Mondelez Philippines vows support for ILP

by Jon Carlos Rodriguez,

Posted at Mar 05 2015 05:07 PM | Updated as of Mar 06 2015 05:54 PM

MANILA (UPDATE) – Mondelez Philippines, formerly Kraft Foods Philippines, said it is volunteering to participate in the interruptible load program (ILP), which aims to address the power supply issue in the Luzon grid this summer.

Jojo Villanueva, the plant manager of Mondelez Philippines in Parañaque, said the company has committed to de-load and use the generators of its manufacturing plant during critical hours of low power supply.

“Kami ay nag-commit na base sa panahon ng pangangailangan na tumakbo ang aming mga generators para makatulong doon sa load na kinakarga ng ating gobyerno, kami ay susuporta,” he told reporters on Thursday.

Mondelez Philippines manufacturing plant in Sucat, Paranaque

Villanueva said an estimated 1.5 to 1.8 megawatts a month can be potentially saved if the plant and its offices are run on generators.

However, he clarified that Mondelez has yet to sign a contract with government and power distribution firm Manila Electric Company (Meralco).

“Nire-review pa nila ‘yung load fluctuations ng power plants,” he said.

Estrella Raquin, safety, security and environment manager of the Mondelez plant, said operations of Mondelez won’t be affected as its generators have enough capacity to supply power to the whole plant as well as the offices inside the premises.

“Based sa analysis ng aming technical team, kakayanin naman niya ngayon dahil siya ay may regular na maintenance at ine-ensure na ito ay may capability sa long-use,” she said.

The contract signing is expected to be finalized this month.

“It’s for review ng legal staff namin, and then after that we are expecting this week or early next week mag-finalize siya, and then we’ll have the contract signing,” said Raquin.

The ILP is one of the measures seen to help ease the power supply shortfall this summer. Under the program, large industrial and commercial Meralco customers that consume more than 1 MW are expected to use their own generators to free up electricity in the residential areas.

The Department of Energy is looking to secure at least 1,000 MW from ILP participants. According to Meralco, more than 300 accounts have already expressed intention to participate.

Meralco said that last week's dry run resulted to a de-loading of around 457 megawatts, noting that only 67 percent joined the dry run.

Participants, in turn for using their own generator sets, will be compensated by government.

“[But] more than the concern for compensation, mas mahalaga sa amin ay makatulong… Ang layunin namin bukod sa mapasaya ang aming mga consumers ay matulungan ang Mother Earth,” said Villanueva.

Aside from participating in the ILP, Mondelez Philippines is also expanding its use of renewable energy in its production plant and offices to help conserve energy.

In 2013, Mondelez switched to using a biomass boiler in its daily production, which the company said helped it save carbon emissions equivalent to one year’s worth of emissions by 64 cars.

The Biomass Boiler

The biomass boiler uses rice husks to generate steam to power the factory's production process during ingredients preparation and machine cleaning. It also helps the company reduce its use of electricity by using steam-powered machines.

“In the past year alone, our electricity savings from the use of the biomass boiler worth the average annual consumption of 1 million households,” said Villanueva.

The firm has also installed “Solatubes” and solar panels to power the plant’s perimeter lights and corporate offices.

The firm’s Parañaque plant produces cheese products Eden and Cheez Whiz as well as mayonnaise and sandwich spreads.

Mondelez is the firm behind Cheez Whiz, Oreo, and Toblerone, among others 

Villanueva said Mondelez is considering expanding the use of biomass and other renewable energy technologies in its plant's production and operation, owing to the significant benefits the company has reaped from doing so.

The Parañaque plant, which was established in 1965, currently has 470 employees.

Mondelez changed its name from Kraft Foods in 2003 due a global split of the entire Kraft Foods company.

The split resulted to two companies: a North American grocery business which retained the name Kraft, and Mondelez International, of which Mondelez Philippines is a part of.