AboitizPower ready for open access

Open access will complete power industry's shift to a market driven environment.

The Aboitiz group, the Philippines' biggest power producer by installed capacity, said it looks forward to the implementation of an "open access" regime in the energy sector that will complete the industry’s shift to market-driven from monopolistic.

Under the Open Access regime, large power users will be able to choose their own suppliers. Currently, they are limited to the supplier that holds the franchise over their areas.

Mandated by the Electric Power Industry Reform Act (Epira) of 2001, the Open-Access regime is expected to spur competition among players.

AboitizPower expects to expand its market and diversify its customer base under the Open Access regime in the energy sector.

“From a regulated, monopolistic industry, the power industry will complete its transformation into a competitive, market-driven one," said Erramon Aboitiz, president and chief executive officer of Aboitiz Equity Ventures.

"In AboitizPower, we view this development as a chance to not only expand our markets, but to diversify our customer base."

He said AboitizPower is ready for a more competitive business environment and has prepared for it.

“We await the implementation of the first phase of Open Access this coming June. We believe we have taken the necessary steps to prepare to compete from a position of leadership and strength."

He hopes that contestable customers will be willing to sign long-term contracts with suppliers to make it easier for generation companies to build additional capacity.

AboitizPower plans to invest up to P125 billion in the power sector, higher than the original plan of P85 billion, in the next 5 years, doubling its capacity.