DOE Issues Certifications to Energy Projects
The Department of Energy (DOE) has issued P37.553 billion Batangas Clean Energy Inc. project of billionaire Lucio Tan and its American firm partner Gen X Energy certifications as “energy project of national significance” or EPNS that entitles them to the streamlined process of permitting.
As an EPNS venture, the qualified projects are afforded a 30-day approval process on their permits as sanctioned under Executive Order No. 30 issued by President Rodrigo Duterte in 2017. In addition, DOE specified that the EPNS certifications for the Batangas Clean Energy LNG import facility and the proposed combined cycle power plant projects had been given separately.
The 3.0 mtpa onshore LNG import terminal will be sited close to the distilleries of the Tan group — Tanduay and Asia Brewery — at Pinamucan Ibaba in Batangas City. Once this project finishes in 2025, the LNG facility provides fuel to 1,100 megawatts of gas-fired power generating facilities that cater to the future energy needs of the distilleries, and the JG Summit petrochemical complex of the Gokongwei group in Batangas.
The company also eyes selling the capacity to Manila Electric Company (Meralco), the country’s biggest power distribution firm – and that could be concretized if the Tan-led LNG firm is joining the competitive selection process (CSP).
The floating storage regasification unit (FSRU) import facility of Texas-headquartered firm Excelerate Energy is another EPNS-certified LNG project, which is targeted to be the first player to bring LNG into the Philippines in the second quarter of 2022.
Furthermore, the project design of Excelerate Energy permits third party access (TPA) on its LNG import facility and caters to multiple buyers of gas.
Aside from these LNG facilities, the DOE also gave CEPNS to the Bacon-Manito geothermal expansion project of Energy Development Corporation (EDC) that has additional 49MW into its portfolio.
Energy Secretary Alfonso G. Cusi said, “We need to think of how we can ride this LNG wave, to ensure that we can safeguard our energy security. “We’ve started doing just that in the Philippines. We’ve started with the rollout of the Batangas LNG terminal by 2020 to safeguard against the anticipated depletion of the Malampaya gas facility by 2024.”