VECO-APO Cement sign PSA

A Power Supply Agreement between Visayan Electric Co. and CEMEX Philippines, through its APO Cement Corporation, is expected to help minimize power interruptions due to power supply shortage in the Cebu-Negros and Panay (CNP) grid.

The one-year interim power supply agreement allows CEMEX to supply VECO and the grid excess electricity from its own generating units. An additional 10 MW of power from a diesel fuel plant in the APO compound will be supplied during peak power demand hours.

Although power generation is not the core business of CEMEX, offered to supply VECO with its excess generation capacity in order to help address the power shortage in the province. This is also part CEMEX’s continuing commitment to help sustain the progress and development of Cebu.

This is especially helpful in view of the tight power supply situation in the CNP grid. The agreement will help address the power shortfall experienced by VECO’s customers in the past weeks. It will ensure the continued growth of Cebu by making reliable and efficient electricity available to commercial, industrial and residential users at all times.

At the moment, the power supply shortage is mitigated by VECO’s Interruptible Load Program (ILP) with big power consumers. These customers deload from VECO’s system during these shortages and run their own power generation units. They help spare a greater majority of the consumers from inconvenient power interruptions due to lack of power supply.

After the signing, the agreement will then be submitted to the Energy Regulatory Commission for approval.

CEMEX is a global building materials company that provides high-quality products and reliable service to customers and communities in more than 50 countries throughout the world. CEMEX has a rich history of improving the well-being of those it serves through its efforts to pursue innovative industry solutions and efficiency advancements and to promote a sustainable future.