AboitizPower switching on 2 hydro plants

Aboitiz Power Corp. is set to switch on two new powerplants before the end of the year as it moves toward its goal of reaching total capacity of 4,000 megawatts (MW) by 2020.

In a media briefing, AboitizPower executive vice president and chief operating officer Luis Miguel Aboitiz said the the 8.5-MW Maris Canal hydro project in Isabela and the 69-MW Manolo Fortich hydropower plant in Bukidnon are set to come on stream within the quarter.

“Our project pipeline is on track to reach our 4,000 MW goal by 2020,” Aboitiz said.

Aboitiz added the 400-MW Pagbilao 3 plant in Quezon would come online in January 2018, while the 340-MW plant in Central Visayas would begin operations in the second quarter of next year.

While the company is on track with its 2020 capacity goal, Aboitiz said the firm is still keen to diversify its power supply mix.

“We’re always interested in diversifying the mix of the supply we have,” Aboitiz said

In the first nine months of 2017, AboitizPower’s capacity increased 39 percent, from 2,244 MW to 3,112 MW, mainly driven by the additional capacities from GNPower-Mariveles, higher generation of the hydro units, and more capacities contracted.

Net income for the ninemonth period grew four percent to P15.7 billion from P15.1 billion in the same period last year.

Meanwhile, in the same briefing, Aboitiz Equity Ventures Inc.(AEV), the parent firm of AboitizPower, reported a seven percent decline in its net income to P15.9 billion from P17.1 billion last year.

The company attributed the drop to non-recurring foreign exchange losses of P1.2 billion from the revaluation of dollar-denominated loans and pre-termination costs on refinancing.

“We remain optimistic on the long-term fundamentals of our businesses, and we look forward to continuing to advance business and communities in the execution of our growth strategy,” said Erramon Aboitiz, AEV president and chief executive officer.

Majority of the company’s business segments, apart from power and land, reported declines in its net income in the first nine months of the year.

“AboitizPower’s income contribution to AEV increased by four percent year-on-year, from P11.6 billion to P12.1 billion as its net income jumped four percent to P15.7 billion,” the company said.

Similarly, Aboitiz Land Inc. posted a net income of P340 million, 128 percent higher than last year’s figures.

In contrast, Union Bank of the Philippines and its subsidiaries recorded 22 percent decline in its net income in the nine-month period at P6.4 billion.

From the infrastructure group, RepublicCement & Building Materials Inc.’s income contribution to the parent firm decreased 80 percent from P1.3 billion to P249 million due to a slowdown in cement sales.

Moreover, the company’s non-listed food subsidiaries Pilmico Foods Corporation, Pilmico Animal Nutrition Corp., and Pilmico International Pte Ltd. reported an aggregate net income of P1.2 billion, 14 percent lower than last year.