After many delays, the Wholesale Electricity Spot Market (WESM) in Mindanao finally commenced commercial operations on Thursday.
According to the Independent Electricity Market Operator Philippines (IEMOP), “commercial operations of WESM in Mindanao shall effectively start at dispatch interval 0005H of 26 January 2023.”
The Department of Energy (DOE) announced that the IEMOP will oversee WESM Mindanao market operations using the two main systems – the market management systems (MMS) and the central registration and settlement system (CRSS).
The MMS will determine the optimal dispatch schedule of all generators and customers in the grid “including their respective locational prices.” Meanwhile, the CRSS will deal with the registration of market participants and settling WESM transactions.
The Mindanao spot market was first conceptualized in 2017.
DOE earlier said that the reliability of power supply in the country is seen to improve with the commercial operations of WESM Mindanao, as well as the completion of the Mindanao-Visayas Interconnection Project (MVIP) which is expected by March 2023.
The operations of the MVIP necessitate the implementation of WESM Mindanao and allow efficient transfer and settlement of electricity exchange through the interconnection project.