BusinessMirror October 06, 2019

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ROTARY CLUB OF MANILA JOURNALISM AWARDS

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DATA CHAMPION

MORE POWER TO CONSUMERS

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Sunday, October 6, 2019 Vol. 14 No. 361

P25.00 nationwide | 2 sections 16 pages | 7 DAYS A WEEK

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By Lenie Lectura

HE recently concluded auction of power supply contracts, via Competitive Selection Process (CSP), between the Manila Electric Co. (Meralco) and power generation companies (gencos) has changed the landscape of a bidding process, ultimately giving consumers priority over profits.

“The winners for this activity are actually the Meralco consumers,” commented Department of Energy (DOE) Director Mario Marasigan. The competitive bidding, according to one of the winning bidders, was “a well- run process.” “This is an entirely different mindset, it’s customer first. It forces us to think more creatively to use our portfolio, to use renewables,” said Phinma Energy Corp. president Eric Francia. Meralco customers are expect-

PAWEL TALAJKOWSKI | DREAMSTIME.COM

HOUSEHOLDS ARE SEEN TO ENJOY BIGGER SAVINGS AS GENCOS RALLY BEHIND MERALCO CSP PROCESS EVEN THOUGH IT SHIFTS MOST BURDENS TO THEM. ed to save P0.28 per kilowatt hour (kWh) or P9.46 billion annually for 10 years from the successful CSP, involving the supply of 1,200MW brownfield capacity. Phinma’s winning bid involves a 200-megawatt (MW) supply contract to Meralco, with an all-in headline rate of P4.745 per kwh and computed all-in levelized cost of electricity (LCOE) of P4.8849 per kwh. Two more gencos were declared to have offered the least cost rates.

San Miguel Energy Corp.’s (SMEC) bid was for 330 MW at an all-in headline rate of P4.6314 per kwh and computed all-in LCOE of P4.9299 per kwh. Meanwhile, South Premiere Power Corp.’s (SPPC) bid was for 670 MW and had an all-in headline rate of P4.6314 per kwh and computed all-in LCOE of P4.93 per kwh. Meralco said the resulting prices from this CSP are significantly lower than its generation cost today of around P5.88 per kilowatt-hour (kwh), VAT inclusive.

“It was a good experience and hopefully we will have more proconsumer bids moving forward,” Francia added.

Ball with regulators

LABAN Konsyumer Inc. president Victorio Dimagiba said the ball is now in the hands of the regulators to make sure that what Meralco claims is true. Meralco and the gencos must submit their signed PSAs to the Energy Regulatory Commission (ERC) for approval. Continued on A2

Comedians in politics just isn’t funny anymore

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By Leonid Bershidsky | Bloomberg Opinion

his is the age of comedians in politics. Even in Germany, with its largely humorless political tradition, one of them is trying to bring a floundering major party back to life.

In recent years, satirists have reached remarkable political heights. The Five Star Movement, founded by comedian Beppe Grillo, has been part of the last two Italian governments. Volodymyr Zelenskiy used the popularity of his comedy show to become president of Ukraine and to consolidate the most political power of anyone who ever held the office. Jimmy Morales joked and blustered his way to the presidency of Guatemala in 2015. Last year, Marjan Sarec, who used to mock Slovenian politicians for a living, became his country’s prime minister.

Jon Gnarr, who turned his 2010 election campaign for mayor of Reykjavik into a punk humor show, is no longer in office, but last year, the residents of Yerevan, the capital of Armenia, elected comedian Hayk Marutyan as their mayor. In Brazil in 2010, an actual clown, Francisco Everardo Oliveira Silva, received the most votes of any candidate to the parliament; in 2014, he won re-election. Last year, Silva declined to run again, saying he was “ashamed” of the professional politicians he’d had to work with. Even though President Donald

PESO EXCHANGE RATES n US 51.9500

US President Donald Trump meets with British Prime Minister Boris Johnson at the United Nations General Assembly, September 24, 2019, in New York. AP/EVAN VUCCI

Trump, UK Prime Minister Boris Johnson and Brexit Party leader Nigel Farage aren’t professional comedians, their rise in the US and the UK probably can be written down to the same reasons that are behind satirists’ victories elsewhere. As Keir Milburn from the University of Leicester wrote in a 2018 paper: Both Boris Johnson and Nigel Farage have, at least partially, adopted caricatured personas by presenting a comically limited range of characteristics. This strategy of self-caricature is risky as it invites social punishment in the form of laughter. It can, however, also be useful to politicians on a number of counts. Firstly, you get to choose the structure of your own caricature and so ensure that the satire takes place on your own terms. Secondly, the ironic distance that comes with self-caricature aids the evasion of critique. Germany, though, is a country where politics is a serious business. Continued on A2

n JAPAN 0.4860 n UK 64.0595 n HK 6.6255 n CHINA 7.2938 n SINGAPORE 37.6258 n AUSTRALIA 35.0195 n EU 56.9788 n SAUDI ARABIA 13.8500

Source: BSP (October 4, 2019 )


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