DoE considering penalties for power outages

THE Department of Energy (DoE) is considering the imposition of penalties on generation companies if they are found to be at fault in causing an unscheduled power shutdown.

“We’re looking at the causers pay policy,” Energy Undersecretary Felix William B. Fuentebella told participants of IBC Asia’s Power and Electricity Week, a two-day conference at Solaire Resort and Casino in Parañaque City.

He said the policy aims to look into the cause of the unplanned power interruptions or outages, and the entities responsible for it.

“We have load interruptions caused by the forced or the unplanned outage of some of the plants. So we want to look at how to make them accountable,” he said.

He said the assessment would look into whether the unscheduled shutdown was done on purpose, caused by negligence — whether gross or simple, as well as the accountability of the power plant’s board members, considering their response to the problem and their competence.

“It’s basically addressing that level of responsibility to the entire system,” he told reporters, when pressed further on the DoE’s proposal.

He said the policy is needed because the cost of the outages is eventually passed on to consumers, resulting in the burden being shared by all despite the problem being caused by one or a few.

He said the penalty would still be subject to discussion.

“It’s a policy that we will look into with the ERC (Energy Regulatory Commission), and have it tested [on the] players [on its] effect to them,” he said. —