San Miguel coal plants get clearance

by Alena Mae S. Flores, 27 April 2015
from Manila Standard Today

Conglomerate San Miguel Corp. said it has received clearance from the Energy Department to conduct a grid impact study for new coal-fired power plants with a combined capacity of 2,400 megawatts.

The approval covers SMC Global Power Holdings Corp.’s new coal projects, including the 600-megawatt coal plant in Malabuyoc, Cebu; 600-MW coal plant in Batangas City; and 1,200-MW coal plant in Mariveles, Bataan.

San Miguel président Ramon Ang earlier said the company was expanding its power business by putting up a new 300-MW to 900-MW coal project in Cebu that would address the region’s growing power needs.

“We are at a moment building 900-MW power plant in Bataan. And also another one in Mindanao and Davao.  Also, we will be building one in Cebu for the Visayas market. Cebu is initially 300 MW, as needed, 900 MW,” Ang said.

Visayas’ supply reached 1,615 MW Monday, above the demand of 1,556 MW, leaving reserves of only 59 MW.  Mindanao has zero reserves as of Monday while Luzon’s reserves stood at 1,178 MW.

Ang earlier said the conglomerate was studying if it would tap Formosa Heavy Industries of Taiwan as engineering, procurement and construction contractor for the new projects.

Formosa is the EPC contractor for the San Miguel’s Bataan and Davao coal-fired power projects.

Ang said the company was on track for the construction of the Bataan and Davao coal projects.

San Miguel also plans to construct 2,100 megawatts of coal-fired capacity in Limay, Bataan and Malita, Davao from 2016 to 2020.

The first 150 MW out of the planned 900-MW coal-fired power project in Barangay Lamao in Limay, Bataan is expected to be completed by February 2016.

The second 150-MW phase of the Bataan coal project is eyed for completion by July 2016.

The company will next construct the additional 300 MW  of the Bataan coal project by 2017.

San Miguel will also construct a single 300-MW power plant which is targeted for commissioning by 2019 to 2020.

San Miguel also started construction of the first phase (300 MW) of the Davao coal projects with a total capacity of 1,200 MW.

The first unit (150 MW) of the Davao coal project is due for completion by October 2015 and the second unit (150 MW) by March 2016.

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