MANILA, Philippines — Businessman Gregorio “Greggy” Araneta III is building an 800-megawatt hydropower plant in Laguna.
In an interview with reporters, Araneta said the proposed 800-MW pumped storage hydropower project would be in Pangil, Laguna.
Gregorio Araneta Inc. is now doing the pre-development work for the project.
Detailed engineering will take about a year after which the company can proceed with the construction.
“Construction will take about three years,” Araneta said.
The company is now working on securing approvals from regulatory authorities, he added.
The planned hydropower project, which will start with an initial capacity of 170 MW, is on top of another major energy project, his planned Energy City in Bataan.
It is envisioned to be located in the Bataan industrial park of PNOC-Alternative Fuels Corp.. GAI’s partners in the project are Japanese giants Mitsui and Osaka Gas.
The proposed LNG facility would be developed in phases starting with an initial phase that would have a capacity of 600 megawatts and an investment of roughly $1.2 billion.
It is facing delay because the Philippine National Oil Co. (PNOC) is seeking higher lease rates and is also looking to bid out the project and invite other partners in contrast to what GAI and the government earlier agreed on.
LNG is natural gas that has been converted into liquid for ease of storage or transport.
The government and some of the country’s energy players have stressed the need to have an LNG facility in the country especially with the looming depletion of Malampaya gas.
PNOC and GAI have yet to resolve the impasse over the Energy City project.
Araneta is also developing real estate projects, including a 140-hectare central business district in Caloocan City, which he said would be the first CBD in the city.