SBMA earns P40M annually from privatized power system

SUBIC BAY FREEPORT – Aside from having one of the lowest electric power rates in the country, the Subic Bay Metropolitan Authority (SBMA) is earning big money from the privatization of the power supply system here in the Freeport.

Just recently, Subic Enerzone, operator of the power supply system here, handed over to SBMA Administrator Alfredo C. Antonio a P40 million check representing its payment this year for the lease of power supply facilities in Subic.

This was the second P40 million payment from Enerzone, a consortium of Aboitiz Equity Venture, since it won the contract for power distribution in the freeport last year. Under the privatization agreement, the SBMA earns P40 million each year for the 25-year validity of Enerzone’s contract.

Antonio, who met with top officials of the Enerzone group the other day, expressed satisfaction over Enerzone’s power rehabilitation project aimed at giving the Freeport zone the competitive edge over other economic zones in terms of power services.

Enerzone officials also told the administrator that the power firm has completed the main components of the P350-million rehabilitation and upgrading project.

Subic Enerzone director Luis Miguel O. Aboitiz said the project is "way ahead of schedule" as the firm endeavors to provide clients with high quality power supply and reliable service.

Among the project components already completed are the rehabilitation of the Remy Field sub-station that supplies power around the central business district of the zone; personnel training for live works, including acquisition of tools and equipment; and replacement of old meters.

Enerzone’s systems rehabilitation project involves the modernization of the more than 40-year old power supply system installed and used when the US Navy was still in Subic.

Enerzone chief operating officer Benjamin Cariaso said the firm will also utilize a high-technology system called supervisory control and data acquisition (SCADA), which uses computerized control equipment placed in different sub-stations to monitor power supply.

The power company is also completing the installation of an overhead transmission line covering a 4.5-kilometer distance from CBD to Cubi Point going to the Subic Bay International Airport. Moreover, Subic Enerzone partner, Mirant Phils. is scheduled to start next month the underwater laying of submarine cables to provide a steady supply of power in Grande Island, which is now being developed into a world-class island resort.