First Gen unit, Cepalco tie up for hydropower proj

Cagayan Electric Power and Light Co. (Cepalco) and First Gen Renewables Inc. (FGRI) are joining forces to engage in hydropower development project in Mindanao.

Documents show that Cepalco and FGRI are planning to develop the eight megawatt (MW) Cabulig mini hydroelectric power plant in Claveria, Misamis Oriental.

The Cabulig hydropower facility is intended to supply power to Cepalco.

The project will include an eight-kilometer transmission line that would connect the plant to a 69-kilovolt Cepalco distribution line in Jasaan town.

A hydrology study is presently being conducted to determine the feasibility of the project.

Aside from this, FGRI is also evaluating four potential sites in Mindanao for the construction of run-of-river mini hydropower plants. These projects are estimatedto potentially deliver an aggregate capacity of 25 MW.

FGRI, a subsidiary of First Gen Corp., also plans to engage in the development of other renewable energy sources such as wind power. Parent firm First Gen has recently undertaken a $180-million initial public offering (IPO).

Specifically, FGRI plans to conduct resource assessments in four potential wind power project sites in Luzon and Visayas, either on its own or in cooperation with non-government organizations, other developers and equipment manufacturers.

Last year, FGRI and Pacific Consultants International, a Japanese company, signed an agreement for technical cooperation on the preliminary wind data analysis for this project.

Aklan Electric Cooperative Inc. has indicated that it is interested in offtaking the power generated by the proposed wind farm and has indciated its willingness to invest in this project.

FGRI, together with Worldwide Fund Philippines, a leading environmental group, is currently conducting a wind resource assessment on a 100-hectare site in the Pandan area to determine the sustainability of the site for a wind farm.

The study started in FebRUARY 2004 and will take about two years to complete.