Quezon Province to supply Luzon with 4,000-5,000 MW power capacity by 2019

By , on January 19, 2015

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MANILA — Quezon Province will supply Luzon about 4,000-5,000 Megawatts (MW) worth of power capacity by 2019, making them the most powerful province in the region, said Governor David Suarez.

”By 2019, Quezon Province will be the most powerful province… 1,500 MW plus 2,500 is 4,000,” Suarez told reporters.

He noted the province will have a bigger power capacity than Batangas by 2019.

The governor broken down the projects as: 1,200 MW power capacity from MGen’s Atimonan project; 1,500 MW from San Buenaventura’s Coal Fired Power Plant in Mauban; Pagbilao Energy Corporation’s 750 MW from the Pagbilao Power Station; and Energy World Corporation’s (EWC’s) 400 MW Liquefied Natural Gas (LNG) plant.

The province has already approved the applications for the expansions of the Pagbilao Power Plant, the San Buenaventura Coal Fired Power Plant in Mauban and the LNG plant facility of Energy World Corporation, according to Suarez.

He, however, pointed out the delay with the 1,200 MW Atimonan project spearheaded by the MGen stems from the incomplete environmental requirements.

”Issues well on the side ng investor, I’m still awaiting the Environmental Compliance Certificate (ECC), environmental impact assessment, other than that the recommendation of the provincial development council and the recommendation of the ‘Sangguniang Pang-lalawigan’,” he said.

Suarez is hopeful that the applications will be completed this 2015, adding some projects only need ministerial requirements.

Based on Energy Department figures, Quezon has a capacity of 1,224 MW from the Quezon Power Phils Mauban Coal Fired Power Plant at 460 MW dependable capacity and Team Pagbilao Corporation’s Pagbilao Power Station at 764 MW capacity.

Adding the total expansions and Quezon’s total current power capacity, basing further on Department of Energy (DOE) figures, Quezon reaches a total supply of 4,944 MW by 2019, since Pagbilao’s expansion is rated at a capacity of 420 MW, while EWC’s LNG plant has a total capacity of 600 MW.

On the other hand, the governor mentioned among Pagbilao-3’s expansion requirements was the payment of a real property tax (RPT).

He noted Pagbilao 1 and Pagbilao 2 will be required to pay RPT by 2025, recalling the two units created a legal battle between Quezon province and Team Energy Corporation. It led to Malacanang giving out an Executive Order (EO), which condoned the taxes charged.

Suarez added Team Energy Corporation only paid 15 percent of its required taxes.

The governor said the province based the assessment value for the real property tax at a total of 80 percent, including the 1,500 MW San Buenaventura Coal Fired Power Plant and the 1,200 MW MGen led Atimonan project.

He hopes the numerous power projects in the province will improve its income by leaps and bounds.

Further, Suarez said Energy World Corporation’s 600 MW LNG plant is targeted to be operational on test capacity at 400 MW during the second quarter of this year, adding the turbines have already arrived.

He added a power plant will eventually be built by EWC, following the completion of the 600 MW LNG Depot.

Meanwhile, Suarez said the many coal plants in his province does not create worries, given that companies conform and follow the strictest environmental standards.

”No, it’s (environment) not an issue as long as they conform and follow the strictest environmental standards. Coal has always been placed in a bad light, but with the technology being available now, clean coal is being processed into electricity,” he said.