The Palawan Electric Cooperative (Paleco) is set to hold a competitive selection process (CSP) to privatize the power supply for El Nido, a bustling tourism town in northern Palawan mainland also frequented by power outages.
“One of the problems we’re facing is the growing power demand of El Nido brought by its rapidly rising economy, that’s why we are conducting a privatization for its power supply,” Paleco Board Chairman Jeffrey Tan-Endriga said in a press conference Wednesday, December 6.
Tan-Endriga said he personally went to the Department of Energy (DOE) in Manila last week to look after the bidding process for the town’s power supply.
He said he also appealed to the DOE and National Electrification Administration “to fast-track the evaluation” of documents submitted by the investors.
“Hopefully, this coming first quarter of 2018 we can sign a contract with whoever potential investor,” he added.
The Paleco board chairman said the management has now become very strict in entering into a contract.
“We’ve learned from our experience and we see to it our lapses in the past power agreements will never be repeated,” he said.
After the bidding for El Nido, Tan-Endriga said the management will immediately conduct a CSP for its main grid, considering the old contract of Delta P with 13.5-megawatt contracted capacity is nearing expiration.
As of October 2017, Paleco recorded a peak demand of 47.15-MW, while the contracted dependable capacity was 73.70-MW, way enough to energize the Palawan grid.
However, from January up to October an average of 10 power outages a month had been logged due to Paleco’s upgrading of its poles and lines, and several uncontrollable factors.