An Update of CEPALCOs Power Supply Condition

As of March 29, 2012

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NGCPs Mindanao Grid Power Situation Update as of Feb.20, 2012:

Actual Lake Lanao Elevation as of Feb.20, 2012 is 700.73Meters against the 699.15Meters Critical Operating Level for Agus hydro plants Mindanao Grid Total Capacity as of Mar.27, 2012
Plant Type HYDRO COAL GEOTHERMAL DIESEL Total: Installed Capacity, MW 982 210 108 397 Peaking Capability, MW 678 200 97 135

1,697

1,110

Mindanao grid demand peak forecast is at 1,347MW for CY 2012 as per DOE.
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 Pulangi [3 x 85 = 255MW] Hydro Electric Power Plant shutdown on April 09 May 09, 2012 for Preventive Maintenance. Actual dispatchable capacity for Pulangi 4 HEP as of March 21, 2012 is only 30MW.

DAILY NGCP SYSTEM ADVISORY VIA SMS MESSAGES:

Date February 25, 2012 February 26, 2012 February 27, 2012 Time 10:00am - 5:30pm 5:30pm - 9:00pm 5:30pm - 9:00pm 9:30am - 5:30pm 5:30pm - 10:00pm February 28, 2012 9:30am - 5:30pm 5:30pm - 10:00pm February 29, 2012 9:30am - 5:30pm 5:30pm - 10:00pm March 1, 2012 March 2, 2012 March 3, 2012 March 4, 2012 March 5, 2012 March 6, 2012 March 7, 2012 March 8, 2012 March 9, 2012 9:30am - 5:30pm 5:30PM - 10:00pm 9:30am - 10:00pm 9:30am - 10:00pm 5:30am - 10:00pm 9:30am - 10:00pm 9:30am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm Mindanao Grid Deficiency, MW 210 270 180 210 270 240 300 240 300 240 300 240 240 240 240 240 240 240 240 System Condition RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT Reason Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency

March 10, 2012 March 11, 2012 March 12, 2012 March 13, 2012 March 14, 2012 March 15, 2012 March 16, 2012 March 17, 2012

9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm

240 240 240 240 240 240 240 280

RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT

Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency

March 18, 2012

March 19, 2012 March 20, 2012 March 21, 2012 March 22, 2012 March 23, 2012 March 24, 2012 March 25, 2012 March 26, 2012 March 27, 2012

9:00am - 10:00pm
9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 10:00pm 9:00am - 5:30pm 5:30pm - 10:00pm

240
240 240 240 320 240 240 200 240 240 360

RED ALERT
RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT RED ALERT

Contingency reserve is ZERO due to generation deficiency

Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency

March 28, 2012

9:00am - 5:30pm
5:30pm - 10:00pm

280
240 200

RED ALERT
RED ALERT RED ALERT

Contingency reserve is ZERO due to generation deficiency

Contingency reserve is ZERO due to generation deficiency Contingency reserve is ZERO due to generation deficiency

March 29, 2012

9:00am - 10:00pm

National Power Corporation

LOAD TO MAINTAIN against MINDANAO GRID SYSTEM DEFICIENCY
for the month of MARCH 2012 Mindanao Power Customers

DISTRICT 3 - NORTHERN CENTRAL MINDANAO AREA

Load to Maintain in MegaWatts ( Mindanao - A ) MARCH 2012 CONTRACTE CUSTOMER NAME D DEMAND, 40 kW D3 - NCMA BUSCO DMPI - Plantation ECAC MENZI ** MSMC * PHIL SINTER CEPALCO BUSECO CAMELCO FIBECO MORESCO-I MORESCO-II
* Temporary Shutdown ** Exprired Contract

System Deficiency LOAD TO MAINTAIN (MW) 80 162.21 0.2 1.4 9.6 0.0 0.0 7.1 107.1 13.1 2.4 21.21 20.5 10.8 120 156.21 0.2 1.4 9.2 0.0 0.0 6.8 103.1 12.7 2.3 20.42 20.0 10.5 160 150.33 0.2 1.4 8.9 0.0 0.0 6.5 99.2 12.2 2.2 19.64 19.4 10.2 200 144.33 0.2 1.4 8.5 0.0 0.0 6.3 95.2 11.7 2.1 18.85 18.9 9.9 240 138.34 0.2 1.4 8.2 0.0 0.0 6.0 91.2 11.2 2.0 18.07 18.3 9.7 280 132.44 0.2 1.4 7.8 0.0 0.0 5.8 87.3 10.7 1.9 17.28 17.7 9.4 320 126.56 0.2 1.4 7.5 0.0 0.0 5.5 83.3 10.2 1.9 16.50 17.2 9.1 360 120.51 0.2 1.4 7.1 0.0 0.0 5.2 79.3 9.7 1.8 15.72 16.6 8.8 400 114.77 0.2 1.4 6.8 0.0 0.0 5.0 75.4 9.3 1.7 14.93 16.1 8.5

