REDC set to build hydro plant in Labayat, Quezon

by Lenie LecturaMay 10, 2016

from Business Mirror

THE Repower Energy Development Corp. (REDC), the mini hydropower business of local investment holding company Pure Energy Holdings Corp. (PEHC), broke ground for a run-of-river hydropower-plant project in Upper Labayat, Quezon Province. The hydro facility will be built in the upper cascade of the Labayat River, while the power station itself will be built at Barangay Maragondon, Municipality of Real, Quezon.

With an installed capacity of 3 megawatts (MW), the power plant will generate over 16 gigawatt (GWh) of clean and renewable energy annually, which is equivalent to the consumption of around 20,000 households. This makes the Upper Labayat mini hydropower plant one of the most efficient power plants constructed by REDC.

The high-pressure hydropower plant station will use water from the Upper Labayat river stream and produce power for the local community. The plant is scheduled to begin its operations in the fourth quarter of 2018, after a construction period of about two years.

Upon completion, the power plant is expected to last for 100 years and will be the first mini hydropower project in Quezon province. REDC currently has five more mini-hydropower projects in Quezon alone that are in the pipeline, and will break ground on its second Quezon project next month.

 “This is one of the projects that we’re building to benefit the local community as we will provide clean, reliable, and sustainable energy. This project will directly address the province’s overdependence on coal power plants as its primary energy source,” said Dexter Y. Tiu, REDC chief executive. The Upper Labayat hydropower plant’s renewable-power output through a 2.5-kilometer transmission line is expected to qualify for Feed-in-Tariff (FiT) incentives and get dispatched in the electricity spot market at P5.90 per kilowatt hour (Kwh) under the FiT rate for hydro power.

The hydro project is in partnership with Frabelle and TSP Marine Group, a giant food and fishing conglomerate that recently ventured into the renewables business through a consortium with Markham Resources to build mini hydroelectric plants covering Luzon and other areas in Mindanao.

Frabelle Group’s president Francisco Tiu Laurel said the project will not only provide power needs in the local community, but can, one day, supply their own factories and shipyards.  “The hydropower project, once constructed, will generate more energy than our own factory requirements and, at the same time, stabilize the energy needs of the communities here,” he said referring to the municipality of Real, Quezon, where the project is located.

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