MANILA, Philippines - Global Business Power Corp., the power generation company of banking tycoon George Ty, expects to complete the expansion of its Iloilo power plant ahead of schedule, a top company official said.
Global Business executive vice president Jaime Azurin said the company is focused on the construction of Unit 3 of the 150-megawatt coal-fired power plant owned by subsidiary Panay Energy Development Corp. (PEDC).
The project is slated for completion in July 2016.
He said the first pile of the boiler area was successfully driven into the ground, marking the official start of civil works.
Azurin said the original intent was to expand by utilizing two 82-MW units.
“But it made more sense to construct a single 150-MW unit due to the positive economic growth in the island of Panay and the Visayas region and in order to provide power at a lower price,” he said.
PEDC is already offering P5.05 per kilowatt-hour to the Panay-Guimaras consortium.
At the same time, Azurin said the company also sent its offer to other Visayas distribution utilities in Negros, Cebu and Leyte to possibly utilize its capacity as a resource to address their needs for power security and lower energy cost.
PEDC’s P5.05 per kwh rate is the lowest offered in Panay and Negros, he said, adding that this is lower by P0.25 per kwh than power generators’ average rate of P5.30 per kwh in the Visayas.
Azurin reiterated Global Power’s commitment to provide additional power supply to support economic growth.
“We are also refurbishing our Toledo Power Co. plant in Cebu. This is specifically targeted to serve as a potential for 40 MW of additional reliable power resource in support of the Department of Energy’s projected energy requirements during next year’s summer season,” he said.
Data from the Department of Energy (DOE) showed that the Visayas region is experiencing critical power supply issues as peak demand catches up with the area’s generating capacity of 2,037 MW.
According to the department’s simulations, electricity consumption increases one percent in the Visayas for every one percentage growth in gross domestic product (GDP).
PEDC operates a 164-MW coal plant in Brgy. Ingore, La Paz in Iloilo City as well as Toledo Power Co., which is undergoing rehabilitation.