Japan investors bullish on Phl power sector

MANILA, Philippines - Japanese investors in the power sector are still bullish in the Philippines despite the impact on their respective operations of the recent earthquake, the country’s top energy official said.

Energy Secretary Jose Rene Almendras said Marubeni Corp., which operates TeaM Energy Philippines, is still eager to push through with the expansion of the Pagbilao and Sual coal-fired power plants.

“Marubeni insists they are still ok with it (expansion),” he said.

Almendras also commended the Japanese financial institution, Japan International Cooperation Agency, for its effort to fund its projects in the Philippines.

“I salute the Japanese because despite what’s happening there, JICA is still willing to push through with our deal. As far as the other Japanese companies are concerned, they are in tune,” he said.

JICA had earlier committed to provide technical assistance to the Energy Department for the master plan for the natural gas industry.

JICA supports the socioeconomic development, recovery or economic stability of developing regions.

“They (JICA) will conduct the master plan for LNG (liquefied natural gas),” Almendras said.

But Almendras said Tokyo Electric Power Co. (Tepco), the partner of Marubeni in TeaM Energy, is likely to set aside plans to engage in the country’s energy service companies (ESCO) amid its ongoing nuclear problem in Japan.

Almendras said Tepco may no longer participate in the ESCO projects of the government.

“The one thing we lost was the possible joint venture with Tepco. We were looking at a possible joint venture with Tepco for a possible ESCO. That will have to be set aside,” he said.