RE developers, shipping firm seek gov’t perks
Renewable energy developers and a shipping operator are seeking tax perks and other incentives for their respective projects from the Board of Investments (BOI), as provided under the 2014 Investments Priorities Plan.
Based on separate notices from the BOI, Del Sol Energy CGS Inc. is applying for registration as a renewable energy developer of solar resources, which are expected to generate a combined 96 megawatts for General Santos City.
The company seeks to avail itself of incentives provided under Republic Act No. 9513 or the Renewable Energy Act of 2008.
Del Sol Energy will be putting up solar farms in two phases, the first of which will be a 48-MW plant in Barangay Conel, while the second will be a 48-MW plant in Barangay Tambler.
Sulu Electric Power and Light (Phils.) Inc. is also applying for registration as a renewable energy developer of solar resources. The proposed 50-MW Sepalco solar farm will be put up in Barangay Castilla, Palo in Leyte.
In another notice, Archipelago Philippine Ferries Corp. (APFC), which operates the Fast Cat fleet, is applying for registration with the BOI as a new domestic shipping operator of a roll-on, roll-off passenger ferry project. Fast Cat M10 has a 704 gross tonnage.
Earlier this year, APFC also sought incentives for two other Roro vessels namely Fast Cat M8, and Fast Cat M7, each of which also has a 704 gross tonnage.
Last year, APFC secured a P2.3-billion loan from the Japan International Cooperation Agency (Jica), meant to expand the company’s fleet and help improve the safety and modernization of the Philippine domestic shipping industry. The loan enabled APFC to order 10 brand-new ropax (roll-on roll-off passenger) vessels.
Under the 2014 IPP, these projects fall under the list of preferred activities. namely energy and public infrastructure and logistics.
If approved, these projects will be eligible for incentives including four years of income tax holidays for new projects with non pioneer status or three years for expansion and modernization projects.
Renewable energy projects can get a seven-year income tax holiday.
Other perks include duty free importation of machinery, equipment and materials, and tax credits on imported raw materials.
