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Alternergy taps Chinese firm as EPC contractor for wind projects


Alternergy's award of EPC contracts for its Tanay and Alabat and wind farm projects.



AT A GLANCE


The two wind farm developments are in the roll of winning bidders in the RE capacity auction administered by the Department of Energy (DOE) last year – and these have been underpinned with 20-year power supply agreements, entailing then that there would be guaranteed revenue stream from the facilities within the stretch of two decades.



Publicly listed Alternergy Holdings Corporation (Alternergy) had engaged China Energy Engineering Group Guangdong Electric Power Design Institute Co. Ltd. (GEDI), along with its Philippine subsidiary GEDI Construction Development Corporation (GCDC) as engineering, procurement and construction (EPC) contractor for its Alabat and Tanay wind farm projects.

According to Alternergy, the balance of plant (BOP) EPC will cover the “design, engineering, supply of civil and electrical works, transport of equipment, construction and installation” for the two greenfield wind farm developments.


At completion and upon reaching commercial stream, the two plants will yield 163 megawatts which will then serve as capacity addition to the country’s power supply.

The Tanay wind plant is sited in Rizal province while the Alabat wind farm is being developed in Quezon province. Both greenfield facilities are slated for commercial operations date (COD) by end-2025.


In the award of the EPC contract, Alternergy Wind Holdings Corporation President Knud Hedeager emphasized that the selection went through “a very extensive and meticulous tender process.”


He conveyed that “a great deal of consideration was taken to ensure that there will be synergies with both our supplier and contractor given our commitment and timeline under the Green Energy Auction 2 (GEA) award,” referencing on the incentive system for qualified renewable energy (RE) projects that had been enabled by the government.


The two wind farm developments are in the roll of winning bidders in the RE capacity auction administered by the Department of Energy (DOE) last year – and these have been underpinned with 20-year power supply agreements, entailing then that there would be guaranteed revenue stream from the facilities within the stretch of two decades.


With a specified delivery date prescribed under GEA, Alternergy Holdings Corporation President Gerry Magbanua indicated that “it is almost all systems go for the construction of our latest wind projects with the wind turbine supply and BOP EPC contracts already signed.”


On the part of the EPC contractor, GEDI Deputy General Manager Bill Guo noted that their company’s engagement with the two wind projects of Alternergy “will boost our local presence in the Philippines.”


Relative to the awarded contract, he expounded that their commitment is “to complete the project on time with high quality with scientific organization, strict management and visionary design.”


GEDI counts presence in more than 50 countries and under its sleeve had been more than 700 EPC undertakings for various projects across Southeast Asia, South Asia, Middle East, Eastern Europe and even Africa – and key component of its project portfolios had been wind farm projects, including at its home base in China. 


Originally published: Manila Bulletin, March 19, 2024

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