Meeting Energy Demand in Lagos

8/6/2019 Meeting Energy Demand in Lagos

http://slidepdf.com/reader/full/meeting-energy-demand-in-lagos 1/34

Meeting the Energy Needs ofLagos State

Angelo T. ReyesSecretary of Energy

Republic of the Philippines

4th Lagos Economic Summit

Lagos, Nigeria24 April 2008



“Lagosians…have great expectation that the

state stands at the threshold of a new era of

peace, progress, prosperity and securitylargely through the radical modernization of

our infrastructure. The present administration

has adopted, as a major policy thrust, theinstrument of public private partnerships and

exploring its opportunities towards the

delivery of social goods and services to thepeople of Lagos State.”

- Governor Babatunde Fashola





46.86 billionkWh

16.88 billionkWh (2005)

Electricityconsumption

53.67 billion

kWh

22.53 billion

kWh (2005)

Electricity

production

7.3%6.3%GDP growth(2007 est.)

22.518.7Median age

92,681,453138,283,240Population (2008proj.)

300,000 sq. km923,768 sq kmLand Area

PhilippinesNigeria

Comparative data from The World Factbook, compiled by the Central Intelligence Agency of the United States



152 million bbl(31 Dec 2006 est.)

35.88 billion bbl(1 Jan 2006 est.)

OilOil – –provedprovedreservesreserves

353,700

bbl/day (2004)

167,900

bbl/day (2004)

Oil importsOil imports

34,900 bbl/day(2004)

2.141 millionbbl/day (2006)

Oil exportsOil exports

340,000bbl/day (2005 est.)

302,000bbl/day (2006 est.)

OilOil consumptionconsumption

24,310 bbl/day(2005 est.)

2.44 million

bbl/day (2006 est.)

Oil productionOil production

PhilippinesNigeria




107.5 billion cu

m(1 Jan 2006 est.)

5.015 trillion cu

m(1 Jan 2006 est.)

Natural gasNatural gas--

proved reservesproved reserves

011.55 billion cum (2005 est.)

Natural gasNatural gasexportsexports



Natural gasNatural gasconsumptionconsumption

2.781 billion cu

m (2005 est.)

21.48 billion cu

m (2005 est.)

Natural gasNatural gas

productionproduction

PhilippinesNigeria




FIVEFIVE--POINT REFORM PACKAGEPOINT REFORM PACKAGE

EDUCATION AND

YOUTH

OPPORTUNITY

SOCIAL JUSTICE

AND BASICNEEDS

ENERGY

INDEPENDENCE

ANTI-CORRUPTION

THROUGH GOOD

GOVERNMENT

ECONOMIC

GROWTH AND

JOB CREATION

ENERGY INDEPENDENCEAND SAVINGS

POWER MARKET REFORMS

ENERGY SECTORAGENDA

60% SELF-SUFFICIENCYLEVEL BY 2010

FAIR AND REASONABLEENERGY PRICES IN ACOMPETITIVE ENVIRONMENT

ENERGY SECTORENERGY SECTORGOALSGOALS



Moving Towards EnergyMoving Towards EnergyIndependenceIndependence

Accelerate the exploration and developmentof indigenous oil and gas resources

Aggressively develop renewable energypotentials

Increase the use of alternative fuels

Enhance energy efficiency and conservationprograms

Form strategic alliance with other countries



Intensify search for geothermal, oil,

gas and coal resources through

continued public bid rounds and

improved service contracting

schemes

Promote and implement Philippine

Energy Contracting Rounds (PECRs)

and award service contracts

Accelerate exploration and development Accelerate exploration and development

of geothermal, oil, gas and coal resources of geothermal, oil, gas and coal resources



Advocate immediate passage of

the Downstream Natural Gas BillPursue the development ofstrategic infrastructures

Expand the utilization of naturalgas in power, transport, industry,buildings and agriculture

Establish the Philippine NaturalGas Institute

Accelerate exploration and development Accelerate exploration and development

of geothermal, oil, gas and coal resources of geothermal, oil, gas and coal resources



Aggressively develop Aggressively develop

renewable energy potentials renewable energy potentials

Pursue the immediate passage ofthe Renewable Energy BillPromote application of

environment-friendly energytechnologiesCreate a one-stop-shop forprocessing sustainable energy

projects



Increase the use of Alternative Fuels Increase the use of Alternative Fuels

Accelerate implementation of the Bio-FuelsLaw and Natural Gas Vehicle Program forPublic Transport program



