WESM presses accreditation for power spot market players

Philippine Electricity Market Corp, (PEMC), the operator of the country’s wholesale electricity spot market, will undertake a WESM traders’ accreditation program to institutionalize electricity trading as a profession.

In recent commercial operations market update for media and market participants, and members of the press, the electricity bourse unveiled plans for a trader’s accreditation program aimed at improving the skills and competencies of existing and new electricity traders.

“Demand for electricity traders have grown since the launch of the market. However, local manpower to satisfy this increase in demand is limited,” PEMC executive vice president Mario R. Pangilinan said.

He said the curriculum will require comprehensive training for all interested parties with direct involvement in electricity spot trading to be given priority as previous advanced training will be considered during the accreditation process.

Professionals currently working in energy companies are encouraged to participate in the program as well.

PEMC president Lasse A. Holopainen said the implementation of the traders’ accreditation program in the WESM “will improve competency of the power traders and monitor the integrity of their actions as well as enhance compliance to market rules.”

The program will involve a series of discussions and consultations with industry players and market participants and is expected to be fully implemented by 2009.

WESM began commercial operations for the Luzon grid in June 2006. It is a centralized venue for buyers and sellers to trade electricity as a commodity where its price is based on actual use (demand) and availability (supply).

WESM was created by Republic Act 9136 or the Electric Power Industry Reform Act (EPIRA) of 2001.

This provided for the establishment of an electricity market that would reflect the actual cost of electricity and aims to lower prices through more efficient production brought about by competition.