Environmentalists are going to have their hands full in the months ahead as several big ticket projects are in the pipeline.
In southern Mindanao alone, at least three fossil-powered plants are going to be built over the next two years.
The biggest among them is the reported 500-megawatt coal fired power plant of mining firm Sagittarius Mining Incorporated (SMI) to be located in Malalag town of Davao del Sur.
Also in the drawing boards are the 200-megawatt power plant of the Aboitiz Group in Binugao, Toril in Davao City and the 200-megawatt power plant project of Sarangani Energy Resources (formerly Conal Holdings Corporation). Both are coal-fired power plant projects, too. Conal Holdings also announced it will put up another coal-fired power plant in Zamboanga de Norte.
Of the indicative power plant projects, only one however is solely dedicated to a single user – the SMI power plant in Malalag.
SMI has began its permitting process as a prelude to commencing commercial operations of its copper and gold project in Tampakan, South Cotabato.
The Xstrata Plc-controlled mining firm has a 2016 target to commence operations.
Company sources said SMI will need at least 350 megawatts of power supply and more for standby capacity to run its mining site operations in Tampakan as well as its filter and port facilities.
Mindanao, which has been enjoying cheaper power rates due to its vast hydroelectric power plants, suffered serious power interruptions last year after a prolonged dry spell which brought the water levels at Lake Lanao below critical point. Hydroelectric dams supply 53 percent of the power needs of Mindanao. More than 700 megawatts of Mindanao’s 1,570 installed capacities are coming from the Agus River hydro power plants which rely on water supplied by Lake Lanao. The rest of hydro electric power supply is sourced from the heavily silted Pulangi River in Bukidnon.
Energy sources said unless new capacities in Mindanao are installed over the next two years, the island could suffer regular and prolonged brownouts even without the entry of other major investments such as the mining project of SMI.
Mindanao could no longer produce more than 100 megawatts of single run of river hydro projects and geothermal sources are not available to produce the same capacity without putting strain on the financial viability of the project.
With the cost of petroleum products steadily on the rise, diesel-powered plants will only drive the cost of electricity higher.
Technologies for commercial operations of other renewable sources, such as wind and solar, are still beyond the reach of consumers for them to enjoy its clean image.
That leaves coal-fired power plants as the more viable and financially sound investment direction for energy producers.
SMI’s power plant project, which will reportedly cost US$900 million, however will have far greater impact on the environment . It will be solely dedicated to its mining operations and connecting the power plant to its mine site will mean clearing several patches of dwindling forest in the southern part of the island. As if clearing of hundreds of hectares of protected areas in the mountains of Tampakan to extract copper and gold ores are not environmentally threatening enough.
I have no trouble balancing environmental impact and the need to provide basic utility services to the people.
But if one builds his own plant for his own use and thinks he can get away with raping the environment, that is all together a different matter.
We have to separate the chaff from the grain.
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