Energy department releases ‘green energy’ draft rules for industry comment

September 1, 2017

http://bworldonline.com/energy-department-releases-green-energy-draft-rules-industry-comment/

THE Department of Energy (DoE) has released the final draft of the rules governing the “green energy option” program, a mechanism that enumerates the renewable energy choices for end-users to choose from to fuel their power requirements.

It has given the industry until Monday, Sept. 4, to submit its comments and recommendations, otherwise concurrence with the draft rules is assumed.

The renewable energy options listed by the DoE are biomass, solar, wind, geothermal, ocean energy and hydropower that conform with the internationally accepted norms and standards on dams, and “other emerging renewable energy technologies.”

The purpose of the program is to empower electricity users to choose renewable energy in meeting their requirements.

Aside from enumerating the energy resources, the program will also identify generating facilities using the renewable energy technologies that consumers, distribution utilities and electric cooperatives, and electricity suppliers can source their requirements.

It will also cover the registration by the distribution utility and electric cooperative customers of their option to source power from and the billing for monthly energy consumption and generation charge attributable to the renewable energy resources.

The scope includes the technical feasibility and stability of the transmission and distribution grid systems, and other rules “necessary, incidental or convenient to achieve the objective” of the program.

The draft rules also enumerated the prohibited acts, administrative and penal sanctions against mandated electric power industry participants that have violated provisions of the green energy option program.

The DoE said it may impose a penalty ranging from reprimand to revocation of license with corresponding fine ranging from a minimum of P100,000 to P500,000, depending on the gravity of the offense.

It also said “any person who willfully aids or abets the commission of a crime prohibited herein or who causes the commission of any such act by another shall be liable in the same manner as the principal.” — Victor V. Saulon

Residents prod ERC to approve $1.2-billion Subic coal-plant project

By Henry Empeño - August 31, 2017
http://www.businessmirror.com.ph/residents-prod-erc-to-approve-1-2-billion-subic-coal-plant-project/

SUBIC, Zambales—Local officials of Barangay Cawag in this town have asked the Energy Regulatory Commission (ERC) for the speedy review and approval of the power-supply agreement (PSA) for the long-delayed coal-fired thermal power project proposed for construction in their village by the Redondo Peninsula Energy Inc. (RP Energy).In a letter they hand-carried to the ERC office in Pasig City on Tuesday, members of the Cawag Barangay Council, led by chairman Arthur P. Garcia, expressed their support to project proponent RP Energy, and pressed for the early resolution of the firm’s pending case before the regulatory body.The letter was signed by Garcia and council members Marvin M. Martinez, Alexander E. Bonilla, Roseanne S. Orayan, Zenaida D. Lozano, Abner F. Bais, Policara L. Continedo and Aida G. Turing.

“We wrote to inform you of our support to Redondo Peninsula Energy Inc., which is building a power plant at Sitio Naglatore in Barangay Cawag, Subic, Zambales,” the council said in the August 14 letter addressed to Commissioner Alfredo J. Non, officer in charge of the ERC.

“We are saddened by the fact that until now, the Energy Regulatory Commission has not yet approved [RP Energy’s] power-supply agreement, which has delayed the construction of the plant,” the council added.

“We pray for the speedy resolution by the Commission of the case so that we may fully attain the benefits intended for our barangay under the project and other programs of RP Energy,” they said.

The officials also noted in their letter that since the coal-power plant project started in 2011, the proponent had introduced progress in the barangay through its corporate social responsibility program by building a health center, school rooms and a multipurpose gym, as well as donating computers, books and medicine.

The council also said that RP Energy has provided employment to Cawag residents, as well as those from nearby communities.

“We know that the success of RP Energy in its business endeavor would also boost the progress of our barangay,” the officials said.

RP Energy, a consortium composed of AboitizPower, Meralco PowerGen Corp., and Taiwan Cogeneration Corp., has committed to build a $1.2-billion 600-megawatt coal-fired power plant in the area.

However, the project, which had initially met some opposition from residents and local officials in Subic, Olongapo and Zambales, has been long delayed.

While the Supreme Court lifted the writ of kalikasan against the project in 2015, the review of its PSA has been pending with the ERC since April 2016.

The PSA, which is a bilateral agreement between a generation company and a distribution utility for the purchase and supply of power, must pass ERC review because the retail rates charged by distribution utilities for the supply of electricity in their captive market is subject to regulation by the ERC.

As of now, RP Energy has remained in the site development stage, doing slope protection and drainage works in particular, said Jason Gavina, the firm’s community relations officer.

“We are just awaiting the approval of the PSA by the ERC in order to go into full-blown project construction,” Gavina added.

