By Danessa Rivera (The Philippine Star) | Updated March 24, 2017 - 12:00am
DAVAO CITY , Philippines — Energy Logics Philippines is looking to boost supply in the Luzon grid by year-end as it starts the construction of its 232-megawatt (MW) wind and solar project in Ilocos Norte.
Construction of the solar and wind farm will take 18 months to finish and will start as soon as pre-development work is completed, said Lu Min, chairman of Qingdao Hengshun Zhongsheng Group Co. Ltd., the engineering, procurement and construction (EPC) contractor for the project.
This puts the project up for completion toward the end of 2018.
“What we’re trying to strive is, although construction period is 18 months, we want to, by end of this year, have some some windmills and solar panels start contributing to the grid,” Lu said during the project launch here.
“Currently, the design, research and eco-environmental study is ongoing and we are looking at completing this as soon as possible. We cannot commit the timeline but its already ongoing. And the preliminary work has already started,” the official said.
The project will consist of a 132-MW wind farm in Burgos, Ilocos Norte and a 100-MW solar power plant in Pasuquin, Ilocos Norte.
Construction of the wind and solar components will be built together, which is Qingdao’s first project in the country.
Lu said this is the biggest project in its portfolio to-date, which has an EPC cost of $430 million – majority of the total project cost estimated at $500 million.
With the project, the EPC contractor hopes to demonstrate its capacity and clinch more projects in the future.
“This project will be a start. We want this project to demonstrate our capability to the Filipino people and Philippine government and from there, as a test for ourselves to make sure we would be able to deliver the product. And from this on, we hope to secure more projects and contribute back to the Philippines,” Lu said.
In December, Xidian Holdings Philippines Corp. – funded by Chinese investors led by Zhang Peng together with a Singaporean-based consortium – bought a majority stake in Energy Logics Philippines, which holds solar and wind service contracts in Ilocos Norte.