EDC eyes P25B for geothermal project expansion

LOPEZ-LED Energy Development Corp. (EDC) plans to allocate P25 billion for the expansion of its 282.5-megawatt (MW) Southern Negros Geothermal Project (SNGP) in Negros Oriental.

“This covers the cost of drilling new wells, the expansion of existing pads, and the construction of new pads, road networks, pipeline routes and other support structures, as necessary,” EDC said in a document submitted to the Department of Environment and Natural Resources.

The estimated amount also includes the budget for emerging technologies, it said.

EDC secured its environmental compliance certificate (ECC) in 2017 for a 5,163-hectare project development block. It includes facilities and activities to attain, sustain and support the operation of geothermal power plants.

A minor amendment was issued in July 2023 for the inclusion of a 30-megawatt-hour battery energy storage system, which consists of a transmission system to connect SNGP to a substation.

The company is currently applying for an ECC amendment for the steamfields of the SNGP, proposing a change in the boundary/shape of the development block and a reduction from 5,163 hectares to 4,027.59 hectares.

“The 4,027.59 hectares proposed development block will allow drilling of new geothermal wells and construction of new infrastructure and facilities to provide make-up and replacement steam to sustain the operation of the Nasuji Power Plant, Palinpinon Geothermal Power Project (PGPP) Units I, II and Nasulo Geothermal Power Plant, and other possible future developments,” EDC said.

Meanwhile, the project area is also proposed for expansion from 151.5 hectares to 400 hectares to support additional infrastructure and operational requirements.

Out of its allowable 282.5-MW steam field capacity, SNGP is operating at 241.8 MW through its existing 94 wells and 32 well pads.

The operating plants currently have a total dependable capacity of 221.8 MW. All power generating units are operating at their installed capacity except for the Nasuji geothermal power plant under PGPP-II, which is under preservation mode due to steam availability constraints.

EDC intends to operate the Nasuji power plant by drilling additional geothermal wells to supply steam to the plant. It is seeking to add eight wells and two well pads in total.

Citing simulation studies, EDC said that geothermal wells experience “a pressure decline which may result in decreased steam flows” that may eventually lead to “a subsequent decline in power availability.”

The company is proposing to implement a periodic makeup and replacement drilling program to sustain and maximize the power generation of the geothermal power plants.

The project is scheduled for public scoping on Nov. 6. It is an early stage in the environmental impact assessment process where the proponents will provide an overview of the proposed projects and gather issues and concerns.

At present, EDC has an installed capacity of 1,480.19 MW, accounting for about 20% of the country’s total installed renewable energy capacity.

Of the total renewable energy capacity, EDC’s 1,189.34 MW provides around 61% of the country’s total installed geothermal capacity. — Sheldeen Joy Talavera