Top energy firms back LNG development

MANILA, Philippines — Some of the country’s biggest energy companies expressed their support to the government’s plan to develop the liquefied natural gas (LNG) industry to ensure energy security.

Key stakeholders from the public and private sector gathered together in an energy forum organized by the Stratbase ADR Institute, in partnership with CitizenWatch Philippines.

In his speech, Stratbase Institute president Dindo Manhit emphasized the importance of the private sector’s support to push the development of the LNG industry.

“There is always the opportunity for the private sector to work in closer collaboration with the government to jumpstart this industry,” Manhit said.

“Aside from the energy stability and environmental benefits, developing LNG as a stable source of power will foster more infrastructure development, technology transfer, job creation, and trade, all of which will substantially contribute to the country’s over-all economic growth and prosperity,” he said.

In line with the National Renewable Energy Program, the government is pursuing an ambitious national renewable energy (RE) power generation mix target of 50 percent by 2040. In the process, LNG will serve as the cleaner transitional bridge from fossil fuels to renewable energy.

ExxonMobil Corp., an American multi-national oil and gas company, said it is fundamental for Asian countries to continue to build on their resilience and meet energy demand while lowering emissions through LNG.

The company’s LNG Market Development and Origination vice president Shahrukh Mirza said the Philippines has built a new LNG import infrastructure, which “will go a long way toward energy security, reliability, and stability”.

Global Business Power Corp. (GBPC), a wholly owned subsidiary of Meralco PowerGen Corp., expressed readiness to respond to the energy challenges in the country, including the development of the LNG industry.

Dominador Camu, GBPC chief operating officer, said that aside from being considered as a cleaner and more environmentally friendly alternative to fossil fuels, LNG is equally abundant and traded in the international market, and can be stored and transported like any other international commodities.

“Our two-pronged strategy for power generation growth is, first, expand our RE (renewable energy) portfolio using renewable sources such as solar and wind; then second, build new high efficiency low emissions baseload power plants with clear-cut focus on developing and investing in cleaner fuel alternatives, such as LNG and other innovative thermal technologies,” Camu said.

Similarly, Aboitiz Power Corp. said it is investing in the energy future in the Philippines.

The company’s chief corporate services officer Carlos Aboitiz said gas plays an important role in energy security, which includes the transition of Filipinos out of poverty and into modern society with all of its social benefits.

“AboitizPower is investing in the energy future in the Philippines… The Philippines has a bright economic future ahead of it that will improve the lives of many Filipinos and we must secure it. We also acknowledge that although we are not a key contributor to climate change, we too must contribute to adjust energy transition,” Aboitiz explained.

For Prime Infrastructure Capital, there is a need to continuously develop indigenous gas together with natural gas.

Donnabel Kuizon Cruz, Prime Infrastructure Capital managing director and general manager, said that indigenous gas guarantees fuel supply as power grid becomes increasingly vulnerable to weather and other disruptions, and stabilizes electricity prices as the country becomes increasingly dependent on imported LNG for power generation.