ECONOMIC LOSSES. Businesses in Iloilo City use generator sets to continue with their operations amid the ongoing power outage on Thursday (Jan. 4, 2024). The city government said economic losses caused by the three-day power failure has been estimated at PHP1.5 billion. (Photo courtesy of City Mayor’s Office)
ILOILO CITY – Iloilo City has incurred an estimated PHP 1.5 billion in economic losses due to the power outage that started on Jan. 2, a city official said on Thursday.
“Our estimate is PHP400 million to PHP500 million a day, which will translate to PHP1.2 billion to PHP1.5 billion in three days. Our basis is our 2022 annual gross domestic product, which is the total output of our economy, which is PHP145 billion, plus the intermediary or the primary processes, according to Mayor Jerry P. Treñas,” Local Economic Development and Investment Promotion Office (LEDIPO) head Velma Lao said in an interview.
The official said she validated the estimated losses with the private sector and the Philippine Statistics Authority, which both concurred with the process used in the computation.
Lao added that if the power failure was just for one day, then it would be easy for businesses to bounce back.
However, generator sets utilized by establishments could not hold long because it would also impact their operational expenses.
“In the long run, when alternative power sources fail, then eventually it will cause business to stop. Good, stable, and sufficient power supply is an element in starting a business,” Lao said.
Lao said the service sector is among the most affected, with some principals of business process outsourcing firms based in the city already expressing their worries to the city government.
“The impact is really grave, so there is a need to restore power as soon as possible,” she said.
Meanwhile, More Power and Electric Corporation (MORE Power), in a 4:37 p.m. advisory, said power has already been restored in 41.59 percent of its franchise area.
However, it said that there are rotational loading and manual load dropping based on the clearance from the National Grid Corporation of the Philippines (NGCP).
NGCP has served 246.3 megawatts (MW) consisting of 210.6 MW from Panay power plants and augmented by 35.7 MW from other sources in the Visayas.
It continues to wait for the Palm Concepcion Power Corporation (PCPC) to synchronize or connect to the grid, which can provide 135 MW.
In a separate interview, PCPC Vice President for Operations Engr. Albino Kintanar said they expect to get online at about 10 p.m. on Thursday.
“Our capacity is 135 megawatts, and assuming there are no concerns in the plant during our ramping up, then we will be able to deliver 135 MW,” he said.
Kintanar said it took them long to connect to the grid because they have no black start capability and they need power from the NGCP to restart.
“As of to date, if there are no hitches, we hope we will be back online tonight at about 10 p.m. to 12 midnight. Hopefully, earlier if ever, and by then, this will slowly ramp up to add power to the Panay grid,” he said. (PNA)
