BY MADELAINE B. MIRAFLOR
The Brown Co. Inc. (A.Brown), through its unit Peakpower Energy Inc., has sealed a power purchase deal with a local cooperative to help ease the power shortage in Mindanao.
In a statement, A. Brown said that to help ease the power shortage in Mindanao, it signed an electric power purchase agreement with Agusan del Sur Electric Cooperative Inc. (Aselco).
Both parties agreed on the installation and operation by Peakpower of a complete and fully operational 5-megawatt (MW) bunker fired-power plant within Aselco’s franchise area.
The agreement is still subject to Energy Regulatory Commission approval.
Aselco Board President Joel Jumonong said the proposed power project is timely since the cooperative is in immediate need of generating capacity for its peaking requirements.
“We need this to fulfill our mandate and to address the adverse effects of the electricity crisis in our area,” he said.
A. Brown cited that currently, the whole of Mindanao is experiencing power shortage from the curtailment of power generation capacities by the National Power Corp. and the Power Sector Assets and Liabilities Management Corp.
“The shortage is most severely felt during hours of the day when power demand is at its peak,” A. Brown said.
Aselco is mandated to provide reliable power supply for consumers in its franchise area.
The cooperative has the exclusive franchise to own and operate a system for the distribution of electricity in Bayugan City and the municipalities of San Francisco, Prosperidad, Rosario Trento, Bunawan, Veruela, Santa Josefa, Loreto, Sibagat, Esperanza, Talacogon, La Paz and San Luis, all in Agusan del Sur province.
A. Brown has interests in power, real estate, agribusiness and investments in listed companies.
Through its subsidiary Palm Thermal Consolidated Holdings Corp., the firm is also involved in the development of the 135-MW coal-fired power plant project in Concepcion, Iloilo.