Lopez-led First Gen Corp. has secured a government permit to operate and maintain its offshore gas terminal in Batangas province for 25 years.
In a disclosure on Monday, the company said its unit FGEN LNG Corp. already received the permit from the Department of Energy (DOE), more than a year after the group completed the facility.
The project is composed of a multipurpose jetty and an onshore gas receiving facility, representing the initial phase of the liquefied natural gas (LNG) terminal.
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The group said the permit formalizes First Gen’s LNG infrastructure as part of the government’s Philippine Energy Plan.
“We are thankful to Secretary Raphael P. M. Lotilla and the Downstream Natural Gas Review and Evaluation Committee for the support and guidance provided throughout this process, and for issuing the POM (permit to operate and maintain),” said Giles Puno, president of First Gen.
As Energy Secretary, Lotilla previously highlighted the role of LNG as a transition fuel as the Philippines moves to embrace more clean energy projects.
The current administration is targeting to increase the share of renewables in the energy mix to 35 percent by 2030 from 22 percent at present.
The LNG facility was also tagged as an Energy Project of National Significance before, allowing its operator to enjoy faster permitting processes.
The firm has a total of 3,668 megawatts of installed capacity from its portfolio of plants that run on geothermal, wind, hydro, solar energy and natural gas. It also has a network of four gas-fired power plants in Batangas province: San Lorenzo, San Gabriel, Santa Rita and Avion gas plants.
For the first nine months of 2024, the group witnessed lower profit, dropping by 16 percent to $206.9 million from a year ago’s $246.79 million due to the weaker performance of its wind, geothermal and solar operations.
But Puno earlier expressed confidence in recording better financial performance driven by additional clean energy capacities. —Lisbet K. Esmael INQ