Geothermal power plant project beneficial to Biliran – Gov. Espina

TACLOBAN CITY – The Icelandic company Reykjavik Energy Invest and Geysir Green Energy’s project to construct a power plant in the province of Biliran are beneficial to the people of their province, said Governor Gerardo Espina Jr. “They were in my office last week and they told me that they are now pursuing the plan where the construction of the geothermal power plant is now being undertaken,” Gov. Espina said. A geothermal power plant is to be constructed in their province, according to the governor, and the Icelandic company had already had an office and located the sites where the geothermal plant is to be constructed. It is located in the mountains under the vicinity of Naval and Biliran town. In 2009 to 2010 the company conducted an exploration and electricity sales in the province of Biliran. It was also reported that the company is to build three power plants in Biliran with a capacity to produce 150 megawatt (MW) power and mainly intended to supply the national demand considering that Biliran province only consumes six to seven megawatt. The Icelandic company major shareholder in the country had also reported that they had close the electricity sales contracts worth $338 million with five electric cooperatives in Eastern Visayas with a combined capacity of 35 MW renewable energy. The contract has a term of 10 years with a price between $100 to $113 per MW were under the plan all the excess power supply of the geothermal plant will be offered to the six off-takers, and a portion left for the upcoming Wholesale Electricity Spot Market (WESM) in the Visayas region. With this development in the province, the governor said that they are expecting for its positive effect such as providing additional job to Biliranons and income to the provincial coffer. “They also ensure us that electricity rate in the province will be lowered, once the construction of the power plant is done and they become operational,” the governor added. Once the geothermal plant in Biliran is done, it would become the second geothermal plant in the province, second to the existing geothermal plant located in the town of Kananga and city of Ormoc. The existing geothermal plant does not only supply Region 8 but also its neighboring regions and some part of Mindanao and Luzon.