[UPDATED] Independent power provider DMCI Power Corp. (DMCI) will be spending P2.5 billion to construct an additional 15-megawatt (MW) coal power plant in the municipality of Narra between 2022 and 2023 to expand its generation capacity in the off-grid market.
DPC, in an issued statement August 23, said the operation of the new coal plant is expected to lower the cost of electricity in Palawan, which will reduce the subsidy paid by all consumers.
“These investments are in response to the government’s mandate to accelerate the exploration, development, and utilization of renewable energy and indigenous fuel resources, thus decreasing our dependence on imported fuel,” said DPC Chief Operating Officer Antonino E. Gatdula, Jr.
DPC will also invest P800 million to build a diesel-power plant in Cataingan, Masbate, which will have a combined capacity of 12MW, of which 4MW will come from solar energy.
Target commercial operation of the 12MW plant is first quarter of 2022 while the 15MW is set to go online by second quarter of 2023.
Once operational, the Palawan and Masbate power plants will increase the company’s installed capacity in the missionary areas from 136.42MW to 163.72MW.
DPC was established in 2006 to provide sufficient and reliable electricity to areas that are not connected to the main transmission grid. Its off-takers include the electric cooperatives in Masbate, Palawan and Oriental Mindoro.