Friday, 10 October 2014

Power Crisis in the Aquino Government

By: Darien Anthony F. Nañadiego

                The Philippine Government under the Aquino administration is facing a looming power crisis next year and this is the number one problem facing the government. One proposed solution of this administration is granting emergency powers to the President. By this time, the Senate is expected to approve this month a joint resolution granting President Aquino the authority to contract additional generating capacity to address a looming power crisis in the summer of 2015. This would entail a lot of funds for the government because Department of Energy (DOE) is poised to buy or rent generating sets to provide the necessary power supply next summer.

                Granting of emergency powers to avert power crisis would authorize the President to tap about Php4 billion to Php10 billion from the Malampaya Fund once the Congress grants him such powers. Proceeds from Malampaya operations of about Php150 billion are derived from royalties from the natural gas operation of Palawan. This would be the biggest source of fund that the Aquino government can rely as power crisis looms by the summer of 2015 as predicted by the Department of Energy.

                Private companies, particularly big establishments such as shopping malls should operate their generators sets at certain periods so that the demand on distributors like Meralco would be reduced. In this way private sector in their own little way could work hand in hand with the National Government in alleviating woes.

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