BOI approves incentives for waste heat recovery power project in Cebu

MANILA, Philippines — The Board of Investments (BOI) has approved incentives for a P531-million waste heat recovery power generation project in Cebu.

In a statement yesterday, the BOI said it cleared Sinoma Energy Conservation (Cebu) Waste Heat Recovery Co. Inc.’s application for registration as a new operator of a 4.5 megawatt (MW) power generating plant in Naga City in Cebu.

Sinoma’s parent firm, which is based in China, is engaged in investing in waste heat power generation projects and related engineering technology development, consultancy and design.

Sinoma qualified for incentives as energy is listed under the 2020 Investment Priorities Plan which serves as the transitional Strategic Investment Priority Plan of the recently-enacted Corporate Recovery and Tax Incentives for Enterprises Act.

While construction for the project was hit with delays due to the pandemic, it is expected to start commercial operations in the first quarter of next year and employ about 17 workers.

Under a power supply agreement, Sinoma’s waste heat recovery power generating plant will provide support to a cement company in Cebu.

This will be done by using the waste heat of the cement plant to generate electricity at about 23.13 million kwh per year.

Through the project, there will be an increase in power supply available for other consumers.

Without the project, the heat content of the gases from the cement plant will just go to waste.

The same report indicates the waste heat recovery system lowers plant specific energy consumption, reducing greenhouse gas emissions and air pollutants emissions.

Trade Undersecretary and BOI managing head Ceferino Rodolfo said the country is looking to shift to greener and sustainable initiatives.

As the economy recovers, energy demand is also expected to pick up.

As such, increased capacity and use of energy-efficient technologies are seen as important to ensure stable and cleaner supply of electricity.