Power firms deny collusion over simultaneous power plants shutdowns

/ 02:59 PM April 15, 2019

MANILA, Philippines — Amid the widespread rotational brownouts in several areas in Luzon, power generation firms denied allegations that there is “collusion” in the simultaneous shutdown of power plants which put the Luzon grid on red alert.

In a press briefing Monday, Aboitiz Power Corp. Chief Operating Officer (COO) Emmanuel Rubio said the power generation companies earn revenues only if their plants are running.
“Only when a plant is running generators [power generation firms] would make revenues. That’s the only time we can sell our power to our consumers,” Rubio said.


This statement was echoed by other power companies, namely, TeaM Energy Corporation, South Luzon Thermal Energy Corp. (SLTEC), and Panasia Energy Inc.

Earlier, Senator Sherwin Gatchalian, who heads the Senate’s energy panel, called for an investigation into the unexpected brownouts that hit several towns and cities in Luzon.


He claimed that the power failure came after the Department of Energy (DOE) had given its assurance that there was ample supply of electricity reserve throughout the dry season.

READ: Gatchalian seeks probe on possible ‘collusion’ amid power outages

DOE assured that it will coordinate with the Energy Regulatory Commission, the Philippine Competition Commission, and Congress to address the issue of “collusion” and the power companies’ alleged “anti-competitive behavior.”

“We welcome all the facts that were being given to us by the industry players. But the issue on these matters, collusion…anti-competitive behavior…we will submit all this information to the Energy Regulatory Commission, to the Philippine Competition Commission, and even in Congress,” DOE Undersecretary and Spokesperson Wimpy Fuentebella said. /ee

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TAGS: DoE, Philippine news update, power outage, power plant shutdowns
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