Western Mindanao Power Corp. reduced its power output by half to 50 megawatts staring Friday until fuel supply delivery normalizes.
The move is expected to worsen power supply situation in Mindanao, which is already reeling from a shortage. Mindanao is already short of 33 MW as of Friday, with demand at 1,399 MW against the supply of 1,366 MW.
Alsons Power Group, a unit of Alsons Consolidated Resources Inc. which owns WMPC, said the reduced output began Friday midnight and last until the plant received the fuel scheduled for arrival today. The plant is expected to begin operating at full capacity by Sunday at the latest.
“WMPC deeply regrets the resulting inconvenience to the power consumers of the Mindanao grid due to PSALM’s delay in fuel supply delivery,” Alsons said in a statement.
Power Sector Assets and Liabilities Management Corp. informed Alsons that due to “some hitches in [the] procurement process that were beyond [our] control,” fuel deliveries for WMPC’s 100-MW diesel plant had been delayed, resulting in a critical fuel inventory level.
PSALM manages the assets and liabilities of National Power Corp. as stipulated inthe Electric Power Industry Reform Act of 2001.
PSALM said new fuel supplier “encountered some problems with [the Bureau of] Customs in the release of their product” and that “as a stop gap measure, the supplier resorted to tank truck deliveries which are not enough to sustain the plant requirements.”
PSALM said the fuel supplier’s barge was scheduled to arrive at the WMPC port 8 a.m. Saturday.
Under the energy conversion agreement between WMPC and Napocor and PSALM, the government has the responsibility of supplying and delivering the fuel required for the operations of the WMPC diesel plant.
The agreement also requires Napocor and PSALM to ensure at all times the availability of the necessary stocks of fuel required by the plant.