$800-M Ilijan power plant project on sked — N

National Power Corp. (Napocor) president Jesus N. Alcordo said yesterday that the $800-million Ilijan Natural Gas Combined Cycle Power Plant project will operate in time for its end-October deadline.

"We hope that Ilijan will be able to operate in time for the first flow of natural gas from the Malampaya platform (in Northern Palawan)," Alcordo said.

The Napocor chief said they have committed to complete the project by January 2002 in time for the commercial operation of Malampaya natural gas.

The 1,200 MW Ilijan project is expected to be completed in early next year. The other downstream power plants of Malampaya: are the Santa Rita which was completed in mid-2000 and operating on alternate fuel pending first flow of Malampaya gas; and the San Lorenzo power plant which is due for completion in May 2002.

Ilijan's contribution to national and local government and economy is estimated at P28 billion ($555 million) over the life of the project.

The KEILCO Ilijan Corp., the project company, was actually a joint venture with Korea Electric Power Corp. (KEPCO), the state-owned Napocor, and other Japan-based power firms which include: Mitsubishi Corp. of Japan, Southern Energy of the US and Kyushu Electric of Japan.

In March this year, there have been at least remaining issues confronting the project which include the signing of the so-called Language of Supplement to Republic Guarantee and DOF Consent to implement National Economic Development Authority (NEDA)-Investment Coordination Committee (ICC) Cabinet and Board approval.

Alcordo said the issues have been resolved. "We have resolved it. The project will be ready as scheduled," he said.

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