DOE gets new wind farm proposals
Wednesday, December 07, 2005
By MYRNA M. VELASCO
Despite identified constraints in project implementation, the Department of Energy (DoE) divulged that it was able to corner some fresh interest from investors for the development of at least 16 wind farmsites.
Listed for prospective wind power facilities are those in Carmen and Oslob, Cebu sites to be developed by Transnational Diversified Corporation, Asia One Power Corporation and Cammon Windsolar Energy, Inc.; Bago City and Cauayan, Negros Occidental by FirstGen Renewables, Inc.; AilenLavasares and Calbayog in Northern, Samat by Benguet Corporation; Siquijor site by Asia One Power Corporation; Pasuquin, Ilocos Norte by Transnational Diversified Corporation; Bantay, Ilocos Sur by the Philippine National Oil Company-Energy Development Corporation; Bani and Bolinao, Pangasinan by Nation Petroleum Corporation; Maconacon, Isabela and Tagaytay, Cavite by Transnational Diversified Corporation; San Andres, Quezon by Nation Petroleum Corporation; Mercedes, Camarines Norte by TransAsia Renewable Energy Corporation and Daet, Camarines Norte by Coastal Power Development Corporation.
The others are those in Abra de Ilog; Pagudpud, Ilocos Norte; Malay, Aklan and Nuventa, Surigao del Sur by PNOC-EDC; Carranglan, Nueva Ecija by Coastal Power; Lamon Bay in Mauban, Quezon by Pacific Manufacturing Resources; Caliraya, Laguna by CEO Incorporated and Nation Petroleum; Pandan, Antique by First Gen Renewables; and San Remigio, Antique by Transnational Diversified Corporation.
Department of Energy director for Energy Utilization Management Bureau Mario C. Marasigan said some pre-commercial contracts (PCC) are now being negotiated; subject to finalization of detailed engineering design and identification of the scheme of development; which is similar to a higher level of feasibility study.
He added that it remains a target for the energy department to install about 425 megawatts of wind-based power projects in the next 10 years; though realizing that getting there would entail dealing with some hurdles.
Energy secretary Raphael P.M. Lotilla acknowledged that there are a lot of issues and concerns yet to be resolved for all of the targeted projects; including financing, connectivity to the grid; and delivery mechanism for generated electricity.
Making reference to the 25-megawatt pioneering venture of Northwind Power Development Corporation, the energy chief noted that it would take a lot of courage for any investor to plunge into wind power project; but he stressed that this company’s experience could be taken as a model by other interested investors.
For instance, one of the investment practice pioneered in its wind project development initiative is tapping guarantee from Danish International Development Agency (DANIDA) and was matched by a counter-guarantee from Philippine Export-Import Credit Agency.
For its part, the energy secretary vowed that they would continue to provide incentives as enunciated under the Investment Priorities Plan.
Lotilla also opined that "there is a need for the wind farms to be geographically scattered so that at any time during the day, there is constant power coming from the windmills."
Another specific area that the government is focusing attention to is on the passage of the Renewable Energy Bill; which is still pending for deliberations in Congress.
In the first wind contracting round last year, the DoE offered 16 wind sites; and this culminated in the signing of pre-commercial contracts for five areas with private investors.
The value-creating gain from advocating such policy, it was noted, will come in the sense that this will provide impetus to the country’s bid to significantly cut down its reliance on imported energy resources.
The existing set of perks granted to investors in the development of renewable energy resources are income tax holidays and exemptions from or reduced real property tax, tax on domestic capital, and import duties. (MMV)
posted by philpower @ 9:19 AM,
