DESPITE failing to acquire a renewable plant in Guimaras and returning the Cebu Diesel Power Plant 1 to the state-run Power Sector Assets and Liabilities Management Corp. (Psalm) in 2018, listed company SPC Power Corp. remains optimistic about boosting its power generation business.
SPC chairman Alfredo Henares said they are looking at more projects in 2019 to expand SPC’s power generation capacity by at least 40 megawatts (MW).
“We will continue to boost our presence in the Visayas as well as seek opportunities in Luzon,” he said.
SPC’s efforts to acquire 100 percent ownership of a 54-megawatt renewable power plant did not end successfully in 2018.
Henares said “this has not dampened the resolve of the board of directors to look for other power project opportunities.”
“It is an area we’ve been wanting to get into. Our efforts are around hydro power, and last year was wind. Unfortunately, we weren’t able to make progress on that,” said Henares.
Henares also announced that the Cebu Diesel Power Plant 1 that has a capacity of 33 MW was returned to Psalm on July 1, 2018, together with all other assets originally included in the asset purchase agreement executed in 2014.
The return, he noted, was pursuant to a memorandum of agreement with Psalm dated July 9, 2018 to implement a Supreme Court decision.
While the company continues to seek more opportunities, Henares said part of their growth plan this year is to help their affiliates renew their expiring contracts this year.
He added they also plan on working with them to bid on some power projects.
SPC ended 2018 with a total income of P1.9 billion, up by 13.3 percent from P1.67 billion in 2017.
The power generation business segment contributed P587 million to the consolidated income in 2018, reflecting a 22 percent increase from the previous year.
SPC’s subsidiaries are Bohol Light Company Inc., SPC Island Power Corp., SPC Malaya Power Corp. and SPC Electric Company Inc.
The company’s associates are Mactan Electric Company Inc. and Kepco SPC Power Corp.