WESM Suspended for Typhoon Oversupply.

The Wholesale Electricity Spot Market (WESM) has been suspended due to the oversupply of electricity caused by Typhoon Rolly. The typhoon, which hit the Philippines on November 1, 2020, caused widespread power outages in affected areas. However, as power plants resumed operations, the supply of electricity exceeded the demand, leading to the suspension of WESM.

WESM is a market platform that allows electricity buyers and sellers to trade electricity in real-time. It is operated by the Philippine Electricity Market Corporation (PEMC) and is regulated by the Energy Regulatory Commission (ERC). The suspension of WESM means that electricity trading has been temporarily halted, and prices have been fixed at the pre-typhoon levels.

The suspension of WESM is a necessary measure to prevent the overloading of the power grid, which can lead to blackouts and other power-related issues. The oversupply of electricity can also cause instability in the market, leading to price fluctuations and other economic problems.

The suspension of WESM is not the first time that the market has been halted due to oversupply. In 2019, WESM was suspended for several days due to the oversupply of electricity caused by the shutdown of several power plants. The suspension was lifted after the power plants resumed operations, and the supply of electricity returned to normal levels.

The suspension of WESM highlights the importance of maintaining a balance between the supply and demand of electricity. It also underscores the need for a reliable and efficient power grid that can handle fluctuations in supply and demand. The government and private sector must work together to ensure that the power grid is resilient and can withstand natural disasters and other unforeseen events.

In conclusion, the suspension of WESM due to the oversupply of electricity caused by Typhoon Rolly is a necessary measure to prevent power-related issues. It highlights the importance of maintaining a balance between the supply and demand of electricity and the need for a reliable and efficient power grid. The government and private sector must work together to ensure that the power grid is resilient and can withstand natural disasters and other unforeseen events.