Inside Page | Fernan A. Gianan:

DMCI Power takes on SUWECO’s dominance

As of last week, at least two generation companies have indicated interest in FICELCO’s Competitive Selection Process (CSP) for a new power provider to supply intermediate, peaking and reserve power requirements.

Aside from the grid’s lone supplier Sunwest Water & Electricity Co. (SUWECO), the other is DMCI Power Corp. which is reportedly the largest electricity supplier in terms of installed capacity in the off-grid market like Catanduanes.

Its website lists four missionary areas – Masbate, Palawan, Oriental Mindoro and Antique – where it has long-term power supply agreements.

Last Nov. 12, national media reported that DMCI is proposing to build an additional 15-megawatt circulating fluidized bed coal-biomass fired power plant in Narra, Palawan, with the project is estimated to cost P3 billion.

The proposed plant will be built adjacent to a similar 15-MW facility the company operates in the same area.

Of the only two thermal power plants in the country which DMCI Power operates, one is in Masbate province.

Early this year, the Masbate facility had to shut down for several days due to a technical issue, resulting in island-wide power outage.

At that time, the prolonged shutdown raised concerns about the ability of the Consunji group to provide a reliable power supply although the situation appears to have been resolved.

Aside from the thermal power plant that is powered by biomass such as rice hull and coconut husks, with coal added to fire the plant, the company is set to launch its 12MW Semirara Wind Project and additional bunker and diesel-fired plants this year.

Of DMCI Power’s gross generation of 544 Gigawatt-hours (GWh) in 2024, thermal generation accounted for 43%, followed by bunker at 31% and diesel at 26%.

Its average selling prices (ASP) declined by 5%, from P16.4/kWh to P15.5/kWh, its annual report for the year disclosed.

Its total installed capacity was 159.8 MW as of year-end.

A search of the internet showed that SUWECO’s website was already closed and that there is no available data for SUWECO’s total installed capacity that would enable comparison with DMCI Power’s data.

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Based on available information, DMCI Power’s bid could involve a mix of one wind or biomass diesel power plants plus two diesel plants.

A wind power plant would be location-specific or where the potential for consistent wind is high. It would have to be determined if such a location is near the connection points in San Isidro in Viga, Palawig in San Andres and Marinawa in Bato,

On the other hand, a biomass thermal plant would be ideal in the first two connection points due to the availability of waste organic materials such as agricultural waste, forestry residues and municipal solid waste.

The diesel or bunker plants, of course, could be set anywhere near the three designated connection points.

Like solar farms, a wind power plant project would have to consider the impact of the frequent super typhoons that hit Catanduanes

A biomass energy facility, on the other hand, has high initial costs and its success would depend on a reliable supply of feedstock or organic waste. Concerns have also been raised as to its potential for air pollution from the burning of waste materials.

More on this issue next week….

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AT A MENTAL HOSPITAL, there was a man who would put his ear to the wall all day and listen. The doctor would watch the guy do this day after day for months.

Finally, the doctor decided to see what this man was listening to, so one day he approached the wall and put his own ear up to the wall and listened. He heard nothing.

He turned to the mental patient and said, “I don’t hear anything!”

The mental patient replied, “Yeah, I know. It’s been like that for months!”

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