150-mW coal power plant in Iloilo inaugurated

ILOILO CITY, Philippines — The Panay Energy Development Corporation (PEDC) inaugurated on Wednesday its 150-megawatts expansion coal power plant located at Barangay Ingore in La Paz district, Iloilo City.

The new plant is seen as a big boost to the energy sector, as it is the largest generation unit in the Visayas to date and is projected to provide adequate, reliable, clean, and cost-efficient power to the residents and business in the region.

PEDC is a subsidiary of Global Business Power Corporation (GBP), one of the largest power producers in the Visayas. The P15.6-billion expansion project is the GBP Group’s latest investment in the province. It has invested a total of P20 billion for PEDC’s first two 82-mW clean-coal plants in 2011.

During the ceremony, GBP and PEDC officials were joined by Energy Secretary Alfonso Cusi, Iloilo City Mayor Jed Patrick Mabilog, and Iloilo Governor Arthur Defensor Sr.

Cusi admitted during the switch-on ceremony that he has been asked many times not to give permits to coal-fired power plants. However, “we cannot just do away with coal plants … the cheapest, reliable adequate, sustainable, secure source of energy,” he added.

Cusi also underscored that no nation develop with intermittent electricity. “And we cannot afford to have an intermittent electricity if we want our country to become progressive,” he said, citing the demand for electricity in the Visayas is at 1,700 mW and could peak at 1,900 mW.

As such, the 150-mW expansion plant is a welcome development to the energy sector of the country, said Cusi noting further that Visayas and Luzon share power.

Given his status, he claimed that they are studying every possible source of power, including that of a nuclear power plant although it is now getting mixed reactions from the public.

Meanwhile, GBPC chairman Jose Maria Lim said the inauguration ceremony underscored the company’s commitment to support the economic growth of the region. “By providing adequate power supply, we are fueling the growth of industries and the availability of jobs in Panay, thereby providing a viable alternative to the already congested Metro Manila.”

The economy of the region has been on an upswing in recent years. Western Visayas was the second fastest growing economy in the country last year with its gross regional domestic product (GRDP) growing by 8.3 percent in 2015, according to the Philippine Statistics Authority.

Its GRDP grew by 5.2 percent in 2014 and by 3.4 percent in 2013. “We are proud to be able to respond to the region’s growing energy requirements and contribute significantly to its base load capacity,” said GBP president Rolando Bacani.

Bacani shared that, because of its size, PEDC will able to offer a good rate in the market because the expansion project offers lesser operating cost. “We can expect efficient use of fuel from a single larger plant of 150-mW that is equipped with the latest Circulating Fluidized Bed boiler technology,” he said.

“We were also able to reduce  the project’s development cost since there are existing facilities which can be shared with the expansion plant,” Bacani said, as he pointed out that the cost benefits of a larger plant is in addition to substantial cost savings arising from the common facilities like the jetty and water treatment facilities for the existing units already completed in 2011 which can service the new plant.

Bacani also reported that the third unit of PEDC is already contracted to provide power to Iloilo Electric Cooperatives I, II, and III, as well as the Antique Electric Cooperative. It is also providing electricity to the Guimaras Electric Cooperative and the Panay-Guimaras Power Supply Consortium,

On February 2017, PEDC will also product and supply power to the Manila Electric Company (Meralco). Early this year, the government said the country will see nearly 5,000 mW from 47 new power facilities being built in the next five years.

The PEDC’s 150-mW coal-fired plant expansion formed part of the additional power facilities. It was noted, though, that more than 70 percent of these new power facilities would be coal-based notwithstanding the government’s thrust for renewable energy projects and commitment in the 21st Conference of Parties (COP21) held in Paris last December. (FREEMAN)