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Manila Bulletin devider Business devider FDC Misamis set to meet surge in Mindanao power demand

FDC Misamis set to meet surge in Mindanao power demand

Published Mar 21, 2019 12:00 am
By Madelaine B.Miraflor A proposed steel manufacturing project is expected to increase the power demand in Mindanao, but the Gotianun family-led FDC Misamis Power Corporation (FDC Misamis) said it is ready to cater to such demand. HBIS Group, China’s second-biggest steel producing company, is currently planning to set up its facilities in PHIVIDEC industrial Estate in Misamis Oriental this year. HBIS is reportedly pouring in $4.4-billion in investments through a two-phase project with the objective of producing millions of tons of hot-rolled coil and 600,000 tons of slab annually in the first phase, and another eight million tons in the following phase. “Given the opportunity, we are very much ready to supply our neighboring industries since we have an advantage over other suppliers. We have proven our plant’s reliability since the start of its commercial operation in 2016. We are located near the steel plants’ proposed site which means less susceptibility to disturbance in the transmission system and, of course, minimal or zero line rental charge once WESM in Mindanao becomes operational,” said FDC Misamis President and CEO Juan Eugenio L. Roxas. The Mindanao Development Authority (MinDa) said that by 2025 Mindanao’s current demand, which is around 1,600-megawatt (MW) to 1,700-MW, will increase by 500-MW to 600-MW. According to the National Grid Corporation of the Philippines (NGCP), Mindanao’s current capacity is about 2,400-MW to 2,500-MW. Although there is currently an oversupply of approximately 800-MW in the region, MinDa reiterated that Mindanao would still need an additional 100-MW per year to cope with rising power demand. MinDa cited some of the major upcoming economic projects in Mindanao, which would be contributing to the demand for power, such as the Mindanao Railway System (MRS), new hotels and malls, and the entry of two giant foreign steel companies in Davao City and Misamis Oriental. FDC officials said that on the part of the company, it has consistently provided adequate supply to its customers. FDC Misamis plant manager Luis Lagarnia, Jr., confirmed the consistent performance of the coal-fired power plant for the past two years.
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