Meralco mulls going into power generation

Power distributor Manila Electric Co. is looking at developing its own power generating capacity, according to newly-appointed chief operating officer and senior executive vice president Oscar Reyes. Reyes replaced Jose de Jesus who was appointed by President Benigno Aquino III to head the Department of Transportation and Communications. Reyes told reporters Friday that Meralco was looking at the "potential of developing our own generation capacity to serve a meaningful part of our requirements." "An integral part of our overall initiative is to identify, develop and secure stable sources of reliable and cost-competitive power, with the end in mind of benefitting our customers while enhancing value to our shareholders," he said. According to Reyes, Meralco is exploring the possibility of possible partnerships with both existing and new power generators and suppliers. Meralco, the country's biggest power distributor confirmed the appointment of Reyes to his new position effective July 1, 2010 in a disclosure to the Philippine Stock Exchange Friday. Reyes was also appointed as Meralco's chief energy advisor "responsible for new businesses such as power generation and would also be in charge of existing subsidiaries and core support groups." Reyes shall be responsible for the company's plans to "expand to other franchise areas, export processing zones, retail electricity supplier and other new incoming projects." Reyes is director of Philippine Long Distance Telephone Co. and chairman of MRL Gold Phils. Inc. and Link Edge Inc. He is also a member of the board of Bank of the Philippines Islands, Manila Water Co., Smart Communications, Inc., Pepsi Cola Products Philippines, Basic Energy Corp., Sun Life Financial Plans and First Philippine Electric Corp. He is also a member of the Board of Trustees of Pilipinas Shell Foundation Inc., SGV Foundation and El Nido Foundation. Reyes, an Ateneo de Manila graduate, served as country chairman of Shell from 1997 to 2001 and managing director of Shell Philippines Exploration B.V. up to 2002. - OMG, GMANews.TV