EDC 2014 SR (UPDATED)

EDC 2014 Performance Report
2014 net generation output
(in Gigawatt-hours GWh)
Unified Leyte
Tongonan
Bacman
Negros Island
Mindanao1 and 2
2,925.5
803.0
663.7
1,553.8
814.9
Nueva Ecija
247.8 Ilocos Norte 44.7
Our 130MW Bacman geothermal
plants’ return to service represents the
fulfilment of our return-to-service (RTS)
plan and overarching commitment
to our stakeholders and the country
to sustain the provision of clean,
indigenous, and reliable energy to
meet our shared development needs.
Bacman stands capable of delivering
₱5 billion annually in electricity sales
from the former ₱1.8 billion in steam
sales.
Last year’s success at Bacman,
particularly the retrofit program, is
being replicated in both Tongonan I
in Leyte and Palinpinon I in Negros,
improving electricity production while
lessening steam consumption. With
the turbine and generator retrofits in
both power plants, we also expect the
life extension of a 30-year-old design,
and expect to realize efficiency gains
from these assets.
Likewise, commercial operations of
our 49.4MW Nasulo geothermal plant
have, since July 2014, brought new
additional power to our portfolio and
the country’s energy mix. Nasulo is now
delivering in excess of ₱1.8 billion per
year of revenues for a total turnaround
of ₱2.6 billion. Moreover, higher
energy dispatch and generation has
helped our Mindanao power plants to
contribute more to the critical energy
supply of the country. Mindanao I and
II generated a total sales volume of
814.9GWh, which is 26.9GWh higher
than its minimum energy off-take
volume of 788GWh, with revenue
reaching ₱2.4 billion compared to the
₱1.9 billion in 2013.
We expect to build on these gains
with projected capacity additions
between now and 2016 in Luzon and
Mindanao. In fact, our 150MW Burgos
Wind Project, commissioned on
November 5, 2014, is the first project
to be banked under Department of
Energy’s (DOE’s) Feed-in Tariff (FIT)
regime and represents a new area
of operational excellence, as further
evidenced by being the only Philippine
project to make it to Project Finance
International’s (PFI) honor roll and
receiving the Asia Pacific Renewables
Deal of the Year award from PFI.
Underlying these achievements is
a proactive management approach
to secure and sustain operational
excellence, including the creation of
an Operations Committee to strategize
and synergize all programs to ensure
the availability and reliability factors of
all power assets, the implementation
of a Preventive Maintenance Shutdown
for all facilities, the comprehensive
rehabilitation of all acquired plants
from the National Power Corporation,
and an intensive program to sustain
our geothermal fields’ production
through a robust make-up well and
drilling program.
In response to both climate hazards
and in-company initiative, we have
started installing stronger cooling
towers to withstand the new normal
of increased weather severity in our
areas of operation. In-house historical
data has allowed us to identify cooling
towers that have persistently borne
the brunt of typhoons, more than 20
of which visit the country on average.
There will be three phases in the
typhoon-proofing of these cooling
towers.
Phase 1 – Triage the situation to be
able to restore the affected cooling
towers immediately.
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This page contains the following GRI indicator(s):
G4-9, EU-2.