HOPING to avert a disruption in power supply in Luzon, state-owned National Power Corp. (Napocor) has urged the Department of Energy (DOE) to immediately establish a task force that will assess and make recommendations in response to the impending maintenance shutdown of the Malampaya natural-gas pipeline.

“There is a need to create a task force within the next 24 hours so that a contingency plan could be immediately formulated,” said Napocor president Cyril C. del Callar in a letter to Energy Secretary Angelo T. Reyes on March 31.

Del Callar proposed the task force be chaired by the Energy secretary along with different major stakeholders in the energy industry as members.

“The task force shall assist the DOE and the secretary in formulating and implementing the needed contingency plans that will address the effects of any prolonged shutdown of the Malampaya pipeline,” del Callar said.

Meanwhile, Shell Philippines Exploration B.V. (SPEX), operator of the Malampaya, said it has advised the DOE and customers that it is undertaking routine maintenance checks at its offshore platform off Palawan over the weekend.  

SPEX said the activity is not foreseen to result in any gas-supply interruption to the gas-fired power stations.

Del Callar’s recommendation came after SPEX announced that the Malampaya gas-receiving facilities will undergo a maintenance shutdown on April 4 to investigate a possible gas leak and make necessary repairs on the control valves.

The Malampaya deep-water gas-to-power facility provides natural gas to the Ilijan natural gas power plants of Napocor and First Gen Corp.’s Sta. Rita and San Lorenzo natural-gas power plants.

SPEX said the repairs could take as short as one day to a maximum of six months depending on the damage.

Del Callar further proposed that the task force be composed of representatives from the Napocor, National Transmission Corp., Power Sector Assets and Liabilities Management Corp., Philippine Electricity Market Corp., Energy Regulatory Commission, Manila Electric Co. (Meralco), big industry groups and consumer groups.

Meralco’s inclusion in the task force was recommended by del Callar considering that its independent power producers—with a capacity of 1,500MW—are dependent on the natural gas from Malampaya.

Del Callar proposed that the task force  assess the power situation thoroughly in the event of a prolonged shutdown; plan strategies to address such prolonged shutdown such as deferment of plant and major transmission-line maintenance; and to define needed logistics such as sufficiency of alternate fuels (coal, distillate); and fast-track procurement of such alternate fuels and other needed logistics.

“The task force will also be in charge of tapping private-sector assistance to address the situation, such as running of embedded generators, interruptible loads and voluntary load curtailment program; and institute interim regulatory solutions on the additional costs as a result of higher fuel and procurement costs,” del Callar said.

FRAUD and the lack of expertise of state-run Quedan and Rural Credit Guarantee Corp. (Quedancor) to collect payments under the multibillion-peso swine program led to the current mess that the program is in, industry sources said.

JUST fresh from approving four proposals for the envisioned $10-billion Bagong Nayong Pilipino-Manila Bay Integrated City, the Philippine Amusement and Gaming Corp. (Pagcor) announced that it is now shopping around for another site that will house the second phase of the project.

Government agencies, particularly those tasked to ensure the country’s food security, should be given three-year budgets, if only to ensure the continuity of its programs, an official of the Department of Agriculture (DA) said.

PRESIDENT Arroyo will lead the inauguration of the P112.9-million expanded passenger terminal of the Diosdado Macapagal International Airport (DMIA) at the Clark Freeport Zone today, Friday.

HOPING to avert a disruption in power supply in Luzon, state-owned National Power Corp. (Napocor) has urged the Department of Energy (DOE) to immediately establish a task force that will assess and make recommendations in response to the impending maintenance shutdown of the Malampaya natural-gas pipeline.

THE Toll Regulatory Board (TRB) is seen to charge P187.54 or a toll rate of P2 per kilometer for motorists’ use of the entire stretch of the 93.77-km Subic-Clark-Tarlac Expressway (SCTEx).