First Philippine Holdings Corporation is allotting P51 billion for consolidated capital expenditures this year, slightly higher than the P50 billion earmarked in 2021, as it focuses on its power generation and real estate businesses.
During the firm’s annual stockholders’ meeting, FPHC Chief Finance Officer Emmanuel P. Singson said “56 percent of the budget, or about P29 billion, is allocated to our power generation group.
This will be particularly for subsidiary Energy Development Corporation’s drilling and growth initiatives, and for First Gen Corporation’s liquefied natural gas (LNG) and Aya pumped-storage projects.
Singson added that, “35 percent of the budget, or about P18 billion, is allocated to our property sector. The balance of P4 billion is allocated to grow our construction, manufacturing and new businesses in healthcare and education.”
First Gen continues to pioneer efforts in natural gas development through the FGEN Batangas LNG Terminal Project, which is targeting to initiate commercial operations by 2022.
On the other hand, FG Hydro initiated the development of the 100-MW Aya Pumped-Storage Project in Pantabangan, Nueva Ecija. The project is envisioned to be a pioneering variable-speed pumped storage facility in the country.
The project is adjacent to the Pantabangan Hydroelectric Power Plant, which is also owned and operated by FG Hydro.
It will use the Pantabangan and Masiway reservoirs to store energy during off-peak periods when spot prices are low and generate electricity during peak periods when spot prices are high, as well as provide ancillary services for the security and stability of the national grid.
Meanwhile, Singson said “We expect our financial performance in 2022 to be relatively flat compared to last year.”
“FPH closed 2021 with a consolidated attributable Recurring Net Income (RNI) of P10.1 billion, up by 7 percent from last year. Real estate, construction, and energy solutions were our main drivers of growth,” said FPHC President Francis Giles Puno.