“The continuing Yellow and Red Alerts [in the Luzon grid] being experienced today may

eventually lead to a serious power supply shortage in the next few years”

This year, National Grid Corporation of the Philippines issued a red alert—when demand was
likely to exceed available generating capacity—as early as April 10 due to forced and
unplanned outages of several coal-fired plants and capacity de- rating.

The ever-growing demand for electricity, but without the approval of contracts that allow the
construction of new electricity generators, may see “serious power supply shortage in the next
few years,” according to Manila Electric Co. chair Manuel V. Pangilinan.

Production of electricity relies on renewable resources

Dangers of that