|
THE Aboitiz group’s hydroelectric power unit is set
to take out a multibillion-peso loan from various commercial banks.
Hedcor Sibulan Inc., a wholly
owned unit of Aboitiz Power Corp. (AP), will sign a P3.6-billion
loan agreement with Philippine National Bank, Metropolitan Bank and
Trust Co. and Rizal Commercial Banking Corp. on May 21.
The amount will be paid in 12
years at an unspecified rate.
Although they failed to say how
they will spend the money, company officials earlier said they are
keen on securing loans from several banks for Hedcor’s hydro power
projects, including the 42.5-megawatt Sibulan power plant that is
targeted for completion next year. The facility is expected to cost
about P5 billion.
Besides Sibulan, Hedcor is also
planning to put up the 30.5-megawatt Tamugan-Suawan hydro plant,
which will cost roughly around the same amount.
Construction for the Sibulan
plant broke ground late last year, while the start of the
Tamugan-Suawan facility’s construction is scheduled this year.
The Board of Investments extended
tax incentives for these hydro facilities, including a six-year
income tax holiday and reduced import duties on capital equipment.
Power generated from the
facilities will be used to supply the requirements of Davao Light
and Power Co. (DLPC), the third largest privately owned electricity
distributor in the country and another unit of the Aboitiz group.
A consortium led by Hedcor
earlier won the bid to supply the annual power requirements of DLPC
estimated at 400 million kilowatt-hours per year, for a period of 12
years starting 2009, with an offer of P4.0856 per kilowatt-hour.
Including a system loss of
P0.43 per kilowatt-hour, the total electricity cost Hedcor would
produce for DLPC consumers is pegged at P4.51 per kilowatt-hour.Aboitiz
Power unit secures bank borrowings
--Euan Paulo C. Añonuevo
|
