TeaM Energy eyes solar, biomass

Manila Bulletin

By MYRNA M. VELASCO

July 13, 2011, 3:38am

MANILA, Philippines — While most project developers are fighting tooth and nail to corner their subsidy share, Japanese joint venture firm TeaM Energy Philippines is taking an alternative approach on its renewable energy investments by not banking too much on the feed-in-tariff (FIT) cost support mechanism.

In a briefing with reporters, TeaM Energy president Federico E. Puno noted that they are currently completing feasibility studies that may yield up to 56 megawatts of RE capacity in the company’s portfolio.

The proposed ventures would include two solar power projects of 10-megawatt capacity each in Batangas and Bulacan; one biomass facility in Quezon with 11-MW capacity; and five mini-hydro power projects in northern Luzon with 5.0MW capacity each.

For the solar and biomass projects, Puno enthused that they would likely pursue them even without availing of the FIT subsidy. It would only be in their mini-hydro ventures wherein they may take advantage of the “revenue stream support mechanism” being guaranteed under the FIT system.

“The solar projects may be done first,” he noted, adding that the projects are designed as “on-the-fence” power generation system (distributed generation) with dedicated off-takers.

For the biomass venture, he stressed that the major concern they are trying to assess in the feasibility study would be the sustainability of fuel. The company is planning to utilize coconut leaves as primary feedstock for the proposed plant.

The mini-hydro ventures, Puno said, are currently being evaluated on hydrology risks; further stressing that in the pecking order of things, these may come last in their investment line-up.