Enhance energy efficiency Enhance energy efficiency

and conservation and conservation

Continue to implement the National Energy

Efficiency and Conservation Program (NEECP)Intensify campaign to switch from incandescent

lamps to CFLs

Develop Minimum Energy Performance Standards

to phase out the least efficient lamps in the

market by 2010

Expand coverage of electrical light or appliance

labeling in the Philippines

Advocate for the immediate passage of the

Energy Conservation Bill



Form strategic alliance with Form strategic alliance with

other countries other countries

Complement strengths, share experiences,exchange technologies



Wind resources – over 10,000 km² with

76,600 MW of potential installed capacity

Micro-hydro applications – potentialcapacity of at least 500 kW in Northern

Luzon & Mindanao.

Mini-hydro potential capacity of 1,784 MW

from 888 sites

Solar radiation nationwide – an annual

potential average of 5.0 - 5.1 kWh/m2/day

Ocean energy resource – potential

capacity of about 170,000 MW

Ricehull total potential of 277 MW

Bagasse total potential of 236 MW

RENEWABLE ENERGY RESOURCESRENEWABLE ENERGY RESOURCES



Increase RE-based capacityby 100% within the next 10

years (100/10)

Increase non-power

contribution of RE to the

energy mix by 10 MMBFOEin the next ten years

RE Goals

Building a Sustainable Energy Future for the Philippines

Renewable Energy POLICY FRAMEWORK



Through RE Program, theThrough RE Program, the

Philippines aims to:Philippines aims to:

Be the number one geothermal energy producer

in the world (no.2 in capacity and no. 1 in steam utilization)

Be the number one wind energy producer inSouth East Asia

Double hydro capacity by 2013 (additional

2,950 MW)Expand contribution of biomass, solar andocean energy by 131 MW



3,699.7981.3521.25998.211,2274,698Total10.00000010Ocean

-3.16415.8415.84.15811Solar

51.7556.8856.8868.25120120Biomass

391.8024.006.0425.20105417Wind

1,095.4087.178.72104.601201,200Geothermal

2,154.0090.3526.98796.008812,950Hydro

2004-2007

2004-2013

2004-20072004-2007

2004-2013

REMAININGREMAININGBALANCEBALANCE

(MW)(MW)

%%ACCOMPLISHEDACCOMPLISHED

ACCOMPLISHMENTSACCOMPLISHMENTS

(MW)(MW)TARGETTARGET

(MW)(MW)RESOURCERESOURCE

Where are we now?Where are we now?



16,324.2316,255.9815,672.3515,641.63Total

68.25000Biomass

4.1584.1584.130Solar Photovoltaic

25.225.224.950Wind

2,027.072,027.071,9321,927.95Geothermal

3,657.563,657.563,312.073,312.07Hydro

5,782.235,713.985,273.155,240.02RE Resources4,177.004,177.003,967.003,964.74Coal

2,763.002,763.002,763.002,767.54Natural Gas

3,602.003,602.003,669.203,669.33Oil

2007200620052004RESOURCE

INSTALLED CAPACITY MIX, MWINSTALLED CAPACITY MIX, MW



INSTALLED GENERATING

CAPACITY (MW), 2007

Natural Gas2,763.00

17%

Oil3,602.00

22%RE

Resources

5,782.23

35%

Coal

4,177.00

INSTALLED CAPACITY MIX, 2007INSTALLED CAPACITY MIX, 2007

RE-INSTALLED CAPACITY (MW), 2007

Hydro

3,657.56

64%

Geothermal2,027.07

35%

Solar

Photovoltaic

4.158

0%

Biomass

68.25

1%

Wind25.2

0%



POWER GENERATION MIXPOWER GENERATION MIX

* 2007 Generation Mix is based on preliminary data

Self Sufficiency Level

2006 = 65%

2007 = 66%

1 7 . 5 %

1 4 . 4 0

%

0 . 1 %

0 . 1 0 %

2 6 . 9 % 2 8

. 3 0 %

8 . 2 %

8 . 6 0

%

2 8 . 8 %

3 1 . 5 0

%

1 8 . 4 %

1 7 . 1 0

%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%

35.00%

H y d r o W i n d & S o l a r

C o a l O i l B a s e d

N a t u r a l G a s

G e o t h e r m a l

2006

2007





PLANT TYPE Installed(MW)

% Share

Oil-based 3,616 23

Hydro 3,289 21Geothermal 1,958 12

Coal 4,213 26

Natural Gas 2,834 18

Wind 25 0.16

Solar 1 0.01Total 15,937 100

POWER GENERATIONPOWER GENERATION

Note:

