MANILA -Aboitiz Power Corp. is looking at expanding one of its coal-fired plants in Cebu to help boost power generation capacity in the populous province, its top official said.
AboitizPower president and CEO Emmanuel Rubio told reporters last week that his company was studying the possibility of increasing the capacity of the 340-megawatt (MW) Therma Visayas Inc. (TVI) coal plant in Toledo City, on top of developing a 150-MW liquefied natural gas (LNG) plant in Naga City.
“We’re looking at what it’s going to cost … and we need to understand whether we can still finance it or whether we can ensure it,” Rubio said.
“We don’t just want to build it. We just want to make sure that we justify it if we’re going to use that option (coal expansion),” he added.
To recall, a moratorium on new coal-fired power plants was issued in October 2020 under the Duterte administration. Last year, the Department of Energy (DOE) said the moratorium would remain under administration of President Marcos.
Rubio clarified, however, that the TVI plant had “all the permits,” including an environmental compliance certificate, and that AboitizPower had presented the option of expanding the coal plant to the DOE.
At the same time, Rubio said LNG plants could help displace more expensive plants running in Cebu, which relies mostly on coal- and diesel-fired power plants.
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“At the end of the day, we really have to balance everything and we need to provide the most optimum solution to the Cebuanos,” he said.
The company again hinted at its foray into LNG development in April, when it identified the municipality of Pagbilao in Quezon province as an ideal site for a natural gas plant to boost supply in the Luzon grid by at least 1,200 MW.
READ: AboitizPower eyes LNG dev’t in Luzon
Rubio explained that they were looking at distributor Manila Electric Co. as a potential buyer and that they would deliver the 1,200-MW capacity with the help of Japanese firm Jera Inc. by 2028 or 2029.INQ