Aboitiz on track to hit target capacity by 2020

By Lenie Lectura - July 18, 2017

http://www.businessmirror.com.ph/aboitiz-on-track-to-hit-target-capacity-by-2020/

ABOITIZ Power Corp. (AboitizPower) said on July 18 it is on track to hitting its 4,000-megawatt (MW) target attributable capacity by 2020.

During its 10th anniversary at the Philippine Stock Exchange (PSE), the power firm stressed that it remains focus on pursuing its balanced mix strategy while riding on the robust economic growth of the country.

“We will continue to push our balanced mix strategy because we believe that the long-term energy security of the country can be solved by balancing sustainability, accessibility and reliability of power,” AboitizPower CEO Erramon Aboitiz.

Around 32 percent of Aboitiz Power’s 3,955-MW net-sellable capacity at present, come from its geothermal, hydro and solar-power plants.

On the power-distribution front, the company will ride on the healthy economic growth in areas served by Visayan Electric Co., Davao Light and Power, Cotabato Light and several economic zones it serves. Combined, the distribution utilities serve around 900,000 customers.

From its initial public offering price of P5.80 in 2007, it is now six times its initial price, or an equivalent of P40.05 per share. This translates to a 28-percent total return to our shareholders compounded annually, according to AboitizPower. Its dividend policy of paying out half of the annual net income is one of the highest dividend yields in the PSE.

“We will remain strategic yet disciplined in our approach toward achieving our growth goals, always mindful of our role in nation building,” AboitizPower said.

The Aboitiz Group’s investments in the power industry started in the early 1900s when it invested in small utilities, like Jolo Power and Ormoc Power.

It later acquired Davao Light and Power, Cotabato Light and Power, as well as Visayan Electric. It further expanded after the passage of the Electric Power Industry Reform Act law in 2001.

The company built its first power plant, the 1.2-MW Irisan 3, in 1990 through subsidiary Hedcor.

In the next 12 months, the company is set to add more capacity to its balanced portfolio, including the 69-MW Manolo Fortich and 8-MW Maris Canal hydropower plants, as well as the 400-MW Pagbilao 3 and 340-MW Therma Visayas thermal-power plants.