Wednesday, October 31, 2018

DOE certifies 500-MW hydropower hub as ‘energy project of national significance’


By Lenie Lectura-

THE Department of Energy (DOE) has certified a 500-megawatt (MW) pumped storage hydropower project as “project of national significance” under Executive Order (EO) 30.
The agency issued a certificate of Energy Projects of National Significance (EPNS) to Coheco Badeo Corp. (Cohecobadeo) on October 26, according to the DOE web site.
The project, located in Kibungan, Benguet province, is still in its predevelopment stage.
With a cost amounting to P35 billion, the project will source power from the Amburayan River to sustain the project.  It will be housed on a 15.2-hectare land located on a higher elevation. It also provides the most mature and commercially available solution to bulk electricity and releasing it during peak hours with low operation and maintenance cost, and high reliability.
This is the seventh power project certified as EPNS by the DOE. 
Recently, the agency issued CEPNS to Philippine National Oil Co.-Exploration Corp.’s (PNOC-EC) two coal projects: Coal Operating Contracts (COCs) 185 and 186 in Zamboanga Sibugay.  Both are undergoing predevelopment stage.
COCs 185 and 186 intend to conduct exploration activities, including geologic, mapping, block boundary survey and drilling to determine the extent, volume, behavior and quality of coal seams for possible coal-mining operations in line with the DOE’s directive to explore and develop indigenous energy resources of the country.
COC 185 covers an area of about 2,000 hectares.
Meanwhile, COC 186 is composed of five coal blocks and has a total area of more than 5,000 hectares.
The objective of the two coal projects is “to explore and develop the COC as part of PNOC-EC’s commitment to harness indigenous sources of energy.”
Atimonan One Energy Inc., a wholly owned subsidiary of Meralco PowerGen Corp. (MGen), the power-generation arm of Meralco, is putting up the country’s first ultra supercritical coal power plant in Atimonan, Quezon province. The facility’s capacity is 2 x 600 MW. This is the fourth power project certified as EPNS.
The DOE also declared the 151.2-MW Talim wind- power project of Island Wind Energy Corp. as “a project of national significance.”
The project, in its predevelopment stage, was certified under EO 30 on August 30. It is located in Talim Island, Binangonan, and Cardona, Rizal.
The target date of the commercial operations of the first 80-MW plant is in June 2020 and the 70-MW plant in June 2021.
The DOE earlier declared the Kalinga geothermal power project of Aragorn Power and Energy Corp. (Apec), the power unit of Sy-led APC Group Inc., as an energy project of national significance.
The DOE approved Aragorn’s application on August 14.
The said project is in its predevelopment stage, involving the development of steam fields that can generate anywhere between 100 MW and 200 MW.
In May the DOE certified the Visayas-Mindanao Interconnection Project (VMIP)  as the first power project under EO 30.
The VMIP involves the interconnection of the Visayas and Mindanao via Cebu and Zamboanga. The project is estimated to be completed in 46 months with an estimated cost of P52 billion.
The Visayas-Mindanao interconnection project is meant to interconnect the major grids into a single national grid expected to help improve the overall power supply security in the country as sharing of reserves will already become possible.  
EO 30 states that concerned government agencies shall act upon applications for permits involving Energy Projects of National Significance not exceeding a 30-day period. If no decision is made within the specified processing time frame, the application is deemed approved by the concerned agency.
This effectively reduced the time to process the permits needed for power projects to take off. 
In order for an energy project to be considered among the EPNS, power generation and transmission projects must have a capital investment of at least P3.5 billion, significant contribution to the country’s economic development, significant consequential economic impact, significant potential contribution to the country’s balance of payments, significant impact on the environment, complex technical processes and engineering designs, and significant infrastructure requirements.

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