THE SUBSIDIARY of Alternergy Holdings Corp. is seeking the approval of the Energy Regulatory Commission (ERC) to develop and operate a transmission facility to connect its wind power project in Quezon province to the Luzon grid.

Alabat Wind Power Corp. (AWPC) aims to construct dedicated point-to-point limited transmission facilities with a total estimated cost of P1.85 billion, the company said in its filing with the ERC.

The interconnection project will be undertaken by GEDI Construction Development Corp., the company said.

AWPC intends to negotiate with the National Grid Corp. of the Philippines (NGCP) regarding the operation and maintenance of the interconnection facility.

Based on the application, the company is proposing to build the Alabat Wind Power Project (AWPP) in Quezon province, which has a generating capacity of 49.9 megawatts (MW).

“The total generation output of the wind project will be limited to 49.9 MW so as not to overload the 69-kilovolt (kV) transmission line.”

The wind farm has an estimated project cost of P7 billion and is targeted for completion by November 2025.

In May, Alternergy announced the start of the construction of the AWPP with an installed capacity of 64 MW.

AWPC is proposing to connect the interconnection facility to the Luzon grid through a tapping point or switching station along the NGCP’s Gumaca-Lopez-Tagkawayan 69-kV transmission line.

“The construction of the Interconnection Project is a prerequisite for the testing and commissioning, and ultimately, the commercial operations of the AWPP. A provisional authority is, thus, urgently needed to enable AWPP to achieve the target COD (commercial operations date) and avoid adverse consequences to AWPC,” the company said.

Alternergy is targeting to increase its renewable energy capacity to 500 MW by 2026.

At the local bourse on Monday, shares in the company rose by 2.3% to close at P0.89 apiece. — Sheldeen Joy Talavera