23 October 2012 in The Philippine Star
UK's Global Green Power taps Chinese firm for power plant projs
UK-based Global Green Power Plc. (GGPC) has tapped a Chinese firm to build two power plants worth almost P5 billion in the Visayas.
The development will allow the Visayas to generate additional electricity by 2015, the company said.
In a statement, GGPC subsidiary Green Power Panay Philippines Inc., (GPPPI) said it hired First Northeast Electric Power Engineering Co. (FNEPC) of China as the engineering, procurement and construction contractor for two 17.5-megawatt (MW) multi-fueled biomass plants.
The awarding of the contract will allow the start of the construction of GPPPI’s first biomass power plant in an eight-hectare site in Mina, Iloilo.
GPPPI said it will invest P2.051 billion for the first power plant and P2.605 billion for the second plant.
Operation of the first biomass power plants will start in the first quarter of 2015, the energy firm said.
“FNEPC is a well-known brand name in China’s power construction industry, it is one of the largest scale, best capable construction enterprises incorporating both civil construction, design and erection work,” GPPPI said.
Initial works for the power plants in November and December include land preparation, civil engineering and detailed engineering design.
GGPC and GPPPI director Ramon Santos said the project will bring socio-economic benefits like employment and poverty alleviation to the host community.
Specifically, the company will use agricultural and food processing wastes like rice straw, sugar cane wastes and rice husks, Santos said.
Santos said farmers will have additional income opportunities through the agricultural wastes.
GPPPI president Maribeth de Montaigne said the company will take advantage of the feed-in tariff (FIT) of P6.63 per kilowatt-hour for biomass projects.
The FIT scheme guarantees investments of renewable energy firms through fixed rates that would be shouldered by consumers over 20 years.
GGPC is looking to develop 360 MW of thermal, multi-fuelled biomass power plants throughout the Philippine archipelago over the next six years.