174,032 244 1,449 10,298 7,590 115,000 14,120 2,554 22,777 21,662 11,421

168.00 0.2 1.4 9.9 0.0 0.0 7.3 111.0 13.6 2.5 21.99 21.1 11.1

NEIGHBORING COOPS of CEPALCO

Prepared by:

GIL Z. CESAR Manager (MCRO-A) MCRD-Mindanao Area, NPC

ABELARDO S. SAPALARAN Manager, Electricity Trading Department PSALM Corporation

PEDRO C. AMBOS, JR. OIC-Department Manager OPD-MINGEN, NPC

MAXIMO K. ADIONG Head, Network Operations Division NGCP

CEPALCO EMBEDDED GENERATORS

COMPANY
First Gen Bukidnon Power Corp (FGBPC) CEPALCO Solar (PV) Plant MINERGY Total Capacity: CABULIG HYDRO POWER PLANT * On line by July 2012 Bubunawan Power Corporation (BPC) ** For Rehabilitation (Damaged by typhoon Sendong) GENERATING CAPACITY, MW 1.6 1.0 44.4 47.0 8.0 8.0

ACTUAL CEPALCO SYSTEM POWER AVAILABILITY

Curtailment Level @ Grid Deficiency, MW
200 CEPALCO Load to Maintain @ Grid Deficiency, MW CEPALCO Imbedded Generation, MW TOTAL CEPALCO Available Capacity, MW 95.20 47.00 240 91.20 47.00 280 87.30 47.00 320 83.30 47.00 360 79.30 47.00 400 75.40 47.00 440 71.40 47.00 480 67.40 47.00 520 63.40 47.00

142.20 138.20 134.30 130.30 126.30 122.40

118.40 114.40 110.40

CEPALCO Peak Demand, MW

115 120 125 130

Available Capacity vs. Peak Demand : OVER / (SHORT)

27.20 22.20 17.20 12.20 23.20 18.20 13.20 8.20 19.30 14.30 9.30 4.30 15.30 10.30 5.30 0.30 11.30 6.30 1.30 (3.70) 7.40 2.40 (2.60) (7.60) 3.40 (1.60) (0.60) (5.60) (4.60) (9.60)

(6.60) (10.60) (14.60) (11.60) (15.60) (19.60)

Note: 440MW to 520MW Grid Deficiency is extrapolated based on March 2012 Matrix as provided by NGCP at w/c CD of CEPALCO is 115MW. April 2012 CD of CEPALCO is 121MW hence expectedly the Load to Maintain by CEPALCO will be improved. Extrapolation is done since NGCP did not yet provide their April 2012 Matrix

 Based on CEPALCOs System Power Availability Matrix, CEPALCO will experience a power shortage at 360 MW Mindanao Grid Deficiency when its System Peak Demand reaches 130 MW CEPALCO will have a power shortage of 19.6 MW if the Grid Deficiency will reach 520 MW at a CEPALCO System Peak of 130 MW. CEPALCOs System Peak as of March 2012 is 125 MW

Interruption Hours in other Areas

as of March 30, 2012

Butuan City and Agusan Norte Areas : 1 to 2 hours per area, only once this week Agusan Sur Areas : 1 to 3 hours per area, once this week Gingoog Areas : 2 to 3 hours per area, twice this week Iligan City : 1 to 2 hours per area, once this week Lanao Norte Areas : 1 to 2 hours per area, twice this week Lanao Sur Areas : 2 to 3 hours per area, twice this week Zamboanga Areas : 1 to 3 hours per area, once this week Bukidnon Areas : 2 to 3 hours per area, twice this week MORESCO 1 Areas : 1 to 2 hours per area, once this week Surigao Areas : 1 to 2 hours per area, twice this week CEPALCO : None

CEPALCOS CONTINGENCY PLAN

In order to prevent rotating power outages within CEPALCOs franchise area CEPALCO initiated an Interruptible Load Program (ILP) with the cooperation and partnership with its bulk power customers. The ILP is a basically a voluntary load reduction program.

 The following customers have signified their enrollment to the ILP totaling a potential of generation capacity of 23.30 MW:
o o o o o o o o o o LKKS CENTER LKKS MILLING GAISANO DEL MONTE MITIMCO ALWANA CAG. CORN RI CHEM PKI SM CITY 7.0 MW 1.0 MW 3.5 MW 2.0 MW 1.0 MW 1.0 MW 2.0 MW 1.8 MW 2.0 MW 2.0 MW

TOTAL: 23.30 MW

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Thank You

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