BLACKOUTS LOOMING? The country's biggest power distributor warns of power shortages. Photo from AFP

MANILA, Philippines - The top official of Manila Electric Co. (Meralco), the country's biggest power retailer, warned of a possible power shortage in Luzon in the next 3 years.

This is if no new power generating plants are installed, explained Manuel V. Pangilinan, Meralco chair, at the Philippine Investment Summit 2013 on Wednesday, January 30.

"We do need more power plants in the country. The margin of (supply) safety in Luzon is very very tight. and unless we fire up our coal-fired plants, we will experience brownout in Luzon," Meralco chairman Manuel Pangilinan said during yesterday's Philippine Economic Summit 2013.

"We anticipate that there would be increasing tightness from 2013 to 2016 until new power generating plants come in," said Meralco president Oscar Reyes, who attended the same event in Makati City.

The Philippines needs another 3,000 megawatt (MW) capacity in the next 5 years, based on the Philippine Energy Plan. "There would be shortfall," Reyes said, adding that it takes 3 to 5 years to build a power plant facility.

Meralco posted a 7.1% increase in power sales in 2012. Industrial, commercial and residential sales volume respectively grew by about 11%, 6% to 6.5%, and 4% to 4.5%. - Rappler.com