ILOILO – This province incurred economic losses estimated at P3,727,264,894 due to the power blackout from Jan. 2 to 5.
The losses covered all sectors, including residential, commercial and industrial, affecting entire communities, irrespective of their residential or commercial nature, according to the Provincial Planning and Development Office (PPDO).
The PPDO derived the figure from data collated from three power distribution utilities (DUs) – Iloilo Electric Cooperative (ILECO) 1, 2 and 3.
PPDO chief Mario Nillos said total energy loss reached 3,351.86 megawatts in over 164 hours of power interruption, translating to an average power loss of 83.29 megawatts per hour.
The cost of a 100-megawatt loss per hour was calculated at P111,200,000, resulting in an estimated economic loss of P92,616,440.42 per hour, or a total of P3,727,264,984 for the entire province.
Nillos said the P111,200,000 per 100 megawatt-hours was based on the volume of load loss assumptions by the Philippine Independent Power Producer Association (PIPPA) in 2020.
A PIPPA study indicated that a 500-megawatt power loss over five hours could resulted in an economic loss of P556 million, equivalent to P111,200,000 per 100 megawatts.
Here is the breakdown of the economic losses by the three DUs:
* ILECO 1 – lost 1,540.05 megawatts of energy over 26.964 hours of power interruption, leading to an estimated economic loss of P1,712,535,600
* ILECO 2 – lost 1,010.26 megawatts over 70 hours of power interruption, with a total estimated economic losses of P1,123,409,120
* ILECO 3 – lost 801 megawatts over 68.270 hours, resulting in a total estimated economic loss of P891,320,264
Nillos said the estimated economic losses of P2 billion for Iloilo City were similar to the P3.7 billion losses for the province.
The city’s economic losses were calculated based on its 2022 Gross Domestic Product (GDP) of P145 billion, while the province which had 42 municipalities and one city had a GDP of P206 billion.
Gov. Arthur Defensor Jr., wary of the long-term effects of the power blackout on the province’s development, urged the National Grid Corporation of the Philippines (NGCP) to improve its grid management and expedite the completion of the third stage of the Cebu-Negros-Panay backbone project (CNP3), along with the necessary structures like substations.
The project involves constructing a 238-kilometer long circuit, 230kV capacity transmission line linking Cebu, Negros and Panay islands.
The completion of CNP3 is seen to prevent prolonged power blackouts in Panay Island. It would enable power supply from Cebu to augment Panay Island’s needs in case local power plants fail./PN
