Panay Energy Development Corp., a wholly owned subsidiary of Global Business Power Corp., has signed a 25-year electric power purchase agreement with the Panay-Guimaras Power Supply Consortium (PPSC).
In a statement, Panay Energy said it would supply 24 megawatts of power to the five electric cooperative members of the PPSC alliance, at P5.05 per kilowatt-hour. The said purchase agreement will take effect in July 2016 and the power will come from Panay Energy’s 150-MW expansion project.
“Committed to provide adequate, reliable and cost-efficient power supply, we support undertakings that serve the best interest of the consumers. We take pride in being able to bring down and offer the best rate in the market through our efficient operations and business approach,” Global Business Power executive vice president Jaime Azurin said.
“We can expect efficient use of fuel from a single larger plant of 150 MW that is equipped with the latest circulating fluidized bed boiler technology. Likewise, we were able to reduce the project’s development cost for there are existing facilities, like the jetty port, that can be shared with the expansion plant. The cost benefits of our expansion plant enabled us to offer the rate of P5.05 per kWh, the lowest offered price of electricity in the Visayas,” Azurin further explained.
PPSC is an alliance of electric cooperatives in the Panay-Guimaras area namely Iloilo Electric Cooperatives I, II, III; Antique Electric Cooperative; and Guimaras Electric Cooperative. The said alliance was formed for the main purpose of negotiating more competitive prices through aggregation of power requirements.