This is “not an issue with the power generation but it’s about having no money to pay for fuel,” he said.
He has already informed Gov. Benigno R. Fitial about the situation.
CUC has been under the governor’s control for the past two years now.
Muna said everything will depend on whether the government has available funding.
“CUC coffers are essentially dry and we cannot continue to obligate vendors — there’s just no money to continue the operation,” he added.
Run out
As of yesterday, Muna said, Power Plant 1 was projected to run out of fuel by June 5 at 12 noon; Power Plant 4 on June 4 at 12 noon’ and Tinian, on June 17 at 8 a.m.
In order to sustain the operation of PP1, he said they need to pay Mobil $431,474.40 today so the company can deliver fuel on June 4, Friday.
CUC also needed to pay $364,698.60 for PP4’s fuel supply on June 2 so the Mobil can deliver fuel on June 3, today.
But he said they need to buy fuel for PP4 this morning so they should have enough to “survive the weekend.”
CUC bought fuel for Rota yesterday but it was only enough for another week.
On Tinian, fuel will be delivered on June 6 but CUC needs to pay $657,338 on Friday.
Otherwise, Tinian will be out of fuel by June 17.
Muna said by June 5, CUC will have to start the rolling blackouts since PP4 will have no more fuel to run its generators.
By Saturday, if there’s still no fuel, PP1 will shut down and there will be an islandwide blackout, he said.
Waiting
Muna said CUC had been waiting for the governor’s response.
“We cannot continue this process. This need to be resolved and should be resolved quickly,” he added.
Since May 19, he said he has been advising the administration and the Legislature about CUC’s predicament.
CUC requested the central government $1.2 million a week but since May 19, CUC only received $700,000, he said.
“We’ve been waiting since the 19th of May without a satisfactory result.”
He added “The governor needs to reprogram funds. I can’t keep running an operation that is headed for a disaster.”
The options are with the governor, he said, since CUC’s options are limited.
Part of CUC problems is not only power generation but also its financial condition, Muna said.
Whenever the government, which accounts for 15 percent of CUC’s revenue, falls three month behind in its payments, it has an impact on the utility’s operation, he added.
Generation
Muna said CUC was able to generate 43.7 megawatts at peak load on Tuesday at 2 p.m. and 40.7 megawatts at 8 p.m.
“The weather is picking up — its hotter but we are still able to carry power demand and that’s good news: the generators are working,” he said.
He said the investment in the maintenance is beginning to show but generators don’t run without fuel.
Muna said they have suspended the overhaul of engine 8 of PP1.
CUC wanted to complete the overhaul before the year ends but it also needs to buy parts, he said.
“If we spend money on fuel and not buy parts then we’re back in the situation of 2008,” he said.
Muna was named CUC executive director two years ago.
“My job is to run the utility company, to maintain its assets, to bill and expect our customers to pay accordingly,” he said. “As far as what we need to do to handle this situation — it has to be addressed by the Legislature and the executive branch.”
He advised residents to start storing water and buy candles.
