March 19, 2019 | 10:08 pm
THE National
Power Corp. (Napocor) expects the government to make a decision in April on the
rehabilitation of the Agus hydroelectric power complex in Mindanao, with three
options being studied by the World Bank.
“We’re looking at three
options. One is attain the rated capacity, second is increase by 10% the
capacity, third is improve the water efficiency,” Pio J. Benavidez, Napocor
president and chief executive officer, told reporters after a news conference
for an energy event on Tuesday.
The Agus hydro power
asset has installed capacity of at least 700 megawatts (MW), with the biggest
coming from the 200-MW Agus VI in Iligan City, Lanao del Norte. Agus VI has
five operating units, two of which have a capacity of 25 MW each and the
remaining three with 50 MW each.
Of the seven separate
sites for the Agus hydro power plants, only one Agus III has not been
completed. But most of the plants within the complex are operating below their
rated capacity, giving plant operator Napocor a lower dependable power output.
The complex, which is owned
by the Power Sector Assets and Liabilities Management Corp. (PSALM), remains in
government hands after the passage of Republic Act No. 9136 or the Electric
Power Industry Reform Act of 2001 (EPIRA), the law that restructured the
industry and privatized the state’s energy assets.
Mr. Benavidez said
improving the efficiency of the Agus complex could be attained by expanding the
size of the river and dredging. He said the selection of the best option will
be done by the National Economic and Development Authority, along with Napocor
and the Department of Finance, the secretary of which chairs the agency’s
board.
Mr. Benavidez said the
cost of rehabilitating the Agus complex could be between P37 billion and P40
billion. He said the funding will not be sourced from China, as previously
considered, but from multilateral lending agencies, including those from
France, Australia and Japan. He did not identify the entities.
“Once rehabilitated, it
can easily be sold. Its value would be high,” he said.
He said the options to
be presented by the World Bank should be ready by April, after which Napocor
could start its own feasibility study based on the option selected by the
government.
He targets the
feasibility study’s completion by April 2020, with the start of the
rehabilitation shortly after. The Pulangi hydro complex, a separate government
asset, has been isolated from the Agus rehabilitation project.
The Pulangi
hydroelectric power plant in Maramag, Bukidnon has three units, each with an
installed capacity of 85 MW.
The power generation
facilities are considered Mindanao’s crown jewels, and as such their
privatization is being opposed by stakeholders in the area. — Victor V.
Saulon
No comments:
Post a Comment