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Business

Renewable energy’s promise

HIDDEN AGENDA -
MADRID, Spain – There is still hope for some 4,600 villages in the Philippines that still do not receive electricity as the government pushes for increased renewable energy production in the country.

I just joined the last leg of a three-country renewable energy trade mission led by Energy Secretary Vincent Perez which took the group to the Czech Republic, Germany, and then to Spain, urging European businessmen to participate in the highly promising renewable energy sector in the Philippines which now accounts for 40 percent of the energy mix.

The intensely depressing weather (it was raining before we arrived) and the cold winds (it was almost zero degrees C in Toledo where we visited a solar power plant) failed to dampen the enthusiasm of the group which indefatigably made a pitch for participation of Spanish businessmen in solar and wind energy production.

The group included Philippine National Oil Co. (PNOC) president and former Ambassador Thelmo Cunanan, PNOC-EDC vice-president Jesus Laurel, Philippine Geothermal Inc. (PGI) president Barry Andrews, National Power Corp. vice-president Lorenzo Manuel, PNOC energy research department manager Victorino Bala, and Department of Energy assistant director Mario Marasigan.

At present, 43 percent of the country’s energy comes from renewable sources, of which 26 percent comes from geothermal and 15 percent hydro. This means that right now, the contribution of solar, wind, and biomass is still negligible, but the potential of these three is massive.

The Philippines can be the leading wind energy producer in Southeast Asia with a potential of about 76,000 megawatts coming from this environment-friendly source. Biomass energy (using bagasse, rice hull, and coconut residues) can power as much as 3.1 million households. And of course, the potential for solar energy production is limitless, but right now, several agrarian reform communities in Mindanao are already benefiting from water pumps powered by photovoltaic energy systems supplied by BP Solar de España and financed via a grant from the Spanish government. The PNOC likewise has a 15,000-home solar electrification project funded by Netherlands‚ DGIS while the French government has just approved to finance a solar project for Masbate.

We likewise have the ability of making our mark in the field of solar energy production. According to Secretary Perez, they are now in talks with Cypress Sunpower of the US if it can put up a solar wafer manufacturing factory in the Philippines.

In the area of wind energy (we visited Soluziona’s 44-MW wind farm in Avila and I can only watch with awe at those massive wind turbines which contrary to what some detractors are saying do not affect the migratory path of birds. I personally saw huge birds passing very near the turbines), PNOC-EDC is building a 40-MW wind farm project in Burgos, Ilocos Norte financed by JBIC. According to JJ Laurel, they have just prequalified four companies for the submission of technical bids while the bid documents will be published this week. Another 25-MW wind farm funded by DANIDA and PhilEXIM will be established in Bangui Bay, Ilocos.

Biomass energy also holds so much potential. Ambassador Cunanan of PNOC has just told me that they may enter into a joint venture arrangement with Victorias Milling Corp. on a bagasse-fueled project.

There is still $87 million left from a $155-million concessional loan facility provided by the Spanish government which must be availed of before June of next year. And some of the projects that could be financed out of this are wind-diesel hybrid power projects in several islands in the country including Marinduque, Masbate, Romblon, Catanduanes, Mindoro, Pulillo, Tablas Island, and Siquijor.

I can go on and on, but I would rather let Secretary Vince announce the rest of the good news. May I just say that Vince, one of the best if not the best Filipino investment banker in WallStreet before he joined government, is indefatigable and I was hardly able to keep up with his schedule during our Madrid visit. With his measly government salary, our government sure was able to tap a gold mine in him for a bargain.

Before I leave the subject of Madrid, I would like to thank Joma Cariño of the Philippine Embassy (he just won a National Book Award for his work on Madrid) here who gave us a highly educational tour of places which our national hero Jose Rizal visited, including Ateneo de Madrid, Carlo Quinto where Rizal studied ophthalmology, a place where La Solidaridad was printed, and others. He also brought us to Museo Nacional de Antropologia where items from the Philippine Islands brought in for the 1887 Philippine Exposition are now on display, including two impressive works of Felix Resurreccion Hidalgo which are on loan from Museo de Prado estimated to be valued at around $1 million each.

