Hydropower plant in Quirino pushed
By MYRNA M. VELASCO
October 28, 2011, 1:38am
Source
MANILA, Philippines — The long-planned large-scale hydropower project in Northern Luzon of 320 megawatts capacity may finally get on stream with the new investor group recently signing a service contract with the Department of Energy.
The investor-group is Gem Holdings Inc. It intends to develop the Diduyon hydroelectric power project in Quirino province.
The scale of investment for the project will likely reach up to $640 million or about P27 billion (at current peso-US dollar exchange rate). The investment rule of thumb for large-scale hydro facilities ranges from $1.5 million to $2.0 million per megawatt.
The signatories to the RE service contract are Lucio Tan Jr. for Gem Holdings and Energy Secretary Rene D. Almendras, on behalf of the DOE; and witnessed by Mel Samson and Maris Cerezo.
The project developer’s move at signing a service contract with the department will enable it to avail of the incentives under the Renewable Energy Act.
The entry of Tan’s group into the power sector is somehow completing the loop as far as positioning energy as the current investment game of the country’s billionaires.
According to the energy department, the proposed hydropower project will be developed along the Diduyon River in Cobarroguis and Natipuhan sites in Quirino.
Based on previous studies undertaken by the Japan International Cooperation Agency (JICA) for the Diduyon hydropower prospect, the megawatt capacity of the facility can actually be ramped up to 345 megawatts. Back in 2001, the total investment cost penciled in for the propounded facility was at $674 million.
Hydrologic assessments indicated that the proposed facility may contribute up to 957 gigawatt hours (GWh) of average annual energy generation for the Luzon grid.
By MYRNA M. VELASCO
October 28, 2011, 1:38am
Source
MANILA, Philippines — The long-planned large-scale hydropower project in Northern Luzon of 320 megawatts capacity may finally get on stream with the new investor group recently signing a service contract with the Department of Energy.
The investor-group is Gem Holdings Inc. It intends to develop the Diduyon hydroelectric power project in Quirino province.
The scale of investment for the project will likely reach up to $640 million or about P27 billion (at current peso-US dollar exchange rate). The investment rule of thumb for large-scale hydro facilities ranges from $1.5 million to $2.0 million per megawatt.
The signatories to the RE service contract are Lucio Tan Jr. for Gem Holdings and Energy Secretary Rene D. Almendras, on behalf of the DOE; and witnessed by Mel Samson and Maris Cerezo.
The project developer’s move at signing a service contract with the department will enable it to avail of the incentives under the Renewable Energy Act.
The entry of Tan’s group into the power sector is somehow completing the loop as far as positioning energy as the current investment game of the country’s billionaires.
According to the energy department, the proposed hydropower project will be developed along the Diduyon River in Cobarroguis and Natipuhan sites in Quirino.
Based on previous studies undertaken by the Japan International Cooperation Agency (JICA) for the Diduyon hydropower prospect, the megawatt capacity of the facility can actually be ramped up to 345 megawatts. Back in 2001, the total investment cost penciled in for the propounded facility was at $674 million.
Hydrologic assessments indicated that the proposed facility may contribute up to 957 gigawatt hours (GWh) of average annual energy generation for the Luzon grid.