AboitizPower allots P28 billion for capex this year

MANILA, Philippines — Aboitiz Power Corp. is alloting P28 billion for capital expenditures this year to complete its coal-fired power plant in Bataan, expand its renewables portfolio, and upgrade its power facilities to ensure adequate power supply this year.

The capex for this year is 21 percent higher than the P23 billion allocated last year.

In a regulatory filing yesterday, AboitizPower said over 50 percent of this year’s capex is dedicated for expansion and upgrade.

“These include remaining investment for [GNPower Dinginin Ltd. Co.] GNPD’s construction, a general overhaul of [GNPower Mariveles Energy Center Ltd. Co.] GMEC, and the construction of solar and hydro plants, as well as [battery energy storage system] BESS projects. The balance is allocated for maintenance of business, primarily to ensure the availability of sufficient baseload during the 2022 election period,” the firm said.

AboitizPower  is working on over 1,000 megawatts (MW), which are set to commercially operate this year.

This includes the 668-MW Unit 2 coal plant under GNPD, a joint venture among AboitizPower along with partners AC Energy and Infrastructure Corp. (ACEIC) and Power Partners Ltd. Co.

Its 668-MW Unit 1 officially went online on Jan. 26.

“The target for Unit 2’s initial synchronization remains to be the second quarter of 2022, from which GNPD Unit 2 may start earning revenues,” AboitizPower said.

The company is currently constructing the 94-MW peak Sinag Power Cayanga project in Bugallon, Pangasinan, which is targeted to start commercial operations by the  fourth quarter this year.

AboitizPower awarded the engineering, procurement and construction (EPC) contract to JGC Philippines last December and broke ground for the project last month.

The company is also working on the 49-MW hour (MWh) Maco BESS project in Compostela Valley, which would be used for ancillary services.

The BESS project is being integrated with Therma Marine Inc.’s Maco oil barge. The project nears completion at around 90 percent with the BESS barge moored in the TMI facility right next to the power barge.

“The mobilized technical team continues to work on the testing and commissioning activities to get the plant running in May 2022. It will serve as a model for future battery investments, as well as hybrid renewable energy projects,” AboitizPower said.

Apart from these projects under construction, the company is issuing a notice to proceed (NTP) for the 160-MWp PV Sinag Power Laoag project, which is expected to commercially operate by the third quarter of 2023.

AboitizPower has also 721 MW of RE projects under priority development that are expected to commercially operate by 2024 to 2025.

These include the 10-MW SN AboitizPower Magat BESS Project; the 84-MWp PV Sinag Power San Manuel Solar Project; the 44-MWp AP Renewable Energy Corp. Tarlac Solar Project; the 40-MW Hedcor Bukidnon Kibungan Hydro Project; the 212-MWp PV Sinag Power Olongapo Solar Project; the 56-MWp PV Sinag Power Ramon Solar Project; the 50-MWp PV Sinag Power Gamu Solar Project ; the 75-MWp SN AboitizPower-Magat Floating Solar Project; and the 150-MWp Aboitiz Solar Power Inc Calatrava Solar Project.