DMCI Power Corp., the off-grid unit of listed conglomerate DMCI Holdings, Inc., is investing around P3.5 billion to develop two off-grid projects with a total capacity of 27 megawatts (MW) in Masbate and Palawan.
In a regulatory filing on Monday, DMCI Holdings said majority of the amount or P2.7 billion will go to the construction of a 15-MW thermal power plant in Narra, Palawan, while P800 million will fund the development of a 12-MW hybrid solar-diesel power plant in Cataingan, Masbate.
“Target commercial operation of the 12-MW plant [in Palawan] is first quarter of 2022 while the 15 MW [in Masbate] is set to go online by second quarter of 2023,” the Consunji-led firm said.
Once online, the two power plants will increase DMCI Power’s installed capacity in the electricity missionary areas to 163.72 MW from 136.42 MW.
As soon as the Palawan plant is up, it will help lower the cost of power in the area, according to DMCI Holdings.
“These investments are in response to the government’s mandate to accelerate the exploration, development and utilization of renewable energy and indigenous fuel resources, thus decreasing our dependence on imported fuel,” DMCI Power Chief Operating Officer Antonino E. Gatdula, Jr. said in the filing.
DMCI Holdings fully owns DMCI Power, which was established to power up remote and off-grid islands in the Philippines.
DMCI Holdings earlier reported a second-quarter net income attributable to equity holders of P5.23 billion, up by more than threefold from P1.42 billion a year earlier, after registering higher earnings from its business segments.
Shares in DMCI Holdings shed 1.79% or 11 centavos to finish at P6.05 apiece on Monday. — Angelica Y. Yang