CUC assures stable power supply by June

Gov. Benigno R. Fitial said this should bring relief to businesses and residents.

Saipan’s stable power supply will help the government entice foreign investors, he added.

CUC Executive Director Tony Muna said the completion of the maintenance work of the engines at Power Plant 1, the main source of electricity in Saipan, will enable it to produce 40 megawatts.

Right now, Power Plant 1 produces only 9 megawatts. By May, it should have five more megawatts for a total of 14 megawatts.

Power Plant 4 is envisioned to produce an additional 14 megawatts by June while power Plant 2 will yield 6 megawatts.

Overall, CUC said it will be able to produce 60 megawatts for Saipan, the center of business activities in the Northern Marianas.

Muna said the rehabilitation of the power engines was made possible through grants that the CNMI received from the U.S. Department of the Interior.

Government records show CUC received $10 million in reprogrammed grants for 2006-2007 and an additional $5.3 million last year.

 “Management is the key here,” said the governor.

CUC, he added, will soon terminate its $504,000 monthly rental contract with Aggreko for its 15-megawatt containerized generators.

Muna said CUC does not intend to extend its contract with Aggreko beyond June.

This will result in savings, he added.

“If savings can be passed on to consumers, it will be done,” he said.

CUC is also applying for federal stimulus grants to further enhance the islands’ energy production.

One of CUC’s grant applications will help the CNMI tap geothermal energy and recycling used oil.

Muna said they want to conduct studies to see how used oil can be recycled for the production of electricity.

Diesel fuel is CUC’s single biggest expense.

 

 

 

 

 

 

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