Govt may delay wind contracting round
By NIEL V. MUGAS, The Manila Times Reporter
The Department of Energy (DOE) may delay the opening of the second wind contracting round pending its validation of potential sites. Validation is an important component in identifying the sites with potential for development into wind farms.
Mario Marasigan, director of the DOE’s Energy Utilization Management Bureau (EUMB), confirmed that the department has yet to complete its site-validation process and could not determine when it will be completed.
He explained that companies interested in developing any of the Philippines’ wind sites must firm up their plans and ideally forge precommercial contracts (PCCs) with the DOE to avoid the inclusion of their proposed sites in the contracting round.
The PCCs give interested companies from two to five years to study the viability of the wind sites. Companies will also be asked to submit a work program and cost projection for the project’s development.
Marasigan has assured that the contracting round will be opened as soon as the validation process is completed.
He said earlier that the DOE will open the wind round by March this year with about 16 sites to be offered. These sites have a combined generating capacity of 400 megawatts.
In 2004 the government offered 12 sites with a generating capacity of 345 MW. However, the number of the sites has to be reduced this year since DOE has signed deals for the development of several wind sites.
Alternative Energy Logistics Inc., a unit of the Transnational Diversified Group, for example, signed a memorandum of understanding with the DOE for the development of at least four sites with a combined generating capacity of 100 MW.
The company has identified sites in Ilocos Norte, Cavite and Subic.
According to a 2003 study, the Philippines has the potential of generating 7,404 megawatts of electricity from 1,038 wind sites. In Luzon alone, the 686 potential sites in 28 provinces have a total capacity of 4,900 megawatts. Some 305 sites in the Visayas have a capacity of 2, 168 megawatts, while 47 sites in Mindanao have the potential 336 megawatts in generating capacity.
The Department of Energy (DOE) may delay the opening of the second wind contracting round pending its validation of potential sites. Validation is an important component in identifying the sites with potential for development into wind farms.
Mario Marasigan, director of the DOE’s Energy Utilization Management Bureau (EUMB), confirmed that the department has yet to complete its site-validation process and could not determine when it will be completed.
He explained that companies interested in developing any of the Philippines’ wind sites must firm up their plans and ideally forge precommercial contracts (PCCs) with the DOE to avoid the inclusion of their proposed sites in the contracting round.
The PCCs give interested companies from two to five years to study the viability of the wind sites. Companies will also be asked to submit a work program and cost projection for the project’s development.
Marasigan has assured that the contracting round will be opened as soon as the validation process is completed.
He said earlier that the DOE will open the wind round by March this year with about 16 sites to be offered. These sites have a combined generating capacity of 400 megawatts.
In 2004 the government offered 12 sites with a generating capacity of 345 MW. However, the number of the sites has to be reduced this year since DOE has signed deals for the development of several wind sites.
Alternative Energy Logistics Inc., a unit of the Transnational Diversified Group, for example, signed a memorandum of understanding with the DOE for the development of at least four sites with a combined generating capacity of 100 MW.
The company has identified sites in Ilocos Norte, Cavite and Subic.
According to a 2003 study, the Philippines has the potential of generating 7,404 megawatts of electricity from 1,038 wind sites. In Luzon alone, the 686 potential sites in 28 provinces have a total capacity of 4,900 megawatts. Some 305 sites in the Visayas have a capacity of 2, 168 megawatts, while 47 sites in Mindanao have the potential 336 megawatts in generating capacity.
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