PSPI gets ERC certificate of compliance

MANILA, Philippines — The Energy Regulatory Commission (ERC) has issued a certificate of compliance (COC) to PowerSource Philippines Inc. (PSPI) to operate its coal plant in Lanao del Norte.

The COC is granted to PSPI for its 25-megawatt (MW) circulating fluidized bed (CFB) coal-fired thermal power plant and two units of 3.20 MW blackstart diesel engine generator sets located in Brgy. Kiwalan, Iligan City, Lanao del Norte.

According to the company, the power plant will serve Republic Cement Iligan Inc. and Iligan Light and Power Inc.

PSPI has signed a 25-year power supply agreement (PSA) with Iligan Light, which has stressed the need for additional power requirements to meet the demand of the National Steel Corp. manufacturing plant and contribute to the economic improvement of lIigan City.

Meanwhile, it signed a PSA with Republic Cement Iligan Inc. (formerly Lafarge Iligan Inc.), a subsidiary of Republic Cement & Building Materials Inc. (formerly Lafarge Republic Inc.).

PSPI has set up PowerSource Philippines Energy Inc. (PPEI) as a special purpose vehicle for the project.

Filings from the Board of Investments (BOI) showed an investment of P2.3 billion was poured into the coal plant in 2015 and construction of the power plant commenced in February 2016.

The coal-fired power plant was expected to start in commercial operations by January 2019.

PSPI is the first Qualified Third Party (QTP) license holder under the Philippines Electric Power Industry Reform Act (EPIRA), and the first QTP recipient of the Universal Charge/Missionary Electrification (UCME) subsidy, providing end-to-end power supply solutions in remote microgrid areas in the Philippines.

Last year, it was granted interim relief to implement their authority to operate (ATO) as qualified third party (QTP) in Balut Island, Sarangani, Davao Occidental and in Candawaga and Culasian, Rizal, Palawan.

The firm was also cleared to implement its QTP service and subsidy contract (QSSC) with National Power Corp. (Napocor) for these services.

The ERC also renewed its COC for its 0.7-MW diesel engine power plant in Bataraza, Palawan.