WESM turnover to operator nearly complete
INTERIM INCORPORATORS NAMED
THE process of turning over the electricity spot market to an independent operator as mandated by law is closer to being completed, with the Energy department announcing the names of its interim set of incorporators.
The incorporators, said Energy Secretary Alfonso Cusi, are former energy regulators Oscar Ala and Raul Tan, former Energy Regulator Commission ( ERC) executive director Francis Saturnino Juan, Jose Mari Bigornia, Jose Layug, Ann Matibag who will be the chief of staff of the transition
committee, and Carroll Tang.
the interim set of incorporators would step down by June to give
The Independent Market Operator (IMO) for the Wholesale Electricity Spot Market (WESM), where power is traded as a commodity, will be completed by June 30.
Prior to this, a stockholders’ meeting will be held to elect the IMO board, the Philippine Electricity Market Corp. (PEMC) board and the PEMC president.
PEMC, which runs the WESM, will retain the governance aspect
The creation of a new independent market operator (IMO) for the Wholesale Electricity Spot Market ( WESM) is finally happening after 16 years, with the incorporators identified. In photo are (L-R) Energy Undersecretary Felix William Fuentebella, Energy Secretary Alfonso Cusi and Transition Committee and Chief Operating Officer Francis Saturnino Juan. of the spot market.
Juan said SGV & Co. will help come up with the organization structures both for the new WESM operator and the PEMC board.
Earlier that day, WESM members convened to decide on the IMO transition plan, which comes for
Among those present, 81.3 percent backed the IMO transition plan while those who voted against it reached only 0.002 percent. Abstentions accounted for 0.003 percent, while 18.5 percent of those present did not cast their vote.
The move toward relinquishing the Philippine power spot market’s operations to an entity separate from the PEMC comes 16 years after the approval of Republic Act 9136, or the Electric Power Industry Reform Act of 2001 (Epira).
Under the Epira, the creation of an IMO should come one year after the establishment of the WESM, to ensure transparency and accountability in the spot market’s operations.