Alternergy closer to getting FIT-certified

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ALTERNERGY Wind One Corp., the developer of a wind farm in Pililla, Rizal, is now a step closer to availing of the feed-in tariff (FIT) scheme, an incentive given by the government to spur renewable energy development.

This developed after Alternergy signed its renewable energy payment agreement with the National Transmission Corp. for its 54-megawatt wind farm project in Barangay Halayhayin, Pililla, Rizal.

Alternergy President Vincent Perez, who served as energy secretary during the Arroyo administration, said he was delighted to sign at last the renewable energy payment agreement with TransCo for the Pililla wind project.

“It was a long and challenging journey that began with a dream,” Perez said.


Alternergy’s Pililla wind farm consists of 27 towers with a capacity of 2 megawatts (MW) each.

The Energy Regulatory Commission (ERC) approved last year the dedicated 10-km point-to-point interconnection line to connect to the distribution network of Manila Electric Co. (Meralco) which owns the distribution franchise to operate in Rizal.

The wind farm has also successfully interconnected with Meralco’s 115-kv Malaya-Caliraya-Kalayaan transmission line.

Connecting to Meralco’s system was the most feasible and least-cost means of dispatching power, without any grid constraint or congestion to the major power load of Luzon, Alternergy said.

The ERC FIT rules provide for an agreement between TransCo, the FIT-All Fund administrator, and the eligible renewable energy (RE) plant for the payment of FIT.

The ERC earlier provisionally approved a FIT-All rate of four centavos per kilowatt hour (kWh), which was collected by distribution utilities starting January this year.

It also approved a FIT rate of P8.53 per kWh for the 200 megawatt (MW) approved installation target for wind projects.

But the 200 MW installation target is now oversubscribed, prompting the Department of Energy (DOE) to approve an additional 200 MW for wind power projects.

The ERC has yet to approve a proposed lower FIT rate of P7.93 for the additional 200 MW installation target.

The FIT-Allowance (FIT-All) is a uniform charge akin to the universal charge that is imposed on all on-grid electricity consumers who are supplied with electricity through the distribution or transmission network.

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