What is ILP?
The Interruptible Load Program (ILP) is a program established by the Department of Energy (DOE) and the Energy Regulatory Commission (ERC) to help mitigate the energy supply deficiency in the Philippines until new capacities become available on the grid. Companies with stand-by generation capacities who participate in the ILP will be compensated under this program should they use their own generating facilities during instances of power supply deficit. The ILP in Mindanao region started in 2010 and in the Visayas and Luzon region in 2014 (?). The ILP has been found successful in alleviating tight power supply situations.
How long will this program be implemented?
The ILP is going to be implemented during times of power supply shortage, such as what is forecasted for the summer of 2015.
Benefits for participating in the ILP
Companies who participate in the ILP will be compensated for their actual variable charges incurred (i.e., fuel cost) plus a certain margin, as will be agreed upon by the participating company and the Distribution Utility (DU).
Implications of joining the ILP
Companies who will participate in the ILP will be asked by the DU to “de-load” for particular hours in a day when the power supply in the grid will not be enough for the power demand. “De-loading” will mean having to run its embedded stand-by generation sets to provide for its own electricity requirements.