Meralco PowerGen Corp. (MGen), the power generating arm of Manila Electric Co. (Meralco), will start late next year the expansion of the 460-megawatt coal-fired power plant in Mauban, Quezon province, which calls for the construction of a similar plant with the same capacity.
The expansion will be undertaken in partnership with Thailand’s Electricity Generating Public Co. Ltd. (Egco).
“We will likely conduct the EPC (engineering, procurement, and construction) bidding in the first quarter next year,” said Angelito U. Lantin, Meralco PowerGen senior vice president for commercial development.
Construction may start late next year, he said. The new plant is scheduled for commissioning in 2017. The cost will be determined later after the EPC contractor has been identified, Lantin said.
Meralco earlier disclosed to the Philippine Stock Exchange that its power generation arm was executing a joint development agreement and other related agreements with Egco. The agreements cover the planned expansion of the Mauban project, covering the 460-MW coal-fired electric generating facility and a 31-kilometer transmission line.
Meralco PowerGen is expected to keep a 51-percent equity in the planned expansion project, according to company managing director Aaron Domingo.
Egco, the first independent power producer in Thailand, is a holding company with investments in power generation and supply. It also provides comprehensive energy services, including operation, maintenance, engineering and plant construction, to power plants and other industries in Thailand and overseas.
Meralco has been aggressively pursuing power generation projects in a bid to build a diversified power portfolio that can generate 2,700 megawatts of power over the medium to long term.
Meralco PowerGen is also pursuing a 600-MW coal-fired power project in Subic Bay Freeport, through Redondo Peninsula Energy Inc. and in a partnership with Aboitiz Power Corp. This project is, however, facing delay due to legal issues.
The company has also ventured into a natural gas project overseas in partnership with First Pacific Co. Ltd. The two firms formed PacificLight Power Pte Ltd. which holds a 70-percent stake in GMR Energy Singapore Pte. Ltd.—the owner and developer of an 800-MW natural gas power plant in Jurong, Singapore.