I haven’t correlated this yet with macro-economic indicators nor, on a related note, looked at what’s happening in 2007, but here is a picture of what’s happening in Luzon over the period 1998 to 2006, based on data taken from the DOE website today.
Although demand has grown at an average rate of over 3.5% per year, growth took a nose dive in 2004, 2005, and 2006 – averaging only 1.44% over that period. Yet high generation asset auction prices are persisting in the face of this. Interesting.
Here is the excel spreadsheet if you want it.