EDC reconnects Northern Negros geothermal plant

MANILA, Philippines - Energy Development Corp. (EDC), the renewable energy unit of the Lopez Group, reported that it has reconnected its Northern Negros Geothermal Power Plant (NNGPP) to the main power grid.

In a disclosure to the Philippine Stock Exchange , EDC said the NNGPP “has been synchronized back into the grid and has completed a 24-hour re-commissioning run.” 

But EDC said it will slow down on NNGPP’s operation until it is assured of steady supply of steam from the Northern Negros Geothermal Production Field (NNGPF).

“To fully gauge the geothermal steam field’s ability to sustain production from the existing drilled sector, NNGPP shall produce at about 10 MW for a period of about 60 days or more,” EDC said.

The company said this protocol is necessary to provide EDC with continuing scientific and engineering data to ensure a sustainable extraction of the geothermal resource. 

“The decline in steam production was assessed to be due to the clogging of wells by calcite minerals found in the current geothermal field. The clogging prevents the wells from releasing the steam from its very source underneath the earth. Calcification is a technical problem that is not attributable to or within the reasonable control of EDC,” company president and CEO Paul Aquino said.

But lately, EDC has invested about P 8 billion for the development of the NNGPP.

EDC has been encountering strong opposition over the development of Mt. Kanlaon as it is believed to be part of a national park.

But Aquino pointed out they have not been causing any damage in the area. In fact, he said out of the 169 hectares of Mt. Kanlaon Park, only 12.52 hectares were used for the NNGPP.

Due to the difficulty in entering the Mt. Kanlaon Park, EDC was able to produce only between 15 to 18 MW from the expected 49-MW capacity of the NNGPP.

“The decline in steam production was assessed to be due to the clogging of the wells by calcite minerals found in the current geothermal field,” he said.

Aquino said the clogging prevents the wells from releasing the steam from its source underneath the earth. Calcification is a technical problem that is not attributable to or within the reasonable control of EDC.

In February 2007, the $68.4-million NNGPF became the fifth geothermal field developed and operated by EDC and the first power plant constructed and fully-owned by EDC.

It is also the second for EDC in Negros Island, the first being Palinpinon or the Southern Negros Geothermal Power Plant (SNGGP) in Valencia, Negros Oriental.

NNGPF is also the first renewable power project in the country to operate as a merchant plant under the new electricity environment.

The EDC has explored 15 wells for the NNGP. Of these, 11 wells have been producing steam to supply the 49 MW requirement of the geothermal plant.

The power plant’s output will be distributed through 25 kilometers of transmission line to the Mansilingan substation.

With the operation of NNGPP, EDC now counts five geothermal production fields that include those in Leyte, Southern Negros, Bicol and North Cotabato. 

The company remains the country’s largest producer of geothermal energy with an installed capacity of 1,198 MW. In 2005, it accounted for 60 percent of the Philippines’ installed geothermal capacity and contributed approximately 12.4 percent of the country’s installed capacity.