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October 13, 2025

PALECO OFFICIALLY SWITCHES ON ADDITIONAL POWER FOR PALAWAN THRU PSA WITH DELTA P, INC.

PALECO GM Rez Contrivida inks its PSA with Delta P President Erickson Omamalin to provide 40MW additional power to Palawan

Puerto Princesa, Palawan — Palawan Electric Cooperative (PALECO) has taken a major step in
delivering on its commitment to secure long-term, reliable power for Puerto Princesa.


On October 4, PALECO and Delta P, Inc. (DPI), a subsidiary of Vivant Energy Corporation (Vivant
Energy), successfully advanced from their Transition Power Supply Agreement (TPSA) to the 15-year
Power Supply Agreement (PSA) signed in 2024.


This milestone underscores PALECO’s commitment to address the long-standing challenges in mainland
Palawan by ensuring a reliable power supply and reducing electricity costs for its member-consumer-
owners (MCO) in partnership with Vivant Energy, a Cebuano-based company that continues to make
significant strides in rural and off grid energization.


The recent energization marks the start of a phased delivery under the PSA, paving the way for more
stable power in the province. This transition is expected to further reduce the electricity rates to be paid
by PALECO’s MCOs as DPI will only recover the Subsidized Approved Generation Rate (SAGR) from
PALECO.


Following the recent approval of the Energy Regulatory Commission (ERC) of PALECO and DPI’s
Transitory PSA, implemented from October 2024-2025, PALECO MCOs are expected to receive refunds
from its implementation, along with significantly lower electricity bills through the Universal Charge for
Missionary Electrification (UCME), further easing the burden of the consumers who previously had to pay
unsubsidized generation rates.

“Through this transition, PALECO assures Palaweños that we are keeping our promise of delivering
reliable service, stable power, and lower rates, as we move toward Palawan’s development.” PALECO
General Manager Rez Contrivida stated.


“This milestone is a proof of our commitment to provide secure and reliable power to Palawan –
continuing our mission of bringing excellence to industries that improve everyday living.” said Eric
Omamalin, President of Delta P, Inc.

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