5 June 2009 in The Manila Times
BOI grants tax perks to
‘green’ power projects
THE Board of Investments (BOI) approved the grant of tax and other perks to “green” power generation projects.
The incentives-giving agency said it granted pioneer status to the registrations of Green Power Nueva Ecija Philippines Inc. and Green Power Panay
Philippines Inc. for their 17.5-megawatt biomass power plants, one each in San Leonardo, Nueva Ecija, and Mina, Iloilo. Both are 70-percent Filipino-owned.
British firm Global Green Power PLC owns the remaining 30 percent of the venture.
The BOI said these biomass plants would use bagasse, coconut and rice husks, and corn and rice straws as inputs. The two plants will each need about 400 to 500 metric tons of biomass daily. The output will be sold to electric cooperatives, distribution companies and other power off-takers via the sub-transmission lines owned by these cooperatives.
The Nueva Ecija facility would cost P2.002 billion, while the Iloilo plant, P1.951 billion. These projects will employ 70 people each when their commercial operations start in January 2011.
The BOI also granted pioneer status to SURE Eco Energy Philippines Inc.’s (SEEPI) four biomass power plants—three in Luzon and one in Mindanao.
SEEPI will build a P40.247-million, 250-kilowatt plant at Silangan Swine Farm in San Jose, Lipa City; a P32.454-million, 250-kilowatt plant at Holiday Hills Stock and Breeding Farm in San Antonio, San Pedro, Laguna; a P13.849-million, 60-kilowatt plant at General Mamerto Natividad Breeding Farm in Barangay Bravo,
General Mamerto Natividad, Nueva Ecija; and a P105.932-million, 950-kilowatt plant at Monterey Farms in San Vicente, Sumilao, Bukidnon.
The plants will be the primary power source of the farms wherein they are located, the BOI said. These plants will produce biomass using mostly swine waste and wastewater discharges from their operations. The company will also earn from sales of carbon credits and sludge cakes (dried solid residues of the biomass production process), the BOI said. The four plants will be constructed under the Build-Operate-Transfer scheme, wherein SEEPI will operate the power plants for seven years before the company transfers their ownership.
All four facilities will start commercial operations in November this year, and SEEPI will hire a total of 25 workers.
SEEPI is 60-percent owned by Filipino firm Solutions Using Renewable Energy (SURE) Inc., and 40-percent held by Japanese firm MG Leasing Corp.
The BOI as well granted pioneer status to AP Renewables Inc.’s P22.725-billion, 747.5-megawatt geothermal power plants in Mount Makiling, Makban, Laguna and
Tiwi, Albay. The BOI said the National Power Corp. (Napocor) turned over the Tiwi and Makban Geothermal Power Plant to AP Renewables on May 25. Commercial operations will start this month, and the company will hire a total of 442 workers.