MANILA, Philippines – Leading sugar producer Roxas Holdings Inc. (RHI) and Global Business Power Corp. (GBPC) are in the final stage of negotiations with respect to awarding the front-end engineering design (FEED) for their planned 40-megawatt biomass power project in Negros Occidental.
RHI chairman Pedro E. Roxas said the co-generation facility, located within the premises of RHI’s Central Azucarera de la Carlota Inc., would be rolled out as soon as the FEED contract is awarded.
Roxas said RHI and GBPC hope to get the facility up and running and contributing to the national grid by 2018.
The power project would help address the looming power crisis in the country given the expected doubling of global energy demand by 2050.
RHI president president and CEO Renato Valencia said that the plant would help the company reduce its production costs and optimize its efficiency, thereby keeping the sugar firm competitive with Asean neighbors.
The project is GBPC’s first venture in renewable energy.
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GBPC, the power generation arm of taipan George S.K. Ty’s GT Capital Holdings Inc., owns coal and diesel-fired power generation facilities that are capable of supplying base, intermediate, peak load and ancillary support.
RHI plans to up a 30-megawatt cogeneration facility in Batangas and is exploring opportunities in other Southeast Asian countries as part of its aim to diversify its revenue stream in the next three to five years.
“We are having a feasibility study done for another 30-megawatt (MW) cogeneration facility in Nasugbu where we have our milling refinery,” Valencia told reporters following the firm’s annual stockholders meeting yesterday.
He said GBPC would also be the company’s partner for the Batangas cogeneration facility.
