Alternergy seals PSA for Dupinga hydro project

ALTERNERGY’S Dupinga Mini Hydro Corp. (DMHC) has sealed its power supply agreement (PSA) with Nueva Ecija Electric Cooperative II Area 2 (Neeco II Area 2) for the supply of renewable power from its 4.6-megawatt (MW) Dupinga Mini Hydropower Project (Dupinga Project) in Gabaldon, Nueva Ecija.

In a statement on Monday, Alternergy said DMHC and Neeco II Area 2 are also set to submit within the month a joint application to the Energy Regulatory Commission (ERC) for approval of the PSA.

“The signing of the PSA and its subsequent submission to the ERC for approval is one of last milestones successfully achieved to date in the development of the Dupinga project,” said DMHC Vice President Annette Rafael.

“The PSA and DBP funding sustain the momentum for the Dupinga project as we target completion and commencement of renewable power supply to Neeco II Area 2 by early 2024,” she added.

The Dupinga project, as an embedded power generation located within Neeco II Area 2 franchise area, will improve supply reliability and quality of power in the Gabaldon and other nearby municipalities, which are at the tail-end of Neeco II Area 2 distribution system, Rafael said.

Ramon de Vera, Neeco II Area 2 general manager, added: “As a lifetime commitment to our memberconsumer-owners, we need to stay consistent in providing efficient, reliable and affordable electric services. The present administration’s eagerness to increase the sources of renewable energy inspires us, and it revives our hopes to continue the journey in figuring out how we can make our power supply more sustainable to defeat the threats of frequent power outage.”

Also, as an embedded power plant, the Dupinga project is also expected to generate savings to Neeco II Area 2 customers through avoided transmission fees and zero value-added tax on the purchased power. As a renewable power supply with no fuel charges, power from the Dupinga project is competitively priced against other power suppliers of Neeco II Area 2, which are mostly from coal power plants and exposed to fuel price increases.

The Dupinga project is being codeveloped by DMHC, a partnership between Alternergy Holdings Corp., a renewable energy pioneer, and Markham Resources Corp., a renewable energy company led by Francisco Tiu Laurel of the Frabelle Group.

The Dupinga project forms part of Alternergy’s goal of building 1,245 MW of renewable energy capacity in the next five years.