Philippines: Utilities' higher spot market exposure noted

Philippines: Utilities' higher spot market exposure noted

With continuous downtrend in prices, power utilities have been manifesting
increased exposure in the Wholesale Electricity Spot Market (WESM) when it
comes to their power supply procurements.

This was noted by Philippine Electricity Market Corporation (PEMC) President
Melinda L. Ocampo, emphasizing that for the supply month of September,
purchase from the spot market had been at a record high of more than 15
percent.

"The September (2016) billing period showed a marked increase in the share
of electricity bought in the spot market compared to the monthly average of
8 to 10 percent sourced by wholesale customers," she said.

Ocampo expounded that based on data, 15.09 percent of power supply had been
bought from the spot market in that particular billing month; while 84.91
percent had been from bilateral power supply deals.

She said such level of spot market exposure for the power utilities last
month had been favorable because of the record-low settlement prices.

For September supply month, the WESM operator reported that there had been
"considerable dip in the final effective settlement spot prices."

That had plunged to an all-time low of P2.86 per kilowatt-hour (kWh) from
the August supply month's average settlement price of P4.17 per kWh.

--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---

Ref: http://www.mb.com.ph/utilities-higher-spot-market-exposure-noted/

--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---

John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com