Aside from the Cawag village council, other stakeholders have reportedly given their support to the project, Gavina said.

He said the Cawag Tribal Association, which is composed of over 100 members of Ayta tribesmen in the area, has also urged the ERC to act on the PSA for the RP Energy project.

More E-trike units to be distributed to Manila folk

Published August 31, 2017, 10:00 PM By Analou De Vera

http://news.mb.com.ph/2017/08/31/more-e-trike-units-to-be-distributed-to-manila-folk/

The Manila city government will distribute 80 electric tricycles (E-Trike) to the second batch of beneficiaries in Malate district.

Manila Mayor Joseph Estrada said that the distribution of the environment-friendly E-trikes will provide the city’s poorest of the poor a steady source of livelihood in an environment–friendly manner.

“As I have promised before, more indigent Manileños, particularly those poor tricycle and ‘kuliglig’ drivers, will benefit from this e-trike program,” said Estrada.

  “They cannot just be drivers forever, now have their own new tricycles. With no daily boundary to pay to the operator, they’ll earn more for their families,” he added.

The distribution of E-trikes to the second batch of beneficiaries in Malate will be held next week, according to 4th District Councilor Eduardo Quintos XVI.

All the beneficiaries are indigents, or those who earn less than R12,000 a month with three or more dependents, and are legitimate residents of Manila, said Quintos.

 ‘Boundary – hulog’

The E-trikes will be financed through “boundary-hulog” system, wherein the driver-owners will only pay the city government R150 to R250 a day for four years at zero interest.

 By paying as low as R150 a day, Quintos said the beneficiary will get to take home R1,200 to R1,500 income a day.

“Imagine owning your own E-trike by just paying at least R150 day, no down payment. And the vehicle is virtually maintenance-free, and with absolutely no carbon emission,” said Quintos.

 Last April, the city government turned over 50 E-trikes to the first batch of beneficiaries in Binondo.

A total of 280 E-trike units were purchased by the city government, at R400, 000 each. The units are set to be distributed within this year.

Power up

The Manila Electric Co. (Meralco), meanwhile, has constructed charging stations for the E-trikes.  The first station was put up in Binondo.

The Japanese-manufactured E-trikes run on gel-type batteries that can be fully charged in  4 to 5 hours.

It can carry up to six passengers and has a maximum speed of 40-45 kilometer per hour.

GNPower Mariveles taps local banks for $800-M refinancing

By Danessa Rivera (The Philippine Star) | Updated August 31, 2017 - 12:00am

http://www.philstar.com/business/2017/08/31/1734242/gnpower-mariveles-taps-local-banks-800-m-refinancing

MANILA, Philippines -  Aboitiz-led GNPower Mariveles Coal Plant Ltd. Co. (GMCP) has tapped five local banks to raise as much as $800 million for its refinancing activities.

GMCP signed a notes facility agreement with BDO Unibank Inc., China Banking Corp., Land Bank of the Philippines, Security Bank Corp. and Philippine Bank of Communications for up to $800 million, Aboitiz Power Corp. disclosed yesterday.

BDO Capital & Investment Corp. is acting as sole mandated lead arranger of the transaction.

GMCP said proceeds would be used to “among others, refinance its existing loans and for other general corporate purposes.”

In January 2016, the project company secured funds from five undisclosed banks to finance 70 percent of the construction cost of the first unit of the 2x660-megawatt (MW) supercritical coal-fired power plant in Mariveles, Bataan.

The first 660-MW expansion is on track for completion in 2019, AboitizPower president and COO Antonio Moraza said in a text message.

“The first unit is (scheduled for completion in the) second half of 2019,” he said.

Meanwhile, he said, the second unit is still in the planning stage.

The plant is an expansion of the existing 2x345-MW coal plant in the same area, which started operating in 2014.

It is owned by Nauruan-American firm Power Partners Ltd. Co. and by AC Energy Holdings Inc. of the Ayala Group with 20 percent.

AboitizPower entered the picture when it bought out the Blackstone Group – World Power Holdings L.P. and Sithe Global Power L.P., which have a combined 66.1 percent interest in GMCP.

At the same time, the Aboitiz firm also acquired the Blackstone Group’s 40 percent interest in GNPower Dinginin Ltd. Co.

Both transactions, which were completed in December 2016, amounted to $1.2 billion.

Now, GMCP is a private limited partnership among Therma Mariveles Holdings Inc. and Therma Mariveles Camaya B.V. – both AboitizPower subsidiaries, with Mariveles Coal Project GP Corp., Power Partners Ltd. Co. and AC Energy affiliates Arlington Mariveles Philippines GP Corp. and Arlington Mariveles Netherlands Holdings B.V.