by Alena Mae S. Flores – September 29, 2017 at 07:01 pm
Alsons Consolidated Resources Inc. approved an investment of up to P1 billion into the 15.1-megawatt Siguil hydro power project through unit Alsons Renewable Energy Corp., the direct owner of the project company called Siguil Hydro Power Corp.
“Construction of the Siguil Hydro plant will commence shortly within this year upon completion of all necessary permitting and formalities,” Alsons said in a statement.
The P3.7 billion run-of-river hydroelectric power project is located at the Siguil River basin in Maasim, Sarangani province. It is expected to begin commercial operations within the first half of 2020 and provide electricity to Sarangani, General Santos City and key municipalities of South Cotabato.
Alsons also approved a performance undertaking to be issued to its long-time partner Toyota Tsusho Corp. in support of the sale to the Japanese government of half of the Siguil Hydro Project’s carbon credits.
The company said this was done under the auspices of the Japanese government’s Joint Credit Mechanism for the reduction of world-wide carbon emissions.
A JCM project is typically implemented by Japan and a host country through bilateral agreements.
Projects using advanced low-carbon technology such as the Siguil Hydro project are implemented and the resulting greenhouse gas emission reductions may be credited to the project proponents of both participating countries, thus allowing Siguil Hydro to receive additional revenues through the sale of carbon credits.
An international consortium agreement between Alsons, AREC, Toyota Tsusho and Siguil hydro was signed on September 26.
Alsons is also looking at developing a 40-MW hydro power project in Negros island along the Bago River.
Alsons is primarily engaged in power generation in the island of Mindanao. It operates four power plants that have all contributed significantly to helping end the outage in Mindanao.