Business and Economy
AboitizPower shuts down Aseagas plant
AboitizPower also took the opportunity to assess the plant’s other issues (Photo by Aboitiz Power)
MANILA — Months after going on continuous shutdown, AboitizPower Corporation announces that the biomass plant in Lian, Batangas operated by its wholly-owned subsidiary, Aseagas Corp., will permanently cease operations.
Aseagas earlier suspended its commissioning due to unavailability of the supply of organic effluent wastewater from its supplier, Absolut Distillers, Inc.
AboitizPower also took the opportunity to assess the plant’s other issues, and after a full assessment decided to make the plant shutdown permanent.
“Our top consideration now is to balance the interests of all our stakeholders, including that of Aseagas’ employees,” AboitizPower President and Chief Operating Officer Antonio R. Moraza said.
AboitizPower earlier disclosed that Aseagas has prepaid its outstanding loan with the Development Bank of the Philippines (DBP) in the amount of PHP2.368 billion.
Total value affected as a result of the closure has been estimated at PHP3.7 billion, which represents Aseagas’ invested equity of PHP3.
45 billion and the company’s estimated remaining obligations of around PHP250 million.
Moraza said AboitizPower is still on track to add some 500 megawatts (MW) of attributable capacity, mainly from baseload and hydropower plants in 2018, pushing the company closer to its 2020 target of 4,000-MW net attributable capacity.
