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TARGETING to ensure the stable supply of electricity
within the Subic Freeport Zone, Aboitiz Power Corp. (APC)
and the Taiwan Cogeneration Inc. is set to put up a
300-megawatt (MW) coal-fired power plant.
“We
recently came out with an announcement that we’re
working with them [Taiwan Cogeneration] in putting up a
300-MW coal plant in Subic,” Erramon Aboitiz, APC
president and chief executive, told reporters.
The APC
official admitted, however, that there is no concrete
timetable yet.
Aboitiz
said putting up the power plant could cost close to $500
million using the per-megawatt thumb rule of $1.5
million to $1.6 million.
Aboitiz
said they are also looking at applying for pioneer
incentives with the Board of Investments as an option.
“At
present, the free-port zone of Subic uses close to 40 MW
of power. So, we still have to look at other off-takers
that are preferably nearby,” said Aboitiz.
In July,
APC announced that it entered into a 50-50 arrangement
with Taiwan Cogeneration Inc. for a coal-fired power
plant project in Subic.
Aboitiz
said that perhaps they will expand the plant’s capacity
to its full capacity of 600 MW over time, or as the
requirement comes in.
The APC
head also expressed optimism that there will be a demand
for the plant’s output, saying that the demand is there
and is actually picking up.
Aboitiz
added that they have observed that growth has really
accelerated compared with the previous years and as the
economy continues to grow.
On July
16 this year, APC made its initial public offering,
opening at P6.20 per share and closing at P5.80 per
share.
APC
officials said that proceeds of the sale to the public
will be used to finance part of its plans to participate
in the privatization of the National Power Corp.’s (Napocor)
generating assets, particularly its hydroelectric and
geothermal plants, as well as fund for APC’s greenfield
power plant projects.
“Apart
from the Napocor’s assets privatization, we are looking
at some greenfield projects as it will bring in the
much-needed additional power capacity in the country in
the very near future. And with the
greenfield
projects, we expect to help the economy in the
requirements for additional power,” Aboitiz said. |
