CleanTech Global Renewables Inc. is preparing for the expansion of its 15-megawatt Bulacan solar power plant by another 30 MW this year, an official said.
“We are moving forward with the 30-MW project. Start of land development [is expected] towards the end of January,” CleanTech president and chief executive Salvador Antonio Castro said.
He said the engineering, procurement and construction pre-selection was ongoing and the tender process would begin soon.
Castro also said that there was “ongoing negotiation for alternative off-take contracts” for the expansion.
The first phase of the project in San Idelfonso, Bulacan was completed in 2016.
Castro earlier said the company was presently looking for buyers of the output of the expansion.
“Obviously, just like everybody else, we are looking for PSAs [power supply agreements]. We are excited for the RPS [renewable portfolio standards], REM [retail electricity market] but we are seriously looking at the spot market,” he said.
He said a ready market would ensure the project’s bankability.
The expansion will be under the project name San lldefonso Alternative Energy Corp. The first 15-MW phase is under Bulacan Solar Energy Corp.
He said the target cost should be below prices at the Wholesale Electricity Spot Market, the country’s trading floor of electricity, which averaged P3.75 per kilowatt-hour or less in the last 12 months.
“We follow the trend at WESM. It has come down from the last two to three years…There is some volatility and movement but as long as banks and financial partners are comfortable with that then we will be able to finance that,” Castro said.
CleanTech’s existing Bulacan solar project was granted a feed in tariff rate of P8.69 per kWh under the second round of FIT for solar projects.
“We are committed to the transformation of energy production and supply in the country by making use of clean energy technology and ensuring preservation of the environment,” Castro said earlier.
The solar project in Bulacan covers 22.5 hectares and consists of 86,400 solar panels. It can deliver power to 10,000 households.