Corporate News

SMC unit seeks to build transmission facilities

Posted on September 05, 2016

SMC Consolidated Power Corp. (SCPC) is asking provisional authority from the Energy Regulatory Commission (ERC) to build its own transmission facilities that will connect its power plant in Limay, Bataan to the Luzon grid.

SCPC, a subsidiary of San Miguel Corp., placed the cost of the dedicated point-to-point limited transmission facilities at around P114 million. More than half of the amount will go the engineering, procurement and construction of an interconnection facility to the switchyard and substation of the National Grid Corporation of the Philippines (NGCP).

The company said it was seeking provisional authority to build the facilities because of its contractual obligations with three distribution utilities (DUs). SCPC has a pending application with the ERC for the approval of power supply contracts with Ilocos Sur Electric Cooperative, Tarlac I Electric Cooperative and Tarlac II Electric Cooperative.

“In order for SCPC to comply with its contractual obligations with said DUs, it is imperative that the Power Plant should be immediately connected to the 230-kV Lamao substation of the NGCP. Thus, the development of dedicated point-to-point limited transmission facilities is a pre-requisite for the testing and commissioning, and eventually, the commercial operations of the Power Plant,” the ERC said, quoting SCPC’s pleading.

SCPC is constructing a two-unit 150-megawatt (MW) circulating fluidized bed coal-fired thermal power plant in Brgy. Lamao in Limay, Bataan, which it expects to operate commercially by the third quarter of the year.

It said that the power plant is a committed project, and is in the process of securing a certification from the Department of Energy in line with its power development plan. The ERC is set to hear SCPC’s application by the middle of the month.

SCPC’s project in Limay is expected to have a total installed capacity of 600 MW, which will be developed in two phases, each with a generation capacity of two units of 150 MW. The project includes the development of an ash storage facility to manage the wastes that will be generated by the power plant once operation starts.

The power plant has a total land area of 47 hectares, of which 37 hectares is allotted for the first phase and the rest for phase two. The ash storage facility has land area of 27.6 hectares. It is located two kilometers away from the power plant facility. -- Victor V. Saulon