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Business

Relocation of Pinamucan plant to Iloilo endorsed

- Donnabelle L. Gatdula -
The Joint Congressional Power Commission (JCPC) has favorably endorsed the relocation of the National Power Corp.’s 110-megawatt Pinamucan power plant in Batangas to Dingle in Iloilo.

The JCPC’s go-signal is a necessary process since Napocor itself is under Republic Act 9136 is prohibited to enter into new contracts.

The transfer has been perceived as one of the immediate solutions to the looming power supply shortfall in the Visayas, particularly in the Cebu-Negros-Panay (CNP) areas.

However, the JCPC’s resolution stated that the Pinamucan power plant must be the only generating plant to be transferred or relocated.

The Pinamucan plant can operate as a replacement plant for the old power generating units currently operating in Panay and provide the much-needed power supply for the sustainability of industries in the CNP.

The resolution further authorizes Napocor to realign its funds for the transfer.

Although costs will be incurred in the relocation of the Pinamucan plant, the Department of Energy (DOE) said that these will not involve "new obligations" but incidental costs to the relocation of the facility.

Napocor said it will spend some P535 million for the transfer of the Pinamucan diesel power plant. Based on the bidding requirements issued by Napocor’s Contracts Awards Committee (CAC), the project will involve the dismantling, hauling, transfer and installation of four 12.94-MW and four 14.63-MW diesel generator sets, auxiliary equipment and powerhouse.

The relocation of Napocor’s power plants to more viable areas or where demand for electricity is more robust is seen to enhance Napocor’s economic viabi-lity for its eventual privatization.

BATANGAS

CEBU-NEGROS-PANAY

CONTRACTS AWARDS COMMITTEE

DEPARTMENT OF ENERGY

JOINT CONGRESSIONAL POWER COMMISSION

NAPOCOR

NATIONAL POWER CORP

PINAMUCAN

PLANT

POWER

REPUBLIC ACT

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