Aboitiz Power to start Davao plant in 2015

MANILA, Philippines - Aboitiz Power Corp. is on track to start commercial operations of its 300-megawatt Therma South coal-fired power plant in Davao in the first half of 2015, the company said yesterday.

As of end-June, the power plant project is already 88 percent complete, Therma South president and chief operating officer Benjamin Cariaso said.

“We are looking forward to our testing and commissioning phase this year,” he said.

With the start of commercial operations of the plant, Mindanao will get additional baseload power supply.

More than 20 electric cooperatives and distribution utilities –from Zamboanga peninsula, to Caraga, Cotabato, Saranggani, Bukidnon and Davao region – have signed contracts with Therma South, an Aboitiz Power subsidiary.

The company said cities like Davao, Cagayan de Oro, Butuan, Tagum, Kidapawan, Gen. Santos and Cotabato will also be receiving much needed power supply once Therma South starts operations.

“With the completion of our project, we will be able to supply reliable baseload power to most of Mindanao and alleviate the effects of the power  shortage in the island,” Cariaso said.

Eventually, the company may expand its capacity to 645 MW from the original 300. It has already received the support of Davao City and neighboring Sta. Cruz, Davao City to expand its plant capacity.

Baseload plants can operate almost 24/7 and is not dependent on weather conditions such as solar power.

The company said this is vital in complementing Mindanao’s power supply.

Mindanao is heavily dependent on hydropower, which supplies 51 percent of the island’s supply.

However, during summer months and extreme dry weather, Mindanao’s power supply is extremely hampered with the low water levels in the Agus and Pulangi hydropower plants.