PERC investing P1 B for hybrid solar project

PetroEnergy Resources Corp. (PERC) of the Yuchengco Group is investing at least P1 billion for its planned hybrid solar power project in Palawan once the island’s power cooperative commences its competitive selection process (CSP).

The company is working on a 10- to 20-megawatt (MW) solar hybrid project in Puerto Princesa, Palawan, which is double its original plan of five to 10 MW, PetroEnergy vice president Francisco Delfin Jr. said.

He said the solar component is photovoltaic and groundmounted, the diesel component “will ensure the 24-hour availability,” and the battery storage system is targeted to have a capacity of two to four hours.

“It’s a solo project by PGEC, where we intend to put up 1020 MW of installed capacity, 10-20 MW of solar then with the option or with the likely component of battery storage and diesel,” Delfin said.

PetroGreen Energy Corp. (PGEC) is the renewable energy holding unit of PERC.

PERC is looking to spend at least P1 billion for the project, higher than the previous budget of P855 million.

Apart from financing, the company has also secured necessary permits, but is awaiting the competitive bidding of Palawan Electric Cooperative (PALECO), Delfin said.

“For Palawan, this is a service contract we secured as early as 2017. We have already secured many of the necessary government permits including local government unit endorsements, ECC (Environmental Compliance Certificate) clearances. The only thing holding us back from proceeding is the off-take,” Delfin said.

PALECO is the lone power distributor of Puerto Princesa City and 18 municipalities, serving 137,277 consumers or 57 percent of the 240,700 potential connections as of June.

The power cooperative had been facing extreme backlash from both consumers and the local government since 2017 due to unreliable electricity services in the province.

In November last year, President Duterte warned that the government would take over PALECO’s facilities if it cannot resolve the recurring power outages.

Last February, Energy Secretary Alfonso Cusi directed Task force PALECO to look into the power interruptions perennially taking place in Palawan through a performance audit and assessment.