After 11 years since it was established in Luzon and over 6 years since it took effect in Mindanao, the Wholesale Electricity Spot Market (WESM) will finally be launched in Mindano on June 28.
Department of Energy Secretary Alfonso Cusi remained optimistic that the establishment of WESM Mindanao, signals the start of a competitive electricity market in the region whose costing is very transparent.
Cusi said that the provision of more reliable and competitive supply that results in more affordable power to consumers in the region was in line with the Duterte Administration’s thrust to vastly improve Mindanao’s economy and the quality of life of its people.
“WESM facilitates a transparent electricity market with which Mindanao power generators will have an avenue to trade un-contracted power supply,” said Cusi.
“WESM will provide consumers more sources of electricity to choose from, increasing their chances of lower-priced energy,” he added.
The launch of WESM Mindano is set to take place at the SMX Lanang in Davao City.
Under the Electric Power Industry Reform Act (EPIRA) of 2001, the Department of Energy is mandated to establish WESM as a venue for trading electricity as a commodity.
WESM started commercial operations in the Luzon grid in June 2006 and in December of 2010 in the Visayas grid, while the intricacies of the Mindanao power industry delayed the establishment of WESM Mindanao.
WESM Mindanao will be operated by the Philippine Electricity Market Corporation (PEMC), a non-stock, non-profit corporation which also operates the Luzon and Visayas WESMs.
“WESM Mindanao will enable a transparent and fair mechanism to bring in more competition, more investors and a sustainable business climate that will eventually redound to empowering consumers from Mindanao of their power of choice,” said Cusi. (PR/PNA)
