Power investors are welcome in Igacos-A A +A
Sunday, February 16, 2014
AN OFFICIAL of Island Garden City of Samal (Igacos) said they welcome any power investors who plan to invest in the island, an official said.
Igacos city administrator Cleto Bravo Gales Jr., during the Davao Business Forum at Derm Path at SM City Davao on Tuesday, said the economic potential is being held "hostage" by the internal conflict within Davao del Norte Electric Cooperative (Daneco) and the looming possibility of the submarine cable going out of order.
"We are desperate to welcome power investors," he said.
Gales said, for more than 30 years, the island is currently being powered through a five megavolt ampere (MVA) capacity submarine cable that has already experienced five major faults, resulting in recurring power shortages in the island.
He said the replacement of the cable has been stalled due to the internal conflict that its power provider, Daneco, is faced with. Also, even the memorandum of agreement (MOA) between Davao Light and Power Company (DLPC) and Daneco, which indicates the transfer of service operations, has also been held back.
As a measure to prevent the island from being paralyzed, Igacos is welcoming power investors to come to the island.
"A Korean company has inquired on putting up a solar power plant while a Luzon-based company has already submitted a proposal on a clean coal power plant," Gales added.
The prospect investor for coal plant submitted its proposal, which describes the plant and its technical descriptions.
This will be a clean coal plant that will not produce smoke and its by-products can be used as an additive to concrete. If ever, the plant will operate a five megawatt (MW) plant and will eventually expand to 10 MW.
For the solar plant, the Korean firm is still scouting a location in the island, either purchase or rent, where the planned facility will be put up. The plant will produce five MW.
Gales also said based on Igacos' new investment code, the light and power investors may apply for tax exemptions for as much as three years.
Published in the Sun.Star Davao newspaper on February 17, 2014.