Ayala-unit still keen on solar projects

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MANILA — AC Energy Holdings Inc., Ayala Corporation’s power unit, is still keen on developing solar projects despite its dodging of the March 2016 Feed-in-Tariff (FIT) deadline, said its President and Chief Executive Officer (CEO) John Eric Francia.

“We are not participating in the race for the 500 Megawatt (MW) with March 2016 deadline, but it doesn’t mean that we have forgotten solar we continue to study the prospects,” Francia told reporters Thursday.

He noted the firm is awaiting for solar panels to become cost competitive, adding it has shelved its solar projects in Mindanao year ago. Currently, solar projects that will meet the FIT deadline will be paid Php8.96/kilowatthour (kWh) for its power output.

Francia said the company is well aware that prices of solar panels are continuously going down — making it more commercially viable.

Aside from the falling solar panel prices, he said that huge developments are also taking place in the renewable energy (RE) battery technology industry.

For its hydro-power projects, Francia said the firm is still addressing local matters such as community support.

Meanwhile, the AC Energy president pointed out the company will carry on building power plants, if it has enough contracts.

He further raised the company has more variables to consider due to the power industry’s sensitivity to market dynamics.

AC Energy has earlier earmarked US$ 700 million from equity to put up renewable energy projects. But it also has coal-fired power projects.

Some of its current operational power plants, which are joint-venture projects with other companies, are North Luzon Renewable Energy Corp. (NLREC), Northwind Power Development Corp. and South Luzon Thermal Energy Corporation (SLTEC).

Its current portfolio has a power capacity of more than 700 MW, with a target capacity of 1,000 MW by 2016.