Thursday, February 18, 2016

AboitizPower’s solar-power project to go online before ERC deadline on March 15



By Bong D. Fabe / Correspondent - February 17, 2016

CAGAYAN DE ORO CITY—Aboitiz Power Corp.’s (AP) 59-megawatt peak (MWp) P3.59-billion solar-energy project (solar farm) is on track to begin commercial operation before the cutoff date set by the Energy Regulatory Commission (ERC) for solar-energy projects.
The ERC set March 15, 2016, as the deadline for developers of all solar-power projects to go online to be able to avail themselves of the prescribed second wave of feed-in-tariff (FiT) rate of P8.69 per kilo watt-hour (kWh). Failure to go on commercial operation by this date means the solar-power developer will get a lower FiT incentive.
The FiT, through fixed price rates for the generated electricity, guarantees revenue for the solar farm for a period of 20 years.
AP is confident its 75-hectare solar-farm project under San Carlos Sun Energy Inc. will begin commercial operation before the ERC deadline. Once online, it will bring the total power production of AP to 3,100 MW, 40 percent of which are from renewable sources.
AP is, at present, the biggest producer of clean and renewable energy from its Cleanergy brand, which includes several hydroelectric and geothermal power plants.
AP is, already, operating more than 50 MW of hydropower plants in Mindanao through its subsidiary Hedcor Inc. Hedcor’s 68.8-MW run-of-river hydropower plants in Manolo Fortich, Bukidnon, is set to go online in 2017. The company is planning to develop another four to five hydropower plants in addition to its 22 hydropower plants already online in Benguet, Davao City, Davao del Sur, Ilocos Sur and Mountain Province to meet its target of 2-billion kWh annual power generation by 2020.
AP is also tapping geothermal energy sources and is set to start exploration and development of geothermal power plants in Mount Apo and Mount Sibulan, which already received unequivocal support from indigenous peoples’ communities and local government units in the areas.
Its first foray into solar energy is being undertaken through the San Carlos Energy Inc., a joint venture of AP and the US-based SunEdison, the world’s largest renewable-energy development company.
The 59-MW solar-energy project is the first of a series of utility-scale solar-power projects that the joint venture is pursuing after the two companies signed in 2014 the joint framework agreement to explore, develop, construct and operate up to 300 MW of solar farms in the country over the next three years.
Once it begins commercial operation by next month, the San Carlos solar farm will be among the biggest solar-power sources in the country.
The project is in support of the government’s call to maximize the renewable-energy potential of the country, said AP President and COO Antonio Moraza.
Moraza said the San Carlos solar-farm project is a testament to AP’s commitment of ensuring a balanced mix of renewable and nonrenewable energy sources in order to provide a reliable and ample power supply at a reasonable and competitive price with the least possible adverse effects on the environment and host communities.

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