ERC approves 3rd party power provider in Palawan

by Myrna Velasco – October 12, 2016

from Manila Bulletin

The Energy Regulatory Commission (ERC) has formally approved the entry of qualified third party (QTP) power provider for the residents of Barangay Cabayugan in Puerto Princesa City, Palawan.

This then enabled the signing of QTP service and subsidy agreement (QSSA) between power provider Sabang Renewable Energy Corporation (SREC) and state-run National Power Corporation (NPC).

The league of customers that must be served by SREC will comprise of 600 households, 50 small hotels and business establishments as well as two (2) mid-sized hotels in the Sabang-Cabayugan area.

For a QTP to be permitted entry into Barangay Cabayugan, a waiver agreement was first executed by the Palawan Electric Cooperative Inc. (PALECO) with that of SREC.

“The waiver formally authorized SREC to plan, design, build, own and operate a hybrid solar PV (photovoltaic) and diesel power plant and a micro power grid,” the ERC said.

The hybrid power plant’s design will be for 1.4MW-peak solar photovoltaic (PV) facility, 2.3 megawatt-hour storage batteries (clean type) and 4×320 kilowatt-diesel generators; while the micro-grid involves the installation of 14 circuit-kilometers of 13.2-kilovolt distribution facility with a total capacity of 1.5 megavolt ampere (MVA) of distribution transformers.

According to ERC Chairman Jose Vicente B. Salazar, “the approval of SREC’s application will benefit the residents and establishments located in the Sabang-Cabayugan area by providing a long-term and strategic solution involving a private-public partnership and by offering an eco-friendly solution to their power woes.”