Mitsubishi Power enters LNGPH Batangas supply chain
Japan-based Mitsubishi Power sealed a deal to provide components for the 1,278-megawatt (MW) gas facility in Batangas, an asset currently managed by Filipino energy giants.
The Japanese firm said on Monday that its local after-sales arm, MHI Power (Philippines) Plant Services Corp., had signed a long-term parts and services agreement with LNGPH, backed by San Miguel Corp., Aboitiz Power and Meralco PowerGen Corp.
LNGPH operates through South Premiere Power Corp. (SPPC) and Excellent Energy Resources Inc.
Under the pact, Mitsubishi Power will provide critical parts and services, including hot parts and spare parts supply, repair works and technical advisory services.
“Sustaining the performance and reliability of power assets is at the core of Mitsubishi Power’s engineering excellence. Through this long-term partnership with LNGPH and SPPC, we are not only maintaining vital infrastructure, but ultimately are helping provide stable, flexible power generation to meet the Philippines’ evolving needs for decades to come,” Akihiro Ondo, managing director and CEO of Mitsubishi Power Asia Pacific, said in a statement.
The group claimed that it was the only manufacturing company in the power sector with an engineering and service hub.
With this deal, Yari Miralao, president and CEO of LNGPH, expressed optimism about the capacity of the company to continue delivering electricity to Luzon.
“Today, with a power supply agreement extending through 2040 and a renewed commitment from our ownership group, we are confident in the plant’s continued role in supporting the country’s energy needs,” Miralao said.
“We will continue enhancing the reliability and efficiency of our assets to help power the Philippines’ long-term economic growth,” he added.
The Department of Energy has been saying that liquefied natural gas (LNG) is a “crucial” transition fuel in the Philippine renewable energy journey.
International think tank BMI, a unit of the Fitch Group, previously noted that the local market would import around 12 billion cubic meters of LNG by 2030.
