The Department of Energy (DOE) has issued an advisory to stakeholders to participate in the trial operations of the country’s energy reserves market.
In an advisory signed by DOE Secretary Raphael Lotilla and released on Monday, the agency notified energy stakeholders of the approval by the Energy Regulatory Commission of the price determination methodology and the successful conduct of trial operations by the market operator, system operator and Wholesale Electricity Spot Market (WESM) participants.
The DOE said since the Independent Electricity Market Operator of the Philippines (IEMOP) signified its completion of preparatory activities, trial operations of the energy reserves market are ready to start.
However, the agency said the trial operations will be “non-binding” but will serve as a test for all participants in terms of market systems for registration, scheduling, dispatch and pricing, metering, cost recovery and settlement, including interfaces of IEMOP, the National Grid Corporation of the Philippines (NGCP) and ancillary services (AS) providers.
The DOE said results of the trial operations will not be used commercially for scheduling, dispatch, settlement and cost recovery. IEMOP said it has informed all generation companies accredited as AS providers they are mandated to register in the WESM and participate in the trial operations planned for the next three months prior to the target launch of the reserves market by September 26.
AS serve as the available generating capacity for dispatch to meet contingency reserve requirements when a power generating unit trips or a transmission interconnection problem occurs.
