Lotilla asks energy companies to learn lessons from SMC-Meralco supply deals

  • 📰 MlaStandard
  • ⏱ Reading Time:
  • 37 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 55%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

The Department of Energy said Monday the power industry should learn from the fixed-rate contract signed by Manila Electric Co. and San Miguel Corp. that led to challenges because of the volatile fuel prices. READ:

“This particular case is a learning experience for everyone, and as far as the DOE and the ERC jurisdictions are concerned, we want to make a clear distinction of the policy rule of DOE and the regulatory aspects for the ERC,” Energy Secretary Raphael Lotilla said during the Economic Journalists Association of the Philippines Infrastructure Forum in Pasay City.

“It’s a learning experience for everybody that if we provide for a fixed rate contract, then there must be other terms and conditions that will make the contract implementable, notwithstanding the highly volatile prices in the commodities market,” he said. Lotilla said the two major private power companies, “will be intelligently analyzing the TOR [terms of reference] of the contracts that they have entered into and that moving forward, we will both be benefiting from the lessons learned.”

“It only means they will stop supplying Meralco at the contract rates. Under current rules of the spot market, power plants that are able to operate need to offer their capacities to the market,” Fernandez said.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 20. in MY

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Marcos: DOE has allowed company to survey Palawan’s Cadlao oil fieldICYMI: President Ferdinand Marcos Jr. has announced that the Department of Energy has already allowed a petroleum company to start surveying its drilling locations for exploration and appraisal at the Cadlao oil field in Palawan. Make it fast, baka naunahan na tayo ng china.
Source: inquirerdotnet - 🏆 3. / 86 Read more »