Geothermal plant capacity seen to reach 2,464 MW by year 2008

By the year 2008, the total generating capacity of geothermal plants is targeted to reach 2,464-megawatts (MW), mostly supplied by steam from the Philippine National Oil Co. Energy Development Corp.'s (PNOC-EDC) operations as it continues to play the lead role in exploring other geothermal fields in the Philippines.

PNOC-EDC is a subsidiary of the government-run PNOC which was formed to develop indigenous energy sources, including oil, coal, steam and the like.

In1999 alone, the Philippine geothermal power generating sector had expanded to 1,918 MW out of the total installed generating energy capacity of 12,405 MW nationwide. That was enough for the Philippines to keep its number two ranking worldwide with the United States still number one.

PNOC accounts for 1,162 MW of power from the country's geothermal plants while the remaining plants are run in close cooperation with the National Power Corp. (Napocor).

The geothermal program has already made the Philippines one of the world's leaders in the development of an environment friendly energy source.

The PNOC-EDC is now slated for privatization through the partial sale of the mother unit PNOC's interest to a strategic partner and the general public, with PNOC still retaining a minority interest.

"Privatized or not, PNOC-EDC is expected to remain as the main player in further expanding the Philippine geothermal industry," said Rufino B. Bomasang, president and chief executive officer.

Bomasang added: PNOC is already leading the path towards a new era in the development and use of local coal."

Another subsidiary PNOC-EC (Exploration Corp.) is about to finish appraisal drilling of a low rank coal (lignite) mine at Isabela, northern Luzon.

PNOC wants to catalyze the expansion of the natural gas industry beyond the Malampaya gas-to-power project. The natural gas offshore reservoir is presently being developed and exploited by the Shell Philippines Exploration BV, a sister company of oil refiner Pilipinas Shell Petroleum Corp.

Bomasang explained that the PNOC hopes through its subsidiary EC to make further develop the natural gas sector through five basic steps spanning several years.