The Board of Investments (BOI) has recently approved the application of Satrap Power Corp. to be a renewable-energy (RE) developer of biomass-energy resources, the agency announced on Tuesday.
The energy firm was approved and is entitled to fiscal incentives through the Special Laws List (Renewable Energy Act of 2008) of the current Investment Priorities Plan (IPP).
The P1.16-billion project involves the development, construction and operation of a 10-Megawatt (MW) power plant in Barangay Nagpanaoan, Santa, Ilocos Sur.
Satrap will utilize municipal solid wastes and agricultural wastes to generate electricity at a rated capacity of 3 MW and 7 MW, respectively.
It has already executed a feedstock-supply agreement with the various local government units (LGUs) in the province, and commercial operations are expected to commence by April 2019.
All of the generated electricity are expected to be sold to the National Grid Corp. of the Philippines in accordance with the feed-in tariff (FiT) system of the RE Act.
The Ilocos Sur Electric Cooperative, Inc. is also being considered as a market.
“This project boosts the Ilocos region as a hub for renewable power and complements the wind power plants already in the region. The addition of biomass projects will spur further development of renewable-energy sources in the area as we continue our march toward reducing our dependence on fossil fuels over time,” Trade Undersecretary and BOI Managing Head Ceferino S. Rodolfo Jr. said in a news statement.