ABB, the Switzerland-based power and automation technology group, has been awarded a contract to provide its SABLE Market Operation System to administer the Wholesale Energy Spot Market (WESM) in the Philippines when it opens early next year.
The multi-million dollar contract includes training and support services, and is being financed by the Asian Development Bank and the Japan Bank for International Cooperation.
“We are pleased that ABB, which is known for utilising proven technology in power market operations, will be implementing this nationally critical power system,” said Energy Secretary Vincent S. Perez.
“ABB’s state-of-the-art software systems enable energy markets to develop,” said Peter Smits, head of ABB’s Power Technologies division.
The Philippine WESM will operate Week-Ahead, Day-Ahead, and Real-Time markets for energy and ancillary services. Under market rules, power distributors will be required to fill at least 10% of their daily power requirements from the spot market. The WESM will also manage financial transmission rights to allow market participants to hedge against price differentials.
The contract calls for factory acceptance testing to be completed in mid-September with market trials to follow in December. The ABB system utilizes proven technology that has been implemented in a variety of restructured power markets including New York, Ontario, California, and most recently East China and the Korea Power Exchange.
ABB is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 113,000 people