DMCI wins bid for 25-mw diesel power plant in Palawan

MANILA, Philippines – Consunji-led DMCI group won the bid for the diesel power plant that can supply up to 25 megawatt (mw) in Palawan, one of the country’s premier tourist spots.

On Wednesday, July 18, listed DMCI Holding Inc. told the exchange that its unit DMCI Power Corp. offered the lowest True Cost Generation Rate of P9.38 per kilowatt-hour (kWh) in a bid to supply Palawan Electric Cooperative (Paleco).

DMCI Power president Nestor Dadivas told reporters they target to complete the power plant and make it operational by September 2013.

Dadivas added they will also prepare for a 15 MW coal-fired power plant, which could be expanded by another 15 MW depending on the demand growth of Paleco. The planned coal-fired plant is targeted for commissioning by October 2014.

Power supply issues

In the past two months, Puerto Princesa City has been experiencing recurrent power interruptions as the generating units of Paleco’s power providers experienced breakdowns.

The Department of Energy (DOE) said peak demand in Palawan is 30.5 MW. Supply from its current power providers total 35.5 MW, reflecting a thin buffer supply.

The DOE said there have been continuous discussions between them and Paleco officials on the possible involvement of state-owned National Power Corp. (Napocor) to provide additional power by December to help mitigate the power supply deficit.

The DOE stressed all the necessary measures must be in place given Palawan’s economic growth and tourism potentials.

Palawan’s electricity requirement are under the Small Power Utilities Group (SPUG), or Napocor’ missionary electrification coverage. SPUG provides electricity to remote islands and areas in the country.

Aside from Palawan, the other SPUG areas are Mindoro, Catanduanes, Romblon, Tablas, Siquijor, Sulu, Tawi-Tawi and Basilan. – Rappler.com

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