EDC to build P130M facility to connect Bac-man3 to Luzon grid

Rappler.com

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EDC to build P130M facility to connect Bac-man3 to Luzon grid
The renewable energy firm is hoping for provisional approval from the ERC to connect its 31MW geothermal plant within the projected timeframe of December 2017

MANILA, Philippines ­– The Lopez-led Energy Development Corporation (EDC) is seeking regulatory approval for a P130-million ($2.765 million) facility to connect its Bac-Man 3 geothermal expansion project to the Luzon grid.

EDC’s Bac-Man 3 geothermal power plant in Sorsogon province, which is expected to be operational by December 2017, will add 31-megawatt (MW) to the Bac-man geothermal fields two existing plants’ capacity of 130 MW.   

The project is aimed at supplying the rapidly increasing energy demand in Luzon.

Existing capacity of the Luzon grid as of 2015 is 11,612MW. The Department of Energy (DOE) projects that an additional capacity of 1,000MW will be needed by 2017.

To do so, the Bac-Man3 project still needs to be connected the plant to the Luzon grid. To this end, EDC intends to build a connection asset for its exclusive use, which shall connect the plant directly to the Palayan Bayan switchyard.

The proposed interconnection project consists of a 230 kilovolt (kV) connection asset, composed of transmission wires, steel towers, steel poles, and other related facilities.

“Given the needed additional capacity by 2017 and onwards as projected by the DOE, the completion of the Bac-Man3 within the projected timeframe is critical to ensure that additional capacity will be available for the Luzon grid in a timely manner, EDC said.

EDC is hoping that thel Energy Regulatory Commission (ERC) will provisionally authorize the development, ownership, and the operation of the connection project considering that the impending power crisis projected by the DOE warrants the issuance of a provisional authority,” said EDC in its 13-page application.

The ERC has set a hearing on January 20 next year to tackle EDC’s application.

EDC said that it has sufficient funds on hand to complete the construction of the interconnection project and the main Bac-Man3 plant.

In September, EDC agreed a design and equipment supply contract with Hyundai Engineering Company, Limited (HEC) and a construction services contract with Galing Power & Energy Construction Company Incorporated, for the engineering, procurement, and construction of the Bac-Man 3.

In addition to the Bac-Man 3 project EDC owns and operates 1,169MW of integrated geothermal projects in Leyte, Negros Islands, Bicol and North Cotabato. – Rappler.com

$1 = P 47.02

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