Mindanao plant told to buy local coal
Thursday, January 19, 2006
By Lizanilla J. Amarga
VILLANUEVA, Misamis Oriental -- The $360 million 210 megawatt Mindanao Coal-Fired Power Plant is about 80 percent complete and its boiler has passed all applicable local and international standards on boiler pressure, Steag State Power Inc. president Andreas Rubin said Wednesday.
This developed as the National Power Corporation (Napocor) is asking Steag State Power Inc. to help the government minimize coal importation by sourcing their coal demands from within the country and not from Indonesia.
In keeping with European tradition, the Steag State Power Inc. held the Boiler Pressure Test Ceremonies Wednesday, which was attended by no less than Ambassador to the Philippines of the Federal Republic of Germany, Dr. Axel Weishaupt along with other German envoys and energy officials.
Rubin said the Boiler Pressure Test is an important step for the power plant and that in Europe they have a special ceremony for the same. He said this as the boiler, which is the Power Plant's biggest component unit, produces the steam that will be used in the generation of electric power.
"The boiler has to go through hydro and pressure tests. The successful conduct of the tests means that the boiler of the Power Plant passed all applicable local and standards on boiler pressure," he said. "This is the essence of our celebration," added Rubin.
Meanwhile, Napocor Mindanao Generation vice-president Dr. Pasayud Macarambon during his speech asked Steag State Power Inc. to buy their coal supply locally. He said the government is moving for a more independent energy supply by reducing importation of oil, gas and coal.
"I would like to ask that Steag help the government achieve this energy independence by trying to minimize coal importation," he said. Macarambon voiced hopes that Steag would confine its importation to 50 percent and sourcing the other 50 percent just within the country.
Misamis Oriental Governor Oscar Moreno, vice-governor Julio Uy Cagayan de Oro City Mayor Vicente Emano and Villanueva town mayor Julietta Uy were one in saying that though the coal plant might have some environmental repercussions but it would be kept to the minimal.
They also reiterated their vow to be the first ones to call for a stop on the operations, should the plant is found to be violating environmental laws.
They believe that the coal plant would make sure that the 6.5 percent per year growing demand for electricity in Mindanao would is met and would redound to the benefit of not just for their respective localities but to the entire country. The Philippine Energy Plan 2005-2014 reported that the existing power producers in Mindanao would not be able to meet the fast-growing electricity demand for the island even with the presence of this plant.
The coal plant is currently employing some 3,000 local workers mostly coming from host communities and has raised the local customs revenue collections to a whooping P2.1 billion or P1.047 billion compared to the same period last year in a span of 10 months alone.
Rubin recounted how in January 2004, there was the groundbreaking ceremony for the coal plant and that they promised that by the end of 2006, they would have already completed the plant. "We are on track to delivering this promise, with about 80 percent of the project completed," he said.
Rubin gave his assurance that under the able leadership of the members of the Steag State Power Inc. and its chairman Washington Sycip, the commitment of contractors -Kawasaki Heavy Industries, Inc. and Kawasaki Plant Construction--and the local government units and communities along with NGOs, the project would be completed in time.
"You can be sure that we will see each other again on this site in January next year--this time to inaugurate the Power Plant," he said during his speech.
posted by philpower @ 9:15 AM,