Another highlight of our Madrid visit was being able to have some of the best seats in the Estadio Santiago Bernabeu for a game between Spanish Premiere League’s Real Madrid and Athletic Club where Real Madrid won 3-0. I could hardly believe that I was there watching some of the best players in the world, including Ronaldo, David Beckam (his wife Spice Girl Victoria was probably in one of the boxes), Raul, Figo and Europe’s best goalkeeper Casillas. The crowd (the stadium can house 70,000 people and there were very few vacant seats) was unbelievable and electrifying and Lia Bernardo (Ambassador Bernardo’s daughter) and I still could not believe we were actually part of it.
Congested For The Last Time
During the recent holiday weekend, the North Luzon expressway was congested as usual, what with thousands of motorists on the road headed either to pay their respects to their loved ones passed or simply to get away and enjoy a respite from exhausting city life.

Hopefully, this will be the last time we will experience traffic and congestion along NLE. Manila North Tollways Corp. (MNTC) has committed to deliver a new and ultra modern expressway before the end of next year.

When the project is completed, the new NLE will have three new interchanges in Marilao, Angeles and Mexico. Ten existing exchanges will also be widened and improved. Two new fly-overs in Balintawak-Novaliches and Dau will have been built while new toll barriers with increased number of booths will be placed in Balintawak, Bocaue and Dau. The Tabang toll barrier and the new and existing toll plazas will also be expanded and improved.

Other major improvements to the NLE will be the addition of an electronic toll system to guarantee faster thorough-put of vehicles in entrances and exits. This involves the installation of electronic curtains to ensure the correct classification and toll charges of vehicles.

Aside from the improved toll system, motorists can also expect new features that will promote safety and comfort on the road.

One of the greatest fears of motorists is being caught in the middle of nowhere with no help in sight. Couple that with torrential rain and you have a tragedy waiting to happen.

This and other similar situations will be avoided with the improvement of the NLE. To assure the safety and convenience of all motorists and commuters the NLE will be equipped with modern call boxes in specific emergency parking areas.

Motorists in need of assistance will merely need to pull over and pick up a call box’s receiver. An information officer in the NLE’s Operations Management Center (OMC) will be ready to answer the call and deploy the necessary support services. The OMC will be the endpoint of information coming from various parts of the NLE.

Roving patrols will instantly be notified so that they can immediately address the situation. These patrols are equipped for basic first aid so that small physical injuries are attended to at the soonest possible time. The MNTC which will manage the NLE when it goes full operations promises a response time of 20-30 minutes from the time when an emergency is reported.

The presence of a closed-circuit television system to monitor accident-prone spots will likewise be a distinct feature of the expressway. These areas will be monitored 24 hours a day for the easy deployment of emergency services.

This integration serves the public not only in times of emergency but more importantly, on the everyday, efficient operation of the highway.

The number of vehicles passing through will be closely monitored with electronic sensors deployed in strategic points. Damage to the highway can therefore be anticipated long before actual damage takes place and becomes a nuisance to motorists. Timely preventive maintenance can then be performed.

President Arroyo has hailed the North Luzon Tollway project as a significant milestone in the nation’s continuing mission to generate economic growth when it commenced construction last February. The President said she believes that it will create opportunities by opening up avenues for trade and tourism investments in Central and Northern Luzon.

The rehabilitation, expansion and improvement of the 84 kilometer North Luzon Expressway is one of the government’s flagship projects within the context of its economic development programs. Its progress and completion are being monitored by the NEDA and the Regional Development Council – regional project monitoring committee, being a key strategic infrastructure project of central Luzon.

Now in its ninth month of its 24-month construction timetable, the NLE project has already provided hundreds of jobs to its suppliers, contractors and service providers. Already hundreds are directly employed by the project with thousands more expected resulting from the rapid development brought about by the faster and more attractive trading routes.

The project proponents promise that the new NLE will be at par with the tollways in the region and around the world. So, despite the minor inconvenience brought about by the construction of the NLE, people and motorists have enough reason to be optimistic, as they will soon get what they’ve always wanted – a world-class expressway that would make travel faster, safer, more comfortable that would even accelerate the social and economic development of Northern Luzon.

Hidden Agenda can be reached at [email protected]

AMBASSADOR BERNARDO

AMBASSADOR CUNANAN

AMBASSADOR THELMO CUNANAN

ENERGY

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MADRID

NEW

NLE

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