Off-grid areas hybridization urged

The National Power Corp., or Napocor, along with other power sector players, should fast-track the hybridization of power supply in remote areas to shield consumers from volatilities in the global market as well as cut dependence on imported fuel.

“It’s important for the government to facilitate an accelerated hybridization of off-grid areas to enable small power utilities groups, or SPUG, to provide affordable electricity rates for the benefit of consumers,” Senator Sherwin Gatchalian said on Friday.

Increase RE volume

“Hybridization would help increase the volume of renewable energy and thus would help ensure energy efficiency and security, which are vital in jumpstarting economic development in these areas,” he added. The lawmaker sits as vice-chairman of the Senate Committee on Energy.

To recall, Napocor proposed another round of higher power rates in off-grid areas amid higher fuel costs. Once approved, it will result in a higher electricity rate of P9.7068 per kilowatt-hour, or kWh—17.54 percent higher than current rates.

Fulfill commitment

Gatchalian emphasized that the NPC should fulfill its commitment to focus on hybridization and veer away from buying new diesel generator sets. As per NPC, hybridization is expected to result in savings ranging from P0.75 to P1/kWh.

The NPC currently operates at least 281 mostly diesel-fired SPUG power plants across the country.