Aboitiz Power Corporation is optimistic that its additional 150-megawatt coal-fired power plant in Toledo City will help address the foreseen supply gap in Cebu in 2028.
Cebu’s demand for power is expected to outpace the available supply by 2028 and addressing these power supply challenges is crucial in ensuring the province and the region can achieve its economic growth potential, said Ronaldo Ramos, chief operating officer of the AboitizPower Thermal Business Group.
The Department of Energy earlier projected that energy demand for Cebu Province will reach around 1,400 MW by 2026 and will outpace supply by 2027 if no new power plants will be constructed.
The third coal plant in Toledo City, which is expected to begin construction in the first quarter of 2025, will add 150 megawatts of power to the Cebu grid once it goes online in 2028.
The plant is operated by Therma Visayas Inc (TVI), a joint venture between Aboitiz Power and Vivant Corp. It currently operates two coal-fired power plants with a capacity of 150 megawatts (MW) in Toledo.
TVI is currently securing bids from EOM suppliers and awaiting the environmental compliance certificate from the Department of Environment and Natural Resources. The plant also awaits the system impact study from the National Grid Corporation of the Philippines.
Ramos told reporters at the sideline of the “Good Design. Good Business Summit” of the Cebu Business Months (CBM) 2024 on Friday, June 14, 2024, at the SM Seaside City, that more power can be tapped from other areas if transmission network improves further.
Aboitiz Power is also looking at a 173MW solar plant in Calatrava, Negros Occidental, which, when online, could supply additional power to the Western Visayas area and possibly, Cebu.
During the summit, Ramos discussed the critical importance of energy security to sustain Cebu’s rapid growth.
“The Visayas grid recently encountered an unprecedented surge in demand, reaching a record-high of 2,525 MW, signaling a clear and significant upward trend in electricity consumption,” Ronaldo Ramos said.
Addressing these power supply challenges is crucial in ensuring Cebu City and the Central Visayas region can sustain and fully achieve their economic growth potential, thereby significantly contributing to the broader economic goals of the Philippines, he added.
“Our diverse energy portfolio affirms our belief that there is no one-size-fits-all solution, nor does any single organization hold all the answers and solutions. Together, we possess the power to shape a future where we can all proudly say we played a part in it,” Ramos said.
BusinessNewsAsia.com