MANILA, Philippines - The Department of Energy (DOE) is in talks with a renewable energy (RE) service provider that has proposed a combination of small green energy projects locally.
A Singapore-based group, which is composed of former World Bank officials, proposed to the department a combination of solar and mini-hydropower projects, that can produce 500 kilowatts to 10 megawatts depending on the area, DOE Secretary Jose Rene Almendras said.
The small-scale, combined RE project model can be used in far-flung areas not connected to the main grid, the energy chief said.
The integrated RE developer is looking at integrating different green technologies into a single portfolio that can be economically feasible, Almendras said.
“These are basically stand-alone systems, these are not grid-connected projects. “When it is hot, you use solar. When it is rainy, you can make use of hydropower,” Almendras said.
The developer plans to blend cheap electricity from mini-hydropower projects to offset the costs of the more expensive solar energy.
The DOE, for its part, recommended the company to seek opportunities in off-grid areas and island provinces like Palawan.
Last month, the Puerto Princesa city council declared a state of emergency given power outages due to technical problems of electricity suppliers.
The tourist destination, which is home to the Puerto Princesa Underground River, has been experiencing a recurrent power interruption in the past two months due to the breakdown in the generating units of its power providers PPGI and Delta P.
State-run National Power Corp. (Napocor) unit Small Power Utilities Group (SPUG) is mandated by the Electric Power Industry Reform Act of 2001 to undertake the electrification of remote villages or areas not connected to the main transmission grid in Luzon, Visayas and Mindanao.
Under a privatization process, investors will be allowed to build, own and operate generation facilities to supply electricity to “missionary” or far-flung areas currently being serviced by the SPUG.
There are 14 areas under SPUG including Catanduanes, Romblon, Siquijor, Sulu, Tawi-Tawi and Basilan that are under review prior to privatization.