Mindanao official files case vs DoE, EDC execs

MANILA, Philippines—A local government official from Mindanao has filed a case involving the use of geothermal energy against the top officials of energy agencies as well as the board of directors of Energy Development Corp. (EDC).

In a disclosure to the Philippine Stock Exchange, EDC said it had received a copy of the civil case filed by Kidapawan City Vice Mayor Joseph A. Evangelista, in his capacity as a taxpayer and end-user of electricity, with the Regional Trial Court of Kidapawan City.

Named respondents were Energy Secretary Jose Rene D. Almendras; Froilan A. Tampinco, president of National Power Corp.; Emmanuel Ledesma Jr., president of Power Sector Assets and Liabilities Management Corp.; and EDC president Richard B. Tantoco, along with the company’s board of directors.

According to EDC, the petition sought to enforce the provisions of Republic Act No. 7638, or the DOE Act of 1992; RA No. 9136, or the Electric Power Industry Reform Act; and Energy Regulations No. 1-94, mandating direct benefits to local government units hosting energy resources and/or energy generating facilities.

Evangelista cited the recurring power outages in Kidapawan City as the reason for compelling the respondents to allocate up to 25 percent of the total capacity being generated by the geothermal power plants of EDC in Mt. Apo, equivalent to roughly 26 megawatts, for the host communities.

This capacity will be used to serve the requirements of the Cotabato Electric Cooperative Inc.

The total installed capacity of the Mt. Apo geothermal facility stood at 108.5 MW but the available capacity is lower at 92 MW.

However, the Lopez geothermal affiliate, which is the country’s largest producer of geothermal energy, stressed that under the existing Power Purchase Agreement, EDC is “merely obligated to deliver the electric power generated by the Mindanao I and II geothermal power plants to Napocor.