MANILA, Philippines — Cebu-based Vivant Energy Corp. expects its diesel portfolio to increase its income contribution by 10 to 15 percent following the acquisition of two Mindanao bunker-fired power plants.
Last February, Vivant Energy and its fully owned subsidiary Amberdust Holding Corp. acquired outstanding shares in Bukidnon Power Corp. (BPC) and North Bukidnon Power Corp. (NBPC), marking Vivant’s first venture in the region.
“The Bukidnon plants total 13 megawatts (MW). They’re not the largest plants, but (they) give us a foothold in Mindanao for future possible expansion plants. The Bukidnon plants will add around 10 to 15 percent to Vivant’s on grid diesel portfolio bottom line,” Vivant Energy EVP and COO Emil Garcia said.
Last year, the on-grid diesel portfolio contributed “north of P400 million” to the total income of Vivant Energy, Garcia said.
NBPC supplies five MW of the peaking power requirement in the franchise area of Bukidnon Second Electric Cooperative Inc. through its bunker-diesel power plant in Lantapan, Bukidnon.
BPC is the owner of two bunker-diesel power plants with a 13.8-MW combined capacity that are both contracted to supply the energy requirements of First Bukidnon Electric Cooperative Inc.
“These are the first plants we acquired and will operate. We are thrilled to provide energy security in Bukidnon soon. Right now, we are taking the necessary steps to ensure a smooth transition,” Garcia said.
As of end-2020, approximately 72 percent of the net income of Vivant Corp. came from the power generation business under Vivant Energy.
Vivant posted a net income of P1.4 billion last year, down 38 percent from the previous year’s P2.3 billion.
To date, Vivant Energy has built a portfolio comprised of mostly thermal plants with total attributable capacity of approximately 357 MW.
Vivant Energy is targeting to reach a capacity of 500 MW by 2023, of which 20 percent should come from renewable energy (RE), and 1,000 MW by 2030 with 30 percent share from RE.
Meanwhile, Vivant Energy is also looking to increase its retail electricity supply (RES).
To accelerate its RE development, Vivant Energy has formed a dedicated team to focus on opportunities in that space, particularly in wind and solar.