CE, PetroGreen to put up P360 billion Ilocos wind farm

MANILA, Philippines — The P360 billion offshore wind project of Danish renewable energy developer Copenhagen Energy A/S (CE) in Ilocos Norte is progressing with its community engagement, financial impact assessment, and national strategy activities, according to the chief of the Department of Trade and Industry (DTI).

The project by BuhaWind Energy, a joint venture of CE with PetroGreen Energy Corp., involves the development of offshore wind power with wind turbine generators of about 15 to 20-megawatt capacity each in the waters off Burgos, Bangui, and Pagudpud town. It is expected to begin commercial operations by 2028

In a meeting with Copenhagen Energy CEO Jasmin Bejdic, Trade Secretary and Board of Investments (BOI) chairman Alfredo Pascual said  the company has already secured a service contract.

“The company is likewise generally on track and progressing with its community engagement, financial impact assessment, and national strategy,”the BOI said.

For his part, Bejdic said his company is looking forward to the implementation of the project, emphasizing that the Philippines remains a very promising business destination for floating wind towers.

“With proper government support, we will be able to implement the project according to plan, noting Ilocos region as definitely one of the best resources for wind power,”Bejdic said.

The follow-through meeting between the Danish renewable energy firm and the DTI was one of the concrete results of the promotional activities conducted during the Presidential Visit to Brussels last December 2022, where the BOI and Copenhagen Energy discussed the latter’s plans to invest in the Philippines.

Pascual said that the BOI is working closely with concerned government bodies such as the Office of the President (OP) and the Department of Energy (DOE) to further accelerate the start of the company’s commercial operations.

The BOI noted that the OP is also working on the issuance of an executive order that will enable the establishment of green lanes for strategic investment projects

The OP is also  working on the issuance of an executive order that will enable the establishment of a green lane, precisely for strategic investment projects such as this one.

“I am looking forward to the implementation of this project, especially since CE has already secured a service contract. They also submitted a system impact study last week, which already included the electrical design and proposals on how to bring power to the grid,”Pascual said.

The Trade Secretary said the BOI is also in close coordination with other government agencies involved to expedite the evaluation of the study.

Meanwhile, the BOI said it is also working closely with Ilocos Norte LGU for the alignment and collaboration on investment promotion, facilitation, and investor servicing activities to ensure that investors will have a seamless experience in doing business in the Philippines.

The agency recently signed a memorandum of agreement for the provincial government of Ilocos Norte for the alignment and collaboration in areas of their respective investment promotion, facilitation, and investor servicing activities.

The BOI said the agreement is also set to facilitate Copenhagen Energy’s project.

Moreover, Pascual said the BOI is also engaged with the World Bank (WB) on the implementation of its recommendations following their Offshore Wind Study last year.

The WB ranked the Philippines as the 8th best location globally for offshore wind.

Pascual earlier emphasized that renewable energy projects would  again be a key driver for investments this year, especially following the removal of the foreign equity restriction.

As of January, the BOI is evaluating eight renewable energy projects worth P446 billion.

The amount does not include the BuhaWind project, which is at an advanced stage of entry, as well as the P225 billion pump-storage and solar energy project.