Taiwan firm in Subic offers cheaper power rate
Monday, May 01, 2006
By BERNIE CAHILES–MAGKILAT
Taiwan Cogeneration Corp. has offered to sell between P3.50- P3.60 per kilowatt-hour to Subic Bay Freeport, making the Freeport zone with the lowest power cost in Luzon, once its 0 million 300-megawatt power plant project in Subic goes on stream.
This was revealed by Subic Bay Metropolitan Authority administrator and chief executive officer Armand C. Arreza to reporters after the Taiwanese power firm signed a lease agreement.
Arreza said the Taiwanese has offered to sell between P3.50 to P3.60 per kilowatt hour of power direct to Subic Enerzone, which distributes power in Subic.
Enerzone, on the other hand, would add a 40 centavos distribution cost for.
At present, electricity cost in Subic is pegged at P5.40 but it has a pending application with the National Transmission Corp. (TransCo) and the Energy Regulatory Commission (ERC) for a 35-centavo reduction.
"This makes us the cheapest in power cost in Luzon," Arreza said.
Arreza stressed the power firm needs to be able to supply 180 MW power to break-even. Construction of the Taiwanese-owned project is expected to be completed in two years.
So far, however, the 300-MW capacity of the Taiwanese power firm is more than enough to serve the entire Subic area with the Subic town’s power demand of only 20-MW and 30-MW additional once the shipbuilding operation of Hanjin goes on line.
Once the project of China’s leading manufacturer Hebei Jingniu Crystal Bull Co. Ltd. is expected to require 40-MW for its four glass manufacturing lines.
Hebei plans to put up a 0-million glass production facility inside the Freeport.
Arreza said the excess power capacity may be sold to Clark and nearby towns in Zambales.(BCM)
posted by philpower @ 10:11 AM,
