Energy Development Corp. to push through with Mindanao projects

MANILA, Philippines - Energy Development Corp. (EDC), the renewable energy arm of the Lopez group, is set to push through with its wind power projects in the Mindanao area.

The optimism came after the Department of Energy (DOE) gave the go signal for EDC to proceed with its wind farm projects.

EDC had filed an application with the DOE to put up wind power plants in Camiguin, Dinagat and Surigao.

The wind power project is estimated to initially cost P7 million each.

The DOE also approved EDC’s wind power project applications in Balaoi-Pagudpud project (40 megawatts) and the Burgos project locared at Barangay Saoit, Burgos, Ilocos Norte (86 MW).

The DOE also approved EDC’s wind project in Taytay, Rizal.

The DOE has so far approved 44 wind projects with a capacity of 921 MW around the country.

Ilocos Norte presently hosts the country’s first and only wind project, the 33 MW wind farm of NorthWind Power Development Corp. located in Bangui, the biggest wind farm in Southeast Asia to date.

EDC which is owned by First Gen Corp. plans to intensify its renewable energy projects.

“We have, under EDC, an 82-MW wind power project that we’re putting in Ilocos Norte (Burgos wind project). So that one also hopefully once a lot of the renewable energy incentives - feed-in tariff are finalized that will also determine the economic feasibility of a lot of these projects, not just ours but many other renewable projects all over the country,” First Gen chief executive officer Federico Lopez said.

EDC earlier tapped the International Finance Corp. (IFC), the private lending arm of the World Bank group, for a $75-million loan.

The IFC is looking at the possibility of mobilizing for EDC another $75 million from bilateral sources.

Proceeds of the loans will be used to partially finance the company’s medium term capital expenditure plan.

At present, EDC is the largest producer of geothermal energy in the Philippines to date, accounting for 62 percent of the total country installed geothermal capacity. 

EDC owns and operates the 122-MW Pantabangan-Masiway hydro electric plants and has investments in wind energy projects in Ilocos and other provinces.

The company reported P3.8 billion net income for the first quarter, up 68 percent from P2.27 billion posted for the same period last year.