Conglomerate San Miguel Corp. decided to drop more coal projects from its portfolio, according to a report by the Department of Energy.
SMC confirmed the report, following the earlier announcement of unit SMC Global Power Holdings Corp. that it would avoid building new coal power plants to focus on renewables.
SMC informed the DOE of plans to convert its 300-MW coal plant in San Carlos, Negros Occidental into an LNG facility. SMC also plans to discontinue the 300-MW coal expansion project in Malita, Davao and the 328-MW project in Davao del Sur.
The company also opted not to proceed with Central Luzon Premiere Power Corp.’s 1,340-MW coal project and Lumiere Energy Technologies Inc.’s 710-MW station in Pagbilao, Quezon.
SMC earlier said SMCGP would add more renewables in its power portfolio to significantly cut carbon footprint while addressing the country’s need for reliable and affordable power.
“We’re executing on our plans to move away from building new coal facilities, despite new technologies that make them cleaner. It’s a company direction that is in line with all the major sustainability initiatives we have undertaken these past couple of years,” SMC president Ramon Ang said in a previous statement.
“SMC has always maintained a diverse power portfolio utilizing renewables and traditional, but proven technologies. This is to ensure that as we transition to cleaner sources, we will not undermine our commitment to meet the growing demand for affordable and reliable energy,” Ang said.
The company dropped plans to put up three new clean coal power plants in Quezon and Cebu with capacity of 1,500 MW in favor of new facilities that utilize cleaner, renewable energy sources.
SMCGP also started its transition to cleaner energy with the construction of 31 battery energy storage system facilities all over the country with total capacity of 1,000 MW set for completion between this year and 2022.
SMCGP would also put up solar plants in combination with battery storage facilities at 10 locations throughout the country. These will be operational by 2023.
SMC is preparing to build a 1,300-MW LNG combined cycle plant in Batangas City, which will provide clean and stable power to Manila Electric Co. over the next 20 years, beginning 2024.
The facility will provide power at a very competitive price, cheaper than what modern coal plants in the country offer.
SMC will also build small-scale LNG plants in 8 to 10 islands in the Visayas and Mindanao to boost rural electrification. It also lined up several hydroelectric power plants in Luzon.