Iloilo braces for first waste-to-energy project

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Friday, July 18, 2014


EVERYTHING is set for a joint venture agreement on the P1.3 billion solid waste-to-energy project at the Calajunan dumpsite, Mandurriao district, Iloilo City.

Councilor Plaridel Nava, chairman of the City Council committee on ways and means, said the equipment, including big boilers and turbines, are set to be sent to Iloilo City in October this year.

As soon as the equipment arrive, the installation of the Philippines’s first solid waste-to-energy project will start.

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Nava, however, admitted that the original signatory of the agreement, Dream Engineering Co. Ltd chaired by Youn Pyo Hong of Gongju City, South Korea with Iloilo City Mayor Jed Patrick Mabilog, has already expanded operation in whole Asia.

The one taking over the Iloilo operation is chaired by Daniel Cheon, also with Dream Engineering.

The joint venture agreement between Iloilo City and the Korean firm was signed last February 5, 2014 at the Iloilo City Hall calling for a pyrolysis and gasification technology designed to last for 20 years.

Phase I of the project will cover from one to 15 years amounting to P1.3 billion, while Phase II will run from 16 to 20 years amounting to P2.5 billion.

The City Government will not spend a centavo on the project.

Volume of waste to be processed includes 250 metric tons (MT) of garbage per day in the first phase and 500 MT per day in the second phase with an estimated annual gross income of P270 million in the first phase and P540 million in the second phase.

The city will get a share of five percent of the gross income or $20,000 per month whichever is higher in the first phase, while five percent of the gross income or $30,000 per month whichever is higher in the second phase.  

Nava said he is enthusiastic with the project as it is designed to prolong the life of the soon to be constructed sanitary landfill.

The waste-to-energy project will only take one hectare, while the sanitary landfill will cover some four hectares -- all inside the 23-hectare dumpsite area.

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