Energy Development Corp. is looking at a total wind portfolio of up to 700 megawatts over the long-term period after successfully commissioning an initial 150-MW capacity in Burgos, Ilocos Norte.
“Based on the concessions that we currently have, including Iloilo and the ones in Ilocos Norte, I think there’s a potential of about 550 MW,” EDC president Richard Tantoco told reporters Thursday night.
Tantoco said the wind projects might take a longer time to build pending feed-in tariff allocations. He said the 200-MW allocation of the Energy Department for feed-in tariff eligibility for wind projects was almost full.
“That’s going to take a long time. We have to wait for the feed-in tariff. So we want to just settle down and enjoy this project,” the official said.
The Burgos wind project is expected to contribute about 10 percent of EDC’s revenues next year and 5 percent of net income.
“P32 billion is the revenue. Burgos, on average, will bring around P2.8 billion to P3.2 billion. But we have huge capex. Depreciation is high. Our interest costs alone are about P890 million,” Tantoco said.
The 150-MW Burgos wind project, the biggest in Southeast Asia to date and the fastest to build, only has a capacity factor of 27 percent of its installed capacity.
“If we take a look at the past 10 days data, the biggest generation is going to be 420-gigawatthours. The lowest is 320. So on average [it] is 370 to 380 GWh per year. So it’s equivalent to a 50-MW baseload unit,” he said.