INEC to bid out 20-year power supply contract

By Dominic B, dela Cruz

Staff reporter

Dingras, Ilocos Norte—In a move to secure their power supply for the next 20 years, the Ilocos Norte Electric Cooperative (INEC) is set to bid out a power contract for the specified period.

INEC general manager Engr. Felino Herbert Agdigos said they came to this decision after they were able to identify their long-term plan in the joint competitive procurement for power supply.

Mr. Agdigos said there will be bidding to be for all power suppliers who are interested and seven of them have confirmed their interest and participation. They are AES Power, GN Power, SO Power, Meralco Power Gen., FIRST Gen., Global Power and Trans Asia.

INEC gave three months for these bidders to submit their requirements for the bid proposals.

Mr. Agdigos explained that thru bidding, the lowest cost or price of electricity will automatically win and get the 20-year power supply for INEC.

INEC also plans to ask the winning bidder to construct a power plant in the province to ensure enough power supply for the cooperative.

Mr. Agdigos stressed that INEC will become more secured in terms of electricity supply if this plan pushes through as this would mean a 100% power supply for the whole province in 20 years.

INEC based the power supply contract in the projected demand for 2023. If the demand for 2023 is 50 megawatts, then INEC would ask the winning bidder to provide this for the next 20 years.

The 20-year supply contract begins on 2019 up to 2039. The four years’ interval is to give time for the winning bidder to build more power plants that would be connected to the Luzon grid.

In 2014, INEC distributed at least 240 million kilowatt-hours in electricity and they project the demand to be 250 million kilowatt-hours for 2015.

Currently, INEC sources 90 percent of its power needs from SMEC with the remaining 10% sourced from WESM.

Meanwhile, Mr. Agdigos explained that power outages remains inevitable especially during calamities.

Aside from this long term plan, INEC also identified medium- and small-term plans for this.

Among them are the re-conductor of line from Laoag to Pagudpud, the establishment of a Pinili sub-station as well as additional collection centers in Batac and the establishment of additional facilities at their Barangay 1 Laoag sub-station.

INEC is also set to upgrade its mini-hydro plant in Pagudpud, Ilocos Norte.

The Pagudpud mini-hydro was constructed 30 years ago and now needs maintenance to prolong its life.

At present, it has only two turbines working from the original five because it could not really operate the five turbines because of limited water supply being produced.

This is the reason INEC plans to upgrade the equipment of these two working and operational turbines.