Meralco, Repower sign hydroelectric venture deal

The Manila Electric Co. (Meralco) signed last January 7 a joint venture agreement (JVA) and Shareholding Agreement (SHA) with Repower Energy Development Corp. (Repower) for the development of hydroelectric power plants.

Under the JVA, Meralco and Repower will put up a joint-venture company topursue the development of hydroelectric plants.

Meralco also reported to the Philippines Stock Exchange (PSE) that the SHA will provide the company with a 50-percent minus one equity stake of the authorized capital stock of the proposed joint-venture firm.

Based on the Department of Energy (DOE) October 2015 pending hydropower plants application, Repower has applied for the setting up of a hydroplant in the province of Laguna, in the towns of Majayjay and Magdalena, where the Balanac River Middle passes through from which the company’s hydroelectric project seeks to generate a potential capacity of 5 megawatts (MW).

Repower also has a power-plant application in Lanao Del Norte, Mindanao, in the town of Kauswagan through the Matungao River that will generate a potential of 2.9 MW.

New hydro power plants throughout the country have the potential of generating a capacity of 2,936 MW along with installed capacity of 176 MW, DoE data showed. The hydro power plant applications have varying potential capacities from 0.03 MW up to 500 MW.

Repower has also been awarded a hydro power plant project in Luzon Region IV-A, in Real province which has the Libayat River with a potential generation of seven megawatts. RIZA LOZADA