Meralco plans to build power generation plants in Mindanao
MANILA, Philippines—Manila Electric Co. plans to break into the Mindanao power generation industry via selective projects fueled by either coal or natural gas, aiming to build a southern Philippine portfolio with capacity of between 135 and 300 megawatts.
Meralco forms part of the group of businessman Manuel Pangilinan, which has shown growing interest in doing business in the South, especially after the signing of the Bangsamoro peace accord.
In a recent chance interview, Meralco president Oscar Reyes said the group’s concentration would still be in Luzon but admitted that the company was also looking for greenfield or built-from-scratch projects in Mindanao.
“Our preference is greenfield but that’s without prejudice to doing brownfield in Mindanao,” Reyes said.
Under Meralco’s franchise, he said the group could generate power equivalent to 30 percent of the capacity of its own grid and 25 percent of the total national grid. This means it can build and/or acquire a power generation capacity of up to 3,000 MW, Reyes said.
Through its power generation unit, Meralco PowerGen Corp., the group had announced plans to build power facilities that could generate 2,700 MW in additional capacity in Luzon within a period of five years.
For Mindanao or even Visayas, Reyes said any forthcoming project would be selective.
“The capacity we’re building there is smaller. Some are focused on serving certain industries like mining—power generation projects for new greenfield mining,” Reyes said.
“We are bringing our track record and resources there so we can help create value in other areas of the country,” he said.
In Luzon, it was earlier reported that Meralco’s strategic intent would be to build “new, highly fuel-efficient, environmentally sound and reliable” combined cycle base load and mid-merit power plants.
The first 600-MW coal facility is now being put up at the Subic Bay Freeport in partnership with Aboitiz Power Corp. and Taiwan Cogeneration, through a company called Redondo Peninsula Energy (RP Energy). This marks Meralco’s re-entry to the power-generation business. An initial 300-MW capacity is targeted to be on stream by the first half of 2016.
Inquirer calls for support for the victims in Marawi City
Responding to appeals for help, the Philippine Daily Inquirer is extending its relief to victims of the attacks in Marawi City
Cash donations may be deposited in the Inquirer Foundation Corp. Banco De Oro (BDO) Current Account No: 007960018860.
Inquiries may be addressed to Inquirer’s Corporate Affairs office through Connie Kalagayan at 897-4426, email@example.com and Bianca Kasilag-Macahilig at 897-8808 local 352, firstname.lastname@example.org.
For donation from overseas:
Inquirer Foundation Corp account:
Inquirer Foundation Corp. Banco De Oro (BDO) Current Account No: 007960018860
Swift Code: BNORPHMM
Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.