Philippines: Meralco seeks ERC approval for solar power supply contracts

Philippines: Meralco seeks ERC approval for solar power supply contracts

Meralco recently concluded the price challenge for its two solar power
supply contracts, company SVP and customer retail services and corporate
communications head Alfredo Panlilio said.

Earlier, Meralco has signed separate contracts worth 50 MW with Solar
Philippines Tanauan Corp. and Power Source First Bulacan Solar Inc. to
diversify its power requirements.

The two companies have offered a price of P5.39 per kilowatt-hour (kWh) for
a 20 year period, lower than the feed - in - tariff of P8.69 per kWh, as
soon as the projects begin operations.

"7 Balboa made an offer of P4.69 per kWh from P5.39 per kWh. But Power
Source decided to match it," Soleq, the solar power arm of Equis Funds Group
Pte. Ltd. said. "Now it's up for ERC (Energy Regulatory Commission) approval
because we went through the CSP process for both."

Both contracts went through the price challenge, where only the offer made
by Power Source received a counter - offer from 7 Balboa of Soleq.

Under the CSP policy, distribution companies and electric cooperatives are
required to undergo price bidding before polishing power supply agreements
with generation companies.

If cleared by the energy commission, the two contracts will be Meralco's
first renewable energy power supply contracts in its portfolio.

Solar Philippines is set to provide 25 MW from solar farms in Tanauan,
Batangas, and Naic, Cavite that is expected to be finished by February and
April 2017, respectively.

Power Source is also developing a 50 MW solar farm in San Miguel, Bulacan
scheduled for an August 2018.

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Link to Original Article:
http://powerphilippines.com/2017/01/24/meralco-seek-erc-approval-solar-contr
acts/

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com