Greener Energy Option for Customers
Select Meralco Customers Can Soon Pick Greener Energy Option
Qualified customers of Meralco probably know by now if they can opt to go greener.
By Cris Laraño
Published November 12, 2021
Meralco has committed to secure more renewable energy contracts and build its own power plants that tap renewable sources, of which includes solar.
Meralco customers who are eligible to participate in the government’s Green Energy Option Program (or GEOP) will have been notified through their October electricity bill at the earliest, and will be notified on a monthly basis thereafter, said Sheryl A. Castro, Head of the Competitive Market Group of Meralco, through webinars held for large corporations on October 15 and small and medium enterprises on October 22.
What is the Green Energy Option Program (GEOP)?
GEOP is one of the four mechanisms under the Renewable Energy Act (RA 9513), which empowers the eligible customers to choose a purely renewable energy resource to meet their energy requirements. It is envisioned under the Act that GEOP will encourage the development and utilization of RE resources as tools to effectively prevent or reduce harmful emissions and thereby balance the goals of economic growth and development with the protection of health and the environment, among other things. GEOP will take effect on December 4 this year.
Who are qualified to join GEOP?
All existing customers with a monthly average peak demand of 100 kilowatts (kW) and above for the past twelve (12) months are qualified to opt in the program.
Newly connected customers (less than 12 months) may also join if they have an estimated monthly average peak demand of 300kW and above for the next 12 months or an estimated monthly average peak demand of 100kW to 299kW for the next 12 months and have a registered historical monthly peak demand of at least 100 kW for 3 consecutive months.
These customers would just have to inform their distribution utility of their intent to join GEOP to provide adequate time for the preparations to switch to the GEOP market.
GEOP as part of the roadmap to Clean and Affordable Energy
With this green option “end users can share in the growth of renewable energy,” Mylene C. Capongcol, Director of the Department of Energy’s Renewable Energy Management Bureau, told the virtual forum. She said the roadmap drawn by the DOE envisages renewable energy to account for 35% of the Philippines’ power generation mix by 2030 and 50% by 2050.
Director Capongcol said the DOE already has a list of 14 renewable energy suppliers ready to operate and serve the GEOP market with more applications for certification so they could participate in this fast-growing market.
More Renewable Energy Sources Sprouting in the PH
Funding for coal-fired power plants are starting to dry up as more advanced countries push for renewable energy alternatives to address environmental concerns and the challenge of climate change. In the Philippines, Meralco has committed to secure more renewable energy contracts and build its own power plants that tap renewable sources, of which includes solar.
Lawrence S. Fernandez, Vice President and Head of Utility Economics at Meralco, said the power distributor already has existing contracts with First Gen for its geothermal and hydroelectric power plants, as well as with BulcanSol for the electricity produced from its 50-megawatt (MW) solar farm. “Meralco will definitely have more renewable energy supply in the coming years,” he said.
Meralco President and CEO Atty. Ray C. Espinosa had announced earlier this year that the group will contract or build its own additional renewable energy capacity totaling 3,000 MW within the next seven years as part of the company’s sustainability agenda.
Renewable energy rates becoming more competitive
Sharon O. Montañer, Director for Market Operations Services at the Energy Regulatory Commission, said that consumers within the Luzon and Visayas grid, and covered by the Wholesale Electricity Spot Market, who are seeking greener energy alternatives, could now look at those available in the market and ask their distribution utilities to be enrolled in the GEOP.
“Renewable energy rates are now competitive compared to blended rates from distribution utilities,” said Montañer.
Capongcol said the rules also require distribution utilities to ensure consumers under the GEOP would not suffer from power outages in case the renewable energy supplier cannot provide electricity for whatever reason.
Ma. Cecilia M. Domingo, Vice President and Head of Meralco’s Corporate Business Group said that “Meralco is committed to supporting the government’s ambitious sustainability efforts such as the Energy Efficiency and Conservation Law and the Green Energy Option Program. And while our country is still in the midst of battling COVID-19, all the more we need to work together and more importantly learn from each other to achieve much needed economic recovery.”
Watch the full recording of the webinar here:
To learn more about GEOP, you may visit the ERC website at www.erc.gov.ph.
To learn more, contact your Relationship Manager, call 16210 or email us at corporatepartners@meralco.com.ph.
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Story originally posted on Power Club.