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EDC receives tax breaks for two projects worth a total of US$91 million

EDC receives tax breaks for two projects worth a total of US$91 million Bacon-Manito geothermal field, Philippines (source: EDC)
Alexander Richter 19 Aug 2011

Energy Development Corp. (EDC) receives tax breaks worth a total of P3.91 billion (US$91 million) for two projects, Southern Negros and Bacon-Manito.

Reported from the Philippines, “Energy Development Corp. (EDC) has bagged tax breaks for two geothermal power projects worth a total of P3.91 billion (US$91 million), the Trade department yesterday said.

The P1.39-billion (US$32 million) Southern Negros Geothermal production field produces the steam powering the 192.5-megawatt (MW) Palinpinon power plants owned and operated by Green Core Geothermal, Inc., an EDC subsidiary. The project is expected to employ 288 workers.

The Negros Oriental steamfield lies north of the dormant Cuernos de Negros volcano.

Palinpinon 1 has 25 production wells, 11 injection wells, and a 14-kilometer (km) pipe network, while Palinpinon 2 has 16 production wells, six injection wells and a 7-km pipe network.

On the other hand, the P2.52-billion (US$59 million) Bacon-Manito Geothermal Production Field (BacMan) straddling the Albay-Sorsogon border has two steamfield projects, BacMan 1 and 2, which supply steam to the 110-MW and 40-MW nearby power plants of the National Power Corp., respectively.

The project is said to employ 261 workers.

The first steamfield has 14 production wells, seven injection wells, and a 15-km pipe network, while the second steamfield has nine production wells, five injection wells and a 5-km pipe network.

Under the 2008 Renewable Energy Act, such projects are qualified for incentive such as income tax holidays and duty-free importation of equipment to eligible ventures.”

Source: Business World Online