Rehab of Mindanao hydros seen to boost power supply
CAGAYAN DE ORO CITY—Renewable energy and consumer advocates have welcomed the prospect of rehabilitating the state-owned Agus and Pulangi hydropower generating facilities in Mindanao.
According to BenCyrus Ellorin, project director of Consumers for Renewable Energy Action in Mindanao (CREAM), the Power Sector Assets and Liabilities Management Corp. (PSALM), which now owns the hydro assets, has received two unsolicited proposals from entities interested in undertaking the rehabilitation of the power plants.
Ellorin said the rehabilitation is long overdue, as continued operation of the aging facilities risks further irreversible deterioration.
Citing information from the Public-Private Partnership (PPP) Center, Ellorin said one proposal came from a subsidiary of San Miguel Corp., while another was submitted by Greenergy Development Corp., a Mindanao-based firm and pioneer in solar energy systems in the region.
Evaluation
The rehabilitation of the plants is expected to increase their combined output from the current 600 megawatts to about 1,000 MW. “This is a big boost to Mindanao’s transition to clean energy,” Ellorin told the Inquirer.
The Mindanao Development Authority has set an ambitious target of making renewable energy account for half of the region’s energy mix by 2030, in line with the country’s goal of reducing dependence on fossil fuels.
Engineer Cereal Donggay, president of Greenergy Development Corp., confirmed that their unsolicited proposal has passed the “completeness” evaluation of the PPP Center and will undergo detailed assessment by the PSALM.
Greenergy has proposed to rehabilitate the six Agus hydropower plants in Lanao del Sur and Lanao del Norte, as well as the Pulangi IV plant in Maramag, Bukidnon, with an estimated cost of P35.76 billion.
Ellorin added that the full rehabilitation of the Agus and Pulangi facilities could help lower electricity costs in Mindanao and improve its competitiveness as an industrial hub.
