MGen eyes DOE auction to sell Atimonan coal power capacity by 2030
Meralco PowerGen Corp. (MGen), the generation arm of Manila Electric Co., is finding ways to utilize the power capacity from its planned 1,200-megawatt (MW) coal plant in Quezon province after navigating regulatory and policy hurdles this year.
MGen President and Chief Executive Officer Emmanuel Rubio said in an interview that the company is considering either participating in a competitive selection process (CSP) with the Department of Energy (DOE) or auctioning the capacity generated by the Atimonan coal project.
“We’re making preparations to be able to participate in a CSP by January or participate in a base load capacity auction if there are any with the DOE,” Rubio told reporters.
The company is working with the DOE to identify ways to bring the capacity to market once the plant comes online by 2030, Rubio disclosed.
MGen previously secured three engineering, procurement, and construction (EPC) bids from China for the next development phase, though the winning contractor for the Atimonan project has not been disclosed.
The facility is among those exempted from the coal moratorium, a policy introduced by the DOE to halt the development of new conventional power plants in an effort to increase renewable sources. Despite securing an exemption, the project was recalled by the agency in April for a comprehensive review before being re-evaluated as “construction-ready.”
The Atimonan coal project has secured an environmental compliance certificate (ECC) and the energy project of national significance (EPNS) status. The plant is set for retirement by December 31, 2050.
Aside from the ultra-supercritical coal facility in Quezon, MGen’s Toledo coal plant in Cebu is another project exempted from the coal moratorium and is anticipated for completion in the next few years.
“We’re working with an EPC already, but we have not signed yet. But the delivery of Toledo [coal project] is 2028 July,” Rubio said.
Once the facility begins generating power, MGen had previously stated it could provide a more reliable and balanced power supply for the Visayas grid.
It has also secured an EPC partnership with Contemporary Amperex Technology Co., Limited (CATL) and SUMEC Complete Equipment and Engineering Co., Ltd. (SUMEC) for the plant’s 49-MW battery energy storage system (BESS).