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Manila Bulletin devider Business devider The Stock Market devider Vivant secures 15-year power supply deal for Palawan

Vivant secures 15-year power supply deal for Palawan

Published Nov 19, 2024 05:28 am

Vivant Energy Corporation's unit, Delta P. Inc., has secured a power supply agreement (PSA) to address the increasing energy demand in Palawan, driven by economic growth.

In a disclosure to the Philippine Stock Exchange (PSE) on Tuesday, Nov. 19, Vivant said that the Palawan Electric Cooperative (PALECO) granted Delta P. a 15-year PSA to supply a contracted capacity of 40 megawatts (MW) to meet the island's energy needs.

This agreement, which will cover the island’s electricity supply, was awarded to Delta P. following a successful Competitive Selection Process (CSP) conducted by the National Electrification Administration (NEA).

Eric Omamalin, Delta P. president, stated that the new contract would ensure a stable power supply for Palawan's grid.

“This PSA is vital in ensuring stability, fostering innovation, driving long-term growth— giving us the foundation to plan, build, and deliver lasting solutions,” he said, adding that “looking ahead, this partnership inspires us to innovate further, enhance our services, and continue powering progress for the next 15 years and beyond.”

With PALECO general manager Rez Contrivida’s support on the successful PSA grant, the electric coop’s decision to have more reliable power stems from the influx of tourism in Palawan.

Vivant stated that this was due to the 31 percent increase of accommodation and food services sectors in the area in 2023, and is expected to drive more power demand.

“This agreement aims to provide the consistent power supply required to support growth in these industries, as well as in local communities,” Vivant stated.

NEA Administrator Antonio Almeda added, “[This] accomplishment shows the unwavering commitment of NEA to support electric cooperatives who face challenges in completing their power procurement process. NEA is here to ensure no cooperative is left behind, especially with the welfare of MCOs at stake.”

Earlier this year, the House of Representatives eyed to probe Palawan’s power situation as residents are faced with high electricity bills, but low energization levels and inadequate power.

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