MANILA, Philippines—Following its commitment to invest $120 million in an ethanol refinery in the country, Japanese firm Itochu Corporation is now looking at possible investments in power-generation projects using renewable energy.
“We have started evaluation for other renewableenergy projects like wind, hydro and solar, but we are only in the beginning stages. Some of the prospects we are looking at already have feasibility studies,” Itochu general manager Kenichi Hisatomi said in a briefing.
He declined to disclose the sites of the projects. However, he said the issuance of feed-in tariff (FIT) rates would determine which specific projects the firm would eventually undertake.
“The FIT is very important and we are waiting for it before we decide which project to [undertake],” he said.
The FIT system provides renewable energy developers with an assurance of future cash flow as electricity end-users will be charged fixed amounts to cover the production of energy from renewable sources. With this in place, utilities can spread the cost of clean power among its customers.
While waiting for the FIT rates to be issued, Itochu would be concentrating on the establishment of its $120-million ethanol refinery and biomass power facility in San Mariano, Isabela.
The facility, to be put up by Green Future Innovations Inc., became a duly registered Philippine Economic Zone Authority project last September. Green Future is owned by Japanese firms Itochu and JGC Corp., Taiwanese company GCO and Philippine Bioethanol and Energy Investments Corp.
The plant will produce 54 million liters of ethanol and use bagasse and sugarcane residues to produce 19 megawatts (MW) of electricity, 13 MW of which will be sold to the grid. It is targeted to go on stream by 2012.
In an earlier statement, Itochu and JGC said they were constantly on the lookout for possible locations for large-scale bioethanol and power-generation projects in Asia. The Philippines is an attractive location for the Japanese firms due to the presence of the Biofuels Law and the Renewable Energy Law.
Once in operation, the Green Future project is seen providing employment to 15,000 people on the farmsite alone. Another 500 people will be needed at the plant itself.
The plant will become the biggest domestic producer of ethanol at 54 million liters, followed by San Carlos Bioenergy Inc. with 37 million liters and Roxol Bioenergy Inc. with 30 million liters.
“We have started evaluation for other renewableenergy projects like wind, hydro and solar, but we are only in the beginning stages. Some of the prospects we are looking at already have feasibility studies,” Itochu general manager Kenichi Hisatomi said in a briefing.
He declined to disclose the sites of the projects. However, he said the issuance of feed-in tariff (FIT) rates would determine which specific projects the firm would eventually undertake.
“The FIT is very important and we are waiting for it before we decide which project to [undertake],” he said.
The FIT system provides renewable energy developers with an assurance of future cash flow as electricity end-users will be charged fixed amounts to cover the production of energy from renewable sources. With this in place, utilities can spread the cost of clean power among its customers.
While waiting for the FIT rates to be issued, Itochu would be concentrating on the establishment of its $120-million ethanol refinery and biomass power facility in San Mariano, Isabela.
The facility, to be put up by Green Future Innovations Inc., became a duly registered Philippine Economic Zone Authority project last September. Green Future is owned by Japanese firms Itochu and JGC Corp., Taiwanese company GCO and Philippine Bioethanol and Energy Investments Corp.
The plant will produce 54 million liters of ethanol and use bagasse and sugarcane residues to produce 19 megawatts (MW) of electricity, 13 MW of which will be sold to the grid. It is targeted to go on stream by 2012.
In an earlier statement, Itochu and JGC said they were constantly on the lookout for possible locations for large-scale bioethanol and power-generation projects in Asia. The Philippines is an attractive location for the Japanese firms due to the presence of the Biofuels Law and the Renewable Energy Law.
Once in operation, the Green Future project is seen providing employment to 15,000 people on the farmsite alone. Another 500 people will be needed at the plant itself.
The plant will become the biggest domestic producer of ethanol at 54 million liters, followed by San Carlos Bioenergy Inc. with 37 million liters and Roxol Bioenergy Inc. with 30 million liters.
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