Fitial favors power plant expansion

The House leadership favors the expansion of the Puerto Rico power plant and its relocation to Lower Base.

In a June 9, 2004 letter to CUC board chair Herman P. Sablan, House Speaker Benigno R. Fitial called on the utility firm to consider a recent proposal made by the plant’s operator, Pacific Marine & Industrial Corp.

“I understand that PMIC has successfully assisted CUC with power generation in the past and that it now offers to further assist CUC in view of the power outages we have been experiencing,” he said.

“I am in favor of PMIC’s idea of increasing CUC’s power capacity through the use of its state-of-the-art, highly fuel-efficient generators that would save millions in petroleum costs,” he said.

Incidentally, Fitial said he favors the relocation of the Puerto Rico power plant to Lower Base “to ease the concerns of some of my constituents in Precinct III.”

Fitial said other members of the House leadership and himself look forward to a more reliable power generation for the islands.

He said the leadership is particularly encouraged by PMIC’s proposal, especially since CUC would not be required to spend on capital costs.

On June 8, PMIC senior development manager Stephen Green wrote Fitial, CUC, and other key government officials about PMIC’s plan to increase its power capacity at no additional cost to CUC.

To do this, he said that the CUC-PMIC contract needs to be amended.

“In light of the current supply difficulties…we feel it may be timely and appropriate to revisit the proposals for improvement of the electricity supply services that we have placed before you,” Green said.

PMIC reportedly supplies CUC up to 15 MW of power daily.

In his letter, Green said that PMIC is “delivering capacity well in excess of our contractual obligations.”

Part of the PMIC’s proposal is to relocate its plant to Lower Base and to increase its capacity by installing “brand new, state-of-the-art, high fuel efficiency generators.”

He said the relocation would address Puerto Rico residents’ concerns about noise and air pollution. Further, PMIC said it is willing to install additional capacity on a temporary basis to alleviate the immediate supply situation.

CUC said it currently lacks a power reserve, resulting in power outages when any part of the system breaks down.

CUC officials are actively pursuing the privatization of its main power plants in Lower Base, which generate about 58MW currently.

Saipan daily consumption is said to be at 120.2 MW.