Energy sector lists power supply as top agenda for new DOE chief
By Myrna M. Velasco – July 18, 2022, 10:05 AM
from Manila Bulletin
Relevant stakeholders in the power industry are already advancing priority policy proposals and offering help to Energy Secretary-nominee Raphael Perpetuo M. Lotilla, primarily in addressing the recurring dilemma of thinning power supply as well as the country’s energy transition agenda to be sorted out on the new energy chief’s first day in office.
Lotilla’s appointment has yet to be firmed up by Malacanang, but the incoming energy chief is already seen having his hands full upon his assumption at the helm of the Department of Energy (DOE) because of the twin predicaments of strained power supply in the Luzon grid; and the incessantly surging oil prices.
In particular, the Philippine Independent Power Producers Association Inc. (PIPPA) noted that its member-generation companies are extending “hand in cooperation to Mr. Lotilla, in our joint objective to build greater energy security, affordability, and sustainability for the Filipino people.”
The unabated dilemmas of forced outages of the power plants have been triggering not just electricity rate spikes, but even power service interruptions – especially when electricity supply runs extremely tight because of the scale of capacities taken out from the system when the generating facilities conked out or if they have their capacities de-rated (reduced).
PIPPA said it recognizes Lotilla’s “invaluable leadership and decades-long contribution to the Philippine energy industry,” adding that the incoming DOE Secretary’s “experience and in-depth knowledge of the energy sector makes him the best candidate in this crucial time.”
Separately, the Philippine Solar and Storage Energy Alliance (PSSEA) indicated that the appointment of Lotilla as energy chief comes at a very auspicious time because developers in the renewable energy sector view him an ally in advancing the ‘energy transition agenda’ that the government had already cast in line with the decarbonization goals set forth under the Paris Agreement.
PSSEA Chairperson Tetchi Cruz-Capellan conveyed “the solar alliance offers our unwavering support to the incoming Secretary of Energy …we will work with him as we did in the past when solar energy was still deployed in off-grid and remote communities around the country.”
She asserted “the private sector will repay your sacrifice of public service by continually finding ways to lower the generation cost by introducing more efficient technologies, better business processes, and applying cost-saving measures.”
In the energy sector’s transition phase, the PSSEA chairperson pointed out that their general expectation is for the next DOE leadership to continue the policies and regulatory frameworks already started by the Duterte administration in the RE and clean technology development space.
“The energy sector is in a period of transition towards a greener grid. The leadership before him has already issued policies that put in place the mechanism for the injection of about 17GW (gigawatts) solar energy by 2030,” Capellan stressed.
She further highlighted the industry’s high hopes given sweeping observation that President Ferdinand Marcos Jr. had anchored his campaign in the last elections toward the promotion of renewable energy because this will aid in the global goal of abating climate change risks; and he also reiterated that policy leaning in his inaugural address when he officially took office last June 30.
“The President himself during his inaugural address stated that we are not immune to the devastating effects of climate change. Natural disasters caused by typhoons and cyclones have brought significant losses of lives and properties to vulnerable communities bringing additional budgetary pressures on government,” Capellan noted.
