Diversified conglomerate San Miguel Corp. plans to expand its energy portfolio by putting up around 10,000 megawatts of renewable energy projects in the next 10 years, a top official said over the weekend.
“SMC is going to invest heavily on renewable energy,” San Miguel president Ramon Ang said.
He said the investments in renewable energy would include hydro-electric, wind, battery storage and tidal power projects.
“Hydro wherever there is an opportunity, we are interested. We are looking at large hydro, maybe 1,000 MW at least per project,” Ang said.
San Miguel, however, is shying away from solar power projects given their low power generation availability.
“Cost of RE is high, only solar have gone down, but its availability is only 15 percent. In Australia, they invested heavily in solar, but [there] was a power failure everywhere today and they were forced to use gas turbine. That’s why power supply is expensive there today,” Ang said.
Ang said San Miguel already identified a possible site for its first wind project, specifically in Luzon. He did not disclose the actual location.
“We have a report of very good wind profile. Very big capacity may be installed and land for that project is already owned by SMC,” he said.
Ang also said the company was planning to put up battery storage projects.
San Miguel focuses so far in putting up base load power plants. It has completed the first phase of its coal projects in Bataan and Davao.
“We have a responsibility as a major power producer to do our share in pushing for a sustainable clean energy economy, but it has to be done in the most efficient way possible for the consumers,” Ang said earlier.
“With critical mass and better technology, I believe we should be able to strike the perfect balance between renewable and non-renewable sources in terms of the country’s energy mix,” he said.
San Miguel owns 60 percent of the 218-MW Angat hydro power plant. It is also the independent power producer administrator of the Ilijan natural gas plant in Batangas and the San Roque hydro station in Pangasinan province.
Ang formed a team last year to conduct research and develop solutions across the clean energy sector.
“We are challenging ourselves to be able to operate in the most environmentally responsible manner while taking into consideration energy security and affordability to the consumers. Initiatives to achieve this objective are under way and I’m proud to say we are making a good headway,” he said.