DBP firms up loans for 7 new hydropower projects

The Development Bank of the Philippines (DBP) has firmed up loans for seven new hydroelectric power projects, according to president and chief executive officer Reynaldo David who said theirs is the first institution to have entered into agreement for seven hydro resource development projects.

These projects, he said, will eventually trade their respective carbon credits. “We will help them in their endeavor to sell their carbon credits to developed countries,” David said.

He reiterated that DBP’s P50-billion facility for renewable energy resources development is readily available for potential investors.

He is optimistic that by 2009, more investors would take advantage of their single-digit interest rate and long-term facilities for renewable energy projects.

“We are into RE. We continuously assess various projects,” he said.

“Renewable energy involves biomass, ocean, solar, wind and hydro projects. It requires more time to assess. But as we get more used to it, we are optimistic that we could approve more projects,” he said.

With the passage of the Renewal Energy bills into law, David said they expect more projects to be approved.

The law will facilitate the entry of prospective RE technology investors in the country. It will also advance the country’s objective of increasing its RE-based capacity which is projected to expand by 100 percent in 2013.

Meanwhile, the Department of Energy reported that it has issued five mini-hydro power (MHP) development contracts in 2008. Among these projects are: 8 MW Villasiga in Antique; 2.3 MW Solong, 1.5 MW Hitoma 1 and 1.6 MW Hitoma 2 in Catanduanes; and 0.11 MW Gerphil Renewable Energy Inc in Bukidnon.