Press Statement on Paleco Situation

The Department of Energy (DOE), National Power Corporation (NPC) and the management of Palawan Electric Cooperative, Inc. (PALECO) continue its discussions regarding the said electric cooperative’s situation.

Currently, PALECO has put in place a voluntary load curtailment program participated by big load consumers as a stop gap measure, as Puerto Princesa is experiencing a recurrent power interruption in the last two months due to the breakdown in the generating units of its power providers, PPGI and Delta P. 

Since April last year, PALECO initiated bidding for its third new power provider (NPP) in anticipation of the expiration on October 2013 of the NPC-PALECO Interim Supply Agreement for 10 - 45MW energy.  The bidding is for 25MW and to cover replacement of NPC and the additional demand. Peak demand in Palawan is 30.5 MW while power supply from its current power providers total to 35.5 MW.

PALECO has already resumed its bidding and a new power provider will be delivering power in the island by September 2013.

To address present and future demand, there have been continuous discussions between PALECO officials and the DOE on the possible involvement of NPC to provide for additional power by December to help mitigate the power supply deficit.

With the recent declaration of the Sanggunian Panlungsod, the DOE has enhanced its monitoring in Palawan and has been taking a proactive stand by working with stakeholders in responding to its emerging supply concerns.

Likewise, the DOE is doing all the necessary measures so Palawan can have ample supply especially with the fast growth being experienced in Palawan as one of the country’s premiere tourist spot.

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