ERC - Energy Regulatory Commission

01/19/2022 | Press release | Distributed by Public on 01/18/2022 20:07

ERC Lifts Suspension of WESM Visayas

ERC Lifts Suspension of WESM Visayas


The Energy Regulatory Commission (ERC) ordered the Philippine Electricity Market Corporation-Market Operator (PEMC-MO) to resume the operations of the Wholesale Electricity Spot Market (WESM) in the Visayas Grid, excluding Bohol, effective 1001H of 17 January 2022.

"We have been closely monitoring and assessing the Visayas Grid condition and upon assessment of the information gathered from the constant coordination with PEMC-Market Operator (PEMC-MO) and with the National Grid Corporation of the Philippines-Visayas System Operator (NGCP-VSO), the Commission views that market operations in the Visayas Grid except Bohol are now ready to resume", said ERC Chairperson and CEO Agnes VST Devanadera.

It may be recalled that the ERC suspended the operations of the WESM in the Visayas Grid starting 1942H of 16 December 2021. The suspension was necessitated by the power system disturbance due to the impact of "Typhoon Odette," causing the breach of Section 1.B, Article II of the ERC Resolution No. 12, Series of 2018, indicating over-generation. Meanwhile, Section 1.B, Article IV of the ERC Resolution provides that if there is improvement in the loading level for 24 consecutive hours, in relation to the conditions for Market Suspension, market operations can resume.

Based on ERC's monitoring and coordination with PEMC-MO and NGCP-VSO, loading level in Visayas outside Bohol has improved starting 10 January 2022. In addition to this, with the energization of the 138KV Colon - Calung-calung Line 2 and the 138KV Colon - Cebu Line 3, it has been assessed that market-based instructions in the area are implementable signaling the readiness to resume market operations in Visayas excluding Bohol.

It should be noted, however, that Bohol continues to be disconnected from the rest of the Grid and it may experience possible generation deficiency since generation from other regions cannot be exported to the island. Thus, Market Suspension in that area remains to be in place.

"We have issued the Notice of Market Resumption to the Philippine Electricity Market Corporation-Market Operator (PEMC-MO), and they were directed to advise the trading participants and the National Grid Corporation-Visayas System Operator (NGCP-VSO) of the said resumption", ERC Chair Devanadera added.