Global Power gears up for RE capacity expansion in Visayas grid

Published November 26, 2016, 10:01 PM By Myrna M. Velasco

business.mb.com.ph/2016/11/26/global-power-gears-up-for-re-capacity-expansion-in-visayas-grid/

Iloilo City – Global Business Power Corporation (GBPC) is now gearing up for further capacity expansion, but this time with the integration of renewable energy (RE) technologies in its portfolio, but still for sites in the Visayas grid.

In a briefing with the media, GBPC Executive Vice President Jaime T. Azurin said about 40-megawatt of biomass capacity is being explored in a Negros site; while over 100 megawatts of hydro portfolio will likely be developed in another site.

“We are looking for a site wherein transmission will not be a problem as well as community acceptance,” he said.

Beyond these targeted ventures, the company executive indicated that they are also prepping for another coal-fired power project in Negros to help meet growing electricity demand in that area.

Azurin said their next round of investments would be anchored on any outcome of planned competitive bidding for aggregated supply contract that the electric cooperatives in Negros will be undertaking.

The expansion ventures had been announced during the company’s November 23 switch-on ceremony of its newly commercially commissioned 150MW coal-fired power facility under subsidiary corporate vehicle Panay Energy Development Corporation.

The capacity of this plant is almost fully contracted, hence, it could drive up the company’s net income by 50-percent or more next year, according to Azurin.

Among the plant’s off-takers (capacity buyers) are Iloilo Electric Cooperatives I, II and III; Antique Electric Cooperative, as well as Guimaras Electric Cooperative of the Panay-Guimaras Power Supply Consortium.

The company added that by year 2017, it will also be producing and supplying power to Manila Electric Company (Meralco), an affiliate and one of its equity holders in the project.

Global Power President Rolando T. Bacani noted that with the new PEDC plant, the company “will be able to offer a good rate in the market because the expansion project offers lesser operating cost.” The power facility is equipped with circulating fluidized bed (CFB) boiler technology.

GBPC pumped in over R15.6 billion investments for the newly completed coal-fired plant — effectively expanding the group’s aggregate power capacity to 856MW to-date.

According to GBPC Chairman Jose Maria K. Lim, the facility is a manifestation of their company’s “support to the economic growth of the region.”

He added “by providing adequate power supply, we are fueling the growth of industries and the availability of jobs in Panay, thereby, providing a viable alternative to the already congested Metro Manila.” (MMV)