Three entities secure gov’t deals for RE projects

Three entities secure gov’t deals for RE projects

THE Department of Energy (DoE) has awarded service contracts to three entities for their renewable energy (RE) projects, the listed companies behind the planned power sources separately said on Thursday.

Basic Energy Corp., Alternergy Holdings Corp., and A Brown Co., Inc. said they had received their respective service agreements with the government, giving them an exclusive right to explore, develop, and utilize energy sources in their chosen project areas.

Basic Energy’s wind energy service contract (WESC) is for the proposed Ilocos Nearshore Wind Power Project located in Pasuquin, Ilocos Norte, which covers 5,502.54 hectares.

“The Ilocos Norte WESC is the latest addition to Basic Energy’s growing portfolio of wind projects which the Company looks forward to developing,” the company said.

The project’s service contract took effect on Sept. 15. It is expected to generate and deliver electricity to the grid ranging from 90- to 112-megawatt (MW) power based on a four-model simulation done by a foreign third-party consultant.

“With the effectivity of the said contract, [Basic Energy] will now initiate the deployment of its resources for the wind resource assessment campaign to validate wind regime in the said area,” the company said.

Alternergy Holdings Corp., through its subsidiary Liberty Solar Energy Corp. (LSEC), has been awarded a solar energy operating contract for its proposed Apulid Solar Power Project in Paniqui, Tarlac.

The project has a potential capacity of 49.9 MW of alternating current or 80 MW in defined conditions.

“Alternergy is excited to immediately pursue the development. Consistent with Alternergy’s pioneering initiatives in the RE industry, the Apulid Solar Power Project will be one of the first solar aquavoltaic projects in the country,” Alternergy Chairman and LSEC President Vicente S. Pérez said in a media release.

The planned solar farm is a ground-mounted facility to be co-located and integrated within an operational aquaculture farm.

Mr. Pérez said that the project “will serve a dual purpose which is to supply clean power to the grid and to sustain the aquaculture’s farm production.”

LSEC’s board of directors has approved the relinquishment of the award for the solar power project under the second round of the green energy auction (GEA), the government’s program of procuring RE supply through competitive bidding at a set maximum or ceiling price.

Mr. Pérez said that LSEC has opted not to pursue the second round of GEA as an offtake mechanism as “there are other potential markets which could bring better value to the project while at the same time continue to contribute to achieving the government’s renewable energy target.”

In a disclosure to the stock exchange, Alternergy said that LSEC’s board of directors approved the delivery to the DoE of P50 million by way of security for the company’s participation.

“It’s the option of the bidder. It was disqualified and the bid bond was called as a consequence of such decision,” Marissa P.  Cerezo, director of DoE-Renewable Energy Management Bureau, said in a Viber message.

The DoE has also awarded a WESC to Hydro Link Projects Corp. (HLPC), a subsidiary of listed A Brown Co., Inc., for its proposed wind power projects in Bukidnon and Misamis Oriental.

The service contracts are effective starting on Nov. 28.

HLPC has been duly registered as a renewable energy developer of the Bukidnon Wind Power Project and Misor Wind Power Project.

“With the award of the service contract, HLPC will proceed with pre-development activities and studies to ascertain the feasibility of the applied areas,” the company said. — Sheldeen Joy Talavera