RP Energy to build 600-MW Subic coal plant in 2 phases

by Lenie Lectura – February 29, 2016

from Business Mirror

REDONDO Peninsula Energy (RP Energy), led by Meralco PowerGen (MGen), the power-generation arm of Meralco, is likely to undertake the construction of the 600-megawatt (MW) coal-power plant in Subic in two phases.

“The last update was we might phase it, starting with 300 MW, depending on our ability to interconnect with NGCP [National Grid Corp. of the Philippines],” Meralco Chairman Manuel V. Pangilinan said.

Latest data from Meralco showed that construction of the power plant is “within 2016,” with commercial operation expected “in late 2019.”

It is composed of 2×300-MW generating units, with a maximum output of 600 MW. There seems to be no effect at all if RP Energy would initially construct only half of the power plant’s capacity and the other half at a later date, since “it just takes a few months before you can start phase 2,” Pangilinan said.

RP Energy has encountered right-of-way (ROW) problems that led to the delay in the construction.

“The issue is really the areas where the transmission line passes through from the power plant to the grid. We will have to review these areas.

“The ideal alignment includes areas occupied by indigenous people and there are pockets that are reserved areas. We can’t build on top of that. It’s prohibited,” Pangilinan said. Aboitiz Power Corp. and Taiwan Cogeneration International Corp. are also part of RP Energy.

Earlier, AboitizPower President and COO Antonio Moraza said a possible solution to the ROW problem has been identified.

“We have to connect to the Hermosa [transmission line] and I think the problem is from Hermosa to Castillejos. And I understand that a possible solution has been found for that. I cannot elaborate more because it’s not a solution yet,” he said.

The Energy Regulatory Commission (ERC) in May last year approved RP Energy’s application for the Redondo Peninsula energy to Castillejos’s 230-kilovolt line.