Ingrid3 Power Corp., a unit of AC Energy Corp. (ACEN), has proposed the construction of a P25-billion dual-fuel power plant that can run on either gas or liquid fuel in Batangas City.
“Ingrid3 Power will be developing a dual-fired power plant, with a target net capacity of 1200MW and installed capacity of 1250MW, in Barangay Libjo and Malitam, Batangas City. It is planned to be connected to the NGCP 600kV Pinamukan Substation,” the company said in its filing with the Environmental Management Bureau (EMB) of the Department of Environment and Natural Resources (DENR).
The company is required to secure an environmental compliance certificate from the DENR-EMB prior to any development in the project site.
The intended offtake for the power generation facility is currently being studied and assessed. It is being considered for mid-merit and peaking plants.
Mid-merit plants are those that can ramp up and ramp down faster than baseload plants. These are more flexible and could run during the day when load is increasing and approaches peak. These could be gas and hydro plants.
Peaking plants, meanwhile, can rapidly ramp up and down. These facilities operate only within a limited time. Oil-based plants, gas and other very flexible plants are considered peaking plants.
Construction is expected to commence mid-2023 and until end of 2024. The company is now seeking approval for various permits from different agencies and local government units.
Ingrid3 Power said the power plant, which can be easily ramped up or down depending on the need of the grid or the market, is not expected to run continuously in its full load during its operations. “Generators will either be run at partial load or will be kept offline until a huge power deficiency in the grid occurs.”
The plant, it added, is not expected to be abandoned within the next 10 years of its planned operations. However, the company said the cessation of power plant operations may be necessary should there be unsustainable business operations due to economic downturns, changes in zoning, transfer of operation to other sites, accidents resulting in severe facility damage or loss of human life, and closure order. If any of these occur, an abandonment plan will be created and implemented by the company. The project cost includes the conduct of feasibility study, site development, construction, procurement of equipment, environmental compliance requirements.
ACEN earlier reported a net income of P2.7 billion in the first semester, up by 5 percent from P2.6 billion in the previous year. The amount includes the results of operations of international power assets that have been recently infused by parent AC Energy and Infrastructure Corp. (ACEIC) into ACEN.
Revenues rose 35 percent to P13.4 billion. ACEN’s performance was driven by demand recovery from pre-Covid-19 pandemic levels, acquisition of operating projects, and newly operational renewable energy (RE) projects. However, the strong revenue growth was partially offset by increased costs of purchased power due to high Wholesale Electricity Spot Market prices during thermal power outages.
“The integration of international business into ACEN further strengthens the company’s balance sheet to support our diversified growth plans in the Philippine and offshore markets,” said AC Energy CFO Cora Dizon.