The Department of Energy (DOE) is looking at opening a wholesale electricity market in Mindanao as the region now has an oversupply of power.
MinDA Deputy Executive Director Assistant Secretary Romeo Montenegro said the region will end the year with 700 to 1, 000 megawatts of excess power supply.
“We now embrace an energy mix wherein there is 700 MW going towards 1,000 MW energy capacity excess by December and early next year,” he said.
“This is a happy problem,” he added. “Electricity that is not available is in itself already very expensive. Electricity that is available but is not utilized is also equally expensive.”
The Department of Energy (DOE) is looking at the opening a wholesale electricity market in Mindanao by June next year, he said. However, with the demand expected to increase next year, Montenegro said that the oversupply will not last.
He said electricity demands surging in the region will eat up the excess supply.
“These are energy hungry industries that will make the demands increase next year,” the official added.
Montenegro said they are devising a dispatch protocol to ensure that industry players will address the current energy mix.
“More than three years ago, we have been discussing on how to address the rotating brownouts in Mindanao … today, the discussion is on how to devise a dispatch protocol,” Montenegro said.