EDC optimistic to win auction for Palinpinon and Tongonon
Energy Development Corp. (EDC) is optimistic of winning the 192.5-megawatt Palinpinon and 112.5- MW Tongonan geothermal plants set be auctioned by the government next month.
Reported locally, Energy Development Corp. (EDC), the renewable energy arm of the Lopez Group, is optimistic of winning the 192.5-megawatt Palinpinon and 112.5- MW Tongonan geothermal plants set be auctioned by the government next month.
Power Sector Assets and Liabilities Management Corp. decided to bid out Palinpinon and Tongonan geothermal power plants as one package on August 12.
“We will win [the asset]. It’s crucial to us because we supply the steam,” EDC president Paul Aquino said. Aquino said the company would have “flexibility in operations once it owns the geothermal power facilities.” “We can make the plants more efficient. We will win it,” he said.
He said the company was preparing to participate in the bidding and looking for possible financing sources if it won the bidding. “We will participate in the bidding on Aug. 12 and we have to have money for that,” Aquino said.
The Palinpinon geothermal facility is located in Barangay Puhagan, Valencia, Negros Oriental. The plant utilizes steam supplied by EDC, owned by the Lopez group.
Palinpinon 1, with an installed capacity of 112.5 MW, was commissioned in 1983. An additional 80 MW was added from 1993 to 1995, bringing its total capacity to 192.5 MW.
The Palinpinon power plant supplies 18 percent to 20 percent of the electricity demand in the Cebu-Negros-Panay-Bohol-Leyte-Samar grid.
PSALM had planned to auction the Palinpinon plant last year but decided to move the bidding this year due to issues surrounding the steam supply contract.
On the other hand, the Tongongan geothermal facility is located in Sitio Sambaloran, Barangay Lim-Ao, Kananga, Leyte. The Tongonan facility was commissioned also in 1983 and also uses steam supplied by EDC.”
Source: Manila Standard Today