The construction of Northern Luzon UPC Asia Corp (NLUPC)’s $220 million, 81-MW wind project in Pagudpud, Ilocos Norte has begun, according to the Department of Energy (DOE).
DOE-Renewable Energy Management Bureau director Mario Marasigan said in a text message the groundbreaking ceremony for the UPC’s Pagudpud wind project at Brgy. Caparispisan was held on Sept. 3.
“Commercial operations will begin by late 2014 or early 2015,” Marasigan said Thursday.
The Department of Energy (DOE) issued the declaration of commerciality for the 81-MW project on June 17, 2013.
Accordingly, NLUPC has signed the Turbine Supply, Installation and Service Availability Agreements with Siemens Wind Power A/S and Siemens Inc. and has issued the Notice to Proceed.
The project’s initial phase is expected to be connected to the grid by June 2014.
The joint venture company has a portfolio of 200 MW of wind energy projects under development.
NLUPC is a joint venture company of AC Energy Holdings Inc. and UPC Philippines Wind Holdco I B.V.—a wholly owned unit of UPC Renewables Partners (UPC) and the Philippine Investment Alliance for Infrastructure (PINAI) fund.
With an initial equity investment of approximately $220 million, NLUPC was put up to develop renewable energy projects.
Ayala Corp. CFO Delfin Gonzales Jr. said in a disclosure in July that the wind project in Pagudpud would grow ACEHI’s wind farm portfolio in the Philippines, building on its current 50-percent ownership of NorthWind Power Development Corp., which already operates a 33MW wind farm in Bangui, Ilocos Norte.
Over the past two years, ACEHI has established a robust pipeline of power assets and has committed over $300 million of equity in conventional and renewable energy technologies.