San Miguel to put up power plants in Cebu, Panay
MANILA, Philippines – San Miguel Corporation (SMC), through SMC Global Power Holdings, eyes to put up power plants in Cebu and Panay Island.
SMC President Ramon S. Ang said the conglomerate is beefing up its power generation business, with plans to put up power projects that could be finished in 3 years.
“We want to continue to provide power," he said.
Asked about a possibility of oversupply by 2018, Ang said, "It’s okay if (margins are) thin. It’s our way of helping the country.”
Both planned power plants in Cebu and Panay will utilize clean coal technology and will have a capacity of 300 megawatts (MW) each.
“We can put up the plant in two and a half years to 3 years,” Ang said.
SMC Global Power’s current aggregate capacity stands at 2,685 MW and is set to commercially operate its first 300-MW power plant in Malita, Davao del Sur, in the first quarter of 2016.
The second unit, with a capacity of another 300 MW, will be commercially available by the third quarter of 2016.
Ang said the new power plant will help boost power capacity, alleviate the power crisis, and make affordable electricity available to consumers in Mindanao.
The conglomerate is also constructing a 600-MW coal-fired power plant in Barangay Lamao in Limay, Bataan, that will come on stream starting 2016.
The first 300-MW unit will be switched on next year, as well as another unit of the same capacity by 2017.
Formosa Heavy Industries was tapped as engineering, procurement, and construction contractor for the Bataan and Davao power projects.
SMC Global Power, which entered the power sector in 2009, was awarded independent power producer administrator contracts for the 1000-MW Sual coal power plant owned by Team Energy; 1,200-MW Ilijan power plant in Batangas owned by Korea Electic Power Corporation; and the 345-MW San Roque power plant.
It also won the contract to rehabilitate and operate Albay Electric Cooperative.
In only 4 years, SMC Global Power has become one of the largest independent power generation companies in the country, with an installed capacity of 2,545 MW.
In August, SMC Global Power raised $300 million from banks to finance its various power projects. – Rappler.com