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Sunwest Awaits Approval of Hydro projects - INQ

Sunwest Water and Electric Co. Inc. (Suweco) is seeking the approval of its renewable energy service contract applications for 20 hydropower projects in Luzon and Visayas, according to data from the Department of Energy.

DOE documents showed that of the 20 proposed hydropower projects, 15 would have a combined capacity of about 55 MW. The capacities of the remaining five projects have yet to be disclosed.

Although Suweco did not indicate its possible investments in these projects, it may have to spend as much as $110 million.

This is based on the general rule that a company needs to invest at least $2 million to produce a megawatt of hydropower.

Suweco’s proposals are currently being evaluated by the DOE.

Under a renewable energy service contract, companies are given two years to conduct pre-development work.

Suweco is on track to spend P1.1 billion for three run-of-river mini hydropower projects, with combined capacity of 6.4 MW, in Catanduanes.

The Solong mini hydro plant would cost about P404 million to build and would have a capacity of 2.3 MW.

The Hitoma 01 hydro plant would need P242 million in investments to generate 1.5 MW, while the Capipian hydro facility would cost P459.7 million for a capacity of 2.6 MW.

Suweco’s Solong and Hitoma 01 mini hydropower plants are expected to begin operations by March 2010, to be followed by the Capipian facility in March 2011.

By Amy R. Remo
Philippine Daily Inquirer
First Posted 21:28:00 11/23/2009

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