ACEN wants more time to build clean energy facilities

PHOTO FROM THE INQUIRER ARCHIVES

ACEN Corp., a publicly traded energy platform owned by Ayala Group, has expressed interest in participating in the next round of the government’s clean energy auction but hopes more time will be allocated to build the necessary facilities.

“We are interested, depending on the size of the offer and the timing, but we are hopeful that there will be enough time to prepare … for the project itself, the commercial launch date,” Chairman and CEO John Eric Francia told reporters late last week.

“I don’t think anyone would be able to build a power plant in Iress in one year,” he added.

An Integrated Renewable Energy and Energy Storage System (Iress) is a facility equipped with a storage system that stores excess energy to ensure a steady supply, especially since fuel sources such as sunlight and wind may be unreliable for most of the day.

The fourth round of green energy auctions, scheduled for the last quarter of the year, would aim to set auction dates for the construction of such facilities.

Francia said building a project as massive as Iress “wasn’t that easy.”

For example, to produce 500 megawatts (MW) of mid-range or gap-fill power, it would be necessary to build an 1,800-MW solar plant and 2,000-megawatt-hours of battery storage, he said.

He added that in addition to consolidating areas, players will also need to create infrastructure. Francia added that given the scale of the undertaking, it will take three to five years just to build the necessary infrastructure.

“So if an offer is made by the end of this year, the ideal date would be 2028, 2029 or 2030,” he said.

Francia said ACEN has a huge infrastructure in San Marcelino, Zambales, with 7 kilometers of roads, bridges, a large dam, flood protection and a transmission link. He said the group is considering transforming it into Iress, but the official did not mention a clear timeline for that plan.

Last week, the Energy Department also said it was considering the possibility of bidding on liquefied natural gas production.

The green energy auction program aims to accelerate the growth of renewable energy and reduce carbon dioxide emissions in the country. The government aims to increase the share of clean energy in the energy mix to 50 percent by 2040 from the current 22 percent. —Lisbet K. Esmael INQ