ENERGY DEVELOPMENT CORP., the country's biggest producer of geothermal energy, expects as much as P7.5 billion in additional revenues with the recent acquisition of the 112.5-megawatt (MW) Tongonan 1 and 192.5-MW Palinpinon geothermal power plants.

In an interview with the Inquirer, EDC president Richard B. Tantoco said the company?s projected additional revenues from the two geothermal power facilities might range between P6.5 billion and P6.7 billion, with a best-case scenario of P7.5 billion.

This is based on certain assumptions, including being able to generate at least 274 MW from the facilities and to sell some 870,000 kilowatt-hours a year with electricity prices pegged at the rates of National Power Corp. for the Visayas grid, among others.

Tantoco, however, stressed that the projections were preliminary.

?Being able to sell at Napocor rates and also of being able to sell all of the kilowatt-hours may be a bit aggressive in projecting our revenues since you don?t know how much volume you?re going to get out from the facilities and there will be some pricing pressure,? Tantoco explained.

To maximize the capacities of the two geothermal power plants, EDC, through Green Core Geothermal Inc., is now embarking on the rehabilitation of the facilities, following their turnover to the Lopez firm last week.

Green Core is a subsidiary of First Luzon Geothermal Energy Corp., which is wholly owned by EDC.

Through Green Core, EDC has submitted in September the highest bid of $220 million for the Palinpinon and Tongonan power plants, edging out the $200-million bid of the Aboitizes? wholly owned subsidiary, Therma Power Visayas Inc.

EDC officials said it might take about a year or two to complete the rehabilitation of the facilities.

Amy R. Remo