Palace allays fears of power crisis in Mindanao by 2009

Malacañang yesterday allayed concerns over a possible power crisis in Mindanao by 2009, saying that the government has a broad blueprint to address the energy requirements of the region.

Press Secretary Ignacio Bunye downplayed the statement made by Energy Secretary Raphael Lotilla about Mindanao facing a power crisis in 2009 if the old power plants are not rehabilitated and if new ones are not built.

"In fairness, Secretary Lotilla never said there was a power crisis in Mindanao," Bunye said. "He was talking candidly about the time in 2009 when the private sector will have to put in additional supply and this is being addressed by both private firms and the government."

"The government has a deep and broad blueprint to meet the challenge of boosting the energy supply of Mindanao, which is looming as the front door of investment owing to the advent of peace and the improving security situation," he added.

Bunye said the blueprint is not limited to the rehabilitation and construction of power plants, but also involves the expansion of alternative sources of energy and pushing the cause of the environment.

The President has signed the Biofuels Bill of 2006, which provides for the mandatory use of biofuels in the transport sector.

The term biofuels refers to fuel derived from agricultural products like sugarcane, cassava and corn.

A bill that would promote the development and use of renewable energy is also pending in Congress.

The measure, which was certified as urgent by the President, seeks to develop the country’s renewable and indigenous sources of energy to reduce the Philippines’ dependence on imported fuel to run its generation systems.

"The energy team, which includes the private sector, is constantly on top of this agenda, working proactively on solutions to avert shortages and assure long term supply. Stable power in Mindanao is a permanent agenda of this administration," Bunye said.

"We are also urging big users to contract directly with the Northern Mindanao coal plant of STEAG, which can easily expand by another 100 megawatts if needed," he added. – Marvin Sy

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