First Gen unit to supply power to Iloilo cooperative

MANILA, Philippines - First Gen Energy Solutions Inc. (FGES), the retail energy supplier and electricity aggregator subsidiary of First Gen Corp., has entered into a supply agreement with Iloilo Electric Cooperative 1 (ILECO 1).

Richard Tantoco, executive vice president and chief operating officer of both First Gen and FGES, said the power that would be supplied to ILECO I will come from its geothermal energy sources.

Tantoco said the rates to be offered to the electric coop will be competitive. “Iloilo consumers will soon enjoy competitive power rates while at the same time helping preserve Panay’s fragile eco-system in the midst of threats associated with climate change,” he said.

ILECO 1 president Salvador P. Cabaluna III pointed out that they are aware of the need to achieve the twin goals of keeping competitive electricity rates and protecting Panay’s environment.

“The people of Panay are fortunate to have access to geothermal energy, which offers everyone a win-win solution,” he said.

The agreement gives ILECO 1 a headstart in negotiating a new agreement with FGES for the supply of geothermal electricity that is reliable, environment-friendly, and competitively priced.

First Gen, the country’s leading clean and renewable energy firm, counts among its associates Energy Development Corp., the Philippines’ largest and the world’s second-biggest producer of geothermal energy.

Geothermal energy harnesses steam from underground reservoirs to generate virtually carbon-free power. After using the steam to generate electricity, the water is injected back into the ground, making geothermal energy a renewable resource.

As part of the deal ILECO 1 and FGES have agreed to collaborate and develop initiatives that will benefit ILECO 1 customers by further improving the cooperative’s service levels. 

Tantoco said the initiatives are in line with FGES’ approach to deliver customer value “beyond the meter.”

FGES has developed a range of products and services, like a smart power monitoring system, that help customers reduce their operating costs through energy efficiency.     — Donnabelle Gatdula