Philippines Targets Wind Power and Ring of Fire Geothermal Projects Through 2015

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Written by Richard Finlayson, Senior International Editor for Industrial Info Resources--The Philippines' Energy Development Corporation (EDC) is investing $332 million through its wholly owned subsidiary, Burgos Wind Energy System, to construct an 86-megawatt (MW) wind power facility in Burgos, Ilocos Norte. This is EDC's first wind project to proceed following registration with the Board of Investments after the original 40-MW EDC wind project in Ilocos did not move forward after registering in 2001. The current project is scheduled to be operational by December 2014.

There are two other wind power projects in Ilocos: the North Wind project in Pangui, Pagudpug, which is now in operation, and Energy Logic Philippines' 120-MW project in Pasquin-Burgos, Ilocos Norte, which is scheduled for operation in January 2013. The Board of Investments says that the country is the leading wind power producer in Southeast Asia, and that the government is targeting 23 wind facilities with a total capacity of 557 MW by 2014.

Further wind power project plans are likely to be announced following the board's reference to a study by the U.S. National Renewable Energy Laboratory that said the Philippines has good to excellent wind resources available. With a "conservative" estimate of 7 MW per square kilometer, these areas have the potential for an installed wind capacity of 70,000 MW.

EDC already has geothermal power projects registered with the Board of Investments. The company is planning five more wind projects, but has not yet given any details or schedules. EDC was established as a subsidiary of the state-owned Philippine National Oil Company (PNOPC) to focus on the development of geothermal energy sources. The PNOPC-EDC project initiatives have made the country the second-largest producer of geothermal steam and user of wet-steam technology for energy production. The 1,145-MW PNOC-EDC operation generates about 60% of the country's installed geothermal capacity.

EDC is collaborating with the World Wide Fund for Nature (WWF-Philippines) to expand geothermal development in Asia by starting the Ring of Fire project in the Philippines and Indonesia. Geothermal provides 17% of the country's electricity, and Indonesia has about 40% of global conventional geothermal reserves. The target is to increase installed geothermal capacity 150% by 2015 and 300% by 2020. The WWF has a 2050 Renewable Energy Vision for 100% of power supply from renewable sources by that date.

The partners will establish a Gold Standard Geothermal Showcase project at EDC's 50-MW Mindanao 3 geothermal facility in North Cotabato as a benchmark for all geothermal projects. The showcase will demonstrate the economic, social and environmental benefits of geothermal energy. EDC and WWF plan to build broad stakeholder support for geothermal development in the region.

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