MANILA, Philippines—Trans-Asia Oil and Energy Development Corp. is already finalizing a P4.3-billion debt financing facility that will help fund the construction of its 54-megawatt wind farm in Guimaras.
Trans-Asia president Francisco Viray, however, said that the company expects financial closure only when the Department of Energy is able to announce which among the renewable energy projects will be allotted a slot in the installation target, and therefore eligible to tap the feed-in-tariff (FIT) rates.
“We will wait for [announcement] of FIT eligibility,” Viray said.
The installation target referred to the total capacity of renewable-energy projects that will be allowed to be constructed within a three-year period. Of the total 760-MW installation target, only 200 MW had been allocated for wind power projects at a feed-in-tariff rate of P8.53 per kilowatt-hour.
Also, Trans-Asia reported that the commercial terms of the engineering, procurement and construction contract were already under final negotiations.
The Guimaras wind-farm project is being undertaken by the company’s wholly owned subsidiary Trans-Asia Renewable Energy Corp. (Tarec).
Tarec is left with 12 wind-energy service contracts, after relinquishing eight contracts last year. The areas covered by these eight contracts were found to be unsuitable for developing viable wind farms.—Amy R. Remo