Published
By Myrna M. Velasco
The power investment arm of San Miguel Corporation (SMC) has logged 10-percent
decline in net income in the first quarter to P3.22 billion from a more robust
profitability of P3.58 billion last year.
SMC Global Holdings
Power Corporation similarly reported that its income from operations had been
down by 21-percent to P7.82 billion as against P9.84 billion the previous year.
Net sales within the first three months of the year had likewise shrunk by
18-percent to P28.29 billion from the year-ago level of P34.67 billion.
It has to be noted that
by mid-March, the Philippine government started enforcing enhanced community
quarantine (ECQ) because of the coronavirus pandemic; and that subsequently
resulted in drastic decline of electricity consumption in the country.
Early on, SMC President
Ramon S. Ang indicated that the power generating assets of the conglomerate
will continually provide electricity, albeit operations had been on ‘scaled
down’ capacity to save on fuel and to stretch supply throughout the lockdown
period in the country which essentially lasted until end-May.
He noted the company
has already “prepared for these types of situations and we are ready,” as he
then assured that “we will continue to operate all our power facilities safely
despite the challenges we face and make sure that we supply power where it’s needed.”
SMC Global Power has the biggest portfolio of electricity generating facilities
of the country and are geographically diversified across grids; and like the
fate of all players in the power sector, it also suffered from sheared volume
sales at the height of the health crisis.
The company has varied
investments across technologies – from coal, to gas-fired and hydropower
installations; and it is still set to expand on these ventures in the immediate
to medium-term.
Among the targeted next
investment buildups would be on gas-fired facility; to serve as expansion of
the 1,200-megawatt Ilijan plant which it is anticipating to be turned over to
it by 2022.
The plan is to expand
the capacity of that gas-fired generating asset by another 1,200 megawatts – and
its fuel is to be catered to by a proposed liquefied natural gas (LNG) import
facility that was lodged by an American firm with the Department of Energy.
On helping meet the country’s baseload capacity beyond year 2022, SMC Global
Power also has a co-venture with Manila Electric Company for the targeted 600MW
Mariveles Power Generation Corporation, which will be utilizing a clean coal
technology.
No comments:
Post a Comment