said while most businesses in Cagayan de Oro which are members of Oro Chamber have not yet thought of laying off workers, some “maybe forced” to move towards that direction if the power crisis persists and no mitigating measures are instituted in the short term.

However, he stressed that they are also thinking of using “flexi-time” to cope with the power crisis.

“It really is a judgment call for businesses,” he said

Ruben Vegafria, president of the Promote CDO Foundation and chairman of the Regional Small and Medium Enterprise Development (SMED) Council in Northern Mindanao, said that the business sector is “now suffering” because of the power curtailment imposed by the National Grid Corporation of the Philippines (NGCP) because of limited power supply produced by the National Power Corporation (NPC).

Vegafria said the petition for a P75.00 across-the-board wage increase filed by the Trade Union Congress of the Philippines (TUCP) will further the suffering of the sector and will eventually result to the suffering of the labor force.

“The TUCP petition is bordering on being heartless. The business sector is suffering already,” he said.

He and other business leaders feared that many politicians running for various elective positions will milk the petition to boost their chances of victory at the polls.

“We hope the politicians will not ride on the TUCP request,” he said. (Bong D. Fabe)