Meralco-First Pacific power venture to start early 2014
MANILA -- The joint-venture company between Meralco PowerGen Corp. and First Pacific Co. Ltd. that acquired a stake in a Singaporean power firm said commercial operation of the LNG (liquefied natural gas) power plant in the city-state is expected to start early next year.
The 800-megawatt (MW) LNG-fired power plant on Jurong Island was supposed to start commercial operation next month, based on earlier targets provided by FPM Power Holdings Ltd., a 40-60 joint-venture firm between the unit of Meralco and the Hong Kong-based conglomerate.
“Commercial operation is expected to start in January 2014,” said Aaron A. Domingo, executive vice president and general manager of Meralco PowerGen.
Dominga did not provide details on the delay in operation start-up but other officials said, “It was just a matter of scheduling to make sure that the power plant would run smoothly and that there would be no other problems.”
The two 400-MW units have undergone testing and have been synchronized to the power grid. “Commissioning of the units has started. The first unit was first synchronized to the grid on June 30 and the second unit, August 30,” added Domingo.
FPM Power acquired in March a 70-percent interest in GMR Energy Singapore, which recently changed its name to PacificLight Power. Petronas of Malaysia owns the remaining 30 percent.
The offtake of the plant is a combination of vesting contracts with the SP Power Assets Ltd., retail market contracts and merchant supply operations.
“It’s with the government of Singapore through its trading arm, but only about 30 percent of the output would be covered by what they call the vesting contracts. The rest would be merchant or retail type of operations, but it’s our distinct impression that the Singapore market is a very orderly market,” Meralco Chairman Manuel V. Pangilinan earlier said.