SAN ANDRES, Catanduanes, April 16 (PNA) - This prime coastal town is using the credit facility being offered by the Spanish government to conduct a feasibility study in preparation for the putting up of a wind farm for its supply of electricity.
"We need at least P10 million for this project that will help us find an effective solution to our power problem that the local electric cooperative and the National Power Corporation (NPC) cannot provide," Mayor Leon Mendoza here said over the week.
Mendoza said the Fondo de Estudios de Viabilidad of the Fondo de Ayuda al Desarrollo (FEV), a credit facility of the Spanish Government is making available for the municipal government in the amount of 148,910 euro that is equivalent to the amount in peso needed for this undertaking.
The project will address the power problem in the area and the amount will come as a grant from the Spanish Government that requires only the site and security of the facilities as the counterpart of the local government unit, Mendoza said.
The preparation of the feasibility study will be done in 18 months and the implementation of the wind farm project would most likely start in 2010, he said.
The FEV will also finance its entire implementation whose amount would be determined by the feasibility study, Mendoza said.
The Terms of Reference (TOR) for this undertaking was recently approved by the Regional Development Council (RDC) on the basis that it is in line with government's initiative to promote the use of renewable energy.
The TOR set the goals for the project in terms of establishing its technical and financial viability as well as determine key assumptions and risks including market analysis of the power demand and supply in the municipality and the entire island province, among others, Mendoza said.
The feasibility study would also be used for possible replication of the wind power project in other areas of the Bicol region like Masbate and the coastal areas of Albay.
A multi-million-peso private wind power facility is currently being developed by a US-based wind energy firm in Misibis Residential Resort at a vast island property in Bacacay, Albay.
Its technical aspects include the supply of wind measuring equipment and its installation, management, calibration and compilation of meteorological data, he said.
"We will be tapping the assistance of the Department of Energy (DoE) and its attached agencies in the acquisition, delivery, installation and calibration of the equipment," Mendoza said.
Catanduanes has been identified by experts as one potential site for wind power development as contained in the Philippine Energy Plan (PEP) and the wind farm is consistent with the sector's development priority to generate and use renewable power sources, the mayor who is also president of the provincial chapter of the League of Municipalities of the Philippines (LMP) said.
Power supply of the province is presently derived by the First Catanduanes Electric Cooperative (FICELCO) from diesel-fed generator sets provided by the NPC that cannot fully answer the power demand in the area.
"This is the reason why we are taking advantage of all the opportunities knocking at our doors for us to be able to develop a stable source of electricity," Mendoza said.
There are already other initiatives toward this end like the solar and wind power facilities being undertaken by a private developer in Bato and Virac towns and the mayor added, the wind farm here would complement those projects. (PNA)