Installed Capacity for NPC/NPC-IPP as per NPC PowerEconomics Dept. data. Dependable capacity of NPC/NPC-IPP

based on 2007 NPC Eligible Generating Capacity as of July 2007.Peak Demand as of October 2007 per TransCo S.O. (Luzon –May, Visayas – August, Mindanao – September) as of April 2008

STATUS OF EPIRASTATUS OF EPIRA



Moving Toward a Competitive Power Market

Status of EPIRA Implementation

Inter-Grid Sept. 2002

Intra-Grid Oct. 2005Inter-Class Oct. 2005 Complied with.

Rates are

Structured andUnbundled.

Complied with.

UNBUNDLINGUNBUNDLING

CROSSCROSS--SUBSIDY REMOVALSUBSIDY REMOVAL

• Privatization level at 49% out of the 70% required

•

TransCo Concessionaire Awarded• By end-2008: To Offer 2,732.03 MW

• By end-2009: To Offer 2,215 MW

• By 1Q 2010: To Offer 235.2 MW

•

IPP Administrator tender by August 2008

• Luzon Commercial Operation in June 2006•

On-going assessment and preparation for WESMVisayas launch

On-going.

Complied with.

WESMWESM

PRIVATIZATIONPRIVATIZATION

OPEN ACCESS AND RETAIL COMPETITIONOPEN ACCESS AND RETAIL COMPETITION

STATUS OF EPIRASTATUS OF EPIRA

IMPLEMENTATIONIMPLEMENTATIONMOVING TOWARD A

COMPETITIVE POWERMARKET

MOVING TOWARD ACOMPETITIVE POWER

MARKET





Power Plant Privatization:Power Plant Privatization:

On TargetOn Target

≈ 97% privatized4,3362009

100% privatized235.22010

70-75% privatized3,035-3,2522008

45-50% privatized1,951-2,1682007

LEVEL OFPRIVATIZATION

CAPACITY (MW)YEAR

Power Plant Coverage: Operating, Decommissioned, and NPC-IPPs



Power Development Scenario Power Development Scenario

LUZON : 1,950 MW (2011-

2014)

VISAYAS : 820 MW

(2010-2014)

MINDANAO : 950 MW(2009-2014)

Total Additional Capacity Needed - 3,720 MWTotal Additional Capacity Needed - 3,720 MW

608.25 MW

566 MW

92.5 MW

Committed

735.5 MW

333 MW

3,188 MW

1,266.8 MW

Indicative

4,256.5 MW

AsNew

Entrant

INVESTMENT OPPORTUNITIESINVESTMENT OPPORTUNITIES



Make electricity rate more affordable

Meet electricity demand anywhere

Maintain an environment conducive toprivate investments

Promote clean energy and energyefficiency

POWER SECTOR CHALLENGESPOWER SECTOR CHALLENGES



Pursue full privatization of the remaining NPC

assets and contracted energy outputsAccelerate implementation of open access and

retail competition; to start in economic zones

Ensure better targeting and implementation of

subsidies for the poor and facilitating industry

competitivenessIntensify public sector involvement in reform

process

Make Electricity Rate AffordableMake Electricity Rate Affordable

and Competitiveand Competitive



Aim for 100% village electrification by 2009

Intensify household electrification

Expand private sector participation in rural and

missionary areas

Meet Electricity Demand AnywhereMeet Electricity Demand Anywhere



Maintain an environment conduciveMaintain an environment conducive

to private investmentsto private investments

Ensure sufficient, stable and accessible energy supply

meeting quality and safety standards

Provide a level-playing field in the conduct of business

Encourage investment in efficient and economic modesof energy marketing and distribution

Promote investment in strategic energy infrastructure

Encourage greater private sector investments and

participation through market-based incentives



Promote private sector investment in green power

generation

Carry out demand side management program

Support climate change awareness campaign

Promote clean energy andPromote clean energy and

energy efficiencyenergy efficiency



Extensively employ social mobilization tostrengthen stakeholders’ participation in planning,

implementing and monitoring, energy plans and

programsAdopt efficient use of energy as a way of life

Refine program monitoring systems

Sustaining best energy practicesSustaining best energy practices



Date post:	07-Apr-2018
Category:	Documents
Upload:	iyanda-seun
View:	220 times
Download:	0 times

Meeting Energy Demand in Lagos

Documents