Vivant unit seals 15-year supply deal for Palawan

CEBU, Philippines — Palawan Electric Cooperative (PALECO) has formalized a 15-year Power Supply Agreement (PSA) with Delta P. Inc. (DPI), a subsidiary of Cebu-based Vivant Energy Corporation, to supply 40 MW (megawatts) of contracted capacity.

This agreement comes after a Competitive Selection Process (CSP) and aims to address the island’s increasing energy demands driven by its rapid economic growth, particularly in tourism.

As Palawan’s accommodation and food services sectors are projected to grow by 31 percent by the end of 2023, PALECO’s initiative ensures a stable and reliable power supply to support both tourism-related industries and local communities.

This development is crucial as Palawan continues to expand its infrastructure and services in response to rising energy needs, said PALECO general manager Rez Contrivida.

“We are delighted to announce the signing of this PSA with Delta P. Inc. to ensure we meet Palawan grid’s need for reliable, affordable, and sustainable power supply. This long-term solution will help Palawaneños regain their subsidy,” said Contrivida.

DPI emerged as the most competitive bidder in the CSP process, conducted through the National Electrification Administration (NEA), securing its position to provide the required 40 MW of capacity.

“PSA is vital in ensuring stability, fostering innovation, and driving long-term growth. It gives us the foundation to plan, build, and deliver lasting solutions,” said DPI President Eric Omamalin

NEA Administrator Antonio Mariano Almeda also praised the successful outcome, noting the importance of supporting electric cooperatives:

“This accomplishment shows NEA’s unwavering commitment to assisting cooperatives in navigating power procurement challenges. We are here to ensure no cooperative is left behind, especially when it comes to the welfare of the MCOs,” Almeda said.

The agreement represents a crucial move in securing Palawan’s energy future, guaranteeing sustainable power to support its expanding economy for years ahead.